July 15, 2020

What is Shopper Marketing? Turn consumers into buyers at the point of sale.

The battle at the point of sale is becoming more and more stringent as selling our brands grows more difficult and expensive.

According to a study published by the Point of Purchase Advertising Institute - POPAI (2018), “82% of buying decisions are made at the point of sale”.

Now more than ever the Buyers (Shoppers), are choosing their brands inside the store, after exploring and/or evaluating features that lead them to their final choice.

It is worth mentioning that something that catches their attention today in their usual store, in two or three months "it’s very likely to become part of the norm.

Retailers and brands understand that a in depth knowledge of the needs, habits and behaviors of consuming, purchase and their relationship, can be crucial for the survival of both. relación, puede ser determinante para la subsistencia de ambos.

Another determining factor is the growing importance of Retailers (E.g., Walmart, OXXO). Given the growing levels in sales volumes of few accounts, the consolidation of home brands and the space limitations at the point of sale, the cost of competing at the stores has increased significantly.

According to a study published by the Point of Purchase Advertising Institute - POPAI (2014), el 80%  de los usuarios conocen las innovaciones gracias al punto de venta”. 1

The big chains are demanding more of everything (money, merchandise, custom-made commercial activities, exclusivity, etc.) and they sure get what they want. Brands have to be much smarter to compete in this environment; therefore, the importance of a better understanding of the Shopper and the Retailer environment is made evident again.

Wikipedia define Shopper Marketing como: “Buyer marketing that takes place at the store, and its goal is to turn the consumers who visit the store into buyers."

Shopper Marketing is the one that takes place at the final stage of the purchase. It is the one that leads the Shopper to buy a product from one shelf and not the other.

There are many brand initiatives that predispose a shopper to buy their product and service, but the reality is that all these initiatives might not work; the buying decision becomes "the moment of truth of marketing."

It is important to clarify that the Shopper, even if it is the one buying the product, is not necessarily the actual consumer of it (E.g., a woman who buys diapers, dog food and shaving cream).

Shopper is the one who enters a store and buys; However, the Shopper is a person who has the solution to his/her need already in mind.

From the moment this need enters your mind, we can call you a Shopper, whether you are in a store or not.

For example, when you look at the pantry, you notice that there is no more cereal for tomorrow's breakfast; your journey as a shopper begins at that time, followed by thinking which store you will buy the cereal at, and when you arrive at the place, you find several options to choose from.

Up to this point, you, the shopper, are not yet a buyer and the purpose of Shopper Marketing is precisely to persuade better to buyour brand instead of others.

The Marketing is based on a deep understanding of both the Shopper and the Consumer.

The Shopper Marketing, is divided into various factors; among which we can find:

  • Promotion: It refers to all the publicity the stores give to the products by using various means of advertisement (s) to fulfill their purpose.
  • Product: When we talk about the product, we are referring to the size, shape, color and material as they are of great relevance for the visual identity of the product and for the detailed information on the packaging as well. 
  • Pricing: The pricing includes ofertas, the descuentos y la comunicación de precios.
  • Positioning: It is rooted on the location, concept, decoration and the lighting of the store.

For sales to increase, it is important to know the shoppers in depth, as well as the consumer's marketing.

For the purpose of knowing in detail how much do they spend? What are their price expectations? What target type do they belong to? As well as knowing what are their purchase motivations?

 Some quick and easy ways to find this information out are

  1. Polls

2. Interviews

3. Accompanied purchases

4. Observing local groups

5. Recordings

Conclusion

Now more than ever, Buyers are choosing their brands inside the store, after exploring and/or evaluating variables such as shopping experience, promotions, pricing, display, which guide them to their final choice.

Shopper Marketing is the one that takes place at the final stage of the purchase. It is the one that leads the Shopper to buy a product from one shelf and not the other. 

Más en exhibidores de cartón.

The Shopper Marketing se basa en un profundo entendimiento tanto del Shopper and the Consumer, as well as the retail environment.

Article by Ernesto Amescua
Director AIM & Penka

Start now to conquer your shopper with a great shopping experience

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