The start of a new year is a popular time in which people and businesses will reflect on what did and did not work in the previous year. For those involved in the consumer packaged goods (CPG) industry, much attention is directed at the holiday shopping season.
It’s no secret that the beverage industry has evolved during the past decade or so. With new demands from consumers, beverage-makers
have developed new products that provide function, low or no calories and flavor.
Manufacturers and retailers continually are searching for ways to optimize shopper satisfaction through category management. But while the overall idea remains the same, the ways manufacturers and retailers go about this process changes as trends evolve.
Annual survey of online shoppers reveals consumer expectations
February 24, 2014
Although retailers have historically used the “multichannel” approach to reach consumers, the rapidly growing focus on the consumer and integrated, customer-focused technology has paved the way for a “total retail” experience, according to New York-based PwC’s report “Achieving Total Retail: Consumer Expectations Driving the Next Retail Business Model.” Based on a survey of more than 15,000 online shoppers globally, the study reveals eight consumer expectations that call upon retailers to create a total retail business model transformation.
Similar to how college basketball coaches instituted end-of-game timeouts in order to strategize a “sure-fire” inbounds play during March Madness, retailers and brand owners are calling their own plays when it comes to merchandising. Retailers and brand owners have taken a methodical approach to different merchandising tactics for brands and categories in order to engage consumers and stimulate purchase behavior, experts note.
When it comes to category management, retail experts often agree that beverage manufacturers are on the leading edge of understanding assortment and placement of their products within retail outlets. Paul Weitzel, managing partner at Willard Bishop, Barrington, Ill., attributes part of the segment’s success to the direct store distribution (DSD) system used by many manufacturers.
Gordon Wade, chief executive officer of the Category Management Association (CMA), Wimberley, Texas, mentioned during an interview for this month’s Channel Strategies article an interesting observation about the industry’s explosive growth.