shopper marketing and the use of virtual · pdf filea 2008 study conducted by deloitte...

14TH ANNUALTECHNOLOGY

CONFERENCE

Shopper Marketing and the Use

of Virtual Simulations

Just What Is

Shopper Marketing?

Shopper

Marketing

Ten years ago, who

had heard the term

“shopper marketing?”

What has driven

this explosive

growth?

That was then

This is now

Marketing with in-store initiatives, or

“shopper marketing,” to close the deal.

A 2008 study conducted

by Deloitte Consulting for

the Grocery Marketing Association reports

explosive growth in

shopper marketing

budgets.

Implications for Market

Research

As marketers invest more and more in

shopper marketing strategies, they are

also investing more in “shopper insights”

to support the initiatives.

Virtual

Shopping

Consumer Marketing

“In Store”

Shopper

Marketing

- Product Development

- Pricing

- Packaging

- Media

- Store Layout

- Fixtures

- Promotions

- Assortment

- POG’s

The In-Store Marketing Institute published a white paper in January 2009:

“Shaping Retail: The Use of Virtual Store Simulations in Marketing Research and Beyond.”

Virtual Shopping

Demo

Creating Successful Research

Using Virtual Shopping

SKU

Rational-

ization

Pricing

Shopper Insightsat the Aisle withVirtual Shopping

Promotion

Testing

Package

TestingShelf

Arrange-

ment

New

ProductIntro

PURPOSE What is the optimal POS for PepsiCo in a c-store?

Virtual shopping trip began outside at the pump.

Respondents then proceeded through the store

where they could shop multiple categories. A variety of POS material Themes and Locations

were tested.

PAYOFF Theme has less impact on sales than Location

&

Virtual Shopping Case Study –

POS Testing

PROCESS

Where should family size bags be located?PURPOSE

Respondents participated in an online virtual

shopping trip testing a variety of shelf placement

and in-store sales strategies.

PAYOFF Leading the aisle with family size bags resulted in

double-digit sales increase.

Virtual Shopping Case Study – Aisle Layout

PROCESS

&

Identify optimal assortment and pricing strategy for the ketchup category.

PURPOSE

Through a virtual shopping exercise, we were able

to see the impact of price and assortment

changes in the ketchup category.

PAYOFF

The resulting assortment/pricing was a

Win for the Shopper, the Retailer and

Heinz. Ease of shopping the category

increased, category sales increased

as well as brand sales.

PROCESS

&

Virtual Shopping Case Study – SKU

Optimization & Pricing

Kellogg’s needed to identify the winning package

and set expectations within company on sales

impact. PURPOSE

PAYOFFThough we saw no great difference in sales

among the package designs tested, one stood

out in enhancing perceptions of product – taste,

health, etc.

PROCESS

&

Virtual Shopping Case Study – Packaging

Kellogg’s tested several alternative packaging

treatments in a virtual shopping test with hot spot

analysis for additional diagnostics on packaging

elements.

What should you look for in

a research partner?

Focus on research vs. technology

Assess the vendor's research

acumen

Does research drive the

technology?

Fuse disciplines

together

Members:

2006 Winner: AMA EXPLOR Awardfor Marketing Research Innovations

Virtual Ethnography: Predicting and Understanding Shopping Behavior (in hyper-drive)

Cathy AllinPresident and CEOcathya@decisioninsight.com

(816) 221-0445, ext. 235

Alex Sodek

Senior Vice Presidentalexs@decisioninsight.com

(816) 221-0445, ext. 232

CEO Cathy Allin has been chosen as a finalist for the 2009 Ernst & Young's Entrepreneur Of The Year® Award.

Shopper marketing is more than

simply a promotional display.

Today, there is

an alternative:

virtual shopping

platforms.