Tag Archive for 'consumers'

From Eating Occasion to Store Shelf

Uncovering the Missing Link in Shopper Marketing

A considerable amount of the explainable variation in shopping behavior actually has more to do with changes occurring in Food Culture than it does with things happening in the store. It is my belief that if you are in the food business, it is critical that you really understand food. This means you must understand all about how people eat. Looking through the lens of how people eat exposes the fundamental flaw with today’s food marketing and shopper insights practices: These practices focus almost exclusively on where and how people shop. While this transaction-based data has been extensively analyzed, the drivers of shopping behavior are not fully understood.

We have long believed that a more in-depth understanding of the emotional drivers of eating occasions linked to the shopping experience would provide insights and opportunities to connect food companies and retailers even closer to consumers and shoppers. This is precisely what led to the Hartman Group’s development of a new way of thinking, or what we call Occasion-Based Marketing.

Occasion-Based Marketing is about knowing the right context. People do not consume according to demographics or segments. People consume based on occasions. Occasions are the cultural context that surrounds need states and gives marketers the ability to be truly relevant with consumers and shoppers. Because of this, shoppers choose different categories and brands based on the occasion.

Occasion-based strategy offers cultural context to marketing and innovation based on real category culture, driven by:

  • Trendsetters—consumers, shoppers
  • Specialized media/blogosphere
  • Specialty retailers
  • Mainstream media
  • Mainstream retailers

 Connecting Eating Occasions to Shopping

The evolving changes occurring in food culture have fundamentally changed the way people shop for foods and beverages. This explains, in large part, the blurring of channels as shoppers move seamlessly through a wide array of store types and across multiple product categories. America’s mainstream grocery retailers are fighting battles on many fronts: the restaurant has invaded the grocery store, drug and convenience stores have taken on more food categories (even venturing into fresh prepared foods).

The redefinition of quality has led to the long-term decline in categories with the processed halos. Most of the highly processed center store categories are on steady downward trend line. An increasing number of American consumers are consuming prepared, ready-to-heat and -eat foods. Our Hartman Eating Occasions Compass research finds 17 percent of adult eating occasions involve same-day purchase of food/beverage, most of it within an hour of consumption.

No longer can we afford to restrict our attention on discounting and price-based promotions to fight product, brand and channel switching. While the current recession reinforces this traditional marketing mindset, we believe that Occasion-Based Marketing is an alternative way to win consumers and influence shoppers.

Occasion-based shopper marketing is all about starting with everyday cultural understandings of food that drive what shoppers think when they enter a food retail environment. It’s about making sure that good shopper marketing for foods and beverage never forgets to connect directly with the joy of eating.

About the author

Harvey Hartman - Guest Blogger for Phenomena.com

Harvey Hartman – Founder and CEO, Hartman Group, Inc. and author of “A Brand Called Hope”

With a penchant for seeing what others cannot, Harvey Hartman received national recognition in America for accurately predicting the shifts in consumer behavior that would drive the sustainability, wellness and organic movements into mainstream prominence across the food and beverage marketplace. He is an author, business school lecturer and former Fortune 500 senior executive. His passionate belief in a consumer-driven marketplace paved the way for the Hartman Group to become synonymous with providing unique provocative consumer perspectives of measurable value to clients. Harvey has authored three marketing texts, the most recent being A Brand Called Hope: Reimagining Consumer Culture, which explores food culture and today’s consumer-driven interpretations of quality.

The Shopping List

Share

The shopping list is the Holy Grail for marketers. The more specific (brand name, flavour/scent, packaging, size, etc.) the consumer is, the better. However, “making the list” is only a means to an end. Marketers need to do everything in their power to make sure the consumer executes on their shopping list.

Shopper research usually focuses on understanding how the consumers shop, when they shop, and why they shop. A knowledge gap exists in also the identification of why a consumer “stops” – specifically, why a consumer fails to execute on a particular item in his/her shopping list. Smart marketers ask the following questions:

1) Why didn’t a consumer purchase something on his/her “list?”
2) What did the consumer purchase instead of the listed item?
3) What was the consumer’s work-around/intention for not purchasing the listed item? This knowledge will help marketers proactively plan for some of the shopping “road bumps.”

Typically, in-store media and the lack of appealing choices (package size and price) are common road bumps and deterrents to shoppers’ objectives. A hang-tag on a competitive product might persuade the shopper to purchase Dove vs. Olay soap this shopping trip vs. most trips. An out-of-stock 24-pack (vs. the on-shelf 12-pack) of Evian might persuade the shopper to postpone this specific purchase until she visits the warehouse club next weekend. And, a side comment from a Whole Foods employee about the merits and authenticity of a packaged rice pilaf mix might actually persuade the shopper to create the side dish herself.

Obviously, as marketers, we can’t control the settings in which shoppers shop (with the exception of web presence and branded store environments). However, marketers should do everything to understand how the environment ultimately impacts the shopping behaviour. Regular review of in-store media activity, branded and store label competitive pressures, and pricing fluctuations should be routinely analyzed along with scanner data. In-store consumer behaviour (whether via a complicated, neurological device or via the professional eye of a trained market researcher) should be observed to see what happens at-home, in-store, at-shelf, and ultimately, at the cash register. The path to purchase is lined with many road bumps; marketers need to understand how to help navigate shoppers to success.

About the Author

AnnaMariaTurano - Guest Blogger for Phenomena

AnnaMariaTurano - Guest Blogger for Phenomena

AnnaMaria Turano is a partner and Executive Director with MCAworks, LLC – a strategic consultancy based in Westport, CT. AnnaMaria leads client engagements across a diverse set of industries including financial services, food/beverage, pharmaceuticals, telecommunications, and software. She has helped companies develop and roll-out strong customer value propositions and strategic plans as well as identify new opportunities for growth via new products, new targets, and new geographies.

AnnaMaria is co-author of Stopwatch Marketing (Portfolio: 2008) and is also a featured contributing author to Shopper Marketing (Kogan: 2009).

AnnaMaria holds both an M.B.A. and a B.A. from the University of Chicago. She has taught marketing at NYU’s Stern School of Business and Fordham University; she is currently an Adjunct Professor of Marketing at the University of Tampa.

Subscribe