CPGmatters: Coke Launches 'Shelf-Savvy Marketing' to Boost Sales, Create Value at Shelf
Through a special arrangement, presented here for discussion is a summary of a current article from the monthly e-zine, CPGmatters.
"As marketers, our role is to make this brand special - not just on the street, but also in the store, truly creating unique experiences," Darren Marshall, vice president of global customer and shopper marketing at Coke, said in a presentation to retailers last month in New York at the 99th annual convention of the National Retail Federation.
Mr. Marshall said connecting with shoppers effectively calls for partnering with retailers to create value collaboratively. "What we don't do enough of - and we'd love to be able to get your help with - is differentiating the packages, the price points, and the occasions within a retail store."
He listed the seven habits of highly effective shelf-savvy marketers:
Balance: Create a balance between love and value. "It's one thing to build a brand, but if you're not making commercial value out of that as well, there is really no need," he said.
Prioritize: Decide among the many opportunities such as geographies, categories, occasions and shopping missions. "We've got to be strategic about what we're doing, going after the things where we've got not only the biggest opportunity but the biggest set of capabilities to bring it to life."
Portfolio: Think about how people are interacting with your portfolio, whether it's a portfolio of brands, banners or store formats. "We have 450 brands across the world. We cannot cram 450 brands into every store in every geography. We've got to be able to make decisions and think about things in terms of what is going to be the best mix for those shoppers."
Segmentation: Group shoppers into similar traits and behaviors. "As marketers, it's our role to be able to understand what motivates people and how those motivations are different."
Differentiation: Create distinct brands. "We differentiate brands. We've done it for a long time and we've created very distinct different brands."
Interruption: Capture people in the store. "Only 30 percent of the people are going down the beverage aisles these days. As shopping patterns continue to evolve, that's going to decrease even more because there are more [shoppers] who are very focused on going in and going out. We've got to be where they are, which means not just stacking high with big displays. It means being very strategic about where we're placing things throughout the store."
Occasions: Make the brands relevant when people are buying the product. "Whether it's lunch at home with friends or it's at a football game, bringing brands to life in a situational type of environment is really the magic of how brands truly live and breathe in our everyday lives."
Mr. Marshall said it's important to create "context" in the store because it creates demand. The in-store experience must be something different and special - maybe unique.
"It's about making connections with our shoppers because we've got to
be able to turn shoppers into buyers or else there's no economic value created
for anyone. If we forget that, then we're lost," he said.
Discussion Questions: What do you think of Darren Marshall's seven habits of highly effective "shelf-savvy" marketers? Which are most critical for effective in-store marketing? Is there anything you would add?