Expected to be released in November, this should prove an interesting review. According to the press release, the aim is to “engage in research to develop a 360-degree perspective on successful industry practices and key shopper marketing challenges.”

Miller Zell has long said that in-store communications and marketing programs have greater impact on incremental sales than traditional forms of advertising. However, it will be interesting to see how Booz defines the “360-degree perspective” for shopper marketing. From our perspective it includes everything from signage to fixtures to environment and lighting.  Every aspect of the shopper experience is creating  a connection with the brand and should be deliberately considered as part of the marketing plan.

Click here to watch shopper report

To say that marketers are facing a huge challenge right now is understating the obvious. Nevertheless, just as shoppers are being coached to diligently manage their budgets and stay out of stores, marketers must be reminded to stay focused on the goal of not only motivating shoppers to purchase, but keeping them engaged with the brand.

Marketers must be creative and direct with their messaging. Inside the aisle of the store presents the most direct opportunity to sway the customer one way or another — a captive audience with plans to spend. However, use of in-store communications must be strategic, creative and well-planned to catch the shoppers’ attention.

While Miller Zell’s recent study shows that more people are making shopping lists, we also found that shoppers are still receptive to the right in-store influencers. A recent news story by Georgia’s favorite consumer advisor, Clark Howard (watch the report above) advises shoppers to avoid being influenced by in-store communications, increase coupon use and stick to the list. Good advice, but if this is what you’re facing as a marketer, how do you adjust to communicate with your newly focused shoppers? Are your in-store communications compelling enough to deviate from the list and add your item to the basket? Does your strategy keep your shopper loyal to your brand when they’re in the aisle? What is your strategy for winning the battle at the point of decision?

Kraft recently announced plans to increase “retailer-specific in-store marketing program[s] for Meal Solutions.”  Realizing that demand is increasing for this type of information in the store, the manufacturer is partnering with Meijer and other major retailers to roll out programs that will meet the need. This is a great example of retailers and manufacturers working together to improve everyone’s position on the chain. According to CPG Matters, Kraft’s Denny Belcastro stated that, “Ultimately, were looking to create a point of difference for our key retailers with meal ideas that provide solutions for their shoppers.”

Publix grocery stores have also heavily invested in the meal solutions idea with the Publix Apron’s program. Demo tables are set up in stores where shoppers watch as employees create simple, easy meals while they wait.  They can then sample the recipe (to make sure it’s worth the trouble), pick up a recipe card and gather all the ingredients in a case right beside the demonstration station. Publix has even opened Apron’s cooking schools featuring celebrity chefs and tested the idea of a Make-Ahead Meal store, although that didn’t go so well.

What do you think of the meal solution idea? What are some other creative ways manufacturers and retailers can work together to stimulate sales in the store environment?

Ellison, who is responsible for directing sales efforts, acknowledges that the biggest challenge retailers are facing right now is, “finding a way to adjust to the customer’s buying patters and to adjust to the natural trend of people spending less.”  The article goes on to focus on the value of the retail experience and equipping sales personnel with the tools to deliver a stand out experience.

Ellison says, “You’re not going to improve staffing on Monday and improve your financial results on Tuesday. But it’s something that you have to be committed to.” Many times we’ve discussed the question of whether or not current spending habits will be sustained after the economy recovers. It seems retailers are understanding that while the question is not easily answered, only positive results can come from investing in the store experience and maximizing each shopper interaction no matter what happens.

Click here to read the entire article.

Internet is choking newspapers.

Could in-store media make television advertising obsolete?

TV ad executives are scrambling to assure investors they’re not in trouble. However, CBS shares dropped nearly 13 percent after announcing a quarterly loss and revenue well below expectations. The network has even gone so far as to advertise to its advertisers.

In-store media and shopper marketing has its share of skeptics as articulated by Peter Breen at the In-Store Marketing Institute. Although television advertising is suffering in the recession no one is calling for its total demise, but the writing may be on the wall. Smaller ad budgets, shorter attention spans and TIVO-using, commercial-skipping television audiences are taking a toll. Prices of ad buys have dropped, however the creativity required to capture the consumer’s attention is at a premium. Adding more fuel to the fire are consumers asking the question, “What’s in it for me?” Frugal shoppers want to be convinced that a purchase is valuable. Dr. Pepper Snapple Group’s Rob Colarossi said at the In-Store Marketing Summit, “It’s not about the brands. It’s about truly understanding and looking through the lens of the shopper.”

According to Breen, retailers are catching on.  In his article, “What ‘Shopper Marketing’ Means to Me” he cites several examples of how retailers are implementing shopper marketing programs aimed at creating lift by catering to shoppers’ needs in the store.

Predicting the demise of television advertising may be a stretch. However, at the minimum a symbiotic relationship must begin to emerge between TV and in-store media. TV ads may get them there but in-store media makes them buy.