SymphonyIRI Group provides a peek ‘Inside the Mind of the Shopper’ at Marketplace
DENVER — Monday morning kicked off with a bang at NACDS Marketplace, as SymphonyIRI Group’s Navin Gautam took attendees inside the mind of today’s value-conscious shopper.
“Delivering truly shopper-centric value is going to be key, and neither manufacturers nor retailers can do it alone,” Gautam, principal of client services for SymphonyIRI, told attendees during his presentation, titled “Inside the Mind of the Shopper: Understanding the Difference in Motivation by Generations.”
Gautam explained that a series of “shocks” have rocked the U.S. economy since 2007— such as high unemployment rates, commodity inflation, investment depreciation and the Euro-zone crisis — and have given rise to a new value-conscious consumer.
Concern over rising medical costs also has impacted the mindset of shoppers. In fact, a 2010 Deloitte survey found that only 25% of U.S. consumers remain confident that they are able to deal with future medical costs.
In light of these concerns, consumers increasingly are looking for ways to save money. For example, research showed that many shoppers are looking to save money by going to the doctor less and increasingly are self-treating (36%), and many are turning to at-home beauty treatments to curb costs (35%).
Gautam also told attendees that, according to research, the use of coupons and circulars in trip planning remains strong but there are slight differences that exist across generations. Younger generations tend to clip and use more coupons compared with older generations, who tend to research circulars.
Technology (i.e., smartphones and social media) also is changing the retail landscape and represents significant opportunities, especially when it comes to mobile couponing. For example, research showed that 75% of shoppers make a list prior to shopping, 10.6% of list makers use technology and among those list makers who use technology, 69% use a smartphone.
Coca-Cola, Facebook execs talk social media at NACDS Marketplace
DENVER — Executives from Coca-Cola and Facebook on Monday morning shared social media best practices and strategies here at NACDS Marketplace 2012.
Social media is about engaging the end-consumer in an interactive dialogue, more than it is about accumulating “likes.”
“The most valuable channel to engage the consumer is the news feed,” suggested Mike Haines, director of market solutions for Facebook. “Don’t think about your page as a destination … but as a launching point for the news feed.” Facebook is the power of word-of-mouth unleashed, Haines added.
That’s in part because social media is about telling a brand story. “Stories are the most powerful ways to share ideas,” noted JD Doughney, senior social marketing manager for Coca-Cola. “They’re also the most sticky way to retain information.” Social media also is ubiquitous.
“How far is the average person in the United States away from [his or her] smartphone? It’s literally 3 ft.,” commented John Carroll, VP drug and value channel for Coca-Cola. According to Carroll, 1-in-5 shopping trips start on Google, as many as 40% of 18 to 34 year olds use handheld devices to search for coupons, and half of all consumers use social media to learn about deals.
However, social media also should be a contributory revenue stream, not another cost center. For example, Haines noted, Walmart is using Facebook to help augment its relationship with shoppers at the community level. Shoppers who “like” Walmart’s page are asked to identify with a particular store, Haines said, which enables Walmart to target ad campaigns at the actual store level.
Federal court rules against Mylan in MS drug case
PITTSBURGH — A federal court has ruled against Mylan in a case filed by Teva Pharmaceutical Industries over a drug to treat multiple sclerosis.
The U.S. District Court for the Southern District of New York ruled Monday that Mylan’s proposed generic version of the drug Copaxone (glatiramer acetate) infringed Teva’s patents.
Mylan responded that it was "disappointed" by the decision and would appeal once it had the opportunity to review it in full.