Digital Shopper Marketing: The Shopper Perspective

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Free research into digital shopper marketing in food, drink and grocery, conducted by Evolution Insights. An excellent introduction into digital shopper marketing and shopper awareness & appeal across a broad range of initiatives. Drawn from our in depth research into the field available from our website at www.evolution-insights.com

Negócios

0 10 20 30 40 50 60 70 80 90
Sell items
Access the internet in the supermarket
Purchase items
Find the latest special offers and coupons
Access a social network
Find information about products
Find out information about shops nearby
Search for a particular shop or business
Access the internet
Text message
%

0 10 20 30 40 50 60 70 80
Product Information on Mobile Phone
Scan to List With Mobile
Location Based Mobile Coupons & Offers
Scan to Basket With Mobile
Mobile Coupons
Mobile Loyalty Card App
Mobile Price Comparison
Mobile Price Check
Mobile Loyalty Points Check Apps
Mobile Phone Shopping List Apps
On Pack Mobile SMS Competitions
Mobile Online Grocery Shopping
Web Ratings and Reviews
Printable (Desktop PC) Shopping Lists
Web Recipes & Meal Suggestions
Web Price Comparison
Web Coupons
%
Aware of and use Aware of and don't use

0 10 20 30 40 50 60 70 80
Web Ratings and Reviews
Mobile Online Grocery Shopping
Product Information on Mobile Phone
On Pack Mobile SMS Competitions
Web Recipes & Meal Suggestions
Mobile Coupons
Scan to Online Basket With Mobile
Printable (Desktop PC) Shopping Lists
Mobile Phone Shopping List Apps
Mobile Loyalty Points Check Apps
Mobile Price Check
Location Based Mobile Coupons & Offers
Mobile Loyalty Card App
Mobile Price Comparison
Scan to List With Mobile
Web Price Comparison
Web Coupons
%
Appeal

High
usage
Low
usage
High appeal
Low appeal
Web
coupons
Web price
comparison
Web recipes &
meal suggestions
Printable (PC)
shopping lists
Web ratings
& reviews
Mobile online
grocery
shopping
On pack
mobile SMS
competitions
Mobile
shopping
listMobile price
check
Mobile price
comparison
Mobile
coupons
Mobile
scanning to
online basket
Product info
on mobile
Short to long-term potentialMedium to longer-term
potential
Niche potential
Short to medium-term
potential

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In our Health & Nutrition 2014 report we will explore shoppers’ attitudes to health and healthy eating, nutrition labels and how healthy shoppers are in their own opinion. We will also provide an overview of the drivers associated with buying healthy products, and present possible gender differences examining how shoppers decide whether a product is healthy. This report will also provide comparison with the results of our Health reports from 2011 and 2012 highlighting changes in shoppers’ perceptions, attitudes and behaviour in relation to health, nutrition & lifestyle choices.

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This research takes all of our data from our 2013 reports, examining shopper attitudes, behaviours and motivations across areas such as planning vs. impulse purchase, online shopping, the usage of shopper apps and more. Segmenting our shoppers by: • Age – young (18-34), middle aged (35-54) and older (55-65+) • Gender • Social Class • Gender and Social Class • Children Living at Home (under 16) – young families (18-34), older families (35-54) and empty nesters (shoppers aged 45+ with no children living at home) • Region Using these demographics we can look at how different the different groups behave comparing and contrasting the different attitudes amongst the key drivers listed. By using more detailed shopper demographics to examine our extensive catalogue of 2013 research we are able to present a thorough analysis of shopper behaviour for a more comprehensive range of shopper typologies than those presented in the individual reports.

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We analyse the interaction of price, quality, health and brand as drivers of item choice. We examine how the importance of these factors varies depending on the channel. This report outlines what “best price” actually means to shoppers and we look at what shoppers look for when looking for quality. We also look at what shoppers look to when deciding if a product is healthy or not. We used nine proxy categories to help understand how and what shoppers’ trade-off depending on what category they are considering.

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This report takes an in-depth look at Shopper Missions and examines shoppers’ behaviour across all missions in relation to frequency, patterns, channel, planning, spend and more. A ‘mission’ is the original reason the shopper embarked on a particular shopping trip. It is not as effective to take a retrospective only look at what they ended up doing, therefore our research uses methodologies to establish the original reasons for their trip, and what they intended to buy. In this way we could establish what they had bought that they hadn’t intended to…and why. We know that there are 100’s of possible reasons why people carry out a shopping occasion, but for the purpose of research it is necessary to classify these into certain groups. Taking into account the motives of shoppers when carrying out their food & grocery shop we have segmented them into three main mission types… This report will: -Identify & define the different Shopper Missions -Look at frequency, and shopper types identified with the missions -Find which channels are related with which missions -See how spend varies across missions -Investigate the differences in planning of individual items, meals, and shops

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Digital media encompasses all forms of communication that are delivered using a binary electronic format, utilising technology such as computers, mobile devices and tablets. The digital media landscape ranges from text messages, e-mail and social media to internet websites, smartphone applications – and more. Internet connected devices form the backbone of many forms of digital media, and underpin the huge growth in electronic and mobile commerce, and social media. The advent of digital media and digital marketing can now help facilitate a greater number of touch points with the consumer in shopper mode, making the concept of the path to purchase extending beyond the store environment of even greater importance. Digital marketing introduces the opportunity for FMCGs and retailers to more readily communicate with consumers as shoppers both before, during and after their visit to the supermarket. This report will: -Look at digital marketing strategies currently in use -Show current levels of smartphone ownership -Look at the different types of delivery in digital marketing, and see which shoppers prefer -Look in-depth at a variety of initiatives used on smartphones. Specifically looking at: online shopping, shopping lists, detailed product information, price comparison, recipes, digital vouchers, managing loyalty points, healthy eating and improving the in-store experience -Find out the awareness, usage and appeal of each of the above, and methods of delivery preferred -Find out the level of ownership and usage of various grocery apps -Briefly look at how shoppers interact with social media and what they think of NFC in grocery

Digital Marketing in F&G 2012

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Smartphone penetration has surged over recent years, in particular since the launch of the Apple iPhone in 2007 and, even more so, since the start of 2009 when rival devices really started to take hold in the market and smartphone handset prices started to fall to mass market levels - with current penetration levels of smartphones sitting at 60%. Tablets are also becoming increasingly popular with technology lovers. 17.4mn tablets were activated worldwide on Christmas day 2012 – around five were sold every second at one retailer! According to new figures out at the start at January 2013, tablet revenue is quickly catching up to that of smartphones and is expected to overtake them in 2013. The UK app market is by far the biggest app market in Europe. It outnumbers its European neighbours in terms of revenue generated by app downloads and in-app advertisement as well as the sheer number of downloads and users. With well over 1million apps available from various app stores, we need to look at how they can be used to aid Food & Grocery retailing. This report will look at: -Current smartphone and tablet statistics (ownership and usage) -The app market in the UK and around the world -How shoppers find new apps -Apps currently available, and how many shoppers have them on their smartphone/tablet at this time in relation to UK grocery retailers, recipes, vouchers and shopping lists -See what features shoppers say they would like to have in a grocery shopping app

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This research takes all the data from our reports in 2011, and examines shoppers' attitudes and motivations across such areas as Spend, Health, Brand Image, Online, Digital/Smartphones, Enjoyment, Plan v's Impulse, Loyalty, Price & Promotion and the importance of Price. It looks at these behaviours and segmenting by Age, Gender, SEG, Singles, Couples, Parents, Empty Nesters and Older shoppers, comparing and contrasting the different attitudes amongst the key drivers listed. This study is the most comprehensive of its type within the UK Food & Grocery sector. By using more detailed shopper demographics to examine our extensive catalogue of 2011 research we are able to present a thorough analysis of shopper behaviour for a more comprehensive range of shopper typologies than those presented in the individual reports. We are able to cover areas such as retailer choice, technology, spend and health providing a clearer picture of what is important to certain shoppers and how particular groups behave. It is important to note that this report provides a general understanding of each segment. We understand that individual behaviour can vary within each segment but for purposes of analysis we define the overall average behaviour of each segment.

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With low consumer confidence and limited household income it is not surprising that some shoppers are looking to for alternative channels for their food and groceries in an attempt to make savings. Although the Big Four supermarkets remain the most popular channels, alternative channels such as Amazon Groceries aim to tempt shoppers away from their usual supermarket choice. The internet has allowed for the emergence of sites offering bulk and discount groceries without the need for physical stores, thus keeping costs low. Launched in 1995, Amazon is the world’s largest online retailer with 164 million active customers and is also Britain’s highest rated brand. It stocks over 23,000 top grocery lines and allows customers to take advantage of the savings and convenience provided by bulk-buying items. Amazon also provides a marketplace for third party sellers to sell through. This report focuses upon online shoppers’ awareness and usage of Amazon Groceries. This report will: -Provide you with a brief background to Amazon.co.uk -Give a detailed outline of Amazon’s current features and how useful shoppers find these. -Summarise Amazon’s Grocery proposition, including awareness and usage as well as what shoppers use Amazon Groceries for. -Consider Amazon Groceries offering at a category level. This includes a category breakdown of penetration as well as what items are actually sold by Amazon rather than third party sellers. -Look at the uptake and barriers to Subscribe & Save. -Highlight issues found from first hand tests of Amazon Groceries. -Outline some of the other non-standard grocery channels propositions available to shoppers.

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This research looks specifically at shoppers' key loyalty drivers to retailers, then examines the impact of price, value and convenience, before testing shoppers' understanding of promotional mechanics, where is the tipping point for '2 for' deals and exploring what they do when confronted by one that leaves them confused! The economic downturn and food price inflation are challenging household budgets and shoppers need to find ways to cope with the squeeze. This report investigates how shoppers feel about food prices, what kind of promotion types they prefer. We also tested the tipping point for ‘2 For’ offers using a number of proxy categories to demonstrate differences. A complete section of the report is dedicated to testing whether shoppers understand promotions and how they deal with confusing or difficult offers. We also look into the effects on store loyalty when food retailers are at constant war on prices, and what are the price-related drivers of store choice. The report also provides a good overview of the current promotional strategies adopted by the big four retailers and existing loyalty schemes offered by the fast moving consumer goods retailers. This report will help you -Understand what loyalty cards are carried in shoppers’ purses/wallets -The price/promotion drivers of retailer choice (both in-store and online) -Weekly household spend -Most appealing promotional mechanics/ loyalty points/ competitions (both in-store and online) -How shoppers calculate the best promotional offer for them, including a detailed examination of which they have calculated as being the cheapest using differing quantities, percentage discounts and pack sizes -What shopper’s do when confronted by a complicated offer -The tipping points for a number of demonstration categories for accepting a ‘2 For’ deal -Understand their expectation of overall spend in a convenience store compared to a superstore -The different acceptance levels of bulk buying with the different shopper segments -Buying in bulk (both in-store and online) -The use of comparison sites -Usage and awareness of digital voucher websites -Shoppers’ consideration of ‘Discount’ retailers -The shoppers’ understanding of who is actually pays for promotional activity in-store It further examines their current attitudes to spend, bulk buying, differing offers online/in-store, loyalty cards, price matching and EDLP

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An adequate amount of exercise and a balanced diet are the basis of maintaining a healthy body. Most shoppers have an idea of what a healthy diet consists of. Choosing and identifying the right products in a supermarket may however not always be as easy. Nutrition labelling and healthiness of food have again been discussed widely in the media this year. It is under debate whether food manufacturers should take more responsibility in helping shoppers make more informed choices, and if a single nutrition labelling system should be adopted. Making healthy choices however also depends on the attitudes and perceptions of shoppers. In our Health & Wellbeing 2012 report we explore shoppers’ attitudes to health and healthy eating, nutrition labels and how healthy shoppers are in their own opinion. We also provide an overview of the drivers of buying healthy products and present possible gender differences and examine how shoppers decide whether a product is healthy. To conclude the report, we look at shoppers’ perception of the cost of healthy foods and identify the importance of taste, price and healthiness when choosing products. Our Health & Wellbeing 2012 report covers the following topics: -Shoppers’ attitudes to health and healthy eating -How healthy shoppers are in their own opinion -What shoppers perceive as healthy eating -Shoppers’ understanding of healthiness of products -Exercise habits of shoppers -Special dietary requirements of shoppers -Drivers for buying healthy products -How shoppers decide whether a product is healthy -Shoppers’ perception of the cost of healthy foods and whether it’s worth paying more for -Price expectations of healthier options -Shoppers’ attitudes to healthy options -How shoppers choose different categories in relation to price, taste and healthiness overall and in different categories The report will also provide comparison with the results of our Health report from 2011 and highlight any possible development or changes in shoppers’ perceptions, attitudes and behaviour in relation to health and wellbeing.

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Following the economic downturn shoppers continue to try and find ways to save money where they can. This is re-fuelling the popularity of vouchers and coupons that now come in many forms. This report provides an understanding of what digital coupons and vouchers are, how they can be distributed and how shoppers use them. We identify how often shoppers redeem coupons and vouchers, whether they actively look for them and what kind of coupons or vouchers shoppers look for online. We explain how technology is affecting coupons and vouchers and how shoppers use it for finding coupons and vouchers and how technology is used for redemption. We also identify current smartphone penetration among primary food and grocery shoppers. We cover areas such as push and pull with smartphone vouchers, whether and how shoppers want offers sent to their smartphones. We also explore shopper perceptions on giving out personal information in order to get relevant offers and who shoppers would trust with their information. The report gives a detailed overview of smartphone coupons and vouchers, what possibilities they offer and whether shoppers want smartphone vouchers or offers by email. This report will: -Define digital coupons and vouchers are -Provide the latest view on how digital coupons and vouchers can be distributed and also how they are used in different countries. -Identify how shoppers use vouchers and coupons and how they find them. -Provide an overview of how new technology is affecting coupons and vouchers and how shoppers use it for finding coupons and vouchers and how it’s used for redemption. -Identify the smartphone penetration of UK shoppers and what activities smartphones are used for. -Highlight issues and concerns with digital coupons and vouchers and redeeming them. -Consider the concept of push and pull and which method do shoppers prefer in relation to receiving offers to a smartphone. -Give a detailed overview of smartphone coupons and vouchers, what possibilities they offer and whether shoppers want smartphone vouchers or offers by email. -Explain who shoppers would trust with enough personal information in order to receive offers that are relevant to them.

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Check out our Click & Collect 2012 report Sample extract. Introduction: Delivery charges and times are major barriers to online shopping. The Click and Collect service offers shoppers the benefits of online shopping with the addition of lower / no delivery fees. Allowing the shopper to control when the pick-up is made takes away the hassle of missing the delivery, and puts the shopper in control of the transaction. More importantly, in many cases delivery is free as it is shipped to the store. This report will: -Give you an understanding of the current Click & Collect offering in the UK and around the world. -Provide an overview of the current penetration of Click & Collect in both Food & Grocery and Non-grocery. -Identify the product types that shoppers are currently purchasing using Click & Collect. -Highlight the appeal of Click & Collect in Food & Grocery and its comparisons with standard online shopping. -Explore the locations which shoppers indicate to be their most convenient collection points when using Click & Collect. -Take a look at how much shoppers expect to pay for the Click & Collect service, and look at different collection locations and see if this has an impact on the cost perceptions. -Identify demographic differences in all of the above.

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Digital Shopper Marketing: The Shopper Perspective

1. Home On-the-go In-store

2. Benefits Engage with consumers as shoppers outside store Reach shoppers who use traditional media less Drive brand consideration and loyalty through targeted offers Capture shopper preferences and habit via opt in schemesImprove personalisation and reduce intrusiveness Improve response rate and ability to measure ROI Improve shopper involvement and use of loyalty schemes Influence shopping list and basket before the shopper enters the store

3. 0 10 20 30 40 50 60 70 80 90 Sell items Access the internet in the supermarket Purchase items Find the latest special offers and coupons Access a social network Find information about products Find out information about shops nearby Search for a particular shop or business Access the internet Text message %

4. 0 10 20 30 40 50 60 70 80 Product Information on Mobile Phone Scan to List With Mobile Location Based Mobile Coupons & Offers Scan to Basket With Mobile Mobile Coupons Mobile Loyalty Card App Mobile Price Comparison Mobile Price Check Mobile Loyalty Points Check Apps Mobile Phone Shopping List Apps On Pack Mobile SMS Competitions Mobile Online Grocery Shopping Web Ratings and Reviews Printable (Desktop PC) Shopping Lists Web Recipes & Meal Suggestions Web Price Comparison Web Coupons % Aware of and use Aware of and don't use

5. 0 10 20 30 40 50 60 70 80 Web Ratings and Reviews Mobile Online Grocery Shopping Product Information on Mobile Phone On Pack Mobile SMS Competitions Web Recipes & Meal Suggestions Mobile Coupons Scan to Online Basket With Mobile Printable (Desktop PC) Shopping Lists Mobile Phone Shopping List Apps Mobile Loyalty Points Check Apps Mobile Price Check Location Based Mobile Coupons & Offers Mobile Loyalty Card App Mobile Price Comparison Scan to List With Mobile Web Price Comparison Web Coupons % Appeal

6. High usage Low usage High appeal Low appeal Web coupons Web price comparison Web recipes & meal suggestions Printable (PC) shopping lists Web ratings & reviews Mobile online grocery shopping On pack mobile SMS competitions Mobile shopping listMobile price check Mobile price comparison Mobile coupons Mobile scanning to online basket Product info on mobile Short to long-term potentialMedium to longer-term potential Niche potential Short to medium-term potential

Digital Shopper Marketing: The Shopper Perspective

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