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10 Things your buyer hates about you

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10 MORE THINGS YOUR BUYER HATES ABOUT YOU

table of Contents

3 ... Foreword: the new world of retail

4 ... up close and personal with your buyer

5 ... Be a disruptor to make the cut

9 ... Use e-commerce as a testing ground

7 ... Make your omnichannel strategy seamless

11 ... Stay on top of social -we creep you too!

13 ... Stop boring us with stale promotions

15 ... have your finger on the pulse the industry

18 ... Know when to say “no!“

20 ... Be data-driven, not emotion-driven

22 ... Grab my attention at tradeshows

24 ... Get data lined up for line reviews

27 ... final words

3


foreword: The New World of Retail Technology is redefining not only how retailers operate but consumers’ expectations of what a retailer should be. The distinction between physical and digital shopping is becoming blurred, and customers are more empowered than ever before. Nimble new players are coming in and making their mark, while established brands are forced to innovate or die.

Above offering a unique and competitively priced product assortment, your retail success still hinges on building and maintaining a strong relationship with your buyer. But today’s retail buyers have changed along with the industry. Many are tech-savvy millennials, and above all else, they’re consumers too.

Last year we released Volume I of this e-book: 10 Things Your Buyer Hates About You. Back by popular demand, we’re excited to bring you 10 More Things Your Buyer Hates About You. It’s packed with even more blunders by product vendors and actionable tips from buyers across various industries. Our goal is to help you expertly navigate this exciting new world of retail, avoid common vendor mistakes, and have the best possible relationship with your buyer.

So what are you waiting for? Let’s dive right in.

https://www.askuity.com/10-things-your-buyer-hates-about-you/

Retail moves fast. I love that I can put a product or a price out in market and in two days know exactly if that was the right or wrong decision and then be able to course correct.

“

Why are buyers risk averse?In large corporate environments with lots of red tape and bureaucracy, buyers may find themselves afraid of taking risks, since it may backfire and stunt their career growth.

- Anonymous Buyer

4


Let’s start from the beginning. Why do buyers decide to become buyers?

We spoke to both current and former buyers, and across the board, they pointed to the entrepreneurial nature of the role that drew them in. The best buyers thrive in a fast-paced environment. To succeed, they must be creative, analytical, agile and collaborative.

Buyers have a soft side as well. Many of the buyers we spoke to mentioned how rewarding they find it to select brands and help them grow.

On the flip side, a buyer’s role doesn’t come without challenges.

It was evident from scheduling (and rescheduling) interview calls for this e-book, just how time-starved buyers are.

Their attention is split between managing numerous vendors and product categories, scoping out new products, and working with vendors to hit agressive sales and margin targets.

Luckily, brands have the ability to take back some control by monitoring their performance on an ongoing basis rather than fully depending on their buyer and planning team.

Ultimately, a buyer‘s goal is to serve their customer as best they can. Position yourself as a partner that will help them do this, and you’ll come out on top.

Up Close and Personal With Your Buyer

“If there‘s any new information coming out a line review, you‘re doing it wrong. That’s a lack of communication on your end.”

“

- Anonymous Buyer 1BE A

disruptor to make the cut

5


When I’m looking at products on a planogram and I can‘t really tell the difference at first glance, I know that will be even more confusing to customers.

“

- Anonymous Buyer

6


A good retailer always strives to make the shopping and selection experience easier for the consumer. One way to do this is to reduce decision overload and minimize product assortment. Some retailers call this “SKU optimization”.

To break through the clutter and get on shelf, you must have a differentiated brand and product line.

As a vendor, you need to make sure you’ve done your research. Talk to as many consumers who fit your target audience as possible. Really understand how your product is different from the others currently on shelf and why consumers would choose your product over a competitor’s.

“Vendors tell me that their product is different, but when I ask them if these reasons are important for consumers I can tell they aren’t always completely sure.”

Come armed with a data-backed business case for why your product should make the cut. Your plan should include your target customer, expected revenue and expected market share gain within 6 months of launch.

Buyers can be very hesitant, but planning ahead and building a contingency plan makes all the difference.

1. Be a Disruptor to Make The Cut


“

- Anonymous Buyer 2MAKE YOUR

omnichannel strategy seamless

7


I was talking to a vendor about omni-channel and he asked, ’Can we back up here? What‘s omnichannel?’ To me, that’s frustrating. How can I take him seriously now?“ “

- Anonymous Buyer

8


Omnichannel is a buzzword that’s often heard in the retail world. Most people think it simply refers to the relationship between ecommerce and brick and mortar, but there’s a lot more to it.

Omnichannel is a multichannel approach to retail that seeks to provide the customer with a seamless shopping experience across all touchpoints. It considers a variety of channels in a customer‘s shopping journey, starting with research before a purchase.

Channels include brick and mortar retail stores, online stores, mobile and app-based stores, telephone sales and any other method of transacting with a customer.

Seamless is the key word here. Whether a customer is buying online or in-store, they should be seeing complementary information, paying the same price and getting the same promotion across every touchpoint.

If your omnichannel strategy isn’t well thought out, it will trickle down to lost trust. When you evolve to a unified shopping experience, you’ll have happy and loyal customers. In fact, businesses that adopt omni-channel strategies achieve 91% greater year-over-year customer retention rates compared to businesses that don’t.

2. Make Your Omnichannel Strategy seamless

http://www.v12data.com/blog/25-amazing-omnichannel-statistics-every-marketer-should-know/




“

- Anonymous Buyer 3USE

e-commerce as a testing ground

9


“In this day and age there‘s only one way for brands to launch, and that‘s direct to consumer. Once you do it in brick and mortar, it‘s so much harder to be nimble and fix your mistakes. And you should make all your mistakes within your first six months to a year.

“

- Anonymous Buyer

10


Whether you’re an emerging or established brand, e-commerce is something you need to pay attention to.

Launching your brand or new product online makes sense because you won’t always get it right the first time. You want to get in front of customers and hear their feedback as early as possible.

E-commerce takes away much of the risk and ambiguity that comes with brick and mortar and helps you quickly get a pulse on your market.

With e-commerce, you’ll get a crash course on pricing, who your ideal consumer is, and how to reach them with the right marketing vehicles and messages. You’ll be able to build brand awareness more economically and pivot if required.

When you’re ready for physical retail, you’ll knock your buyer’s socks off with your learnings and understanding of the category.

3. Use e-Commerce as a Testing Ground

- Anonymous Buyer 4STAY ON TOP OF

social media we creep you too!

11


Five years ago if a brand were to tell me that they have 5,000 Instagram followers I would say ‘I don‘t care, that doesn‘t do anything for me or translate to in-store sales’. Today it’s a completely different story.

“

- Anonymous Buyer

12


A strong social media presence is more important than ever, especially for emerging brands.

Retailers intuitively know that people shop digitally before going into the store, and shopping trends support that intuition. According to industry research, as many as 88% of consumers are researching items online and then buying in a physical store.

That’s why having a loyal audience is so important. Seeing a lot of engagement and an impressive following can be the deciding factor in a buyer’s decision to take a chance on listing your product and helping you grow your brand.

As discussed, starting online makes the transition to brick and mortar more seamless. Brands who excel on social have a ready-made ‘tribe‘ that they can activate to go into stores once their brand is there or if they’re running an exciting promotion. And that‘s invaluable.

4. Stay on Top of Social. We Creep You Too!

https://www.thinkwithgoogle.com/articles/proof-online-ads-increase-offline-sales.html

https://www.thinkwithgoogle.com/articles/proof-online-ads-increase-offline-sales.html


“

- Anonymous Buyer 5STOP

boring us with stale promotions

13


Vendors would die for promo space but they don’t realize how much higher the bar is there. If you haven’t done your math to make sure that you can actually hit the financial goals your buyer has, you have no business chasing after that promo space.

“

- Anonymous Buyer

14


Each retail category has internal goals on sales dollars and units for promotions, and buyers need to have confidence that the thresholds will be met or exceeded in order to select your product. How do you gain that confidence? By bringing data to the table that is relevant to the promotion and buyer.

The information you present needs to outline your projections and expected performance of your product.

Additionally, be prepared to present a strong contingency plan for any leftover inventory once the promo period ends. Being able to confidently communicate this to the buyer not only secures more promotion spots, but also positions you for success with those promotions.

And be sure that you’re making the deal very attractive. Remember, price discounts aren’t the only option. Consumers (and buyers) get fatigued with the same boring “$X.00” off promotions. If it makes sense in your category, explore options like gift with purchase, buy one get one, buy two and get a gift card, etc. There are a number of different ways to create value that are more exciting than just simple dollar off discounting.

5. Stop Boring Us With Stale Promotions


“

- Anonymous Buyer 6HAVE YOUR FINGER ON

THE PULSE OF the industry & competition

15


It spoke volumes about the focus that vendor had on the business. From that point on I trusted that vendor.“

- Anonymous Buyer

- Anonymous Buyer

16


Most big-name retailers rotate their buyers through different categories every 18 months, affording brands the opportunity to be category experts. Naturally buyers will do everything they can to stay informed and on top of industry trends in your category, but you can’t expect them to know every detail about each SKU you make.

As you know, buyers are generally risk averse. When you take the time to help them understand the product, competition and industry, you’re making them more comfortable with making decisions faster.

One of the buyers we spoke to shared a great story. He had a vendor get a hold of him while on vacation - but rather than bother him, he gained his respect:

The vendor was concerned about the inventory level of a product before a promotion and was working with the retailer’s inventory team to sort everything out. The proactive communication allowed the buyer to take the information, pull the supply team together and rectify the issue ahead of the promotion. It ended up being a big win for both the retailer and brand.

6. Have Your finger on the Pulse of The Industry

““17

I particularly don’t like it when vendors badmouth

their competition. That’s not the way to do busi-

ness, it muddies the water and makes me question

what your motives are. Are you trying to grow your

business or hurt your competition? „

-Anonymous buyer



“

- Anonymous Buyer 7KNOW WHEN

to say

no!

18


I encourage vendors now to say ‘no’ when they don’t think they can do it. It’s not ‘no forever‘, it’s ‘no for now‘. Retail buyers will appreciate your honesty and also appreciate that you didn’t set their business up for risk. or failure.

“

- Anonymous Buyer

19


Here’s a piece of advice that might seem counterintuitive:

Sometimes the best thing you can do is say “No!” to your buyer.

As a brand manufacturer, getting your product into a big-name retailer is very exciting. You’ve been chasing the buyer for months, and suddenly you’ve got the green light. But before moving forward, it’s best to take a moment to ask yourself: are we truly ready?

Being very realistic with their capabilities and not over promising is something the buyers we interviewed wish more vendors did for them.

Timing, inventory, cash strain - these are just some of the reasons why a brand might not be ready for a big retail deal. Unfortunately, many are afraid of saying no.

Buyers will have more respect for you if you say ‘no’

and justify why.

7. Know When To Say “No!”


“

- Anonymous Buyer 8BE

data-driven, not emotion-driven

20


A lot of vendors get very, very defensive and personal. That’s not what the buyer is going for when giving feedback.

“

- Anonymous Buyer

- Anonymous Buyer

21


Buyer meetings don’t always go your way, and sometimes emotions can run high. One former buyer wanted to pass on this advice:

“Listen to the feedback. Don’t be stubborn. Don’t argue. If there’s something that can be addressed right there in a non-defensive manner, address it. But if you feel your blood pressure rising during a buyer meeting, simply take the information, say you’ll digest it and look further into it. Then, get off the phone or leave the meeting and regroup before speaking with the buyer again.“

You also need to remember that buyers are faced with numerous different brands and categories. When a vendor doesn’t come prepared with hard data, the buyer’s intuition has to take over. Numbers win over intuition every time, and allow you to present a balanced and logical case for your business.

8. Be Data-Driven, Not Emotion-Driven

You‘d be surprised to learn just how rare it is for vendors to come prepared with something other than ‘we think this is going to perform really well’. Always come to the table with numbers.

“


“

- Anonymous Buyer 9GRAB

my attention at tradeshows

22


Oh, I‘ve seen everything! One vendor didn’t have anything new or exciting to show, but they did have a bunch of ladies in little skirts running around their booth. That‘s not differentiation, that‘s really a waste of time in my opinion. I’m not going to get any value from that or grow my business.

“- Anonymous Buyer

23


Heading to a trade show? Good! It’s the perfect place to meet and impress buyers.

Buyers take the time to go to tradeshows because they‘re always on the hunt for the latest and greatest products for their categories. More important than snagging the perfect spot for your booth is demonstrating that you’re thinking about where your industry is going and innovating within it.

Whether it‘s a new product launch, packaging refresh or an exciting promotion, there should always be something that you‘re ‘unveiling’ to excite people to come to your booth. You don’t necessarily need to introduce a new product to capture a buyer‘s attention - you can show the benefit of an existing product in a different way that will spark ideas.

“Show me that you know what‘s trending, and cater your products to what the trend is going to be. Take the opportunity to educate me”

Trade shows offer a lot of advertising and sponsorship opportunities, but that’s not where you’re going to get the most ROI. Instead, keep your eyes peeled for awards that you can nominate your brand for. For example: business pitch events, product excellence, new product showcase, etc. There are thousands of exhibitors, and these short lists help buyers narrow down the booths they decide to visit.

9. Grab My Attention at Trade Shows


“

- Anonymous Buyer 10LINE UP

your data for line reviews

24


“If there‘s any new information coming out during a line review, you‘re doing it wrong. That’s a lack of communication on your end.”

“

- Anonymous Buyer

25


If you think a line review is a once-a-year thing, you’ve already lost.

When we asked buyers what makes for a bad line review, most buyers pointed to lack of communication throughout the year and an inability to be critical of product performance. Moreover, the vendor has a poor understanding of defining success, minimal recommendations for solutions going forward, and a lack of data to back up claims.

Successful brands, on the other hand, treat line reviews as an on-going process. They use every touchpoint with their buyer as an opportunity to demonstrate value and bring up anything that might become an issue. Being proactive demonstrates that you are invested in the retailer relationship.

The best vendors are able to be critical and concise on how targets were met or missed and transparent on the performance of SKUs. They communicate well before line reviews and keep buyers posted on opportunity areas and how individual SKUs are moving throughout the year. Their recommendations are supported with point-of-sale and market data whenever possible.

If a product does perform poorly, it’s not the end of the world. A prepared vendor is able to identify why this product did not perform well and they are armed with ideas for new assortments, promotions, and marketing initiatives.

10. Line Up your Data for Line Reviews

““26

I hate when vendors can’t be critical of their misses.

If a product performs poorly, don’t give me excuses

or promise that it’s going to turn around next year

without any data to back up that claim. Come to me

with numbers, solutions and recommendations. „

-Anonymous buyer


27


[Original] 10 Things Your Buyer Hates About You

POS Data Survey

How to Lose a Retailer in 10 Days

More eBooks!

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Contact Us Final WordsToday’s consumers are savvy and demand a consistent and flexible shopping experience. Successful brands understand how modern customers are shopping and buying, and tailor their strategies to work in the new world of retail.

As you learned throughout the e-book, this means that the onus is shifting to you - the vendor.

As a vendor, you should be defining buyer expectations, and exceeding them. Coming to the table and assuming that the buyer‘s expectations are much higher than they are is the right approach. Show that you‘re invested in a mutually beneficial relationship, and you‘ll win.

About the Author

Marsha Druker is a Marketing Manager at Askuity. She launched her career in the CPG industry, working on six different brands at Jarden (now Newell Brands). She‘s passionate about technology, startups and marketing.

About Askuity

Askuity’s industry-leading sales enablement platform empowers retail brands to turn point of sale data into profitable insights that help grow sales, improve margins and strengthen retail relationships.

Click here to learn how the Askuity platform can help you have the best possible relationship with your buyer.

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A special thank you to Vanessa Ting from Retail Path for taking the time to provide insights for this e-Book.

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