Friday, August 5, 2011

Consumer Buying Conflict: Who Knows the Public Best @Retail?


*Editing in progress






In a time where marketers and retailers are scrambling for a competitive edge I find it amazingly puzzling how often they do not leverage each others information. It seems more often than not do not even fall across the same conclusion regarding what consumers do and do not want in the marketplace. As a part of a market leading consumer goods company the information gathered from marketers on consumer buying habits are the first thing that is commuicated amongst the sales force. My current company looks to be a resource that achieves mutual benefit in growing our business as well as the customers. Nothing puzzles me more though than when retailers (be it small convenience chain or big box such as Wal Mart) do not arrive at what is driving their business.Or even worse not leveraging the resources of their vendors to come to more solutions that equal maximized solutions for particular industry's they themselves do not claim or seek to be experts in.

I also find it ironic that in the age of information, social networks, and what I will deem this decade to be ("The Age of Sharing"), I find it puzzling the amount of disconnect between consumers, voters, participants or end users  and the powers that be that seem more distant than ever. This could be a result of the number of measures now used to draw conclusions of what people want through research, surveys and consumer grouping etc but I seem to believe that the disconnect is a result of agendas. Agendas that have retailers and buyers and even Washington legislators not LISTENING. During the recent debt negotiations depending on who who one sides with, speak to, or network you watch arriving at what the American people want or who they are is not the easiest of tasks. So how much of the data that is collected is accurately used or represented? Example: I could tell you that all 10 SKUs in my company's brand category perform well as a whole if I choose to represent all 10 of them under the banner of the brand. As individual SKU's or flavors though, one might discover maybe 4 of the 10 flavors are carrying the load, or are effectively representing the brands success. This is strategic information one would choose to share at your discretion but can be compromised with the proper unbiased and credible resources. How can the age of information be so wrong, so often in delivering favorable results? We are more engaged than ever measured by more metrics than ever. It seems so many of those responsible for delivering to the end user are far more consumed with what they would like to be perceived as or would want customers or voters to value more than listening to the true atmosphere before them. There was a time when businesses learned to engage with the customer, than they learned to adapt more quickly, now they need to LISTEN with intent to deliver. We see a bit of this now with changes like grocers taking out undesired self check out lanes.
At at time where Nielsen, IRI, focus groups and other data driven resources are so leveraged successfully at one level it seems the trickle down is just now beginning to be felt at a retail level. The confections company that I work I believe does a masterful job of leveraging accurate and credible information  to prove our worth and differentiate from the competition on several levels. Informing buyers at headquarter and retail level is something the company thrives on but the inability for organizations to adopt our recommendations as experts of the industry an not just our own products and brands baffles me when retailers do not seem to put forth the same investment in time credible non bias information.
 It would be interesting to see a ratio comparison of the investment dollars spent and resources used on consumers buying habits, wants and needs and industry trends based on retailers vs. product developers. Below are 3 articles that share what customers habits are at retail. See if you identify with the information they have discovered among most consumers. Then see if your grocer or retailer is listening. Enjoy

Proof of conflict at retail. I noticed the trend in the soda industry more popular than ever, soda made with REAL sugar. Dublin Dr. Pepper, Mountain Dew, Pepsi and 7 up. The article below says that Americans are drinking less sugar infused beverages. In a weak economy it seems commodities such as sugar are more highly consumed as a cheap treat, and I would believe that most would prefer a true cane sugar based beverage over a "zero" you name it. Another example of an industry going against what they "say" consumers want. Who knows the the end user best?

Link: AOL/ Huffington Post: Americans Drinking Less Soda, Consuming Less Sugar


There's enough stress going on in our daily lives so marketers  have discovered the K.I.S.S. method is best for retail math in these tough times.

Link: Is More Really Less? Go Figure!


Front counter mint selection

Even in the UK it stands true that the gum and mints business is an impulse item best delivered closest to the register. This discourages shoppers from second thoughts of over indulgence and retailers benefit from the unplanned purchase..

Link: Cash In: Mints & gums - Ed-chew-cation

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