VTD - Shopper Marketing - CMO Conference
Transcript of VTD - Shopper Marketing - CMO Conference
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Shopper Marketing in Vietnam Mobile Retail
1Vu The Du, 26 April 2013, CMO Conference
Snap shot on Vietnam Retail Mobile Market
• 1.5B US$ Market • 16.000.000 Units/year• 14.000 retailers • 50% by ORG stores
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Content
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What�is�Shopper�Marketing�1
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Retail Marketing Revolution Wave
51950
1985
Today
BrandMarketing
CategoryManagement
ShopperMarketing
(source: ECR)
The Power of Shopper Now
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Shopper
Retailers
Brands
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Definition
“Shopper Marketing is the employment of any marketing stimuli designed to build brand equity, engage the shopper, and lead her to make a purchase.”
(Deloitte’s 2008 Delivering the Promise of Shopper Marketing)
8(source: AMA)
Marketing with in-store initiatives to close the deal
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360 degree of shopper and consumers
9Source: 2008 Deloitte/GMA Report: Delivering the Promise of Shopper Marketing
A Path to Purchase
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Consumer Shopper Buyer
Demand Buy
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A Path to Purchase
Shopper Insight
Consumer Insight
A key channels of the path to purchase
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Pre�Ͳ Purchase
Post�Ͳ Purchase
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Why�is�Shopper�Marketing�now�2
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Push vs Pull Strategy:Which is more effective?
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Retailers Brands
Decline in media effectiveness
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Multi Media Platform
Time shift viewing
Message Overload More Demanded
Consumer
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Who Do You Trust?
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25% Advertising
70% Strangers withProduct experience
84% Online customerevaluation
90% Friends who usedthe products
(Source: Edelman Trust Barometer, US Consumer survey, 2010)
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Ad spend wasted if you don’t deliver at POS
April Redmond, Visualize Shopper Marketing Seminar, 2011
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Why Shopper Marketing for the Consumers
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Shopper
22(Source: various sources)
78% Learning new items
76%Seeking pleasure, experience, fulfillment
70% Shelf Decision
Brand Loyal5%
26% Store Loyal
30’Duration in store
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Shopping Duration inVietnam Mobile phone store
23(Source: BMC Survey 2013)
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“They may ignore media but they will always arrive at the point of
purchase”
(Source: Shopper Marketing Magazine)
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Why Shopper Marketing for the Retailers
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Retailers
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• Differentiation• Shopping Experience• Loyalty
• Store traffic• Private brand
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Why Shopper Marketing for the Manufacturers
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Brands
• Consumer’s Demand• Competition (category, private label)
• Retailers’ demand (brand identification, Less shelf space, Clean store policies)• ROI• Relationship (with retailers)
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Companies engaged in successful Shopper Marketing are
consistently delivering ROIs of
4-5:1On their shopper-based initiatives
- The Hub 2011
Sweet Spot in Shopper Marketing
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Shopper
BrandsRetailers
Sweet SpotMotivate shopper to buy the brand
Create consumer demand for the brand
Motivate retailer to support the brand
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Content
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Shopper�Marketing�model3
Shopper Marketing Model
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Shopper InsightConsumer Insight
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PLAN Facts: Vietnam Mobile Retail Consumers
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88% Research before buying
62% Digital research
(Source: BMC Survey 2013)
78% Purchase decision made before
70’ Research duration
Shopper Marketing Model:the PLAN factors
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Online�browsing(mobile�web)
Product�brand�
communication�
(ATL,�BTL)
Previous�Experience
WOM
ExpertsBlogosphere
Print�media,�Catalogue
Opinions�of�friends,�colleague,�famil
y
Direct�mail�from�
retailers,�brands
Targeted�coupons�(loyalty�
cards,�mail�list…)
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What information do you search before buying?
35(Source: BMC Survey 2013)
Zero Moment of Truth
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Shopper Marketing Model:the PLACE factors
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Product�samples,�demo�class
Store�specific�
positioning
Store�ambience
Product�Stock
inͲStore�media
Store�circulars,�fl
yers
Info�desks,�broadcasts,�kios
ks
Product�packaging
Planogram
Sales�assistants,Service
Price,�Promotion,�gifts
POS�display,�POS�action�
(events,�contest)
The�4th
Place
MOB�Media
What characteristics do you dislike most about the store?
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Không có hàng
Nhân viên bán hàngkhông kiӃn thӭc
Không có khuyӃn mãi
Giá trên mҥng khácgiá cӱa hàng
KhuyӃn mãi trên mҥng cócӱa hàng không có
Mһt hàng nghèo nàn
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What characteristics do you like the store to do?
39Trҧ góp ѭu ÿãi
BH Nhanh chóng
Thanh toán nhanh
Nhân viên hiӇu biӃt, Ân cҫn
KhuyӃn mãi nhiӅu
Trang trí hiӋn ÿҥi
Cài ÿһt ӭng dөngnhanh
Nӝi dung web phong phú
NV khôngÿeo khách
Giá hӧp lý Dӏch vө tѭ vҩn qua ÿiӋn thoҥi
Shopper Marketing Model:the PURCHASE factors
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Product�experience�gratificaͲtion
Mobile�Aid
Simpler�&�Strong�message“Smart�choice”
Promotion,top�selling�
POS�display
Sales�Support
Price�check
Similar�Product��segment
Differentiate�planogram
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Why you don’t buy the brand you plan before in the store?
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What the Retailers and Brands should do?
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Shopper
BrandsRetailers
Sweet Spot
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70% of promotion lose money
(the Hub 2011)
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Mutual benefits for Both Retailers and Brands
Shopper Base
Conversion rate
Shopper trip
Invoice salex x
x
Collaboration between Retailers and Brands
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Goal & KPI conflict
Lack of shopper insights
Organizational conflict
Trust
Budget
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Increase sales (40%)
Increase sale (42%)
Strengthen shopper relation (30%)
Enhance brand equity (16%)
Strengthen brand relation (10%)
Strengthen shopper relation (13%)
Strengthen retailer relation (10%)
GOAL CONFLICT
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Retailer profit (31%)Unit sale (42%)
Retailer revenue (25%)Brand revenue (15%)
Unit sales (13%)Retailer revenue (15%)
Retailer profit (4%)
KPI CONFLICT
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What is the Shopper Marketing
Strategy Model?
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Shopper Marketing Strategy Model
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Get�to�know�yourself
Get�to�know�your�market
Get�to�know�your�retailer
Get�to�know�your�shopper
Define�SM�Strategy
Execute�&�Measure
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Shopper Marketing Strategy Model
Get�To�know�your�shopper
•Define�required�insights
•Collection�of�internal�existing�data
•Shopper�research�based�on�insights�needed
•Shopper�Segmentation
•...
Shopper�Demands,�Shopper�
research�methods,�Shopper�
Barriers�
Get�to�know�your�Retailer
•Retailer�strategy�analysis
•Performance�analysis
•Identify�key�contacts
•Identify�key�processes�&�way�of�working
•...
list�of�strategic�retail�partners,�Category�role�per�retailer,�key�
priorities�and�opportunities
Get�to�know�your�market
•Competitor�SWOT�Analysis
•Competitor�portfolio�assessment
•Define�Category�Role
•...
Ranking�of�competition�&�
products,�Category�role
Get to�know�
yourself
•SWOT�analysis
•Portfolio�Assessment�(BCG�Matric)
•Product�life�cycle�analysis
•P&L�analysis
•...
Commercial�Strategy,�company�capabilities,�Product�
strategy�
Execute�&�Measure
•Define�activities
•Set�action�plan
•Identify�involved�departments�&�key�stakeholders
•Set�Backtimings
•Identify�KPI’s
•...
Improved�business�results,�continuous�
learnings
Define�Shopper�Marketing�Strategy
•Define�action�plan�for�each�specific�retailer�based�on�the�needs�of�all�parties�(company,�retailer�&�shopper)�involved
•...
Clear�&�Executional�Shopper�Marketing�
Strategy
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For Shopper Marketing Strategy to work
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…�or�heading�in�different�directionAre�you�working�together�with�your�
partner�…
…�or�leverage�your�joint�potential?Are�you�struggling�walk�in�your�
partner’�shoes�…
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Is it easy to coordinate?
Mistake #1
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informing
communicating
Mistake # 2
Mistake #3
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Mistake # 4
EMOTIONSThe will to change
RATIONALThe recommendation to change
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Speed
Alignment
Commitment
The Tool to Get Shopper Marketing Team Work
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You cannot just absorb other people¸s knowledge…
Solving collaboration problem
¹It¸s not what you know, it¸s how you know it.º
…you can only create your own.
PROGRAMS
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Content
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Conclusions4
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Speed
Alignment
Commitment
We help companies to ALIGN their staffs, get them COMMITTED to achieve goal with SPEED
Who We Are
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Benefits to your business
Speed of execution
• Increased speed to market
• Ability to compete
• Drive performance targets
Alignment
• Share vision and internal alignment
• Reduce silos
• Increased resource sharing
Engagement
• Build confidence and motivation
• Actionable
• Retain high potentials
What We Bring
How�We�Do
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• CrossͲfunctional�communication
• Shopper�Marketing�Coordination
• Cascading�of�strategic�plans�&�goals
• Product�launches
• ReͲBranding
We Can Support in
• Sales�conferences
• Regional�management�conferences
• KickͲoff�events�&�team�building
• HighͲpotential�training�programs
• Strategic�planning�&�Budgeting�rollͲout
• Dealer�&�reseller�conferences
We Can Support when you organize
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Our�Methodology
Our�Clients