21/11/11 Deloitte | Demand for In-Store Deals has Diminished, Shoppers Expect Discounted Prices: Deloitte …

1/2deloitte.com/print/en_US/us/press/…/854e92a19d2a3310VgnVCM3000001c56f00aRCRD.htm

Demand for In-Store Deals has Diminished, ShoppersExpect Discounted Prices: Deloitte Survey

Savvy consumers research brands and prices before heading into stores

NEW YORK, Nov. 15, 2011 — Excitement over unexpected in-store deals has diminished as discounted pricesbecome an anticipated part of the consumer products shopping experience, according to the Deloitte/HarrisonGroup annual American Pantry Survey.

For nearly one-third (30 percent) of consumers, at least seven of 10 items in their shopping cart is discounted. Additionally, 80 percent of them say they do their own research and have a pre-determined price point and apotential savings amount in mind before they step into a store. Furthermore, two-thirds (66 percent) ofconsumers shop when they know products will be on sale.

“Shoppers today expect to get a deal on the products they purchase,” said Pat Conroy, vice chairman, DeloitteLLP and consumer products sector leader . “With this mindset it is critical that consumer products companiestake measures to enhance brand loyalty by connecting early and often with key audiences in environmentsoutside of the store.”

Smarter, efficient shoppers focus on consumer product purchases

Three-quarters (75 percent) of survey respondents assert that that they are smarter shoppers than they were ayear ago, and nearly nine in 10 (86 percent) believe they are getting more precise in what they buy. Additionally,eight in 10 (80 percent) consumers say they have become more efficient at getting in and out of the store in2011.

“Smarter shoppers know what they want, and how to get it for the best price,” said Conroy. “As they becomemore efficient – while the consumer products industry increasingly faces a ‘crisis of similar’ – companies lookingto thrive must find ways to differentiate themselves from their competition.”

Before entering the store, shoppers know shat they’re buying

Nine in 10 shoppers know what they’re buying before they arrive at a store, and more than eight in 10 (83percent) have a set of brands in mind that they will consider. Moreover, eight in 10 (80 percent) shoppersindicate that the recession has caused them to realize what brands they care about and which ones they don’t.

“Companies should have a conversation with shoppers prior to the time of purchase,” said Conroy. “With theproliferation of online shopping, smartphones and social networking, it’s vital that consumer product companiesconsider the use of highly targeted pre-store shopper engagement programs, which could include constantcommunication through new technology mediums.”

Private label and store brands increasingly “been there, done that” for shoppers

Nearly one-half (49 percent) of shoppers say they are no longer interested in trying private labels or storebrands. Furthermore, nine in 10 (90 percent) shoppers assert that they have already figured out which storebrands and private labels work for their families – and which ones do not – while nearly the same amount (88percent) of consumers claim they have established which store brands and private labels are good, and whichones are not.

About the Survey

Print this page | Close window

21/11/11 Deloitte | Demand for In-Store Deals has Diminished, Shoppers Expect Discounted Prices: Deloitte …

2/2deloitte.com/print/en_US/us/press/…/854e92a19d2a3310VgnVCM3000001c56f00aRCRD.htm

The 2011 American Pantry Study was conducted by Deloitte and Harrison Group. The survey polled 4,086household shoppers and food preparers in the U.S. from October 6 to October 21, 2011 and has a margin oferror of plus or minus 1.5 percentage points.

About Harrison Group

Harrison Group is a leading market research and strategy consulting firm headquartered in Waterbury,Connecticut. Along with expertise in consumer packaged goods, Harrison Group specializes in the wealth andaffluent markets, and the media, financial management and interactive entertainment markets. The firm‘scornerstone is providing sophisticated market strategy, market analytics and survey and forecasting services.www.harrisongroupinc.com.

As used in this document, ‘Deloitte’ means Deloitte LLP (and its subsidiaries). Please see www.deloitte.com/us/about for a detailed description ofthe legal structure of Deloitte LLP and its subsidiaries. Certain services may not be available to attest clients under the rules and regulations ofpublic accounting.

Legal Privacy Site map Security Copyright © 2011 Deloitte Development LLC. All rights reserved.36 USC 220506

RSS