Time to solve the in-store predicament? Indicia Worldwide’s Hannah Wood has the details
When it comes to measuring return on investment (ROI) today, digital transformation has changed the rules of the game. Measurement and analytics are fundamental and ROI is the most crucial component of the marketing world. Given the huge amount of data available to us, you’d think measuring ROI would be simple. Digital campaigns have it down - for example with impressions, clicks and conversions.
But the reality is, measuring the effectiveness of in-store marketing is much more difficult. Shopper marketers’ lack of ability to qualify their data has led retail marketing to be viewed as poor-performing, when compared to other brand marketing activity. However, this isn’t the case.
In an ever-changing retail landscape where marketing budgets are under the microscope, accurately measuring the ROI of POS is critical.
The POS predicament is a two-part problem that needs to be addressed. How? Firstly, brands need to deploy assets into stores in a compliant way. Secondly, they need to make sure they’re measuring, and have the ability to measure, the impact of their POS.
We're POSitive
In parallel to measuring ROI, brands need to ensure their POS is being delivered and installed inside the store in a compliant way. When it comes to compliance issues, common patterns emerge: POS isn’t there, neither out on display nor to be found in the warehouse; POS is in store but remains abandoned in the warehouse and hasn’t been executed by store staff; POS is out in store but it’s in the wrong location - not in the place it was designed for; POS is out and in the right place but wasn’t out for the right amount of time. For example, the FSDU that was paid for, for 3 weeks, was broken down and thrown away after three days - instead of being restocked.
Measuring compliance and having the right insight would allow the retailer to make informed choices, as opposed to decisions based on visiting the two stores located nearest the head office - as is often the case. It’s this lack of visibility which is the real nub of the problem.
Our TRACE technology provides complete visibility of your materials across the supply chain and product lifecycle to improve performance and sustainability.
It's time to think POSitive
In a dramatically-changing retail environment, having the ability to accurately measure POS effectiveness and performance has never been more crucial. Brands and retailers are operating in a world where reconciling the seismic acceleration to e-commerce during the pandemic, with the operational and supply side of their businesses, means a change in mindset; making complex digital transformation decisions in much shorter time-frames.
Data modelling and analysis can accurately predict shopper habits, and according to KPMG, “businesses with deep capabilities in data, technology and supply chain” will dominate. Once again retail marketers are often waiting for their organisations to implement and complete large digital transformations, in order to access the software and insights their competitors are already deploying with success.
Most brands aren't able to influence what happens in physical stores. However, understanding ROI and embedding a test and learn culture allows them to have a different conversation with their distributor. Brands can work with distributors to reach sales targets by helping them understand how they’re able to shift more products - enabling collaboration and innovation.
Giving brands the ability to actually see whether the qualitative data - for example, the POS design resonates with the consumer and converts to sales, is a massive step change. This enables brands themselves to make better internal decisions about what POS they deploy, how they deploy it and how to optimise it. For example - understanding the impact of changing the creative, changing the message, or changing the type of the FSDU, so it resonates more with the consumers.
By understanding how to respond to the different needs of consumers, marketers are able to drive engagement, relevancy and growth. In turn, improving brands’ return on investments. Moving away from the ‘one-size-fits-all’ approach, means marketers are able to fine-tune exactly what works with different consumers in different locations - tailoring a brand’s marketing strategy and being more relevant to consumers by considering personal and regional differences.
At Indicia Worldwide, we can help you solve your ongoing ROI challenges. With 40 years of expertise in POS management coupled with 20+ years in data, technology and sustainability strategy, we work with global brands, activating their POS and print production to improve marketing performance and generate efficiencies across the supply chain. Enter RetailX - the only platform that allows your brand to measure the business impact and ROI of POS.