MAY/JUNE 2022
Path Purchase
pathtopurchaseiq.com
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E N D - TO - E N D S T R AT E G I E S F O R D R I V I N G C O N S U M E R D E M A N D
INSIDE 40 UNDER 40:
Meet the Class of 2022
SPECIAL REPORT: Evolution of the In-Store Experience, Part 2
(in cooperation with Great Northern Instore)
GEN Z SHOPPING HABITS
Exclusive research examines how they search, browse and shop across channels and platforms (In cooperation with Advantage Unified Commerce)
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2022 WEBINAR SERIES
JANUARY 25: Harnessing the DTC Strategy FEBRUARY 22: Omnichannel Grocery Trends and Tactics APRIL 12
The Brands Pioneering Social Commerce
JUNE 15
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The Institute’s unique Path to Purchase Now webinar series examines some of the critical ways brands and retailers must rethink their existing strategies to address the dramatic changes in shopper behavior that have taken place in recent years. Check the schedule for upcoming events or watch past events ON DEMAND.
Bev/Alc Best in Class Case Studies
AUGUST 17
40 Under 40 Winners Panel: The up-andcoming leaders in omnichannel marketing
PLEASE VISIT PAT H T O P U R C H A S E I Q . C O M / P 2 P N OW 2 0 2 2 FOR MORE INFORMATION AND TO REGISTER.
SEPTEMBER 13
Consumer Trends & Shopper Behavior
NOVEMBER 9
In-Store Experience
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Contents E N D -TO - E N D ST R AT E G I E S F O R D R I V I N G C O NS U M E R D E M A N D
Gen Z Shopping Habits
40
Evolution of the In-Store Shopping Experience
Our exclusive research examines how they search, browse and shop across channels and platforms, as well as what’s influencing their purchasing decisions. Sponsored by Advantage Unified Commerce.
Part 2 of our exclusive research shows why consumers are shopping in-store, what they are shopping for and what drives them to make spontaneous purchases. Sponsored by Great Northern Instore.
18 28
48
Awards
The Path to ‘Purpose’
Nominated by their industry peers and selected by our editors, this inaugural list of winners is an impressive group of rising leaders who are redefining the future of commerce marketing.
Part 2 of our report shows how to balance purpose and profit — and embrace the circularity opportunity.
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VO LU M E 35 | ISS U E 3
May/June 2022
5
Editor’s Note:
Introducing Our 40 Under 40
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P2PI Member Perspective:
Aki Technologies
8 Author’s Corner:
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Hana Ben-Shabat
This Q&A with a Gen Z expert and author explores the changes coming to culture, work and commerce.
15 Brand Watch: Jones Soda
Beverage brand is keeping consumers engaged with another round of product labels that turn into short videos with the help of augmented reality.
P2PI Member Spotlight
10
The New Consumer
12
On Trend
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Brand Watch:
Oreo’s Pokemon Adventure at Target
52
Activation Gallery:
In-Store Technologies 2.0
55
Solutions & Innovations:
From Twitter Ads to Al Activations
16 In-Store Experience: Beauty
Editorial Advisory Board
58 Insider Intel:
Keith Albright, Post Consumer Brands Dana Barba, Coca-Cola North America Stephen Bettencourt, CVS Health Lianna Cabrera, L’Oreal Paris Cosmetics Mia Croft, Native Christiana DiMattesa, Under Armour Gregg Dorazio, Giant Food (Ahold Delhaize) Paige Dunn, FIJI Water, JUSTIN Vineyards &
Brands and retailers are tapping into in-store experiences, both permanent and temporary, to connect with shoppers.
Kleenex Packaging
Kimberly-Clark launches a Target-exclusive tissue pack aimed at celebrating and sparking conversation about design, diversity, women and the planet.
Winery, Landmark Vineyards & JNSQ Wines
Jessica Fair, The J.M. Smucker Company Tony Fung, Bob Evans Farms Patrick Hallberg, Apple Travis Harry, Home Depot Brendon Lynch, Jushi Holdings Jose´ Raul Padron, The Hershey Experience Jonny Rigby, Amazon Rodney Waights, Beiersdorf
Path to Purchase IQ (USPS 4568, ISSN 2688-4984) is published bi-monthly by EnsembleIQ, 8550 W. Bryn Mawr Ave., Ste. 200, Chicago, IL 60631. Subscription rate for the U.S.: $80 one year; $155 two year; $14 single issue copy (pre-paid only); Canada and Mexico: $105 one year; $185 two year; $16 single issue copy (pre-paid only); Foreign: $115 one year; $215 two year; $16 single issue copy (pre-paid only); $56. Periodical postage paid at Chicago, IL 60631 Copyright 2022 by EnsembleIQ. All rights reserved. No part of this publication may be reproduced or transmitted in any form or by any means, electronic or mechanical, including photocopy, recording, or information storage and retrieval system, without permission in writing from the publisher. Reprints, permissions and licensing, please contact Wright’s Media at ensembleiq@wrightsmedia.com or (877) 652-5295. POSTMASTER: send address changes to Path to Purchase IQ, 8550 W. Bryn Mawr Ave. Ste. 200, Chicago, IL 60631.
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Editor’s Note
Editorial Director Jessie Dowd, jdowd@ensembleiq.com Executive Editor Tim Binder, tbinder@ensembleiq.com
Introducing Our 40 Under 40 J E S S I E D O W D, E D I T O R I A L D I R E C T O R
As I write this, we are just days away from hosting our first in-person conference in more than two years. The excitement of gathering our industry together again — finally — is coming to a head, and our team at the Path to Purchase Institute is thrilled to be seeing our industry friends in real life at Future Forward in Chicago. A big part of what I’m personally excited about at Future Forward (and something I’ve mentioned before on the pages of this magazine) is the privilege we get as editors to honor the many talented leaders in our industry through our awards programs. To that tune, we are celebrating the inaugural winners of our 40 Under 40 Awards and the Hall of Fame 2022 inductees at the event. I cannot wait to meet these inspiring individuals face to face, hear their stories and learn from their experiences navigating the evolving world of commerce. Whether or not you’re attending Future Forward, you can still get to know the 40 exceptional young professionals in the commerce marketing industry who comprise the 40 Under 40 class of 2022 via our profiles in this issue. Selected by our editors from an overwhelming and impressive pool of entries, this next generation of leaders in omnichannel marketing is being honored for their innovative and outstanding work, as well as their contributions to education, mentorship and associations that support the marketing, brand and retail communities. I hope you enjoy getting to know them across the pages of this
magazine (coverage starts on page 28). And if you want to read about the Hall of Fame 2022 inductees, check out the March/April edition of the magazine or visit PathtoPurchaseIQ.com for the digital coverage. Inside this issue, you’ll also find our latest consumer research, including our cover story that explores Gen Z’s shopping habits. Our findings from this exclusive research on the most diverse generation to date reveal how they search, browse and shop across channels and platforms, as well as what’s influencing their purchasing decisions — and guess what, it’s a lot more than just TikTok. This cohort of digital natives LOVES shopping in-store and is truly an omnichannel shopper, fluidly browsing and buying online and offline. Flip over to page 18 to get into the nitty gritty of the Gen Z shopper journey. Then on page 40, we feature part 2 of “The Evolution of the In-Store Shopping Experience” report, which delves into insights about why consumers are shopping in-store, what they are shopping for, what drives them to make spontaneous purchases, and the factors influencing their in-store experience. Additionally, this issue features the second half another two-parter that explores the “path to purpose” and how to balance purpose and profit while embracing the circularity opportunity (see page 48). As we head into summer, I hope this issue reinvigorates you with new knowledge, insights and the same excitement we felt putting it together. Cheers to the 40 Under 40 class of 2022! I can’t wait to see you soon …
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Managing Editor Charlie Menchaca, cmenchaca@ensembleiq.com Digital Editor Jacqueline Barba, jbarba@ensembleiq.com Director/Member Content Patrycja Malinowska, pmalinowska@ensembleiq.com Managing Editor/Member Content Cyndi Loza, cloza@ensembleiq.com Editor/Member Content Beth Christenson, echristenson@ensembleiq.com Director – Production Ed Ward, eward@ensembleiq.com Creative Director Colette Magliaro, cmagliaro@ensembleiq.com Art Director Michael Escobedo, mescobedo@ensembleiq.com CONTRIBUTING WRITERS Michael Applebaum, Ed Finkel, Erika Flynn, Chris Gelbach, Jenny Rebholz, Bill Schober
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Member Perspective
Effectively Navigating Privacy Regulations BY A L E X A N D R A M AT T H E W S , A K I T E C H N O L O G I E S
Denial often precedes compliance when it comes to privacy legislation. When the General Data Protection Regulation (GDPR) went into effect four years ago, many companies in the U.S. opted to shut down or limit operations in the European Union instead of adjusting their data privacy practices. Not long after GDPR went into effect, the California Consumer Privacy Act (CCPA) was enacted in California. Denial was no longer an option. CCPA is only the beginning of data privacy laws impacting American businesses. New privacy legislation — in California (CPRA), Colorado (CPA) and Virginia (VCDPA) — is set to go into effect in 2023. Additionally, more data privacy laws are proposed, with each bill having its own varying nuances. Companies need to be proactive when it comes to privacy compliance. Aside from wanting to avoid violations that will be costly both monetarily and in reputational damage, the main motivation
behind privacy compliance should be the desire to respect consumer choice. A study conducted in 2020 by global accounting organization KPMG revealed that 87% of U.S. consumers view data privacy as a human right. Consumers have spoken loudly, and companies are finally responding. To respect consumers’ choices when it comes to how data is accessed, Apple now provides users with the choice to block the Identifier for Advertisers (IDFA) at the app level, and Google will eliminate third-party cookies from Chrome in 2023. These improvements in transparency empower consumers and panic advertisers. But there’s no need to panic. Brands are still empowered to succeed in this new era. While consumers demand (and deserve) respect for their data privacy, they also crave personalized advertising experiences. A 2021 report by management consulting firm McKinsey & Co. shared that 76% of consumers believe that receiving personalized communications is a key factor in prompting their consideration of a brand. At Aki Technologies, an Inmar Intelligence company, we have also proved the effectiveness of personalized advertising. Last year, Aki partnered with PepsiCo to test how personalized advertising might drive better results for a campaign promoting their Off The Eaten Path veggie snack brand. The findings revealed that each audience was at least twice as likely to engage with personalized creative vs. non-personalized creative. And personalized rich media drove 110%
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higher engagement than nonpersonalized rich media on average. Knowing the impact that personalization has on the effectiveness of advertising, advertisers must figure out how to balance privacy compliance without compromising performance. Thankfully, it’s simple. Focus on data quality over data quantity. Deterministic targeting will not have the scale that it once did. Rather than collecting IDs from all users, marketers need high-quality, insightful data: demographic, psychographic, behavioral and transactional data from which to build scalable and representative models for advanced targeting and messaging. It’s important for brands to partner with technology companies that have future-proof methodologies. Meaning that their core strategies leverage probabilistic data that is privacycompliant by design. This will empower brands to provide consumers with individualized experiences while ensuring scaled addressability. Not only is this a benefit to the consumer, but it ensures brands can navigate the complexities of the ever-changing laws around data collection, usage and storage. IQ
ABOUT THE AUTHOR Alexandra Matthews is director of content marketing at Aki Technologies, where she manages the company’s award-winning thought leadership content. She is a passionate content marketer with 10plus years of experience developing marketing strategies and solutions for brands, agencies and publishers.
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Member Spotlight A snapshot of industry leaders from the P2PI member community JOSEPH VIZCARRA
What are your summer plans? Spending time with family, hopefully on a beach somewhere with no internet access. But just getting back to normal a bit and enjoying the summer.
Group Vice-President, Customer Marketing, Walmart team
Coca-Cola Co. Biggest challenge right now: One of the biggest challenges for me currently is balancing our internal and retailer priorities in terms of timing, consumer trends, marketing investments and forward-looking opportunities. There’s an abundance of great ideas and solutions coming from both Coca-Cola and our retailers, and the hardest part is to determine which initiatives provide the largest business opportunities. This isn’t limited to only short-term results, but also thinking through strategic long-term ventures that we can build out with a three- to five-year vision. Solution for others facing the same challenge: As a company whose purpose is to “Refresh the World. Make a Difference,” we are always looking for new and innovative ways to get consumers to sample. With all the safety restrictions over the past few years, we’ve had to adjust our sampling strategies and are always searching for more options to get our products in more people’s hands. New marketing tactic that you’re planning to keep in your toolbox for the future: We have tried so many tactics, it’s hard to narrow in on just one. I’d say anything that is mobile-based and incorporates those apps or media that people are using every day. Make it simple and don’t ask consumers to create accounts, log in, create profiles, etc. The simpler, the better. Best advice you received in your career: When presenting a proposal or solution, always think through and be prepared to address the difficult questions. You can’t be over-prepared. Memorable aha moment in your career: So many aha moments and still learning every day. I can say that I have learned that good ideas can come from anywhere, so don’t be afraid to look outward for input. What you are watching or reading right now: I’m engaged in anything related to design thinking. Training, books, TED Talks. It’s a fantastic capability to use to drive business growth.
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MATT ALLEN Senior Manager, Commerce Marketing
The J.M. Smucker Co. Biggest challenge right now: Supply chain issues are keeping us on our toes. Managing media and promotions to match items with healthy inventory is an ongoing challenge. Solution for others facing the same challenge: Using real-time inventory levels via API to reflect available product in ads. This allows us to highlight only products that are on store shelves nearby by geofencing ads and serving up based on mobile GPS location of consumers. New marketing tactic that you’re planning to keep in your toolbox for the future: Shoppable ads are delivering a great consumer experience and delivering great return on ad spend right now. They allow consumers to shop in the moment without leaving the content they are enjoying. Best advice received in your career: Don’t get hung up on your job description. A team player that is willing to do whatever needs to be done will always be in demand. Memorable aha moment in your career: When I switched from healthcare to CPG food. I realized marketing skills are truly transferable across any industry. You don’t have to be a product expert to be a marketing expert. The product knowledge can be gained along the way. What you are watching or reading right now: “Undone” on Amazon Prime. Truly original fiction with great story writing and rotoscope animation that gives it an interesting twist. What are your summer plans? Taking the family to find a quiet getaway on the beach. We love South Carolina and Georgia coastal areas. IQ
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Author’s Corner
‘Gen Z 360’
A Q&A with Hana Ben-Shabat, a Gen Z expert who is helping to figure out how retailers can connect with this unique generation BY A M Y B A X T E R
Hana Ben-Shabat
Gen Z is a generation like no other, according to author Hana BenShabat, who has become an expert in this upcoming cohort of culture creators, employees and consumers. Ben-Shabat is the author of “Gen Z 360: Preparing for the Inevitable Change in Culture, Work, and Commerce.” Path to Purchase IQ caught up with her to discuss the ins and outs of Gen Z and how retailers can connect with this unique new sector of consumers.
P2PIQ: Of the three areas mentioned in your book title — culture, work and commerce — where will Gen Z have the biggest impact to make changes? Ben-Shabat: I don’t believe that it’s possible to pick one area over the other because we are not comparing like for like. I do see a trajectory, however, to how their impact is and will be felt. At this point, we are experiencing their effect mostly on our culture
because this effect can come from almost every Gen Z’s age-group; younger and older. Their effect on the workplace and the consumer market will be increasing gradually as more Gen Zers join the workforce and increase their income. So, a few words on culture: Gen Z is creating a culture of radical inclusivity and willingness to challenge authority. They are vocal about different causes. From racial and social justice to climate change, Gen Zers are using their technological know-how and entrepreneurial flair to create movements and mobilize their peers and members of older generations to act. In addition, Gen Zers are launching a new age of creativity. This is a generation that wants to be the producer-user, they don’t want to just be an audience. We see that every day on TikTok, other social media platforms and blogging platforms. And perhaps,
P2PIQ: Where are we right now in terms of Gen Z’s coming of age? What economic power do they currently have and how will it change soon? Ben-Shabat: There are 78 million Gen Zers in the United States between the ages of 6 to 24, which means that we have about 28 million Gen Zers over the age of 18. Their economic power is quite impressive. With 13.6 million Gen Zers already in full-time and parttime employment, 43% generating income from side hustles and many receiving allowances from parents — Gen Zers disposable income in 2021 reached $360 billion. As more
The list of expectations Gen Zers have from retailers and brands is long. They value authenticity. They are looking for inclusivity in products (for example, size inclusivity in apparel, or color shades in beauty, genderneutral products) and they want to see inclusivity in advertising (real people or use of trusted social media influencers).
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more importantly, the culture they are creating is being trickled up and adopted by other generations, which is why it’s so critical that we understand them better.
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Meet the Author Coffee Hour: June 16, 2 p.m. EDT
in advertising (real people or use of trusted social media influencers). Having experienced a global recession in childhood and, most recently, the effects of the global pandemic, Gen Zers grew up to be extremely cost conscious. Therefore, affordable prices and value for money are extremely important to them. But value is only part of the equation, Gen Zers are values-driven consumers and they want to support retailers and brands that share those values. Finally, Gen Zers — being the true “digital first” generation — expect technologydriven, smooth shopping experiences both online and instore. Think the immediacy of Amazon deliveries, the frictionless experience of Uber and the personalization of a service like Netflix. Gen Zers join the workforce each year (they expect to account for 30% of the workforce by 2030), this figure is expected to grow, making them an important customer segment.
P2PIQ: Here’s a big question for the retail industry: What do Gen Z consumers want from retailers? Ben-Shabat: The list of expectations Gen Zers have from retailers and brands is long. They value authenticity. They are looking for inclusivity in products (for example, size inclusivity in apparel, or color shades in beauty, gender neutral products, etc.) and they want to see inclusivity
P2PIQ: Should brands align themselves with causes and values that speak to Gen Z? What’s the danger in doing so?
Ben-Shabat: As mentioned earlier, Gen Zers are values-driven consumers. They care about a host of causes from climate change to social and racial justice to women’s empowerment. Nike has become a favorite of Gen Zers partially because of their willingness to take a stance on issues of race and inclusivity. There is always a risk of alienating part of your customer base when you align with one cause or another. I believe that it makes sense if a cause you choose is aligned with your core values as a retailer and if you do it authentically. Taking a stance for
Hana Ben-Shabat is one of the Featured Authors in our 2022 Book Club, which is currently reading “Gen Z 360: Preparing for the Inevitable Change in Culture, Work, and Commerce.” Sign up (it’s free!) to be part of our Book Club and you’ll get access to our exclusive Meet the Author virtual coffee hour event — June 16 at 2 p.m. EDT — where you’ll get to listen in while we pick her brain and then take part during an interactive Q&A. Visit PathtoPurchaseIQ.com/bookclub to join us and get on the list.
the sake of taking a stance could easily backfire.
P2PIQ: What’s your advice to retailers that want to capture more of the Gen Z audience?
Ben-Shabat: It’s all about discovery and personalization. Remember that your real competition is the online world, and I am not referring to e-commerce. Gen Zers who grew up with technology at their fingertips got accustomed to the discovery aspect of social media and to the personalization of the various platforms online. They expect the same when they come to your stores. Designing stores that promote discovery and deliver personalization is key to attract Gen Z. Why would anyone come to a store if it’s much more fun to scroll through a TikTok feed or play in the metaverse? IQ
WHAT WE’VE ALREADY READ … “How We Eat: The Brave New World of Food and Drink”
“Resurrecting Retail: The Future of Business in a Post-Pandemic World”
Author: Paco Underhill
Author: Doug Stephens
This book explores the changes in how we produce, harvest and distribute food — and how this is our chance to do better, for ourselves, our children and our planet. From indoor farming to grocery stores’ repurposed parking lots to food influencers, the future of food is here and faster than you think.
This book provides a comprehensive and surprising vision of how the COVID-19 crisis reshaped every aspect of consumer life, including the very essence of why we shop. Above all, it provides an inspirational and actionable future vision for any business leader looking not only to survive but thrive in a very different post-pandemic retail world.
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The New Consumer
Is In-Person Spending Back? BY J AC Q U E L I N E B A R B A
U.S. consumers are spending on in-person experiences again, but the pullback on general merchandise spending that is expected to coincide with it has not played out — at least not yet. Experiential spending reached 91% of 2019 levels at the end of 2021, but general merchandise retail spending remained elevated at 19% above pre-pandemic levels, according to a report from The NPD Group. However, some diminished demand has been evident, with retail unit sales declining in nine of the first 10 weeks of 2022, compared to last year. However, revenue rose more than 5% in four of the same 10 weeks. “There is a cautious optimism in the air as consumers embrace some newfound freedom from restrictions while not yet letting go of their pandemic ways,” said Marshal Cohen, chief retail industry advisor for NPD, in a news release on the report findings. “If the pandemic’s trajectory continues moving toward an endemic status, people are likely to begin spending very differently.” While consumers appear to be emerging from the pandemic lifestyle, they’re not yet emerging from pandemic-era spending. Accessories, beauty, apparel and other categories are getting a boost from experiences, as consumers return to more in-person activities. However, even as consumers become less focused on at-home needs than they were over the past two years, sales of the products most popular through the pandemic continue
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to exceed pre-pandemic performance, including toys, small appliances, housewares and technology.
REINVENTED IN-STORE EXPERIENCE Eighty-five percent of consumers will do more in-store shopping in 2022 than 2021 — up from the 79% who reported increased visits last year — according to consumer survey results from ChaseDesign. The design firm fielded an online survey through its proprietary research platform, mPulse, among 1,000 consumers between the ages of 25-54, during March 2022. Respondents were screened to be the primary or secondary shopper in their households. Factors driving this return to physical locations included having the ability to choose products in person, seeing what’s new and taking advantage of the store staff’s expertise. At the same time, online ordering volumes and services like buy online, pick up in-store (BOPIS) are slipping from their 2021 highs, which doubles down on the importance of a vibrant retail offering, according to survey findings. ChaseDesign’s analysis of its new research concluded that this means retailers need to make digital investments in their stores to attract and retain that returning foot traffic. “For retailers, this means maintaining and even boosting their expertise in e-commerce and omnichannel in the context of their physical stores,” Joe Lampertius,
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president of ChaseDesign, said in an April media release. “It’s about having the right information presented to shoppers through the use of apps, QR codes, AR and VR, and other digital tech, so the in-store shopping experience can be as dynamic and convenient as online experiences.” Other key findings from the “2022 Shopper Sentiment” survey include: • Shoppers see 2022 as the tipping point for self-checkout, as they cited it as the most used technology tool at physical retail. This means merchandising practices for retailers must change and adapt to sustain lucrative impulse purchases. • Self-checkout joins QR codes and retailer mobile apps as the technologies that best help improve the shopping experience. More than two-thirds of shoppers use self-checkout at least occasionally, while 44% use the retailer’s shopping app and 29% use QR codes — all of which represent increases from previous years. • Target has set the tone for investing in store design and experience over the past five years, resulting in its delivery of the best in-store shopper experience. While Target’s strategic investment in a more relevant and appealing store began five years ago, Costco, Kroger and Dollar General have been investing here, too. Both Target and Walmart saw increases in this area. Walmart outpaced Target in having the best app.
THE DIGITAL SHELF Edge by Ascential’s annual “Future of the Digital Shelf” report, which illustrates the impact e-commerce is having on traditional retail, predicts that shoppers will spend over $2.4 trillion dollars online by 2026. It also predicts that from 2021 to 2026, e-commerce will make up 63% of all total gross merchandise volume (GMV) growth, more than double the amount generated by all the store-based channels measured in the report. “As retail enters a new generation where the shopper path to purchase is most likely to start on a mobile phone or a laptop, the digital shelf is the primary place where shoppers discover, select, purchase and engage with products online, and therefore is fundamental to a brand’s future growth,” Deren Baker, CEO of Edge by Ascential, said in a news release. The report highlights e-commerce trends and challenges impacting brands and retailers today. Some additional key findings include: • E-commerce is reshaping the purpose of the store. Most shoppers now begin their product searches on digital channels and studies
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show that one in three store purchases begin online. Even when in stores, shoppers are increasingly engaging with digital experiences through mobile apps, QR codes, digital payment tech and social media platforms like TikTok and Meta. The report suggests that brick-and-mortar retail, while still important, must find fresh purpose in a digital-first world. • The digital shelf is the primary place where brands achieve future growth, but online is not just one channel. Amid the pandemic in 2020, e-commerce activity increased by 37% worldwide, causing the entire online shopping ecosystem to evolve. • Keeping items in stock is the ultimate precursor to sales and conversion on the digital shelf and to maintain a top search ranking. Edge has observed clients lose as much as onefifth (22%) of their weekly sales for every day their product is out of stock. • Search is now the preferred way to shop and an entry point for product and brand discovery. • For products sold online, a product detail page and online packaging are as critical as the packaging and promotional material for products displayed on a physical shelf. Insights from Edge by Ascential’s latest report were gathered between November 2021-2022. The report was created with data from the company’s proprietary analytics tool dubbed Retail Market Monitor. Retail sales data included online and offline operations, and only includes chain retailers, of which Edge Retail Insight covers almost 2,500 worldwide. IQ
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On Trend
BevAlc Brands Enter the Metaverse BY C H A R L I E M E N C H AC A
Alcoholic beverage brands are serving up fun this year in the virtual reality space known as the metaverse. The Heineken Co. launched its first virtual beer, Heineken Silver, in March within the Decentraland digital platform before bringing the product to real events in Europe. Then in April, Pernod Ricard’s Absolut activated its sponsorship as the official vodka of the Coachella Music Festival with a hybrid physical and metaverse experience known as Absolut.Land. Pernod Ricard North America’s Pam Forbus, SVP, chief marketing officer, answered a few questions about the activation and its benefits.
P2PIQ: Why did Pernod Ricard decide to enter the metaverse? Forbus: While the metaverse is new, it’s clear there is strong consumer interest that is still growing as the platforms mature, giving us a new way to meet consumers where they are (or want to be). As we approached the 10th anniversary of Absolut’s status as
the official vodka of Coachella, we saw an incredible opportunity to blend our on-site festival experience with digital to engage those unable to join in-person. Our mission is to create moments for people to come together and mix, and this activation does just that. We strategically purchased high-traffic, Decentraland real estate as a long-term commitment to activating during marquee moments in the virtual world, putting our brands front and center to unlock the magic of human connection and bring conviviality to life for consumers.
P2PIQ: What are the benefits of standing up virtual activations like these for Pernod Ricard? Forbus: We’ve entered this space because we believe in the opportunities it presents to deliver on our brand promise to be at the forefront of culture and serve up unmatched experiences for consumers to socialize. E-commerce integrations are a good example of this as the metaverse is creating a world in which consumers can socialize and shop, and have products delivered right to their door. We are doing this with our signature cocktail kit in partnership with electronic music group Swedish House Mafia for consumers to order in Absolut.Land. We believe there will be even more opportunity in the near future for consumers to shop for their favorite brands in this virtual space.
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We’re excited by the prospect of competitors entering this space and creating their own experiences. Competitor activity only strengthens traffic and engagement in the metaverse, contributing to the overall success of our activities.
P2PIQ: Do you foresee blended activations with physical and metaverse elements becoming more common for liquor brands? Forbus: Only time will tell, but we know Absolut made this investment to meet our consumers in more ways. We’ve built a one-of-a-kind metaverse experience with Absolut. Land that blends IRL [in real life] and virtual. It goes beyond the traditional activations to drive true social mixing, starting with our long-standing partnership with Coachella. While other spirits companies are in the metaverse, what’s really special about our approach is the interconnectivity of how IRL at the tent influenced the digital experience in the metaverse during our live event at Coachella. We know the space is new for some consumers and people are at different stages of discovery within the metaverse. It is so important for us to test this space with brands that can authentically show up and connect with others no matter where they are in their metaverse journey.
P2PIQ: Whom did you partner with on this project? Forbus: United Entertainment Group was the lead brand strategy and co-lead on creative. They also helped with talent and influencers. Young Hero was the co-lead creative and creative production. Banquet Labs provided metaverse strategy and Parcel Party was the lead developer. IQ
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SHOWCASE YOUR
E X PERT ISE Boost your expertise, enhance your reputation, facilitate collaboration, and promote your in-store capability to commerce marketing decision-makers. Be a thought leader in your industry and within the Path to Purchase community. Make a powerful and lasting impression with a company profile and your print and digital advertising assets.
GUIDE SCHEDULE The 2022 Guide to Shopper Marketing Agencies July/August Issue • Ad sales close: July 7, 2022.
DELIVERABLES •
Two-page spread in the print edition of Path to Purchase IQ magazine. (Left hand page has a company profile, right hand page is your brand ad).
•
Downloadable digital version with lead generation data for 3 months.
•
Promoted on PathtoPurchaseIQ.com and in the Path to Purchase IQ email newsletter.
•
Logo branding on email blast of the Guide to Shopper Marketing Agencies 35,000+ opt-in audience.
•
Promoted at Path to Purchase LIVE in October with QR Code call to action driving traffic.
CONTACT: Orlando Llerandi M: 678-591-8284 ollerandi@ensembleiq.com Patrece Remmel M: 239-404-8473 premmel@ensembleiq.com Arlene Schusteff M: 847-533-2697 aschusteff@ensembleiq.com
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Brand Watch
Target Shoppers Capture Pokemon Oreos BY C H A R L I E M E N C H AC A
When a comfort eating surge brought on by the COVID-19 pandemic began to wane in 2021, Mondelez International looked for a different way to connect with shoppers. Shopper data led the manufacturer to collaborate with The Pokemon Co. for a limited-edition release of its Oreo brand last fall. In September and October 2021, the “Oreo Pokemon Adventure at Target” program utilized retail and social media to tout the cookies’ availability at the mass merchant. “Insights showed us that 45% of dessert and confection consumers enjoy desserts that remind them of their childhood,” says Jennifer Mason, customer director of shopper marketing at Mondelez. “We recognized leveraging the cross-generational love for Pokemon and Oreo cookies would help inspire shoppers to reconnect with their childhood through this limited-edition product. Additionally, our historic experiences have shown that limited-edition SKUs at Target perform extraordinarily well.” Based on their past successes together, Mondelez partnered with Roundel, Target’s media network, and Boston-based Breaktime Media to bring the program to life. Mondelez agency partner VMLY&R Commerce also contributed to the campaign. To drive anticipation of the limited launch, the manufacturer worked with Roundel to develop animated social posts highlighting beloved Pokemon characters. These prelaunch posts ran Sept. 9-12 on Target’s Facebook page and Snapchat. Once the limited-edition packs were on-shelf, Mondelez transitioned from the anticipatory posts to animated ads designed to grab shoppers’ attention. The content focused on engaging viewers to guess which Pokemon was featured on the Oreo cookies and drove shoppers to the product listing on Target.com, where they could add the product directly to cart. Mondelez also employed offsite Bullseye banner ads to drive shoppers to a custom Breaktime Media experience. It contained a quiz where shoppers could test their Pokemon knowledge and receive their personalized Pokemon trainer ranking. The quiz was followed by the opportunity to click to add the Pokemon Oreo cookies directly to their Target.com cart. Users could also upload photos and customize them with unique Pokemon Oreo picture frames. To wrap up the experience, shoppers could share which Pokemon they were most excited to find through a custom poll and see how their choice compared to other fans. Mondelez worked with Target to incorporate the limitededition Oreo packaging into in-store displays with the rest of its Oreo portfolio.
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“The in-store displays provided the holding power for guests to find our products whether they purchased online or in-store, as Target pulls from in-store inventory to fulfill all Oreo cookie orders,” Mason says. Breaktime Media’s interactive content experience resulted in tens of thousands of unique shopper engagements, with an average engagement time of three minutes and 12 seconds. The Breaktime experience outperformed benchmarks in inspiring purchases using the addto-cart feature by 29.6%, Mason says. In all, the collective marketing efforts resulted in double-digit cookie category online sales growth versus prior year, and triple-digit total online Oreo cookie sales growth compared to prior year. The campaign received a bronze 2022 Reggie Award in the shopper marketing, retailerspecific or omnichannel marketing category. The Pokemon Oreo cookies even outperformed the prior No. 1 seller in the category – the limited-edition “Game of Thrones” Oreo cookies. “Overall, the campaign far exceeded our expectations for the KPIs, and was successful in engaging and reconnecting with shoppers,” Mason says. IQ
Campaign Closeups Look for more Reggie Awards coverage in our July/August issue.
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Jones Soda’s Latest AR Label Series BY C H A R L I E M E N C H AC A
Jones Soda is keeping consumers engaged with another round of product labels that turn into short videos with the help of augmented reality (AR). The special labels appeared on 1.4 million bottles starting in March in the U.S. and Canada, spanning five of Jones’ top-selling soda flavors. The AR images, which become activated using the proprietary Jones Soda app, were also included on packaging for four-pack SKUs. In general, most of Jones’ labels are consumer submitted — this was especially true within the action sports community, says Maisie Antoniello, marketing manager at Jones Soda. The latest labels include not only extreme sport athletes, but a graffiti artist, music video director, landscape painter and more. “We are also always pushing ourselves to expand our reach to content creators who have a unique point of view and
engaged audiences,” Antoniello says. The manufacturer has released 31 AR labels over three series since July 2021. After the initial AR series focused on sports, the company spotlighted the animatronic fortune teller character Zoltar reading humorous fortunes customized to incorporate Jones Soda messaging. “Our labels have always been a vital component of our brand DNA, so we’re continually looking for new ways to use them as a canvas to help entertain, retain and expand our fan base,” said Eric Chastain, president of the Jones Soda beverage division, in a news release. “Adding video is a logical step at a time when people spend hours on platforms like TikTok. It’s fun, it’s fresh and it’s bringing new consumers to the Jones app to view the videos as well as check out our photo gallery, submit photos or videos of their own, and shop for their favorite Jones products.” Jones posted videos and images to its social media channels showing
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the AR labels in action. The labels were supported in stores with header cards on soda racks, window clings and shelf hangers containing instructions and a scannable QR code to bring shoppers to the Jones Soda app, Antoniello says. Experiential marketing agency Trigger(House helped Jones develop the overall technology and capabilities to create the AR series. Mint Performance Marketing assisted the manufacturer with managing its influencer community. IQ
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In-StoreExperience
Beauty Goes Brick-and-Mortar BY J AC Q U E L I N E B A R B A
As the beauty category continues to evolve and grow outside of its typical bounds controlled by retailers such as Sephora and Ulta Beauty, as well as mass merchants and drugstores, brands that were once deemed “challenger” brands (think Glossier or Fenty Beauty) have become household names. And while cosmetics and personal care have particularly seen growth online, brands and retailers are also increasingly tapping into in-store experiences, both permanent and temporary, to connect with new shoppers.
brand’s in-house team. Glossier’s Los Angeles location, however, is L-shaped with massive letters spelling out the brand name on the storefront. The store stretches along Melrose Avenue and West Knoll Drive in West Hollywood, just a few blocks from Glossier’s former L.A. store that closed the year prior. A can’t-miss element of the Seattle store includes a unique, forest-inspired boulder art installment outfitted in fake moss, mushrooms, flowers and butterflies.
GLOSSIER’S RETAIL RETURN
YSL SCENT-SATION EXPERIENCE
In 2021, digital native Glossier made its re-entry into the physical retail space with the opening of three new and permanent stores in Los Angeles, Seattle (exterior pictured) and London, after shuttering all its physical stores in 2020 due to the COVID-19 pandemic. The aesthetically pleasing brand leverages an immersive design and what it calls a “peoplecentric approach” to beauty discovery at its stores, which includes minimal merchandising, illuminated lighting and shelving in a spacious and industrialstyle environment that incorporates its signature light pink hues throughout. Table displays, both encased and open, merchandise the brand’s cosmetics, skincare and brand merchandise, while four-sided, try-on centers offer illuminated mirrors and sinks to apply and reapply various products. With each varying slightly, most stores share oversized signage, large props, pillars, seating areas and plenty of unique, funky mirrors designed by the beauty
While not exclusively a beauty brand, luxury fashion brand Yves Saint Laurent (YSL) also offers prestige beauty and fragrance products under YSL Beauty (owned by L’Oreal). In December 2021, the brand introduced “YSL ScentSation,” a tech incubator and in-store experience leveraging neuroscience to provide personalized fragrance advice (see “Activation Gallery,” page 52), first launched at the brand’s YSL Beauty Innovation Lab pop-up shop in a Dubai mall. L’Oreal’s technology incubator YSL Beauty partnered with neurotechnology company Emotiv to create a branded device that helps shoppers determine their perfect scent suited to their emotions.
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Shoppers engage in a 25-minute diagnosis wearing the headset with a trained beauty advisor. Matching neuroscience and artificial intelligence with a polysensory experience, the headset captures five different feel-good emotions triggered by 14 different accords, representing 27 YSL fragrances, then translates them into a unique, personalized selection of three YSL scents. “[This immersive experience is] a huge technological breakthrough that will help decode what consumers want to smell as [they discover] new fragrances,” said Stephan Bezy, international general manager at YSL Beauty, in a media release. “We’re excited to empower consumers with powerful insights and help make their search for the perfect scent both easier and grounded in how it makes them feel.” Since the Dubai pop-up debut, the headset and experience has rolled out to Yves Saint Laurent flagship stores in multiple countries and will be available through 2023.
more rollouts planned in 2023, offers more than 170 brands, 39 of which are from Thirteen Lune, including Buttah Skin, Bossy Cosmetics and Wander Beauty. The store experience features in-line and illuminated displays. In addition to indie and BIPOC-founded brands, the curated assortment spans makeup, skincare, haircare, styling tools, fragrance, nailcare, and bath and body products at varying price points. Henkel’s Better Natured at-home hair color line, for example, recently made its U.S. brick-and-mortar debut at JCPenney Beauty stores, along with trained in-store beauty experts available to help shoppers select the right Better Natured hair color shade and answer questions. Perfect Corp. technology is also available in-store, allowing shoppers to virtually try on colors before buying. “Rooted in inclusivity, JCPenney Beauty grew out of direct feedback from our customers,” said Michelle Wlazlo, executive vice president and chief merchandising officer at JCPenney, in a news release. “Together with our brand partners, we have reimagined every aspect of our beauty experience — from the highly curated assortment and welcoming space to the integrated loyalty program and all-new e-commerce experience. We are incredibly proud to bring JCPenney Beauty to life in stores and online.” IQ
JCPENNEY BEAUTY After Sephora ditched its store-within-a-store partnership with JCPenney for Kohl’s, JCPenney developed its own in-store and online beauty concept, focused in part on inclusivity and elevating diverse founders and brands. JCPenney joined forces with Thirteen Lune (an inclusive e-commerce site founded by Nyakio Grieco, a beauty entrepreneur and founder of Nyakio Beauty) and Patrick Herning (the founder of 11 Honore, a luxury plus-size fashion label) to help bring a unique experience to its stores. For Thirteen Lune, this collaboration marked its first brick-andmortar retail venture. JCPenney Beauty, which is available at 10 stores with
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GEN Z SHOPPING HABITS
Z GEN SHOPPING HABITS Our exclusive research on the most diverse generation to date examines how they search, browse and shop across channels and platforms, as well as what’s influencing their purchasing decisions (and surprise, it’s not all just TikTok!). By Jenny Rebholz In cooperation with
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GEN Z SHOPPING HABITS
I
n recent decades, Millennials were the focus of brands and retailers as they dissected the shopping behavior of America’s youth. But now, a massive sociocultural shift is underway as Gen Z has come of age and the oldest members of this generational demographic are moving into their posteducation years. Defined as born approximately from 1997-2006, Gen Z currently makes up approximately 20% of the population (around 67 million), boasting strong voices, unique behaviors and sought-after purchasing power. Gen Zers are recognized as the first digital natives and are considered shrewd, pragmatic and financial-minded. They are the most diverse generation to date and champion racial, ethnic and sexual diversity. They are also deeply concerned about mental health and are politically progressive —no matter what side they stand on. Sustainability, inequality and social injustice are subjects they are passionate about. They are challenging practices
Shopping in Person or Online? Food/grocery Non-alcoholic beverages Non-food household essentials Pet care Personal care items Beauty Sporting goods Home decor Electronics
79%
10% 11%
79%
8% 13%
73%
12%
67%
16%
17%
66%
15%
19%
48%
23%
47%
29%
28%
46%
25%
26%
37% Mostly in person
15%
28%
35% Mostly online
28% Both equally
Q: When you shop for each of the following, do you typically go online, in-store, or an equal mix of both? Source: Gen Z Shopping Habits Study (Path to Purchase Institute, March 2022)
and hierarchies; they are demanding change. They are finding their authentic selves and seek truth and authenticity. So, how does all of this translate to their shopping behaviors? This report — based on a survey conducted March 22-30, 2022, of 16- to 24-year-olds who self-reported shopping online or in-store at least once a month for one or more categories of interest — offers insights to help brands and retailers understand their behavioral shifts from previous generations. From the ways Gen Z searches, browses and shops across channels and platforms to what’s influencing their purchasing decisions, there are clear opportunities for brands and retailers to better connect with this dynamic consumer base in multiple ways.
Why Do You Shop In Person? Food / grocery (n=760)
Non-alcoholic Non-food household beverages essentials (n=569) (n=664)
Beauty (n=341)
Pet care (n=435)
Sporting goods (n=198)
Electronics (n=168)
Home decor (n=263)
Personal care items (n=623)
Ability to see products in person / interact hands-on
59%
44%
44%
47%
41%
39%
42%
45%
47%
Immediacy of purchase / instant gratification
40%
39%
38%
32%
37%
24%
30%
25%
39%
Easier to navigate / find products in-store
37%
32%
33%
27%
29%
18%
31%
25%
30%
Wider range of selection
35%
37%
30%
23%
26%
20%
17%
25%
30%
Inspiration / discovering new products
20%
23%
20%
27%
20%
17%
22%
32%
24%
Enjoy the treasure hunt experience
19%
18%
14%
18%
15%
18%
22%
29%
14%
The social aspect of going into the store
17%
17%
17%
18%
19%
17%
22%
17%
13%
Product sampling
17%
12%
11%
27%
10%
17%
14%
19%
13%
Expertise / assistance from store associates
12%
11%
16%
22%
20%
22%
23%
19%
15%
Experiential offerings / interactivity
11%
10%
16%
15%
13%
24%
24%
16%
12%
Q: Why do you typically choose to shop mostly in person for these products? Source: Gen Z Shopping Habits Study (Path to Purchase Institute, March 2022)
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GEN Z SHOPPING HABITS Why Do You Shop Online? Food / grocery (n=102)
Non-alcoholic Non-food household beverages essentials (n=62*) (n=104)
Beauty (n=161)
Pet care (n=105)
Sporting goods (n=119)
Electronics (n=181)
Home decor (n=152)
Personal care items (n=143)
Convenience / can shop on my own time
47%
40%
47%
37%
46%
41%
40%
33%
45%
Easier to navigate / find products online
35%
27%
28%
39%
27%
28%
36%
30%
21%
Easier to compare product availability and pricing
28%
26%
33%
29%
36%
34%
44%
29%
33%
Online promotions or coupons
24%
18%
25%
37%
23%
20%
31%
22%
28%
Wider range of selection
24%
18%
35%
40%
23%
34%
36%
38%
24%
Enjoy the visual content online
19%
15%
20%
29%
15%
15%
21%
30%
16%
Being able to see products or brands on social media
19%
24%
22%
19%
15%
22%
23%
21%
23%
Being able to share products with family or friends
17%
18%
21%
14%
11%
15%
17%
20%
15%
Availability of customer reviews
15%
21%
23%
37%
22%
28%
34%
28%
25%
Inspiration / discovering new products
10%
18%
13%
23%
18%
19%
20%
37%
18%
Q: Why do you typically choose to shop mostly online for these products? Source: Gen Z Shopping Habits Study (Path to Purchase Institute, March 2022)
SHOPPING BEHAVIORS Gen Z consumers are engaged shoppers. This is illustrated by their overall shopping frequency with a large percentage shopping one or more times per week. Even with 57% of the respondents living with their parents/guardians, they are active household product buyers. Those who shop once a week or more are shopping most often for food/grocery (72%), nonalcoholic beverages (49%), personal care items (47%) and non-food household items (44%). Examining the shopping behavior more closely, it is important for brands and retailers to note Gen Z consumers are mostly shopping in person for food and beverages, household and personal care items as well as pet care supplies. Online shopping shows higher percentages in electronics, home decor, sporting goods and beauty. What is driving Gen Z to shop in-store? The ability to see products in person and have hands-on interactions are the predominant
reasons across all categories. For a generation accustomed to instant gratification, it makes sense that hands-on interactions and the immediacy of an in-store purchase resonates with them. When choosing to shop online, it is typically a matter of ease and convenience for the Gen Z shopper. Access to a wider selection of products was also referenced across most categories. This information provides a valuable base understanding for brands and retailers looking to maximize connections with this audience. Gen Z consumers are shopping
What Do You Enjoy About In-Person Shopping? 39%
Immediacy of purchase/instant gratification Wider range of selection
34%
Easier to navigate/find products in-store
33% 24%
Inspiration/discovering new products Enjoy the treasure hunt experience
20%
The social aspect of going in the store Tired of pandemic lockdown
17% 13%
Expertise/assistance from store associates
11%
Product sampling
11%
Experiential offerings/interactivity 8% Q: What is it about the in person shopping experience in general that you most enjoy? Source: Gen Z Shopping Habits Study (Path to Purchase Institute, March 2022)
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62%
See products in person/interact hands-on
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What Most Encourages In-Store Purchase? 45%
Product was on sale or had a special offer frequently across multiple categories and there are opportunities to reach this demographic in-store and online.
32%
The product is new or unique The store was out of my usual product, so I picked up something else The product is available for a limited-time
CHANNEL PREFERENCES While continuously recognized for being digitally savvy, 51% of Gen Z respondents reported that they shop mostly in-store for everyday items, while 27% preferred online shopping. The ability to see products in person and have hands-on interactions were referenced by 62% of respondents. Female respondents (66%) noted this preference slightly more than their male counterparts (56%). Gen Z is drawn to in-store options that are affordable and offer a one-stop shopping experience. Walmart and Target were referenced as Gen Z consumers’ favorite destinations for in-store shopping for everyday items. This is due to having everything they need and a wide selection at an affordable price. Forty-nine percent of respondents identified Walmart as a favorite store, and 19% selected Target. In both cases, more than 30% referenced the stores having everything they need. For the respondents who preferred shopping online for everyday items, convenience and easier comparison shopping were the most enjoyable aspects of the online experience. Fiftyfive percent referenced convenience and
34%
Product packaging was attractive/caught my attention 26% 23% 22%
Sampled the product or saw a demonstration in the store Product was on display somewhere else in the store besides the usual location Shelf signage caught my attention
16%
Product was advertised in the store flyer/weekly ad
16%
21%
15%
A display at the end of the aisle (endcap) Sign in the store (other than at the shelf) or sticker on the floor advertised the product
15%
Q: What aspect(s) of the in-person shopping experience most encourage you to make a purchase when shopping for everyday items? Source: Gen Z Shopping Habits Study (Path to Purchase Institute, March 2022)
Impact of Brand & Retailer Actions 55% 36% 9% Promotions or sales Customer reviews or testimonials 51% 37% 12% Personalized offers that are relevant to me 46% 41% 12% Informative content specific to their products 40% 48% 12% New or seasonal product offerings 35% 49% 16% Share information about the social causes they support 34% 44% 22% Share user-generated content 28% 49% 23% Influencer recommendations 27% 43% 30% Informative newsletters or content related to their industry 18% 51% 31% Very impactful
Somewhat impactful
Not impactful
Q: When you think about interacting with brands and retailers, either online or in-store, which are the actions they take that are most impactful in encouraging you to make a purchase? Source: Gen Z Shopping Habits Study (Path to Purchase Institute, March 2022)
In-Store Shopping Behaviors Look up customer reviews
28%
% Most or All of the time
27%
29%
Compare the in-store price to what is online
23%
32%
27%
Look up the product online so you can buy it later
24%
29%
33%
Check for a coupon or promotion to use in-store
22%
30%
16% 18% 14%
29%
19%
55% 55% 53% 52%
Check availability at another in-person retailer that you prefer
16%
Take a photo of the product to share with friends
16%
24%
28%
32%
40%
Look up the return policy
17%
21%
29%
33%
38%
30%
Check out the brand’s social accounts 14%
23% Frequently
33%
26% Sometimes
21%
27% Rarely
46%
37%
Never
Q: When shopping in person for everyday items, how often do you do each of the following? Source: Gen Z Shopping Habits Study (Path to Purchase Institute, March 2022)
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GEN Z SHOPPING HABITS
Gen Z … the First Truly Omnichannel Generation For the last few years, manufacturers and retailers have fixed their aim on how to win with Millennials, which has resulted in being hyper-focused on understanding and actioning how to win the sale via their preference for online purchasing. The drive, and arguably imbalance, to Liz Fogerty conquer digital and e-commerce has been palpable. However, we are about to experience a pendulum swing as Gen Z is shaping up to be the first truly omnichannel generation, one that demonstrates an ease and willingness to shop in stores and online with great fluidity. Perhaps the most surprising behavior, a behavior traditional consumer goods brands need to recognize and assess, is Gen Z’s shopping “mostly in person” (aka in-store) for food and grocery, beverages, household essentials, pet care and personal care. An additional valuable point to be considered by these brands, as they aim to build consideration and drive trial among Gen Z, is while Gen Z may be buying in-store, their browsing activity for everyday products is more balanced between online to offline. Respondents to the Path to Purchase Institute’s recent Gen Z consumer survey claim they browse with Google (67%) and Amazon (69%), while browsing in grocery stores (69%) and at big box retailers and mass merchants (65%) in equal measure. While the rise in social influence as a critical component in winning brand consideration among Gen Z may not be a surprise, the idea that in-person shopping leads to a higher purchase percentage compared to shopping done online via websites, ads or social media should not be ignored. As digital and, more importantly, mobile natives, the Gen Z population is connecting across multiple social platforms and it is in this connectivity and community where the greatest value lies. Gen Z prefers to look to peers for inspiration and tends to trust other
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consumers’ opinions more than what brands say about themselves. Forty percent of Gen Z shoppers surveyed said the most effective online ads are those from brands they know and trust and more than half (51%) said customer reviews and testimonials have an impact on the brands and retailers they choose. The unlock for a brand is to uncover audiences who can be leveraged as authentic and trustworthy brand advocates and use them in both the real (at-shelf) and virtual (mobile, social, digital) worlds as trusted influencers of Gen Z purchase decisions. So, how can CPG marketers win the choice, earn the purchase and build critical brand loyalty with a generation who, research suggests, likes to explore, discover and try new things wherever and whenever they choose? Start now, act and adapt to Gen Z’s wants. Collectively, these three Gen Z behavioral findings — the rise of in-store shopping, the balance between in-store and online browsing, and the social influence of community and recommendations — validate the need for an omnichannel approach that boosts brand availability, brand equity and overall presence. Gen Z wants the best of both worlds. They want to visit your website or the aisle and be able to find and discover products easily, readily compare prices and see personal recommendations, at both the real and virtual shelf. The notion of ease and convenience resonates with this generation. To win with Gen Z shoppers, CPG brands will need to determine which of their strengths are most valuable in-store and online, embrace them in both places with equal importance, and create a holistic commerce experience — from consideration to conversion — that mirrors the demands of Gen Z, the truest omnichannel generation yet. About the Author: Liz Fogerty leads Strategy at Advantage Unified Commerce. She is a 25-year advertising and marketing veteran who has spent the last 16 years focusing her attention and expertise on advising CPGs on how to win at retail.
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GEN Z SHOPPING HABITS ability to shop on their own time, while 40% find it easier to compare product availability and pricing. In this instance, 45% of men cited the ease of price and availability comparisons versus 33% of women respondents. Thirty-five percent of respondents believe it is easier to navigate and find products online. The desire for one-stop shopping is still a Gen Z priority online as is affordability. Sixtytwo percent identified Amazon as their favorite destination for online shopping with 31% focused on Amazon having everything they need. Thirteen percent of respondents preferred Walmart for online shopping with 37% noting affordability as a driving factor.
ONLINE BROWSING When Gen Z is looking for something specific or wants to be inspired, where do they go? It’s not surprising that these digital natives begin their search for information and inspiration online. This survey shows they start their searches via Amazon (52%) or Google (43%).
What Do You Enjoy About Online Shopping? 55%
Convenience / can shop on my own time 40%
Easier to compare product availability and pricing
35%
Easier to navigate / find products online Availability of customer reviews
29%
Wider range of selection
28%
Online promotions or coupons
28%
Inspiration / discovering new products
16%
Being able to see products or brands on social media
14%
Being able to share products with friends or family
13%
Enjoy the visual content online
13%
Q: What is it about the online shopping experience in general that you most enjoy? Source: Gen Z Shopping Habits Study (Path to Purchase Institute, March 2022)
Searching via retailer websites accounts for 28% and TikTok search activity is 16%. Note that TikTok is ranked higher among the younger 16- to 17-year-old Gen Z consumers polled at 25%. Gen Z continues their browsing activity for everyday products online with Google (67%) and Amazon (69%). The percentage of respondents browsing online is closely in line with in-store browsing at grocery stores (69%), as well as big box/mass merchants (65%). Social media supports about 50% of respondents’ browsing habits. Taking a closer look at social platforms, Instagram and TikTok are the most popular at more than 60% for browsing most or all of the time. Women respondents By Age
Where Do You Begin Your Online Search?
16-17 y/o (n=156)
18-19 y/o (n=273)
20-21 y/o (n=224)
22-24 y/o (n=347)
50%
58%
52%
48%
44%
44%
39%
44%
22%
27%
33%
28%
25%
16%
15%
12%
15%
11%
15%
10%
6%
8%
10%
10%
5%
4%
9%
12%
Snapchat 6%
8%
5%
6%
5%
Pinterest 5%
6%
5%
4%
5%
52%
Amazon 43%
Google 28%
Retailer’s website 16%
TikTok Instagram
Retailer’s website
12%
Single brand’s website
9%
8%
Single brand’s website
3%
1%
3%
1%
5%
2%
2%
0%
2%
2%
Q: What are the first one or two sites/apps you go to to learn more about products you might be interested in? Source: Gen Z Shopping Habits Study (Path to Purchase Institute, March 2022)
May/June 2022
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GEN Z SHOPPING HABITS Frequency of Browsing/Looking for Inspiration Google Amazon In person at grocery stores In person at big box / mass merchants Social media In person at discount/dollar In person at specialty or single-brand stores In person at large, category-specific retailers In person at club stores In person at small multi-brand retailers Retailer’s website Single brand’s website Online ads
36%
31%
33%
24%
36%
33%
36%
29% 21%
34%
26%
40%
29%
36%
17% 19%
14%
27%
38%
21%
29%
38%
20%
13% 13% 11%
Social media
36%
35%
18%
Most of the time
Some of the time
9% 4%
74%
15%
11%
Amazon
74%
18%
8%
Retailer’s website
64% Mostly on a laptop or tablet
25%
9%
27%
9%
Both equally
Q: When browsing online, do you primarily use your phone, a laptop / tablet, or both about equally? Source: Gen Z Shopping Habits Study (Path to Purchase Institute, March 2022)
Social Platforms Used for Browsing 44% 21% Instagram 44% 20% TikTok Snapchat 32% 19% 13% Facebook 29% 20% 16% Pinterest 23% 25% 17% Twitter 18% 24% 17% Reddit 11% 27% 13% Some of the time
16%
19%
13%
Rarely or never
Source: Gen Z Shopping Habits Study (Path to Purchase Institute, March 2022)
66%
21%
41%
25%
87%
Single brand’s website
27%
34%
Device Usage When Browsing Online
Most of the time
17%
24%
Q: How often do you use each of the following to browse or look for ideas or inspiration about everyday products to purchase?
All of the time
20%
15%
All of the time
Mostly on my phone
11%
30%
28%
16%
9%
24%
26%
17%
8%
22%
36%
24%
9%
23%
23% 36% 35% 35% 41%
49% Rarely or never
Q: Which social platforms are you using most often to browse for everyday products?
over-index at 70%-plus for Instagram and TikTok. It is interesting to note that men (45%) and older Gen Z consumers (ages 22-24, 43%) reference Reddit for browsing. Snapchat, Facebook, Pinterest and Twitter were referenced by 42%-51% of respondents, showing noticeable browsing activity across all platforms. As Gen Z browses across social apps, 52% are influenced by “recommended for you” pages. Search results guide 44% of respondents’ behavior. Approximately 37% pay attention to the accounts of friends, family, classmates or co-workers. Celebrity or microinfluencers were identified by less than 30% of the respondents. Gen Z is ready to browse with phone in hand. The highest percentage of browsing — whether via social media, Google, Amazon or a brand or retailer website — occurs on their mobile devices. Laptop or tablet usage sees a slight increase for brand and retailer websites. (See top chart at left.) For brands and retailers looking to capture Gen Z attention, online ads rank the least for frequency of browsing behavior overall; however, 51%
Source: Gen Z Shopping Habits Study (Path to Purchase Institute, March 2022) May/June 2022
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GEN Z SHOPPING HABITS Frequency Discovering New Products in Online Ads
reference sometimes discovering new products via online ads. The most effective ads to the Gen Z shopper are from brands they know and trust (40%). They also are enticed by being introduced to a new or unique product (38%) or if they are being offered a discount or promotion (37%).
Frequency Clicking on Online Ads Never
Frequently Never
11%
22%
5%
All of the time
11%
Most of the time
Rarely
22%
PURCHASING EVERYDAY PRODUCTS
17%
28%
Rarely
Sometimes
Some of the time
51%
As brands and retailers consider how to convert Gen Z searching and browsing habits into sales, it is important to understand where these consumers are completing their purchases. The primary purchasing channels, based on frequency (frequently and sometimes), identified by respondents were in person at grocery stores (86%) and big box/mass merchants (82%) as well as online via Amazon (83%). This closely correlates with their searching and browsing behavior. This means brands and retailers
33%
Q: How often do you click on online ads to find out more about the product or brands advertised?
Q: How often would you say you discover new products through online ads?
Source: Gen Z Shopping Habits Study (Path to Purchase Institute, March 2022)
have an opportunity to connect with Gen Z, leverage the customer experience and convert them where they are. Further examination of the channel purchase frequency shows in-person options equating to a higher purchase percentage than online via websites, ads or social media. Still, the data across Gen Z age ranges shows a wide variety of channels being used for purchase activity. The impact of social media tends to be a hot topic of conversation as companies debate where to invest marketing dollars and energy. Respondents identified
Purchasing Frequency by Channel In person at grocery stores
57%
In person at big box / mass merchants
29%
48%
Amazon
44%
In person at discount/dollar
31%
In person at club stores
10% 4%
34%
12%
6%
39%
11%
6%
42%
27%
20%
33%
24%
7% 16%
In person at small multi-brand retailers
25%
41%
24%
10%
In person at specialty or single-brand stores
25%
40%
25%
10%
Social media In person at large, category-specific retailers Google Shopping results Retailer’s website Single brand’s website Directly from online ads
22%
29%
21%
22% 29%
38%
19%
30%
36%
17%
40%
14%
30% 31%
41%
11% Frequently
27%
35%
26% Sometimes
Rarely
12% 16% 13% 13% 15%
Never
Q: How often do you purchase everyday items through the following channels? Source: Gen Z Shopping Habits Study (Path to Purchase Institute, March 2022)
May/June 2022
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GEN Z SHOPPING HABITS Instagram, TikTok and Facebook as the most popular social media channels for purchasing everyday items. This again aligns with their browsing activity, demonstrating an opportunity for sales conversion. The purchase frequency for these top social media platforms ranged from 41%-52% for frequently and sometimes. Gen Z respondents prefer making in-app purchases with Instagram (38%). Once again, the 16- to 17-year-old age group shows a greater preference for TikTok — 35% compared to 15% of 22to 24-year-olds. The main reasoning behind the most preferred platforms for in-app purchases were due to: • It makes recommendations that are personal to me. • It is the social platform I engage with most on a daily basis. • I feel confident the platform protects my personal information. The impact social media has on purchasing everyday items is greatly influenced by what Gen Z sees their personal social circle doing. The activity of friends, family, classmates and co-workers frequently or sometimes influences purchases for 75% of respondents. Retailer or brand social activity follows at 64%, with 18- to 24-year-olds (67%) more influenced than 16- to 17-year-olds (51%).
Purchasing Frequency by Social Platform Instagram
23%
TikTok
24%
18%
Snapchat
16%
29% 22%
Reddit 9%
20%
21% 16% Frequently
33%
22%
19% 16%
28%
21%
23%
14%
Twitter 11%
20%
37% 45%
22%
43%
21%
52%
18% Sometimes
57% Rarely
Never
Q: How often do you purchase everyday items through these social platforms? Source: Gen Z Shopping Habits Study (Path to Purchase Institute, March 2022)
Micro-influencers or celebrities have an overall impact at 42%-47% with a greater impact reflected by Hispanic or Black Gen Z shoppers. (See chart at bottom of page 27.) When looking at in-store purchases, sales and special offers encourage 45% of respondents to buy. Eye-catching product packaging and seeing a new or unique product were also referenced. While they are shopping in-store, their digital connection still plays a role in their decision-making. Gen Z shoppers are frequently looking up customer reviews and comparing prices to what is available online. They are also noting products online so they can buy them later. Whether in-store or online, brands and retailers have the opportunity to implement a variety of effective marketing tactics. Shrewd, pragmatic and financial-minded, Gen Z is enticed by a good deal. This is illustrated by 91% of respondents identifying promotions and sales as impactful. Customer reviews or testimonials, personalized offers, and informative content specific to products all ranked at 88% effective. As previously mentioned, Gen Z is looking for authenticity and truth, so they are digesting content to inform their decision-making. With all of the retailer/brand actions regarded as impactful (ranging from 69%-91%), companies can select the tactics that align with their true, authentic brand Preferred Social Platform stories and missions to make a deeper connection with for In-App Purchases Gen Z consumers. 38% 22% 22% 7% 6% 4% 3%
Q: Which social platform do you most prefer for making in-app purchases? Source: Gen Z Shopping Habits Study (Path to Purchase Institute, March 2022)
May/June 2022
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FAVORITE RETAILER BY CATEGORY With convenience, selection and affordability top of mind, Walmart, Target and Amazon lead the way as the favorite retailers for Gen Z consumers across multiple categories. These selections reflect interesting data about in-person vs. online shopping. Online shopping via Amazon was the top selection for respondents in the electronics and home decor categories. It placed second in non-food household essentials and third in non-alcoholic beverages and personal care items. Walmart was the top selection in food/grocery, nonalcoholic beverages, non-food household essentials and personal care items. It ranked second in the beauty category
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Why It’s a Preferred Platform for In-App Purchases (n=255)
(n=146)
Makes recommendations that are personal to me
35%
Is the social platform I engage with most on a daily basis
38%
33%
I feel confident the platform protects my personal information
28%
Has the best selection of products
28%
Offers promotions or coupons
27%
26%
27%
27%
18%
21%
17%
21%
22%
19%
Offers my preferred payment method
28%
25%
21%
Makes it easy to share my purchases with friends
33%
20%
25%
Saves my payment and shipping information for easy check out
21%
45%
31%
Is the social platform I trust most
(n=145)
17%
11%
Offers subscriptions for products I want regularly 10%
25%
12%
9%
Q: Why is that your most preferred platform for in-app purchases? Source: Gen Z Shopping Habits Study (Path to Purchase Institute, March 2022)
and third in pet care. Across these categories, more than 82% of Gen Z consumers are shopping in-store at Walmart. Likewise, more than 81% are shopping in person at Target. The retailer ranked second for favorite retailer in the food/ grocery category where respondents say they shop in-store 100% of the time. Target was also ranked second in nonalcoholic beverages and personal care items. It was third in non-household essentials. Other than when Amazon was listed, Gen Z consumers referenced in-person shopping at their favorite retailer in higher percentages than online shopping, including pet care, sporting goods, home decor and electronics. The beauty category is one area where shoppers noted a
higher percentage of online shopping, yet the greater percentage was given to the in-person experience.
AND … NFTS Data from this survey around NFTs (non-fungible tokens) shows minimal interest and action from the Gen Z respondents at this time. Only 8% have purchased an NFT before and 14% plan to in the future. Of those numbers, it is a higher percentage of male consumers. Thirty-one percent of respondents say they are not at all interested in purchasing NFTs. Furthermore, more than one-third of the female respondents said they don’t know what an NFT is. IQ
Frequency of Others Influencing Purchase on Social Platforms % ‘Frequently’ + ‘Sometimes’
Friends, family, classmates, or co-workers
31%
Retailers or brands
17%
Celebrities or celebrity influencers
16%
Micro-influencers 12%
44%
17%
48%
25%
30%
31%
30%
Frequently
34% Sometimes
Rarely
8%
75%
11%
64%
22%
47%
24%
42%
}
Retailers / brands have less impact on younger Gen Z shoppers (16-17 year-olds): 51% say they are influenced* by retailers / brands on social vs. 67% of ages 18-24 Social influencers have a greater impact on Hispanic and Black Gen Z shoppers
Never
Q: How often are you influenced to buy everyday items by something you’ve seen on social from …? Source: Gen Z Shopping Habits Study (Path to Purchase Institute, March 2022)
May/June 2022
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Introducing the 2022 Class of the Path to Purchase Institute’s
Nominated by their industry peers and selected by our editors, this inaugural list of winners is an impressive group of rising leaders who are redefining the future of commerce marketing. Get to know them here …
Ross Archer-Haynes
Senior Director, Retail Marketing Paramount Consumer Products & Experiences Age 37 Archer-Haynes has experience across brand, franchise, retail and e-commerce marketing in North America, the U.K. and the Europe/ Middle East/Africa region from his 14 years at Paramount. He has led the development and execution of retail marketing campaigns for some of its largest intellectual properties, including “Paw Patrol: The Movie” (marking the largest marketing program ever for a preschool franchise at retail in August 2021; the effort saw more than 1.6 billion total impressions), “Baby Shark’s Big Show,” “Yellowstone” and others. He activated a cross-retail celebration for “Blue’s Clues” 25th anniversary with a TV spot and TikTok influencer campaign that delivered more than 100 million impressions; developed an e-commerce marketing strategy across top retail accounts that resulted in double-digital sales growth online; and oversaw a Nickelodeon pre-Easter shopper marketing program with celebrity influencer Ashlee Simpson-Ross and her family that increased sales by 15% year-over-year at top retail accounts in key seasonal categories. He also led an exclusive JoJo Siwa retail campaign at Walmart. The first-of-its-kind content activation was amplified through a brand store refresh, exclusive photo AR filter and digital media. It delivered more than 65 million impressions and 11% sales increase across the store. FUN FACT: Archer-Haynes has been part of the 1000 Miles Run Club (1KRC) for the past three years, running more than 1,000 miles a year.
May/June 2022
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Abbey Ash
Partner, Chief Marketing Officer Phoenix Creative Co. Age 37 Ash interned at Phoenix Creative while in college, then joined the agency full time after graduating in 2007, focused on Anheuser-Busch InBev and its trade marketing efforts. Through her early leadership, the agency has seen marked growth, including as an agency-of-record with Mondelez International for the past 10 years, serving as its lead agency for growth business, including drug, value and convenience customers, as well as strategic support for key initiatives. In 2019, the agency was named the P-O-P and instore experience agency for 7-Eleven. She points to her work with the chain’s Big Bite Pizza Store Takeovers, leading a team of designers, printers and copywriters in the development of graphics on the exterior of several Dallas stores. Interior transformations showcase custom photography and point shoppers to the hot food section, and national rollout is now underway. Ash was also key in partnering with 7-Eleven to develop P-O-P and digital assets for several of its QSR models, including Roost, Laredo Taco Co. and Parlor Pizza. The agency has nearly doubled in size over the past three years under her guidance and she prides herself on building, growing and nurturing others’ careers. FUN FACT: Ash has been with Phoenix Creative her entire career.
Kimberly Biertempfel
Brand Manager, E-Commerce CVP and Demand The Giant Co. Age 30 With a background in nonprofit and higher education fundraising and development, Biertempfel now has eight years of experience in pharmacy marketing, brand management, digital media and e-commerce. She helps build holistic programs that drive customer acquisition and retention, increase demand and boost e-commerce sales penetration. She led the launch of an enhanced customer value proposition for the retailer’s Giant Direct and Martin’s Direct brands, removing pickup fees and minimum order values as well as introducing faster pickup time slots. She has also worked with Peapod Digital Labs to implement electronic benefit transfer (EBT) on its e-commerce platforms, enabling the retailer to accept SNAP benefits for online purchases, and partnered with Instacart to introduce Instant Delivery for grocery delivery service in as fast as 30 minutes. She also managed the marketing for the retailer’s B2B offering, resulting in significant growth, and managed the marketing launch for the new Giant Direct e-commerce fulfillment center in Philadelphia – the company’s first to use advanced robotics for fulfillment. Biertempfel is most proud of her work on customer value proposition enhancements.
Josh Campo President Razorfish Age 39
Campo has led the development of Samsung 837X, an immersive metaverse experience that teleports users into Samsung Electronics America’s flagship store in New York to discover the possibilities created when technology and culture collide. It debuted in January at CES 2022 and was followed by a sustainabilitythemed Valentine’s Day activation on the same platform. The Publicis Commerce team has defined and taken to market several accelerators, and the agency has partnered with clients like Trojan, Ram Trucks, Bridgestone and Patrón to reimagine their approach to customer experience strategy in the post-COVID environment. Campo is most proud of bringing the Razorfish brand back in 2020, and overseeing doubledigit growth in its second year, which included impact on parent company Publicis Groupe’s performance and growing Publicis Commerce. Campo began his career as a software engineer, working in the U.S. and Europe for startups and then a technology consultancy. He joined Sapient in 2009 as a back-end solution architect. He then focused on developing and growing client accounts in financial services, retail and fashion. He was managing digital efforts at 22Squared prior to his current post. FUN FACT: Campo skipped college to manage a web application software office in Romania, while running a bar in Eastern Europe for a time and learning to fly single-engine airplanes.
FUN FACT: Biertempfel has been dancing for most of her life and still enjoys taking classes when she can.
May/June 2022
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Rebekah Davila Alicia Crespin
Director, Omnichannel Retail Marketing – Target Mattel Age 36
career working on the famous “Got Milk?” milk mustache marketing campaign.
Davila spent more than 12 years at Triad Retail Media, where she held a variety of roles in client services and business development, and became an expert in retail media. During her time there, she took night classes at the University of South Florida and graduated with a degree in mass communications and media studies. After the company shuttered its doors during the pandemic, she joined CitrusAd, which was in the process of expanding into the U.S. from Australia. In her first year, she developed relationships and successfully onboarded more than 12 new top 100 retailers to the CitrusAd platform (which was acquired by Publicis Groupe last fall), including Target, Lowe’s, GoPuff & Albertsons Co., and the team is projecting to double that in 2022. Davila will graduate with her MBA in business analytics, management and marketing this year, and is most proud of recently overcoming a major and unexpected medical condition.
FUN FACT: Dempsey and her family have a tradition of creative holiday cards that can be found at their website, www.dempseychristmascard.com.
FUN FACT: After losing touch for more than 15 years, Davila reconnected with her high school sweetheart. They will be married in February 2023.
Crespin started at Mattel in an entry-level analyst role in 2011. She has been in customer marketing, now omnichannel retail marketing, throughout her time there, rotating onto different accounts and progressing to her current director role on the Target account. She has helped spearhead the launch of the Target exclusive “Jurassic World: Beyond the Gates” program with its license partner, marking the first time Mattel leaned into the collector market in a big way through a partnership with a major Jurassic World influencer that resulted in custom content and monthly preorders. That program is now in year two. Crespin has also overseen and found success with a change in the company’s timelines to become better strategic partners. She is proud of being promoted to director, a newer role in her group, which signifies the value the group offers to the company and gives analysts and associate marketing managers something to look forward to if they chose to stay within customer marketing. FUN FACT: Crespin is married to her high school sweetheart, Ryan.
Alison Dempsey
Head of E-Commerce Customer Marketing PepsiCo Age 38 Dempsey manages e-commerce customer marketing for PepsiCo’s portfolio of brands across various retailers, including pure play, national e-grocery, regional e-grocery and e-convenience. She and her team create and execute e-commerce marketing programs that drive brand equity, engagement, trial, conversion and loyalty, working to transform PepsiCo’s digital marketing by approaching it more like an e-commerce retailer than a CPG brand. Dempsey is passionate about the concept of “right time marketing” and has an ultimate vision of PepsiCo being able to use digital media at scale to reach the right customer, with the right message, on the right platform, at the right time. A recent success was a consumer-first strategy during Super Bowl LVI that drove sales of the PepsiCo portfolio across all e-commerce retail accounts. Prior to joining PepsiCo in 2016, Dempsey led digital acquisition and retention marketing across various channels at Amazon. Before that, she was the social media and partnerships editor at Parenting magazine. She began her marketing
Paige Dunn
Senior Trade Marketing Manager FIJI Water, JUSTIN Vineyards & Winery, Landmark Vineyards, JNSQ Wines, & Lewis Cellars Age 34 Dunn has created on-premise and retail programming for in-house and digital applications that yielded significant incremental lift. She also has partnered with the sourcing team to send key business for bid, reviewed contracts and drove financial efficiencies across the business. Dunn launched and created trade support around new campaigns for JUSTIN Wines and FIJI Water, including all point-of-sale/in-store materials, sales team onboarding and digital applications. Additionally, she delivered a virtual wine-tasting program for use across retail/on-premise accounts to replace in-store tastings and demos during the COVID-19 pandemic, driving sales while keeping products top-of-mind with the consumer. She began her CPG career at Red Bull, first in logistics and then leading the organization’s global sustainability efforts. She then built the FIJI Water/Wines trade marketing department, which has since transformed into a center of excellence for The Wonderful Co.’s brands. FUN FACT: Dunn wrote J.K. Rowling a letter in elementary school asking if she could be in the “Harry Potter” movies. The author wrote back, but Dunn didn’t get a part.
May/June 2022
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Vice President, Onboarding & New Business CitrusAd Age 32
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Congratulations!
Kimberly Biertempfel Brand Manager, eCommerce CVP & Demand
The GIANT Company
Path to Purchase Institute’s
40 Under 40 Award From your team at
TM
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5/19/22 4:52 PM
Jillian Durojaiye
Customer Director, Shopper Marketing Mondelez International Age 38
Mike Feldman
For the past year and a half, Durojaiye has developed and executed integrated plans to drive growth on Mondelez brands. She has participated in several industry events regarding retail media, including panel discussions hosted by Ad Age and Brand Innovators, and is a member of the internal integrated planning pilot core team. Durojaiye began her career in procurement at Cummins Filtration and, soon after, transitioned into marketing. Following graduate school, she began working at Georgia-Pacific in brand management, where she held brand roles supporting Quilted Northern, Dixie and Vanity Fair before moving into a shopper marketing role in the dollar channel. She later accepted a brand role at Kellogg on Famous Amos and supported several regional brands. While there, she also worked in shopper marketing on its Target and Meijer business before joining Mondelez as the shopper marketing lead for the Kroger business. FUN FACT: Durojaiye has lived in nine states … and counting!
Lauren Elliott
Senior Vice President, Strategy Director Arc Age 36 In her current role, Elliott has been focusing on a new approach to category growth strategies and annual planning. Partnering with Unilever to rethink its approach to category growth, her team has immersed itself in category and shopper data to create actionable strategies that will benefit the category, customer and shopper — and set the foundation for all strategies in the year ahead. Arc hired more than 100 people during the pandemic, including a team of strategists who have since been rewriting the future of shopper marketing at Unilever. Elliott strives to have strategy serve as the cornerstone for better decision-making in her work. She has held positions on the client and agency sides, starting in analytics and insights for Time Inc., working with P&G’s Walmart customer team, writing global retail strategies for GSK, launching new deodorant formats for Unilever, redefining the Olay brand strategy, and crafting social and TV ads for L’Oreal brands. She is motivated by the challenging puzzle the commerce space brings every day. FUN FACT: Elliott gave then-Florida Gators coach Urban Meyer his first copy of the Sports Illustrated cover after his team won the 2008 college football national championship.
Shaina Fox
Lead, Omni Shopper Marketing Kraft Heinz Age 36 Fox has spent a decade working with household brands to design insights-led marketing campaigns and collaborate with customers to increase sales and more authentically connect with consumers. She holds degrees in food marketing and culinary arts, and spent her first years in the CPG industry as a culinary research technician at Mars. In 2014, she was asked by Mars Food leadership to help strategically expand its shopper marketing capability. Over the next four years, she
May/June 2022
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Senior Vice President, Head of Commerce & Retail Media Dentsu Age 33 Feldman leads a team with both buy-side and sell-side retail media clients. As a product advisor for industry leaders — including Walmart, Amazon, Kroger, Criteo, Pacvue, The Trade Desk and Google — he advises on betas and products in the pipeline, user interfaces, go-to-market approach, measurement solutions and overall positionings. He and his team also participate in the Citizen Automation Program, which enables coding/bot-building for non-coders and has equipped the team to automate all manual and repeatable tasks to operate more quickly, with more accuracy, and improve overall cost to serve. In Dentsu’s recent restructuring, Feldman led the development of a specialized team of 50 experts focused on optimizing performance marketing strategies for brands, and scaling cutting-edge opportunities in the retail space, including a dedicated Retail DSP team. He has led client relationships with Amazon Advertising for the last eight years, having joined Dentsu in 2019 with a blend of both agency experience from his time at IPG and Publicis along with brand direct experience at Georgia-Pacific as a marketing leader on the consumer business. FUN FACT: Feldman sang the national anthem at a Boston Red Sox game, and he still gets family members to ship him his favorite pickles from a deli in Boston.
built capabilities to support every major customer, repeat programs, and a resourced team solely focused on shopper marketing. A move in 2019 to Ferrara Candy Co. gave her the opportunity to establish the framework for creating omni marketing programs. She partnered closely with brand teams to develop best-in-class innovation launch plans, and with customers, like Walmart, to develop activations that unlocked some of the biggest display activity in the company’s history. She joined Kraft Heinz in late 2021 as a brand manager in shopper marketing before assuming her current post earlier this year, focusing on enhancing scale activation strategy and creative across the portfolio and customer network. FUN FACT: Fox’s first job was in acting. As a toddler, she suffered from bad allergies and was featured as the “sick child” next to her pediatrician in commercials for national branded cold medicines.
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Vana Ghazarian Global Marketing Manager Intel Corp. Age 39
Michelle Frantino
Head of Americas Marketing & Global Retail Media Marketing Criteo Age 31 Frantino has nearly a decade of experience in the digital advertising and media space. Today, she focuses on growing awareness of and strengthening Criteo’s leadership position within commerce media. To better accelerate Criteo’s transformation into a leading commerce media platform, she has combined the Americas field marketing team to address the market opportunities holistically, and has grown the team from five marketers to 15. In 2020, Criteo launched the industry’s first-to-market, selfservice retail media platform and ecosystem. Last year, the marketing team expanded its 360-degree holistic, global marketing plan, focused on growing awareness and transitioning clients to the new platform — and the company announced 40%-plus year-over-year growth in its retail media business in Q4 2021. Prior to Criteo, Frantino served as senior marketing manager, Americas at Captify and held several positions at Tremor Video. FUN FACT: Frantino loves everything about digital media, but also lives for her hard copies of The New York Times and The New Yorker.
Ethan Goodman
Senior Vice President, Commerce Media The Mars Agency Age 38 Goodman leads a team of media planners and buyers in deploying best-in-class omnichannel shopper experiences that drive conversion at retail for key clients of The Mars Agency (TMA). He points to recent work helping clients win in retail media and digital commerce during a year of unprecedented change, disruption and innovation — and the explosion of spending, networks, capabilities, etc. This work included educating their senior executives and other key stakeholders, defining their approaches and strategies; navigating their relationships and joint business plan commitments with key retail media networks; building best-in-class, always-on and seasonal plans; driving tight integration with their broader shopper/customer marketing efforts; executing search and display campaigns with excellence; and delivering industry-leading results. He has been named a “Young Influential” by Adweek, a “Who’s Who in Shopper Marketing” by Path to Purchase IQ and a faculty member by the Path to Purchase Institute. He is a frequent speaker at industry conferences. Goodman also built, grew and managed TMA’s E-Commerce and Innovation practice groups, and guided the team that created SmartAisle — the world’s first voice-powered shopping assistant for brick-and-mortar retailers. FUN FACT: Goodman is a University of Michigan football fan (and proud alum) and has traveled to see the team play in 15 different venues, including 10 of the 14 Big Ten stadiums, Notre Dame and the Rose Bowl. May/June 2022
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Ghazarian has been in her current post since 2013. Standout recent work includes: fully digital zones that display 360-degree videos to capture shoppers’ attention powered by Intel IoT retail solutions that display videos in real-time; digital touchscreen solutions on each table to help shoppers narrow down options based on usage and needs for their PCs; and onscreen PC solutions that recognize specs at the device level and translate those specs into benefits for shoppers. The company can now offer shoppers additional help after engaging with devices by scanning a QR code on the device. Customers can store details such as user reviews online, chat online with a representation or chatbot, and scan multiple devices for comparison purposes. She is most proud of the digitized retail aisle that effectively moved marketing from printed material and wood fixtures into digital experiences enabled by hardware and software at every touchpoint of the in-store journey. The globally launched Digital Zones coupled with digital onscreen experiences were the culmination of this innovative thinking, with a first-of-its-kind retail experience that gradually opens up to reveal additional information as shoppers interact. FUN FACT: Ghazarian speaks seven languages.
Jessica Grasso
Brand Manager, Dermatology Bayer Consumer Health Age 38 Grasso has a passion for marketing and building omnichannel programs. Recently appointed to her current post, she is the driver of national omnichannel strategies and activation for the company’s pain and skin health brands. Notable work throughout the past year includes the delivery of a Midol integrated shopper marketing program for 2022, and successful shopper programs to support the launch of AleveX. She was also the key architect in driving strategy change from brand shopper platforms to category shopper solutions to garner greater customer support. Grasso also implemented the first-ever category solution shopper program for heart health to support Bayer and Coricidin, which drove incremental trade support across top national accounts. Prior to Bayer, she was an account lead at multiple agencies, including Mars Advertising and Edge, working with various CPG clients and building national key account plans. She also spent time in shopper marketing at E. & J. Gallo Winery. FUN FACT: Grasso and her family enjoy spending time outside, going on hikes, playing roller hockey and other sports.
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Stacey Hartnett Morgan Gregor
Senior Manager, Digital Commerce & Omnichannel Shopper Marketing Campbell Snacks Age 31 Gregor supported the company’s largest brand innovation launches — Snyder’s of Hanover twisted pretzel sticks and Goldfish mega bites — across all of its key retailers with impactful in-store and digital activations this past year. She also drove its fall football scale program supporting the total Campbell Snacks portfolio, and managed a regional Pac-12 partnership as part of that program. Gregor worked closely with the company’s agency partner, The Mars Agency, to relaunch the Late July brand, expand the Kettle brand across the East Coast, and bring its Lance Little League partnership to life at retail. She also managed the overall shopper marketing budget for the company and drove process efficiencies to optimize spend. She started her career at Dick’s Sporting Goods in its merchandising trainee program before moving into buying and space planning roles. She also held space planning and shopper marketing roles within CocaCola Consolidated before joining Campbell Snacks in late 2020. She now supports shopper marketing work for all of Campbell’s snack brands. FUN FACT: Gregor enjoys working with a local animal rescue in her spare time and has fostered seven dogs in the past year.
Vice President, E-Commerce and Marketing Chomps Age 33 Hartnett began overseeing the marketing team in addition to her e-commerce responsibilities in March after three years with the company. Her responsibilities include brand, consumer, content and shopper marketing. Recent notable work includes the successful launch of Chomps’ newest flavor, Turkey pepperoni, in May 2021 with a strategy that focused on an e-commerce-first launch to prove market fit, build awareness and measure repeat purchase/loyalty from the initial trial. The launch built a strong retail sales story that led to omnichannel excellence. The SKU is now a top-performing flavor with the highest repeat purchase rate. Hartnett is a core leadership team member driving the establishment of organizational practices from annual and quarterly strategic planning, performance management, and team and culture programs, such as a social committee and all-hands meeting. She started her career on an account management development track at News Corp. in New York. She also worked for boutique digital agency Rise Interactive for nearly five years before joining Chomps in 2019 as a digital media buyer. FUN FACT: Hartnett says her 2-year-old is the toughest boss she’s ever had, but to her credit, she never fails to provide real-time feedback.
Jamie Ighoavodha
Customer Team Marketing Director Procter & Gamble Age 36 Ighoavodha has more than a decade of experience in the consumer packaged goods industry. While at P&G, she has managed a powerhouse brand, driven product innovation, co-authored a key pillar of company strategy and pioneered new ways to partner with customers. In the past year, she co-authored a strategy that is now a key part of total P&G strategy and created a groundbreaking, 360-degree program to support caregivers with a key customer. She also developed and rolled out a framework to create strategic personalized coupons at a key customer. Prior to joining the company, she led the international expansion of several U.S.-based hair care brands across West Africa. Ighoavodha started her career at PepsiCo in supply chain management. FUN FACT: Ighoavodha lived and worked in Lagos, Nigeria, for two years.
Katie Heckman Phillips
Senior Marketing Manager, Shopper Marketing 7-Eleven Age 31 Phillips started her 7-Eleven career in 2015 in digital marketing, building coordinated communication plans across owned media channels. In 2017, she developed and managed the go-to-market strategies to launch the new 7NOW Delivery digital platform, giving customers new ways to connect with the brand. As a pioneer and leader of the retailer’s 2021 shopper marketing programs,
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targeting lapsed customers and Gen Z, and driving usage of the 7Rewards loyalty program, Phillips leveraged data and insights to identify the right partners for each program — gaming, football, the summer season and charitable giving — to drive results. By working with partners like PlayStation 5, Feeding America, Joe Freshgoods and Dak Prescott, 7-Eleven’s shopper marketing programs were tied to culturally relevant moments that resonated with customers. Notable results included the PlayStation 5 shopper marketing sweepstakes with a record 85.3 million entries in just seven weeks, the Joe Freshgoods merchandise that sold out in minutes, and the Feeding America program that raised 18 million meals. FUN FACT: When she’s not traveling the world, Phillips lives with her husband and dog, Winnie, in Dallas.
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Greg Jastrow
Jennifer Jones Latz
Jastrow and his team are the owners of Kohler Co.’s relationship with The Home Depot and its marketing team. Jastrow’s team has been an active participant in the retailer’s new Retail Media+ platform and works collaboratively on a daily basis to grow their collective businesses. This culminated in Kohler winning Marketing Partner of the Year for 2021 with the retailer. Jastrow has spent the past 16 years working for Kohler in nine different roles, in the areas of finance, mergers and acquisitions, and the last 10 years in marketing and/ or general management, now leading the marketing function for the retail channel with a primary focus on the home improvement retail space.
Jones Latz has worked at Red Bull for nearly 15 years. She began in sales focused on the on-premise, then moved onto field marketing, which encompassed culture, sports and experiential. Becoming obsessed with what motivates consumers, she shifted into brand marketing before recently being tapped to lead the shopper marketing team, which highlights her knowledge of both the consumer and customer. Recent accomplishments include being a key contributor to Red Bull’s overall growth with its best year ever in 2021; winner of five Vendor of the Year awards across various account partners; spearheading the first and second female U.S. Red Bull Hero can; and her team’s unprecedented marketing partnership with 7-Eleven. Jones Latz spearheads a brand team Lunch & Learn, for which she brings outside marketing talent (often from key account partners like Kroger, Walmart, etc.) to speak to teams about key challenges and best practices. She also moved from chair to executive sponsor of ALAS, its Latin/ Hispanic Employee Resource Group.
Director – Retail Marketing Kohler Co. Age 38
Director, Shopper Marketing Red Bull North America Age 39
FUN FACT: Jastrow is a diehard Wisconsin Badger fan who has enjoyed the related ups and downs of rooting for the Badgers. On, Wisconsin!
Stephanie Klimaszewski Senior Vice President, Marketing Aki Technologies Age 34 Klimaszewski recently completed research on advertising receptivity, which leveraged EEG headsets to measure panelists’ brain waves as they watched Super Bowl LVI. She also supported Aki’s successful acquisition by Inmar Intelligence this past year, and published her forecast for the future of digital advertising personalization in Adweek. She has 15 years of experience building digital marketing solutions for brands, publishers and advertising technologies. Her professional mission is to elevate the marketing and advertising industry to deliver transformative experiences on behalf of brand advertisers. Prior to Aki, she led marketing for Kiip (now InMarket) and built integrated marketing solutions for SpinMedia (now Billboard) with campaigns for Microsoft, Kraft, W Hotels and Bank of America. She’s most proud of her work that won a Campaign Media award for “Best Media Strategy,” an OmniShopper Award for “Best Mobile Activation,” and a Modern Retail Award for “Best Collaboration” with Family Dollar. Her work has been featured by TechCrunch, VentureBeat and The New York Times, and she’s presented her work and original research to Charles Schwab and at the Consumer Electronics Show in 2018. FUN FACT: Klimaszewski taught yoga for five years, and Golden State Warriors basketball coach, Steve Kerr, was one of her students.
FUN FACT: Jones Latz met her husband at a Red Bull event, and he is the cousin of her first manager.
Josh Kovacs
Shopper Activation Lead, North America Meta Age 39 Kovacs developed and launched a pilot that brought a new closed loop measurement capability into the marketplace by leveraging the IRI/ANSA measurement solution. It drove new incremental revenue, and opened new doors for Meta in the shopper marketing space. He is working both internally and externally as part of a Path to Purchase Institute commission to help push shopper measurement standards and showcase the full impact of shopper marketing activities across the funnel. Kovacs has also reshaped Meta’s internal approach to shopper marketing, leading and coordinating internal initiatives while creating a new go-to-market strategy and sales enablement resources for the entire retail and CPG sales forces (including a new shopper marketing narrative and product playbook). He is most proud of his work as the Global Community Engagement Lead, as well as an active ally supporting Refugees, a group of Meta employees (both refugees and allies alike) that brings lived experiences and passion to supporting refugee-focused initiatives. Kovacs joined the company two years ago, has led the teams to double-digit growth in shopper marketing revenue, and is the subject matter expert leveraged across Meta’s marketing and sales teams. FUN FACT: Kovacs is an avid skier who has skied at more than 31 different mountains, including the Swiss Alps, and has done helicopter skiing in British Columbia.
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Julie Liu
National Manager, Commerce Media Ghirardelli Chocolate Co. Age 34
Ivey McCloud
Over the past year, Liu has changed Ghirardelli’s approach to retail media. Instead of a tactical lever, it is seen as a strategic marketing and sales tool. Recent key projects include the creation of a strategic retail media framework, with assigned roles to each platform based on ad capabilities and shopper behavior, and the institution of a profitability calculator to determine KPIs and evaluate retail media performance. Liu has also been able to leverage her expertise in shopper marketing, e-commerce and digital to improve the organization’s annual marketing process, leading to the development of a cohesive digital marketing plan with objectives and KPIs lined up to brand goals. She is most proud of her industry contributions on the topics of shopper and e-commerce marketing. In addition to authoring articles on LinkedIn, she appeared on The Digital Shelf Cast and eCommerce Braintrust Podcast, and contributed her insights to Kiri Master’s book, “Instacart for CMOs.” She has also partnered with Firstmovr, Profitero and Flywheel Digital (Ascential Group) on webinars and industry research. FUN FACT: Liu and her family are huge Oakland A’s fans. She named her son after the family’s favorite Oakland A’s player.
Siobhán Llewellyn
E-commerce Marketing Manager Spin Master Age 29 Llewellyn studied kinesiology in college, but her first role postgraduation at a local start-up got her instantly hooked on the entrepreneurial atmosphere and the world of business. That prompted her to pursue her MBA. An internship at Kimberly-Clark introduced her to the world of e-commerce, and throughout the past few years she’s held a variety of roles within e-commerce and digital marketing primarily in the CPG and toy industries. She joined Spin Master in
late 2019 and held three e-commerce merchandise/ marketing roles before being named brand manager earlier this year. She is now leading the U.S. commercialization and marketing strategy across the games portfolio business. In the last year, Llewellyn built an online business called Hiver Academy with a business partner, providing financial education, courses, tutorials and information to empower women to take control of their finances. They break down financial jargon so customers can not only understand, but benefit from, personal finance and investing education. FUN FACT: Llewellyn loves the outdoors and has been a camper since she was 5. She’s also the lightest packer you’ll ever meet, usually traveling with just a small backpack no matter the trip length.
Carrie Meythaler
Vice President, Associate Client Partner Epsilon Age 32 Meythaler has more than 10 years of digital transformation experience, primarily helping large global companies navigate the fast-paced changes that come with being a part of an ever-connected digital world. She currently leads work for The Hive, a bespoke shopper intelligence hub that marries millions of signals and humanizes them at the individual level. She is most proud of being
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Senior Manager, Customer Marketing GE Appliances Age 39 With more than 15 years of experience in brand management, customer, digital and shopper marketing, McCloud develops the strategic marketing plans for key GE Appliances customers, including Best Buy and Costco. She finds success in advancing brand awareness through robust messaging and communication systems delivered across multiple media channels. Recent work includes the development of the Café brand social influencer campaign on Facebook, Instagram and Pinterest, which garnered 6 million impressions, and the launch of the Tech for Good Initiative with Best Buy, in which GE donated a percentage of the proceeds to local Teen Tech Centers. She also executed 1,900 Sharpie Back-to-Campus quarter pallet displays at The Home Depot to increase brand awareness. With a passion to serve her community, she is actively involved in several civic and philanthropic organizations. Seeing a need to assist families affected by the global pandemic, McCloud created a book scholarship through her church for a local high school senior planning to attend a four-year college or university, and hopes to increase the amount of the award through corporate sponsorships and community partnerships. FUN FACT: As a dedicated and avid runner, McCloud completes at least one 5K or 10K race a month.
promoted into her current role and having the opportunity to work with a team of bright, talented people to drive transformation and change. She previously served as director within Epsilon’s Strategic Consulting-Marketing Technology & Digital Transformation practice, where she worked on enterprise-scale digital transformation projects across CPG, financial services, travel and hospitality, technology and logistics verticals. She helped to shape winning strategies across people/process, data and technology, while accelerating the path toward datadriven consumer marketing. FUN FACT: During the pandemic, Meythaler learned how to snowboard and surf, and she “completed” Netflix.
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Ruben Nazario
Vice President, Digital Shopper Innovation Behaviorally Age 37 Nazario heads up Behaviorally’s eFluence division. With more than 12 years of experience in the insights industry and having led the development of key product innovations at the company that has helped brands tackle e-commerce and omnichannel issues, he is the product lead for Flash.PDP, an AI-powered e-commerce image evaluation SaaS platform. He is most proud of his work in launching two AI-powered products in 2021: Flash.AI, a packaging screener that
uses AI to predict the performance of early pack designs across KPIs and helps brands narrow down design options; and Flash.PDP, an AI-powered platform that helps brands instantly evaluate their e-commerce images to determine which are working well and which need to be optimized. Both have helped CPG brands make faster decisions and optimize their e-commerce content at scale through AI consumer data. FUN FACT: Nazario enjoys maps and geography. He has a nearly flawless score on “Worldle,” the geography guessing game that’s a spinoff of Wordle.
Joshua Rosen
Group Leader, E-Commerce and Digital Marketing Church & Dwight Age 37
Emma Purola
Manager, Media Strategy, Data and Measurement Peapod Digital Labs Age 35 Purola is the subject matter expert in first-party audience strategy and marketing measurement for Peapod Digital Labs, the digital and commercial hub of Ahold Delhaize USA. She is currently helping its local brands (Stop & Shop, Food Lion, Giant Company, Giant Food and Hannaford) leverage both historical and prospective customer data to make marketing more relevant and impactful. Over the past two years, she has led work to expand and enhance how paid media is personalized across the retailer’s brands. Leveraging third-party tools and providers, she and her team have helped the brands reach customers with offers and content that is most relevant to them, in turn making media costs across the brands more effective and efficient. Since joining Peapod Digital Labs, her role took on a stronger focus on customer data in terms of how the team collects it, protects it and utilizes it to add more value to the customers’ relationships with the brands of Ahold Delhaize USA. She has 10 years of experience in paid media and site analytics, developing holistic measurement plans and helping brands understand their marketing effectiveness. FUN FACT: Purola is an avid bocce player and is involved in several local leagues.
Rosen started his career at Campbell Soup in brand management, but eventually transitioned to digital roles at Anheuser-Busch, Amazon and, for the past five years, Church & Dwight. At the latter, he has worked on a variety of digital projects and leads the e-commerce marketing team. Recent work includes creating overarching strategies and building out a matrixed team of e-commerce professionals. He is most proud of his work creating a centralized information hub for e-commerce data, best practices and training/how-to guides. It’s never fully complete, but he’ll continue to work to break down silos and educate/empower the broader organization in e-commerce. FUN FACT: Rosen is a Web3 enthusiast, and top 50 collector for 76ers NBA TopShot NFTs. He is excited to see if it intersects more directly with his professional life this year.
Yuni Sameshima Co-Founder and CEO Chicory Age 36
Sameshima leads Chicory, a contextual commerce advertising platform for CPG and grocery brands. The company recently released a new advertising solution called Branded Cart, which prioritizes brands when a consumer adds ingredients to their cart using Chicory’s shoppable recipe technology. Branded Cart helps brands grow share-of-cart, increase add-to-cart volume of specific products, and builds loyalty by appearing as a buy-again option on retailers’ sites. Multiple blue-chip brands participated in the phase one product launch — and grew their share-of-cart by 89% on average. Sameshima is most proud of Chicory’s growth, with 14 new team members and a heavy investment in product. He is a recent Forbes 30 Under 30 honoree in the Retail and E-Commerce category and is an avid speaker and thought leader on trends in shopper marketing, digital grocery and advertising. He is also dedicated to guiding the next generation of entrepreneurs through mentorship programs, such as the Entrepreneurs Roundtable Accelerator, Colgate University’s Thought into Action and Built By Girls. FUN FACT: Sameshima’s first name, Yuni, is actually not a Japanese name. He was born on, and named after, the (Y)unification day of East and West Berlin.
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Wes Schroll Founder & CEO Fetch Rewards Age 28
Jessica Sarkisian Director, Media & Merchandising Spectrum Brands Age 32
Schroll drove the launch of the U.S. Spanish-language version of the Fetch Rewards app this past year, while also taking the app “from solo to social” by launching a new, highly engaging set of social features that allows users to interact with friends and engage in friendly competition via its leaderboard. Fetch Rewards hit $100 billion in annualized gross merchandise value (GMV) last year, making it equivalent to the nation’s seventh-largest retailer. Schroll has also helped it expand into new verticals and enhance value for both brand partners and Fetch users alike, watching the user base grow from 7 million to nearly 14 million monthly active users this past year. With two startup ventures already under his belt when he entered school at the University of Wisconsin, the idea for Fetch Rewards came after his first solo grocery trip as a college student when he realized that he and others were more loyal to their favorite brands than to the stores they shopped. He started building Fetch Rewards in 2013, which has since grown to more than 90 employees, brought in more than $28 million in funding, impacted millions of users across the country, and changed the way companies reward shoppers for their loyalty.
Sarkisian recently built a case to demonstrate the opportunity of bringing a portion of agency-managed ad dollars internally to gain efficiency and speed to market. The result is a dedicated media buying team within Spectrum Brands, servicing its full portfolio of brands. She is most proud of expanding her knowledge base and team responsibilities into the retail media and e-commerce space. Sarkisian started her career at Kantar Millward Brown in the advertising research industry. Working across multiple verticals (CPG, B2B, government, financial servicets, health, auto) and client types (marketers, agencies and media partners), she demonstrated leadership across client management, cross-channel media, and creative analytics and business development. After seven years with Kantar, she moved to Spectrum Brands to round out its internal digital agency expertise. She led a team of 14 digital marketing strategists responsible for developing digital content, campaign and channel strategies, influencer partnerships, brand websites, and organic and paid social advertising. She was recently promoted to build and lead a new pillar of Spectrum Brands’ commercial operations organization, creating a team that enables sales and brand equity growth for all divisions across the Americas via best-in-class execution of digital media, retail media and e-commerce merchandising.
FUN FACT: Schroll founded Fetch Rewards as an undergrad at UW-Madison, testing its scanning technology at a local grocery store where the owner liked to support student businesses.
Michael Schuh
Vice President, Media Strategy Kroger Precision Marketing (KPM), 84.51 Age 34 Schuh and his team develop retail media products across Kroger’s on-site and off-site channels to drive measurable business impact for advertisers. His responsibilities include leading the overall media product strategy for technical, content, commercial and partnership considerations. Kroger digital properties and offsite partnerships are evolving rapidly, and are setting the pace for retail media while presenting a large opportunity for brands to engage with digitally active customers at the point of purchase. Schuh is accountable for ensuring Kroger, consumer packaged goods companies and media agencies have a robust, high-impact product mix to execute advertising plans. He is most proud of the launch of KPM’s Private Marketplace, a DSP-agnostic programmatic buying solution for advertisers to pair Kroger’s first-party data audiences with inventory at scale. He also spent three years working closely with global retailers at Dunnhumby as a product manager across a suite of pricing and promotions software. Prior to that, he spent two years at Booz Allen Hamilton as a senior consultant, working with public sector agencies to streamline their data and reporting assets.
FUN FACT: Sarkisian is expecting her first child in October.
FUN FACT: Schuh enjoys making — and could live off of — homemade pasta.
Sweta M. Shukla Shopper Marketing Manager Scotts Miracle-Gro Age 37
Shukla has helped transform Scotts Miracle-Gro’s go-to-market strategy to encompass total omnicommerce marketing, most recently leading the strategic planning and execution of a co-marketing plan with its largest retail partner, The Home Depot. She points to key parts of the program, including weekend media plus-ups, a method of focusing weekend social media in the right place at the right time with the right product. Shukla worked cross-functionally in the
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organization each week to build out the weekend media, which included market selection, product selection and creative development. It drove incremental sales, with strong ROI that exceeded benchmarks. She also led the briefing and media planning that included digital/national TV with key cross-functional teams, and after The Home Depot launched its retail media platform in 2020, her team leaned in heavily in 2021. Shukla led the strategic planning process and worked weekly with agency partners (who led execution) to turn insight into action. Performance drove sales in-store and online, and exceeded benchmarks. FUN FACT: Shukla considers herself a “jill-of-all-trades.” If there is something she doesn’t know how to do, she’ll figure it out.
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Briana Voss
Omni-Channel Marketing Director Good Foods Group Age 36
Andrew Stephens
Senior Shopper Marketing Manager Post Consumer Brands Age 39 Stephens recently led an integrated marketing communications team in the launch strategy and planning for Post Snacking, a new category in the store that is breakfast snacking. He worked to uncover and bring shopper insights to life for the Post Consumer Brands portfolio, and also pioneered a best-in-class vendor summit, giving more than 15 organizations in the vendor community direct access to brand strategy and objectives to kick off a more cohesive and connected planning season. Stephens sat on the Effie’s judge’s panel for the second year in a row, reviewing the year’s most innovative and effective programming, and is the founder of Sycamore ARC, an organization that serves local school district parents who need to connect with advocacy and resources for students in all grade levels. Its mission is to connect parents to the resources and knowledge necessary to provide their students with a vibrant, fulfilling and rewarding learning experience in and out of the classroom. FUN FACT: Stephens was a finalist in an air guitar contest with Mick Jones from Foreigner.
Voss focuses on improving the path for consumers to discover Good Foods wherever they are, and has effectively grown the company’s brand awareness and repeat buyers. These efforts include hyper-focused shopper marketing programs supporting its customers, elevating e-commerce and clearly communicating the benefits of the brand. She started her marketing career with a media agency foundation from Starcom Worldwide and gained experience across digital publisher roles within AOL/Yahoo! and brand side marketing roles at Walgreens, which she now applies to her current work at Good Foods Group. FUN FACT: Voss has a passion for food. She is constantly learning new techniques, taking classes and trying new flavors. Cooking is her place of Zen.
Abishake Subramanian Vice President and General Manager Lowe’s One Roof Retail Media Network, Lowe’s Companies Inc. Age 36
Subramanian leads Lowe’s One Roof Media Network, the company’s in-house omnichannel advertising services program, overseeing the growth of its revenue, products and organization. He serves as the bridge between the advertising community and Lowe’s engineering/ product team and sales and marketing team, while working with clients and industry partners to build the business. Recently, Subramanian instituted a best-in-class ad platform inheriting IRI’s Liquid Data tech stack to buy and sell personalized digital ads across online, offline, email and social channels with a proprietary closed-loop measurement on-demand system to provide ROI for supplier and CPG investments. The result is accelerated growth in media revenue across more than 100 suppliers and increased conversion on the site, driving top-line growth for suppliers. He also led the acquisition of Triad Retail Media with WPP to take the retail media business in-house, and helped launch Sam’s Club Media Group (SMG), resulting in increased profitability and accelerated growth. FUN FACT: Subramanian bought a giant cedar outdoor playset for his kids from Lowe’s last year, picked it up and assembled it in less than three days by himself, with no prior experience.
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Denzel R. Washington
Assistant Manager, Omni Customer Marketing General Mills Age 28 This past year, Washington brought the first-ever console partnership to the Totino’s brand with Walmart that was designed to bring a nostalgic approach to gaming. He also partnered with the late Betty White to celebrate Betty Crocker’s 100th Birthday. The two iconic Bettys were to celebrate their 100th birthdays within three months of each other, and were encouraging home bakers to celebrate alongside them in a campaign in Walmart in October 2021. He also helped launch the company’s Old El Paso x Takis fuego taco shells exclusively at Walmart, developing an omni-plan in partnership with Walmart and Walmart Connect that brought in Snoop Dogg as a celebrity influencer. The campaign yielded impressive results, making the taco shell the top selling product in the TexMex category. Washington has spent the last seven years in marketing and e-commerce across a variety of different roles and industry segments. Prior to General Mills, he worked at VMLY&R and other agencies and was accountable for building and developing digital and commerce strategies for multiple clients to help them win at Walmart and Amazon. FUN FACT: Washington loves going to the movies. It’s his second home.
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The
Evolution of the
In-Store
Shopping Experience
2
PART
In cooperation with
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OUR EXCLUSIVE RESEARCH SHOWS INSIGHTS ABOUT WHY CONSUMERS ARE SHOPPING IN-STORE, WHAT THEY ARE SHOPPING FOR, WHAT DRIVES THEM TO MAKE SPONTANEOUS PURCHASES, AND THE FACTORS INFLUENCING THEIR IN-STORE EXPERIENCE.
Reason for Shopping In-Store
BY J E N N Y R E B H O L Z
57%
Ability to see products in person/interact hands-on
D
espite clear shopper concerns about safety and cleanliness, efficiency, supply and demand issues, as well as customer service and social interactions, consumers are still shopping in physical stores. Part 1 of this special report on the Evolution of the InStore Shopping Experience, which appeared in the March/April issue, focused on shopping frequency, changes in shopping habits and in-store vs. online shopping preferences. The data and feedback revealed challenges, yet clearly presents opportunities for brands and retailers to reenergize the instore shopping experience. In part 2 of the report, we share insights about why consumers are shopping in-store, what they are shopping for, what drives them to make spontaneous purchases, and the factors influencing their in-store experience. This additional data will help brands and retailers brainstorm shopping innovations — ways to engage consumers in the ever-evolving retail landscape, capture market share and bring joy back to shopping in-store.
IN-STORE EXPERIENCE As noted in part 1 of this special report, even as respondents were
Wider range of selection
36%
Immediacy of purchase/instant gratification Easier to navigate/find products in-store
35% 28%
Tired of pandemic lockdowns Enjoy the treasure hunt experience
23%
The social aspect of going in the store
20%
Inspiration/discovering new products
20%
Product sampling
14%
Expertise/assistance from store associates
13%
Experiential offerings/interactivity
12%
Q: When you decide to shop inside a physical store, what are the main reasons you prefer to go to the store (rather than shopping online)? Source: Evolution of the In-Store Shopping Experience (Path to Purchase Institute, January 2022)
The most common reason consumers have for shopping in physical stores is the ability to see products in person and have hands-on interactions. About one-third of shoppers reference access to a wider product selection, instant shopping gratification and ease of navigation as other top reasons influencing their decision to shop in-store.
navigating the omicron variant at the time of this survey, 66% of respondents were still shopping in physical stores. For those who indicated they shop instore, a primary motivator is the ability to see products in person. Consumers still have a desire to take a closer look at items and have hands-on interactions with merchandise. Shoppers also feel there is access to a wider selection of products in-store and some commented on the feeling of instant gratification based on the immediacy of the purchase and walking out of the store with product in hand. From apparel and groceries to electronics, home improvement and home decor, seeing products in person is a draw to physical stores across product categories as well as types of retailers. While seeing and handling merchandise brings consumers in-store to shop, there are a number of factors that influence their positive in-store shopping experience. When shoppers were asked about factors influencing their in-store
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32%
(compared to online)
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THE EVOLUTION OF THE IN-STORE SHOPPING EXPERIENCE
Reason for Shopping In-Store, by Category Base size
Ability to Wider Easier to see products range Instant navigate in person of selection gratification in-store
Enjoy the treasure hunt experience
Inspiration
The social aspect of going in the store
Product sampling
Assistance from store associates
Experiential offerings
Grocery
n=838
64%
37%
41%
30%
18%
18%
16%
21%
16%
12%
Non-food essentials
n=664
52%
52%
40%
25%
14%
13%
12%
11%
11%
8%
Beauty
n=488
55%
55%
29%
24%
17%
16%
10%
26%
19%
9%
Alcoholic beverages
n=474
47%
47%
38%
23%
18%
14%
11%
15%
16%
10%
Pet care
n=500
50%
50%
38%
23%
13%
12%
12%
12%
19%
9%
Apparel
n=594
66%
66%
36%
22%
20%
17%
11%
18%
15%
9%
Cannabis
n=228
49%
49%
39%
20%
16%
14%
12%
19%
23%
7%
Sporting goods
n=367
53%
53%
33%
19%
19%
12%
10%
17%
23%
9%
Electronics
n=647
62%
62%
34%
20%
16%
13%
11%
16%
30%
12%
Home improvement
n=505
61%
61%
34%
23%
17%
18%
10%
11%
30%
9%
Home decor
n=503
60%
60%
32%
19%
26%
21%
9%
15%
22%
12%
Medication
n=590
42%
16%
34%
22%
9%
9%
10%
9%
26%
7%
Q: Which of the following are reasons why you prefer to go to a physical store for those products?
Source: Evolution of the In-Store Shopping Experience (Path to Purchase Institute, January 2022)
With the ability to see products in person as the most common reason for shopping in-store, this was particularly important in the apparel (66%) and grocery (64%) categories, as well as electronics, home improvement and home decor. Wider selection, instant gratification and ease of navigation were also important reasons for shopping for groceries in-store.
experience and the pain points of in-store shopping, ease of check-out rose to the top numerous times as a critical component of shopper satisfaction. This is reinforced by responses around technology, with respondents identifying cashierless checkout as a top technology for enhancing the in-store experience. Out-of-stock items and the inability to find products they are looking for were other leading pain points for in-store shoppers. Brands and retailers face many operational challenges, especially due to staffing issues, yet the checkout process is an area that needs attention to ensure a satisfying in-store shopper experience. Some of the functional and fundamental aspects of store design and operations — store layout and ease of navigation, safety precautions, clean and visible signage and customer service — are all priorities for consumers right now. These have always been important aspects of the retail landscape, yet they emerged as hot buttons with COVID-19 and continue to be top of mind. The current retail climate, influenced by COVID-19 stocking challenges and inflation rates, seems to have consumers focused on retailers that offer a good
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selection at a good price. This is evident with the naming of retailers such as Walmart and Target as favorites for in-store shopping experiences. Factors for respondents who named Walmart as a favored retailer focused on variety, reasonable pricing, convenience and ease of navigation. The selection of Walmart reinforces the data shared in part 1 of this report about the behavioral shift in shopping habits and desire for one-stop-shopping. Typical comments about why Walmart is their favorite store to shop inside include: • “Because I can find anything I need, and it’s convenient with low prices.” • “It’s a one-stop-shop experience. I can get just about everything I need in one place. It makes shopping a lot easier.” • “Because they have everything, and the prices are good and the environment is nice.” Likewise, Target was cited for one-stop-shopping benefits as well as price, selection, store atmosphere and customer service: • “Target has everything I need in one store, thus cutting my shopping time down each week.”
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THE EVOLUTION OF THE IN-STORE SHOPPING EXPERIENCE
Alleviating Pain Points
Dan Sabanosh
Great Northern Instore was excited to partner with the Path to Purchase Institute on this two-part research project. Great Northern strives to bring the latest retail insights to its clients and translate those insights into successful retail activations. It is always important to get an up-to-date read on shopping behavior. This Q&A highlights some of the research’s key findings from the perspective of Dan Sabanosh, Great Northern’s director of shopper marketing.
P2PIQ: How and why do the reasons for shopping in-store differ by product category and store type, and why does that matter to product marketers? Sabanosh: The reason why a shopper visits a store for a particular category will be naturally different. For example, with groceries, shoppers want to see the produce they are selecting, and they feel they have a broader range of choice. Online grocery shopping is still difficult since you can’t judge freshness, and navigating an endless array of products can be daunting. For higher consideration categories like home improvement and electronics, shoppers look for the expertise of the store associates to help guide them. Marketers need to consider this when building in-store activations so they meet their consumers’ expectations. The right categories should consider specific promotions. For example, beauty brands should plan sampling events.
P2PIQ: We asked, “What specific product do you hate shopping for inside a physical store, and why do you hate shopping for it inside a store?” What’s there to learn from this information? Sabanosh: Well, those categories should make sure they do a great job with their online presence. But also consider the brick-and-mortar pain points. How can bulky items be shopped in-store where they can be experienced, but easily be delivered to the shopper’s home? People also hate wasting time, so activations and shelf sets must be easy to navigate.
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P2PIQ: From your perspective, what factors can provide a great in-store experience for shoppers? And conversely, what leads to pain points? Sabanosh: The ability to easily navigate through the store on their shopping trip is key. Ninety-four percent of respondents said this was at least somewhat important to them. Product arrangement on shelves and eye-catching visuals also had a vast majority of respondents indicating these were very or somewhat important. Developing in-store solutions that are easily recognizable, insightfully organized and easy to shop are key. This helps alleviate a major pain point: 31% of respondents indicated the ability to find what they’re looking for is a problem.
P2PIQ: How can technology that’s usable instore improve the shopper experience? Sabanosh: Right now, the best assist technology can provide is to improve the checkout experience. Checkout is another key pain point, especially when some online retailers have made checkout extremely easy. Shoppers are also looking for ways technology can help them manage their shopping list and navigate the store, so they can complete their trip efficiently.
P2PIQ: Spontaneous purchases are a big opportunity for product marketers. What are your takeaways from the responses we’ve gathered? Sabanosh: As marketers of products, the store is the best place to win impulse dollars. To no surprise, an offer is a great incentive. However, attractive packaging and displays are also great ways to attract shopper attention to your product so you win the extra sale. Editor’s Note: Dan Sabanosh is director of shopper marketing for Great Northern Instore, a leading designer and manufacturer of merchandising solutions, where he helps clients be more insightful when developing their retail programs. Before joining Great Northern, Sabanosh worked for Colgate-Palmolive in both shopper marketing and brand management roles.
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THE EVOLUTION OF THE IN-STORE SHOPPING EXPERIENCE
• “Target has many different types of items in one stop at reasonable prices.” • “Target has most things you want/need with good prices. It’s usually a nice store too — clean, organized and well stocked.” Dollar General, Dollar Tree and Costco were other frequently named retailers on the favorites lists due to a variety of selections and affordability. • “Dollar General because there is a big variety of merchandise, and I can afford to shop there.” • “Dollar General because they have so much to choose from at very low prices.” • “Dollar Tree. It has good products at a good price.” • “Dollar Tree because I can get almost everything I need at a reasonable price.” • “Costco. They have high-quality grocery items at reasonable prices.” • “Costco. Variety, price, convenience and quality.”
Some of the respondents’ reasons for shopping in-store center around the pre-pandemic joys of shopping. While some consumers are shopping in physical stores because they are tired of the pandemic lockdowns, others enjoy the treasure hunt experience or new product discovery as well as the social aspects. Furthermore, factors influencing in-store experience such as experiential offerings, eye-catching visuals and ambience, while ranking least important on the overall list, are still valued by a sizeable proportion of shoppers. These responses provide brands and retailers with opportunities to enhance in-store engagement by improving the overall look and feel of stores and leveraging experiential moments and socialization. A respondent comment about Target as a favorite retailer reinforces these considerations: “Target, they have everything I need and a Starbucks inside, so I can walk around for a while and browse.”
Reason for Shopping In-Store, by Store Type Base size
Ability to Wider Easier to Tired of see products range Instant navigate pandemic in person of selection gratification in-store lockdowns
Enjoy the treasure hunt experience
Inspiration
The social aspect of going in the store
Product sampling
Assistance from store associates
Experiential offerings
Mass
n=956
58%
36%
36%
33%
28%
23%
20%
20%
15%
12%
12%
Grocery
n=947
58%
36%
36%
33%
28%
24%
20%
20%
15%
13%
12%
Club
n=723
54%
37%
35%
31%
27%
25%
20%
19%
15%
14%
13%
Dollar
n=889
56%
35%
35%
33%
27%
24%
19%
20%
15%
12%
11%
Convenience
n=817
55%
35%
35%
32%
28%
24%
20%
20%
15%
13%
12%
Drug
n=912
57%
36%
37%
33%
29%
24%
20%
20%
15%
13%
12%
Health & beauty
n=647
53%
34%
35%
30%
26%
25%
22%
21%
15%
13%
14%
Pet
n=647
57%
36%
37%
31%
27%
27%
22%
22%
17%
14%
14%
Home improvement
n=850
58%
36%
37%
31%
28%
25%
21%
20%
15%
14%
13%
Office
n=672
56%
35%
36%
31%
29%
25%
21%
21%
17%
14%
14%
Craft
n=655
54%
35%
36%
31%
28%
27%
21%
20%
16%
13%
14%
Clothing
n=818
57%
36%
36%
31%
28%
25%
21%
21%
16%
13%
13%
Sporting goods
n=660
56%
35%
36%
30%
28%
26%
21%
21%
16%
14%
13%
Electronics
n=767
58%
37%
37%
31%
28%
25%
21%
21%
16%
13%
14%
Shoppers were allowed to select multiple retailer types, but were asked why they shop in physical stores in general; results may be blurred.
Source: Evolution of the In-Store Shopping Experience (Path to Purchase Institute, January 2022)
The reasons for shopping in a physical store based on retailer type do not vary greatly. It is interesting to note that more than half of respondents once again selected the ability to see products in person as a primary reason across all retailer types.
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THE EVOLUTION OF THE IN-STORE SHOPPING EXPERIENCE
Products Shoppers Dislike Shopping for In-Store Respondents most frequently referenced clothing/shoes as well as food/groceries as frustrating instore shopping categories. Those who mentioned clothing and shoes say it is hard to find the right styles and sizes. “I dislike going into stores to look for new clothes because my size is rarely available, or the stores never have anything my style,” said one respondent. Respondents noted grocery shopping tends to feel like a cumbersome chore, which is exasperated by high prices. “I just dislike shopping in general because prices on things are too high and it takes way too long, and I don’t feel like being around too many people,” said another respondent. Consumers also find heavy or bulk items cumbersome to deal with when in-store shopping. Feminine hygiene and toilet paper were also referenced as shoppers feel it is embarrassing to purchase these items in-store. Crowded stores and long lines were other in-store shopping annoyances highlighted.
Favorite Retail Store to Shop Inside With one-stop, efficient shopping considered as a top priority, Walmart tops the list as the favorite retailer for in-store shopping. Thirty-eight percent of respondents selected Walmart due to product variety, reasonable pricing, convenience, ease of navigation — a one-stop shop. Numerous respondents said, “I can get everything I need.” Target followed at 10% with other one-stop-shopping and
Factors Influencing the In-Store Experience 29%
4%
Store layout/ability to navigate
56%
Safety precautions
54%
35%
10%
Clear/visible store signs
52%
41%
7%
Store associates/customer service
50%
Product arrangements on shelves Overall ambience
(temperature, audio/sound, scents, lighting)
Eye-catching visuals and displays throughout the store Experiential offerings, such as sampling, demos, interactive opportunities, entertainment, etc.
6%
38%
8%
42%
42%
9%
49%
36%
15%
49%
33%
18%
49%
25%
29%
46%
Very important
Somewhat important
Not at all important
Q: When you are shopping inside the store, how important are each of the following components in providing a great in-store experience? Source: Evolution of the In-Store Shopping Experience (Path to Purchase Institute, January 2022)
Ease of checkout (67%) was rated the most important factor influencing the satisfaction of the in-store experience. Store layout and ease of navigation, safety precautions, clear and visible signage as well as customer service were also deemed as important factors by at least half of shoppers.
In-Store Pain Points 48%
Products out of stock Finding what I’m looking for
31% 29%
The checkout experience Customer service
24%
Cleanliness/organization of the store
23%
There is not enough staff
23%
Safety concerns
21%
Variety of product selection available
18%
Getting to and from the store (transportation)
18%
The time invested in the trip Lack of information about products Visual appeal/aesthetics of the store
15% 12% 9%
Q: What are your top three pain points of shopping inside a store? (Select three) Source: Evolution of the In-Store Shopping Experience (Path to Purchase Institute, January 2022)
With shopping efficiency top of mind, respondents noted out of stock products (48%) as the top pain point when shopping in-store. The ability to find what they are looking for (31%) and the checkout experience (29%) were also cited as areas of frustration.
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67%
Ease of checkout
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THE EVOLUTION OF THE IN-STORE SHOPPING EXPERIENCE
reasonable pricing references, as well as Dollar General, Dollar Tree and Costco.
SPONTANEOUS PURCHASES Retailers and brands are always exploring consumer behavior patterns and experimenting with how to tap into shopper impulses. How do you grab attention and influence a spontaneous purchase? How do you get a shopper to go off-list? This report has emphasized the current one-stop-shopping mentality of consumers. While shoppers tend to be headed in-store with a purpose and a list, almost half of respondents admitted to making a spontaneous purchase most or all of the time. Exploring more sales and special offers is one way brands and retailers can capture shopper attention and entice off-list purchases. Fifty-one percent of respondents admitted a good deal drives their impulse buys. Brands and retailers also need to further tap into shopper senses to encourage impulsiveness. Survey responses illustrate that visual stimulation still plays a role in spontaneous purchases. Eyecatching product packaging, endcap displays and shelf signage were referenced as influential factors. Shopping in-store also allows consumers to visually come across products that remind them of a particular need, see something they forgot on their list or introduce them to new product offerings. Respondent comments also revealed cravings or shopping on an empty stomach influence spontaneous purchases. Brands and retailers can experiment with different displays to capture attention or develop a
In-Store Technology Preference Cashierless checkout using an app or other technology Shopping list app on your mobile device
41%
I shop online more often than I used to
32%
Retailer app on your mobile device
31%
In-store mapping/navigation via app on your mobile device
24%
QR codes for extra information or promotions
12%
Q: What types of technology do you like to use (or would you like to use) while shopping inside the store that make (or would make) your experience better? Source: Evolution of the In-Store Shopping Experience (Path to Purchase Institute, January 2022)
Respondents identified cashierless checkout (42%) and a mobile device shopping list app (41%) as the top two technologies to enhance the in-store experience.
Frequency of Spontaneous Purchase, In-Store vs. Online 18%
Every time
10% 28%
Most of the time
19% 36%
Some of the time
29% 16%
Rarely
Never
25% 3% 16% In-Store
Online
Q: How often do you make unplanned or spontaneous purchases when shopping? Source: Evolution of the In-Store Shopping Experience (Path to Purchase Institute, January 2022)
When it comes to the frequency of spontaneous purchases, it is not surprising that impulse purchases are more common in physical stores than online. Almost half of respondents (46%) confirmed making an impulse purchase most or all of the time when shopping instore compared to 29% when online shopping.
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42%
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THE EVOLUTION OF THE IN-STORE SHOPPING EXPERIENCE
Spontaneous Purchase Drivers 51%
Product was on sale or had a special offer Product packaging was attractive/caught my attention
28%
Store was out of usual product; picked something else
27%
A display at the end of the aisle (endcap)
24%
Shelf sign caught my attention
23%
Product was advertised in the store flyer/weekly ad
20%
Product was on display somewhere else in the store
19%
I was shopping with my/a child who wanted the product
17%
Sampled the product or saw a demonstration in the store
17%
Sign in the store (other than at the shelf) or sticker
CONCLUSION
14%
Q: Think about times you have recently made an unplanned or spontaneous purchase while shopping in the store. What influenced you to do so? Source: Evolution of the In-Store Shopping Experience (Path to Purchase Institute, January 2022)
While the survey shows that respondents are shopping in-store with a purpose, shoppers are still susceptible to spontaneous purchases. It still seems hard to pass up a good deal as 51% of respondents identify sales or special offers as spontaneous purchase drivers. Eye-catching product packaging and lack of availability of the preferred product were also influential, followed by endcap displays and shelf signage.
Most Attention-Grabbing Displays In-Store 46%
Product displays at the end of the aisle Large displays of products set at the front of the store
42% 39%
Temporary/seasonal displays Special signs for specific products hanging from the ceiling
37%
Displays in the aisles that are not part of the regular shelf
35%
Displays in the walkways of the larger areas of the store
34%
Q: When you are shopping inside a physical store, which types of displays do you tend to notice? Source: Evolution of the In-Store Shopping Experience (Path to Purchase Institute, January 2022)
While shopper responses show all display types are generally effective, endcap displays were considered the most effective (46%) in driving spontaneous purchases.
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strategy that offers a mix of display types from large displays at the front of the stores and temporary or seasonal displays to special signs hanging from the ceiling, aisle or walkway displays and endcaps. While all display types were ranked as generally effective, 46% of respondents indicated endcap displays were most effective in driving spontaneous purchases.
With staffing challenges, shifting COVID-19 policies and inflation, we are in the midst of a retail revolution. This report shows consumers are challenging brands and retailers to address safety and cleanliness, shopping efficiency, supply and demand issues as well as customer service and social interactions. The good news is that consumers are still shopping in physical stores and there are opportunities to capture more market share in-store. Brands and retailers have an opportunity to address functional store design and operational elements, such as store layout and ease of navigation, safety precautions, clean and visible signage and customer service, to make shopping in-store feel safe and more efficient. Pairing this efficiency with enticing visuals, inspired experiential moments and engaging social interactions may be the answer to bringing the joy of shopping in-store back to consumers’ lives. The reality is shopping habits are evolving daily and rapidly impacting the retail landscape. The brands and retailers poised to quickly adapt their in-store shopping experience are best positioned to evolve and succeed amidst the chaos. IQ
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The Path to
‘PURPOSE’ — Part 2 How to balance purpose and profit — and embrace the circularity opportunity BY PHIL WHITE, GROUNDED WORLD
I
n part 1 of this report in the March/April issue, we highlighted the fact that although most of us (96%) want to live and buy more sustainably, only about one-third of us actively do so. Closing this intention-toaction gap presents the biggest opportunity for brands and retailers to find the moments that matter and deliver a win-win-win for people, planet and profit. But this kind of thinking only takes us halfway there. It doesn’t reflect the reality of the circular economy and how more brands and retailers need to factor reduce, recycle, reuse and resell into the value equation. Target is already taking huge strides in this direction with Target Zero. Shoppers can now buy products and packaging that have been designed to be refillable, reusable or compostable — made from recycled content or made from materials that reduce the use of plastic. Hundreds of new and existing products from across Target’s beauty, personal care and household essentials categories are part of the collection.
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THE PATH TO ‘PURPOSE’ — PART 2 “Target Zero unlocks important progress toward our Target Forward ambitions, each of which require collaboration from our partners and action from our guests to be realized,” Amanda Nusz, Target SVP of corporate responsibility and president of the Target Foundation, said in a media release. “By making it easier for our guests to identify which products are designed to reduce waste, Target Zero helps them make informed decisions about what they purchase and advances a collective impact across our brand partners, our product shelves, and within our homes and communities.” Amazon launched its Climate Pledge Friendly program back in 2020. It includes a dedicated online section that now lets consumers shop across 32 certifications. Target Zero represents a big drive toward becoming the market leader for creating and curating inclusive, sustainable brands and experiences by 2030 — ultimately helping shoppers eliminate waste from their lives. Reusing, recycling and reselling are the core components behind building a circular economy, which means brands and retailers alike need to reconfigure their supply chains, business models and shopping experiences to embrace it and move away from the current “take-make-sell-dispose” way of doing business. Our retail model, which predates even the industrial revolution, is predicated on sourcing products, selling them at a profit and then leaving the consumer to dispose of them to create demand for more. Infrastructure, supply chain, buying and merchandising simply aren’t designed to take things back into the system and then re-engineer value — even though that, in itself, represents a $4.5 trillion market opportunity. (That figure is taken from “The Circular Economy Handbook,” a 2020 book by Peter Lacy, Jessica Long and Wesley Spindler.) And there are plenty of examples of brands, retailers and solution providers taking on the challenge — from Loop to IKEA, Patagonia, Levi’s, Fabletics, ThredUp and Trove (more about those later), along with more established and traditional retailers. ASDA and Waitrose in the U.K. have been experimenting with “refillable” stores for the past few years, and even Starbucks is planning to phase out its iconic cups, admitting
that their ubiquity is also symbolic of a ubiquitous throwaway society. By 2025, Starbucks wants every customer to be able to either use their own mug easily or borrow a ceramic or reusable to-go mug from their local Starbucks, which would mean rolling out more borrow-a-mug programs that require a deposit along with incentives, activations and an entirely new way of thinking about the path to purchase. Here at Grounded, we’ve been watching these developments with great interest. We’ve even published “Retail Activation for Good” with the Sustainable Brands community in partnership with Target, CVS, Johnson & Johnson, Clorox, General Mills and others. This collaboration has us thinking about a new “path to purpose” model that can help brands and retailers better understand how to balance purpose and profit and embrace the opportunity that circularity provides.
“Target Zero helps them make informed decisions about what they purchase and advances a collective impact across our brand partners, our product shelves, and within our homes and communities.” — Amanda Nusz, Target SVP of corporate responsibility and president of the Target Foundation
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THE PATH TO ‘PURPOSE’ — PART 2 For example: Think about it as a series of behavior changing loops that follow the popular trigger, activation, reward and reinforce model. Ultimately, systems change (which is what circularity demands) can only happen if the associated behaviors required are connected through a kind of support system that establishes, strengthens and then reinforces the relationship between attitudes, intentions and the desired behavior change itself. In other words, to change the system we need to close the gap between intention and action and then incentivize shoppers to keep repeating the same behavior (at least five to six times) to form the habit. For anyone who is a self-proclaimed shopper marketing and brand activation geek like me, this is the holy grail of activation. So let’s play out that Starbucks-cup scenario by way of example. Look at the first loop: As you barrel out into the morning madness and stop by your local Starbucks for your usual caffeine fix, you realize you forgot your refillable cup. (But more likely, even if you own one, you probably didn’t want to bring it with you, because you have nowhere to put it, nothing to carry it in and you certainly don’t want to drag a dirty cup around with you for the rest of the day.) This is a classic case of resistance and inconvenience. Starbucks already knows this — so they sign you up for their “borrow-a-cup” program, where you pay a deposit for a durable cup and then you can either drop it back off on the way home or at another Starbucks that’s more conveniently located. You pay a $1 deposit, and then
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you return the cup to a smart bin located in the store to get your dollar back. And you can also earn credits and rewards for using the cup. Not bad, eh? Third-party companies are hired on the backend to come and take all the used cups away, get them cleaned (or recycled) and then put them back into the supply chain (so that baristas don’t have to). This is a classic “closed loop” reuse and recycling model, and it’s a big first step. The real commercial opportunity, however, resides in the second loop when you reframe value by helping the shopper discover new things and celebrate the win — i.e., when you can use the return behavior to create another trigger and encourage the shopper to trade up or across into something new. This is essentially what Loop is looking to do in partnership with brands and retailers such as Kroger, Walgreens, Burger King, Clorox and Gillette, to name a few, as it rolls out pilots here in the U.S. and around the world. By increasing the range of refillable and reusable packaging available across brands and categories, facilitating drop-off and pick-up stations and then cross merchandising them in-store, Loop, along with brand and retail partners, is proving that it can drive footfall and also cross-category purchasing. The third, and arguably most advanced loop, is when brands and retailers are able to not only recycle or reuse, but also resell. And as shoppers are increasingly shopping for more value, the online recommerce and second-life marketplace is taking off at an exponential rate. As of 2019, the resale marketplace was projected to grow five times faster than the broader retail sector over the next five years. Fashion is a good example. Eightfive percent of clothing eventually ends up in landfills. That’s the equivalent of about one garbage truck per second. In addition, today’s consumers are purchasing more clothing than ever before. In fact, at current rates and with projected population growth, resource consumption is set to triple by 2050. To support this level of consumption, we would need nearly three times the resources we’re using today. And, so, the industry has been forced to find a better way. Take the longevity of a classic, well-made pair of jeans, for
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THE PATH TO ‘PURPOSE’ — PART 2
example. Levi’s is perfectly placed to lead the way when it comes to re-commerce, and this is exactly what they have done. Levi’s Secondhand is an inhouse buy back and resell initiative that allows the brand to take responsibility and control of the lifecycle of its products. It is a breath of fresh air for conscious shoppers, as it not only attests to the quality of Levi’s products (confidently assuming you will tire of them long before they wear out), but provides reassurance that there is a ready-made market for their jeans when they no longer want them. It’s not just Levi’s that is responding to the demand for sustainability and launching resale programs for secondhand products either. ThredUp, a resale-as-aservice company that runs the logistics of brand resale programs on their behalf, is currently working with Fabletics to help customers turn lightly worn garments from any brand into Fabletics credit. The North Face has launched The Loop program, which buys back clothing from any brand — and in any condition — and gives it a new lease on life. Patagonia is working with Trove (which also manages the Levi’s secondhand initiative) to run its resale program, encouraging customers to trade in their unwanted and worn out Patagonia items in exchange for credit that can be redeemed against new or secondhand Patagonia products. And there are many more. In an environment where the retail sector is struggling on so many fronts, community-based resale platforms such as Poshmark, The RealReal and Depop
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are reporting real growth. New services such as Flyp are popping up in support of this booming industry, taking the hassle of listing products away from amateur sellers by pairing them with a pro to do it for them. This is helping to build a strong and resilient community of buyers and sellers as they go. So, that’s the shopper journey and the opportunity that circularity presents. To become a circular trailblazer, you can move along the path to purpose and master each loop at a time, or if you’re feeling particularly transformative, connect all three into a truly integrated and connected re-commerce model. As Greg Shell, managing director of Bain Capital Double Impact, says, “An economic model based on wealth concentration and resource extraction leaves most of the world overreliant on philanthropy and government” — and we’re all witness to how well that’s all turning out. If the engine of capitalism — fueled by social innovation and kept in check by the ever-more conscious consumer — can help create scalable solutions to genuine market opportunities and deliver sustainable revenues, then brands and retailers, working in partnership, can (and ostensibly should) become the most powerful instruments for change the world has ever seen. IQ ABOUT THE AUTHOR: Phil White is co-founder and chief strategy officer at Grounded World, a B-corp certified brand activation agency that specializes in activating brand purpose, social impact and sustainability at retail.
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ActivationGallery
In-Store Technologies 2.0 Retailers, often with the help of brand partners, are increasing the use of technology to enhance the in-store experience. Having been a while since we rounded up in-store technologies in this space, we thought it was time for an update, especially given the recent uptick of in-person shopping and experiential marketing (see “The New Consumer,” page 10). Digital endcaps and signage seem to be increasingly popular — a way of drawing shopper attention as well as personalizing the shopper’s experience at-shelf. Additionally, retailers are testing and introducing technology that will optimize store operations, perhaps also impressing shoppers with innovative technology. Here are some technologies that have caught the eyes of our editors. BY J AC Q U E L I N E B A R B A
Ahold Delhaize’s Giant Food deployed an in-store product engagement platform from Unilever and retail marketing platform Perch this year at select Washington, D.C.area stores. Located in the beauty section, the interactive endcaps include a glowing logo and illuminated shelves. Using Perch’s “lift-andlearn” technology, a digital screen automatically senses what products shoppers touch and responds with videos and information about that same product. The shopper doesn’t have to scan a QR code, touch a screen nor take any additional action. Perch’s digital engagement platform employs computer vision to detect product behavior at the shelf, anonymously detecting the presence of shoppers, what products they touch, and what content they engage with to bring in videos, ratings and reviews and product information for every product on the shelf.
Tally robots from Simbe Robotics roam the aisles at more than 60 Schnucks Market stores. The robots traverse the aisles up to three times daily, autonomously capturing on-shelf data, including inventory position, price accuracy and promotional execution. Schnucks piloted Tally in July 2017 and expanded it to additional stores in 2018 and then 2020. In the summer of 2021, the retailer signed a multiyear deal to roll out the robots to all stores, making Schnucks the first grocer in the world to use AI-powered inventory management technology at scale, according to a media release from the retailer.
Most Schnucks stores have a display outfitted with a “storytelling” tablet from North Carolina retail tech startup Looma. Looma’s program, known as Loop, highlights winemakers and brewers behind various BevAlc brands, such as Lagunitas Brewing Co., by playing short videos on the tablet. As of August 2021, 89 Schnucks beer and wine departments had a tablet installed.
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WonderBar
®
The System That Sells ™
Select Hy-Vee stores operate a large digital showroom wall in partnership with Designer Brands’ Designer Shoe Warehouse (DSW) at store-withina-store locations, which first launched in 2020. Conjoined, in-sync video screens play advertisements on loop and are positioned adjacent to the shoe display wall within the dedicated in-store shop, usually displaying 100 of the top-trending shoes of the season. Additionally, shoes on the wall can be ordered via a QR code from DSW.com and shipped directly to a shopper’s home or to the store’s DSW pickup locker.
Tray, Hook & Bar Merchandising System
Easy, Tool-Free Installation
Meijer rolled out an in-store product engagement platform for pet products from Perch and NestlePurina at 200 of the Midwest retailer’s stores in 2021. Powered by Perch’s “liftand-learn” technology, the interactive endcap display reacts to what specific item a shopper is considering by playing a video that shares information about Purina products and ingredients. This endcap also stocked other products from the manufacturer under a “Your Pet, Our Passion” header.
Multiple Bar & Plug-In Hook Styles
Adjust Tray Width from 13/4" to 17 1/2"
Revolution Beauty London has enjoyed secondary merchandising space at select Target stores via endcap displays outfitted with a blinking, larger-than-life eyeshadow palette. Employing a “you are the revolution message,” the faux eyeshadow palette has 18 multicolored squares resembling shades, such as orange, pink and blue with what looks like glitter. The display has lights behind each shade to randomly highlight select colors.
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COMPETIT IV NO
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Multiple-Depth Trays & Custom Sizes
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ActivationGallery CVS Pharmacy has rolled out a number of digital endcaps outfitted with LED screens and touchscreens, brightening up the store with illuminated shelves at new and revamped stores — an effort that began when the retailer introduced its growing HealthHUB format in 2019. The screens play various visuals and advertisements on a loop, mostly spotlighting different items found in the store, including private label and national brand products, and directing shoppers to CVS.com for an expanded assortment through a “touch to explore” call-to-action. Located in Rite Aid’s redesigned “Store of the Future” is an eco-friendly “Hydrate for Health” water dispensing machine that stocks reusable water bottles and lets shoppers fill them up. The dispenser is positioned near the checkout next to Amazon lockers for pickup orders.
Ahold Delhaize’s Stop & Shop in 2019 began piloting “The Breadbot,” a fresh breadmaking machine, at a store in Milford, Massachusetts. Also known as “The Mini Bakery,” the Breadbot mixes, forms, proofs, bakes and cools 10 loaves of artisanal bread at a time. The breads come in a variety of flavors; although availability varies based on demand. To operate it, shoppers choose how they would like their bread using the touchscreen on the machine. They can choose to have an unsliced, hot loaf that they can take home after baking in a provided paper bag or they can select a sliceable loaf and use the new self-slicer machine located adjacent to the Breadbot. Stop & Shop teamed up with the Wilkinson Baking Co. to install the machine.
L’Oreal’s technology incubator and its Yves Saint Laurent brand partnered with neurotechnology company Emotiv to create a branded device that helps consumers determine their perfect scent suited to their emotions. The partnership combines an Emotiv neurotech device with proprietary scents and algorithms by L’Oreal to create a fragrance consultation experience that connects neural responses to fragrance preferences through a multisensor EEG-based headset, which is a diagnostic test to monitor brain activity. The experience is available worldwide in Yves Saint Laurent flagship stores (see “In-Store Experience,” page 15) in multiple countries through 2023.
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Solutions & Innovations
From Twitter Ads to Al Activations A roundup of technology-driven tools that drive consumer understanding, engagement and conversion on every step of the path to purchase. BY B I L L S C H O B E R
In early April, Twitter announced it was testing three new formats it hopes to add to its advertising suite. “Interactive Text Ads” will present ads in a user’s timeline using a typeface that’s larger and bolder than the standard Twitter font. Additionally, a marketer can highlight (in 10 different colors) up to three words in the ad copy that, when clicked by scrollers, will drive them to a specific landing page. Mondelez International’s Oreo, Anheuser-Busch’s Bud Light and Wendy’s are among brands currently testing this format in the U.S. “Product Explorer Ads” will let advertisers showcase products in a form of 3D, enabling a user to swipe and rotate an image to see it from different angles. “Collection Ads” are designed around storytelling, enabling a brand to display a primary hero image with up to five smaller thumbnail visuals below. The Product Explorer and Collection Ad formats are being tested by New Balance, Lexus and Bose, among others, in the U.S.
Tangiblee, a Chicagobased immersive shopping and AR e-commerce platform, has been adding features to its “easy-to-deploy, no-code solution.” In 2021, it added Virtual Try-On capabilities for jewelry and watches, wall-art AR (to aid in room visualization), and the ability to process and onboard more than 5,000 new SKUs a day. This year Tangiblee is adding features that will auto-adjust product lighting and bundle furniture and home decor SKUs. Bill Schober is Editor Emeritus of Path to Purchase IQ. He’s been associated with the Institute since 1994, covering all aspects of consumer marketing with a special emphasis on the shopping experience. He welcomes any questions, comments, requests or pitches about Solutions & Innovations, and can be reached at bschober@ensembleiq.com.
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In late March, Perfect Corp., a beauty-tech solutions provider, partnered with the Mineral Fusion brand to launch a virtual try-on tool powered by its AI/AR technology. The tool will be available in Whole Foods stores, where shoppers can access the chain’s virtual try-on landing page through a QR code on in-store displays. Shoppers can try on shades using a preselected model image, by uploading a photo or even via live cameras. Trying on color cosmetics virtually is considered safer than onshelf testers.
This spring, DeepBrain AI began showcasing its AI Humanimbedded “AI Kiosks,” which employ human-based AI avatars that can guide users through thousands of possible scenarios and real-time interactions. Seoul-based DeepBrain AI, which has offices in San Mateo, California, recently deployed a first-of-its-kind AI “Store Klerk” in Korea’s first unmanned 7-Eleven. Built with deep-learningbased video synthesis and voicesynthesis-source technologies, the AI Human shop assistant can interact with shoppers conversationally, inform them about methods of payment, products and discounts, and can also respond to general inquiries.
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Solutions & Innovations
In April, Miami-based consumer branding group 100.co announced that a new skincare brand, Cay Skin by Winnie Harlow, is available at Sephora. Cay Skin was incubated using 100.co’s AI platform, which it says analyzes millions of retail data signals (such as product reviews), maps out connections and identifies market trends, brand sentiment and consumer preferences. In formulating Cay Skin, 100.co’s analysis revealed consumer preferences for a product that’s silicone-free, noncomedogenic, vegan, cruelty-free, certified CarbonNeutral, reef-friendly, dermatologist-tested and packaged in recycled materials.
This spring, Buymie, a mobile app operating in the U.K., began a test in Asda stores that lets customers ordering grocery delivery talk with their Buymie personal shopper out in the aisles. The customer can share preferences, make extra requests and, probably most important, give a thumbs up or down on substitutions in real time. The trial, built around onehour delivery, is limited to areas within a three-mile radius of the store. Until February 2021, Asda was a wholly owned subsidiary of Walmart, which still retains an equity investment and holds a seat on Asda’s board.
In mid-April, San Francisco-based Instacart debuted Caper Counter, an AI-powered point-of-sale system at Boston’s Fenway Park. This system uses visual recognition and AI technology for contact-free scanning of packaged food and beverages and a frictionless checkout. The company claims it reduces transaction times by as much as 65%. The AI, which combines computer vision and “Sensor Fusion” technologies, visually detects and identifies items based on shape, color, key features and sizes. Caper Counter, which is designed for retailers with a small physical footprint and low SKU counts, is one of several in-store technologies being introduced by Instacart as it evolves into a full-fledged “retail enablement platform.” In January, Shopic introduced an AIpowered clip-on device that it claims turns standard shopping carts into “smart carts.” The New York-based AI provider (with headquarters in Tel Aviv, Israel) says the detachable clip-ons turn a cart into a “sensor” that travels around the store collecting data on shelf analytics, heat maps, real-time planograms and active inventory feeds. Shopic says that because the clip-on always stays in the store, carts can be rolled out into parking lots. The clip-on charges on its stand so it doesn’t run out of power.
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Tel Aviv, Israel-based Oriient recently announced that it is partnering with Google Cloud on in-store navigation and proximity marketing. Oriient’s IndoorGPS system is unusual because it requires no beacons or Wi-Fi, instead integrating with a business’ mobile app using magnetic sensors that already exist in every smartphone. In March, Instacart began adding Oriient’s in-store navigation to its platform, testing it with 15 retail partners at 80 store locations in 17 states. Oriient claims its software-only solution can pinpoint smartphones and smart carts to specific locations in a store within 3 feet of accuracy.
In mid-March, San Antonio, Texas-based Vericast introduced a “Universal Coupon solution” that enables shoppers to download savings on their phones and redeem them at any retailer. This new “Universal Coupon Standard” was developed by The Coupon Bureau, a nonprofit working with the Association of Coupon Professionals, as a more secure and traceable format for manufacturers and retailers to counter coupon fraud. Vericast says it will deliver its Universal Digital Coupons on behalf of clients through its digital marketing portfolio, which includes display and video advertising, dynamic mobile and connected TV. Using the Valassis Consumer Graph, Vericast says it will integrate predictive intelligence to understand consumer behavior, making up to ultimately 7 trillion daily model calculations to optimize delivery targeting via a base map of 120 million U.S. households.
In March, Pathr.ai, an AI-powered “spatial intelligence platform,” introduced three new analytics tools. (A spatial intelligence system measures shopper movement via existing cameras.) Pathr’s “CPG Display Tool” analyzes dwell times, combines it with store-level data and generates data related to marketing promotions and overall categorymanagement efforts. The “True Conversion Rate Tool” analyzes groups (i.e., is it a family, a couple, random singles, etc.), so buyer-conversion rates are more accurate. The “Brand Effect vs. Location Tool” helps retailers assess how store-within-a-store brands are performing.
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In late February, Zip, a “buy now, pay later” (BNPL) payment processor, launched a new feature on its app that lets retailers showcase their newest deals. The feature, a “carousel” of offers and discounts, sits on the app’s home screen, enabling retailers to promote seasonal deals and campaigns. Sydney, Australiabased Zip, previously known as Quadpay, operates in 14 countries and lists Walmart, Amazon, The Home Depot, Best Buy, Apple and Nike on its roster of official “Zip Stores.” The app enables shoppers to buy an item now and pay for it in four installments, with the first being paid up front and the rest paid over six weeks. The app gives the shopper a level of “spending power” on Zip app orders (based on credit history and other factors), but it is not an open line of credit as each transaction is reviewed and approved separately.
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Insider Intel
New Kleenex Packaging Celebrates Conversations BY C Y N D I L O Z A
Facial tissue boxes, typically designed in neutral or simple patterns, have long been items that blended into the background. Kimberly-Clark’s (K-C) Kleenex sought to challenge this perception with the launch of a Target-exclusive tissue pack aimed at celebrating and sparking conversation about design, diversity, women and the planet. The Kleenex “Celebrate the World Around Us” SKUs rolled out to Target stores and Target.com in January, encompassing four 120-count tissue boxes in one of eight designs created by: • Nerissa Thomas, creator of Rose Merry Designs, from Niagara Falls, Ontario, Canada; • Sara Alfaraj, an artist of British and Middle Eastern heritage; and • Shruti Shyam, a visual designer currently based in New York. Varying by pack, designs in the collection depict vibrant images and scenes, such as a chameleon in a lush, green jungle background; multiple people with different skin and hair colors; and hands with henna tattoos or vitiligo. Appleton, Wisconsin-based Kay James Design helped the brand find the designers to create the packaging. Launching the pack in the first half of the year made sense for the brand as it coincided with Black History Month in February, Women’s History Month in March and Earth Month in April. “We wanted to find something that could really celebrate all of those moments,” says K-C’s Leah Boileau, associate brand manager, shopper marketing, adding that the pack will be
available through June. Considering the mass merchant’s shoppers and its exclusive apparel launches, Target felt like the natural retailer partner for this endeavor. “Target is kind of known for their exclusive launches, their design-centric collections,” Boileau says. “Their [shoppers] are looking for that elevated style. And typically, their [shoppers] are also a little bit more aware, socially conscious, [and] looking for their purchase to mean a little bit more and have a purpose behind it.” The brand’s target shoppers when developing the program were Millennials and Gen Xers who “fall into that style-seeker category,” Boileau says. “So by elevating our designs to stand out and work as ... [pieces] of artwork displayed in the homes or their spaces, we’re speaking to those style-seekers.” The retailer also was involved in selecting and narrowing down the final eight designs. “Target is really good at pushing their vendors to think outside the box and do something different. Do something exciting,” Boileau notes. “How are you going to change and grow the category?”
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INFLUENCER SUPPORT To drum up support for the packs, the brand teamed up with Target’s Roundel to tap the retailer media network’s Influencers by Roundel solution, powered by influencer marketing platform LikeToKnowIt (LTK), to identify 10 female Instagram influencers who could promote the packs in March, April and May. Influencers also were sent Target- and Kleenex-branded kits filled with a tissue box, coasters mirroring the designs on the boxes, and conversation cards asking questions, such as “Where do you find inspiration?” “Our theme is #TissueSessions, and it’s kind of like the name that we’re giving these conversations that people are having. You know, grab your pack of Kleenex, set it on the table, get into these discussions,” Boileau says. The brand also enlisted Instagram influencers Target Does It Again to promote the packs and host a giveaway awarding kits to followers. “We are super proud of this,” she adds. Elsewhere online, a brand page within Target.com plugged the designers and employed an animated leaderboard ad that spotlighted various designs in the collection. In terms of creative, Boileau says the page was “some of our best work. The way that Roundel was able to pull those elements off of the packs and integrate them into the brand page — into our [online ads] — was really cool.” The marketing plan also included an in-store endcap stocking the Celebrate the World pack and other Kleenex SKUs, an Instagram post from Kleenex, and a Target Circle digital offer in April. Minneapolis-based VMLY&R Commerce provided shopper marketing agency support from concept to execution. IQ
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Featuring special retailer guests in each episode, join us for a dialogue about current trends and strategies that are driving innovation for the next era of retail. In partnership with Great Northern Instore, the Path to Purchase Institute invites you to listen in to a discussion with executives from today’s leading retail chains, emerging brands and parallel industries as we dive into the issues impacting the evolution of retail.
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2022 WEBINAR TOPICS
FEBRUARY 9:
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Beer, buds and brew — how BevAlc, cannabis and coffee are changing the retail game
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Grocery Retail’s Winners and Challengers
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Get Well Soon: The boom of healthcare and wellbeing at retail
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