TMC Shopper Marketing Trends

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TOP 10 SHOPPER MARKETING Since 1996, offering Commercial Consultancy and Training

Transcript of TMC Shopper Marketing Trends

TOP 10 SHOPPER MARKETING

Since 1996, offering Commercial Consultancy and Training

TOP 10 Shopper Marketing Trends

• Wal-Mart accounts for 8% of US retail sale

• Tesco 13% of UK sales.

• Both 30% grocery sales in domestic markets

1. Retail globalization and concentration process will continue

TOP 10 Shopper Marketing Trends

• The fight will be at the POS according to Nielsen

2. Private labels will continue to be a major threat to FMCG

• Over 30% in developed nations

• 16% global

• Still below 7% in Latin America

TOP 10 Shopper Marketing Trends

3. ROPO: Research online, purchase offline

• 49% of Consumers Surveyed Say Smartphones Have Changed the Way They Shop;

• 88% Use the Internet to Research Online, Purchase Offline (ROPO). This behavior is seen in 9 out of 10 people in 11 of 12 countries

• Influence of Social Media Highest in China

Source: DigitasLBi Global Survey 12 markets in 2014.

• Depending on the category, between 30% and 80% of FINAL purchasing decisions are made at the point of sale (POPAI Consumer Buying Habits Study 2014).

• These are rates are constantly growing as a consequence of active life style, in store promotions and amount of options available.

TOP 10 Shopper Marketing Trends

4. Purchasing decisions at POS are growing in relevance

• The rise of Breakfast, growing in relevance vs other meals

• Higher relevance of smaller and more convenient formats for immediate and on the go consumption

• Higher relevance of availability, product exhibition, temperature, in-store location of the freezer and customer satisfaction.

TOP 10 Shopper Marketing Trends

5. Increase frequency of Out of Home Consumption

TOP 10 Shopper Marketing Trends

6. Convenience is KING: smaller, cold and ready to drink!

Source: TMC USA 2014.

• Increased relevance of Channel / Account Strategy and Plans

• Reinforced strategic role of Minimarkets and C-Stores

• Growing health and wellness awareness: natural, high quality produce and fresh food and drinks are now one of the most important determining factors in what and where shoppers buy.

• Retailers will dedicate higher space for water, natural juice and tea. Longer time spent in this section.

• Increase in the number of retailers offering Natural Juice freshly made at the moment or during the day with private label.

TOP 10 Shopper Marketing Trends

7. Healthier and price sensitive shoppers

• Internet and Social networks have changed the way people shop with friends

• The group-buying experience that started with Groupon has evolved from simply “better prices” to a more conscious, opinion based and friendly experience. Sharing opinions about products and services is now a critical influencing factor to make a purchase decision

TOP 10 Shopper Marketing Trends

8. Active Shoppers in a Social Commerce

TOP 10 Shopper Marketing Trends

9. BIG DATA will continue to drive BIG CHALLENGES

• No doubt that amount of information about shopper habits, behaviour and patterns will continue growing in the following years

• Generate relevant insights to drive better products and services is the challenge for the consumer industry and retailers

• Shoppers will continue sharing their information if they are able to perceive the benefits in return.

• Trade and Shopper Marketing spend continues to increase as % of total marketing budget.

o In USA it already represents between 50-60% of total marketing budget of top 10 Consumer Good industries.

o Latin America is still behind (between 40-50% of total marketing budget) but growing fast.

TOP 10 Shopper Marketing Trends

10. Trade and Shopper Marketing Spend will continue growing