What to Do in the Event of an Allergy Alert Product Recall

Product recalls, or more specifically allergy alert product recalls, are an issue that brands and retailers deal with on a regular basis. If a product is found to contain something that is not listed on the label, or if the label does not contain an allergy alert, steps must be taken to remedy the problem. Most product recall decisions are made by CFIA and Health Canada, and brands are expected to comply immediately. Whatever the level (Class I, II, or III recalls), the way that you handle a product recall is vital.

There are several different types of product recalls:

-        Voluntary recall: Most product recalls in Canada are voluntary, meaning that they are initiated and carried out by the company whose product is being recalled. The Canadian Food Inspection Agency monitors the recall to ensure that the correct process is followed.

-        Mandatory recall: Although most product recalls are voluntary, if a company refuses to comply with a recall request, the Minister of Agriculture and Agri-Food will step in and order a mandatory recall, especially for those foods that pose a health risk.

-        Allergy alert: This recall is issued when an undeclared item is contained in a product, and is withdrawn once that item is listed on the label.

-        Health hazard: These are issued when something that could potentially cause harm (ex. Salmonella) is found in a product.

Often these will be listed together (ex. allergy alert: voluntary recall).

In the event of an allergy alert product recall the brand has to:

·         Remove the product from the shelf

·         Ship it all back to the warehouse

·         Re-label the packaging

·         Re-ship the product back to the store

This process represents a huge cost to the brand, not only because of the money to correct the mistake and the shipping costs, but also with regard to the sales lost while the product is not on the shelf. This is why time is of the essence when you are dealing with an allergy alert product recall – or any type of product recall!

These costs are severely reduced when a merchandising company takes over – since they will just correct the labels in store, thereby saving you time and money. This rapid response approach also helps to mitigate the public relations effects, since your product is not actually being taken from the shelves.

Sometimes product recalls are unavoidable, and in these cases they need to be handled correctly. A merchandising company that offers emergency response services to deal with product recalls can help take the pressure off and get things running as they should be.

If you don’t have a system in place to deal with product recalls, please contact Storesupport to find out more by calling 1-877-421-5081 or visit www.storesupport.ca.  

 

The Changing Face of Retail Merchandising in Canada

No matter what you sell, if you operate in the CPG industry you know how important it is to keep up with changing market trends. Generational gaps as far as spending behaviours have likely not escaped your notice over the last few years – but are you taking advantage of all of the opportunities that these generational differences offer? If you don’t have a retail merchandising plan that considers them, probably not.

Baby boomers have long been the largest group being catered to – largely because they represent the largest group of loyal customers. But the old adage ‘if it’s not broken, don’t fix it’ will no longer mean profits in the long run. Ignoring those other generational groups which represent the buyers of the future is not going to do you any favours. Casting aside the fact that in the next 10-15 years they will represent the largest group of consumers, millennials need to be catered to in a very different way than baby boomers.

Now, now, now. Patience is often touted as a key virtue which millennials fail to exhibit. If a product is not where it should be, or if it is not in stock, most millennials are just going to turn to the next best thing – and if they like that product, what is to stop them from purchasing it next time?

Price vs. quality. Millennials tend to be more price sensitive than baby boomers, and so making sure that products are labelled correctly is also important. If a product is priced incorrectly, the cheaper product might be what makes its way into the shopping cart.

So how can you overcome these all too common challenges? Consider working with a retail merchandising company that can provide a suite of services which will help to ensure that your product is where it should be, in stock, and being marketed the way that you want.

Planogram compliance: You have spent the time and resources researching which planogram will be the most effective, so enlisting the services of a retail merchandising company allows you to ensure your expectations are being met.

Quality assurance audits: Are products priced correctly? As mentioned, price sometimes exceeds quality on the wanted list, so making sure that your product is not being overshadowed is crucial.
Mystery shopping: Are employees stocking shelves in a timely manner? Are they able to provide the correct information about your products? A mystery shopper can answer these questions and give you the ability to fix any issues.

Retail merchandising in Canada represents a vital tool by which to attract both those millennials and baby boomers with different marketing tastes. Don’t cast one aside in favour of the other.

For more information about the benefits of retail merchandising in Canada, please contact Storesupport by calling 1-877-421-5081 or visit www.storesupport.ca. 

Target Baby Boomers 2.0 – How to Increase Customer Retention and Brand Loyalty in This Market Space

There has been a lot of buzz in the news lately with regard to the habits of millennials when compared to baby boomers. It is undeniable that generational trends dictate market trends, and so keeping up with change is critical. That being said, it is important not to alienate one generational group in exchange for another, and it is crucial to cater to all groups while recognizing that baby boomers continue to represent a large segment of shoppers who regularly visit bricks and mortar stores and continue to exhibit a higher level of brand loyalty when compared to younger generations. 

By marketing to the baby boom generation properly, customer retention and brand loyalty can lead to increased profitability. But how?

Baby boomers are apt to exhibit brand loyalty – you just have to hold onto it. Baby boomers remain the most loyal generation, especially when it comes to CPG brands. A recent marketing study done by Jefferies and Alix Partners found that 61% of baby boomers said that brands were important in their purchasing decisions for groceries (compared to only 47% for millennials). Those products that baby boomers have continued to favour over the years are not disregarded easily, making customer retention and brand loyalty much easier with this generation.

At the same time, it is important to acknowledge that baby boomers are more likely to have higher expectations, so things like making sure that product is on the shelf, in the correct place, or that employees can provide assistance when necessary are all key factors in customer retention. A merchandising company can help with this by providing the support necessary to ensure that retailers conform to your expectations.

Furthermore, the study found that millennials are far more price sensitive than boomers, and less likely to buy the more expensive brands. 62% of millennial participants responded that they focused more on lower prices than brands, compared to 46% of baby boomers. Clearly those with the buying power are spending the money.

That doesn’t mean though that product demonstrations or promotions are not well received – they are. Baby boomers are willing to try a new product if the quality is there, and although it takes far more to get them to switch, these tactics can increase shifts in brand loyalty.  They also represent a great customer retention opportunity when providing that added incentive to get them to continue purchasing your products.

The study’s results indicate just how important it is to continue marketing to baby boomers in order to retain their brand loyalty. Make sure that your merchandising plan attempts to reach all viable customers. A merchandising company might be just what you need to ensure that this plan considers all markets. Rely on a company that has the expertise necessary to meet your needs no matter what your target demographic is.

For more information about customer retention and brand loyalty among the baby boom generation, or to find out how our merchandising services can contribute to increasing these, please contact Storesupport by calling 1-877-421-5081 or visit www.storesupport.ca