Showing posts with label walmart. Show all posts
Showing posts with label walmart. Show all posts

Tuesday, July 5, 2011

Back-to-School is second to holidays in spending, according to working parents. And kick off begins right after July 4th


We talked about that funny Staples ad in our last post. The ad made an analogy on behalf of parents that back-to-school was akin to Christmas as Andy Williams croons "It's the most wonderful time of the year." Interestingly, there are a few other things the back-to-school shopping season has in common with the holiday season: Increased spending and changes in typical shopping patterns.

Our working parents told us that back-to-school is the second most expensive shopping trip of the year next to the holidays. Between new backpacks, clothes, lunchboxes, shoes and replenishing basics like underwear and socks, parents said they have an exhaustive array of items on their shopping list. However, parents aren't just buying for their kids. Our working parents told us that due to slashed teacher budgets, they put items like hand sanitizer, tissue and dry erase markers on the shopping list too.

And the kick off to the back-to-school season begins just as the celebration of our country ends.

Why so early? Parents told us that retailers start advertising their back-to-school sales "All of a sudden Target and Staples and all those start making [back-to-school] the top of their flyer" said one working mom. Parents also said that they do more browsing in the beginning of the season, and will only purchase when the deal is too good to pass up.

Back to school changes normal shopping behavior
Our parents said they peruse store fliers and circulars just as they do during the holidays, but weekly shopping behaviors are expanded while heavier price comparisons begin. They'll visit stores outside of their normal routine, too. "It's when I start comparing and that's when I might actually make the trip to Meijer or Big Lots or somewhere that I don't normally frequent" said a mother of two. This year, we think that lower gas prices will increase the likelihood of parents shopping outside of their normal footprint too.

Fill 'er up, and let the shopping begin!

photo credit: Flickr/emilyonasunday

Thursday, June 9, 2011

The Rise of Shopper Marketing, or How I Learned to Pay Attention to the Shopper, Not Just the Consumer


Here at SBC Advertising, we've been doing some thinking about Shopper Marketing, an emerging discipline that is becoming increasingly more important for retailers.


What is Shopper Marketing, you ask?

Essentially, it studies, targets and caters to the shopper, and, more importantly, seeks to understand how individuals act when they're actually in the store or on the website making a purchase. While this may sound like the same thing as traditional consumer research, it is in fact as different as night and day.

For example, when asked during consumer research, an individual may tell you they prefer a certain brand and are loyal to a fault. But when the shopper gets into the store, it can be a different story. That loyal consumer suddenly decides to buy a competing product. What happened?

Shopper Marketing will tell you that the decision was, in fact, not sudden at all. Identifying what influences and drives a sale when a consumer becomes a shopper is what shopper marketing is all about.

Does a shopper just want to get in and get out? Is a shopper looking for the best value? Is a shopper trying to find the lowest price? Understanding these purchasing drivers is the key to driving growth. It's so important, in fact, that many of the world's largest consumer products companies are spending time and money to delve into the issue. InStoreMarketer.org reports that, for the last year a group of leading retail and industry supporters have been working together on the Retail Commission on Shopper Marketing. The commission has tasked itself with the goal of developing a blueprint for Shopper Marketing best practices. Industry-leading retailers Campbell Soup Co., Coca-Cola Co., Giant Eagle, Kellogg Co. and Walmart, among many others, signed on to be a part of this effort.

Meanwhile, according to a study from the Grocery Manufacturers Association, 83% of consumer package goods companies surveyed expect to increase their shopper-marketing investment over the next three years, while 55% of those companies expect their investment in shopper marketing will exceed all other marketing spending, including Internet and social media.

At SBC, we believe that while delving into shopper marketing is valuable, it's important to realize that consumers aren't as easy to influence as they used to be, at the store level or elsewhere. They are much savvier and they have access to instant information about goods and services they purchase because of the indispensable smart phone. As a result, spur-of-the moment purchase decisions have decreased in frequency. That's why it's important to engage shoppers on a regular basis, in places or scenarios where they are progressing down the path from consumer to shopper.

Today a well-crafted marketing plan will not only cover shopper marketing but include mobile as a key component of the plan as cell phones, especially smart phones, and now tablets have increasingly become a source of easily accessible information for consumers and shoppers.

Image: Ambro/freedigitalphotos.net

Sources: 
Shopper Marketing: Racing Along the Path to Purchase, Advertising Age, 2010 
Retail Commission: A "Road Map" to Shopper Marketing, InStoreMarketer.Org, February 2010 (registration required)     

Monday, July 27, 2009

Walmart's bold move: scoring a product's environmental impact

Walmart recently unveiled a plan to determine the social and environmental impact of every product they sell. Through the implementation of a product indexing system, consumers will be able to evaluate a product's impact on the environment. The retail giant has already assembled a team of experts (including members of the Environmental Defense Fund) who will be charged with formulating the index.

Walmart's recent efforts on the environmental front are no doubt impressive. When they introduced compact florescent light bulbs in their stores, they made a big statement about their environmental priorities. The move to create a system that scores a product's sustainability has the potential to not only affect how manufacturers make their products, but also how other retailers classify them.

This initiative could mean big changes for the future of retail as we know it.

[image via the chic ecologist]