Point-of-Decision Update: Circular Effectiveness. National Pork Producers Council 1

Transcription

1 Point-of-Decision Update: Circular Effectiveness National Pork Producers Council 1

2 Today s Discussion Point-of-Decision background Advo circular study Leemis update Other industry studies National Pork Producers Council 2

3 Background There is extensive information on overall eating trends, attitudes/preferences with food and a myriad of other consumer insights NPB Point of Decision research (2000) provided new insights into shopping behavior A real-world perspective on meatcase decisionmaking by observing consumer behavior as it happens Meatcase shopping behavior quantified for the first time National Pork Producers Council 3

4 The Consideration/Decision Sequence Not in Market Not thinking about a product/industry Consideration Think about product Planning trip to store Most research is conducted with consumers when they are not actively shopping Point of Decision Shopping the store Browsing aisles Point of Decision research studied consumers when they are in the real world National Campbell Pork Mithun Producers Council 4

5 Background (cont d) However, there is need to further understand the complete consumer decision-making process of fresh meats Research conducted by direct-marketer ADVO provides insights into purchasing behavior when consumers are planning their shopping trip ADVO is the single largest distributor of grocery retail circulars in the U.S. 144 million circulars weekly reaching 65 million HH National Pork Producers Council 5

6 The Consideration/Decision Sequence Point of Decision Not in Market Not thinking about a product/industry Consideration Think about product Planning trip to store Shopping the store Browsing aisles Most research is conducted with consumers when they are not actively shopping New study provides insights into the planning of store purchases Earlier research studied consumers when they are in the real world National Campbell Pork Mithun Producers Council 6

7 Research Objectives Determine the strengths and weaknesses of circular layout and design including: Location Front page Graphics Circular content Size National Pork Producers Council 7 Source : ADVO Circular Study 2002

8 Methodology PRS Eye Tracking Method Each respondent saw one version of each of four pages Camera measures Track of eye Respondents look at each item for at least 2/10 second Followed with interviews National Pork Producers Council 8

9 Methodology 349 mall intercept interviews: Primary household grocery shopper Read grocery circulars at least some of the time Men (30%) / Women (70%) Age Geographically dispersed markets: Atlanta, Boston, Eau Claire WI, Ft. Lauderdale, Freehold NJ, Houston, San Diego, Phoenix National Pork Producers Council 9

10 Location % Noted The center area above the fold is the sweet spot Logo strip 0-10% Top features 45-65% Features 55-78% Items 27-49% The bottom row is the dead zone Line items 0-12% National Pork Producers Council 10

11 Key Learning: Location The center of the page is where consumers start looking Most never make it to the bottom row National Pork Producers Council 11

12 Front Page Considerations How many items on the front of circulars are most appealing? What items do they want to see? National Pork Producers Council 12

13 Number of Items on Front Page 15 Items 12 Items 8 Items National Pork Producers Council 13

14 Number of Items on Front Page 15 items is most appealing to 39%, least appealing to 45% 12 items is a close second at 34%, least appealing to only 4% 8 items has lowest appeal, not enough savings/offers Most Appealing Least Appealing 15 Items 39% 15 Items 45% 12 Items 34% 12 Items 4% 8 Items 27% 8 Items 52% National Pork Producers Council 14

15 Desired Front Page Items Consumers want to see meat department on the front page of the circular. Meat dept. Produce 54% 66% Soda/beverages Diary products Stockup items Seafood Personal products Paper products Household cleansers Diapers/baby items 5% 13% 12% 12% 23% 20% 25% 37% National Pork Producers Council 15

16 Key Learning: Front Page 12 items works best in terms of overall appeal and efficiency 15 items per page may generate more coop revenue, but smallest items in the bottom row are missed by most consumers Front page must feature meat/poultry and produce National Pork Producers Council 16

17 Graphic Considerations Which price point size is most appealing? Which artwork is most appealing? Which pricing style is most appealing? National Pork Producers Council 17

18 Price Point Size Small Medium Large National Pork Producers Council 18

19 Price Point Size Medium price point size is the most appealing. Most Appealing Least Appealing Small 32% Small 44% Medium 42% Medium 2% Large 26% Large 54% National Pork Producers Council 19

20 Artwork Color Photography Black & White Photos Comic Color National Pork Producers Council 20

21 Artwork Color photography wins by wide margin 70% find black & white least appealing Most Appealing Least Appealing Move the 84% Color Photos to the right 84% Color Photos 2% Black & White 2% Black & White 70% Comic Color 14% Comic Color 28% National Pork Producers Council 21

22 Pricing Style Yellow Starburst Offset Product Overlap National Pork Producers Council 22

23 Pricing Style Yellow starburst is most appealing Most Appealing Least Appealing Starburst 76% Starburst 5% Offset 16% Offset 30% Product Overlap 8% Product Overlap 65% National Pork Producers Council 23

24 Key Learning: Graphics Medium price point size has the greatest overall appeal Color photography appeals to the large majority (85%) for realism, appetite appeal Yellow starburst pricing is the most appealing (76%) National Pork Producers Council 24

25 Circular Content Which meat visual is most appealing? Which editorial content is most appealing? Which savings feature is most appealing? Which price promotion is most appealing? National Pork Producers Council 25

26 Visual Cooked/finished dish Cooked meat Raw meat National Pork Producers Council 26

27 Visual Overall, cooked and prepared are most appealing to 70%, least appealing to 46% Raw meat is most appealing to only 30% Most Appealing Least Appealing Finished Cooked 25% 45% Finished Cooked 24% 70% 46% 22% Raw 30% Raw 54% National Pork Producers Council 27

28 Editorial Recipe Community Message Testimonial National Pork Producers Council 28

29 Editorial Recipes are most likely to be read. Community messages are more likely to be read than testimonials. Most Likely to Read Least Likely to Read Recipe 49% Recipe 20% Community 41% Community 22% Testimonial 10% Testimonial 58% National Pork Producers Council 29

30 Savings Double/triple coupons are most appealing. Most Appealing Least Appealing Double/triple Coupons 47% Double/triple Coupons 23% $5 off w/$25 $5 off purchase 29% $5 off w/$25 $5 off purchase 34% Shopper Card Card Extra Savings 24% Shopper Card Shopper Extra Savings Card 43% National Pork Producers Council 30

31 Price Promotion Reference Pricing Half Price Specials Buy One, Get One Free National Pork Producers Council 31

32 Price Promotion Buy One, Get One Free format is most appealing to respondents Reference pricing is least appealing Most Appealing Least Appealing BOGO 59% BOGO 22% 1/2 Price 27% 1/2 Price 18% Reference 14% Reference 59% National Pork Producers Council 32 Source: ADVO Circular Study 2002

33 Key Learning: Circular Content Meat and seafood cooked or presented in a finished dish is most appealing Recipe and community editorial items are more likely to be read than shopper testimonial Double/triple coupon offers have the greatest appeal BOGO is the most appealing promotional message for pricing National Pork Producers Council 33

34 Size Considerations Which circular size is most preferred? National Pork Producers Council 34

35 Key Learning: Size Consumers prefer tabloid size 2:1 Circular Size Preference }More convenient~ }Easier to handle~ }Easier to read ~ Tabloid 10 x13 Broadsheet 29% 62% 11 x21.5 Don't Know 9% National Pork Producers Council 35

36 Conclusions Location The sweet spot National Pork Producers Council 36

37 Conclusions Front Page 12 items Meat/poultry and produce National Pork Producers Council 37

38 Conclusions Optimal Graphics Medium size price Color photography Yellow starburst National Pork Producers Council 38

39 Conclusions Circular content Cooked or in a finished dish Recipe, community message Double/triple coupons BOGO Size Tabloid National Pork Producers Council 39