Maridel Regala Senior Account Manager, Amethyst
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1 Module VII. The Point of Sale Maridel Regala Senior Account Manager, Amethyst
2 C. The POS : The Critical Junction in Shopper Marketing The era of consumer marketing is over, and now we are in the age of shopper marketing. Retail is the new center of marketing gravity. Sarah Britten BizCommunity.com 2015 Jan Your quest to innovate and maximize profit is dependent on how shoppers lives are made easy as they lay their hands on purchases that substantiate value for their money. From the business standpoint, shopper marketing is the final junction that actually puts the money to the company s vault. In the past, it is considered profit when shoppers place your products in their shopping carts. But now, with all kinds of competition and new products becoming readily available, it is only until the shoppers pay for the purchase at the check out counters, can it be considered a profit. Customers naturally stop and think, change decisions at that critical point. Shoppers typically make 3 investments when they enter a store: Money - where shoppers look for good deals, with the word SALE or bonus pack or free is still a major trigger point for purchases Time - the valuable seconds the shopper spends, retailers/marketers desire to convert into sales; Angst - the emotional capital when shoppers cannot get what they want or confused by the offerings available. That is why tag lines are created to help communicate the product s benefit to the target market and at the same time satisfy the angst that every shopper has. Harsh realities affecting Your Brand vs Competitors Ideal scenario that helps shoppers navigate. Shelf Display (Attractiveness) Planogram POP s Installation Promo Packs Availability Pricing and Benefits Main objective is to help shoppers navigate, inform or inspire and try your brand over the others. Factors involved and which can be controlled is Shelf Display, special offerings and availability where ever they go in the supermarkets and finally statement of benefits thru consumer interaction.
3 TRADE MARKETING RESOURCE Trade Marketing is within the purview of shopper marketing with its growth/progression encompassing Business to Business and Business to Consumer management. This is where your trade marketing partner comes in handy. Trade marketing resources available to every business marketer are: The Ins and Outs of Trade Account Policies -efficient collaborative work with trade outlets not just for optimum display but for additional free displays thru cross merchandising and other possible exposure in the trade. Analytics and Metrics People Ins and outs of Trade Account Policies Resource Generalities & Specifics of Trade Merchandising Consortium The Generalities and specifics of Trade Merchandising -this includes but is not limited to efficient deployment, pops and special projects implementation and the nitty gritty stuff involved in merchandising. Logistics and Warehousing Consortium -these are partnerships developed with other companies to share merchandising expenses, with agreed rules of engagement and budget management. Logistics and Warehousing Support -the ability of your partner to manage your stocks for special projects, bundling activities, deliveries and implementation without you worrying anything at all anymore. People -ensures continuous training for the trade people deployed in your behalf while monitoring of production efficiency Finally, your resource partner must be adept and updated on analytics and metrics Analytics and Metrics Client cascades prod info, and planogram, ERP facilitates recruitment, hiring, training, intro and deployment ERP assists in facilitating approval of consortium in the trade ERP monitors cannibalization headcount expense vs budget ERP monitors shelf sale, competitors activities, proposes counter plan, implements bundling activities. ERP installs POP materials, seeks other display areas for cross merchandising ERP schedules and implements special activities ERP ensures merchandising standards, targets and objectives are reached Trade Merchandising is a continuous alignment and re alignment process, following the step by step procedure and policies of accounts, while ensuring client targets are reached, not just for optimum display but also in terms of shelf offtake.
4 The TMS or Trade System is cloud-based, or client has the option for intra-net structure. It monitors real time, inventory and trade off-take. The evaluative system can extend to ROMI (Return on Marketing Investments). Marketing Score Card : ROMI: Going beyond Media to Trade Technology Integration to Marketing Framework Input Process Output Trade Activity Monitoring (Own brand & Competitor) Proprietary Trade Data Process by Trade System & Axiom Trade Activity Monitoring Facility Market Analytics (as benchmarks and indicators ) Real time inventory monitoring of trade off-take ROMI deliveries and relationship performance (sales vs media platforms) ** Cloud-computing facility ** Inventory monitoring of Trade off-take ** Analytics system directly interrelated with Axiom ** Down-pat report on ROMI deliveries. Integrated Metrics This system provides various trade information on a per week basis. it is basically a program that allows our principals to monitor, analyze and maximize the data gathered by our people. With just the click of the mouse several reports can be extracted. These reports can be customized- real time or past weeks, certain accounts or branches only or a combination as well. Summary of Results: Comparison of Means Sample of data extracted from TMS 1.34 increment Bar Chart compares sales offtake between with and no trade activations T-Test validates chart report. 19% sales increment may appear impactful. T-Test reveal the increment is not statistically significant. The kind of reports that you need can be customized in the program created specifically for your brand. REPORT MODULE Report: Off-take Back Tracking The data comes from the trade resource deployed for the brand, submitted and updated on a weekly basis. This is an example of the raw sheet, or reports submitted by the trade people or merchandisers.
5 CASE STUDY COMPANY X Company X is a multinational company who pioneered product x in the trade Priorities focused on pipelining, shelf display and information dissemination Over the years, Shelf Display established its importance especially when competitors began appearing in the Trade. Company X hired us to implement both their merchandising and Special Projects in and out of trade Entrusted us the monitoring of Trade Output via the TMS Analysis and Cost Factoring Cannibalization measurement & Competitors Activities Effect Availability, Months Covered and consumer purchases Report: Off-take Back Tracking With the TMS, client X was able to draw insights to plan out both below and above the line activities which would further boost/enhance the brand. The system allows you to analyze data before, during and after the activity, measure the success or failure, cannibalizations occurring in the trade and months covered. Report: Off-take Trending The graphs extracted from it enabled them to prepare their Business Review Materials with just the push of a button. The data extracted was maximized by both the sales and marketing team. Result An integrated Sales, Marketing and Trade marketing activities complimenting each of the departments involved, reaching their targets with one coordinated and focused effort. As much as Shelf share in Trade Accounts Strategic placement of Tactical Bins, free displays and cross merchandising Attractive and Thematically decorated Gondolas Timely and simultaneous implementation of Promotional Packs nationwide Smooth Implementation of Special Projects with Push selling objective to problematic accounts Cost efficient and quality deployment of headcount Focused monitoring of trade data which resulted to Well timed analysis and action driven activities Counter cannibalization measures Preclusion of probable stock outage in the trade
Product recommendations and promotions (couponing and discounts) Cross-sell and Upsell strategies
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