Getting to a simple, clear Customer Manifesto. Last week Justin King left Sainsbury’s after an appreciative send off at his final AGM. Jeremy worked as Justin’s PA early in his time in charge at Sainsbury’s, so we thought we’d talk about what we learnt from him and what other companies can learn from his approach. […]
Winning in a market in which Discounters are winning. Since we last wrote about Discounters, the Sainsbury’s and Netto venture has been announced, with further details about target sites released last week. So, why have Sainsbury’s chosen to do this? Is it an exercise in best practice for logistics, efficiency and buying? Does it make […]
Are you making shoppers feel like they are getting good value? Last week we talked about ‘Value Framing’ and how value is often relative (based on comparison) rather than absolute. Most of the decisions we make in life are based on quick judgements. If we didn’t operate like this, we would spend our whole life […]
Value Framing – What do you want shoppers to compare you to? We like to think we are all rational beings. That we weigh up pros and cons and make considered choices. Economic theory used to tell us this was the case. However, the new science of behavioural economics tells us something different. The decisions […]
How to manage shopper expectations of what a fair price is. Last week we talked about Value Own Goals. These are things that drive short term sales uplifts but re-set shopper expectations of what is a fair price for a brand or category. This week we wanted to talk about what retailers and brands are […]
Are you re-setting expectations of what a fair price is? The World Cup bandwagon is rolling, so we thought we’d jump aboard with a football reference, as we turn our attention to something we call ‘value own goals’. These are things that drive short term sales uplifts, but make it harder to sell at full […]
Is information working for or against you? The world is awash with information. Everyday more data is being collected about more things. In theory all this information is great for companies. The more information we have, the more we know. The more we know, the better the decisions we make. Right? Often the reality is […]
Breaking through the trust barrier. The Discounter Blog we shared two weeks ago triggered a lot of interest. Given that, and given it is such a hot topic in the UK market, we thought we’d give you one more… Over 50% of UK shoppers have shopped in a Discounter in the last 12 weeks. Five […]
Incentivising the right shoppers in the right way. In most FMCG categories, shoppers are rewarded for being promiscuous. Often, the more promiscuous they are, the more they get rewarded. As an industry, we have implicitly told shoppers to shop around. Buy a different brand each time, whichever is on discount, and save money. If you […]
Why Less is More. One of the biggest UK grocery retail trends in the last couple of years has been the rapid growth of Discounters. Latest figures show that Lidl are growing at 20.9%, whilst Aldi are growing at 36.1% – a new record. There are a few reasons that explain why Discounters are winning. […]