ShopperGuage, is a state-of-art shopper in-store monitoring system that can tell you what works and why. Or why not. Finally, retailers and manufacturers can measure REAL shopper behavior. So they can take action in real time, to improve their in-store performance.

1. in-store behavior monitoring system
©2010 Rock-Tenn Shared Services, LLC, Norcross, GA. All rights reserved.

2. SHOPPER MARKETING NEXT
New Insight Tools
– Understand the in-store environment
– Understand shopper behavior
– Optimize impact/ROI
The Insights Baseline
§ What works/what doesn’t
§ Category/brand implications

3. BARRIERS TO SUCCESS
Complexity of Generating Real Insights
– The risks of sampled data
The Blindside Factors
§ Shrink
§ Out-of-Stocks
§ Faulty Assumptions & Folklore

4. REAL INSIGHT COMPLEXITY
My Concepts Didn’t
48% Make it to Retail
I Don t Know
57% if it Worked
I Can t Seem to
69% Get Answers

5. SHOPPER BEHAVIOR?

6. SHOPPER BEHAVIOR?

7. REAL SHOPPER BEHAVIOR

8. REAL SHOPPER BEHAVIOR

9. REAL SHOPPER BEHAVIOR

10. REAL SHOPPER BEHAVIOR
#1
High
Traffic
Location

11. REAL SHOPPER BEHAVIOR

12. NEW BEST PRACTICES
Collect Data in Natural,
Unbiased Environment
– On Large Scale
– In Real Time
Continuous Monitoring
Flexible / Instantaneous
Testing of Variables

13. REAL SHOPPER INSIGHT
Are Shoppers Engaged?
Is the Offer Working?
Off-Shelf vs On-Shelf?
Which Message Sells Best?
Does Location Drive ROI?

14. HOW IT WORKS
VideoCams Record Shopper Traffic

15. HOW IT WORKS
VideoCams Record Engagement

16. HOW IT WORKS
On-Shelf Sensors Record SKU Movement

17. HOW IT WORKS
Seamless integration with store and external systems
Weather Service In-Store Media
Point of Sale
RFID Staff ID Promo Calendar

18. HOW IT WORKS
Real-time data for
desktop analysis & action
TRENDS
TRAFFIC
STORE vs TIME
DWELL STORE
CONVERSION
DAYPART

19. 360º VISIBILITY
From store-level patterns…
Daily Traffic, Dwell & Conversion

20. 360º VISIBILITY
to category engagement …
Category Engagement & Conversion

21. 360º VISIBILITY
to individual shelf SKUs …

22. 360º VISIBILITY
… to chain-wide reporting

24. NOW ACTIVE IN 100s OF STORES
5 Major Chains
§ Grocery
§ C-Store (2)
§ Drug
§ Department
20+ Specialty Chains
Pilot Lab Store

25. GROCERY PROJECT
Retailer Volume is Unacceptable
§ Customer believes shrink is an issue
§ Brand listings at risk
Brands need to improve Customer business
Methodology
§ Measure and understand Shrink
• Propose Shrink-reduction strategies
§ Measure and understand Volume
• Propose Volume-enhancement strategies

26. GROCERY PROJECT
Understanding Shrink
§ It is a shelf issue, not a back room issue
Shipping
Unpacking
Stocking
Store
Shelf

27. GROCERY PROJECT
Understanding Shrink
§ It is a shelf issue, not a back room issue

28. GROCERY PROJECT
Understanding Out-of Stock
– It is an even bigger issue than Shrink.
• Brand often not on the shelf most of the day!
– 100% of OOS, there is inventory available in the back room
• $1MM+ Retailer opportunity for this one product!
Avg OOS Avg
SKU
Inv. Events OOS Duration
28ct .82 1 14 hr 8 mins
42ct .5 1 12 hr 3 mins
Pegged 11.0 0 0 hr 0 mins
Gastrointestinal Tablet Brand
24 hour-day Dec 13,2009

29. GROCERY PROJECT
Understanding Out-of Stock
– Can be traced to day parts
– Most egregious: 3-7pm (43%)

30. GROCERY PROJECT
Understanding Out-of Stock

31. GROCERY PROJECT
Understanding Volume
– It is a Dwell Time issue
– Shelf sets not optimized for stoppage or engagement
Avg Unit $
Item Avg $
Traffic Dwells Dwell
Picks Sales Sales Sale
Time
989 7 8s 3 2 $49 24.62
892 10 12 s 7 6 $91 15.22
Skin Care Example
Dec 20/27, 2009

32. GROCERY PROJECT
Shrink, Volume: Skin Care Example

33. GROCERY PROJECT
Shrink, Volume: Skin Care Example
All-new merchandising approach
– Vertical blocking
– Light fixture
– Messaging
– Floor graphics
Theft deterrents
§ PVM - brand content, face motion-activated
§ Audio alert – chime on sweep events

34. GROCERY PROJECT

35. CASE STUDY: CEREAL
Drive Traffic Into the Aisle
Traditional Aisle Set
– Little/No
Messaging

36. CASE STUDY: CEREAL
Drive Traffic Into the Aisle
Store
traffic
=
46,390
21% go Aisle
Cereal
to the
Traffic
=
aisle
cereal 9,756
14
%
engage
Brand
For
an
average
he
23
with
t of
Shoppers
brand
=
1,397
seconds
Brand
47
%
Buyers
purchase
brand
=
650

37. CASE STUDY: CEREAL
Drive Traffic Into the Aisle
Solution:
§ Leverage GM
Umbrella Positioning:

38. CASE STUDY: CEREAL
Drive Traffic Into the Aisle
Solution:
§ Leverage GM
Umbrella Positioning:
§ Group into an 8 set

39. CASE STUDY: CEREAL
Drive Traffic Into the Aisle
Solution: Overhead
Cam
– Leverage GM
Umbrella
Positioning:
Face
Cam
§ Group into an 8 set
§ Create a Cereal Showcase
Shopper Benefit:
§ Whole Grain Goodness
A healthy choice

40. CASE STUDY: CEREAL
Drive Traffic Into the Aisle
Methodology:
– Analyze impact of
the showcase on:
• Aisle Traffic
• Engagement / Dwell
• Conversion to Sales
• SKU level
conversion
• Sales by Shopper/
household
– Base vs Test Period

41. CASE STUDY: CEREAL
“engagement”

42. CASE STUDY: CEREAL
Results
AISLE TRAFFIC Higher increase
Aisle traffic as % of
# Customers that walk than any previous promotion
through the aisle
store traffic increased 15%
STOPPAGE POWER # of shoppers engaging with
Shoppers stopping
% of aisle traffic that stop and
engage with the product the Brand increased 200%
increased 180%
DWELL TIME Dwell Time
Amount time shoppers
spent with the product Decreased 23%
CONVERSION Brand Conversion
% of shoppers walking by
that purchase the product Increased 8%
SALES Brand sales as %buyers had
11.2% of Brand of Category
Sales for Brand Sales Increased 17%
the product been buying other20.2%
sales increased brands

43. CASE STUDY: CANDY
Measure Impact of Display

44. CASE STUDY: CANDY
Measure Impact of Display
Display
1
Display
3
Display
2
Display
4
Main
Entrance
inbound
traffic,
Proximity
to
Promo*onal
adjacent
to
loyalty
kiosk
Waters
department
Main Entrance outbound Rear Entrance outbound
traffic, in path to checkout traffic, in path to checkout

45. CASE STUDY: CANDY
Results
VISIBILITY Average customer
Product Exposure
# Customers that
walked by a display
walked by 1.8 times
Increased 498%
SHOPPERS # of shoppers
# Customers that
engaged with the product increased 340%
DWELL TIME 30% higher at the displays
Amount time shoppers
spent with the product compared to the shelf
CONVERSION % ofProduct Conversion that
total store customers
% walking by that
purchase the product
purchased increased 665%
Increased 51%
SALES 8.1% had been buying
Brand Sales as % of Total
Sales for Brand Sales Increased 804%
the product other candy brands
Candy Increased 2,488%

46. SUMMARY
Take Action
in Real Time
to Improve Your
In-store Performance
www. .com

47. www. .com
REAL IN-STORE ANSWERS
©2010 Rock-Tenn Shared Services, LLC, Norcross, GA. All rights reserved.