More Related Content Similar to The Military Shopper Revolution Landmark Military Shopper Research (20) More from Curtez Riggs ✌ (8) The Military Shopper Revolution Landmark Military Shopper Research2. ©2017 MARCH Marketing All Rights Reserved
military shopper revolution
about MARCH Marketing
MARCH was founded with the belief
that a deep understanding of the
military community combined with
world-class marketing expertise can
create more positive impact for the
military community
we combine state-of-the-art digital
marketing with a personalized “boots-
on-the-ground” approach to build trust
and foster strategic relationships that
delivers huge results
6. ©2017 MARCH Marketing All Rights Reserved
military shopper revolution
military shoppers
1.3 million active duty service members
1.1 million national guard/reserve
2.0 million retirees
20.6 million veterans
25.1 million total
“Retailers are looking for new customers, but there are few remaining
new markets.
In fact, military discount programs often deliver incremental topline
sales because of the new customers they attract.”
– MARCH Marketing LLC
8. ©2017 MARCH Marketing All Rights Reserved
military shopper revolution
planned vs. impulse shopper
planned shoppers - 90% of veterans
stick to their list when shopping
deal seekers - value is a major focus
regular shopping routine - store
savings programs, sales and coupons
example grocery: 1 in 10 respondents
changed where they shop, driven by
better deals and product selection
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military shopper revolution
military discounts
pass along - 76% learn about military discounts from word of mouth
right discount for military and veterans
target new customers to protect margin
fraud protection/ online verification engines (ID.me, SheerID, GovX, etc.)
85% buy from
businesses offering
military discount over
those which don’t
10. ©2017 MARCH Marketing All Rights Reserved
military shopper revolution
cause marketing
9 in 10 military shoppers act on brands supporting military causes
more than brands supporting other charitable causes/ are socially responsible
National Guard/Reservist, active duty and military spouses are more likely to buy
brands supporting military causes
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military shopper revolution
on base vs. off base
on-base
50% of military shoppers agree that you can save more money at the commissary
within 5 miles of a base, active duty and retirees agreed most
on base, 92% agreed that you are supporting the military’s cause
72% said feel socially responsible to shop on base
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military shopper revolution
new BX/PX online shopping
of surveyed military veterans said they were likely to
shop at the new online exchange
military online shopping represents $34B opportunity
open to 19 million veterans on Nov 11
tax-free, online shopping
veterans more eager than retirees
75%
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military shopper revolution
influence
food/restaurants
home repair
travel
cars/auto maintenance
technology
health-related topics
guns/ammunition
pets
outdoor activities
social media is main channel to influence
military shoppers
72.2% are regularly active on at least one
social media site.
facebook highest among military shoppers
military bloggers are effective, credible way
to influence military shoppers
5% of respondents were bloggers or
managed social media groups
highest influence
shopping categories
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military shopper revolution
new influencer
communities
March On Vets by P&G
veteran influencer-marketing
channel with access to grassroots
connectors and paid influencers
influencer community drives word-
of-mouth for brands
leveraging the engaged veteran
community of connectors and
destination platform & tools, brands
discover unique insights, execute
brand experiences and generate
influential content
19. ©2017 MARCH Marketing All Rights Reserved
military shopper revolution
grocery
military shoppers spend approximately $32.5B on groceries yearly
focus on value (sales and savings programs)
variables in selecting stores include location, product variety and quality, good
customer service and brand trust
women maintain responsibility for grocery shopping, but men are increasingly
involved
half of women claim they make 100% of the decisions for their household, while
69% of men say they share grocery decisions 50/50 with their spouse
majority of military – predominantly older, married men – most often grocery shop
with their spouse
20. ©2017 MARCH Marketing All Rights Reserved
military shopper revolution
grocery
choosing a grocery store, cleanliness, good customer service, appealing
products (fresh food, best quality and broad selection) and convenient location
support of the military is appreciated, particularly among active duty military and
retirees
private label to be as good as national brands and worth the savings
trend toward online grocery shopping is beginning among military vets
younger veterans are most interested in adopting online alternatives
military sites (commissary.com, etc.) already behind more readily recognized
options like Walmart.com and AmazonFresh.com
21. ©2017 MARCH Marketing All Rights Reserved
military shopper revolution
drug store
veterans fill their prescriptions at the VA, with some using retail
pharmacies like CVS, Walgreens, and Walmart
off-base locations are shopped more often than on-base (stores)
factors in selecting a drug store are customer service and broad selection,
convenient location off base and support of the military
22. ©2017 MARCH Marketing All Rights Reserved
military shopper revolution
wireless
$33.3B service opportunity & handsets themselves another $11.6B
retain/ steal: 8% of military shoppers plan to change plan within six months
Verizon and AT&T hold the largest share of the military market, followed by U.S.
Cellular, Consumer, Cellular, Sprint and T-Mobile
choosing a carrier: reliable coverage, good customer service and a low monthly
cost are most important to military shoppers
once they have service, quality customer service, flexible contracts and support
of the military are important
military discounts can attract the attention of the military audience
23. ©2017 MARCH Marketing All Rights Reserved
military shopper revolution
small electronics
small electronics purchases represent an estimated $21.6B annual opportunity
among military shoppers
half of survey respondents recently purchased small electronics, and they own a
variety of small electronics - TVs are the most likely next purchase
leading information sources for purchases are family/friends, product or retailer
websites, google and brand-specific websites
eight out of 10 will wait for a sale to buy electronics, and almost as many
will use coupons
50% compare prices on their smartphone while in store
63% agree they would buy a product online and pick it up at the store
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military shopper revolution
liquor
military shoppers spend a projected $10B
on alcohol yearly
25% visit a liquor store monthly
fair prices leads in importance for store
followed closely by cleanliness, customer
service, product quality and selection
beer brands appealing to their American
heritage resonate with the patriotic
military population
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military shopper revolution
motorcycle
$10.2B market with military shoppers
active duty are more interested in motorcycles than retired military
American brands highly among all military, sports and street bikes
hold greater appeal for those under the age of 40
states like Texas and Florida that over-index in veteran population
versus motorcycle ownership
friends/family are a leading information source early in the
purchase process, with a visit to the dealer further down the path.
current owners for brand advocacy and influencer marketing
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military shopper revolution
banking & investments
with veterans and retired military predominantly living off base, most naturally
bank close to their home or work
remaining 14% of the surveyed military population primarily bank on base, more
using a credit union than bank
majority bank online, particularly for routine transactions like checking account
balances, transferring funds and paying bills
younger members of the military are very open to changing their current military
retirement plan to the blended retirement system, indicating an opportunity for
point-of-entry marketing around basic training or entry into the military
financial institutions need to communicate their specialization in serving the
military and veteran community
Editor's Notes Shift to more online shopping online - Between 2010 and last year, Amazon’s sales in North America quintupled from $16 billion to $80 billion.
Amazon Will Account for Half of All E-Commerce Sales by 2021 - - 4 years!
Tax free shopping for veterans next month
Point-of-entry
Loyalty 1. What is the right discount for military and veterans?
• Examine price sensitivities around similar priced products and services
• Audit other military discounts in your category
• Evaluate different discounted products and services based on margin
• Steer clear of a discount level openly offered to the general public
2. Target new customers to protect margin.
• Military discounts drive topline sales increases, but if those come only through existing customers you can sometimes compromise margin
• The military discount design should drive profitable sales increases for both current and new customers
3. Is fraud protection needed?
• If there is widespread use and it’s still financially beneficial, then there is little need for verification
• If there’s little risk of fraud & abuse by non-veterans (based on how discount is administered) then there is little need for verification
• If there is risk, one of the online verification engines is needed (ID.me, SheerID, GovX)
Note: Each verification engine is different, with different cost structure, so examine each closely to determine the best fit for your discount program. On Base
off-base
3 biggest influencers are location, variety, and brand trust
75%+ of military shoppers live more than 5 miles from a base
(46% suburban and 26% rural)
off base, larger choice of stores with a greater variety of national brands that the military shopper trusts
63% showrooming