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

 

How to Ramp Up Brand Loyalty in a Turbulent Economy

Economists in Canada have been talking about how the Canadian economy has been rebounding for months now, especially with the increasing employment rate. More people are back to work, and things appear to be stabilizing. That being said, deputy chief economist at CIBC World Markets Benjamin Tal recently reported on the status of the economy, looking at consumer spending, and his predictions are not nearly as promising, especially for CPG brands. 

With respect to consumer spending, Tal remarked that “Canadian consumers are exhausted.” Worry over housing prices and debt, coupled with the knowledge that economically things are still quite tenuous, has led to ‘consumer fatigue’, and Canadians are not spending the way that they used to be. Tal states that the Canadian debt load has a lot to do with this ‘consumer fatigue’.  The debt to income ratio for Canadians has risen from around 140 to 165 percent, and as a result the decision to purchase is now heavily influenced by a number of new factors.  

This trend is especially challenging for top tier brands whose products may be more expensive. If a customer is looking for price first, then CPG brands who sell bigger ticket products must do even more to entice new customers and ramp up brand loyalty with respect to existing customers.

These trends do represent an important opportunity for brands to be one step ahead of economic forecasts and place an emphasis on strengthening brand loyalty. Ever since the recession hit in 2008, consumers across the country have been paying close attention to promotions, and switching to different products that may offer the same or different benefits. The trend still seems to be price over quality – or a balance between the two.

Not sure how to make these trends work for you? Consider experiential marketing. If a consumer has the ability to try a product that may not be their usual brand, and find that they like it, the decision to purchase your brand rather than a competitor’s is an easy one. Furthermore, if the product demonstration includes a promotional coupon, the chances of shifting brand loyalty are further increased.

The fact though that cost is important does not mean that consumers who are concerned about cost necessarily want to skimp on quality. If your brand is great, consumers will continue to purchase even if your price is a little higher. With experiential marketing you get the chance to show those customers why it was that they either chose your product to begin with, or arguably more important, why they should switch to your product and buy it from now on.

For more information about how to leverage experiential marketing to increase brand loyalty, or to find out about any of our merchandising services, please contact Storesupport by calling 1-877-421-5081 or visit www.storesupport.ca.  

Walking the Line: Post-Holiday Staff Reductions Directly Impact Merchandising Services

So the crazy holiday season is behind us – that means we can pay less attention to providing good customer service, right? Wrong!! Making sure your consumer has a good customer service experience, no matter what time of year it is, is vital. Make sure your merchandising company offers merchandising services that ensure a great customer service experience. 

Often after the holidays, retailers decrease their staff significantly because they think they don’t need those workers. But what kind of impact is this going to have on your brand? Shedding holiday staff is understandable, however retailers sometimes cut too deep which can have a devastating impact on brands. If there are not enough staff members around to make sure your stock is replenished or that customers are getting answers to their questions, customer service rates will suffer which can result in the consumer shifting loyalty from the retailer. Or worse, if their bad experience was associated trying to purchase one of your brands that was out of stock or not properly tagged, it is your brand that can suffer a shift in brand loyalty when the consumers decide to try something else that is in stock. 

Think about it this way – if you go into the local grocery store and receive poor customer service are you really going to be interested in returning to that store? Probably not. What if you enter a store and ask an employee to retrieve stock from the back and are told ‘I’m busy’ or ‘If it’s not there it’s out of stock’  without even looking, that’s not going to make you jump at the chance to go back there next week. Working with a merchandising company that offers merchandising services to combat these challenges is crucial. 

But if you are a brand that sells its products at retail, how can you make sure that your customers are receiving good customer service? A merchandising company that offers merchandising services like mystery shopping and planogram compliance can make sure that your products are on the shelves, in the right place, and priced correctly. They can also make sure that your planograms are executed properly and that a retailer’s staff members are actually doing their job.

Don’t just take our word for it. Right Now Technologies’ Customer Experience Impact Report spells out exactly how crucial it is for consumers to have a good customer service experience. Check out these stats:

-          Over 80% of consumers state that they are willing to pay up to 25% more in order to get good customer service.

-          Almost 90% of consumers actually started purchasing from a competitor after getting fed up because of a poor customer service experience.

A merchandising company that works to ensure that your consumers are having a good customer service experience can help maintain those points of distinction that differentiate you from your competitors. Relying on the retailer where your brand is located can spell disaster. Taking advantage of the merchandising services offered by a merchandising company can keep good customer service at your fingertips.

For more information about merchandising services and how they can ensure a good customer service experience, please contact Storesupport at 1-877-421-5081 or visit www.storesupport.ca.

Spread the Love with Your Valentine’s Day Experiential Marketing Campaign

Trying to ramp up your sales and exposure but having trouble figuring out how to engage consumers? Why not leverage an experiential marketing campaign that takes advantage of holidays like Valentine’s Day to influence consumer buying! An effective experiential marketing event that influences individual purchases can yield major results.

It is easy to make the claim that experiential marketing is influential – but that doesn’t mean that you have to believe it. Need more evidence – don’t worry, we’ve got it! Event Marketing Institute’s EventTrack: Event Marketing Industry Annual Forecast & Best Practices Study found some pretty intriguing results with regard to experiential marketing. If you want to know how influential experiential marketing is, just check out the stats that they uncovered: 

-          71% of the study’s respondents reported that they felt more positive about a company or brand after an experiential marketing event.

-          58% of those surveyed said that they ended up purchasing a product after an experiential marketing event.

-          86% of those consumers surveyed said that they became regular customers of a brand or service after en experiential marketing event (That’s HUGE!!!).

So how can you leverage a Valentine’s Day experiential marketing campaign and get the most bang for your buck?? It is easy. An experiential marketing agency that offers a plethora of merchandising services can help you make the most of a Valentine’s Day experiential marketing campaign. Here are just a few examples:

Get people excited about your product. A campaign that allows consumers to interact with your representatives and sample your product is a good start. Presenting your product through a live product demonstration associated with Valentine’s Day will be sure to capture those who are excited about the season and eager to spend to purchase your product and perhaps even shift their brand loyalty. The same technique could be used for food products sold at the retail level.   

Catch those stragglers. Grab those last minute shoppers by setting up as close to Valentine’s Day as possible. An experiential marketing campaign is going to be the most effective if consumers are thinking about the holiday. Those shoppers (ahhem males – sorry guys) that typically leave their Valentine’s Day shopping till the last minute always seem to need help finding the perfect gift, so let your experiential marketing event help them 'discover' exactly what that perfect gift is!

Ensuring that you have the best front line staff is crucial where experiential marketing campaigns are concerned. This is your opportunity to influence shoppers who otherwise way not have considered your product. An experiential marketing agency that can deliver results through their merchandising services can help you achieve results, especially if you are considering a last minute campaign.  

Spread the love this Valentine’s Day by enlisting the expertise of an experienced experiential marketing agency that offers a suite of merchandising services. For more information, please contact Storesupport at 1-877-421-5081 or visit www.storesupport.ca.

The Days of Clips Boards Are Over! How Technology is Improving Brand Management

Staying Informed about your brand at retail is integral if you want to succeed. Effective brand management means keeping on top of product placement, restocking, and product movement. If you find yourself struggling to maintain control over your product, this can be a big problem – so how can you solve it? By leveraging merchandising technology and working with a merchandising company that employs this in their suite of merchandising services is key. 

According to a recent study done by The Parker Avery Institute, only 57% of retailers have a well-formed merchandising strategy, and these are the ones who experience 3% or better sales growth from year to year. Those that don’t have a well-defined brand management/merchandising strategy don’t see these results. Clearly there is something to be said for planning ahead.

What are the benefits that exist when you leverage merchandising technology as part of your brand management strategy?

1.       Speed. What if you sent out a planogram but are unsure whether or not it was executed properly? What if you see that your product is not moving well compared to last month? Knowing the answers to these issues – in real time - is crucial for effective brand management. Merchandising companies that leverage merchandising technology can send out a rep and send you information, before and after pictures, and stock updates right from a mobile device.

2.       Accuracy. Using merchandising technology that uses a store’s ‘store data’ system to report on your brand means that no manual inputs are necessary – ensuring accuracy. The days of clip-boards are over, so relying on them instead of merchandising technology will put you at the bottom of the retail hierarchy!

3.       Competitiveness. Being aware of how the competition is performing is also a crucial part of effective brand management. Merchandising companies use merchandising technology to do this by comparing pricing (which again can be sent to you immediately), checking display execution, and gauging customer satisfaction. Get a leg up on the competition through effective brand management and merchandising technology.

4.       On Demand Access. By syncing store data to a web portal, you can have on demand access to reports and data mined by merchandising companies. Relying on updates from the store (if they will even provide them) can be costly and time consuming, so taking advantage of the services offered by merchandising companies that leverage merchandising technology for on demand access is a really smart idea.

Most of the big brand names leverage merchandising technology to ensure that they maintain control over their own brands. This doesn’t mean though that this kind of brand management has to be expensive. It is actually a smart way to achieve cost savings that allow you to stay in control and always be aware of what is taking place with your brand.

If you are having trouble controlling your product in-store, or if you just want to ramp up that marketing campaign, a merchandising company that leverages merchandising technology as a part of their merchandising services is the way to go. An effective brand management strategy should include technology which will ultimately make your life a lot easier.

For more information about leveraging merchandising technology for effective brand management, or any other merchandising services you may need, please contact Storesupport at 1-877-421-5081 or visit www.storesupport.ca.

Brands Who Cannot Control In-Store Merchandising Look to Retail Merchandising Services to Boost Brand Sales

At a recent Retail Industry Council event a major topic of conversation was the future of retail and what impacts e-commerce will have on bricks and mortar retail locations. While e-commerce is resulting in major changes to the way we shop in some types of retail, such as electronic stores, book stores, music stores and more, the food industry at retail is unique. 

When you are shopping for food, you want to be able to touch and feel the produce you are buying, feel the texture of baked goods, and thoroughly inspect your meats. These are reasons that many consumers will continue to want to physically go to the grocery store to purchase their foods. While there have been grocery services around for years that enable you to buy online and have the food delivered to your door, they haven’t managed to make an impact whatsoever in the way people buy food. 

This is why the in-store experience that a customer receives continues to be so important to the success of brands that sell their products at food retailers. It is also a major reason why brands must ensure that they maintain some level of control over in-store merchandising.

Leaving in-store merchandising to the retailer is a dangerous plan because the consequences to the brand can be significant.

Consumers are creatures of habit, especially in the retail food industry. Once a consumer gets hooked on a brand they will often add it to their grocery list to be purchased week after week. When a consumer visits a store and suddenly the brand that they love is not available because it is not on the shelf or has been moved and they can't find it, many consumers will try another brand that sells the same product. If they love the product, the original brand could lose their customer’s loyalty altogether.

A brand’s success at a retailer depends on its sales. Brands that sell more will be able to negotiate better product placement and priority, so it is crucial that brands that are not dominating their market space at a particular retailer hike up their socks.

Many brands are turning to merchandising services to boost their sales at retail. Merchandising services take the control of in-store merchandising away from the retailer and empower the brand to have more control over their customers’ experiences, which then results in increased sales. Merchandising services will go to all of the retailers where the brand’s products are sold and ensure that products are stocked and on the shelves and also ensure that if there is a product placement issue that the brand is made aware of it immediately, rather than finding out when seeing that sales have dropped at a particular retailer. Merchandising companies also assume the role of setting up in-store displays and literally become the brand’s ambassador at retail.

Brand’s that want more control over their in-store merchandising are best served by looking to retail merchandising services  to ensure that customers are always able to access them, and to ensure consistent profitability across the retail stores where their products are sold.

For more information about how you can take more control of your in-store merchandising and our merchandising services, please contact Storesupport by calling 1 (877) 421-5081 or visit www.storesupport.ca.