Posts Tagged ‘social shopper marketing’

Are You Winning Both Hearts and Carts?

Wednesday, October 26th, 2011

The world of shopper marketing is changing, and it’s becoming a lot more social.

The new 5th annual Grocery Manufacturers Association (GMA) shopper marketing study has some interesting insights on how the practice is evolving. The report demonstrates that companies getting the most out of shopper marketing now are the ones that focus on “solution-based merchandising”. Wait, before you roll your eyes at what sounds like some more meaningless marketing cliches, the point here really is interesting.

Solution-based merchandising is a focus on the customer’s needs and how they use the product. These shopper marketing programs don’t just deliver value through lower prices, convenience and product bundles. They make the brand come alive with ideas for activities and suggestions for using the product more creative ways. Often this can involve complementary products that expand the experience.

Many marketing programs fail because they jump too quickly to the cart. They programs blend in with everyone else pushing sales, sweepstakes, coupons, etc. Companies seeing the best results from shopper marketing are better at addressing the customer need and creating action simultaneously. In short, they are great at “winning both the hearts and carts”. That’s a quote out of the report from Patrick Simmons, VP of Customer Marketing at General Mills.

The differences between the leaders and the rest of the pack here are incredible. See the chart below.  The pack is just focused on the cart while the leaders and communicating with consumers in an entirely different way.

Digital Separates the Best

Of all the fancy displays and in-store promotions a brand can focus on to improve shopper marketing, the top activity that separates leading companies from the rest of the pack is digital. It’s that simple. A brand’s ability to engage shoppers online before they enter the store is the biggest factor that separates the leaders from the laggards.

Payoff at the Register

Marketers good at this are seeing strong business results. As shown in the chart below, their shopper marketing programs are delivering stronger ROI than other programs and they are growing sales faster than competitors in the category.

Every brand has a story. To get people thinking about their role in that story before they walk into the store, you’ve got to get them emotionally involved so they see what it can do for them. At the same time, provide the activities that make it fun and encourage sharing. Nobody can do that better than your best customers.

[eBook] From Loyalty to Advocacy – Driving Sales from Social Shoppers

Tuesday, September 27th, 2011

From Loyalty to Advocacy - BzzAgent ebookDid you know that nearly 90% of Americans participate in some type of loyalty rewards program? Most of us are enrolled in more than one.  Marketers invest a lot into building these programs so they can personalize the shopping experience and surround good customers with relevant offers to make them even better customers.

But all this valuable insight is wasted when it comes to social media marketing. Social media is a powerful and persuasive marketing channel, but none of the insights from customer loyalty programs are being used. To most marketers, customers are completely anonymous in social media.

It doesn’t have to be that way.

Determining which loyal customers have the ability to be influential advocates in social media may be the biggest opportunity for brand marketers today. These social shoppers have a deep connection to your brand and they rely heavily on social media to discuss products with a big audience of followers.

Social Shopper Marketing is the answer. It connects an individual’s retail purchase history to their actions in social media – and it follows the path back to the retail store to track purchases they influenced in others.

Download the newest BzzAgent ebook “From Loyalty to Advocacy – Driving Sales from Social Shoppers” to learn the importance of social shoppers and to get a Social Shopper Marketing framework designed to drive measurable sales.

Download your copy at: http://u.bzz.com/advocacy

Social Media Meets Shopper Marketing

Wednesday, January 19th, 2011

[if you like heady intros, read below.  For those with A.D.D., just click the image below to get your free, "The Rise of Social Shopper  Marketing" whitepaper]

As you probably know, we’ve been spending quite a bit of time developing ROI models for social media executions.   Our strong belief is that social media – while growing quickly – continues to be plagued by perceptions that it’s measured through metrics like “# of likes,” and “follower counts.”  While these metrics are quantitative in nature, they don’t allow marketers to understand the return they are getting for their spend.

We recently documented a number of more sophisticated ROI structures in our e-book, The Naked Truth About Social Media ROI.  Two models we documented – Market Mix Model and Matched Panel Testing – are tried and true for traditional mediums, and can be applied as well in the social media space.  Companies like Nielsen and IRI have long been performing MMM and MPT for top brands like P&G, SC Johnson, Kraft and many, many others.

(Does Social Media work?  In a number of our MMM studies, social media and advocacy have performed better than any other traditional medium including TV, print and radio – in a handful, we were the best performing medium save for paid search!)

Our belief is that this is just the tip of the iceberg – with the ultimate solution coming in the form of tying social media to shopper marketing.  Specifically, to utilizing shopper data from loyalty platforms as the basis for running effective, measurable social media programs.  We call this Social Shopper Marketing.

Click for free Social Media meets Shopper Marketing Whitepaper

Why do we believe this will become the standard of measurement for effective social media programs?  Because as consumers, there is a massive overlap between our loyalty card behavior and our advocacy behavior and usage of social media.   For example, in the UK, most consumers carry a loyalty card for one of the major supermarket chains.  Whether you have the ClubCard for Tesco (powered by DunnHumby) or the Nectar Card for Sainsbury (powered by LMG) – or both – you are creating a data stream of your purchase behaviors every time you shop.   We’ve found that nearly 70% of our BzzAgents (brand advocates) use one card or the other – and these are people who are active at sharing their opinions with their peers.  By understanding who is a cardholder, you can begin to effectively engage the right advocates, and then ultimately measure their shopper behavior through their purchase data on the card.

As you begin to look at the overlap of these data sets, it becomes even more exciting.  According to Keller Fay, UK Consumers are having a tremendous amount of brand specific conversations every day.  You can begin to lay the social graph on top of the loyalty database to understand which cardholders are impacting others and how this is shaping specific transactions.  Frankly, it’s a marketers dream data set.

Source: Keller Fay Group

If you’re in the U.S., open your wallet.  You probably have a card from a major supermarket chain like Kroger or Safeway or Albertsons.  On top of that you probably have a card from CVS or Walgreens.  Maybe even Sears or Kmart.  Then, consider which brands you may have “liked” on Facebook – maybe Coca Cola (21 million have!)  or Pringles (nearly 9 million, which isn’t so shabby).  Merge these data sets and you start to get a magic equation:  Who is talking about what brands and what is their shopping behavior.  Then you can begin understanding exactly which social media marketing tactics create specific in-store ROI.

We believe this is the year that Social Media and Shopper Marketing will come together to create the Social Shopper ROI model.  We’ll have a lot more to say on this throughout 2011.   Stay tuned!

http://about.bzzagent.com/word-of-mouth/go/social-media-roi