Shopper marketing : how to increase purchase decisions at the point of sale

Shopper marketing is a rapidly growing concept in sales promotion, but how can you put it to work? Marketing consultants and editors Markus Ståhlberg and Ville Maila, and 35 other shopper-marketing experts, offer almost three dozen essays that detail how this tactic works, outline its benefits and explain how to implement it. getAbstract strongly recommends this definitive shopper-marketing resource. Its mix of savvy insights and suggestions from those on the front lines of retailing will appeal to product and brand managers, packaging experts, display designers, merchandising specialists, retail and manufacturing marketing and sales executives, as well as students of marketing, merchandising and selling. Kogan Page - Shopper Marketing (2009) (ATTiCA) 1 Copyright 3 Table of contents 4 Preface 11 Acknowledgements 13 Introduction 14 Part 1 - Definition: what is shopper marketing? 16 1 Science of shopping 18 2 Point of view on shopper marketing 22 Introduction 22 Defining shopper marketing 22 Strategy one: identification 23 Strategy two: disruption 23 The role of packaging 24 What role do in-store media have to play? 24 Strategy three: enticement 24 The shopper: same person, different context 25 3 Shopper marketing: the discipline, the approach 26 3Ss approach 27 Go-to-market calendarization 31 Conclusion 32 Reference and further reading 33 4 Seven steps towards effective shopper marketing 34 Step one: start with the corporate and marketing objectives and strategies 36 Step two: make the right choices 37 Step three: get an in-depth understanding of the current business situation at the key retailers 37 Step four: get an in-depth understanding of key retailers’ organization, objectives and strategies 38 Step five: know the shoppers and their shopping behaviour 38 Step six: develop a shopper marketing strategy and plan as part of tailored and complete account plans 39 Step seven: execute with excellence and measure the results 39 Reference 40 5 Bringing shopper into category management 41 References 45 6 Illogic inside the mind of the shopper 46 Shopper-driving forces 47 Types of shoppers 48 Targeting consumer segments 49 7 For shoppers there’s no place like home 51 Appeasing the picky child 52 Emerging lessons from the home experience: the genesis of true brand loyalty is often the home 53 Home experiences generate cultural tasks, not need states 53 8 Shopper mega-trends: health, wellness and the environment 56 Methodology 56 High interest 57 All are one 57 Cross-fertilization 58 Use multiple benefits 58 Credibility is key 58 Set a standard 59 Instant gratification 59 Tracking trends 59 9 Understanding shoppers’ complex decisions 61 Complex shopper decisions 61 Values and value 62 Health 62 Provenance 63 Ethics and the environment 64 The paradox of packaging 64 10 The three shopping currencies 66 Retailing is a relationship business 66 The ‘give-gets’ of the shopper in the store 67 Relating single-item purchases to individual shoppers 68 Time as the measure of shopping 69 Time is opportunity to sell 71 Participating with the shopper – ‘active retailing’ 71 Understanding shopper behaviour vis-à-vis understanding products 76 Angst: a vague, unpleasant emotion 76 Choices, choices, choices 77 Reference 80 11 Making your brand part of a shopper solution 81 Engineering solutions 83 Adjacencies, insights and investments 84 Speaking with shoppers 85 Part 2 - Strategy: how to approach shopper marketing 86 12 Connecting, engaging and exciting shoppers 88 Introduction 88 The eyes have it 89 A harmonious relationship 90 Scents of place 91 The power of touch 92 Taste sensation 92 My place, my space, my experience 93 13 Tailing your shoppers: retailing for the future 95 Retailing versus routine 95 E-tailing: reaching customers at home and at work 96 Tailing: innovating retail for the future 97 Tailing in Roppongi Hills: comfort and convenience 98 Tailing in Nau: webfront meets the homefront 98 Tailing in Boots: location is everything 100 Summary 100 14 Retail media: a catalyst for shopper marketing 101 15 Integrated communications planning for shopper marketing 106 The ‘target consumer’ – moving out ofthe cross-hairs 107 Evolution of media and retail – engaging consumers who are in control 107 Measuring the effectiveness of the store as a marketing weapon 109 Seven barriers to development of shopper marketing 111 Right place, wrong time 112 16 The conversion model for shopper research 113 17 In-store measurements for optimizing shopper marketing 118 A breakthrough measurement platform using in-store video 119 Understanding shopping behaviour 120 Planning for shopper marketing in a holistic framework 121 Testing in real-world shopper labs 122 Monitoring and tracking the impact of shopper marketing 122 18 The missing link: turning shopper insight into practice 124 Fewer decisions are taken in-store than previously thought 124 Some implementation examples of these findings 128 The search for the right message at POP sometimes involves breaking the existing category rules 129 The road to successful implementations 130 References 130 19 Capitalize on unrealized demand among shoppers 131 20 The loyalty ecosystem within your shopper environment 138 Understand your segments 139 Segment ahead of the curve 140 Enhance the customer environment 140 21 Overcoming common mistakes in shopper-centric retailing 142 Don’t underestimate what it takes 143 Don’t think category, think shopper 144 You can’t do analysis in isolation 144 Stop trying to cast the net so wide 145 Expand your horizon – at least beyondthe fiscal year 145 22 Touching the elephant 147 The elephant 148 The blind men 151 Moral of the parable 154 23 Shopper marketing as a crucial part of retailer partnership 155 Introduction 155 Shopper marketing and chain strategy 156 The crucial role of strategic partnerships 157 Conclusion 160 24 Collaborating to ensure shopper marketing execution 162 25 Putting the shopper into your marketing strategy 166 Introduction 166 Successful shopper marketing programmes are an expression of shopper-centric thinking and a deeply rooted shopper-centric culture 168 Effective shopper marketing programmes are shaped by a company’s commitment to earn and grow shoppers’ lifetime loyalty 171 Effective shopper marketing programmes are informed by an intimate, household-level understanding of shopper behaviour and its influences 176 Successful shopper marketing programmes are recognized by both retailers and manufacturers as an area of strategic collaboration 179 Successful shopper marketing programmes are managed as a dynamic set of activities benefiting from continual measurement and improvement 181 In closing, an encouragement 184 Reference 185 Part 3 - Execution: what is shopper marketing in action? 186 26 Increasing shopper marketing profitability with innovative promotions 188 Shopper-oriented promotions 188 Getting back to basics 189 Increasing purchase decisions 190 Does the trade love your brand? 190 Big, colourful, simple 190 The reason why 191 Innovation means cost-efficiency 193 27 Nestlé Rossiya, Russia 194 Russian retailer environment 194 Nestlé Group shopper approach in Russia 196 Cases and implementation 197 28 Using emotional insight in shopper marketing 201 The story of Sue 201 The shopper as a hero 204 29 Winning shoppers with cause marketing 211 Find an issue your core customer cares about 212 Be in for the long term and integrate 212 Identify the actionable insight 213 Engage the local community 214 Avoid compassion fatigue 214 Measure, measure, measure 215 Allow your programme to evolve 216 Winning shoppers with cause marketing 216 30 Tesco Fresh & Easy, USA 218 Creating value for customers 218 Communicating through the shopping trip 220 An organizational endeavour 222 31 Shopper-oriented pricing strategies 223 Pricing tipping points: managing price gaps based on shopper perceptions 223 Six dimensions of price image: the building blocks of a shopper-oriented pricing strategy 225 32 Packaging can be your best investment 228 Packaging as your most efficient marketing investment 228 Packaging makes more of an impression 229 Through its package! 230 Packaging is no longer strictly three-dimensional 230 Consumers have become more in tune with packaging 231 You must stay in tune with your packaging 232 For many products, packaging is their sole form of advertising 233 Packaging as the ‘fifth P’ in your marketing mix 234 Increased role of shopper marketing 234 33 Six principles to drive effective packaging 235 Designing for the shopper: six principles to drive effective packaging 235 Driving success: including the shopper in the design process 244 34 How to maximize ROI with package promotions 246 Is the package of daily consumer goods a mass medium? 246 What is the most cost-efficient form of in-store campaigning? 246 Phase one: choose the most profitable objective 247 Phase two: choose the most effective promotion mechanism 249 Phase three: implement package promotion as a process 251 Index 254 Kogan Page - Shopper Marketing (2009) (ATTiCA)......Page 1 Copyright ......Page 3 Table of contents ......Page 4 Preface......Page 11 Acknowledgements......Page 13 Introduction......Page 14 Part 1 - Definition: what is shopper marketing?......Page 16 1 Science of shopping......Page 18 Defining shopper marketing......Page 22 Strategy two: disruption......Page 23 Strategy three: enticement......Page 24 The shopper: same person, different context......Page 25 3 Shopper marketing: the discipline, the approach......Page 26 3Ss approach......Page 27 Go-to-market calendarization......Page 31 Conclusion......Page 32 Reference and further reading......Page 33 4 Seven steps towards effective shopper marketing......Page 34 Step one: start with the corporate and marketing objectives and strategies......Page 36 Step three: get an in-depth understanding of the current business situation at the key retailers......Page 37 Step five: know the shoppers and their shopping behaviour......Page 38 Step seven: execute with excellence and measure the results......Page 39 Reference......Page 40 5 Bringing shopper into category management......Page 41 References......Page 45 6 Illogic inside the mind of the shopper......Page 46 Shopper-driving forces......Page 47 Types of shoppers......Page 48 Targeting consumer segments......Page 49 7 For shoppers there’s no place like home......Page 51 Appeasing the picky child......Page 52 Home experiences generate cultural tasks, not need states......Page 53 Methodology......Page 56 All are one......Page 57 Credibility is key......Page 58 Tracking trends......Page 59 Complex shopper decisions......Page 61 Health......Page 62 Provenance......Page 63 The paradox of packaging......Page 64 Retailing is a relationship business......Page 66 The ‘give-gets’ of the shopper in the store......Page 67 Relating single-item purchases to individual shoppers......Page 68 Time as the measure of shopping......Page 69 Participating with the shopper – ‘active retailing’......Page 71 Angst: a vague, unpleasant emotion......Page 76 Choices, choices, choices......Page 77 Reference......Page 80 11 Making your brand part of a shopper solution......Page 81 Engineering solutions......Page 83 Adjacencies, insights and investments......Page 84 Speaking with shoppers......Page 85 Part 2 - Strategy: how to approach shopper marketing......Page 86 Introduction......Page 88 The eyes have it......Page 89 A harmonious relationship......Page 90 Scents of place......Page 91 Taste sensation......Page 92 My place, my space, my experience......Page 93 Retailing versus routine......Page 95 E-tailing: reaching customers at home and at work......Page 96 Tailing: innovating retail for the future......Page 97 Tailing in Nau: webfront meets the homefront......Page 98 Summary......Page 100 14 Retail media: a catalyst for shopper marketing......Page 101 15 Integrated communications planning for shopper marketing......Page 106 Evolution of media and retail – engaging consumers who are in control......Page 107 Measuring the effectiveness of the store as a marketing weapon......Page 109 Seven barriers to development of shopper marketing......Page 111 Right place, wrong time......Page 112 16 The conversion model for shopper research......Page 113 17 In-store measurements for optimizing shopper marketing......Page 118 A breakthrough measurement platform using in-store video......Page 119 Understanding shopping behaviour......Page 120 Planning for shopper marketing in a holistic framework......Page 121 Monitoring and tracking the impact of shopper marketing......Page 122 Fewer decisions are taken in-store than previously thought......Page 124 Some implementation examples of these findings......Page 128 The search for the right message at POP sometimes involves breaking the existing category rules......Page 129 References......Page 130 19 Capitalize on unrealized demand among shoppers......Page 131 20 The loyalty ecosystem within your shopper environment......Page 138 Understand your segments......Page 139 Enhance the customer environment......Page 140 21 Overcoming common mistakes in shopper-centric retailing......Page 142 Don’t underestimate what it takes......Page 143 You can’t do analysis in isolation......Page 144 Expand your horizon – at least beyondthe fiscal year......Page 145 22 Touching the elephant......Page 147 The elephant......Page 148 The blind men......Page 151 Moral of the parable......Page 154 Introduction......Page 155 Shopper marketing and chain strategy......Page 156 The crucial role of strategic partnerships......Page 157 Conclusion......Page 160 24 Collaborating to ensure shopper marketing execution......Page 162 Introduction......Page 166 Successful shopper marketing programmes are an expression of shopper-centric thinking and a deeply rooted shopper-centric culture......Page 168 Effective shopper marketing programmes are shaped by a company’s commitment to earn and grow shoppers’ lifetime loyalty......Page 171 Effective shopper marketing programmes are informed by an intimate, household-level understanding of shopper behaviour and its influences......Page 176 Successful shopper marketing programmes are recognized by both retailers and manufacturers as an area of strategic collaboration......Page 179 Successful shopper marketing programmes are managed as a dynamic set of activities benefiting from continual measurement and improvement......Page 181 In closing, an encouragement......Page 184 Reference......Page 185 Part 3 - Execution: what is shopper marketing in action?......Page 186 Shopper-oriented promotions......Page 188 Getting back to basics......Page 189 Big, colourful, simple......Page 190 The reason why......Page 191 Innovation means cost-efficiency......Page 193 Russian retailer environment......Page 194 Nestlé Group shopper approach in Russia......Page 196 Cases and implementation......Page 197 The story of Sue......Page 201 The shopper as a hero......Page 204 29 Winning shoppers with cause marketing......Page 211 Be in for the long term and integrate......Page 212 Identify the actionable insight......Page 213 Avoid compassion fatigue......Page 214 Measure, measure, measure......Page 215 Winning shoppers with cause marketing......Page 216 Creating value for customers......Page 218 Communicating through the shopping trip......Page 220 An organizational endeavour......Page 222 Pricing tipping points: managing price gaps based on shopper perceptions......Page 223 Six dimensions of price image: the building blocks of a shopper-oriented pricing strategy......Page 225 Packaging as your most efficient marketing investment......Page 228 Packaging makes more of an impression......Page 229 Packaging is no longer strictly three-dimensional......Page 230 Consumers have become more in tune with packaging......Page 231 You must stay in tune with your packaging......Page 232 For many products, packaging is their sole form of advertising......Page 233 Increased role of shopper marketing......Page 234 Designing for the shopper: six principles to drive effective packaging......Page 235 Driving success: including the shopper in the design process......Page 244 What is the most cost-efficient form of in-store campaigning?......Page 246 Phase one: choose the most profitable objective......Page 247 Phase two: choose the most effective promotion mechanism......Page 249 Phase three: implement package promotion as a process......Page 251 Index......Page 254 New and growing, Shopper Marketing is one of the hottest trends in marketing today. It targets consumers while they are in the store and involves every aspect of the shopping experience, from promotions, displays and packaging to the store layout itself. According to a study by Deloitte, spending on shopper marketing has doubled since 2004. Procter & Gamble alone invests at least 500 million dollars a year in shopper marketing. Microsoft, IBM, Coca-Cola and Nestle all have their own shopper marketing units. This book combines the perspectives of 35 internationally recognized shopper marketing experts, among them renowned author Paco Underhill. Its three sections include research into shopper behavior [Insights]; interviews with experts [Strategy] and case studies of successful shopper marketing activities [Practice]. "The aim of shopper marketing is to convert browsing shoppers into active purchasers at the point of sale. Although a relatively new area of marketing, it has attracted increased investment year on year - and according to surveys is growing even faster than internet advertising. Edited by two highly respected practitioners, Shopper Marketing demonstrates how marketers can influence the buying decision in-store, including practical advice on shopper needs and trends, retail environments, effective packaging and much more. The second edition has been fully updated and revised, with new material on shopper marketing in the international context and a new foreword by marketing guru Philip Kotler"-- Provided by publisher "The aim of shopper marketing is to turn shoppers into buyers at the point of purchase. A relatively new area of marketing, it is attracting increased investment year on year-according to surveys is growing even faster than internet advertising, with an expected annual growth rate 21 per cent by 2010. Research has shown that there is plenty of opportunity to influence customer's decision making in the store, so there is a lot at stake: at least 70 per cent of brand choices are made in the store; some 68 per cent of purchases are not planned in advance; Only 5 per cent of shoppers are loyal to one brand of the product group."--Jacket