In today’s ultra-competitive environment, every business strides to stand out from the crowd – to be different and desirable.
We invest huge amounts of time and focus into our brand image, hoping that we will appear as the best alternative or offering to customers. We design our retail packaging and point of sale displays to be eye catching and unique. Is that enough to capture the minds and hearts of our audience?
Statistics show that approximately 40% of consumer spending is impulse purchases . In grocery and convenience industries, this is as high as 60% . There are a number of contributing factors, stemming from audience and product.
On the part of the product, competitive pricing is a major factor. The strongest influence, however, is advertising (brand recall), in addition to packaging that sets brands apart from the competition – often located in the same shelfing real estate as your product.
On the part of the buyer, research shows that, generally, females are more likely to impulse buy , but males are likely to spend more when impulse buying . Age is another factor: “under-21s are the most likely to make an impulse purchase,”  and are less likely to conform to a budget or a shopping list.
Cannot afford a whiz-bang TV commercial or a sizable investment in a packaging redesign? All is not lost. What really determines your long-term success is a little thing called brand connectivity. Brand connectivity is influenced most by product quality and the level of service delivered to customers.
For example, when buying a new car, we may be initially influenced by clever advertising and an emotional bond to the brand. After buying the vehicle, if sales service and support does not meet our expectations, we are less likely to buy that brand or from that dealer again. Furthermore, what will we tell others about our retail experience?
Hence, the value of a product in its entirety – the product itself, as well as service and support – that customers receive determines long-term success.
Price is not everything. Offering your customers brand value – other than just a brand name – will assure that they think of you next time they are in the mood for retail therapy.