What's it like to be a potential wine customer interested in information?

1. 10 Shopper
Insights that You Must
Know and dos & don’ts
A Wine Adaptation
Jim Fortune jfortune@bigpond.net.au

2. 10 SHOPPER INSIGHTS
1 Shoppers have difficulty making decisions
2
Shoppers want to feel smart when making decisions
3 Shoppers’ limited ability to process too much information
4
Shoppers use memory to give meaning to objects
5 Shoppers need consistent messages in and out of the store
6
Discontinuity creates triggers to attract shoppers’ attention
7 Shoppers recognize visual stimuli most easily
8
Shoppers use familiar segments to speed up their selection process
9 Shoppers’ tunnel vision and “boomerang” behaviour
10
Shoppers need to be reminded of the items they need

3. Start with a fact not an insight –
something that often seems to be
overlooked for wine

4. 1
1. Shoppers have difficulty making
decisions
decisions
• More choices, more difficult to make a selection
• It is very common for shoppers not to know exactly what
they want.
• Shoppers need information/education to make a decision.

5. 1
1
1. Shoppers have difficulty making
decisions
decisions
Avg. # SKUs Carried by a Supermarket - wine
1200
1000 • 46% shoppers spend
3min+ in front of shelf
800
• 52% shoppers pick up
600
3+ products
400
200
0
1996 2000 2004 2006 2008
Source: speculative data for example

6. 1
11. Shoppers have difficulty making
decisions
decisions
• More choices, more difficult to make a selection
• It is very common for shoppers not to know exactly what
they want.
• Shoppers need information/education to make a decision.
Dos Don’ts
• Assume shopper know how to
• Education in store through
choose products
relevant point of sales materials
• Overwhelm shoppers with point
• Train promoters on how to
of purchase materials!
facilitate shoppers’ selection
process

7. 2 Shoppers want to feel smart when
making decisions
• Shoppers want to
make a wise and
smart decision.
• They also want to be
seen by peers as
making the right
choice.

8. 2
2 Shoppers want to feel smart when
making decisions
Do you think the
shopper will feel
smart with this
promotion?

9. 2 Shoppers want to feel smart when
making decisions
• Shoppers want to make a wise and smart decision.
• They also want to be seen by peers as making the right
choice.
Dos Don’ts
• Disappoint shoppers, even after
• Focus on how to make shoppers
the sale (e.g. high-low price
feel that they’ve made a smart
strategy)
decision rather than on the deal
per se
• Emphasize “Smart Choice” in
promotional activities.

10. 3 Shoppers’ limited ability to process too
much information
• The mind can only process 5-7 pieces of information
• Thousands of stimuli exist in a store:
– Some information is compressed
– Some information is screened out
• Too much information leads to “lock out”
Result: less than
50% of shoppers are
able to recall any
available point of sale
marketing!

11. 3 Shoppers’ limited ability to process too
much information
• The mind can only process 5-7 pieces of information
• Thousands of stimuli exist in a store:
– Some information is compressed
– Some information is screened out
• Too much information leads to “lock out”
Dos Don’ts
• Overwhelm shoppers with clutter
• Stimuli need to be clear and
in store and on the shelf
unambiguous
• Create relevant in-store
communications that help
shoppers make the right choice

12. 4 Shoppers use memory to give meaning
to objects
• Shoppers need to be given a clear stimulus in order to
access their memory.
What’s is the
brand?

13. 4 Shoppers use memory to give meaning
to objects
• Shoppers need to be given a clear stimulus in order to
access their memory.
Is this brand?

14. 4 Shoppers use memory to give meaning
to objects
What’s
this
brand?

15. 4 Shoppers use memory to give meaning
to objects
• Shoppers need to be given a clear stimulus in order to
access their memory.
Dos Don’ts
• Use non-standard font, colour or
• Use visual stimuli that are
shape
consistent with what shoppers
know for better memory retrieval • Use visuals that inconsistent with
those used in other channels: e.g.
• Use existing pathways – colour,
TV ad, print
shape, font…
• Merchandising tools need to
have meaning

16. 5 Shoppers need consistent messages in
and out of the store
SHIRAZ excels at delivering
the sort of BENEFITS that
customers truly desire.

17. 5 Shoppers need consistent messages in
and out of the store
• Shoppers need consistent messages to make the
transition from consumers to shoppers.
Dos Don’ts
• Don’t break the dialogue at point
• Use 360-degree communication
of sale by sending a different
• Align above- and below-the-line
and/ or irrelevant message.
activity
• In-store communication also
needs to be aligned with
shoppers’ needs and mission

18. 6 Discontinuity creates triggers to attract
shoppers’ attention
• The mind ignores what it knows and focuses on
differences

19. 6 Discontinuity creates triggers to attract
shoppers’ attention
• The mind ignores what it knows and focuses on
differences

20. 6 Discontinuity creates triggers to attract
shoppers’ attention
• The mind ignores what it knows and focuses on
differences
Dos Don’ts
• Design without any discontinuous,
• Enhance shelf design &
stimulating element
merchandising tools by using:
– Different shelf layouts
– Different lighting intensities
– Different flooring
– Curved designs
– Different colour patterns

21. 7 Shoppers recognize visual stimuli most
easily
From “flashy” visuals …

22. 7 Shoppers recognize visual stimuli most
easily
… to more subtle but
unique approaches.

23. 7 Shoppers recognize visual stimuli most
easily
What’s this ?

24. 7 Shoppers recognize visual stimuli most
easily
• Shoppers can process information in visual form (e.g.
pictures) much more easily than words.
Dos Don’ts
• Use wordy text in point of sale
• Use pictures/visuals
materials (shoppers won’t read
• Simple words such as SAVE,
them!)
SALE, FREE…

25. 8 Shoppers use familiar segments to
speed up their selection process
• Shoppers first sort out what is not relevant, then
choose among the remaining products.

26. 8
Shoppers use familiar segments to
speed up their selection process
• How many distinct category segments in your local
store?
• Little association between some groups
• Specials segment is associated with all
Bottle Special
Red
Regional occasion Chilled Specials
BIB
White
Ambient
Case inc.
Sparkling
imports

27. 8 Shoppers use familiar segments to
speed up their selection process
• Shoppers first sort out what is not relevant, then choose
among the remaining products.
Dos Don’ts
• Organize products on the shelf in
• Make it easy for the shopper to
a way that is not aligned with
sort out what is and is not
shoppers’ selection logic.
relevant
• Organize the store in a way that
• Organize products based on how
shoppers need to spend more
shoppers make decisions
time to find the brand they want.
• Think about needs-based shelf
layout

28. 9 Shoppers’ tunnel vision and
“boomerang” behaviour
• Shoppers have a tunnel vision when
viewing fixtures at eye level.
• Also, if they cannot find what they want
half-way down the aisle, they often turn
round and leave the fixture.
Corridor side
Module 1 2 3 4 5 6 7 8
Shelf 1
2
3
4
Eye level % of
5 interaction
6
6% - 10%
7
8 4% - 5%
3% or below

29. 9 Shoppers’ tunnel vision and
“boomerang” behaviour
• Shoppers have a tunnel vision when viewing fixtures at
eye level.
• Also, if they cannot find what they want half-way down
the aisle, they often turn round and leave the fixture.
Dos Don’ts
• Don’t expect shoppers to go the
• Place relatively weak brands at
extra mile to find your brand
eye level, so they stand a better
because they won’t!
chance to be noticed
• Place your brands close to the
main entrance of the fixture

30. 0
Shoppers need to be reminded of
the items they need
100%
No
71% of shoppers
make their final Planned to buy
wine?
26%
purchase decision in
store! 74%
Yes
Purchased wine
No or not?
12%
Yes 62%
Not planned but purchased wine
Planned but not purchased wine Planned and Purchase wine
Details of preplan
Closure rate analysis Impulse purchase rate analysis
Why? – In-store triggers
Why? – In-store barriers Changed Plan or
not?
33%
Yes
Why? – In-store impacts (example data only)

31. 0
Shoppers need to be reminded of
the items they need
26% Impulse Purchase
Reasons for Impulse Purchase - (%)
I was reminded by in-store stuff
61
Not planned but purchased wine
It is on promotion now 29
Impulse purchase rate analysis
Recommended by promoter 6
Why? – In-store triggers
Recommended by accompanier 3

32. 0
Shoppers need to be reminded of
the items they need
• Food-wine matching –
talked about, rarely
displayed
• Reminding shoppers
with some label cues.

33. 0
Shoppers need to be reminded of
the items they need
• What’s wrong with pairing?
• Increasing value of recognition and purchase.

34. 0
Shoppers need to be reminded of
the items they need
• Grouping categories in line with shoppers’ logical
selection process triggers their memory and leads to
more sales – whether planned, unplanned or impulse.
Dos Don’ts
• Use secondary displays with
• Organize the fixture around
illogical category adjacency
shoppers’ needs and mission to
make the most of their limited • Arrange the fixture based on
time at point of sale what makes sense to the
Category Manager!
• Create in-store solution centers

35. Summing up
• Consumers and shoppers are two
sides of the same coin, hence
consistency is needed in our
communications.
• The store environment has
enormous impact on shoppers
and their behaviour.
• In order to influence shoppers to
our advantage, understanding
what makes them “tick” is
fundamental.
• Therefore, shopper insights are
key to win “in the last mile”.

36. Thank you for your
Thank you framework & sharing goes
to
Ken Zhang, Zdology
Images courtesy of
Javier Calvar, RI China
web sites and more
formal open access
material such as
FLICKR and
SlideShare