Shopper marketing spending has more than doubled over the last two years, according to a new study.
Spending grew to 13.5% (from 6%) of the marketing budget between 2012 to 2014, according to Cadent Consulting Group. That represents a $17 billion increase.
“That’s a seismic shift,” said Don Stuart, managing partner at Cadent.
The online study is based on responses of 1,000 manufacturers, retailers and shoppers.
The study adds, however, that spending could be at its peak as costs begin to outweigh benefits.
“It’s not going away, but the bloom is off the rose,” said Stuart.
To get the most out of shopper marketing, companies need to focus on the “moments that matter,” or the points of influence that affect awareness and purchase the most.
The study found that more than half of purchase awareness and influence is generated at home before going to the store, and approximately 30% is generated in the aisle or section.
Some retailer respondents said the best shopper marketing programs are those that provide customized and personalized offers.
Said one respondent: “Retailer-specific coupons can help drive loyalty to a particular retailer and if that retailer captures information about the shopper who uses that coupon and then customizes future offers for that shopper … that can be very effective for both the retailer and the manufacturer.”
|Suggested Categories||More from Supermarket News|