Welcome to Day 4 of Shopper Insights in Action 2010!
Welcome to our fourth and final day of coverage at Shopper Insights in Action 2010. This week we’ve heard from amazing speakers who challenged us with the next best practices and fueled us to create what’s next for retail innovation. But there’s so much more to come!
Our team’s coverage continues today as we share in the twitter discussion at #Shopper360. We encourage you to take a look at our coverage from the conference.
Have a great time today!
Cheers,
The Shopper Insights in Action Event Team
Where Do Your Eyes Go?
Are you enjoying these sessions as much as I am? I’ve learned quite a bit so again, a big thanks to IIR and Shopper Insights in Action!
After lunch, I listened to Herb Sorenson and Jacob Suher present The Path of the Eye in Shopping and Purchasing. It was a fascinating discussion of how our biological framework can be a help and a hindrance to our shopping. As I was listening to their comments, I remembered yesterday’s keynote by Mark Changizi so I will try to bring in some of his comments here as well.
This presentation showed us through a practical video example that the current aisle setup and merchandising creates clutter which forces the shopper to filter through the choices to eliminate what they don’t want in order to focus on and select what they do want. The video showed us that while our torso and our feet move, our point of focus does not move. This rather reminded me of the hand exercise in yesterday’s keynote. If you recall, when we blocked one open eye with a hand, that hand became semi transparent.
Sorenson and Suher’s research showed that if the shopping times were quicker, then the basket sizes grow larger. A few approaches to minimizing shopping time include reducing the number of SKUs and also laying out products horizonally instead of vertically. In other words, if you maximize shopper efficiency, the time you give back to the shopper will be rewarded with larger baskets and increased loyalty.
What’s interesting here (and what I couldn’t ask because Q&A time was over) was that WalMart lost sales and customers because they minimized SKUs. I wish I could understand how and why WalMart’s practical example differs from the research findings. Furthermore, Changizi’s comments yesterday suggested more depth than breadth when it comes to displays/merchandising which is also different from the recommendation here. It would be good to know where and how these findings fit in with one another.
Another question I had was typical big box/warehouse stores typically are longer shopper times (not shorter) with inefficient layouts. Why and how is it that it’s impossible to walk out of Costco, Target or WalMart having spent more than you intended if the trip is long (especially taking checkout into consideration)?
I know there are good answers to these basic question? Were you in the session with me? What would you add?
Parissa Behnia
Idea Chef
678 Partners
Coca-Cola’s Cappy Juice Success
What an amazing presentation today by The Coca-Cola Company! Jessica Ellickson took us through the journey through Coca-Cola’s juice brand, Cappy Juice. Popular in Turkey, Coca-Cola wanted to revamp the image of Cappy Juice and to make it the #1 choice for Mom’s and kids in the country. Coca-Cola partnered with popular grocery retailer Migros, who was thrilled to partner with the company. Coca-Cola and Migros started an intensive shopper research study that looked at who, why and when shoppers reach for juice and how Coca-Cola and Migros could get those shoppers to purchase Cappy Juice first.
The roadmap that they followed went as follows: 1. Identify opportunity 2. Gather insights 3. Generate ideas 4. Action in market
1. Identify opportunity:
Coca-Cola saw that the opportunity existed to increase sales and recognition with the Cappy Juice brand. The company made an executive decision to focus on one channel to grow the brand, grocery stores.
2. Gather insights:
Ellickson said that Coca-Cola almost has too much data to worth with – so how do they decide which data to use? They decided to focus on who is the shopper of this brand and how do they use the brand. At this point in the roadmap, Coca-Cola decided to focus on Eye Tracking, Shop-Alongs, Shopper Intercepts, In-store observation, shopper segmentation – all to discover how to make the package more shopable.
Here is a brief overview of what they discovered:
Who’s the shopper?
Female, shopping for juice for self/children
Fill-in mission: 55% of supermarket trips, 60% of value
Females spent 16 min in the store vs. 13 min of store time for Men
40% juice purchase in store
70% bakery items
What do they like?
90% want variety
85% like to browse
60% like product tasting
Coca-Cola discovered that 100% naturalness is most important purchase criteria for juice
3. Generate Ideas
Migros & Coke work to prioritze and create actionable solutions together. They implemented breakouts in teams of four to understand and generate ideas. After brainstorming and working together they came up with the winning idea: “Welcome to Cappy Orchard”- A return to nature so you can pick the best Cappy “from a tree.” Juice fountains provided free samples to customers.
4. Action in market
Coca-Cola and Migros created an in-store landscape that allowed the customers to try the product and experience juice in a completely new way. Taking the brand outside the juice aisle and near to the baked goods, they were able to increase sales and boast brand health scores at the highest level that they’d been for the Cappy Juice brand.
We’d love to hear your thoughts on the presentation. This was such a popular presentation that we ran it twice for attendees!
Duane Reade’s Transformation
Of course I saw the transformation of Duane Reade, who could miss it? The store went from being a discombobulated array of items (not unlike most NY apartments), to a clean, well organized space. Filled with light and wide aisles, the new store is a welcome change from whatever it was that Duane Reade used to be. So what happened? How did “the DR” go from ugly duckling to swan? I and other New Yorkers can thank Joe Jackman and his team for that.
Today Jackman showed is the transformation, from a whisper to a big voice. We learned that the retailer wanted to become a brand, to connect with New Yorkers and to be THE corner store for the five Burroughs. Jackman discussed the original backlash from New Yorkers when they found out that Walgreens had purchased the retailer; but that that attitude has shifted, thanks to good publicity by The New York Times and New York Magazine.
Something that I had not considered was that Duane Reade’s new branding is black and white; not red, white and blue like other pharmacies and corner retailers. Thinking about this color scheme (or hue scheme, really), we see that its visually clear, it’s black and white, that this is the brand this is the New York brand. The in-store experience was paramount to the transformation by Duane Reade. The implementation of clean, white space, wide aisles and cheeky signage helped the brand to further connect with their audience. Duane Reade has also implemented fresh convenience food, to serve a hungry New Yorker, faster than their ubiquitous minute.
So what’s next for Duane Reade? They will continue to roll out fresh, clean spaces for New Yorkers and give them the option to simply shop – and maybe have a little fun.
Mark Changizi’s Alien Vision Revolution
Hello!
This is my first post for Shopper Insights in Action! It’s a pleasure to share my takeaways with you!
This morning, Mark Changizi’s keynote blew me away and I’m sure those in the audience would agree with me! He told us at the outset that once we understand what our perceptions are about, it can change applications of how we package and present product to the consumer. In effect, we can better steer the consumer once we understand how they “see” items in a retail environment.
Changizi’s comments covered three things: color, forward facing eyes and illusion and gave us implications for packaging and display based on what he’s discovered in his research as a cognitive neuroscientist.
Color: Interestingly, we learned today that as our sense of smell diminished during evolution, our sense of discerning color has improved. Color affects our emotions, our moods and our health. Consequently, color has significant impact on how we perceive packaging, displays, marketing — basically anything with color that touches a product will impact our perceptions of it. So, it’s not something that we can take lightly.
Forward Facing Eyes. Humans have forward facing eyes whereas many other mammals don’t. The audience went through an interesting exercise of covering one eye (while still open) with one hand. What happened wasn’t half sight. Rather, it was the “perception” that the hand covering our eye was semi transparent so that we could still “see” with both eyes. Hard to believe at first but wildly interesting concept. What this means is that we can handle depth of what Changizi calls “clutter” versus breadth of clutter. If we consider how our grocery aisles are set up today, they are not set up for forward facing eyes… Maybe this calls for a shift for how aisles and shelves are build and products are displayed?
Illusion. We learned today that our vision isn’t bad so much as our brains are slow in processing certain types of graphics. We saw a number of different graphic designs that “appeared’ curved or even bulging but actually weren’t. These type of graphical stimuli are ideal objects to put on our packaging and our displays. Though they are static images, they will be dynamically perceived. Our eyes will be attracted to it and because our brains are slow in processing what we see, we’ll become even more attracted — almost like a loop of sorts.
All in all – very positive, thought provoking approach to how we can use our unique qualities and apply them to packaging and display. I’d like to hear your thoughts? Please send me an email at
678Partners@gmail.com or let’s tweet chat. I’m @parissab! I’ll be writing more posts about the other sessions I attended today. Stay tuned!
Best,
Parissa Behnia
Idea Chef
678 Partners
Live coverage of Shopper Insights in Action starts Monday!
The final preparations are being made and we’re headed to Chicago for the 10th Annual Shopper Insights in Action! We will be live blogging, Tweeting and updating our Flickr page from the event. Tag your tweets with #shopper360 to join in on the conversation!
I’m Melissa Sundaram, Online Producer for the event and this is my second year attending Shopper Insights. I’ve had the pleasure of meeting and e-meeting many of you before the event and I look forward to connecting with you next week. Although I handle the online components of the event, I’m always available to help you while on-site.
This year we have set up a few extras for our speakers and attendees:
Speakers – Thank you to those of you who agreed to be interviewed as part of our Speaker Interview Series! We are thrilled to meet each of you in person and we look forward to hearing more about you and your work. Don’t forget – stop by the registration desk and an event staff member will direct you to our interview location.
Attendees – If you’re a First Timer or Shopper Insights in Action Veteran, we want to hear your feedback in a video interview. Let us know about you, your work and what you’ve learned this year at the event. Our on-site coverage team will be available for interviews during the All-Star Party on Tuesday night and in some of our networking sessions. Email me or send a DM on Twitter if you’d like to be interviewed.
Although we will do our best to cover the event, it doesn’t match the amazing on-site experience. It’s not too late to register and we welcome walk-in registrations! For event details including the agenda, location and registration info please visit our website.
I want to send a big “Thank You” in advance to our guest bloggers, Larry McMannis of ThinkWay Strategies and Parissa Behnia of 678 Partners for joining us this year!
Shopper Insights in Action 2010 is set to be our best year ever.
I look forward to seeing you in Chicago!
Join us NEXT WEEK for Shopper Insights in Action 2010!
Registration is still open for the 10th annual Shopper Insights in Action conference. This year, the Shopper Insights in Action Conference already has over 400+ registered to attend, with over 70% from client-side companies. With over 50+ educational sessions, and networking activities galore, this is the industry’s “must attend event” to make sense of the new shopping economy.
Shopper Insights in Action
July 11 – 14, 2010
Marriott Downtown Magnificent Mile – Chicago
Learn more about the conference, download the brochure and register by visiting the links below.
Event: http://bit.ly/SIA_2010_Chicago
Brochure: http://bit.ly/SIA_Brochure_Chicago
Register today: http://bit.ly/SIA_Registration_Chicago
- Save 20% off the standard rate when you mention SHOPLINK1
We look forward to meeting you in Chicago!
Cheers,
Shopper Insights in Action Event Team
CMSI LinkedIn Group Management
Walgreens to test fresh food sales in Fall 2010
The Wall Street Journal reports that Walgreens will be conducting a test of chilled foods at up to 12 stores this fall in a bid to become a bigger player in the growing fresh food sector.
Walgreen spokeswoman Tiffani Washington confirmed the test and said the fresh food initiative could help the drugstore chain be eventually seen as “destination for tonight’s meal.”
Washington said Walgreen may sell sandwiches, fresh cut fruit, soups and wraps.
While she said the test would be limited to 12 stores, several people familiar with the matter said the test is likely occurring in about 50 locations in September in the Chicago area.
Walgreens also completed its acquisition of New York City drugstore chain Duane Reade in April, which is partly known for its efforts in fresh food. Washington said while Walgreen was thinking about a fresh food before it acquired Duane Reade, it will take some “learnings” from the chain and likely apply them to Walgreen stores.
Find out more about the innovations at Walgreens by attending Shopper Insights in Action 2010, July 11-14 in Chicago. Chief Marketing Officer of Duane Reade, a Walgreens company, Joe Jackman will present, “Retail Relevancy: The Result with Insights Drive Innovation” at 10:30am on Tuesday, July 13.
Prescription for CPG Growth? Shopper Marketing
We encourage you to check out Robert Holston’s article “A Prescription for Resuscitating Growth for CPG Companies” in AdAge. Mark offers sustainable ways that CPGs can increase growth and reconnect with the shopper.
Here’s an excerpt:
“The past five years has seen a refocus on the store as fertile ground for brand marketers with the advent of shopper marketing and the ability to leverage new insights and develop much more customized programs for customers. While the clear economic benefits from shopper marketing have been elusive for many, the true value of the past five years of the shopper-marketing craze just might be the mind-set change it has brought to CPG manufacturers in helping them migrate away from mass-market brand and execution.”
Holston also offers that CMOs eager to achieve the perfect store should consider the following approach:
- Create a shopper-centric segmentation model
- Integrate both consumer and shopper understanding.
- Conduct economic modeling
- Plan for scale implementation
- Plan collaboratively
- Monitor and evaluate
Knowing the research that’s been done on shopper behavior and shopper marketing, do you see a place for Holston’s strategy in your company’s approach? We’d like to hear your thoughts.
Free Webinar – Emotional Marketing- The New Rules of Engagement
Emotional Marketing- The New Rules of Engagement
Join us for a Complimentary Webinar on June 30
2:00 – 3:00PM EST
—————————
Space is limited.
Reserve your Webinar seat now at:
https://www1.gotomeeting.com/register/224085977
Priority code: M2115W1BLOG
Words are the most powerful force on earth, as the greatest moments in history and advertising have been captured by words. Words can be electric if chosen correctly, so when you use them to advertise your products, services and brands make them come to life by igniting people’s hearts in order to light up their minds. Neurologists agree that what we hear is retained for 5 seconds and what we see is retained for 1 second.. why then do we continue to focus on visual stimulus when we should be engaging a greater part of your consumers brain. If you want to be unforgettable learn to engage all your consumers’ senses. Do your customers wait on the sidelines for the next promotion or is their loyalty dictated by how you make them feel.
Marketers today face unprecedented challenges with respect to gaining the consumer’s attention due to the emergence and convergence of technology. Consumers today are constantly bombarded with messages from companies trying to gain share of their hearts through effective advertising. One of the biggest questions that I have is why marketers insist on answering questions in their ads that none of their customers are asking. Consumers today are struggling with the current economy and as a result are constantly looking for escape. Too often marketing messages are focused on a product feature or attribute with little relevance to the consumer.
There is a sea of change brewing in the advertising industry triggered by an explosion in digital media. These changes have resulted in tremendous upheavals in traditional advertising and marketing. Historically, television commercials were the medium of choice and a favored way of promoting products and services. Companies spent staggering amounts of their marketing budget on commercials hoping to get the attention of that all illusive consumer.
Does your message or advertisements speak to their mind or heart? Will you win by logic or emotion?
“A man convinced against his will is unconvinced still,” Pastor Phil Johnson
What you will learn:
- Learn to leverage new consumer insights to create promotions beyond price
- Learn the 5 critical success factors for effective marketing in a sea of choice
- Gain a greater share of heart with emotional marketing designed to engage the senses
- Understand new consumer models and buying behavior and the impact of somatic markers
- Sustainability and Social responsibility is only he beginning , survival will depend on your ability to remain relevant for a greater share of heart
- We understand why consumers buy now we need to understand why consumers lie – learn what really drives consumer decision making
About the Presenter:
Inez Blackburn
President of Market Techniques & Innovations, Inc.
Inez Blackburn is a globally recognized speaker, industry leader, innovator, and pioneer in launching global brands with over 25 years experience. She has worked with many Fortune 500 companies and led numerous executives through her Positioned for Profit Seminars and Marketing to the Max Workshops. She has been on the Dean’s list for excellence in teaching for 10 years and is a featured trainer at numerous executive events. Inez is President of Market Techniques & Innovations, Inc. and an adjunct professor at the University of Toronto, Wright State University, and S.P. Jain University in Singapore and Dubai, as well as a featured instructor at Pennsylvania State University. She previously served as Vice President of Marketing for Cott Corporation, where she was responsible for developing and launching global private label brands for major retailers in Canada, the United States, and Europe.
She has held management positions in marketing, trade marketing, and category management for Robin Hood Multifoods, Nabisco, and Red Lobster. She has worked extensively with major corporations and has played a pivotal role in implementing customer-centric strategic plans, marketing best practices, and balanced performance metrics. She also teaches companies how to leverage the power of collaboration for a sustainable competitive advantage.
Inez’s seminars, workshops, and customized certification programs include The Evolution of Category Management, Demand Forecasting, Category Development, Supply Chain Management, Marketing Best Practices—The Art of War, Marketing Strategy, and How to Implement a Balanced Approach to Performance.
