Shopper Insights

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Key insights about the in-store & out-of- store shopping behavior. From Shopper Marketing 3.0 Study by GMA, Shespeaks & Booz & Co. February 3, 2010

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This is a quick snapshot of a very comprehensive study conducted by GMA, Shespeaks & Booz & Co. titled Shopper Marketing: Unleashing the next wave of value. It is a pretty insightful study. Hope this quick snapshot version helps

Transcript of Shopper Insights

Page 1: Shopper Insights

Key insights about the in-store & out-of-

store shopping behavior.

From Shopper Marketing 3.0 Study by GMA, Shespeaks & Booz & Co.

February 3, 2010

Page 2: Shopper Insights

In a price sensitive environment, most shoppers prefer

a better brand to a better price

Price is a clear winner here. But in an environment where price is the important battleground,

Shoppers use coupons or price promotions to justify buying the brands they want rather than as

the key factor driving their decision making.

Page 3: Shopper Insights

Price is the most important factor in selecting a

particular retail location

Shoppers are using their pre-shop research to decide which stores they visit that week, in addition

to what they will buy within categories. Although price is the most critical factor in store selection,

brand assortment also plays a key role for many shoppers.

Page 4: Shopper Insights

More than 40% of shoppers make their brand buying

decisions before they get to the store

Shoppers are spending more time preparing for their shopping trips, making more than 40% of their brand buying decisions before they get to the store. Also, research in grocery category is more focused on finding the best price as opposed to learning more about product. Respondents in the shopper study described this research as “hunting for deals”, which is focused primarily on circulars and coupons in print media.

41%

59%

On average

Page 5: Shopper Insights

Majority of

shoppers

enter stores

without

detailed

shopping lists

Almost all shoppers plan their purchases before they enter the store. Most shoppers have only rough or mental lists that are just indicative of a broader consideration set in mind and they finalize brand selection in the store.

Page 6: Shopper Insights

Majority of shoppers spend 1 to 2 hours each week

searching for coupons & other price-related deals

3 hrs A smaller set of shoppers spend 3 hours or more each week to search for price-related deals.

Female Female shoppers conduct substantially more research than male shoppers.

86% Female shoppers conduct research versus 47% of male shoppers

Page 7: Shopper Insights

Long-standing

brand

preferences

are the most

important

influencing

factor in

determining

the shopping

list Shoppers typically have pre-established brand consideration sets in

mind that become a key element in their choices at the shelf. These

preferences are built up over time through a broad set of touch points,

including media content, advertising, recommendations from friends

and family, the retail experience, and the product experience itself.

Page 8: Shopper Insights

Shoppers

becoming

increasingly

digital

Shoppers use both online and offline to search for deals. Increasingly

shoppers have started using coupons. The out-of-store factors that

influence shoppers’ list-making selection also clearly indicate their

growing use of digital media. Online coupons, websites, blogs, e-

newsletters, online ads & social media were all citied as influential

factors in the study.

Page 9: Shopper Insights

“For most in-store stimuli, shopper marketers have less than 10 seconds to break through the clutter and deliver the right equity measures close to the point of sale.”

Page 10: Shopper Insights

Shopping list versus actual purchase, by category

As we can see, nearly two-third of the shoppers purchase exactly the same or fairly similar items

from their shopping list. However, approximately one-third of the respondents actually purchased

less than one half of the items on their lists. This proves that although the overwhelming majority of

shoppers are entering the stores with some sort of list, their lists are surprisingly malleable and

open to influence.

Page 11: Shopper Insights

Beyond price,

other

influential in-

store drivers

of purchaseThe relative importance of in-store marketing is getting beyond price

and closing the deal for brands which shoppers have not yet made up

their minds varies by product category.

The study also revealed that even though shoppers’ shopping lists

often include only the category, they already have a brand in mind

when they enter the store. If that brand can meet their expectations or

no other brand captures their attention… they will buy it.

Page 12: Shopper Insights

Path to purchase

Page 13: Shopper Insights

Factors influencing purchase across product categories