Display Equals Discount

If it's on display, it must be on sale.That's the opinion of nearly two-thirds of consumers, according to a February 2003 Consumer Attitude Study conducted exclusively for the In-Store Marketing Institute by IMI International, a Toronto-based marketing research firm. Meanwhile, only 19% of respondents disagreed with the statement, "I assume when a product is in a special display in a grocery store that it is on sale." (An additional 17% were neutral on the subject.)IMI conducted the survey via telephone in the first quarter of 2003.Results show the effectiveness of promotional merchandising in attracting attention and sparking sales, while also providing hints into the variables involved in the success of a display.In terms of effectiveness: 59% of respondents agreed at least "somewhat" that displays "often encourage me to purchase a product I had not planned on purchasing"58% agreed that they are "more likely to try a new product if it has a special display"55% agreed that "displays often encourage me to purchase brands I have not purchased before."However, it's not just the display itself drawing consumer attention: nearly two-thirds (65%) of respondents said they were "more likely" to be attracted to a display communicating a discount offer or promotional message (rather than just holding product). And 51% said they were more likely to buy from an interactive display containing light, sound, or other device.While the breakdown of respondents who "strongly" or "somewhat" agreed with the lure of promotional offers was relatively equal -- 35% "strongly," 30% "somewhat" -- the difference between the response segments on the latter question was dramatic: Only 16% of respondents strongly agreed that they had a greater attraction to interactive displays. (Apparently, it ain't the motion, it's the meat.)A Deeper LookIMI undertook a demographic analysis of respondents who strongly agreed with each of the survey's questions by overlaying their answers with information on their gender, age, parental status, and purchase influences. Below is a look at the findings that resulted. Asked to respond to the statement, "I assume when a product is on display in a grocery store that it is on sale," 32% of the 300 consumers polled strongly agreed. The assumption was more pronounced among female respondents, 35% of whom strongly agreed, and young adults (18- to 29-year-olds), 43% of whom strongly agreed.Given those results, it's not surprising that 27% of respondents say that product displays "often" encourage them to make an unplanned purchase. Again here, the influence of a display is greater among women (33%) and young adults (35%).Those two consumer segments also are more likely to be influenced by displays when considering a new product: Asked to consider the statement, "I am more likely to try a new product if it has a special display," 27% of women and 28% of young adults strongly agree, compared with 22% of overall respondents. Overall, the results offer relatively familiar shopper profiles in which women--the primary household buyers--tend to pay greater attention to promotional activity than men; young adults are more likely to be swayed by displays and offers than their elders; and consumers overall are either focused on promotions or seem to have little interest in them.On that last observation: 59% of respondents who say they're more likely to stop at a display communicating a price discount or other promotional offer (as opposed to simply displaying product) also say they're enticed by instant-win promotions; 56% of those claiming that displays influence unplanned purchases are also attracted by instant-win games. Those percentages are well above the average response levels for those statements (34% and 27%, respectively).The relationship between displays and other advertising vehicles is less pronounced: Respondents who say their purchase decisions are influenced by advertising say they're more influenced by displays with promotional offers than without (43% to 34%). However, there is no significant difference in this group's tendency to make unplanned purchases (30% vs. 27%) or to buy products they've never purchased before (23% vs. 22%) because of a display.Among other demo-specific findings from the survey:Young and Restless--and Bored?Young adults are clearly more susceptible to marketing messages than older consumers. As noted above, they're more likely to be influenced by in-store displays. They're also more attracted by promotional offers on displays (41% vs. the 34% total) and by interactive displays: While only 16 percent of total respondents say they are more likely to buy from a display with lights, sound, or motion, 22% of young adults say they are.Older, Wiser--and Harder?Respondents aged 50 and older are a harder sell. They're less likely to make an unplanned purchase (17% vs. 27%) or try a new product (19% vs. 22%) because of a display. They're also less likely to make a connection between a display and advertising they've seen elsewhere (23% vs. 30%), and they don't as often assume that a product on display is also on sale (24% vs. 32%).Integrating the MessageAs noted above, 30% of respondents say that displays "often" remind them of advertising they've encountered elsewhere, with young adults (at 35%), more likely to make the connection. Women (35%) are reminded significantly more often than men (25%). The contrast is even stronger between respondents with and without children: 37% vs. 23%. Private Label Good EnoughA total of 22% of respondents strongly agree that there is "little difference" between the quality of private-label and brand-name products. Women, respondents with children, and adults 30 and over were more likely to agree with the statement. Speaking of "little difference," 16% of respondents say they have "accidentally" purchased a private-label product because they thought it was a national brand. Here, experience and time constraints seem to be a factor: only 11% of respondents 50 or over admitted to the mistake, compared with 21% of young adults; respondents with children--perhaps in tow when the gaffe was made?--were twice as likely to have grabbed the wrong package (21% vs. 10%).Ho-Hum on Interactivity?Across the board, the presence of discounts or promotional offers on displays has more effect than interactive components, according to respondents, with only 16% saying they're more likely to purchase from an interactive display. Not surprisingly, young adults are more influenced by interactivity than their elders, and respondents with kids are attracted more often than their childless counterparts. What may come as a surprise is that women (at 19%) say they prefer light and sound more often than men (12%).Occasion-based Thinking"I like products grouped together by use rather than in their own sections" was the question that received the highest percentage of "strongly agrees." In all, 35% of respondents said they'd prefer to have the hot dogs, buns, and condiments displayed together than in different departments. That total included 47% percent of young adults, 37% of women, and 39 percent of respondents with children.IMI International is a consulting and consumer research organization with more than 30 years experience in optimizing marketing investments for clients and agencies. The firm's U.S. office is located in Phoenix, AZ.To view survey results, click the icon in the upper right corner of this page.

Display Equals Discount

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