Retail marketing relies on a wide range of tactics and initiatives at the point of sale, but the most effective strategies are the ones that seek to understand shopper behavior. That’s why it’s essential for professionals in the field to understand what shopper marketing is and the results it can deliver.
So, in this post, we’ll explore the concept behind this type of marketing, why it matters, the pillars it rests on, and how to put it into practice based on that knowledge. Read on!
What are the differences between a shopper and a consumer?
Before we define what shopper marketing is, we need to make it clear that there’s a difference between a shopper and a consumer.
The consumer is the person who actually uses the product and builds a relationship with the brand through that use, in addition to being influenced by the company’s initiatives on digital or traditional channels.
The shopper, on the other hand, is the person who actually goes to the POS to make the purchase, and isn’t necessarily the end consumer of the item or items they buy. They’re the one who compares prices, evaluates the product’s specs and value for money, lives the experience the brand provides at the point of sale, and ultimately makes the purchase decision.
What is shopper marketing?
Now that we have a clear picture of who the shopper is, let’s look at what shopper marketing is all about.
The idea is to find ways to gain insights into the customer’s purchase journey in order to develop strategies that motivate them at the point of sale. By putting the right marketing stimuli into practice, the company will be able to strengthen the credibility and trust the shopper has in the brand and encourage them to make choices that are more favorable to the company.
It’s worth noting that shopper marketing and trade marketing are not the same thing.
While trade marketing seeks to foster the best possible relationship between manufacturers, distributors (retail and wholesale), and the end consumer, shopper marketing aims to identify the buyer’s needs and intentions, as well as to prompt them to take certain actions at the POS.
For this reason, some authors argue that shopper marketing is a more specific discipline — an extension of trade marketing.
Why does this strategy matter?
Shopper marketing is important in retail because knowing the buyer well is the best way to create effective communication that truly makes an impact on them at the moment of purchase. The more complete that knowledge is, the better targeted your strategies will be and the better your results will be in terms of customer satisfaction and sales volume.
What are the main pillars of shopper marketing?
Among the pillars of shopper marketing, the purchase journey and the in-store experience can be considered the most important. Let’s look at each one:
Purchase journey
The purchase journey covers the entire process of planning, purchase, and consumption.
Planning is the stage in which the shopper decides on the product they want to buy, uses price comparison sites, reads reviews and ratings from consumers who have already purchased that item, checks the retailer’s reputation, and chooses the store where they’ll make the purchase.
The purchase is the decisive moment when the shopper chooses what they’ll take home. Depending on what they see at the point of sale, they may change their mind about what they had planned.
Consumption, in turn, encompasses the consumer’s satisfaction with using the product, their perception of the brand, and whether or not they recommend that product or item to the people closest to them.
In-store experience
Customers are increasingly demanding when it comes to the service and experience they get in stores. At a time when online shopping has become commonplace, a visit to a brick-and-mortar store now needs a good reason.
That’s why the POS needs to offer a pleasant environment and convenience for the people who visit it. Not to mention that product demonstrations, giveaways, outstanding service, and point-of-sale innovations have also become key factors in retailers’ success.
How do you implement a shopper marketing strategy in your company?
Below, we’ve listed some of the best shopper marketing practices for you to put into action in your business. Check them out!
Invest in a product promoter
Having a promoter on hand lets shoppers get answers to their questions about the product and, depending on the item’s category, even try it out or sample it.
The promoter can also hand out samples, highlight the product’s main benefits, and explain to the shopper what sets it apart from what competitors have to offer.
Understand shoppers’ choices
Shopping habits are extremely important for understanding buyers’ choices. Using the data collected through a loyalty card, we can find out who’s buying, their favorite day of the week to shop, the average ticket, and much more.
However, it isn’t easy to understand what drives shoppers’ choices from this data alone. So, ideally, you should combine it with other resources, such as in-person interviews and email surveys in exchange for a discount or a giveaway.
Study product placement
It’s essential to assess how products are positioned in the store. To do that, try to answer questions such as:
- Are the higher-value items at the eye level of the purchase decision-maker (children may influence their parents’ purchases, but it’s the adults who decide)?
- Are the window displays showcasing new arrivals, products on sale, or eye-catching items?
- Are related products placed close together or far apart (check the data to uncover seemingly nonexistent relationships between very different products)?
As we can see, shopper marketing can generate excellent opportunities for retailers. By better understanding the people who visit their stores, business owners will be in a better position to focus their efforts on customer satisfaction and influence more desirable purchase decisions.
Did you enjoy this post? Did you notice how important it is to know what shopper marketing is and which practices can improve point-of-sale performance? Then don’t forget to leave a comment! We want to hear your thoughts on the topic.
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