Shopper Marketing

According to AdWeek, 71 percent of U.S. consumers say they still prefer to buy from physical stores even if the products they’re looking for are available for purchase online. Even with the world wide web at consumers’ fingertips, 85 percent like to shop in stores because they want to “touch and feel” items before buying them. Consumers still care about physically experiencing items before buying and as long as that’s an important part of their buying process, so will shopper marketing in that process.

What is shopper marketing?

‘Shopper marketing’ is understanding how one’s target consumer or consumers behaves as shoppers in different channels and formats. Shopper marketing takes place at the place of purchase and includes category management, displays, packaging, promotion, just to name a few aspects.

This tactic is used to drive consumption and is usually part of an overall marketing approach and is used by both manufacturers and retailers. Manufacturers use it to amp up the chances that a consumer would pick their product over another when presented with multiple products on a store shelf. Manufacturers persuade consumers with shopper marketing by considering price, packaging, and special arrangements with retailers for store displays. With retailers, they’re trying to emphasize their store rather than a product. Retailers want to persuade consumers with shopper marketing so that consumers pick their store over another. Location, signage, store layout, lighting, and other factors are all considered by retailers.

What does it mean for advertising?

Advertisers take shopper marketing into consideration when coming up with strategies to advertise new product. If a product they’re advertising is going to be sold in stores, how do you advertise that product in the store? This is the question advertisers ask that brings them to all the aspects of shopper marketing. An example of this is with Maxwell House coffee. When introducing a new coffee brew, the coffeemaker implemented a massive shopper marketing campaign. After 2 million sample cups handed out in stores and a coupon for the coffee at over 8,000 retail outlets, their shopper marketing campaign was a success. The redemption rate for the coupon was the highest the company had seen.

When it comes to the digital advertising world, shopper marketing is just as valuable for online customers as it is for in-store customers and even overlaps with the in-store experience. One example is with Lowe’s and their “Holoroom.” Holoroom uses a tablet app for consumers to start the process of designing their dream room with Lowe’s products. Then, the next step brings consumers into Lowe’s physical store locations to try on an Oculus Rift headset so he or she can see the results of their room design as if they were really standing there in their designed space.

All in all, the shopper experience is pivotal to getting a consumer to buy your product or use your service. Bring in shopper marketing and all the tips, tricks, techniques, and proven tactics to get the sale and you’ve got yourself a new customer.