In store marketing

From CEOpedia | Management online

In-store marketing - all types of marketing tricks and techniques which are using in-store factors to track consumer attention, which aims to result in driving sales. They are made to influence customers at the decision-making point to choose a particular brand or product. There are also out-of-store factors "(e.g., past brand usage, the brand’s market share, the consumer’s demographics, and shopping goals)"(P. Chandon, J. W. Hutchinson, E. T. Bradlow, S. H. Young 2009,p. 2).

Although, it has been examined that gaining in-store attention of customers is not always sufficient to increase sales.

In-store marketing examples

There is a lot of different types of actions taken by the stores which are considered as in-store marketing.

One of the most important techniques used in that kind of marketing is shelf management - it has been "concluded that the ability of a brand to capture and hold consumer attention can be a source of competitive advantage"(A. S. Atalay, H. O. Bodur, D. Rasolofoarison 2012, p.1). "For example, top - and middle-shelf positions gain more attention than low-shelf positions; however, only top-shelf positions carry through to brand evaluation"(P. Chandon, J. W. Hutchinson, E. T. Bradlow, S. H. Young 2009,p. 1).

Shelf space (e.g., end-of-aisle displays) have strong effects on brand sales. "One of the documented effects when choosing from an array of products is horizontal centrality: the option located in the center is more likely to be chosen"(A. S. Atalay, H. O. Bodur, D. Rasolofoarison 2012, p.1). It was also proven that people unconsciously tend to choose things in the middle then it comes to choosing among more than two things. According to this research, it was proven that brands placed in the middle - both horizontal and vertical are noted more and are to be chosen most likely. Because of that great brands have to pay retailers for the best which means horizontal and center places on store shelves.

Other kinds of in-store marketing usage are designed eye-tracking packaging of products, that meant to influence and convince a customer to purchase.

Also, big brands are using CSR (corporate social responsibility) to communicate with their customers, which is also considered a part of in-store marketing. "The main messages used concerned support for:

  • food producers,
  • Fairtrade,
  • fitness,
  • healthy living,
  • healthy eating,
  • organic produce,
  • sustainability,
  • employment policies,
  • charitable giving, and
  • support for local communities." (P. Jones, D. Comfort, D. Hillier 2007, p.17)

Advantages of In store marketing

In store marketing offers a wide range of advantages that can help businesses reach their target customers and increase brand awareness. Some of the advantages include:

  • Increased visibility: In store marketing can help increase the visibility of a product or service in a physical store, as it helps grab customer attention, making it easier for them to purchase the product.
  • Cost-effectiveness: In store marketing is relatively cost-effective compared to other conventional marketing strategies, as it involves minimal costs in terms of advertising and promotions.
  • Customer engagement: In store marketing enables businesses to create a personalized, interactive experience for customers, enabling them to engage with the product and brand, increasing the chances of a sale.
  • Data collection: In store marketing also offers businesses the opportunity to collect customer data and analyze customer behavior, allowing them to understand their target audience better and tailor their products accordingly.
  • Brand loyalty: In store marketing also helps build brand loyalty, as customers who have a positive experience with a brand in a physical store are more likely to become repeat customers.

Limitations of In store marketing

In store marketing is a popular tool for businesses to boost their sales, however it does come with certain limitations. Below are some of the limitations of in store marketing:

  • Cost: In store marketing can be expensive, as it requires businesses to pay for the physical space, as well as for advertising materials such as posters, banners, and displays.
  • Reach: In store marketing is limited to the customers that visit the store, which can be a very small demographic.
  • Limited flexibility: In store marketing is not as flexible as other marketing strategies, as businesses are limited to the store’s physical space.
  • Lack of data: In store marketing does not provide businesses with data about customer’s viewing and purchasing habits.

Other approaches related to In store marketing

In store marketing is a great way to reach customers and drive sales directly. Other approaches that can be used in combination with it to increase the effectiveness of a marketing campaign include:

  • Digital marketing: This involves using digital channels such as social media, websites, and email to reach potential customers and drive them to stores.
  • Sponsorship: Companies can partner with other businesses or events to gain visibility and drive people to their stores.
  • Experiential marketing: Companies can create unique in-store experiences that are more memorable and engaging than traditional marketing methods.
  • Pop-up stores: Companies can set up temporary stores in high-traffic areas to increase visibility and drive sales.

In summary, in store marketing is only one of many approaches companies can use to increase visibility and reach customers. Other tactics such as digital marketing, sponsorship, experiential marketing, and pop-up stores can be used to further increase the effectiveness of the marketing campaign.


In store marketing — recommended articles
Below the line advertising — Types of advertising — Advertising media — Buzz marketing — Hunger marketing — Differentiated marketing strategy — Point of purchase — Advertising message — Benefits of social media marketing

References

Author: Barbara Fidelus

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