Post on 14-Jan-2015
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transcript
EMEA (Europe Middle East Africa)
New York – San Francisco - London – Dubai
SHOPPER MARKETING IN SIX STEPS
Radius Global EMEA 2
Workshop agenda
1. What is shopper marketing all about?
2. The retailer
3. Shopper Vs. Consumer
4.1. Shopper ergonomics
4.2. Shopper behaviour
5. Great shopper marketing
6. Shopper research
1. What is shopper marketing all about?
Exploring how shopper marketing came about and clear definition
Radius Global EMEA 4
70% of all purchase decisions are made at point of purchase?Who said that?
Radius Global EMEA 5
70% of all purchase decisions are made at point of purchase?
How true is this statement?
Where’s the evidence?
Do you believe that? Beer 50%
Healthcare 25%
Pre-loaded brainAdvertising
Social mediaBrand preference
Experiences
Radius Global EMEA 6
So what is the difference?
Radius Global EMEA 7
Social media has empowered the consumer shopper
They’re informed
They get expert advice
Their key influencers are…
• Mum (matriarch's)
• Friends and bloggers
• Product reviews online
• Blogs (private interest groups)
…but their final decision is at PoP
In-store or online
Your last chance to influence
Don’t forget aftersales
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The Outernet is the new shopper and consumer world
What we used to do is now all online
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What is shopper marketing?
Shopper Marketing uses shopper and consumer insights
to engage the shopper at the point of purchase (‘moment of
truth’).
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Market Targeting
Awareness
Understanding
Believability
DesireFind
Purchase
Like
Prefer Consumer Marketing
Shopper Marketing
Consumer Marketing
Purchase Intention
Repeat
Loyalty
Point of
Purchase
Moment of
Truth
Trial
Above The Line
It is often a neglected part of marketing…
‘the point of purchase’
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…it used to be about
Distribution
Advertising
Powerful brands
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…shopper marketing has taken centre stage
Brand marketing
• Brand advertising
• Distribution
Category management
• Range management
• Segmentation• Consumer needs
ECR (efficient consumer response)
• Efficient supply and demand
• Cost and supply processes
Shopper marketing
• Marketing at the point of purchase
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Power brands could dictate
sales
The power moved to retailers
Power is now in the hands of consumers
Social media is supplementing the mass media of the past
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Marketing has moved on too..
ATL (above the line) dominated with TV adverts and main stream media.
Media became fragmented with multiple TV channels and online
Retailers became expert at retail marketing and learnt to influence and control the purchase at POP
Online penetration has grown along with online shopping from home
Mobile online shopping and the use of Apps has given shoppers greater freedom, control and choice.
Consumer shoppers now research online, buy or review offline (in-store) and may return to buy online.
WHAT’S NEXT?
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New name, same issues, but in a changed environment
The brand approach
How can we maximise sales?
How can we prevent my customers going to another brand/retailer?
How can we gain new shoppers/consumers?
The category management approach
How can we meet consumer needs?
What is the optimum range?
How do consumers/shoppers segment the range?
Where are the gaps and opportunities?
How can we make it easier for shoppers to buy more?
Shopper marketing
How can we influence shoppers at point of purchase?
Where and how best to allocate marketing spend?
Radius Global EMEA 16
In theory
Meet consumer/shopper needs and they will come (buy)?
…but do they realise/know?
What of unknown/unmet needs?
Where are the real opportunities?
Desire before the need
There’s clearly still a need for advertising and promotion, only in different forms of
communication and integrated/connected across several new and different channels
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Shopper marketing has moved on too
…before, it was a revelation that ‘above the line’ advertising and promotion was losing out to the ‘point of purchase’.
The power had moved to the retailer as they became smarter at shopper marketing through their own brands, category management, more sophisticated in-store marketing, their own advertising campaigns and of course their online shopping.
…but now shoppers are taking centre stage. Social media has given them the power of easy convenient connection. Access to information, product reviews and consumer experiences. Along with the recent economic pressures, this has spurned new shopping behaviours.
The smart shopper can ignore traditional advertising messages and make better informed purchase decisions.
Evolution• ATL
POP• Retailer marketing• Category management
Shopper• Social media• Information, product reviews
Smart shopper• Advert immune• ROBO behaviours
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Lets not fool ourselves, they’re still in-store
The key is to understand how to get through to this new smart consumer, to understand the new shopper touch points and use that knowledge to influence the point of purchase.
Consumers are still driven by brand loyalty, awareness and emotional attachments.
Shoppers are still influenced by ATL advertising. They are pre-loaded with brand preferences, past experiences and a ‘purchase decision narrative’, ready to find and select their chosen product.
Shoppers (whether in-store or online/mobile), can and are influenced at the ‘point of purchase’, only their consideration routines and purchase route has changed.
New shopper touch points• Influence POP
Drivers are not changed• Brand loyalty and awareness• Emotional attachments
Shopper• ATL still influences• Pre-loaded preferences• Purchase decision narratives
POP is in-store and online• New consideration routines
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What is shopper marketing?
..so, shopper marketing is about understanding the new shopper and using that knowledge to manage the
marketing mix.
The aim is to affect change in shopper behaviour with the objective of driving
brand consumption.
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Shopper marketing applies to any environment where people make purchase decisions
From banks, to burger bars, to bazaars…
Banks Burger bars Bazaars
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Workshop agenda
1. What is shopper marketing all about?
2. The retailer
3. Shopper Vs. Consumer
4.1. Shopper ergonomics
4.2. Shopper behaviour
5. Great shopper marketing
6. Shopper research
Radius Global EMEA 22
Future lectures, workshops and training days
Shopper Marketing
Its claimed that 70% of decisions are now made at ‘Point of Purchase’. Understand how this works and what brands can do about this. How to best allocate advertising spend.
Innovation & Product development
With our training and workshops, clients have developed new and highly profitable products, solved business and team issues and have found profitable new product niches.
Category Management
Retailers used this to decide on ranges to stock and their strategy for the product category. Understand how to become the retailer’s category captain.