Shopper Culture

Myth or Truth? Don’t Grocery Shop on an Empty Stomach

With the proliferate amount of weight loss advice circulating in the media today it can be confusing for shoppers to know what to believe. “Don’t skip meals!”, “Hunger may actually be thirst!”, “Don’t grocery shop on an empty stomach!” — we often hear these age-old pieces of advice, but are any of them actually true?

Two researchers at Cornell University decided to put the old adage “don’t grocery shop on an empty stomach” to the test. They wanted to know, is it actually detrimental to those looking to cut calories and loose weight?

They conducted a study with two different shopper groups, one group had not eaten for five hours and the other group ate a snack right before grocery shopping. They found that both groups bought a comparable quantity of groceries, however those who shopped while hungry did indeed pick more high-calorie foods. This helps explain the compulsion we often have around the checkout section of the store. At the end of our shopping trip we are at our weakest (tired and hungry) and have one more chance to reach for a calorie dense, pick-me-up snack such as candy or soda. Even if you have a shopping list to help keep your trip on task, chances are you will deviate from it to satisfy your rumbling stomach. 

Article Source: New York Times 

Photo Source: ABC News 

 

Mother's Day: Celebrating All the Mothers in Your Life

Mother’s Day has traditionally been thought of as a day to celebrate your mom. But increasingly, consumers are seeing the day as a chance to show their appreciation for all the special women in their lives who are mothers. Mothercare, a UK-based retailer, created a Facebook video showcasing the average mom’s point of view of the special day:

“It is a day set aside to dedicate and honor the women that give us so much love.”

This expansion of celebration is evident in shopper behavior and spending. According to Forbes, 23.5 percent of Mother’s Day spending will be on wives, 10.5 percent on daughters, 8.5 percent on grandmothers, and 8.2 percent on sisters. 

Retail is responding to this shift. For instance, while Ann Taylor Loft touts its Mother’s Day Must-Haves, they also remind shoppers of all the special women in their lives. As greeting cards are a common gift, retailers are expanding their collection to offer options for different recipients (e.g., aunt, sister, goddaughter). As marketers, we have to consider for whom shoppers are buying when we message around Mother’s Day.

 

Contributed by Jillian Kyle and Molly Paskal

Turning Up The Lights May Turn Up Sales

I recently came across an interesting study released on the Social Science Research Network by an academic team led by Kyle B. Murray of the University of Alberta in Canada. The study reports that the weather affects shoppers' moods and ultimately their spending habits. For instance, shoppers that were questioned while being exposed to a sun lamp were willing to pay more (21% to 56% more for some items, in fact) compared to shoppers that were questioned in settings without a sun lamp.

Now, this got me thinking. How does this play out in the retail setting? We cannot control the weather but we can control the retail environment. Perhaps retailers can boost sales by bringing "good weather" inside. The research team susggests that installing bright lighting may help brighten shoppers' temperament (and spending). Or to push that thinking even further, perhaps retailers could install large windows or fake good weather inside with natural elements. We see nods to nature in retail settings today from soft curves to organic materials and bright colors. In fact, the Retail Design Institute noted that biomimicry was a major trend in retail design this past year during their presentation at GlobalShop. Another trend; monochromatic. We see a lot of all white spaces. It really helps brighten the room and make the product pop.

So, in a world of retail renovation and innovation, consider what you could do to bring the "good weather" indoors. It may boost your sales.

Photo Source: Retail Design Institute

Collecting Shopper Data for the Shopper

73% of smartphone owners are concerned about personal data collection. 55% are wary of sharing information about their location. (NielsenWire.com)

That’s a lot of people who, in good faith, are limiting the data they choose to share, therefore limiting the potential of having better shopping experiences. In the world of big data and data collection, it’s critical that brands and retailers continue to push forward and use the information they collect to not only drive sales, but to improve and maintain positive relationships with shoppers.

Value Is in the Retailer

While I was recently on shopalongs spanning different CPG categories with female shoppers, there was one universal finding: value was associated with the retailer more than with the actual product. In marketing, value is defined as what you get for what you pay. However, when shopping certain categories, such as diapers or laundry detergent, many shoppers didn’t want to sacrifice performance to pay less. In those instances, it was all about where they chose to shop. They shopped at Target to feel good about receiving a free $5 Gift Card, or went to Walmart believing they’d find good prices on the brands they love, or bought their diapers from www.diapers.com to receive free shipping and five percent back. Value for these women was a product of the store and, therefore, factored less into their brand decision. It’s important for us to understand how different shoppers define value so we can overcome purchase barriers and effectively close the sale.  

Photo Source: www.allthingstarget.com

What Role Should Retailers and Brands Play in Social Media?

Though the social web is an ever-evolving, complex space for brands and retailers to play; there are some guidelines for success. The Integer Group, in partnership with the North American Coca-Cola Retailing Research Council, recently released the final two parts of its series Untangling the Social Web. These final parts offer step-by-step tips for creating social media strategy for external communications (Part 6) and internal operations (Part 7).

Though internal and external strategies have their differences, the study indicates that both require a brand or retailer to truly understand their social role—that sweet spot where their own values and the values of their connections intersect. After all, the social web is a place that thrives on two-way dialogue. What's your contribution to the conversation? 

Download Part 6 or Part 7 to read more about how to define your own social role as well as how to activate it in the social web. 

New Integer Pulse: What's Heating Up in the Kitchen?

What’s at the heart of most homes? The kitchen. And in 2013, anything goes as long as it makes sense for the homeowner and their style of living. Below are five intriguing kitchen trends from Susan Serra on Countertalk and our thoughts on why they should matter to your business.

Modernizing classic styles: A good example of a classic reinterpretation is the new country kitchen. Forget the ducks with red ribbons. New modern country design elements include natural finishes, such as slate or matte, and engineered stone to bring an authentic look into the space. Those who are still into modern and austere will add antiques in small collections, oversized statement pieces or a touch of an urban/industrial vibe here and there to soften and warm the modern edge. Putting it in perspective: By making ads, displays and products topical to this trend, we can sync with shoppers’ design desires.

Click here to read more in this issue or here to read past issues of the Pulse.

New Shopper Insights for Download: Integer's Latest Conference Presentations

Hungry for some fresh insights about the current state of shopping? Download the latest presentations Integer has shared with the industry including:

• P2P Institute: Are We Still Shopping Smart Post-Recession?
• POPAI: Shopper Pulse
• P2P Institute: Shopping Perspectives on Health and Wellness
• IIR Shopper Insights In Action: The Emotional Shopper Journey: How Research on Shoppers' Feelings Enables You to Understand and Influence Their Behavior

Or click here to check out other presentations.

Are Your Shoppers Actually Connoisseurs?

Have you noticed that your friends have recently transformed into "experts" on everything? They demand the best in all their purchases, from craft beers to video games and running shoes to food carts. Having an endless supply of information at our fingertips has resulted in everyone becoming "experts on" everything with a minimal time investment. We're looking to fast-track our way to Gladwell's 10,000 Hour-Rule. A recent New York Times article explored this phenomenon that has resulted from a simple equation: consumerism plus information equals the rise of the connoisseur.

Consumers, overwhelmed by choice, are looking for the “best” of everything. Time and money constraints have made the traditional road to connoisseurship too difficult for most; however,

What We Say vs. How We Shop

A while ago, we recounted the story of how a simple divider in a shopping cart can radically change shopping behavior. In fact, the little sign that said, "place produce here, all other products there" doubled fresh produce purchases during the experiment.

Additional secondary research by Collin Payne and Mihai Niculescu found that this was massively more effective than other produce marketing methods (shelf labeling, advertising, coupons, etc.), which often only increased sales a couple percentage points.   

But we began to wonder if such a persuasive marketing method would ever survive the standby of shopper research: the direct response survey of purchase intent. So we fielded the question to a panel of 4,593 US shoppers.

We found that a cart divider ranked last in what people claim would influence them to buy more produce.

When asked directly if a cart divider would influence their produce purchases, an overwhelming majority said it would have no effect.

Shopping in your PJs: How a Children's Hospital understands Shopper vs Consumer

If any of you readers have elementary aged children, you’re well aware of Pajama Day at school. Wake up and wear your jammies to school all day. Of course Moms don’t allow their girls to just wake up and go. No. They wake up, change them into new, freshly pressed pajamas, brush their hair, doll them up and then send them to school. Boys? Boys just wake up and go. Bedhead and all. But this post into about the reasons why parents want their girls looking their best and boys looking like…

This post highlights how marketing to the shopper was applied to a children’s hospital -- a top ten hospital in the country. I, for unfortunate circumstances, spent the last three days at this children’s hospital with my son, who had a serious runaway bacteria in his stomach. The first morning, after a long night at the hospital caring for my son, I woke up, showered, shaved, deodorized, combed, changed and wandered off to find some food and fresh air. What I witnessed was nothing less than Parent Pajama Day at the hospital. Are all rules of public dress and hygiene suspended at this hospital? Did I not get the memo?

As I spent the next couple days becoming more familiar with my environment, I, too felt okay milling about in my flannel bottoms and two-sizes-too-large t-shirt. The hospital obviously took great care of children, but they knew who the shopper was. The Parents. They created an environment filled with places, spaces and activities for the adults to take care of their children and themselves.

Added Value for Catalog Shoppers

One of my favorite stress relievers is thumbing through catalogs. It doesn’t matter what kind, J.Jill, Pottery Barn, Athleta, William Sonoma, or Crate and Barrel. This past Sunday, while indulging in some stress relief on my couch, I noticed something in Crate and Barrel’s latest catalog, “January Inspiration 2013,” that caused me to sit up and take notice. Peppered throughout the pages were little tidbits of complimentary info that Crate and Barrel offered its readers for free. It was a brilliant added value that I have yet to encounter in another catalog. On a cozy living room design page was this suggested Scrabble app.

NEW REPORT: How-To Develop Social Strategy

Brands and retailers have embraced the social web finding incredible value in its ability to connect with shoppers, evolve a brand and even hire new talent. But the rapid pace of its growth has left many brands and retailers struggling to find a clear and strategic path forward. 

Therefore, the North America Coca-Cola Retailing Research Council (CCRRC) partnered with The Integer Group(R) to provide two additional parts to the series Untangling the Social Web: Insights for Users, Brands and Retailers. Last year's releases (Parts 1–5) provided foundational knowledge to decode the complexities of the social web, including why it's so alluring, its role in the shopping process and its value to brands. 

This year, Parts 6 and 7 of Untangling the Social Web dig in to the nuts and bolts on how to develop social strategy and effectively engage in the space. Written in a "how-to guide" fashion, Part 6 and 7 use expert input, industry examples, and hands-on exercises

Paper Versus Plastic

According to the National Retail Federation, in 2012 Americans spent $50 billion on retail via credit/debit, which equates to $427 in transaction fees per household.  If shoppers were fully aware of the hidden fees bank/credit card companies imposed upon retailers; 2% of each credit card transaction, would we see a shift in shopping behaviors? If retailers were required to post the fee amount, would people stop shopping at stores with high fees or use a different form of payment?

A number of small businesses, boutique retailers and restaurants around the country have shifted to cash only or set minimums for credit card transaction.  For example, the famous steakhouse Peter Luger in Brooklyn, NY only accepts cash and if you don’t have the cash you can use their debit card machine.  The large club store retailer Costco only accepts cash, checks, debit cards, or American Express. Per Costco’s website, they don’t accept other major credit cards because their “exclusive arrangement with American Express helps to assure the lowest transaction fees available, which in turn helps keep prices low.” Costco shoppers are okay with this policy because they value receiving low prices over paying with plastic and earning rewards points and Peter Luger customers prefer to receive quality food.

For some companies curtailing transaction fees may lead to higher revenues and/or lower product prices, however traditional grocery retailers may want to consider a hybrid approach. Given the economic condition of our country and the fact that a number of households depend upon their credit cards for survival, this practice would alienate a large portion of customers.  As an alternative, these retailers could specify day(s) of the week featuring cash, checks, or debit cards only and offer storewide savings.  The savings the retailer generates from not having transaction fees could compensate for the storewide sale, generate more traffic and/or new customers. Times are changing and who knows when a shift in shopping behavior will occur. 

 

The Australian Grocery Channel in Review, 2012

As 2012 comes to a close, we take time to review the grocery landscape in Australia, how it has evolved, and the notable trends we’ve observed throughout the year.

While smaller retail groups such as Aldi, IGA, and Costco have begun making inroads in the Australian market, the powerful duopoly that is Coles and Woolworths has continued to dominate.