shopper in-zicht - trade marketing association · the store has become a medium and is crucial as...

Shopper in-zicht

The Shopper Decision Cycle®

1.The Reason

2.The Process

3.The Drivers

4.The Tools

Why a Shopper Marketing Model?

Retailer

Shopper"I buy it"

Brand Owner

Consumer"I use it"

Consumer behaviour is different from shopper behaviour

Shopper has become independent, well informed and less loyal

The Shopper is hard to be reached by media

• Measuring the instore decision making of shoppers;

• ±70% instore decision rate

The Store has become a medium and

is crucial as point of purchase

Why a Shopper marketing model?

1. Consumer behaviour is different from shopper behaviour

2. The Shopper has become independent, well informed and less

loyal

3. The Shopper is hard to be reached/to be influenced by media

4. The Store has become a medium and is crucial as point of

purchase

5. The Shopper as starting point is different for retailer,

manufacturer, POP-supplier and media consultant.

6. Shopper (marketing) buzz word / we need practical modeling

Goal …

More shoppers

Basket increase

To shop more often

Higher

expenditures

The Shopper Decision Cycle

1.The Reason

2.The Process

3.The Drivers

4.The Tools

The traditional decision process

• Like a funnel

• Does not reflect the actual process or how to influence it

• Need for more tools and currencies to measure effectiveness

• It does not include all parties involved.

PurchaseEvaluationInformationNeedAfter-Sales

Requirements for a new model

• Has to include all parties involved

• Has to include all retail sectors

• Has to include all types of shopper behavior

• Has to link with consumer behavior model(s)

• Has to be measurable

12

Shopper Decision Cycle®

Shopper

Experience

1

2

34 5

6

7

8

TRIGGER

Userexperience

Brand awarenessBrand attitude

Evoked set

Consumer

Experience

Bosma, Koelemeijer, Nauta & Oosterlee.September 2009

Buying intention Purchase

Shopper Decision Cycle®

Phase 1: Purchase intention

Description: Consumer has some urgency that has to be solved by

buying something.

Goal: Solving or filling in a need.

1

Phase 2: Shopping planning

Description: Consumer „plans‟ destination need and combines

this if appropriate with other shopping

Goal: Efficiency in shopping trips

Shopper Decision Cycle® 2

Phase 3: Channel decision

Description: Consumer decides on most appropriate retail type

Goal: Best channel to fulfill this specific need

Shopper Decision Cycle® 3

Phase 4: Format decision

Description: Consumer decides which banner to visit.

Goal: Best store for this specific need and shopping trip.

of It‟s

Shopper Decision Cycle® 4

18

The Instore Shopper Decision Cycle®

5. Searching

6. Finding

7. Considering

8. Purchasing

Phase 5: Searching

Description: Looking for the category in – store.

Goal: Time management

Shopper Decision Cycle® 5

Phase 6: Finding

Description: Attract attention / Create Impact

Goal: Do the attention points match with my need?

Shopper Decision Cycle®6

Phase 7: Considering

Description: Making up my mind; comparing; reading so I can take

my purchase decision.

Goal: This product / brand satisfies my needs.

Shopper Decision Cycle®

7

Phase 8: Purchasing

Description: Putting the product in the basket or arranges it to be

delivered.

Goal: Final decision satisfying needs.

Shopper Decision Cycle®8

Shopper Decision Cycle®

Shopper

Experience

1

2

34 5

6

7

8

TRIGGER

Userexperience

Brand awarenessBrand attitude

Evoked set

Consumer

Experience

Bosma, Koelemeijer, Nauta & Oosterlee.September 2009

Buying intention Purchase

The Shopper Decision Cycle

1.The Reason

2.The Process

3.The Drivers

4.The Tools

What are the drivers?

Shopper background

Knowledge:

•User experience

•Product knowledge

•Etc

Involvement:

•Category

•User

•Decision maker

•Etc.

Attitude

•Rational

•Emotional

•Etc.

Profile

•Demographic

•Psychographic

•Etc.

Impact on

Shopper

decision

Retail situationLocation:

•Proximity

•Competition

Etc

In store:

•Routing

•Easy to find

•Etc.

Attitude towards retailer

•Price perception

•Assortment perception

•Etc.

Other factors

•Friendly staff

•Parking

•Etc.

Impact on

Shopper

decision

Productcategory

Impact on

Shopper

decision

Market positioning

•Number of brands

•Market share

•Etc.

Involvement in process

•Low/High

•Cognitive/Affective

•Etc.

Attitude towards brand

•Price

•A-Brand versus Private Brand

•Etc

Other factors

•Service

•Environment

•Etc.

Other factors

Season

Holidays

Recession

Trends

Weather

Shopper Decision Cycle®

Shopper

Experience

1

2

34 5

6

7

8

Consumer

Experience

Shopper

background Retail

Product

categoryOther

factors

Bosma, Koelemeijer, Nauta & Oosterlee; September 2009

The Shopper Decision Cycle

1.The Reason

2.The Process

3.The Drivers

4.The Tools

So What?How to use the tools?

Depends on who asks

• Retailer

• Brand manufacturer

• POP-supplier

• Media consultant

TOOLS for the retailer

34

Insight in: To be explained by:

1. Buying intention

Urgency:

Out of money after the

holidays

2. Purchase planning Type of shopping trip (main)

3. Channel decision Evoked set of retail types

4. Format decision Evoked set of banners

35

Insight in: To be explained by:

Tools

Drivers for effectiveness are:

Location / Message / Design

5. Searching NavigateInstore Media Mix:

(lots of) Signing

6. Finding Informing

Instore Media Mix:

Gondola end

Shelfmaterials

7. Considering InspiringInstore Media Mix:

Instore Promotions

8. Purchase Activate ! Discount

TOOLS for the retailer

TOOLS for the brandmanufacturer

36

Insight in: To be explained by: Tools

1. Buying intentionUrgency:

out of shampoo

Product Strategy:

30% more content

2. Purchase planningType of shopping trip

(daily, main, solo)

MarCom:

Mass Media

3. Channel decision Evoked set of retail types

MarCom:

Mass Media

Trade marketing:

Door-To-Door folder

4. Format decision Evoked set of banners Distribution strategy

37

Insight in: To be explained by:

Tools

Drivers for effectiveness are:

Location / Message / Design

5. Searching NavigateInstore Media Mix:

Signing (mostly done by retailer)

6. Finding Informing

Instore Media Mix:

Packaging (!)

(Gondola end) displays

Shelf materials (?)

7. Considering Inspiring

Instore Media Mix:

Packaging

Sampling

8. Purchase Activate ! Message “25% gratis inhoud”

TOOLS for the brandmanufacturer

Tools for the pop supplier

38

Instore innovations

Service

Conversations with

retailers/manufacturers

Fulfillment

Tools for the media consultant

39

Linking outstore

with instore media

Measuring instore

effectiveness

Measuring

effectiveness

Validatie in de praktijk

• Vleeswaren

• Chocolade

• Bier

• Dierenvoeding

• Koek

• Maaltijdoplossingen

• Tijdschriften

• Bloemen en Planten

• Koffie en thee

• Snoep

• Vruchtensap

• Non food! (parfum)

• …en ….

WINE CASE

41

42

Technique: Focus groups

Purchase intention

Need something

nice for weekend

1

Source: Photo is fictive, rest based on real data by POPAI instore eye tracking research 09-2009

Purchase planning

Shopping list

When: Thursday

Combine: weekly and

weekend shopping

Needed items: Wine etc.

2

Channel decision

Super market

or

Wine

specialist

3

Format decisionDelhaize,

Aldi, Lidl en Colruyt

Delhaize

4

Searching 5

48

Impact Ratio•Actiedisplay: 23%•Tafeldisplay: 27%•Kopstelling: 38%•Schapmateriaal: 14%•Schapkaarten: 3%•Plafondkaarten: 2%

Also Engagement and Conversion Ratios

Effects of instore media on shopper behaviour

49

Definition of Terms

• Evoked set of brands and retailtypes and banners

• Analyses of shopping list / basket size and - content

• Buying intention versus actual purchase analyses

• The Instore Decision Rate

50

Comparison between planned and actual behaviour.shows the extent of planning

ENTRY EXIT

From 1 respondent to influencers

N=1 Population

Profile

=

Open for suggestions

= driver

= =

Developing tools

to influence

TOOLS for the retailer

52

Insight in: To be explained by:

1. Buying intentionUrgency:

Speciale gelegenheid

2. Purchase planning Type of shopping trip (main)

3. Channel decision Evoked set of retail types

4. Format decision Evoked set of banners

53

Insight in: To be explained by:

Tools

Drivers for effectiveness are:

Location / Message / Design

5. Searching Navigate Signing

Spandoeken

6. Finding Informing

Schappresentaties

Gondola displays

Semi permanente

displays

7. Deciding Inspiring Wijnproeverij

8. Purchase Activate ! Discount

TOOLS for the retailer

5+1

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