What's in your consumer's basket?
While measuring top-level sales data is important, it doesn't answer the question of why your sales may be up or down.
Jacobs Marketing unlocks powerful Target guest data by using IBM Shopper Insights to provide recommendations and optimize business at Target. Most consumer packaged goods brands rely on top-level sales data to guide their business with a mindset of "the sales data will tell us what to do". While measuring top-level sales data is important, it doesn't answer the question of why your sales may be up or down. It might provide a quick bandaid for a struggling brand, but you're not able to play for 6 months, 1 years, even 3 years in the future with sales data alone. By digger deeper into the guest's basket, you're able to make data-driven decisions that can increase your market share and optimize margins with promotions and regular sales.
The Right Flavors and Packs
In a highly promotional retail environment, the ability to have access to affinity and co-purchase, multiples (what the guest is buying together), new item introduction, and promotion lift is extremely important. This data isn't a "nice to have" when looking at your business, but can be the difference of losing sku count or maintaining your presence. Take this example:
Shopper Insights data revealed for an energy bar brand the female guest was routinely buying five or more flavors in one trip. This insight was extremely important as the buyer was considering to reduce sku count - in this case cutting out some of the flavors. By combing this insight with the data, the brand was able to demonstrate to the retailer that if they were to cut back to three flavors category sales would be significantly reduced.
Shopper Insights can be used to understand counts in the basket and this brand was able to see the need to for singles in the store selection. Other questions that this brand could answer could be "We have a 12 pack right now, should we move to a 10 pack? Offer an 18 pack?" Answers to questions like these are helpful in driving profitability when it comes to item fit on the shelf and casepack optimization for the supply chain.
Start your Shopper Insights project today with Jacobs Marketing - send us an email.