Stores Magazine - November 2007 - (Page 33)

Publix, Wegman’s and Bloom are among the supermarket concepts shoppers are gravitating toward. Initially, the research objective was to better understand Wal-Mart’s market share in the food retailing space. At the time, WalMart seemed like an unstoppable machine, particularly in the food channel. By studying the key factors that influenced where consumers choose to shop for groceries, SIRS executives gained insight into how to compete more effectively against Wal-Mart. Changes afoot he data shows shifts in what motivates shoppers to choose one store over another and reveals that concepts that were considered fledgling five years ago have managed to break from the murky middle ground of supermarket retailing and gain resonance with today’s shoppers. The research findings sync up with what many in the supermarket industry consider one the biggest stories of 2007: the debut of Fresh & Easy Neighborhood Market, a new concept developed by Tesco that bows this month. Fresh & T Consumers’ decisions about where to shop are based on a complex amalgam of rational and emotional factors that often overlap. “Where to Shop” Decision Drivers Rational Emotional 30% Mixed 36% 34% Source: SIRS, August 2007 Easy is a 10,000-sq.-ft. store that hopes to satisfy shoppers’ desire for great quality fresh foods at prices that don’t squeeze their wallets. The stores are situated in urban areas, making them convenient to shop. Tesco, a U.K. retailer whose success in the supermarket arena is nothing short of legendary, reportedly studied the U.S. food market and American consumers for years before choosing this format. With only a handful of stores set to open this year, it will be Emotional factors – such as whether or not a store is a fun and enjoyable place to shop – are gaining in significance among consumers. Emotional “Where to Shop” Drivers 10% 8% Fun & Enjoyable Relaxation/Stress Reduction Trust & Concern Other Source: SIRS, August 2007 31% 28% 31% 2002 35% 31% 26% 2007 STORES / NOVEMBER 2007 33 WWW.STORES.ORG http://WWW.STORES.ORG

Table of Contents Feed for the Digital Edition of Stores Magazine - November 2007

STORES Magazine - November 2007 Contents Executive Editor's Page President's Page Innovations Consumer Insights What Shoppers Think 10 Things You May Have Missed Numbers Worth Counting Full Price/Markdown Retail People Gift Cards Gift Cards Cover Story: Little Is the New Big Concept2Watch Human Resources Employee Training Energy Management Business Intelligence Workforce Management Online Merchandising Communications Communications LPinformation Human Resources Security Site Selection Online Security Online Advertising Loeb Retail Letter ARTS Update Point of View NRF News Retail Industry Calendar Last Laugh

Stores Magazine - November 2007

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