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AGENDA
WHAT IS SHOPPER RESEARCH? WHY DO WE NEED TO STUDY SHOPPERs ? DECOMPOSING SHOPPERS DECISION MAKING CASE OF HAND AND BODY LOTION HOW WE CONDUCT SHOPPER STUDY?
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The shopping process takes the consumer through several decision stages.
If I buy the cereal, I get Rs. 12 off on the Biscuits. Ill get those as well.
Biscuits purchased on impulse planned cereal purchase : brand leaped off the shelves and induced switching
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key to reaching shoppers lies in understanding that the auto-pilot mode does get disrupted
by external stimuli Shoppers move into the experimental mode your window of opportunity
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Source : Nielsen
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A CASE OF
HAND & BODY LOTION CATEGORY
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decode
shopping modality
discover
specific category dynamics
(compared to cross category norms)
uncover
channel
synergy
leverage
unseen channel potential
uncover
brand
synergy
unlock
unrealized brand opportunities
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decode
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INVOLVEMENT
super traction
slippery
Experimentalism : Do they shop on grab & go auto-pilot mode or do they experiment with different brands and engage in scrutiny shopping?
EXPERIMENTATION
Source : Nielsen
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INVOLVEMENT
Toothbrush
32.0
Hand & Body Lotion is a super slippery category must keep shoppers engaged or they can defect to other brands or stores
27.0
Body Wash
22.0
super traction
15 20 25 30 35
slippery
EXPERIMENTATION
40
Source : Nielsen
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Dont cut back on ad spend even if share trends are stable. If your consumers defect, it is an uphill battle to win them back.
Challenging to displace brand leaders. If you are the leader, avoid radical brand repositioning which may disrupt auto-pilot mode. Weaker competitors can make lots of noise but it will fall on deaf ears. super traction
While they dont care much about the category, they experiment. Price and promos can easily tip them over.
slippery
EXPERIMENTATION
Source : Nielsen
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impulse
purchase triggers
Hand & Vs In-store Body norm Lotion Diagnosis Checked prices 27 Shoppers of hand & body lotion Promotion 14 arespecial promotion On more impulsive, leaving 13 manufacturers and retailers 3 with Special display a chance to increase sales. 22 Pack-induced browsing Browsed through several 19 Read opportunity Thispack/ingredients is dependent 18 Attractive pack upon the level of shopper 5 Pack stood out 4 engagement with the product and New brand/variant 10 purchase activation Signage/poster 2 Out of stock 1 Pre-store Habitual same as usual 37 Recently advertised 6 Used coupon 13 Spouses preference 6 Kids preference 2 Friend/rel recommendation 3
Impulse purchase (decision to buy category taken in the store) : 27% If shoppers are engaged, opportunity for incremental sales
activation
New Product Activation : High Impact Promotion Activation : High Impact
Buzz Index
204
Source : Nielsen
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impulse
purchase triggers
Hand & In-store Body Lotion Diagnosis Checked prices 27 Due to Promotion consumers high 14 On special promotion involvement with the category, 13 Special display 3 they are highly tuned-into the Pack-induced browsing very much 22 category and are Browsed through several 19 aware of new products/ variants Read pack/ingredients and promotions that are 18 Attractive pack 5 introduced. Pack stood out 4 By manipulating these factorsNew brand/variant 10 with new, innovative Signage/poster 2 introductions and/ or attractive Out of stock promotions- manufacturers 1 and Pre-store retailers can achieve increased Habitual same as usual 37 sales as shoppers will continue Recently advertised 6 to coupon be engaged with the category. Used 13 Spouses preference 6 Kids preference 2 Friend/rel recommendation 3 Vs norm
Impulse purchase (decision to buy category taken in the store) : 27% If shoppers are engaged, opportunity for incremental sales
activation
New Product Activation : High Impact Promotion Activation : High Impact
Source : Nielsen
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impulse
purchase triggers
In-store Checked prices Promotion
On special promotion Special display
Diagnosis Impulse purchase (decision to buy category The key to taken in the store) : triggering 27%
If shoppers are engaged, opportunity lotion lies in grabbing for incremental sales
Pack-induced browsing
Browsed through several Read pack/ingredients Attractive pack Pack stood out
Attention is focused most ctivation heavily on reading packs and Newconsidering ingredients, so Product Activation : Highwe must clearly associate the Impact brand with consumers desired product Promotion Activation : attributes.
High Impact
The regular introduction of new brands/ variants, will generate Buzz Index buzz and interest 204 (indexed to personal care categories) thus among consumers, and fuel increased purchases.
Source : Nielsen
New brand/variant Signage/poster Out of stock Pre-store Habitual same as usual Recently advertised Used coupon Spouses preference Kids preference Friend/rel recommendation
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Promotional Activation
25
high impact
Liquid Hand Soap Toothpaste Body Wash Hand and Body Lotion
20
Bar Soap
15
low impact
6
11
16
Source : Nielsen
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50
45
35
30
Deodorant
25
Note: Outlier
20
Bar Soap
15
low impact
25 30
15
20
Source : Nielsen
INSIGHTS
The highly involved and experimental nature of shoppers makes it a precarious category that requires much attention on the part of manufacturers to keep consumers engaged. Shopper interest and purchase is peaked by new introductions, promotions, outside recommendations (buzz) and strong pack designs. Each of these marketing activities should support a strong product positioning that clearly identifies key, desirable product attributes, which, in turn, will encourage shopper engagement with the category and lead to incremental sales opportunities.
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decode
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11%
Uninvolved Auto-pilots
23%
Deal Seekers
17%
22%
Engaged Browsers
Source : Nielsen
27%
Discerning Auto-pilots
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Shopper engagement
uninvolved autopilots (23%) discerning autopilots (27%) engaged browsers (22%) deal seekers (17%) trendsetters (11%)
auto-pilot
experimental
Low involvement
High involvement
Med-High involvement
Med involvement
High involvement
No
Somewhat A lot
Somewhat
A whole lot
Low impulse
Med Impulse
High Impulse
Source : Nielsen
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auto-pilot
experimental
Spouse preference
Coupon
Coupon Advertising Friends recommendation Spouse preference Kids preference In-store promotion Visual pack appeal Read description New brand / variant Tested lotion on skin Smelled lotion Special display Merchandizing
pre-store
Read pack label Browsed several Smelled lotion New brand / variant
Source : Nielsen
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auto-pilot
channel $store Club Mass $store Entertainment Non-food Season change winter Needed a smaller bottle for travel / carrying in bag Had an urgent need for lotion at that moment and didnt have it Felt dissatisfied with the current lotion Grocery Pharmacy Special Offer Restock Season change winter
experimental
Pharmacy $ store Entertainment
shopper mission
Restock
Restock
Source : Nielsen
Replenish lotion stock at home Replenish lotion stock at office Someone at home requested it
Season change winter Pampering self Felt dissatisfied with the current lotion Saw a new lotion type
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auto-pilot Everyday non greasy Special Needs Special Needs Indulgent Therapeutic
therapeutic
decision rule segments
driven Therapeutic by rules focused on restorative and replenishment benefits
non-greasy
looking for an everyday lotion, vetoing on greasiness, consistency
naturals
driven by Special Needs rules focused on natural, gentle, nonartificial products
indulgent
decision rules focused on pampering and scent, other indulgences
special needs
more restrictive rules based on a special skin condition or need, reducing consideration set
Source : Nielsen
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auto-pilot
Non-greasy Special Needs Too expensive Special Needs Therapeutic Dont want one with fragrance Consistency is too thin / watery Not suitable for sensitive skin Previous bad experience Out of stock Someone in family liked it Indulgent Therapeutic
experimental
Indulgent Naturals Does not look like a premium product Looks like a prescription product Dont like the way it feels on the skin Dont like fragrance Previous bad experience Came up in conversation Recommendation Advertising Someone in family liked it Merchandizing Tried it at someones home / office Internet blog
veto rules
Too expensive
Source : Nielsen
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Assortment
uninvolved autopilots (23%) discerning autopilots (27%) engaged browsers (22%) deal seekers (17%) trendsetters (11%)
auto-pilot
brand Suave Private label Vaseline Lubriderm Gold Bond Cetaphil Suave Aveeno Olay Neutrogena Private label Dove
experimental
Dove Curel
fragrance
Fragrance Free
Fresh / clean Nuts & Spice Cocoa Butter Ultra healing Tanning Replenishing / nourishing Aroma therapy Travel Small Medium size Tube
Fruit Nuts& spice Herbal Fresh / clean Firming Skin smoothing Age defying Aroma therapy
size
variety
Large
pack
Tube
Source : Nielsen
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discerning auto-pilots
Steady revenue stream for more premium offerings. Not easily swayed by cheaper prices or promos in other stores
trendsetters
engaged browsers
Source : Nielsen
uncover
channel
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To re-stock my home
A routine shopping trip to buy items for TODAY To get an urgently needed item or two quickly To get readyto-eat items to eat/ drink right away or before I return home
A routine shopping trip to buy items for the NEXT DAY or TWO To get items needed for a MEAL that will be eaten today or tomorrow
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Pharmacy
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engaged browsers
trendsetters
uninvolved auto-pilots
deal seekers
Pharmacy Leverage trendsetters & deal seekers
discerning auto-pilots
Opportunity : Could attract engaged browsers by making the shopping experience more engaging
Pharmacy
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Grocery
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engaged browsers
Threat : deal seekers make channel profile vulnerable. They can switch channels if they find better deals elsewhere. Opportunity : Attract discerning auto-pilots on restocking mission to drive steady stream of profitable revenue. Attract engaged browsers / trendsetters by offering trendy products and making the shopping experience more engaging.
trendsetters
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uncover
brand
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Promotion activation
In-store Promotion activated choice
high impact
Dove
Jergens
Nivea
Eucerin
low impact
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HOW To DO IT ?
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TO SUM UP
A deep understanding of key shopper insights help managers to make brilliant use of all assets which shoppers see our brands, packages, equipment, merchandising, pricing and messaging which convert a shopper into a buyer
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