Beirut International Franchise ForumPanel 2: In-Store Marketing Strategies & their Influence on Customers’ Spending

Mr. Volkan KeskinogluPresident

POPAI Turkey

INSTORE INSTORE MARKETINGMARKETING

VOLKAN KESKINOGLUVOLKAN KESKINOGLUPOPAI TURKEY PRESIDENTPOPAI TURKEY PRESIDENT

Old Marketing New Marketing

Product-Brand Management

Sales

Marketing at Sales Point

Product-Brand Management

Sales

In alliance with the consumers’ life style,

technology, and innovations in time,

MARKETING is changing every day..

In alliance with the consumers’ life style,

technology, and innovations in time,

MARKETING is changing every day..

The things that we can not even dream of are now a part of our daily life

The things that we can not even dream of are now a part of our daily life

Year 1990.. Year 2013..

Sending a letter to a million people was seen as a dream

It’s just a click away to send a letter to a million people

“I’ll open a shop and sell 300.000 product units each day (80 million per year). I’ll have millions of product varieties in my shop. Approximately 4 million people

will visit my shop daily and I’ll made 22 million $ worth of sales every single day!”

Year 1990..

Jeff Bezos established Amazon.com in 1994!

As the final point of MARKETING, the store is also keeping up with

this change…

3 CULTURES3 CULTURES

POINT OF

SALES

POINT OF

SALES

RetailRetail

ConsumerConsumerMarkaMarka

The important change in The important change in the the ““Consumer Consumer PsychologyPsychology””......

SHOPPING SHOPPING PSYCHOLOGYPSYCHOLOGY

• Activities• Store Atmosphere

Consumer Psychology

Shopping Psychology

Sales Point

(70%)

INSTORE PURCHASE INSTORE PURCHASE DECISIONSDECISIONS

Kaynak: POPAI Consumer Buying Habits Study/Meyers Research Center

UNPLANNED PURCHASE

UNPLANNED PURCHASE

PURCHASE WITH ALTERNATIVES

PURCHASE WITH ALTERNATIVES

GENERAL PLANNED PURCHASEGENERAL PLANNED PURCHASE

PLANNED PURCHASEPLANNED

PURCHASE

CONCEPT CONCEPT ENTEGRATION AT ENTEGRATION AT

SALES POINTSALES POINT

CONCEPT ENTEGRATION AT SALES POINTCONCEPT ENTEGRATION AT SALES POINT

•It is the continuation of all media activities and embody them.

•The consept of brand and retail are in harmony.

THE EFFECT OF CONCEPTUAL THE EFFECT OF CONCEPTUAL PRESENTATION AT SALES PRESENTATION AT SALES

POINTPOINT

Source: POPAI Consumer Buying Habits Study/Meyers Research Center

•TV = 1

•TV + PRINT = 3•TV + PRINT + SALES POINT = 7

Conceptual PresentationConceptual PresentationConceptual PresentationConceptual Presentation

• It’s not a concept by itself; it is the It’s not a concept by itself; it is the presentation of the brand’s main presentation of the brand’s main concept at sales point. concept at sales point.

• It is the continuation of all media It is the continuation of all media activities and embodies them. activities and embodies them.

• It should include all messages that It should include all messages that should reach the target audience.should reach the target audience.

• The consept of brand and retail are The consept of brand and retail are in harmony.in harmony.

The Stages of Conceptual PresentationThe Stages of Conceptual PresentationThe Stages of Conceptual PresentationThe Stages of Conceptual Presentation

Strategy ve Program ManagementStrategy ve Program Management

DesignDesign

Prototype&TestingPrototype&Testing

ProductionProduction

Field Examination and ReportingField Examination and Reporting

IMP

RO

VEM

EN

TIM

PR

OV

EM

EN

T

IS THE CREATION OF PRESENTATION SYSTEMS AT

SALES POINT“CONCEPTUAL”?

IS THE CREATION OF PRESENTATION SYSTEMS AT

SALES POINT“CONCEPTUAL”?

PRODUCERSPRODUCERSPURCHASEPURCHASE

COMPANYCOMPANY

SALES & MARKETINGSALES & MARKETING

The needs of instore presentation

The needs of instore presentation

RESULTRESULT

BRANDBRAND

BRANDBRAND

BRANDBRAND BRANDBRAND

CONCEPTUALCONCEPTUALPRESENTATIONPRESENTATION

ORGANIZATIONAL ACTIONORGANIZATIONAL ACTION

ABOVE

THE

LINE

BELOW THE

LINE

Strategy Creative Design

Production Execution Feedback

Advertising Agencies

Creative Design

Production Deployment Feedback

POP

Strategy

AGENCIESAGENCIES

BRANDBRAND

DESIGN COMPDESIGN COMP

MANUFACTURERSMANUFACTURERS

PROMOTIONAGENCIESPROMOTIONAGENCIES

BRANDBRAND

RESEARCH AGEN.RESEARCH AGEN.

Sales & Marketing ‘Briefing’i

Field Work Design&Prototype

Production Sales Team Education

Placing&Setting up

Evaluation &Feed Back

ImplementationImplementation

DO DIFFERENT DO DIFFERENT

ACTIVITIES/POSITIONINGACTIVITIES/POSITIONING

HAVE DIFFERENT EFFECTS HAVE DIFFERENT EFFECTS

AT SALES POINT?AT SALES POINT?

POPAI/K MARTPOPAI/K MART

PROCTER&GAMBLEPROCTER&GAMBLE

STUDYSTUDY

WEEKLY SALES INCREASE INDEX - (100)

WEEKLY SALES INCREASE INDEX - (100)

Kaynak: POPAI/Kmart/Procter & Gamble Study

Standart Shelf

Standart Shelf Floor Stand Floor Stand Second

Exhibition Second

Exhibition

ShampooShampoo Tooth PasteTooth Paste CaffeeCaffee Toillette Paper

Toillette Paper

SALES INCREASE RATIOS-(%)SALES INCREASE RATIOS-(%)

Source: POPAI Consumer Habits Research

CorridorCorridorStore

Entrance(Gondola

)

Store Entrance(Gondola

)

Store Exit

Store Exit

Store Entrance

Store Entrance

Store Entrance (Single)

Store Entrance (Single)

% Sales Increase (Standart Shelf Sales Ratio)% Sales Increase (Standart Shelf Sales Ratio)

THE EFFECT OF INSTORE THE EFFECT OF INSTORE

ACTIVITIES ON CONSUMERACTIVITIES ON CONSUMER

THE EFFECT OF INSTORE ACTIVITIES ON CONSUMER

THE EFFECT OF INSTORE ACTIVITIES ON CONSUMER

42%

26%

22%

Source: POPAI Consumer Buying Habits Study/Meyers Research Center

Products purchased,

HAS AT LEAST ONE PRESENTATION

HAS EXHIBIT UNIT

HAS VISUAL POP MATERIAL

THE EFFECT OF INSTORE ACTIVITIES ON CONSUMER

THE EFFECT OF INSTORE ACTIVITIES ON CONSUMER

Exhibition Unit:Exhibition Unit: 44%44%

Visual Materials:Visual Materials: 29%29%

Coupons:Coupons: 16%16%

Experimentation Stands:Experimentation Stands: 16%16%

Instore Announcements:Instore Announcements: 2%2%

Source: POPAI Consumer Buying Habits Study/Meyers Research Center

The Ratio of Consumers’ Recall of Sales Point Activities

IMPORTANT POINTS INIMPORTANT POINTS IN SHOPPER MARKETINGSHOPPER MARKETING

1. The instore conditions should be taken into consideration

• Product variety• Limited shelf area• Being next to the

competition• Lighting• Limited place usage

etc..

2. It should help the brand to communicate with its target consumer

3. It should promote the sales

4. It should be accepted that sales point is now also a media/communication point

THANK YOUTHANK YOU

Volkan KeskinogluPOPAI TURKEY PRESIDENT