P2PIQ_11-21 by ensembleiq

NOVEMBER 2021

Path Purchase

pathtopurchaseiq.com

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 THE HYBRID SHOPPER: IMPACT ON HOLIDAY 2021

INSIGHTS/MEASUREMENT:

TIPS AND BEST PRACTICES

ACTIVATION GALLERY: BEVALC CATEGORY

STORE SPOTLIGHT: FOXTROT MARKET

TRENDS IN PET CARE PRODUCTS

The humanization of pets and an adoption boom propels this $80 billion industry

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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

The Hybrid Shopper A study from 84.51 ahead of the holiday 2021 season reveals omnichannel shopping is here to stay.

Shopper Insights & Measurement Forum

SPECIAL REPORTS

The Rise of the ‘Fur Baby’

A summary of the key takeaways from the September event that focused on strategies for developing shopper insights and measuring impact at retail.

The humanization of pets and the pandemic-spurred pet adoption boom propels an $80 billion industry into an era of explosive growth.

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VO LU M E 3 4 | ISS U E 7

November 2021

DEPARTMENTS 6

A Reason to Paws

NEWS

Editor’s Note:

P2PI Member Perspective:

5 Secrets for Connecting Commerce

16 Oikos’ Karaoke Campaign A new omnichannel campaign from Danone North America aimed at Millennials includes a TV spot with a karaoke performance.

P2PI Member Spotlight

Brand Watch:

Red Bull, Kellogg

Activation Gallery:

BevAlc Category

17 ‘Sing It With Oreo’

P2P Toolkit

Spotlight: Retail Execution

Mondelez International’s program at Target featured unique packaging and Oreo filling tied in to Lady Gaga’s “Chormatica” album.

38 Going ‘Beyond Allies’

A program from the Network of Executive Women helps others, especially men, support women by becoming an effective ally.

Store Spotlight: Foxtrot

Solution Provider News

Personnel Appointments/ Editorial Index

Editorial Advisory Board Keith Albright, Post Consumer Brands Dana Barba, Coca-Cola North America Stephen Bettencourt, Peapod Digital Labs 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 &

42 Insider Intel:

Good Save

A line extension from Danone’s Two Good yogurt brand uses lemons that otherwise would have been wasted due to overproduction.

Winery, Landmark Vineyards & JNSQ Wines

Jessica Fair, The J.M. Smucker Company Tony Fung, Bob Evans Farms Patrick Hallberg, Apple Travis Harry, Home Depot Jose´ Raul Padron, The Hershey Experience Rodney Waights, Beiersdorf

Path to Purchase IQ (USPS 4568, ISSN 2688-4984 ) is published monthly, except Feb, April, July, Aug. , by EnsembleIQ, 8550 W. Bryn Mawr Ave., Ste. 200, Chicago, IL 60631. Subscription rate for the U.S.: $90 one year; $166 two year; $14 single issue copy (pre- paid only); Canada and Mexico: $108 one year; $194 two year; $16 single issue copy (pre- paid only);Foreign: $122 one year; $233 two year; $16 single issue copy (pre- paid only); $60. Periodical postage paid at Chicago, IL 60631 Copyright 2021 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

A Reason to Paws pre-approved, I happened upon a beautiful 9-week-old Doberman mix that I knew was the one. We drove two hours, across state lines, to pick up Shadow — our “emotional wellbeing investment,” as I dubbed her — and welcome her home. Just under 1 year old now, her personality is still emerging, but thus far she is vocal, sweet, destructive, rambunctious and fun-loving. She loves new toys, easily gets carsick, enjoys harassing her older dog brothers and has earned the nickname Destructor, as she plays the lead role in destroying All. The. Things. No toddler toy, flip flop, plate of food, couch cushion or dog bed can stand in her way. She is a bad girl. But she’s also our fur baby and we wouldn’t have it any other way. As you can probably tell — based off my extensive list of canine character traits and the attention I expend on these creatures — my dogs are part of the family. And I’m not alone in this thinking, as the humanization of pets has picked up considerable steam over recent years. This cultural shift in attitudes, mixed with the pet adoption boom of the pandemic, is resulting in a major growth period for the pet care market. On page 18, we dive into the pet care industry and some standout trends that pet products manufacturers should have on their radars as they prepare to meet the increased demand and anticipate the emerging needs of pet parents and their furry offspring. The pet care segment is evolving quickly (think new categories like wellness products and CBD for pets), and is estimated as an $80 billion category in the U.S. for 2021. By 2026, the global pet care market is forecasted to reach $241.1 billion. That’s a lot of kibble, collars and Kong balls — and, if my dogs have a say in it, plenty of plush toys with extra stuffing they can rip out and decorate the freshly swept floors with.

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Managing Editor Charlie Menchaca, cmenchaca@ensembleiq.com Associate Editor Jacqueline Barba, jbarba@ensembleiq.com Director/Member Content Patrycja Malinowska, pmalinowska@ensembleiq.com

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

I have a confession: I succumbed to a pandemic cliche back in January of this year. Approaching almost a year of pandemic life, we decided it was time to add a new family member — a four-legged one, to be exact. This wasn’t our first foray into pet parenthood. We already had two dogs, male, middle-aged and mellowed. Our OG pet, Jack, is a 9-year-old lab mix — a food allergy-prone, overly excitable, tennis ballloving, former eater of dry wall (and myriad other inedible substances). Then there’s Ollie, a Chihuahua mutt who is my constant companion — always underfoot, extremely overweight but constantly ravenous, and prone to the occasional “episode” and tripoding from an old hip injury in a past life. What’s one more, we thought, added to the insanity? When else will we all be here, schooling and working from home? If we want another puppy, isn’t it the perfect opportunity to welcome a new member to the brood? No outfit is complete without dog hair, right? Following our rounds of semi-logical, albeit biased, reasoning, we hopped onto the pandemic-fueled pet adoption bandwagon and began our search to give a third rescue a forever home. After scouring Petfinder.com for weeks and filling out every rescue’s adoption paperwork to be

Executive Editor Tim Binder, tbinder@ensembleiq.com

Managing Editor/Member Content Cyndi Loza, cloza@ensembleiq.com Editor Emeritus Bill Schober, bschober@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, April Miller, Samantha Nelson

SALES & P2PI MEMBER DEVELOPMENT Vice President, Brand Director Eric Savitch, esavitch@ensembleiq.com Associate Director, Brand Partnerships Arlene Schusteff, 773.992.4414, aschusteff@ensembleiq.com Regional Sales Manager Orlando Llerandi, 678.591.8284, ollerandi@ensembleiq.com Senior Director/Member Development Patrick Hare, phare@ensembleiq.com Director/Member & Business Development Todd Turner, tturner@ensembleiq.com Manager/New Member Development Katrina Lopez, 813.732.5281, klopez@ensembleiq.com

AUDIENCE

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Member Perspective Thought leaders from select Path to Purchase Institute partners give voice to the member perspective.

The 5 Secrets for Connecting Commerce BY R O B R I V E N B U R G H , T H E M A R S AG E N C Y

Over the past several years, our industry began using the term “omnicommerce” to describe what we do. It’s a helpful term, loaded with the notion that people can shop from anywhere and, as a result, all media is becoming shoppable. While the term itself feels like progress, we’ve recently been asking ourselves some critical questions: is our industry actually thinking more broadly — or more omni — about commerce? And, have structures and capabilities kept up with our desire for change? For too many companies, the answer to those questions is no. That’s because too many companies are applying an old model — one that’s brand-centric, linear and focused on awareness — to a new reality. The right approach demands that we show up in the right place, at the right time, with the right message to drive shoppers toward purchase. And it demands that we change our model to one that

is shopper-centric, dynamic and relentlessly focused on conversion. At The Mars Agency, we’re working with our clients to move beyond omnicommerce (which, at its worst, is just “showing up everywhere”) and achieve “connected commerce” (which, at its best, is true integration and alignment of all the tools of commerce marketing). On this journey, we’ve noticed five behaviors that are the hallmarks of companies who are advancing the fastest toward a better model of commerce marketing: 1. Connecting Experience Design: The best experience plans convey a cohesive brand message across paid, owned and earned media, and address both consumer and shopper insights. They curate and prioritize the right physical and digital experiences for consumers and shoppers. To get there, planning must begin earlier and with as much emphasis on mapping strategies up front as on creating the plans themselves. 2. Prioritizing Scalable Solutions: Winning companies are prioritizing bigger bets that enable end-to-end integration across brands, customers and drive periods. These fully integrated events get the complete power of the commerce marketing engine pointed in one direction and deliver stronger results than ad-hoc campaigns. 3. Integrating E-commerce: The first horizon in e-commerce was mastering the brilliant basics (product pages, reviews, etc.). The next horizon is ensuring that e-commerce content is connected to the

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broader commerce marketing shopper experience; that content changes dynamically to match seasonal changes in both brand campaigns and the instore environment. 4. Measuring with Purpose: The critical first step is aligning KPIs across the entire commerce ecosystem — media to content to search to shopper — to ensure collaboration instead of competition. To unlock even more, companies must build a culture that enables lean principles, such as rapid test-and-learn. 5. Hiring Differently: Advanced companies have realized they must attract more connectors and fewer specialists. There will always be specialty expertise required to deliver commerce marketing, but a collection of people and agencies whose knowledge runs an inch wide and a mile deep will never be able to deliver integrated solutions. Seek diversity of experience in every new hire and cross-train staff to ensure a breadth of capability throughout the purchase journey. We’ve been leaning into these strategies at Mars internally and with our clients, and we’re already seeing a difference in our ability to deliver integrated solutions that connect the physical to the digital, the message to the medium, and the marketing to the merchandising. With the right talent, the right partners and the right approach, the industry can reap the ultimate benefit of a connected commerce approach: better experiences for shoppers that drive more growth for brands and retailers. IQ

ABOUT THE AUTHOR Rob Rivenburgh is Global CEO of The Mars Agency, which creates breakthrough connected commerce solutions that influence the shopper journey from prompt, to purchase, and beyond. In addition to his leadership at the agency, over the last two decades Rivenburgh has served as a guiding force for the everevolving shopper marketing community.

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Member Spotlight A snapshot of industry leaders from the P2PI member community MISSY LUKENS

NEIL NORMAN

Senior Director – In-Store Experience 7-Eleven

Director of Loyalty & CPG Marketing Partnerships Food Lion

Biggest challenge in shopper marketing right now: Staying abreast of ever-changing technologies and tools to integrate into activations. What trend emerged during the COVID-19 pandemic that’s going to stay: Shoppers have established different mission trips and shopping patterns as hybrid work has become entrenched. 7-Eleven is shifting assortments and go-to-market strategies to adapt and better serve our customers’ evolving needs. Favorite hobby or new habit to come out of working from home: I have been going into the office for over a year, but I do enjoy the reduced rush-hour traffic.

STEPHANIE PLEHN

What trend emerged during the COVID-19 pandemic that’s going to stay: The importance of convenience by supporting your neighborhood grocery store and how it can best deliver the desired omnichannel customer experience. Favorite hobby or new habit to come out of working from home: Our neighborhood connects to the park trails, so taking lunchtime walks to break up the day for success.

DIANNE LE

Shopper Marketing Manager Johnsonville Biggest challenge in shopper marketing right now: One of the biggest challenges we are dealing with is how to replace sampling products. We are testing some innovative ways to get product into our consumers’ mouths, but we really miss the opportunity to connect people with our brand firsthand through sampling. What trend emerged during the COVID-19 pandemic that’s going to stay: Online shopping is here to stay. The methods used for fulfillment for pickup and delivery may evolve, but it’s definitely not going away. However, hybrid shoppers seem to have become the norm — some shopping online and some shopping in-store. Even “online” shopping folks have certain items they prefer to pick out themselves and actually interact with the product prior to purchasing. Favorite hobby or new habit to come out of working from home: I’m not sure if this is a hobby or not, but hanging out with my cats while I work has become very comfortable for us. I do a mix of in-person office time and remote work, and they definitely let me know when I’m not here all day that they missed me by never leaving my side once I get home.

November 2021

Biggest challenge in shopper marketing right now: Ensuring our entire CPG marketing partnerships playbook connects seamlessly across the omnichannel experience and providing the right analytics tools showing path-to-purchase conversion/return on investment.

Associate Director, Shopper Marketing Avocados from Mexico Biggest challenge in shopper marketing right now: One of the biggest challenges is the consumer desire for a seamless, personalized experience regardless of the location, in-store or online. As multichannel shopping increases, shopper marketers must continue to innovate in all aspects (product, packaging, messaging, process, technology, data, etc.) to deliver on the needs of consumers and retailers. What trend emerged during the COVID-19 pandemic that’s going to stay: The growth of e-commerce emerged as a pivotal channel due to the pandemic and it will be here to stay, especially for the produce industry where before hesitancy toward online purchases was more prevalent. It has also propelled the expectation of instant gratification and the redefinition of convenience. Continuing to understand consumers’ needs, motivations and behaviors will help companies be ready for changes in the future. Favorite hobby or new habit to come out of working from home: Not necessarily a hobby or habit, I’ve gained a new “working” skill as a barber/hairdresser because of the pandemic. IQ

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INTELLIGENCE REPORT:

SHOPPER INSIGHTS AND MEASUREMENT BY E R I K A F LY N N

ver the course of two days in September, attendees of the Shopper Insights & Measurement Forum (a virtual event) heard from various industry experts. The thought leaders helped attendees understand and implement effective strategies for developing the shopper insights needed to drive growth and accurately measure digital retail impact. The Forum brought together brands, retailers, solution providers and agencies to showcase how best-in-class organizations are staying ahead of changes in shopper behavior; what new strategies are being implemented for measuring program performance; and how industry leaders are developing growth-driving shopper marketing programs. Among the highlights was a presentation about the Commission to Standardize the Measurement of Shopper Marketing (SM2), which has launched an Industry Playbook. All Shopper Insights & Measurement Forum sessions remain available to members of the Path to Purchase Institute in the presentation library at P2PI.org.

A Funny Thing Happened on the Way to the Store: Tracking the New Shopper Journey Theresa Lyons, Senior Vice President, Strategic Planning, The Mars Agency Before the onset of the COVID-19 pandemic, marketers understood the importance of convenience for today’s shoppers. But as online grocery shopping — with in-store or curbside pickup or delivery — gained staggering momentum in the last 18 months, opportunities to engage with new omnichannel shoppers became even more critical for every marketer to explore. Nuances to shopping behavior, as it relates in particular to the shopping journey, became apparent, and new moments to influence shoppers came into play. The Mars Agency leveraged its Marilyn technology to better understand the nine “Moments of Impact” in the BOPIS and curbside shopping journey, including planning, shopping, submitting, picking/subbing, finishing, transiting, arriving, waiting and fulfilling. The journey isn’t vastly different during the planning and shopping phases, but once a customer hits the submit button, things change. Could the person fulfilling the order be the

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next evolution of influencers? Packaging becomes increasingly important, as are the opportunities marketers can seize to influence people during the latter stages. These are different than when a shopper is walking through the store or standing in a checkout lane.

Creating Customer Connection Rachel Bennington, VP of CPG, and Tom Donoghue, VP of CTV/OTT, GroundTruth The ever-evolving shopper marketing space saw changes no one could have predicted prior to the COVID-19 pandemic. GroundTruth adapted in real-time and began creating solutions for its customers in the form of location-based marketing efforts that can be applied across mobile, desktop, tablet, CTV and OTT to both increase and measure store visits and sales. The company used its location-based understandings and data points to determine where consumers were shopping, so it could help clients continue to drive advertising that was relevant to those shoppers while they were at home during the pandemic. The organization also enhanced its performance-based solutions to ensure it could provide valuable metrics that were proving sales and data points to shopper marketers. GroundTruth offers shopper marketers unique data sets for location-based, audience and foot-traffic attribution. As it sees an increase in outdoor activity, foot traffic and consumers settling into their “new normal,” the company uses its in-stock targeting and other capabilities to strengthen shopper marketers’ arsenals, especially when it comes to connectivity with streaming.

How to Use Experiences — Online and In-Person — to Build Long-Term Customer Relationships: A Conversation with Michaels Arts & Crafts and AnyRoad Daniel Yaffe, Co-Founder and COO, AnyRoad; and Jen Harness, Director of Content and Experience, The Michaels Companies Inc. The last few years have brought about the onslaught of the “experience economy.” Brands are jumping into this idea to leverage experiences, to engage with consumers and bring in new consumers, according to Yaffe, who chatted with Harness

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SHOPPER INSIGHTS AND MEASUREMENT FORUM OVERVIEW

about the experiential goals for Michaels stores. Developing and honing its programs is a priority, said Harness. Making sure those programs “show up” for the maker and fill what it is that they’re looking for is the main goal. Experiences drive loyalty, and Michaels works with AnyRoad to connect data and bridge between these experiences and its loyalty programs. The feedback it gets from its supersegment of “makers” is what drives the company to evolve in new ways. The Community Classroom Project allows the retailer to manage experiential marketing programs and turn them into valuable data. Through customized surveys that AnyRoad helped the retailer build — along with compiled data and execution tracking — the company was able to glean insights to create targeted marketing campaigns, promote classes and get students to interact with the brand.

Weaponry for 2022 and Beyond: Retail Media Mix Management Tammy Brumfield, SVP, Business Development, and Rick Abens, CEO & Founder, Foresight ROI With radical changes in shopping behavior and omnicommerce media exploding and collapsing the purchase funnel, shopper marketers have big opportunities ahead — but they don’t come without risks. The lines between traditional media, retailer media and trade promotion are more blurred than ever, making it difficult for marketers to truly understand what’s working. Standardizing financial measurement to deliver a “measure, learn and grow” culture — while employing a single metric to create a common language across an organization — will link actions to impact and, ultimately, drive higher profits. The digital shift is causing big changes in the marketing mix at a rapid pace. As retailer media networks continue to grow, retailers will be hyper focused on this growth since profits are estimated at approximately 80% versus selling groceries at 10%-20%. “The expectation and pressure to participate is greater than ever,” Brumfield said. “That’s a significant opportunity for CPG brands.” Her advice to brands: Learning is not only critical but significantly important — the data available to a brand “is gold.” Brand marketers should embrace the opportunity to learn and grow from retail media and the first-party data available to them. Measure it, collaborate and the result will be mutually beneficial.

The Media Dollars You Didn’t Realize You Were Wasting Julie Eddleman, CCO, DoubleVerify DoubleVerify pioneered the practice of digital verification with the aim of safeguarding advertisers’ media investment. Its mission today is to make the digital advertising ecosystem stronger, safer and more secure.

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Unprotected advertisers lose an estimated $66 billion to ad fraud each year, Eddleman reported, and more than 40% of all digital ads are never seen. “An ad that doesn’t have a chance to be seen, one that isn’t seen by a human or one that runs beside unsuitable content is not likely to drive business results,” she said. There are four main components of quality: 1. Ads must be free of fraud. 2. They must serve in a brand-safe and suitable environment. The content of the page has to align with the brand’s values. Nearly 90% of consumers believe it’s a brand’s responsibility to ensure they are running on safe content. Further, 67% say they will stop using a brand if it appears beside false, inflammatory or objectionable content. 3. An ad must be viewable to make an impact. 4. Ads must serve in the intended geography. This is particularly important for shopper marketing campaigns that are looking to drive customers in stores.

With radical changes in shopping behavior and omnicommerce media exploding and collapsing the purchase funnel, shopper marketers have big opportunities ahead — but they don’t come without risks. Building a Best-in-Class Insights Organization Phil DeConto, VP of Category Management and Shopper Insights, Ferrero USA; Deb Monahan, Director of Shopper Insights and Capabilities, GSK Consumer Healthcare; and Stacey Riecks, Market Intelligence Leader, GE Lighting, A Savant Co. With the goal of delivering the highest quality insights leading to shopper engagement strategies and delivering on retailers’ needs, panelists spoke about their teams’ roles within their organizations, and working with internal and external teams. “It really takes a village to accomplish this,” Monahan said. “We take these interdependent connections very seriously when we think about insights and developing our learning plans. We’re at the heart of the organization.” Monahan pointed to the growth of emerging technologies such as virtual reality capabilities and artificial intelligence in research and testing. DeConto added that the sooner we can use technology to “get the numbers” rather than investing human hours to interpret and act on the numbers, the sooner it will begin to add real value. And Riecks touched on two new tools that have increased accessibility to data.

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SHOPPER INSIGHTS AND MEASUREMENT FORUM OVERVIEW

Impacting Shopper Behavior in a Rapidly Changing Market Dave Schaff, VP, Research and Insights, Ibotta Insights As the fourth-most popular shopping app in the U.S. with more than 40 million registered users, Ibotta gives approximately $250 million in cash rewards back to U.S. consumers on an annual basis. The app captures all shopping data from its users, as soon as each purchase is uploaded via a retailer loyalty card or receipt. The team at Ibotta Insights, the market research vertical within Ibotta, leverages this data to answer and address business questions using custom insights and analytics to capture and track the subtle or dramatic shifts in consumer behavior, as well as to help clients target more effectively, ultimately driving volume and velocities for its partners. In 2020, 75% of consumers tried a new product or brand or a completely new way of shopping. And for most, it was all of the above. So how do we truly understand shifting behaviors? How do we adopt these behaviors into our retail strategies? Studies have also shown that 45% of stated purchase behavior is inaccurate, because consumers can have hundreds, if not thousands, of different trigger points that all lead to picking a product up off the shelf.

Understanding Success: Preliminary Findings from the SM2 Commission Bill Haveron, Group Director - Shopper Marketing, Mosaic; Steve Tobias, Executive, Media COE, IRI; and Laura Nicklin, VP, Path to Purchase Institute The Commission to Standardize the Measurement of Shopper Marketing (SM2) has launched an Industry Playbook, which gives brands and retailers the tools they need to better plan and evaluate shopper marketing investments as part of the overall media mix. Designed to illustrate the impact shopper marketing can have beyond incremental sales lift, the Industry Playbook established the vital role that shopper marketing plays in overall consumer engagement, said Nicklin. Additionally, three modeling pilots (still in progress) will provide the industry with further guidance around measuring effectiveness, including standards, benchmarks and best practices. Findings from those pilots will be unveiled in 2022. For more detail on the presentation and to download the Playbook, visit PathtoPurchaseIQ.com.

What People Really Want from Brands in This Post-Pandemic Moment Sarah O’Grady, VP, Brand Marketing, Valassis, a Vericast Business Moving into the post-pandemic era, the new opportunities for brands to connect with their audiences are many. But marketers need to take a close look at the rules of engagement and

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understand how to most effectively grab attention and convert potential buyers as they eat, shop and gather in new and different ways. Staying on top of consumers’ shifts in behavior has never been more important, and marketers need to expand their thinking because people’s expectations have changed, stressed O’Grady, reflecting on the 2021 Consumer Intel Report titled, “The Cautious Return to A New World,” from Valassis, a Vericast Business. While the pace of change The SM2 Commission's Industry continues to be “mindPlaybook is available for free download numbingly fast,” having at PathtoPurchaseIQ.com (type "Playbook" into the search bar). a finger on the pulse of real-time data is imperative to help close the gap between marketers and consumers. The study found that 70% of consumers wanted to see more ads with messages supporting local businesses, their top request, closely followed by a desire for companies to make them laugh more. “People are fatigued by the negative advertising approach,” O’Grady said.

Changing Habits — Getting to the Buy Eugene Adamson, Senior Shopper Marketing Manager, The Coca-Cola Company and Curt Munk, Chief Strategy Officer, VMLY&R Commerce As the world moved more toward contactless commerce over the past year and the way in which we buy products drastically changed, marketers have been forced to reassess where and how they reach consumers. A recent study showed that 55% of all U.S. consumers have adopted mobile wallets, compared to 38% prepandemic, according to Munk, who wanted to hear some of the latest strategies from Coca-Cola in his Q&A with Adamson. Adamson believes contactless payments are here to stay. As more of Coca-Cola’s retailer partners are investing in store or club pickup, the company has been using data to target homes that use a click-and-collect method of shopping. In the new reality, shopping is a 24-hour-a-day option. Some of the major club accounts have been heavily investing in their click-and-collect or club pickup, Adamson noted, and from CocaCola’s marketing perspective, that means reaching shoppers and consumers no matter where they’re located and at all times of day. IQ

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Brand Watch

Red Bull Activates at Kroger, Walmart BY P2 P I STA F F

Kroger and Walmart enjoyed overlays to a Red Bull campaign that activated the brand’s sponsorship of the Red Bull Solo Q League of Legends tournament. At Kroger, shoppers who purchased a Red Bull multipack in stores or online from Aug. 30 through Oct. 30 received a “Hextech Chest + Key” in-game reward for League of Legends, a video game developed and published by Riot Games. Shoppers redeemed the reward by uploading their receipts through a page within RedBull.com and linking their Red Bull and Riot Games accounts. In stores, floorstands merchandising

the multipacks plugged the incentive, depicting QR codes linking to the redemption page. Red Bull ran a similar incentive at Walmart, where shoppers who purchased a four-pack of 8.4-ounce Red Bull cans from Aug. 1 through Oct. 30 received a “Mystery Skin Shard” in-game reward. Shoppers redeemed the reward by uploading their receipts to a page within RedBull.com, almost identical to the page for Kroger. Account-specific signs affixed to Red Bull

Kellogg Touts Its Midwest Roots BY P2 P I STA F F

Kellogg Co. is shining a spotlight on its Michigan suppliers and sustainability efforts through a campaign with Midwestern mass merchant Meijer. A “Rooted in the Midwest” promotional page within Meijer.com showcases Kellogg’s “deep roots in the Midwest” by highlighting short biographies on Michigan farmers and suppliers Justin Krick and Mike Milligan. The page positions Krick as a sixth-generation farmer who (with his family) manages a 1,200-acre farm in Frankenmuth, Michigan, which grows wheat for the manufacturer. Milligan is a fourth-generation farmer helping manage 4,000 acres in Michigan’s Thumb region, where he grows white winter wheat found in some Kellogg’s SKUs.

The page also hosts a 40-second video depicting Krick eating Kellogg’s Frosted Mini-Wheats with his dad and great uncle, and communicating the importance of taking care of the land to keep it prospering for later generations.

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SKUs (that earned secondary merchandising space on a pallet in Walmart’s Action Alley) plugged the promotion. Both Kroger and Walmart incentives tied in to the brand’s national effort that centers on promotional 8.4- and 12-ounce cans that contain a code under the tab that shoppers could enter via RedBull.com/SoloQ to claim an in-game Hextech reward from Aug. 1 through Oct. 30. Redemptions also provided entry to a sweepstakes awarding a trip to the Solo Q 2021 global finals in Germany, a branded computer, an AOC monitor, as well as a mouse, keyboard and headset from SteelSeries. (AOC and SteelSeries cosponsor the tournament.) IQ

In stores, the “Rooted in the Midwest” message appeared alongside an image of Michigan farmland on account-specific endcap headers. A feature in Meijer’s Sept. 26 circular also plugged the same message while positioning both Meijer and Kellogg as Midwest-based companies that are “proud that local farms are a source of wheat for some of your breakfast cereals.” The campaign at Meijer is part of the Kellogg’s Origins program, which the manufacturer launched in May to provide farmers around the world with resources and education needed to improve their productivity while reducing greenhouse gas emissions and improving soil health. The program’s goal is to reach 1 million farmers with climate, social and financial resiliency programs by 2030. Both Krick and Milligan appear briefly in a video posted to Kellogg’s YouTube channel promoting the program. IQ

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Omnichannel Marketing

Oikos Campaign Sings Praises of Fruit-Filled Greek Yogurt BY C H R I S G E L B AC H

Oikos is singing the brand story of its new yogurt, which features 50% more fruit, in its new “Karaoke” campaign. In supporting TV spots, a woman expresses her longing for Oikos Blended Greek Nonfat Yogurt in a karaoke-club performance with revised lyrics to Chris Isaak’s “Wicked Game.” “We wanted to lead in re-energizing the Greek segment by exciting Millennials with a truly disruptive offering,” said Surbhi Martin, vice president of Greek Yogurt and Functional Nutrition for Danone North America. “We conducted a major study with Kantar to explore the consumer relationship with the yogurt category and found that Millennials simply weren’t as excited about it. New Oikos Blended Yogurt was crafted to help break the boredom of ‘healthy eating’ and design a product that enables more joyful taste experiences.” Although Danone North America holds 32.6% market share in the yogurt segment, it was seeing the category overall underperforming with Millennials seeking new and interesting taste experiences. “We decided to do something about it by creating a yogurt with 50% more fruit [than previous Oikos yogurts] and an over-the-top creamy texture,” Martin said. “Our Oikos Blended line is so thick and fruit-filled we are calling it a ‘Forkable’ yogurt.” To support the launch, the brand created a 360-degree omnichannel marketing campaign aimed at attracting Millennials back to the Greek yogurt segment. Targeted programmatic display banners clearly communicated the new products’ benefits and linked to digital offers or to a shoppable page where consumers could easily add the

products to their carts. Ads also encouraged shoppers to add the products to their digital shopping lists. And push notifications were delivered to in-store shoppers via their mobile device as they entered retail locations to drive them to the yogurt aisle and seek out the new Oikos products. The brand also partnered on several retailer-specific activations. For Kroger, this included pre-shop digital awareness through Kroger’s platform one month before the launch. In stores, shoppers were targeted with digital coupons, bunker displays with header cards, sampling, shelf talks and discovery demos in all Kroger stores from June 2021 through November. Out of stores, shoppers were targeted with display ads, boosted search and targeted on- and offsite ads driving people to Kroger. Oikos partnered with Walmart Connect in July to launch the new SKUs using a combination of search with high-reach and targeted ad placements throughout the Walmart.com ecosystem. Pinterest and offsite displays drove shoppers to an Oikos

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Blended shelf page for purchase. Oikos was also featured in two homepage lockouts on Walmart.com in September. At Albertsons Cos., the product appeared in stores with “New Item” tags for priority shelf presence and to communicate the brand message of “The Creamy One with the Fruit Chunks.” In Meijer, the brand drove in-store visibility with specific shelf signage calling out an Mperks offer of 65 cents off. And at Wakefern, the brand focused on instore demo sampling events along with dedicated endcap and cooler displays. Oikos launched the product in stores in June 2021, and rolled out a fully integrated marketing program in August across TV/FEP, online video, public relations and search designed to convey the key benefits of big fruit flavor, creamy texture and product desirability. The “Karaoke” ad spots debuted in September with other campaign elements running through November. “We’re still evaluating metrics to determine ROI, but our campaign was robust and truly allowed Oikos to stand out in the Greek yogurt category with bold, desirable assets and storytelling throughout the path to purchase,” Martin said. The launch represented one of the brand’s largest since the launch of Oikos Triple Zero in 2015. It leveraged learnings from Danone’s Two Good yogurt launch in 2019, including the importance of targeted marketing efforts with productcentric messages. Success for the campaign will be measured by increased Oikos brand and product awareness along with a rise in sales, increased trial, and in-store and online consumer engagement. IQ

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Omnichannel Marketing

Mondelez Goes Gaga at Target BY C H A R L I E M E N C H AC A

Mondelez International’s Oreo brand served up fun with Lady Gaga earlier this year through an engaging omnichannel program at Target. “Sing It With Oreo” brought the brand together with the famous singer, actress and philanthropist through limitededition cookies with unique packaging and green-colored filling that tied into her album “Chromatica.” Oreo launches a signature campaign every February leading up to national Oreo Cookie Day on March 6. Amidst the resurgent pandemic and volatility of life this past year, faithful cookie shoppers needed a particularly uplifting message while Oreo sustained the fun delight associated with the brand, says Jennifer Mason, customer director of shopper marketing at Mondelez. “Our insights showed us that limitededition products serve the playful initiatives of our brand and inspire impulse purchases that enhance basket size and frequency of purchase,” Mason says. Mondelez pivoted from heavy in-store activation used before the pandemic to building out an omnichannel experience with a stronger digital focus for this campaign. The company worked with

Target to incorporate a “Spend $15 on Oreo cookies, get a $5 Target gift card” promotion redeemable online and instore as a headline for its banner ads with Roundel, the retailer’s media network. The banner drove consumers to a landing page within Target.com that also contained a link to partner Breaktime Media’s “Sing It With Oreo” content engagement hub. The hub included a smart personality quiz delivering personalized “Oreogram” messages. From there, the experience offered digital, branded picture frames for social media, followed by effortless opportunities to add to cart, buy in-store and earn rewards. Mondelez designed its exclusive-toTarget Snapchat and Facebook ads with audio that embodied the campaign’s fun musicality, and creative that highlighted its core messaging — “Speak your heart. Spread kindness. And turn your voice into musical messages.” The manufacturer then turned to influencer company Acorn to connect and collaborate with influencers who posted sponsored content of the limited-edition Oreo product in action via Instagram. Mondelez agency partner VMLY&R Commerce also

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contributed to the campaign. The marketing efforts paid off with successful results. Shoppers embraced the interactive content with hundreds of thousands of engagements through Instagram stories, Mason says. Breaktime Media’s shopper engagement experience far exceeded benchmarks with an average engagement time of 4 minutes and 23 seconds, she adds. The Lady Gaga Oreos led the way as Mondelez’s top-selling online SKU in February 2021, driving almost one-third of all Oreo sales. Shoppers’ ultimate enthusiasm for engaging with the online campaign was clear, considering overall Oreo cookies saw triple-digit online sales growth from the prior February, Mason says. As a result of this campaign, Oreo cookies grew by double digits year-overyear while driving a substantial increase in category dollar share. “With strong positive returns for both the brand and retailer, along with unprecedented engagement by consumers drawn to our message of positivity and empowerment, this program was effective in the betterment of everyone who was involved,” Mason says. IQ

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THE RISE OF THE ‘FUR BABY’

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TRENDS IN PET CARE PRODUCTS

The continued humanization of pets and the pandemic-spurred pet adoption boom is propelling the pet care industry — an $80 billion category in the U.S. for 2021 — into an era of explosive growth. Here are four trends fueling the momentum of this growing category ... BY M I C H A E L A P P L E B A U M

istorically, pet care products have tended to experience growth rates that mirror those of the overall CPG business. That correlation was upended in 2020 when the pandemic-induced pet adoption boom resulted in a huge spike in sales of pet food, treats and supplies, a roughly $50 billion category that accounts for about half of all pet care industry sales. This year, the category’s momentum has shown no signs of slowing down. The overall pet care market itself in the U.S. is estimated at nearly $80 billion for 2021, as reported in a market study published by Global Industry Analysts in August (which also forecasted the global pet care market to reach $241.1 billion by 2026). And according to IRI, dollar sales of pet care products were up 7.1% for the 52 weeks ending June 13 — their highest growth rate in the past five years — and 8.2% for the 12 weeks ended Aug. 8. If there is a single overarching trend that is responsible for driving much of this growth, it is the ongoing humanization of pets. American consumers consider pets part of the family — a sentiment that has picked up steam and is growing, especially among Millennials who are forgoing or delaying traditional milestones such as marriage and having children. In fact, Millennials represent the largest share of pet owners in the U.S. by generation (31%), and more than three-quarters of female Millennials (76%) refer to their pet as their “fur baby,” according to Statista. These cultural shifts are causing people-focused marketing themes to increasingly spill over into the pet category — everything from premium food and sustainable packaging to new health and wellness-oriented products and PR initiatives. And marketers are clearly having fun with the trend. Petco delved deep into the animal psyche in a series of ads depicting humans as talking pets. Mars Petcare launched a set of matching human and dog meals,

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TRENDS IN PET CARE PRODUCTS Bestie Bowls, and leveraged a partnership between Postmates and a “pup-up” store to offer delivery of Cesar Wholesome Bowls, a new line of culinary-inspired wet food for dogs. Competition in the category is also heating up. National brands are winning out over private label, while club stores and dollar stores are showing strength relative to other retail channels. But mass and specialty stores outperform with younger shoppers, according to data from IRI, which may offer those retailers an edge going forward. Online, challenger brands continue to steal share from established market leaders, as the top 10 brands account for just 40% of e-commerce sales, according to 1010data. Read on to delve deeper into these changes and other highlights from the year’s top trends in pet care.

PETS ARE PEOPLE, TOO

With pet owners viewing their furry friends as an extension of the family, marketers are embracing the new reality and leaning into the term “pet parents.” Petco took the idea a step further this year by literally depicting humans as pets in its “It’s What We’d Want If We Were Pets” brand marketing campaign, which included TV spots, online videos and digital ads, as well in-store merchandising support from P-O-P signage. The retailer has increased its assortment of natural food brands like The Honest Kitchen, which has been featured prominently on Petco.com and in aisle displays at Petco stores. The San Diego-based company touts its use of all non-GMO ingredients and “human grade” products made from eggs, salmon, pumpkin and parsley. Plant-based pet food products also are on the rise. In June, Mars Petcare introduced Karma, a line of “plant-first” pet food packaged in recyclable bags that is comprised of more than 60% plant-based superfood ingredients like flaxseed and kale, as well as traditional pet food proteins like white fish and chicken. “Karma was created based on consumer insights and human trends in the plant-based food space. We found a growing demand for similar

Mars Petcare’s Karma line of plant-first pet food is packaged in recyclable bags.

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plant-based food options for pets,” says Craig Neely, vice president of marketing at Mars Petcare. The next wave of innovation may come from cultured or “cultivated” proteins that are sourced directly from animal cells, which eliminates the need to farm animals for food. The Berkley, California-based biotech startup Wild Earth, whose products include a dog treat made with cultured koji (a lab-induced fungus that purportedly contains more protein than steak), recently secured a $23 million investment from venture capitalists and famed promoter Mark Cuban. Organic, raw and human-grade pet food products are also some of the fastest growing segments online. Customers are embracing new, healthier alternatives from challenger brands like Full Moon, which has shown some of the highest customer retention rates and increases in share of new customers in the category, according to 1010data’s Market Intelligence eCommerce Panel, which tracks year-over-year growth from June 2020 through May 2021.

BRAND STRENGTH BESTS PRIVATE LABEL

Private label sales in general have been on a steady upward climb over the past decade, but it’s a somewhat different story in the pet category. Dollar sales of private-label pet products were up on average about 4.5% in the past two years, which is down from the increase of 6.5% in 2018 and 9.6% in 2019, according to IRI. Meanwhile, private label’s share of the category has remained flat, currently accounting for about 11% of all pet food dollar sales and 34% of pet supplies, according to Nielsen data provided to the Private Label Manufacturers Association. “The growth in pet care products is coming from premium and super-premium products, not private label,” says Joan Driggs, vice president of content and thought leadership at IRI. “Consumers are willing to pay more, because if your pet is happy, you’re happy.” Jim Wisner, a supermarket industry veteran and expert in private brands, says that retailers have struggled to keep pace with new pet product introductions from national brands, especially those on the premium end. “Major retailers have invested significantly in their private pet brands, and as those get better established, we should start to see a resurgence,” he says. “Retailers also can do a better job of getting store brands recommended [and sold] by veterinarians, which is its own distinct channel.” This year, Target launched a new private label pet food brand called Kindfull, which includes more than 50 items, while Walmart added a premium private label pet food offering, Pure Balance Pro+, with prices ranging from $10 to $30. Amazon has been in the space at least since 2018, when it launched its Wag pet brand. In addition to leveraging services (Walmart began adding in-store vet clinics back in 2019), brick-and-mortar retailers can cater to pet owners’ educational needs to help increase foot traffic and boost sales of store brands, says Anders McGillis, principal at the Toronto-based consulting firm Jackman. “Retailers naturally have the product mix and the ability to engage shoppers in a conversation about wellness for pets,” he says. That includes

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TRENDS IN PET CARE PRODUCTS

4 Target’s Kindfull pet food private label includes more than 50 items.

offering tips on everything from nutritional needs to an ideal walking schedule for dogs, he notes.

CHANNEL WARS HEAT UP

Sales of pet products are growing across all major retail channels — but there are clear winners and losers. Through the second quarter of 2021, total retail dollar sales in the category were up 7.1%, according to IRI, but the increases were largely concentrated in club stores (up 8%) and dollar stores (7.1%), with a second tier of gains in drug (5.3%), grocery (3.6%) and convenience (2.1%) channels. Mass/supercenter stores and specialty pet retailers, meanwhile, only managed to eke out gains of about half a percent. According to Driggs, part of the explanation for these disparities stems from changing shopping behaviors during the pandemic, which had a particularly strong impact on the pet category. “A lot of people took their stimulus dollars and invested in a club membership,” she explains. “Stores like Sam’s Club saw greater household penetration and people were spending a lot of money on deals. They appreciated the savings and because they were at home — especially in a category like pet care — it made sense to buy in larger sizes.” If mass and specialty retailers have an ace in the hole, it’s their strength with younger shoppers. IRI data shows a distinct channel preference among different generational cohorts. Younger Millennials in particular over-index with specialty retailers, while older Millennials favor drug and mass/supercenter stores. Grocery and convenience stores are the preferred channels of older generations, particularly older Boomers and Seniors. “Youngest pet parents are new to this game and going to specialty stores to learn,” says Driggs. “Specialty can offer a full breadth of services like grooming and finding a dog walker. You can get everything taken care of in one place and feel like you’re talking with someone who can help you.” Older Millennials focus more on the trip mission, looking for a quick fix or where they can find the best value, adds Driggs. Target is trying to give its pet aisles a youthful infusion with the addition of Wild One, a startup brand geared toward designconscious Millennials. Earlier this year, Target featured an endcap display with a selection of Wild One products, which include leashes, poop bags, toys, grooming items and supplements.

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CHALLENGER BRANDS FUEL BOOMING ONLINE SALES

The pet supplies category experienced overall online growth of 35% this year, and that figure was even higher in sub-segments such as pet snacks (45%) and cat food (43%), according to the 1010data panel. In pet care, the report noted, the internet is literally the home of long-tail brands. The top 10 brands in the food and snack segment accounted for only 40% of sales, and only two of those have a market share above 5%: Purina’s Pro Plan (7.2%) and Hill’s Science Diet (6%). Online customers are branching out from established market leaders to emerging brands like SmartBones, a rawhide alternative, and Halo, a holistic pet food brand that offers vegan options. Frank Riva, vice president of marketing at 1010data, expects the competition to intensify further as leading e-commerce platforms Chewy.com and Amazon continue to draw more search traffic and promote their own pet brands in search results on the sites. “The top five dog food brands experienced a very high conversion rate [of 88% or higher] when one of their products was considered, based on our analysis of the search terms employed,” he says. “But as the pet category matures online, just as with other categories, we can expect a lot more brand switching as customers get pulled away from their initial searches.” Given the fertile online environment, marketers are increasing their distribution of pet care products with e-commerce leaders like Chewy (which is the top platform with 44% market share in the category, according to 1010data) and Amazon. “Given the shift to online and e-commerce shopping spurred by the pandemic — we saw it jump from 16% of pet food category sales to 23% at the beginning of the lockdown period, and it has remained at about 25% since then — Karma is available to purchase on Chewy and Amazon, as well as in-store and online from Petco,” notes Neely of Mars Petcare. E-commerce is expected to drive future growth in the category, even if the annual growth rate decelerates as the pandemic wanes. Global e-commerce will account for 29% of overall category sales by 2025, according to Statista, while Packaged Facts predicts that e-commerce will surge to 35% of the non-food pet supplies market in the U.S. by 2025. For pet care marketers, those kinds of figures are “paws” to celebrate. IQ

Petco delved deep into the animal psyche in a series of ads depicting humans as talking pets.

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HOLIDAY 2021:

MEET THE

HYBRID SHOPPER How will consumers behave during the holiday 2021 season? A new study from 84.51 reveals omnichannel shopping is here to stay as we adapt to the ‘next normal’ BY J AC Q U E L I N E B A R B A

he pandemic spurred immense change in shopper behavior and the retail industry at large in 2020. Due to lockdowns and safety concerns as well as out-of-stocks in stores, e-commerce was unleashed — in many cases out of necessity. Consumers are now increasingly shopping online, but they are not giving up their in-store trips. A new kind of pandemic-era customer has emerged — the hybrid shopper. While shopper behavior is still evolving, particularly in e-commerce, it’s evident the online shopping segment has already created significant opportunities for brands that were quick to recognize omnichannel shopping as the “next normal.” With the 2021 holiday season here, it will be a test of marketers’ ability to create and offer the best experiences — both in-store and online — for a new era of hybrid shoppers that fluidly move across channels.

The Birth of the Hybrid Shopper Before understanding who today’s hybrid shopper is, it’s important to learn how they were born. Prior to 2020, the biggest hurdle for e-commerce was convincing grocery shoppers to try pickup or delivery for the first time. As restrictions eased and more shoppers headed back in stores, many of those who tried e-commerce fulfillment for the first time in 2020 have continued to use the channel, at least on occasion, according to consumer research and

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historical data from 84.51, the in-house data shop for Kroger. And even as more people have gotten vaccinated, safety concerns are lasting longer than many anticipated (partially due to the COVID-19 Delta variant wave). Barbara Connors, vice president, commercial insights for 84.51, says the spikes and falls in COVID-19 cases have a clear impact on shoppers and their decisions on where to shop. Even when shoppers started going back in stores, she says, hybrid shopping actually increased because some people who moved primarily (or only) to e-commerce during the height of the pandemic still shopped that way, at least part of the time. “We see a very tight correlation between concern and cases, and e-commerce usage,” Connors says. “This tells us that even in a post-pandemic environment, hybrid shopping will continue, because people have now started to use e-commerce and realized that you now have multiple methods to get your groceries that fulfill different needs, including convenience.” Before the pandemic, consumers mostly adopted e-commerce because of convenience, but now safety is a key factor.

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HOLIDAY 2021: MEET THE HYBRID SHOPPER

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HOLIDAY 2021: MEET THE HYBRID SHOPPER

And some consumers are still looking for the experience, which drives physical store trips. Instore shopping offers valuable experiences, such as talking to store associates, handpicking products and, especially during the holiday season, browsing seasonal merchandise for decor and inspiration. Additionally, consumers still choose to go into the store for high-stake items. According to 84.51 research, one of the highest-stake items is a Thanksgiving turkey. “Last year during the holiday season, those that were most engaged in e-commerce still disproportionately went to the store to get their holiday turkeys,” Connors says. A recent white paper from 84.51, dubbed “Holidays 2021: Who’s on your list? Why the hybrid shopper is here to stay,” combines recent studies as well as historical data from 84.51 Stratum (a platform containing shopper data from nearly 60 million households over the past four years) to paint a picture of the evolving shopper landscape ahead of the holidays. In 2020, 58% of shoppers went in-store, 24% shopped online for delivery and 86% picked up their groceries via BOPIS services, according to 84.51’s April insights study of 400 digitally engaged shoppers.

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Digital Shopper Motivations Who are the digitally engaged shoppers? There isn’t just one type, or even two, but there are commonalities and buckets to segment them in. In terms of what motivates digital shoppers, according to 84.51, they trend Gen X and younger, have higher incomes and have children. They are high-convenience shoppers and medium to high natural and organic shoppers. Beyond these common traits, 84.51 identified two distinct household types: the “digital champ” and the “digital dabbler.” Comparing the two, digital champs spent 20% more during the holidays than digital dabblers — and both spent significantly more than all other shoppers. The champs spent three times more on holiday pickup than the dabblers and 2.2 times more than all households, while the dabblers made two to four online shopping trips with pickup or delivery, and three or more trips in-store during that time. Connors indicates that even within this hybrid shopper space, there’s a spectrum. “There are people who use [e-commerce] more than in-store, or in-store more than [e-commerce], and that ratio is different and how you engage those shoppers should be different,” she says, adding that marketers must do analysis quickly — and often — because shopper behaviors are changing so frequently.

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HOLIDAY 2021: MEET THE HYBRID SHOPPER

For example, shoppers who recently adapted to e-commerce will change their habits over time, not only because of technology advances, but because of external factors like inflation. It’s also becoming easier for consumers to get their orders, as evidenced by retailers beginning to offer quicker delivery times.

Digitally engaged shopper habits How did digitally engaged shoppers shop for the 2020 holidays? What percentage of their shopping time did they spend on each? 58%

In-store

31% 24%

Delivery

Digital Tools According to that April study, most online shoppers are using digital coupons — and often. Of the respondents, 90% use digital coupons, with 40% using one on every trip. Additionally, online shoppers are utilizing other digital tools such as search, which drove the most engagement during the holiday period, according to 84.51’s research. Recent purchases, “start my cart” and browse functions from non-holiday to holiday weeks rose to the top as frequently used digital tools. Presenting products in multiple locations for shoppers to find is another way to accommodate holiday-specific e-commerce shopping behaviors.

12% 86%

Pickup

58% 0%

10%

20%

30%

40%

50%

60%

70%

80%

90% 100%

Source: 84.51 Insights study of 400 digitally engaged shoppers, April 2021

Personalization is also a way to appeal to busy holiday shoppers and build brand loyalty. CPG companies can boost items further up the personalized product feeds by bidding on and purchasing sponsored spots within retailers’ digital coupon programs, search functions and other placements to build greater visibility.

Pickup vs. Delivery Most e-commerce shoppers reported they used pickup during the 2020 holiday season and more than half also shopped instore, while just one in four used deliveries, according to 84.51’s April study. However, delivery dollar sales per household are on the rise, having increased 25% in the second half of 2020. Connors says shoppers prefer pickup over delivery because of smaller or no fees, they have more control over timing and running in the store for more, and they can usually use paper coupons. Pickup and delivery per household combined grew by 17% in the 2020 holiday season compared to 2019, meaning there were more opportunities to be in the e-commerce basket.

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HOLIDAY 2021: MEET THE HYBRID SHOPPER

Why are shoppers going in-store?

Typical meals prepared

The item I want isn’t in stock online

26%

Timing and schedule

18%

Other

15%

I enjoy the process of shopping

10%

To discover new items

10%

Promotion or coupons

The quality of the food is better

I enjoy seeing the special item displays

Source: 84.51 Insights study of 400 digitally engaged shoppers, April 2021

Only non-Hispanic foods Mostly foods from origin country or other Hispanic countries About half Hispanic foods and half non-Hispanic foods Mostly non-Hispanic foods

12%

14%

45%

60%

29% +16%

20% 5%

Every day meals

Holiday meals

Base size: All respondemts (1291) Q19: Thinking about the everyday meals you and your family prepare, what type of food would you typically say you have? Q20: And for the holidays you celebrate (i.e. Christmas/New Years/Lent/Easter, etc. would you say you typically have?

Omnichannel Is Key As COVID-19 restrictions have relaxed, in-store holiday shopping could see a boost even among digitally engaged households that still opt for an occasional in-store shopping trip (with item availability as the top driver in their decision). The convenience of e-commerce, particularly for pantry basics, will keep pickup and delivery in the mix, though. The balance shift could be more pronounced among digital dabbler households, per 84.51, as they return to their pre-pandemic habits, than among digital champs, who were more likely to have already shopped pickup or delivery before the pandemic hit. Plus, the holidays are likely to bring digital champs in stores. While pickup or delivery accounts for more than 71% of their overall shopping spend during the holiday period, it accounts for only 56% of their turkey spend, indicating even holiday shoppers want to hand-pick their turkey. “The in-store experience isn’t going away,” Connors says. “As marketers are focusing on e-commerce, they also need to make sure to engage customers where they’re at, and where they’re at today is both [online and in-store].”

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12%

Source: 84.51 qualitative study of 600 consumers utilizing the capabilities around December 2020 holidays, conducted in January 2021 in partnership with Dentsu.

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HOLIDAY 2021: MEET THE HYBRID SHOPPER

Kroger 2020 Zero Hunger Zero Waste campaign drives loyalty

Other Notable Trends With the pandemic spurring an increase in screen time, shoppers began flocking to social media sites, such as Pinterest, Instagram and Facebook, for inspiration (particularly during the holiday season), in addition to discovering while browsing aisles in-store. Savvy brands and retailers are now combining social and instore to target shoppers. For example, Procter & Gamble’s Old Spice recently used Snapchat codes from social media company Snap to give shoppers an augmented reality (AR) experience within store aisles. At Walmart, an endcap display stocking Old Spice body spray, lotion and body wash communicated the brand’s “Smell Ready for Anything” tagline while depicting a Snapchat code. Shoppers could scan using the Snapchat mobile application to unlock AR experiences. Kroger promotes festive and family recipes ahead of the holidays on its chain websites, linking to dedicated recipe pages with quick add-ingredient-to-cart functionality. The retailer encourages CPG marketers to understand how different cultures use their product lines and apply the Kroger Precision Marketing (its media network) advanced audience targeting tool to reach relevant households with Hispanic or Asian-American messaging, for example.

Non-Donator

80%

Donator

74%

70%

79%

60% 50% 40% 30%

26%

20% 10% 0%

16% Bottom Non-Loyal Risers

Top Loyal Retention

Source: 84.51 Holiday Donation Campaign Analysis for Kroger ZHZW, July 2021

Hispanic Shoppers/Ethnic Marketing Providing traditional ethnic recipes and a seamless path to purchase ingredients can be key, especially around the holidays. In an 84.51 study around December holidays in 2020, 60% of Hispanic shoppers said they typically prepare about half Hispanic and half non-Hispanic foods for everyday meals, but the holidays bring a greater focus on their roots and cuisine. “From a retailer and brand perspective, it’s really important that you get it right during that season, because these customers are specifically looking for authentic items,” Connors says. “Not only that, it’s also a time where customers are looking to try new dishes or expand their recipe portfolio, so it’s an opportunity as a retailer or brand to bring new flavors to those customers.” Connors’ advice for marketers is to double-down on content. “Creating content for on-site ad placements is a really relevant way to bring recipes and inspiration to customers as they’re building their basket,” she says. “It’s also really unique to e-commerce and not easily done in-store.” Additionally, the holiday season is also a common time for retailers and brands to give back by creating or leveraging an existing holiday donation program. But they’re not only good for the communities they help — campaign donations by shoppers are associated with increased long-term loyalty, 84.51 says.

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Based on data from Kroger’s 2020 Zero Hunger Zero Waste cause campaign, the retailer saw a 68% higher increase in loyalty among previously “non-loyal” donors compared to similar non-donors, and 7% higher retention of loyalty among “top loyal” donors when compared to similar non-donors.

Final Insights Unlike last year, people are excited to get together in person with friends and family for the holidays this year. An 84.51 study of 400 shoppers who have purchased groceries in the past year (conducted in May) found that 94% intended to gather for the Fourth of July holiday with the same number or more people than last year — an encouraging sign for the winter holidays as well. Spending is also steady (at the time of the study), and one in three will travel more this holiday season. During the 2020 holiday season, spend per household per week increased compared to the rest of the year. And without a doubt, the market will continue to evolve. “As e-commerce grows, you’re going to have more hybrid shoppers,” Connors says. “And they are not all created equal and need to be treated differently.” IQ

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ActivationGallery

BevAlc Category The beverage alcohol (BevAlc) category has been interesting to watch over the past couple of years. The retail market boomed in 2020, partly due to the pandemic-driven increase in at-home consumption, though sales of some segments including wine and hard seltzers have since waned slightly. As the market continues to expand, consumers are continually seeking new innovations that fit their lifestyle, such as low-calorie options, hard seltzers and teas, ready-to-drink alcohol beverages and even low- to no-alcohol drinks. Brand marketers aren’t letting up on their in-store retail efforts, but are evolving and expanding with more digital experiences to help tell their stories and engage shoppers. BY J AC Q U E L I N E B A R B A

An endcap display at a Niemann Foods’ Harvest Market stocked whiskey from Bardstown Bourbon Company and employed backlighting to illuminate a bottle from behind, highlighting the libation’s warm, caramel tones. Signs affixed to the display invited shoppers to scan a QR code to take a virtual tour of the brand’s distillery in Bardstown, Kentucky. The code directed shoppers to BardstownBourbon360.com to learn how the brand creates its whiskey. (SKUs from Chattanooga Whiskey Company and Stonewall Kitchen’s Tillen Farms Bada Bing Cherries were also merchandised on the display.)

E. & J. Gallo Winery’s spirit-based hard seltzer brand, High Noon Sun Sips, commanded attention via case stacks topped with a corrugate palm tree at Harvest Market. A sign affixed to the tree encouraged shoppers to text “sunsips” to a promotional number to save $3 with every eight-pack purchase from the brand (maximum of three), or $5 for every 12-pack from the brand (maximum of two).

Anheuser-Busch is elevated the Michelob Ultra organic hard seltzer it launched in March with sponsored Pinterest pins spotlighting an alcoholic “peach on the beach” recipe and inviting users to “Shop the recipe.” A swipe up functionality on the branded ad directed users to dedicated “peach on the beach” search results within Albertsons Companies’ Jewel-Osco website — without exiting the Pinterest platform. The search results comprised all the fixings for the recipe: a variety pack of Michelob Ultra’s seltzer, a bottle of Bacardi rum light and a jug of private-label Signature Select cocktail cranberry juice.

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Header cards affixed to case stacks of Fifth Generation’s Tito’s Handmade Vodka at Harvest Market tied in to the start of football season by inviting shoppers to text “titostailgate” to a promotional number for entry into a sweepstakes awarding “game day gear,” such as a tent or grill.

Proximo Spirits, importer and distributor of Jose Cuervo tequila in the U.S., brought a national sweepstakes to Walgreens for the Cinco de Mayo holiday via QR codes that appeared on dedicated floorstands. The codes linked to an online quiz asking consumers to vote for their favorite type of margarita, as well as enter a sweepstakes that awarded five $500 unspecified gift cards. The site also provided related recipes and offered a $10 coupon for the purchase of two qualifying tequila items at retail, or $5 off a drink or bottle purchase on-premise.

Circle K merchandised individual cans of beer and booze from AB InBev and Molson Coors using a large rectangular dump bin that was filled with ice and separated the productd by brand. Affixed signage communicated three “Pick Any” deals – two 2-for-$5 offers and one 2-for-$4.

For Pride Month in June, Albertsons Companies’ JewelOsco supported the launch of a limitededition, Pride-themed case of Molson Coors’ Vizzy hard seltzer using circular features and social media outreach. Touting a “Be vizzible for Pride” message, Jewel’s efforts spotlighted Vizzy’s new rainbow package, which was developed with Chicago-based design agency Soulsight and communicates a “Love your identity, live past labels” message. Marketing materials also highlighted the duo’s joint donation made to a Chicago-based nonprofit focused on LGBTQIA+ rights.

Target stores indirectly tied in to March’s designation as Women’s History Month by grouping wines from various manufacturers on a dedicated endcap and spotlighting the women who helped make them. Multiple shelf cards positioned on the endcap spotlighted founders and executives alongside their respective wines, including Chandon winemaker Pauline Lhote; Claudia Manetta, export manager at La Marc; and Erica Blumenthal and Nikki Huganir, founders of Yes Way Rose (imported by Prestige Beverage Group). The signage contained QR codes directing shoppers to web pages or YouTube videos to learn more about both the wines and the women.

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WonderBar

ActivationGallery

The System That Sells ™

Boston Beer Co.’s Samuel Adams drummed up support for its seasonal Octoberfest beer with displays at Meijer and Schnucks. At Meijer, the beer was stocked on pallet displays topped with a larger-than-life beer stein, while spectaculars promoted the lager at Schnucks.

Tray, Hook & Bar Merchandising System

TV screens at a Sam’s Club store in West Jordan, Utah, were showcased atop a pallet display merchandising Lieutenant Blender’s Cocktails in a Bag items. The screens played tiki bar-themed video tutorials using the cocktail mixes, which just require alcohol and water, as shelf trays pointed out.

Easy, Tool-Free Installation

Multiple Bar & Plug-In Hook Styles

Adjust Tray Width from 13/4" to 17 1/2"

Binny’s Beverage Depot in Plainfield, Illinois, recently united one of adult consumers’ favorite drink mixes: “Captain and Coke.” Near the store entrance, Binny’s merchandised 1.75 liter bottles of Diageo’s Captain Morgan in and on case stacks surrounding a Coca-Cola-branded rack stocking individual mini-cans from its flagship brand, Diet Coke, Coke Zero and Sprite.

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COMPETIT IV NO Since

1965

Multiple-Depth Trays & Custom Sizes

Official beer and wine sponsors of the PGA Tour’s 2021 Wells Fargo Championship, AB InBev’s Michelob Ultra and E. & J. Gallo Winery’s William Hill Estate in May erected a golf-themed spectacular at Kroger’s Harris Teeter in Charlotte, North Carolina. Case stacks from both brands, an “Enjoy like a pro” Michelob standee and an empty golf bag were positioned atop a branded green carpet near the meat section. Affixed signs plugged related brand efforts and the golf tournament.

O R STAT

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Technology Innovation

P2P Toolkit

A roundup of technology-driven tools that drive consumer understanding, engagement and conversion on every step of the path to purchase.

It’s been well over a decade since I wrote about the Visual Attention Service (VAS), 3M’s almost magical-sounding software that simulates how people perceive ads, enabling designers to ensure that viewers notice the most important information first and foremost. So, I was intrigued by a Business Insider article on a relatively new (since 2019) New York startup called Marpipe, “the world’s first independent MarTech platform that automates the creative testing process for brands & agencies.” Basically, Marpipe enables creatives to automatically test hundreds of variations of an ad by tweaking the copy and images, and then launching controlled multivariate tests on platforms such as Facebook and Instagram. According to the founder, Marpipe was originally built to solve problems within his own agency, but after showing it to companies like Adobe, he was able to raise enough money to deliver it to clients as a freemium platform. Marpipe also takes pains to differentiate itself from Dynamic Creative Optimization (DCO), a similar programmatic advertising capability, noting that DCO is used for creative scaling while multivariate testing with Marpipe is for creative testing.

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 P2P Toolkit, and can be reached at bschober@ensembleiq.com.

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In early August, Boston-based Reebok began rolling out “Courting Greatness,” a campaign focused on creating playable basketball spaces where they may not exist. The campaign employs a digital tool that utilizes augmented reality (AR) to help players map out court features on walls and fences in, for example, parking lots and alleyways. Using camera and measurement features already embedded in most mobile phones, the “Courting Greatness” AR tool enables users to map out (at least roughly) the dimensions of a court. Users stand 10 to 20 feet away from a surface, point the phone and line up where it meets the street. Then using chalk or tape, they can mark the boundaries of the court, including the free-throw line, 10-foot hoop and 3-point line.

In late-September, Redwood City, California-based Firework, a short-form video platform, announced a partnership with Albertsons Cos. that will make it the first U.S. grocer to utilize its platform. Firework, which has raised more than $100 million in venture capital, claims that this “shoppertainment” platform already powers more than 600 DTC brands, retailers and media publishers worldwide. In the first phase of a three-step rollout, Albertsons will deploy short video content and cooking experiences on its various banners, and then expand offerings and experiences in 2022. Firework clients can create, host and curate TikTok-like experiences designed to promote product discovery and swipeable, shoppable interactivity. The idea is to engage and monetize a community around these short-form videos yet also maintain autonomy and control over it.

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Over the summer, Austin, Texas-based Oveit launched a live-stream shopping solution, Streams.Live, in the U.S. The Streams.Live tool, which can be configured into any seller’s website, operates like this: Shoppers watch as a retailer or a spokesperson gives a live, interactive, online presentation of their products. Shoppers can ask questions, share thoughts with other users and, at the moment of choice, purchase with a click. Oveit claims that shoppers spend three times more time watching live content than pre-recorded video. The Streams.Live platform incorporates AI including language and mood analysis. Using this data, a retailer can obtain insights that enable them to better calibrate future sessions.

Shopping for your pet is becoming social, according to the developers of Puppy, a mobile app-based marketplace for use with Shopify sellers. It works like this: Shopify pet product merchants, once they’re vetted by Puppy’s developers, should list each of their products with a video, and offer a “group buy” discount option. Shoppers who use the app will then swipe through products, indicating what they like and what they dislike (a little like Tinder) while deciding what to buy. When a shopper likes an item with other shoppers, they’re then grouped together to buy it at the discount price. Puppy’s developers claim that the group discounts can range from 10% to 65%.

In late September, Amazon expanded its Halo membership program, introducing Halo View (a Halo armband with a screen); Halo Fitness, a service with hundreds of workouts with real-time individual performance metrics; and Halo Nutrition, recipes and tools for personalized meal planning designed to reshape the user’s eating habits. Halo Nutrition, which will roll out in early 2022, lets users browse a library of more than 500 recipes from partners including WW (formerly Weight Watchers), Lifesum and Whole Foods Market. Users can customize their choices to account for allergies and preferences, build a tailored meal plan, or select from one of seven curated menus tailored to the member’s personal preferences: classic, keto, Mediterranean, Nordic, paleo, vegan and vegetarian. They can then add the ingredients and groceries required to an existing Alexa shopping list, effectively enabling Amazon to consolidate all their grocery needs in one shopping space.

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One of the few bits of financial wisdom my father gave me was, “Never buy groceries on credit.” Still seems like sound advice, but a new app from San Diego-based Zebit, a “Buy Now, Pay Later” (BNPL) e-commerce platform, is turning that notion on its head. Zebit’s business model is to serve consumers with credit scores so low they can’t access traditional methods of payment financing — and it claims there are 120 million of them out there. Zebit is said to be the only e-commerce company that allows purchasers to make a 25% down payment on purchases across 100,000 products and finance the remaining amount over six months. This online merchant platform runs on an inventory-light model, acting as a distributor for 80 different drop-ship partners who pack and ship products on-demand for sales made through the Zebit platform.

People still queue up outdoors and overnight in long lines to buy everything from Krispy Kreme to Air Jordans. While it won’t help with donuts, a new app has been released for us less-rugged shoppers who’d rather track down difficult-to-obtain merchandise and limited-release items through e-commerce websites. Cardinal iOS — a $19.99 app (and at that price, I didn’t test drive it) — claims to help shoppers “secure every drop” by enabling quick checkout on certain websites (and also boasts that it outpaces the other autofill extensions and automation software that’s on the market). The user saves all necessary information in the app in advance and, when it’s time, it fills in the checkout page at “lightning-fast” speed. Cardinal is said to support all Shopify stores, Target, Dick’s Sporting Goods, Finish Line, Sneakers.com, Funko and Squarespace, although the developers stress that they do not work directly with any of the mentioned brands or retailers.

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P2P Toolkit

SPOTLIGHT: Retail Execution

In July, Braintree, Massachusetts-based Form, a field-execution platform, announced its acquisition of ShelfWise, a retail-shelf image-recognition platform. “ShelfWise by Form” will function as an integrated task-management and image-recognition platform to make in-store data collection faster and more reliable. Enabling reps to automatically capture images of products on mobile eliminates manual data collection and the compilation of lengthy reports on spreadsheets after store visits. An algorithm analyzes data at the brand, SKU and UPC levels, including facings, out-of-stocks, shelf share, and pricing and positioning. The company claims its technology can audit more display types (shelves, displays, cold boxes, drink coolers and menus) than its competitors. This past spring, Nicholasville, Kentucky-based Badger Technologies began conducting retail tests of its “UV Disinfect Robot,” an autonomous device designed to combat COVID-19 and other high-risk pathogens commonly found in grocery and other retail environments. Early testing of the robot, which uses UV-C technology, indicates that it achieves 99% inactivation of coronaviruses, E.coli, salmonella enterica and influenza A. It can decontaminate 40,000 square feet in about two hours. Badger Technologies, a product division of Jabil, also offers Retail inSight, a shelf-scanning robot that addresses out-ofstock, planogram compliance and price integrity issues.

Chalk up another win for our future robot overlords (just kidding): In late-August, St. Louis-based Schnuck Markets announced that it is the planet’s first grocer to utilize AI-powered inventory management technology at scale. The culmination of a multi-year, full-scale rollout has brought Tally robots from Simbe Robotics to all 111 Schnucks locations across the U.S. Schnucks first piloted the robots in July 2017. They traverse store aisles up to three times per day and capture on-shelf data, including inventory position, price accuracy and promotional execution. They are said to detect 14 times more addressable out-ofstocks than manual scans.

Eventually drones will be buzzing above us everywhere, both inside and out. That day may be even sooner than imagined in warehouse retail, according to FlytBase, a California-based company that manages “inventory drones” in Very Narrow Aisles (VNAs). Everyone wants to max out warehouse space, so FlytWare now has QRand barcode-scanning drones hovering day and night in VNAs as narrow as 6-feet wide and up racks as tall as 40-feet high. That’s where manual, and even most automated, inventory checking becomes impractical.

Over the summer, San Francisco-based RobotLAB launched a cost-effective, AI-powered robotics package for small and medium businesses, enabling them to automate repetitive customer-service tasks, such as providing product descriptions and recommendations, offering directions or delivering an automated receptionist service. RobotLAB’s package is integrated into the Pepper Robot made by SoftBank Robotics. Standing 4-feet tall, Pepper can perceive an environment and enter into conversation when it sees a person. A touchscreen displays content to highlight messages and support speech.

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StoreSpotlight

Foxtrot BY J AC Q U E L I N E B A R B A

Immediately upon entering the brightly lit store, shoppers view the cafe counter, which is positioned in the center of the store and offers locally brewed coffee, tea and libations, as well as food such as avocado toast and breakfast tacos. Foxtrot also offers a seasonal menu, crafted by an executive chef, designed with freshness and speed in mind, according to the company.

Foxtrot — not the dance, but the rapidly growing, Chicagobased grocery/convenience store chain and e-commerce marketplace — has emerged as a retail disrupter. Still relatively unknown nationwide, Foxtrot currently operates about a dozen physical stores primarily located in its hometown, plus newer locations in Dallas and Washington, D.C. It plans to add 50 more stores in New York, Boston, Miami, Los Angeles, Chicago, Houston and Austin, Texas, over the next two years. The urban small-format retailer weaves together the best of digital and in-store to create a unique omnichannel experience for shoppers. Signage throughout the stores promotes its proprietary mobile app and digital offerings. Plus, the retailer offers nationwide shipping of select items via one of the company’s latest ventures: Foxtrot Anywhere. The service is framed as curated gift boxes with a mix of its top-selling products as well as items that fit certain themes, such as a “Coffee Trio” and a “New School Pantry” box. Another key way Foxtrot differentiates itself is through its on-trend offerings that appeal to consumers’ (especially younger consumers’) evolving demands, including: • Products sourced from local makers and small businesses. • Frequently added trending products and categories like CBD-infused products. • Ready-to-eat and -drink offerings like charcuterie, personalized gifting and custom wrapping options. • On-demand delivery for locals. Path to Purchase IQ recently visited Foxtrot Market in Chicago’s Old Town neighborhood, located kitty-corner from iconic comedy club Second City and the Old Town Ale House, an infamous late-night bar. At 3,650 square feet (a typical amount for Foxtrot stores), the store feels digestible and doubles as a cafe, seating 50 indoors and another 34 outside, scattered among two patios.

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StoreSpotlight

The store includes a grab-and-go food and beverage section, featuring illuminated signage and shelf lighting. The section stocks everything from ice cream and frozen pizzas to fresh salads, hummus and charcuterie boxes. Individual canned beverages, including Recess’ CBD-infused wellness drink, are merchandised in the section. The company has evolved its culinary program, which inspires its grab-and-go food items that are a core of the store. (It recently hired Tae Strain as corporate executive chef.)

Foxtrot stocks beer and more than 200 wine bottles, both chilled and room temperature. Coolers (with “Fine Wines” illuminated signage) stock white wines, rose and champagne, while a gondola rack and wall shelf merchandise an assortment of red wines.

Foxtrot’s products for gifting occupy a key area in the store. A wall in the back merchandises a slew of trendy and locally made products, including Foxtrot merchandise and curated gift boxes, water bottles and mugs, candles, and various CBD and CBD-infused products from indie brands Not Pot, Ripple by Stillwater Brands and Hugs CBD.

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Foxtrot sells an assortment of privatelabel products (an area of growth) as it aims to disrupt the current idea of c-store fast food with an eye on cafe foods and premium packaged goods in playful, bright packaging. In the Old Town store, the retailer uses an endcap in the perishable snack section to merchandise new gummy packages from Foxtrot. This section is also where shoppers can find some national and mass brands merchandised.

Foxtrot’s delivery services are a key part of its operations and story. The retailer offers local on-demand delivery in as little as 30 to 60 minutes, and shipping nationwide on select products. Foxtrot actually launched as a digital wine and beer delivery service in Chicago in 2014 and expanded to brick-and-mortar after its founders said its customers were also hungry for food and coffee. Because of its roots, the retailer’s sales are still split, with about half coming from online sales. In addition to its own couriers, Foxtrot is available via DoorDash and other third-party services.

A notable part of the Old Town Foxtrot is a walkup to-go window, open on weekends. The limited menu comprises coffee and a small selection of breakfast tacos for the morning, as well as ice cream and Recess’ CBD beverage cans.

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Some Foxtrot stores call attention to the relatively large ice cream assortment with an illuminated “Ice Cream” sign above freezers. The retailer stocks mostly emerging and indie brands, including Columbus, Ohio-based Jeni’s. In addition, Foxtrot teamed with Los Angeles-based CoolHaus for exclusive dual-branded Foxtrot and CoolHaus ice cream sandwiches and novelty bars. The retailer even sells bundles of its own brand ice cream treats alongside a bottle of wine (private brand wine under the Kid Sister label).

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NEW Horizons

Beyond Allies: Building a Network of Support BY K A R E N J O N E S , N E T W O R K O F E X E C U T I V E W O M E N

sidelines rather than being true advocates and allies. Situational awareness is key, and demands training and preparedness.”

OUR PILOT

One of the most common things we hear at the Network of Executive Women (NEW), particularly from men, is that they just don’t know where to begin supporting women — or how to go about it in ways that really make a tangible difference. There’s always more to learn about allyship, and the conversation is changing all the time. What we do know is how important allies are to advancing women’s equity. Allies can become sponsors and mentors, and create change in policy and culture that have vast ripple effects on the lives of working women. We developed our own allyship program, Beyond Allies, to meet this key need. “Research reveals that men often struggle to recognize gender discrimination and harassment in real time,” noted Beyond Allies Facilitator Tom Foley. “While 77% of men report doing ‘everything they can’ to support gender equality at work, only 41% of women agree. … Men often remain on the

NEW piloted Beyond Allies in 2020 and early 2021 with 276 men and women of all seniority levels and across many organizations. To say it “hit the spot” for participants is an understatement. One VPlevel participant told us that it “gave [them] as a veteran leader the inspiration to coach and develop the next generation.” An HR partner stated that “the content and small group discussions were valuable in gaining insight into how I can effectively be an ally. ... It also gave me great perspective on how my male colleagues could be thinking about allyship and how I can support them.” Participants consistently mentioned how immediately actionable program content was — that they could take what they learned into the workplace and start making tangible change immediately. One manager stated that, immediately following the program, it “already has helped give me the language for a pay equity issue and [I am] looking forward to helping others in the future.”

ABOUT THE AUTHOR Karen Jones has more than 15 years of experience in organization effectiveness, leadership development, talent management, inclusion strategy design, and execution, change leadership and organizational process improvement. She serves as Head of Learning, Development, and DEI for the Network of Executive Women.

THE KEY TO ALLYSHIP Creating strong allies takes more than a single conversation. Our programming has been built to support men and women who want to do what they can at every step of their journey to taking real action. To build a network of strong allies at your organization, start with education, but make sure that education is backed up with real conversations and ongoing learning. One

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DEIB session won’t be enough to create momentum — it takes continuous pushing and learning, and a lifetime of listening. For more information about NEW’s Beyond Allies program, keep an eye on NEWOnline.org/BeyondAllies for news on our next cohort, and follow us on social media: @newnational. IQ

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Solution Provider News Outform Launches In-Store, DataGathering Sampling Experience Retail innovation agency and provider of custom merchandising solutions, Outform, recently launched PodDrop, an in-store discovery experience that allows brands to dispense product samples and gather shopper data, even after they leave the store. The platform creates a digital trail for every sample and integrates shoppers’ in-store experiences with their unique data. After consumers obtain a sample, brands can retarget ads or engage these consumers with a higher level of authenticity and targeted accuracy. PodDrop is a sleek, automated sample dispenser customizable to any type of brand and aesthetic. Shoppers simply scan a QR code depicted on the machine to share their contact information or their social media profiles. Information is verified to prevent one person from obtaining multiple sample giveaways. The machine then dispenses the product sample in a pod. Later, brands can retarget ads through the same precision as customer data acquired through online shopping.

Merge Acquires Perkuto to Expand Marketing Operations Marketing services firm Merge acquired operations company Perkuto to expand its platform capabilities and offer more managed services. As a major investment in customer relationship management, marketing automation and marketing operations, this deal enhances Merge’s martech platforms offering and ability to drive traffic and transactions for clients by orchestrating the rhythm of various platforms.

Based in Montreal, Perkuto helps enterprise and high-growth organizations, such as Facebook, Adobe, Sony Biotechnology and Siemens, expand marketing capacity, resolve integration challenges with Workato software and implement Marketo software-as-a-service best practices, so organizations can accelerate the value of marketing operations. The merger adds to Merge’s substantial growth, including its August acquisition of Blue Moon Digital.

Giant Co., Instacart Launch ‘Instant Delivery’ Chainwide Inmar to Acquire Aki Technologies Inmar Intelligence made a deal to acquire San Francisco-based digital marketing company Aki Technologies. The move will expand its retail media and personalized advertising capabilities for retailer and brand partners alike. In light of the pandemic and other recent catalysts for improved customer-centricity, consumers increasingly expect “aboveand-beyond” convenience and relevance from retailers and brands they engage with. The booming retail media category boasts superior consumer data as one of its foundational advantages. However, according to Inmar, most offerings lack the technology required to create personalized experiences at scale, especially when it comes to digital engagements like paid media and offers. The consummation of this strategic acquisition will enhance Inmar Intelligence’s retail data media solution with the addition of Aki’s patented personalization technology, designed to use rich media to create

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more relevant experiences, including personalized contextual advertising, personalized virtual circulars featuring digital coupons and price promotions, and personalized offer-based advertising. More importantly, Inmar’s offerings will enable the real-time measurement of these tactics in terms of their impact on in-store and online sales. Aki holds four personalization technology patents and does not rely on personally identifiable information. The company will arm Inmar with additional contextual advertising solutions for a privacy-compliant world.

As part of its omnichannel growth, The Giant Co., in partnership with on-demand grocery service Instacart, has launched “Instant Delivery,” providing shoppers with convenience delivery in as little as 30 minutes. Launched across Giant stores, the service is known as “Giant Instant Delivery” or “Martin’s Instant Delivery,” depending on the chain. Giant and Martin’s Instant Delivery join Instacart’s convenience hub, a new product feature aimed at streamlining the shopping experience. Approximately 20,000 items are available via Instant Delivery with a focus on convenience items, such as prepared foods, snacks, beverages, and other last-minute home items such as paper goods, cleaners and baby products. Shoppers can place orders on respective dedicated chain shops within Instacart.com. In the coming months, shoppers will also be able to access convenience delivery via Giant or Martin’s Instant Delivery’s web and mobile platforms, both of which are powered by Instacart’s Enterprise services.

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Solution Provider News

Adsta Makes Strides in First Year of Operation Since launching in August of 2020, media market platform Adsta has facilitated several successful campaigns with major CPGs. The joint venture from Webstop and ShoptoCook has partnered with brands such as Kraft Heinz, Quaker Oats, Kellogg’s General Mills, Clorox and Nestle. The partners say they use Adsta to place their products in front of millions of shoppers from independent grocery stores and expand their reach outside of major retailer networks. Adsta has gained more than 200 million digital impressions. In the remaining months of 2021, its leaders plan to further advance integration with third parties to enhance ad offerings and continue its mission to connect the biggest CPG brands with more than 40 million shoppers.

AdAdapted Launches On-Demand Advertising Solutions Shopping list marketing and insights platform AdAdapted has launched AdAdapted Direct. It is an on-demand, self-managed advertising solution created to help CPG companies understand what drives consumer decisions at grocery stores. AdAdapted Direct enables companies to develop creative ad types and choose targeting and track performance to take aim at current challenges marketers are facing, according to the company. This includes the availability of actual purchase results or self-serve ad options. Brands can track campaign performance daily via the “intuitive”

dashboard by seeing what else is on the list with their products while viewing alignment and the strength of relationships between any two products, brands, aisles or even the various departments. AdAdapted Direct enables brands and retailers to reach verified shoppers to drive purchase intent and build awareness. It does this by serving targeted mobile ads to AdAdapted’s exclusive network of millions of shopping list app users, while they are actively building their grocery lists. The ads include a frictionless button that adds branded products to their list via AdAdapted’s Add-It technology. The solution is designed to get branded products onto shopping lists, referenced in stores and into consumers’ shopping carts without interrupting the user experience.

NewsBreak Rebrands to Shep Digital

Southeastern Grocers Makes Another Retail Media Move Data science technology company dunnhumby is expanding its partnership with Southeastern Grocers to power SEG Connects, the regional grocer’s retailer media network. SEG Connects, powered by dunnhumby, will help CPG companies connect with SEG’s Fresco y Mas, Harveys Supermarket and Winn-Dixie shoppers across channels. By tapping into dunnhumby’s customer data science, SEG Connects aims to provide brand partners with data-driven shopper insights and the ability to understand marketing activity and sales attribution. Additionally, its closed-loop measurement performance system aims to drive return on advertising spend for long-term media buys. First launched in 2019, SEG Connects has continued to grow and evolve each year, developing new capabilities across the customer journey. This augmented partnership with dunnhumby will enable SEG Connects to create “connected

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personalized marketing” solutions to help brands meet their objectives more “efficiently and effectively” through channels their shoppers respond to most, at the right time, with relevant offers to fit their needs, according to a release from dunnhumby. Shopper insights will power the grocer’s media planning process to ensure the most is gained out of each campaign touchpoint.

NewsBreak Media Networks, a digital shopper marketing platform for the fuel and convenience channel, has rebranded to Shep Digital Solutions and launched a new website. The name and branding change better represents the company’s expanded portfolio of customizable digital merchandising services for convenience stores and other retail businesses, the company said in a release. Evolving where NewsBreak started, Shep aims to offer a more comprehensive fleet of digital shopper marketing solutions. Shep new website highlights the company’s core services, including point-of-purchase marketing automation and content procurement and production. Shep automates the media process and integrates it into the overall shopper marketing strategy with targeted messaging. IQ

Send your solution provider news – new products, projects, programs and technologies – to Charlie Menchaca at cmenchaca@ensembleiq.com.

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Personnel Appointments BRAND MARKETERS Kimberly-Clark, Irving, Texas Doug Cunningham, managing director of Kimberly-Clark Australia and New Zealand, was promoted to president of its Europe, Middle East and Africa consumer business. He is responsible for one of the company’s most dynamic and diverse regions, serving consumers in 120 countries with iconic brands across developed, developing and emerging markets. Cunningham joined the company in 2019. Cunningham’s increased role comes after a series of other key executive appointments earlier in the year, which included its first chief R&D officer. He will report to CEO Mike Hsu.

RETAILERS Ahold Delhaize USA, New York Dave Bass was named managing director of FreshDirect. He succeeds Farhan Siddiqi, Ahold Delhaize’s chief digital officer, who served as interim CEO since May. Bass is tasked with continuing to drive FreshDirect’s growth as a key pillar of the retailer’s omnichannel strategy. He recently led omnichannel merchandising support for the company’s Peapod Digital Labs division.

DAVE BASS

JASON BUECHEL

Walmart, Bentonville, Arkansas CFO Chris Nicholas was promoted to COO. He is responsible for all aspects of Walmart’s U.S. store operations and supply chain. This includes strategy, innovation, automation, store operations, distribution center and fulfillment center operations, last-mile delivery capability and real estate. Nicholas has more than 20 years of broad retail experience working in nine countries and serving in leadership roles with companies such as Tesco, The Salling Group and the Coles Group. Whole Foods, Austin, Texas COO Jason Buechel will succeed John Mackey as CEO once the co-founder retires in September 2022. Buechel joined Whole Foods in 2013 as global VP and chief information officer and was promoted in 2015 to EVP before being named COO in 2019. While being responsible for the

STACEY HAWES

CHRIS NICHOLAS

operations of all Whole Foods stores and facilities, Buechel also currently oversees technology, supply chain and distribution, and team member services.

SOLUTION PROVIDERS Catalina, St. Petersburg, Florida Stacey Hawes was hired as U.S. chief revenue officer of direct and channel sales. Hawes served as president of data practice at Epsilon for the last five years, during which time her team drove significant revenue growth for current and new digital product lines. She spearheaded the practice’s digital transformation, creating new marketing touchpoints, deploying new AI and machine learning algorithms, and establishing strong market distinctions for Epsilon’s data solutions. Hawes will report to Kevin Hunter, CCO and head of innovation. IQ

Editorial Index 1010data.................................................21 3M .............................................................32 7-Eleven .................................................10 84.51.........................................................22 AB InBev ................................... 28-29, 31 Acorn ................................................17, 42 AdAdapted.............................................40 Adsta ........................................................40 Ahold Delhaize USA............................39 Aki Technologies ..................................39 Albertsons Cos. ...................... 28-29, 32 Amazon ...........................................21, 33 AnyRoad ................................................12 Avocados From Mexico ....................10 Badger Technologies ..........................34 Bardstown Bourbon Co. ....................28 Binny’s Beverage Depot ....................31 Boston Beer Co. ....................................31 Breaktime Media .................................17 Cardinal iOS ...........................................33 Chandon .................................................29 Chewy ......................................................21 Circle K .....................................................29

Coca-Cola Co., The .......................14, 31 CoolHaus ................................................37 Danone North America ..............16, 42 Diageo ....................................................31 DoubleVerify ........................................13 dunnhumby ..........................................40 E. & J. Gallo Winery .......................28, 31 Ferrero USA ............................................13 Fifth Generation ...................................29 Firework ..................................................32 FlytBase ...................................................34 Food Lion ...............................................10 Foresight ROI ........................................13 Form .........................................................34 Foxtrot ....................................................35 GE Lighting ...........................................13 GSK Consumer Healthcare ..............13 GroundTruth ........................................12 Harvest Market .............................. 28-29 Hugs CBD ...............................................36 Ibotta ......................................................14 Inmar Intelligence ...............................39 Instacart ..................................................39 November 2021

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IRI .......................................................14, 20 Jackman ..................................................20 Jeni’s .........................................................37 Johnsonville Sausage ........................10 Kroger .......................................16, 27, 31 La Marc ....................................................29 Lieutenant Blender’s Cocktails in a Bag.................................................31 Marpipe...................................................32 Mars Agency, The .......................... 8, 12 Mars Petcare .........................................19 Meijer .......................................................31 Merge.......................................................39 Michaels .................................................12 Molson Coors ........................................29 Mondelez International ....................17 Mosaic ....................................................14 Not Pot ....................................................36 Outform ..................................................39 Oveit .........................................................33 Perkuto ....................................................39 Petco ........................................................20 Procter & Gamble ................................27

Proximo Spirits .....................................29 Puppy.......................................................33 Recess ......................................................36 Reebok ....................................................32 RobotLAB ..............................................34 Roundel ..................................................17 Sam’s Club ..............................................31 Schnuck Markets ..........................31, 34 ShelfWise ................................................34 Shep Digital Solutions (formerly NewsBreak) .....................40 Southeastern Grocers ........................40 Stillwater Brands ..................................36 Target .................................17, 20, 29, 42 TPN ..........................................................42 Valassis ....................................................14 VMLY&R Commerce ....................14, 17 Walgreens...............................................29 Yes Way Rose .........................................29 Zebit .........................................................33

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Insider Intel

Two Good’s New Line Reduces Waste BY C Y N D I L O Z A

Danone North America’s Greek yogurt brand Two Good sent influencers lemon trees in the spring to drum up support for its new line of yogurt made with rescued produce. Created to help tackle food waste, the Good Save line is made with imperfect or surplus produce through a partnership with Full Harvest, which runs a business-to-business online marketplace dedicated to this specific type of produce. The line’s initial offering was created using Meyer lemons that otherwise would have been wasted due to overproduction, a lack of secondary markets for the farmer or cosmetic blemishes. Target enjoyed an exclusive launch window for the product, which rolled out to the mass merchant’s stores and Target.com in December 2020, and nationally in May 2021. Two Good and shopper agency TPN teamed up with influence company Acorn to send influencers branded kits that included a Meyer lemon tree, a cookbook with a focus on reducing waste and reusable items, such as beeswax paper for food storage, spoons and bowls. The kits reached 10 influencers from March 20 through April 20 and, beyond delivering sustainable goodies and trees, communicated that the SKUs were “new and only” at Target.

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“Our goal with the kit was to bring our mission of reducing food waste to life, and share simple and easy ways the [shopper] can reduce food waste at home,” says Danone North America’s Erin Anderson, senior director, field shopper marketing and e-commerce. “This delightfully interruptive gift not only provided a fun surprise when recipients opened the box, but it gave them a roots-in-the-ground — or pot — example of the very thing we are supporting. This made for a fresh and inspiring series of unboxing videos from our influencers who helped spread the word about food-waste reduction.” The kits were part of a 360-degree program that considered the entire shopper journey with a focus on reaching shoppers on- and off-platform, Anderson says. Running from December 2020 to May 2021, the program included: • A brand showcase on Target.com that spotlighted the new SKU and shared video and educational content on food waste and Two Good’s partnership with Full Harvest; • Paid search, on- and off-platform display ads, ads on Pinterest and Snapchat, and influencer engagement via Target’s media network Roundel; • Social media updates from Two Good; and • A feature in the retailer’s March 6 circular. The target shopper was the “health conscious do-gooder,” who Anderson says is ambitious, lives by their values and has a holistic approach to health and wellness. Identifying the shopper insights that helped the brand’s strategy, Anderson says that the brand knows shoppers “are interested in products that help protect the planet and are looking for the products they buy to have an impact on their health and the health of the planet.” Good Save’s second flavor, pumpkin, began rolling out nationally in September. IQ

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P2PIQ_11-21

Articles inside

‘Sing It With Oreo’

Going ‘Beyond Allies’

Insider Intel Good Save

Oikos’ Karaoke Campaign