Radius shopper marketing - the full story

Europe
and
Asia

New
York
–
San
Francisco
-‐
London
–
China

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

markeIng
all
about?

Exploring how shopper marketing came about and clear definition

70%
of
all
purchase

decisions
are
made
at

point
of
purchase?

Who said that?

Some claimed statistics
70% of all purchase decisions are made at point of purchase?
Two out of every 3 shoppers do not have a clue which brand
they plan to buy until they’re staring at the supermarket shelf. Ref. Forbes, May
1991
Mobile phone commercial sales is estimated to be £12 Billion in 2013
There’s an estimated 752 Billion mobile users (2016)
Smartphone adoption has reached 53% in USA in 2012 of mobile phone
subscribers.
85% of shoppers globally say social media helps them shop better and
faster via friends recommendation
Ref: www.myshopper360.com, Deliotte LLP, Forrester Research, Wall Street Journal, Nielsen, RSR Research,
Marketing Charts

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
brain

Adver,sing

Social
media

Brand
preference

Experiences

So what is the difference?

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

a,ersales

What we used to do is now all online

The Outernet is the new shopper and consumer world

What is shopper marketing?

Shopper
Marke,ng
uses

shopper
and
consumer

insights

to
engage
the
shopper
at
the

point
of
purchase
(‘moment
of

truth’).

Market

Targe,ng

Awareness

Understa
nding

Believab
ility

Desire
Find

Purchase

Like

Prefer

Consumer

Marke,ng

Shopper

Marke,ng

Consumer

Marke,ng

Purchase

Inten,on

Repeat

Loyalty

Point
of

Purchase

Moment
of

Truth

Trial

Above
The

Line

It is often a neglected part of marketing…
‘the
point
of
purchase’

…it used to be about
Distribu,on

Adver,sing

Powerful

brands

…shopper marketing has taken centre stage
Brand

marke,ng

• Brand

adver,sing

• Distribu,on

Category

management

• Range

management

• Segmenta,on

• Consumer
needs

ECR
(eﬃcient

consumer

response)

• Eﬃcient
supply

and
demand

• Cost
and
supply

processes

Shopper

marke,ng

•  Marke,ng

at
the
point

of
purchase

Power
in
the

hands
of

manufacturers

The
power

moved
to

retailers

Power
is
now
in

the
hands
of

consumers

Social media is supplementing the mass media of the past

Marketing has moved on too..
ATL
(above
the
line)
dominated
with
TV
adverts
and

main
stream
media.

Media
became
fragmented
with
mul,ple
TV
channels

and
online

Retailers
became
expert
at
retail
marke,ng
and
learnt

to
inﬂuence
and
control
the
purchase
at
POP

Online
penetra,on
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?

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?

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
s,ll
a
need
for
adver,sing

and
promo,on,
only
in
diﬀerent
forms
of

communica,on
and
integrated/connected

across
several
new
and
diﬀerent
channels

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.
Evolu,on

•  ATL

POP

•  Retailer
marke,ng

•  Category
management

Shopper

•  Social
media

•  Informa,on,
product
reviews

Smart
shopper

•  Advert
immune

•  ROBO
behaviours

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

• Emo,onal
aaachments

Shopper

• ATL
s,ll
inﬂuences

• Pre-‐loaded
preferences

• Purchase
decision
narra,ves

POP
is
in-‐store
and
online

• New
considera,on
rou,nes

What is shopper marketing?

..so,
shopper
marke,ng
is
about

understanding
the
new
shopper

behaviour
and
using
that
knowledge
to

manage
the
marke,ng
mix.

The
aim
is
to
aﬀect
change
in
shopper

behaviour
with
the
objec,ve
of
driving

brand
consump,on.

Shopper marketing applies to any environment where
people make purchase considerations or decisions
From banks, to burger bars, to bazaars…
Banks

Burger

bars

Bazaars

…but wait, have we forgotten something?
…who’s
shopping
now?

Ref.
The
last
days
of
Woolworhs

Omni-retailing: Showing retailers going out of business
The list of retailers going out of
business, partly due to a lack of Omni-
retailing and not adapting to the new
smart shopper is extensive…
†  MFI
†  Woolworths
†  Barratts
†  Kwik Save
…and those struggling include:
†  JJB Sports
†  Clintons Cards
†  The Works
†  Game
Ref.
Barry
Moles,
Blueﬁn
Solu,ons

The story of the little red kettle
Open plan living trend
†  Live in a flat with open kitchen
extending off the lounge area.
Noise is a problem, especially
when you’re watching your
episode of your favourite TV soup.
†  Need for quiet appliances
†  Partner visits kitchen store and
asks for a quiet kettle. Answer –
“don’t know, but over there are all
our kettles”. Partner returns home
empty handed and frustrated.
†  A quick look on Amazon and
within a few minutes a quiet kettle
is ordered. Delivered to our door
in a few days.

Who is shopping now? Answer: hardly anyone
Shopping time spent has dropped from
4.3 to 3 hours per month*
51% of shoppers leave stores empty
handed*
31% women/61% men dread shopping*
No one actually needs anything
anymore. Quality is available, but great
service and a great customer experience
is lacking in most retailers today.
Shopper
marke,ng
should
be

about
delivering
great

(awesome)
customer
service

*Ref.
Tom
Peters,
The
Circle
of
Innova,on
1997,
P455

WORKSHOP
EXERCISE
1

The
aim
is
to
aﬀect
change
in
shopper
behaviour

with
the
objec,ve
of
driving
brand

consump,on.

Discussion
point:
how
could
shopper
marke7ng

be
used
to
best
aﬀect
change?

2.
The
Retailer

Understanding the needs and approach of the retailer is critical for any
brand’s success.

Marketing are confusing this with shopper marketing
These
are
just
tools

Retailers think about category sales and shopper needs first, own
label brands second and proprietary brands last.
Does
the
range
oﬀering

meet
the
customer

(shopper)
needs?

Own
Label
Brand

marke,ng
and
posi,oning

Brands
oﬀered
within
the

category
to
capture
brand

loyalists

❷

❶

❸

Retailer
Marke,ng

Switching
volume

between
brands

Recrui,ng
new

users

Building
addi,onal

usage
of
the

category

Food
to
go
Fast
food
Petrol
sta,ons
Convenience
Express
high

street

Vending

Corner
shop
Superstores
Coﬀee
outlets
Franchise
kiosks
restaurants
Pubs
bars

Canteens
Discount
buying
Charity

shopping

Online
Mobile
What’s
next?

So many different channels adding complexity

Vending has created a whole new shopper world in Japan
You
can
even
buy
a
smart
car
or
gold
via

vending
machines,
but
there
is
s,ll
a
need

for
marke,ng
at
PoP

Local home delivery: awesome customer service wins
Most
Dubai
residents
call
their
local
Grocery
store
for
delivery
of
staples
like
water
boales

(heavy
to
carry),
however
this
habit
has
extended
to
most
takeaway
foods,
even
coﬀee
and
ice

cream
from
the
local
café.
All
delivered
by
hand
on
bicycles
to
your
door.

The retail challenges are interconnected at the PoP
Shopper

universe

Low

involvement

products

Associated

purchases

There are millions of the new smart consumers and
shoppers and they are all very different
These
smart
consumer/shoppers
are
the

retailer’s
customers
and
they
want
anything

that
helps
aaract
and
sell
to
them.

WORKSHOP
EXERCISE
2

One
aspect
of
shopper
marke,ng
is
mee,ng
the

needs
of
retailers

Discussion
point:
how
could
shopper
marke7ng

be
used
to
meet
the
needs
of
retailers?

3.
Shopper

vs.

consumer

Explores how and why shoppers differ from consumers and how to
market to them. Who is the new ‘prosumer’?

THE SHOPPER IS NOT ALWAYS THE CONSUMER
†  The shopper often knows what the
consumer likes, but may decide to
substitute for something else,
healthier, cheaper or to their own
preference.
†  The ultimate decision is at the
point of purchase, know as the
‘moment of truth’.
There
is
complexity
and
blurring
between
shoppers
and
consumers

Consumer behaviours are driven by…
Needs
and

desires

Purchase

occasions

consump,on

Product

experiences

Social

gra,ﬁca,on

Brand Essence
Personality & Values/
Visual Elements
Emotional &
Functional
Benefits
Reasons
to believe
Involvement

Pres,ge

Belonging

Trust
and
safety

Knowledge/physiological

RecogniIon/self

actualisaIon

Hierarchy
of
needs

Mostly

emo,onal

factors

Product

aaributes

Shopper behaviours are driven by…
Store

loca,ons

Channel

selec,on

Shopper

percep,ons

Shopper

needs

Brand

preferences

Point
of

purchase

influence

Purchase

decision

narra,ve

PURCHASE

DECISION

In-‐store

Online/mobile

Purchase
occasions
and

segment
behaviours

Pre-‐conceived

Opinions
and

previous

experiences

The
thinking
process

that
helps
shoppers
find

and
select
a
product,

including
criteria
versus

need
(shopper
needs)

Convenience,
entertainment,

researching
or
necessity

Equity,
loyalty,

considera,on,
awareness,

benefits,
aaributes

In-‐store
and
online

promo,ons
and

adver,sing

and
couponing

but the shelves are crowded and full of promotional offers…
…so
how
can

you
chose
in
this

environment?

It’s
crowded,
highly
compe,,ve
with
many
choices,
along
with
promo,onal
oﬀers
and

discoun,ng,
creates
a
very
confusing
situa,on
for
consumers/shoppers

Breaking
the
promo,onal
spiral

PROMOTIONS
CREATE
LOST
CONSUMPTION

Today
I
bought
some
Centrum
–
the
mul,vitamin
product
from
Pfizer.
It’s

a
regular
consump,on
product,
when
I
have
stocks
at
home.
When
I
go

out
of
stock,
I
don’t
use
it,
maybe
for
several
days
–
that
consump,on
is

lost
–
forever
(no,
I
don’t
guzzle
six
tablets
in
one
go
when
I
finally
buy

them!).

So
what
stops
me
buying?
When
there
isn’t
a
promo,on.
Centrum
is
on

deal
nearly
all
of
the
,me,
and
now
I’ve
been
trained
to
think
that
full

price
is
“too
much”.
I
delay
my
purchase.
Most
of
the
,me
that
doesn’t

maaer
–
but
some,mes,
I
run
out
at
home.
That’s
OK
for
me
–
I’ll
survive

without
my
“A
to
Zinc”
for
a
few
days
–
but
Pfizer
have
just
lost
my

consump,on
forever.
It
might
not
seem
like
much,
but
if
I
skip
six
days

that
month,
that’s
a
20%
reduc,on
in
consump,on,
lost
forever.

..so, market place execution and brand loyalty is even more
important at the shopper’s point of purchase
Understanding
shopper
behaviour
becomes
cri,cal

Emotions play a key role in the purchase decision?
Whenever
shoppers
are

faced
with
a
choice,
their

emo,ons
that
trigger
the

behaviour..
These
emo,ons

come
from
the
shopper’s

beliefs
and
a{tudes
about

the
world,
but
are

inﬂuenced
by
brand
or

category
beliefs.

Emo,onal
wiring
is
triggered

on
every
purchase
decision,

but
balanced
by
ra,onal

thought
and
self

jus,ﬁca,on.

A
purchase
decision
is
an

expression
of
a
shopper’s

beliefs
and
a{tudes
about

themselves
and
others
in
the

world
around
them.

Ra,onal

Emo,onal

The shopper and consumer are merging into one

WORKSHOP
EXERCISE
3

The
shopper
and
consumer
are
both
different

and
o|en
at
the
same
,me,
the
same
person

Discussion
point:
in
what
ways
is
shopper

marke7ng
different
from
brand
marke7ng?

List
at
least
five

4.1
Shopper

ergonomics

…some basics all retailers know

What is shopper ergonomics?

..is
synonymous
with
human
factors,

both
physical
and
psychological.

Shopper
marke,ng
that
takes
into

account
shopper
ergonomics
has
a
far

greater
chance
of
being
both
eﬀec,ve

and
inﬂuen,al
on
shopper

behaviours.

Crowded stores make shopping difficult
Known
as
the
‘Bu_
Brush’,
crowded

stores
can
put
shoppers
off
shopping

and
lose
sales.
This
is
especially
relevant

to
female
shoppers.

In
M&S
the
most
popular
sandwiches

were
concentrated
in
one
place,

making
it
difficult
to
get
to
their

choice
at
busy
,mes
and
many

shoppers
giving
up.
The
solu,on
was

to
spread
the
popular
sandwiches
out

horizontally
along
the
fixture.

E.g.
counters
designed
to
protect
browsers

Fixture locations and associated products
Mothers
with
children
will
try
to
avoid
the

confec,onary
aisle.
By
strategically
placing

essen,als
on
the
opposite
side,
they
have

no
choice,
but
to
visit
this
aisle

Equally,
by
placing
associated

products
together,
can
greatly

increase
sales
and
help
the

shopper
ﬁnd
all
the
items
they

need

Ask
the
ques,on:
who
actually
buys/makes

the
purchase
decision/selects
the
product

in-‐store?

DOG
CHOCOLATES?

Pester
power

The old theory about the diamond and eye level

In practice the shape is more like a kite or comet
People

tend
to

look
down

…but our research has shown that people are attracted by…
1

2

3

subcategories
of product
within the
fixture and
shoppers will
often follow a
pattern.
These
subcategories
can be placed
strategically to
increase profit
and build sales
with
associated
product
positioning

They look to the right (see and take zone)

In reality, what they actually see is this…

Understanding shopper’s natural pathways
†  B y m a p p i n g t h e s h o p p e r
pathways, retailers are best able
to strategically position products
to maximize sales.
†  Slow down zone: shoppers need
about 4 metres before they slow
down and start shopping the
displays.
†  By accommodating natural human
behaviour, where people walk,
where people look, how they
browse the displays. Is the best
way to win sales.
†  Thinking about humans and their
natural abilities is critical. For
example; what is the capacity of
the human hand? How much can
it carry or hold?
Most
people

walk
to
the

right

Conversion rates
†  The most important figure is; how
many don’t buy?
†  Using large impactful shop displays
in the store entrance can slow
shoppers down and get shoppers
in the mood for buying.
SLOW
SHOPPERS
DOWN
ON
ENTRANCE

What’s wrong with these displays?
?

Understanding

natural
human

behaviour
is
the

key

Touch and smell = sensual experience and trial
SHOPPERS
LOVE
TO
INTERACT
WITH
PRODUCTS,
EVEN
IF
THE
PRODUCT
IS
NOT

THE
PACK
ITSELF,
THEY
GAIN
INTUITION
AND
ENDORSEMENT
THROUGH
TOUCH

…they
even
need
to
touch
and
feel
books

Most
new
products
fail
through
lack
of
trial

Signage designed in a conference room or office?
Does the signage work in-store?
†  Shoppers very rarely stop and
look and stay in one place.
†  It’s unnatural for shoppers to look
sideways when walking down an
aisle. They need to look forward
to make sure they don’t walk into
something. Walking sideways.
†  What do they notice and what
causes shoppers to take action?
EYE
TRACKING
IN-‐STORE
CAPTURES
WHERE
THEY
LOOK

THE
STORE
HAS
BECOME
A
3D
TV
COMMERCIAL

Where
do

shoppers
stop

and
look?

wai,ng
areas

Where do people stop and look?
Inves,ng
in
the
right
in-‐store
loca,ons
and
materials

In-‐store
video
display
in
M&S

strategically
placed
by
the

checkout
and
wai,ng
room
Supermarket
checkout
–
the

one
thing
everyone
looks
at

are
other
people

Men shop differently to women
Men prefer to read
packaging and
gain product
information first
hand.
Male linguistic
terminology is
often different to
women’s.
Language used in
shopper marketing
materials can
make categories
inaccessible to
either gender.
Many male
oriented store
environments (car
dealers/home
wares) are alien to
women, yet
women are often
50% of shoppers.
Shopper
marketing needs
to take into
account gender
differences

Family shopping and age factors
Products
at

kids
level

As people live longer, they have different needs
Thinking
about
shopper
needs,
presents
new
shopper
marke,ng
opportuni,es

Free
coﬀee
in
Albert
Heijn

Sea,ng
and
special
trolley’s
for
the

elderly
in
S&M
Philippines

How long do shoppers spend on any one display
†  Ask any brand marketer, how long
a shopper spends on their
category and you’ll often hear the
answer “on 5 minutes, maybe 10”

2 seconds to read a sign or package front
Can
they
read
the
text?

How
much
of
the
sign
did
they
read?

Samsung and Dubai seem to have cracked this…
Think
Blue

Sheikh
Zayed
road
advert

WORKSHOP
EXERCISE
4.1

List
the
top
5
most
important
shopper

ergonomic
factors
likely
to
aﬀect
your
category

and
detail
the
consequences
and
ac,ons

needed
–
see
diagram
below

Ergonomic
factors
Consequences
and
acIons
needed…

1.

2.

3.

4.

5.

4.2.
Shopper

behaviour

This demonstrates how and why these two factors are the basis of good
shopper marketing.

TARGET

TV
and

print

adds

Visit

store

Compare
Choose
BUY

What used to be where the shopper had less little influence
awareness

considera,on

engagement

Loyalty

…but the shopper has gone online and mobile
The
‘prosumer’
is
expressing
their
views

and
repor,ng
experiences
in
reviews

etc,
as
they
shop
online/oﬄine.

ROBO (Research online, buy offline)
• I
want
to
get
fiaer/slimmer

• I
could
use
a
bike
to
get

around

• Ah
but,
I
don’t
like
those

new
bikes,
they
hurt
my

back
leaning
forward

Need
-‐
desire

• Where
can
I
get
an
upright

bike
or
one
with
a
higher

handlebar?

• Found
Halfords
–
not
sure

if
they
have
them
or
can

help?

• Found
Jakes
Bicycle

Conversions
–
helpful

advice

• Found
blogs
on
upright

bikes
–
useful
informa,on

• Found
Dutchie
bikes
–
but

a
bit
expensive

Research

• Visited
Halfords

• Saw
a
bike
I
liked,
but
would

need
conver,ng

• Staff
clueless
and
did
not
think

it
could
be
done!

• They
tried
to
sell
me
a

woman’s
bike
–
eek!

Review
offline

• Considered
going
to
Holland

and
buying
a
second-‐hand
bike

there

• Could
be
fun
J

• Bought
online
–
perfect
bike

and
good
a|ersales
help
–
I

would
recommend
them.

Bought
online

Disconnected

retail

experience

PROSUMER

Active mobile shopping…
Picking
up

promoIonal

oﬀers
on
the

smart
phone

whilst
shopping

in-‐store

The
‘prosumer’
is
expressing
their
views

and
repor,ng
experiences
in
reviews

etc,
as
they
shop
online/oﬄine.

Redeeming vouchers and researching products in-store
The
mobile
phone
is

becoming
the
main
shopping

tool
of
the
future.
The

prosumer
is
using
it
as
a
way

to
report
experiences
Taking
a
picture
or
scan
to
con,nue
their

research
online
later

Online couponing has grown exponentially

Shopping or researching whilst mobile in odd free moments
“I’ll
just
do
my
grocery
shopping
whilst

on
the
train”

“I’ll
just
tell
them
what
I
think
about…”

Understanding the buzz (what are they saying online?)
1,000s
of
online

and
mobile

stories
at
the

point
of
purchase

4
out
of
5
mobile

users,
use
their

phone
to
help

with
shopping

Ref.
Google

High street shopping experience; more ‘shoppertainment’
Research
online
(home
and
mobile)

Mobile
phones
also
help
shoppers
decide
where

they’re
going
to
shop,
it’s
part
of
the
review

process
and
prosumer
behaviour

LocaIon,
locaIon,
locaIon

Going
shopping
is
becoming
more
of
an

entertainment
experience
–
a
day
out

ENTERTAINMENT

Products
can
be
experienced,
reviewed,
tested
and

more
informa,on
gathered
in-‐store

CONSIDERATION

…but
they
may
decide
to
buy
online

Different types and occasions for shopping
Spontaneous
purchasing

Considered
purchasing

E.g..
Camera
shopping

•  Ease
of
use

•  Not
too
heavy

•  Takes
great
photos

•  Zoom
and
focus

Everyday
grocery

shopping

Research

online

Don’t
forget

a,ersales

The new purchase process
Need/
desire

research

decision
purchase

A|er

purchase

ENGAGE

Online
reviews

A|er
sales

service

User
groups

Online

communiIes

READ

Online
reviews

User
blogs

Oﬄine
research

Considera,on
In-‐store

Online

Mobile

Awareness

Realisa,on

PROSUMER

The smart consumer shopper has become the prosumer
PROSUMER:
It
can
also
be
used
to
diﬀeren,ate
the
tradi,onal
passive
consumer
with
an
ac,ve

consumer
role
more
involved
in
the
process,
such
as
ac,vity
in
the
design
or
customiza,on
of

the
end
product.

Brand
sponsored
consumer

community
panels
are
evolving
and

being
used
for
shopper
research

WORKSHOP
EXERCISE
4.2

Taking
ROBO
into
account,
detail
the
possible

shopper
journey
and
the
shopper
marke,ng

that
could
be
applied
at
each
point

1

2

3

4

5.
Great
shopper

markeIng

How to achieve effective shopper marketing. Looks at strategies and
tactics and explores how to apply them to your category.

Sales

growth

Increase

penetra,on

Increase

frequency

Increase

spend

Shopper marketing is essential for consumer brands to…
Generate

consumer

demand

Mo,vate
the

retailer
to

support
the

brand
in-‐store

Encourage

shoppers
to

buy
the
brand

This
is
achieved
through
strategies
that…

…but
ﬁrst
you
need
to
build
an
understanding
of

the
shopper,
know
their
touch
points
and

triggers
and
then
apply
strategies
that…

The new purchase process
Need/
desire

research

decision
purchase

A|er

purchase

ENGAGE
the

prosumer

Online
reviews

A|er
sales

service

User
groups

Online

communiIes

Help
consumer
shoppers

to
research,
gain

informa,on
and

understand
the
product

and
beneﬁts

Build
on
the
purchase

experience.
Understand

the
shopper,
purchase

occasions
and
purchase

hierarchy

Build
brand
equity
and
loyalty

Retain
consumers/shoppers

Understand
the
key
touch
points

Emo,onal
aaachment

CONVERGENCE

CONVERGENCE
Retailers
wise
to
this
behaviour
are

engaging
‘Convergence’
where
internet

online
technology
is
used
to
engage
the

shopper
and
in
some
cases
order
product

lines,
versions
and
accessories
that
are
not

stocked
in
the
retail
store.
retail

Online

ROBO

Mobile

Allowing
store
staﬀ
to

connect
directly
with
the

consumer
shopper
online

Connected purchase touch-points is critical for retailer success
†  In this JD Sports example, they
have brought their online store in-
store and so integrates the two
points of purchase (shopper touch-
points).
†  In-store shoppers can get advice
or referrals from retail staff ie they
don’t have their size or colour in-
store. The product can be
delivered directly to their home or
they can collect from store (free
delivery if collected from store).
†  Customers receive an email
confirmation and a notification
when arrived in-store.
†  Cleverly overcomes the barriers –
delivery time and cost + returns

Consumer

understanding

Choosing
the

channels

Shopper

behaviours

Shopper

marke,ng

Total
shopper

consumer

investment

Loca,on/
availability

Reaching

consumers

In-‐store/
online
A&P

Inﬂuencing

POP

An integrated strategy is critical to influence the PoP
The link needs to be made between the end consumer and the
investment in an integrated in-store/online marketing mix
Key elements of the marketing mix

Asking the right questions is critical to influence the PoP
Asking the right questions can help us to reach the right
target and have the most effect and influence on their
purchase behaviour.
Where
are
the

unmet
needs,
the

market
gaps
and

truly
unique

proposi,ons?

Consumer

understanding

Choosing
the

channels

Shopper

behaviours

Shopper

marke,ng

Total
shopper

consumer

investment

Who
are
our
best

target
and
where

and
how
do
they

shop/purchase?

What
are
the

target
shoppers

purchase
touch

points
and
what

is
their
purchase

route
and

behaviour?

How
can
we

reach
these

shoppers
and

inﬂuence
their

purchase

decisions?

Which
shoppers

to
invest
in
and

how
to
best

connect
with

them
and
in

which
channels?

Loca,on/
availability

Reaching

consumers

In-‐store/
online
A&P

Inﬂuencing

POP

Focus on the areas for change is critical to influence the PoP
Key elements of the marketing mix
Focus
on

loca,ons
where

there’s
an

opportunity
to

switch

consump,on

habits
or
planned

rou,nes.

Communicate

where
and
to
the

touch
points
and

poten,al
to

trigger
change
in

purchase

decisions

Only
where

there’s
an

opportunity
to

drive
a
long
term

change
in

behaviours
and

purchase.

Loca,on/
availability

Reaching

consumers

In-‐store/
online
A&P

Inﬂuencing

POP

WORKSHOP
EXERCISE
5

Consider
the
marke,ng
mix
needed…

?
?
?

Complete

the
three

boxes
on

the
le|

6.
Shopper
research

The first step to shopper understanding and best approaches

Shopper research: is it true that 70% of purchase decisions
are made at PoP (point of purchase)?
†  Our research would say not as for
example; ‘beer’ (50%) and ‘over
the counter medicines’ (30%)?
†  ATL (above the line) media has
b e c o m e f r a g m e n t e d a n d
proliferated by multichannel TV
and internet advertising.
†  R e t a i l e r s h a v e d e v e l o p e d
respected and trusted own brands,
that are quickly gaining brand
share.
†  Marketing has moved in-store and
become highly effective.
†  The shopper has gone mobile and
online. ROBO (research online, buy
offline) is one new shopper
behaviour.

Researching the shopper has it’s challenges
† Understanding and identifying the gap between, what
they say and do
† Purchase intent versus actual purchase (behaviour)
† Access to shopper behaviour – even at odd day parts
† Capturing real time behaviour versus ‘remembered’
and ‘socially acceptable responses in focus groups.
† Allowing for natural behaviour versus construed and
created answers
† Understanding the true purchase drivers (emotional)
versus the rational reasons to purchase

The age of emotional research and the psycho researcher
“would
you
trust

this
man?”

Do
these

techniques

really
work?

Using the right effective techniques is essential
†  Psychographic techniques – do they
really work?
†  Administered by psychologists or
psycho researchers?
†  Can you tell a personality by their
looks or do you project your pre-
conceived prejudices upon them?
Are
these
based

on
established

psychological

research?

Research based on credible and founded techniques
steadiness

detec,on
aaainment

belonging

Psychographics

Understand
how
to
gain
brand
share
and

the
compeIIve
a_ributes
and
factors

Based
of
Jung’s
psychologically
researched
and

established
studies
in
human
thinking
process

Combining shopper and consumer research
Helps
us
to
understand
how
a
brand
inﬂuences
shopper
behaviour

BRAND

Ethnography (observation)
Understand what they
actually do, not what they
say
Identify usage occasions
and needs from real life
observation
Understand the cultural
context and social meaning
of products in people’s lives

Video diaries give us access to shopper actual behaviours
Unencumbered and true to life 24/7

Ethnography (scrapbook diary)
Observa,on

Diary
exercises

Online
tools

Learn
what
consumers

actually
do
and

behave,
not
what
they

say...

Heuristics in the shopping environment
‘this
brand
makes

me
feel
good’

“I
usually
use

this
product

because...”

Learn
how
to
interrupt
the

decision
point
and
switch

shoppers
to
your
brand

Map the actual decision making
process including emotional triggers
I d e n t i f y t o u c h p o i n t s a n d
opportunities to interrupt and
influence purchase decisions
Pinpoint the attributes and factors
that are most important
By
iden,fying
the

cri,cal
touch
points,

its
possible
to

interrupt
the

decision
process

and
switch
brands

Outernet Online research, communities and focus groups
†  Consumers have moved online and
in time the physical high street will
change its function and role.
†  New buying behaviours are already
emerging ie ordering online in-
store
†  Consumers are more likely to
share their true opinions online.
†  C o n s u m e r s h a v e b e c o m e
prosumers online.
†  T h e n e w r e s p o n d e n t i s a
‘participant’ and ‘informer’ online
†  The outernet is the new library,
political polling post, store and
social community.
Online
Focus
Groups,
online
forums,
Community
panels
and
expert
groups
online

Cloud
compu,ng

and
online
research

Mobile

research

WORKSHOP
EXERCISE
6

What
shopper
research
is
needed
in
your

category?

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.

Radius shopper marketing - the full story

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