Professional Documents
Culture Documents
EOR For India Retail Forum Bindu Sethi
EOR For India Retail Forum Bindu Sethi
88 Key
Key Markets
Markets 33 Priority
Priority Markets
Markets
India,
India, Vietnam,
Vietnam, China,
China, Japan,
Japan, India,
India, China
China & & Malaysia
Malaysia
Malaysia,
Malaysia, Australia, Korea &
Australia, Korea &
Indonesia
Indonesia
Quantitative + Qualitative
Key Focus on
Hypermarkets/
Supermarkets
Pharmacies/
Drugstores
Provision Shops/
Mom & Pop Stores
Explored Categories
OTC Supplements & Treatments Health Food & Drinks
Supplements Food
Vitamin/Energy Drinks/Heath Supplements Cereal
Treatments Beverages
Antiseptic Cream/Liquids Milk
Analgesic/Painkillers Health Food Drinks
Indigestion Remedies Fruit Beverages
Medicated Skin Treatment Cultured Milk Drinks
Rubs/Balms Yoghurt Drinks
Petroleum Jellies
Cough Lozenges/Sweets Not covered in Pharmacies due to low
Bandages & Dressings availability in certain markets
Beauty Snacks
2 CHOOSING
CHOOSING aa Store
Store
• Attitudes and behaviour across
different countries and shopping
WALKING
WALKING into
into the
the
channels 3 Store
Store
specific categories
Getting
Getting the
the BRAND
BRAND in
in
5 the
the BASKET
BASKET
• Role of in-store communications Purchase
1. It’s not a store. It’s a school.
2. Two-thirds of final purchase choices are
made in-store.
3. We don’t
listen to what
the consumer
REALLY wants
4. 59% of all purchase decisions are made before
entering the store and these are NOT driven by
brand equity
5. People don’t like shopping with their kids
6. Advice is appreciated as long as the
staff’s approach is non-intrusive
7. Asian shoppers visit stores not just for products
but also for the experience.
Indians claim to
spend an average
of 30% more than
8. The shopping budget is in the brand’s hand
their budgeted
amount each time
on non shopping
list items.
9. Almost half of the promotions done
in-store are wasted
10. Consumers only like promotions that make
them feel like a heroes
1. It’s not a store. It’s a school.
THE EYE-SIGHTS
4. 59% of all purchase decisions are made before entering the store and
these are NOT driven by brand equity
7. Asian shoppers visit stores not just for products but also for the
experience.
10. Consumers only like promotions that make them feel like a heroes
1. It’s not a store. It’s a school.
“KNOWLEDGE IS THE FOOD OF THE SOUL”
Plato, Greek philosopher
“I get to test, to taste, to ask, to
find out more.”
CONFESSIONS
“I can take my time to slowly read
the information, to make sure that I
get what I want. I can also compare
all the products before deciding.”
– Indian shopper
DISCOVERIES
– just grabbed it and went
DISCOVERIES
Overall Asia
Developed
I was Emerging
actively searching for the best promo
DISCOVERIES
HEALTH/ NUTRITION FOODS & DRINKS SNACKS
IMPLICATIONS
THE STORE ACTS AS A MEDIA CHANNEL FOR
INFORMATION
Different from mass media which brings the brand into the
consideration set.
2. Two-thirds of final purchase choices are
made in-store.
“When I see something new
offered by another brand, I try it.”
– Chinese shopper
CONFESSIONS
“I keep a brand in mind but I buy
the brand that gives me value as
this would help my family’s kitty.”
– Indian shopper
DISCOVERIES
Before entering the store 52 64 66
After entering the store 48 36 34
52 55 63
YES - Had more than one
brand in mind, but waited
to make f inal decision at
display 39
39
NO - Didn’t know at all 35
what brand I wanted until I
saw the display 9 7 3
Asia Asia Asia (Emerging Markets)
DISCOVERIES
Hyper/Supermarkets Pharmacies Provision Shops
Yes – I knew exactly what
brand I wanted to buy
Total % 34 33 29
DISCOVERIES
at the section in the store?
DISCOVERIES
PURCHASE DECISION HIERARCHY
Base: All Categories * Overall Level (All 3 Channels Combined) (Total Asia)
IMPLICATIONS
EVEN PREFERRED BRANDS ARE CONSTANTLY VULNERABLE
DISCOVERIES
Average Time In-Store
(in minutes)
Hypermarkets/ Supermarkets
Pharmacies
Provision Stores
CONFESSIONS
“When there are trial packs
available I always take one. I’ll
buy the product if I like it.
Saves money” - China
Different strokes for different folks!
Indians prefer on-pack information …
Chinese like trial packs…
Indonesians read leaflets/brochures
DISCOVERIES
Malays and Vietnamese enjoy product demos!
MOST HELPFUL IN-STORE COMMS
Overall
Asia Australia Japan Korea China India Indonesia Vietnam Malaysia
Trial packs 16 14 22 14 39 2 6 15 12
Product demonstration/ being able to try the product 13 6 7 20 13 2 4 21 21
Leaflets/ brochures about products 12 10 7 14 14 6 35 6 19
Information on the product packaging 11 15 3 9 1 36 10 10 7
Signs and posters giving product information 9 10 22 6 7 6 18 5 5
New/ special
MOST displayIN-STORE COMMS
HELPFUL 7 10 14 6 5 2 7 4 5
Advice from friends and family I shop with 6 2 5 8 7 14 9 3 4
In-store TV demonstrating product benefits 6 2 3 2 3 8 1 20 9
Advice from salesperson/ staff 5 1 2 9 2 12 3 6 2
Advice from healthcare professional 3 2 0 1 3 9 2 1 5
Information from pre-store research (e.g. online, catalogue) 3 4 1 6 4 0 0 1 0
Advice from storekeeper 1 0 0 1 2 4 2 4 0
Games, contests, and interactive events 1 1 2 1 0 0 2 5 0
Advice from Beautician 0 1 0 0 0 0 0 0 0
Premium Products
DISCOVERIES
MOST HELPFUL IN-STORE COMMS: Regular Products
Health/ Nutrition Foods &
Drinks Snacks
Trial packs 10 14
15Trial packs 13
Leaflets/ brochures about products Leaflets/ brochures13
about products 10
10 13
DISCOVERIES
MOST HELPFUL IN-STORE COMMS: Regular Products
Health Supplements/
REGULAR VS PREMIUM PRODUCTS
Medical Treatments Beauty
Trial packs 10 13
14 Trial packs 14
Leaflets/ brochures about products 11 about products
Leaflets/ brochures 10
12 12
Advice from friends and family I shop with 8 and family I shop with
Advice from friends 7
7 8
In-store TV3demonstrating
In-store TV demonstrating product benefits 6 product benefits 6
7
CONFESSIONS
“I always check the store
catalogue for new products” –
Australia, China and Malaysia
DISCOVERIES
IMPLICATIONS
INDIAN RETAIL HAS AN OPPORTUNITY TO EXTEND BEYOND
THE PHYSICAL SPACE
Discount coupons and store catalogues are methods effective in
other Asian countries and hitherto not present in India
5. People don’t like shopping with their kids
“I feel stressed when my
husband & kids come along
as I can’t
CONFESSIONS
focus” – India
DISCOVERIES
Shopping accompaniment TOTAL AUSTRALIA CHINA JAPAN KOREA India Indonesia Vietnam Malaysia
Alone 41 38 32 48 28 54 16 51 48
Spouse/ Partner 37 25 49 24 32 37 39 43 51
Other adults (17-24 years) 14 9 18 6 17 6 16 19 25
Other adults (25-54 years) 20 8 29 17 31 7 22 23 16
Other adults (54+ years) 7 3 9 8 10 1 0 16 4
Child(ren) 0-3 years 5 8 2 10 4 0 6 10 3
Child(ren) 4-7 years 16 14 19 15 14 8 33 13 19
Child(ren) 8-12 years 13 16 8 18 12 9 18 3 19
Child(ren) 13-16 years 4 8 0 5 3 1 0 1 9
Walk in as a family BUT Shop & browse alone !
DISCOVERIES
LEVEL OF ADVICE Hypermarkets/Supermarkets Pharmacies Provision Shops
SEEKING
5 8
13
58 52
I pref er to make my own choices 53
but will ask if I need any
inf ormation
I don’t tend to seek advice but am
open if approached
21 27
24
I don’t tend to seek advice and do
not want to be approached
16 12
11
DISCOVERIES
brand is not available.”
- Indian shopper
Source: Qualitative
While advice is key for Indians; packaging is as important
MOST HELPFUL IN-STORE COMMUNICATIONS: REGULAR VS PREMIUM PRODUCTS
HEALTH SUPPLEMENTS/
BEAUTY
MEDICAL TREATMENTS
Regular products
DISCOVERIES
Premium products
DISCOVERIES
India:
• Expert guidance is sought.
– Advisors wear a white uniform, which
makes them look more professional.
Thus, shoppers feel comfortable
asking for information.
CONFESSIONS
“It’s de-stressing as you get to
forget about work and enjoy your
own time strolling around in the
shopping mall.”
– Malaysian shopper
While shopping for
DISCOVERIES
products consumers are
also buying fun,
relaxation, new news and
adventure
This isn’t just true for hyper-
markets & super-markets
Asians love experience-
shopping; where-ever it
may be
Negatives (NETT) 20 26 12 25 15 19 17 18 23
Monotonous 8 11 2 9 6 5 5 5 20
Rushed 6 11 6 9 5 2 3 4 2
Confused 5 1 3 10 4 4 10 7 4
Bored 4 6 0 3 7 4 3 2 3
Irritated 3 3 1 2 2 9 6 4 0
Negatives (NETT) 27 22 24 26 28 32
Monotonous 12 11 4 6 9 25
Rushed 8 11 5 10 5 10
Confused 5 2 6 14 8 2
Bored 4 2 4 4 8 3
Irritated 4 2 9 4 5 0
CONFESSIONS
value.” – India
DISCOVERIES
Base: All Categories * Overall Level (All 3 Channels Combined) (Total Asia)
IMPLICATIONS
BRANDS CAN MAKE THEIR WAY INTO THE
CONSIDERATION SET DEPENDING ON THEIR IN-STORE
STRATEGIES
CONFESSIONS
“I don’t look for promotions
because most of my shopping is
routine.”
- Indian shopper
62% of Asian shoppers do not buy products on
promotion. Among those who do, 40% are not
influenced by the promotion
DISCOVERIES
Referring to the products you And how much of an influence did the
bought in this category, were they promotion have on your decision to
on promotion? purchase?
Consumers like promotions but they will not buy unless
convinced
35
DISCOVERIES
39 40 38
Yes 65 61 60 62
BOUGHT ON PROMO?
No
Health Beauty Health/ nutrition Snacks
supplements/ foods & drinks
medical
treatments
57 62 60 61
WAS PROMO A DRIVER
FOR PURCHASE?
43 38 41 39
DISCOVERIES
VIEWS ON PROMOTIONS Hyper/Supermarkets Pharmacies Provision Shops
DISCOVERIES
OTC Supplements & Health Food &
Treatments Beauty Drinks Snacks
Base: All Categories * Overall Level (All 3 Channels Combined) (Total Asia)
Indians & Indonesians don’t look for Vietnamese and
promotions because they buy the same Malaysians tend to distrust
brands everytime brands which are on
promotion often
DISCOVERIES
Indians may seem like loyalists; but the exploding beauty
category proves that given incentive they are willing to switch
DISCOVERIES
BOUGHT ON PROMO?
DISCOVERIES
Because shoppers are more focused on buying
a specific pack size and brand
IMPLICATIONS
CONSUMERS NEED TO BE CONVINCED THAT THE
PROMOTION IS FOR THEIR BENEFIT AND NOT THE
MARKETERS
CONFESSIONS
see how much I’ve saved”
HEALTH/
HEALTH SUPPLEMENTS/
Promo TOTAL BEAUTY NUTRITION FOODS SNACKS
MEDICAL TREATMENTS
& DRINKS
20% price discount 16 18 14 15 15
DISCOVERIES
20% extra product free for the regular price 16 19 18 11 11
Buy two packs get one free 19 15 18 21 25
Buy one and get a different product free 11 7 10 18 10
Free gifts 6 5 5 6 6
Coupons – cut out from newspaper/
1 1 2 2 0
magazine and get discount
Competition/ contest 1 1 1 1 0
None of the above 32 34 32 25 33