shopp shopper 

marke+ng – now an

d in the future 

ANA March 3, 2010 

Jim.Holbrook@emak.com 

credibility 

1. 10.

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6. ?

AGENDA 

Success:

Failure:

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AGENDA 

Success:

Failure:

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dialogue questions opinions discourse

lecture one way nothing new not provocative snoozzzzze

QUIZ 

1.  What is your organiza+on’s defini+on of shopper marke+ng? (what would your CEO say?) 

2.  What is your organiza+on’s expecta+on of the output from shopper marke+ng? (what is success and who defines it?) 

3.  How does your organiza+on go to market with shopper marke+ng? (how are you organized?) 

4.  How does your organiza+on internally manage shopper marke+ng? (what resources do you own and what do you ‘borrow’?) 

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Organiza+onal Issues? 

a)  Inadequate resources: ‐ Insufficient funding, +me constrained, outspent by 

compe++on, budget not balanced among marke+ng elements, staffing 

‐ Lack of management/internal support 

b)  Inadequate plan: ‐ Wrong audience, shallow insights, confusing 

crea+ve/offer/program, wrong media/reach, low ‘value’, program “lost in the cluber” 

c)  Inadequate process/execu+on: ‐ No proven internal standard, lack of experience on 

team, mul+ple agencies involved creates havoc 

Real Issues:

Budgetary

Alignment

Analysis

Process

Ideation

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who’s job is it to improve the shopping 

          experience? 

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“Over the next decade, shopping will become much more personalized – and 

promo+onal” 

Over the next decade, marke&ng will become much more personalized – and promo+onal 

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BIG PICTURE 

My Thesis:  ‘shopper marke+ng’ is a key symptom of the changes going on in marke+ng overall: 

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FROM: . communications ->

attitudinal -> consideration ->

top down -> control ->

TO: engagement behavioral preference bottom up collaboration

Marke+ng Shins 

Mass Mass/Personalized Personalized Message similarities differences preferences

Media broadcast mix on demand

consumer

shopper

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shopp 

before the store in the store post-purchase

                  Path to purchase Points of influence and impact 

                                                Proven marke+ng tac+cs  

shopp 

before the store in the store post-purchase

                  Path to purchase Points of influence and impact 

                                                Proven marke+ng tac+cs  

96% researched online

80% bought at retail

Mul+‐Dimensional Planning Brand Focus In-Home •  Home life & product

use ethnographies •  1-on-1 interviews •  Video diaries

Retail Partner •  Shopping behavior

ethnographies •  Shopalongs •  In-store intercepts

Competitive Retail Shopping Context

•  Shopalongs for attitude and behavior differences by channel

Business Opportunities

Unmet Needs

Shopper Workshops •  Idea generation •  Concept development •  Idea validation 13 

BJ’s Baby Care Brand Focus In-Home •  Baby magazine, baby

care shopping list •  “Life with Baby”

photo album

Retail Partner •  Video shopalongs

at BJ’s for baby care •  In-store intercepts

Competitive Retail Shopping Context

•  Differences between shopping baby at BJ’s, grocery, mass & specialty

Business Opportunities

Create baby care section that

brings together all mom’s baby care needs in

one place Shopper Workshops •  Development of “You Carry

the Baby, We’ll Carry the Rest”

Unmet Needs No awareness of baby care SKU’s led to perception BJ’s is not baby-

centric and mom’s multiple shopping trips

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BJ’s Baby Care In‐Store 

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BJ’s Baby Care 

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BJ’s Baby Care 

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BJ’s Baby Care 

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BJ’s Baby Care  

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Today’s Shopper Marke+ng 

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P&G Skincare: Loblaws 

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  Current Situa+on 

Marketers are evolving…. ‐  from marke+ng ‘around’ retail 

‐  to marke+ng ‘to’ retailers ‐  to marke+ng ‘for’ retailers 

‐  to marke+ng ‘with’ retailers ‐  to marke+ng to shoppers 

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Defini+on of Shopper Marke+ng 

‘Shopper Marke+ng is:  understanding how one’s target consumers 

behave as shoppers  

in different channels and formats  

and leveraging this intelligence  

to the benefit of all stakeholders ‐‐ brands, target consumers, retailers and mutual 

shoppers.’ 

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Defini+ons •  Compe++ve advantage via serving our customers 

•  Account‐specific programming 

•  Engage shoppers using retail as media 

•  The store is a place to win consumers •  Engage/transact/convert 

•  Create demand at retail 

•  Brand marke+ng in the retail environment 

•  Brand equity at the point of purchase 

•  Smarter sales organiza+on •  Process for collabora+on 

•  ‘ren+ng’ market share 

•  New part of the marke+ng mix 

•  Our way to get in the shopping basket 

•  Part of our customer in+macy strategy 

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Shopping trip: 30 minutes 5-10 categories 10-20 items

cooking oil shampoo

cold & flu pets

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Shopping trip: 30 minutes oven is pre-heating kids need baths car is low on gas can’t find cell phone want to watch Entourage etc.

cooking oil shampoo

cold & flu pets

in-laws are coming over husband has dandruff

daughter has the sniffles cat came back home

…falling short of shopper expecta+ons 

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Expecta+ons Are High 

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STORE in

out

SHOPPING MODE in out

transaction

conversion

trip

destination

discovery

reputation

enticement

activation

Where are your brand’s points of influence… points of impact?

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SUBSTITUTABILITY STO

RE D

EPEND

ENT

Manufacturer Best Prac+ces 

•  All market research augmented to tab key retailer shoppers •  ‘Shopper marke9ng’ programs funded by marke9ng budgets  

(5‐20% of total marke9ng budgets) •  Off the shelf in‐store marke9ng tools used sparingly •  Con9nued emphasis on equity •  Shopper marke9ng not a separate department •  More IMC, bigger ini9a9ves •  BeKer equipped, closer to the retailer •  Can clearly answer, “why us as a partner?” ‐ with a compelling case 

A FEW

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Eduardo Castro-Wright Walmart Stores

??? How do you fit in

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“My observa9ons are that we are more and more about strategic partnerships with vendors.  As Best Buy focuses on mee9ng customer needs, we need the right products in store at the right 9me. You'll see for example that Best Buy now carries Apple and Dell because that is part of the product choice our customers want.  Vendors support us with products (some9mes exclusive to Best Buy), marke9ng development funds, and periodic joint marke9ng events and efforts.  For us, it's about working with vendors to meet our customer’s unique needs and build rela9onships for the long term.” 

                                       Barbara Olson, VP Best Buy 

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Change vs. Improvement? 

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jim.holbrook@emak.com

Top 10 Trends 1.  Three‐way arms race: marketers, retailers, shoppers 

2.  Shop+mizing: money & +me 3.  Metering: visibility into and ac+ve mgmt of spending 

4.  Palm power: tech‐enabled shoppers 5.  More compe++on: brands, imports, formats, services, 

private label 

6.  Transparency: price = value (Progressive) 7.  Ethonomics: people know how ‘good’ you are 

8.  Zappos‐iza+on: service = product 9.  The new ‘search’ is ‘find’: savvy marketers know where I am 10.  Rising expecta+ons: authen+city, availability, transparency 

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From This…. 

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To This…. 

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To This…. 

To ???…. 44 

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To This….