Design and Delivery for in-store from the Creative Corner

The result? Brands and retailers are becoming ever closer, sharing data to create the ultimate shopper experience.

As illustrated by Jake Kirkham, freelance retail marketing consultant, during his presentation at FESPA 2013’s Creative Corner, the relationship between brands and retailers has evolved quite dramatically. Travelling back in time to the 1950s when supermarkets were first introduced to the UK, the relationship was purely transactional; brands sold to retailers and they sold onto the customer. A couple of decades later the concept of category managementdeveloped. Brands started to gain insight into the shopping habits of the consumer - information that proved gold for retailers who then began to lay out their store depending on how their customer approached shopping (per category).

A new era for brands and retailers began in the 1980/90s where data was available due to the introduction of loyalty schemes such as Sainsbury’s Nectar card and Tesco’s Clubcard. As more communication became available, it could be tailored to both in-store and outside marketing activity to drive customers in and to affect their purchasing decisions - both before and during their shopper experience.

The loyal customer?

Today, due to the copious amounts of loyalty schemes and newsletter sign-ups, more sophisticated data is available from both brands and retailers. This helps shopper marketing by tailoring the shopper experience to the customer’s needs.

Kirkham highlighted that printers need to continue to create and innovate, working closely with brands and retailers to provide new technologies, ideas and knowledge to drive both agendas.

A brand’s role has changed over the years in its relationship with retailers, transitioning from a purely transactional practice to becoming an advisor/confidante providing data and knowledge. While both the brand and retailer have big parts to play in this relationship, Jake highlighted certain aspects that both parties bring to the table. The retailer and brand both need to be aware of these points for the relationship to succeed.

What brands need to know about retailers:

• The UK is a nation of supermarket lovers
• Retailers spend billions of pounds to create the touchpoint for the brands – they’re the main point of contact for shoppers
• Because customers choose where they want to shop, the retailer owns that customer relationship
• The retailer’s point of view needs to be taken into account when communicating to the customers
• What retailers need to know about brands:
• With their ample budgets and data, brands deliver strong consumer and shopper insights
• They can align proposals to retailer’s corporate agenda and strategic pillars
• They have significant knowledge on shopper marketing competence
• Brands can customise solutions to provide retailer differentiation

Effective retail Marketing

From his 20 years’ experience of working in the retail marketing sphere, Jake highlighted that there are key levers in the effectiveness of successful retail marketing. These factors cannot be undertaken individually, it’s a joint activity between the brand and retailer and none can be done in isolation.

• The levers can be split into three groups:
• Physical product and getting it into store
• Brands and retailers need to work together to develop the right category management plan to ensure product layout techniques are applied to reflect shopper decision hierarchy and ease of navigation
• Enhance the quantity and quality of the brand’s visual presence at POS in order to positively influence the purchase decision – there’s no point creating a cardboard marquee if there’s nothing to put in it

Category management 

Brands and retailers need a strong collaborative relationship to understand each other’s business goals, challenges, opportunities for growth and insights on their shoppers/customers

They need to understand the complete shopping experience such as lighting, layout, signage, service, availability, price, other shoppers’ perception and reality

The store – the point of activation 

Identify and utilise the most appropriate locations for execution to reach the target consumer/shopper along their path to purchase

Requires the right development of the message by the right mechanic at the right place during the shopping experience to encourage shopper behaviour change and provide a compelling reason to buy

Jake also highlighted examples from his experience where brands and retailers have worked successfully together to create compelling in-store design.

The first example was lightly branded for a Soreen malt loaf in Asda. The branding has been designed together with the retailer as it displays Asda’s messaging of flat low price, which can be seen in the branded type face, taking the Asda shopper into consideration.

The second example was heavily branded POS positioned by a checkout in a Superdrug store. The display is heavily branded by Bourjois, however, the pricing mechanic is Superdrug branded to communicate their offers.

The printer’s role 

As mentioned, a good relationship between brands and retailers is essential for the design and delivery of merchandise for in-store. So what part do printers play in this process?

Communication between the printer and both the brand and retailer is essential! When asked in an article by PrintWeek magazine about what he requires in the way of new or different services from print suppliers, Dan Smith, Print and Procurement Manager at B&Q, said that they “require the approved suppliers to continuously present new technologies in printing effects and better performing materials to drive down costs.”[1]   Additionally, when asked how printers can help improve their offering, Dan explained that it is beneficial to aid and increase the speed to market, drive down costs and help measure the effectiveness of their campaigns.[2]  

Printers need to collaborate with brands and retailers to ensure they can offer their ideas, knowledge and experience as to how the brief can be achieved. Keep up to date with new technology and innovation. Develop an understanding of both the brands and retailers business goals and requirements as well as the in-store design standard guidelines to ensure a successful working relationship and outcome.

If a brand comes to you with a job for retail, make sure you check it has the retailer’s buy in and reflects the look and feel of the store. There’s no point wasting time and effort on a job that won’t be implemented.

Printers are part of the supply chain and need to work with both the retailer and brand during the complete process. To finish, Jake illustrated how printers can play a successful part in the brand and retailer relationship:

• Respect the retail brand(s)
• One size does not fit all – innovate & share
• Compliance is crucial
• Evaluate, test, learn, feedback
• Keep the dialogue going

Source: Fespa (http://goo.gl/a2WdxO)