DDi - January/February 2011 - (Page 14)

14 | Shopper Insights Shopper marketing— myths busted I t’s time for a little myth busting about shopper marketing. Recently, I was chatting with Barbara Ford, a marketing services executive with both the Kraft and SC Johnson companies, who has seen first-hand some of the challenges related to managing shopper marketing. Sometimes when discussing what shopper marketing is, it is easier to discuss what it is not. Read on for several common shopper marketing myths that Ford and I discussed: Myth 1: Shopper marketing must be a win for the retailer, or maybe for the manufacturer, but it’s hard to do both. Truth: Ford’s perspective is that the focus should not be on the manufacturer or the retailer, but on the only person that really matters—the shopper. “Effective shopper marketing must deliver a ‘hat trick’—it must be a win for the brand, the retailer and the consumer/shopper,” she notes. “Failing to consider any one of these three vital audiences will result in a one-time effort that disappoints at least one of the vital links to success.” While manufacturers may have mastered the Copernican shift of putting consumers at the center, for shopper marketing, the retailer focus is vital. This requires thoughtful planning and the convergence of multiple objectives. Whose segmentation will be used to define the opportunity? How will the target shopper be defined? How will success be measured? Often, the “measurement of success” is debated after the effort has run—and not only are there no “pre” measures for comparison, but it also is too late to ensure that there will be results to demonstrate success for the retailer, manufacturer and shopper. Myth 2: Shopper marketing requires the highest degree of confidentiality. Truth: In fact, it can be quite the opposite. To achieve a win-win-win, there must be sharing. “Unless either the retailer or the manufacturer already has full knowledge about the other’s business, there will have to be some partnership and collaborative sharing,” Ford emphasizes. “Providing some ‘peek under the tent’ is the only way to ensure a win for all, and that the appropriate metrics are established up front—with clarity on interpretation and assessment once the effort has run.” Due to the sensitive nature and time involved of sharing and collaborating, the most successful shopper marketing efforts are those that have the potential to at least be sustainable, so that results and learning can be applied for a more successful program the next time. “This will increase the stakes for all parties and make the investment of time and effort worthwhile,” Ford adds. Myth 3: Shopper marketing is all about impact in-store and elaborate creative execution. Truth: While impact in-store is important, successful in-store marketing must be grounded in a strategy that is aligned with the brand’s plan for growth and in sync with what the retailer is trying to provide to key customers. “There should be a clearly articulated ‘brief’ for any in-store initiative that clearly defines the business challenge or opportunity, the target shopper, insight into his/her behavior and, most importantly, the role that the shopper marketing effort plays as part of the larger market activation plan,” Ford explains. “Be clear about how it complements other communication efforts, and how it fits in with the retailer’s broader plan.” The brief should take into consideration alternate store environments— traditional grocery likely is different from mass, dollar or convenience store. George Wishart When it comes to execution, “integrated” does not necessarily mean that the creative execution will look exactly like communication that runs in print, promotions or broadcast. In fact, if all communication looks the same, it is probably suboptimal for at least one of the key communication channels or for a particular retail environment. The integration needs to stem from the strategy, yet deliver on the unique role for shopper marketing. Myth 4: Shopper marketing structure within an organization should be assigned to one department. Truth: A matrixed management approach works better. “To be effective, shopper marketing must be a priority that leverages all of the organizational knowledge,” Ford says. “One department, function or individual tasked with developing and executing shopper marketing surely will result in a suboptimal, compromised effort. In addition, the effort will reveal the shortcomings/ limitations of the organization to the retailer.” Consumers and shoppers are the same person, so to develop or act on shopper insights without consideration of learning about consumer insights (which may reside with another group or function) is shortsighted. Marketers must ensure that knowledge about the brand, retailer and consumer/shopper from sales, customer marketing and research are fully leveraged to ensure a successful program. “Ownership and accountability needs to be clear—but those tasked with shopper marketing must leverage all the organization has to offer,” Ford notes. In summation, challenges with shopper marketing abound, but the increased importance of effectively communicating with shoppers in the retail environment make it impossible to ignore. Retailers are ready to take a deep dive into shopper marketing. In fact, retailer customer marketing/category management processes are outdated and need an overhaul, and manufacturers and insights providers need to be willing to support retailers as they revamp the process. —A pioneer and consultant in the shopper marketing industry, George Wishart is the president and CEO of Edgewood Industries LLC. He shares his shopper marketing insights with DDI in this regularly appearing column. Editor’s note: Barbara Ford is now a principal with Griffin Strategic Advisors. She can be contacted at bford140@comcast.net. www.ddionline.com | January/February 2011 http://www.ddionline.com

Table of Contents for the Digital Edition of DDi - January/February 2011

DDi - January/February 2011
Table of Contents
From the Editor
Newsworthy
Shopper Insights
Quick Tips
Greentailing
Editor’s Choice
Swatch Shanghai
Printemps Paris
OPSM’s EyeHub
Sugamo Shinkin Bank
Right Light
Product Spotlight
GlobalShop Preview
Calendar
Advertisers
Classifieds
Think Tank

DDi - January/February 2011