Display Research: Holiday Trends in Supermarkets

The holiday selling season delivers cheer for many -- but not all -- product categories.An emphasis on family feasting sparks an increase in merchandising activity for most edible product categories but causes a decrease for several heavily promoted items, according to data from Mosaic InfoForce, Chicago.Supermarkets increase their overall display activity in November and December to capture seasonal sales trends, which reflect a rise in demand for holiday-meal staples and baking products, along with a need for holiday-specific general merchandise. That causes a drop in display levels for some categories that typically enjoy strong support in other parts of the year, according to Mosaic's Display Express Insights in-store tracking service.The average number of product displays (beyond primary shelf placement) per supermarket rose steadily in the final three months of 2003, reaching a peak of 152 per store in November and December (compared with 139 in September). In general, display levels for edible products rose 10.5% to an average of 107 per store. At the same time, display allotments for general merchandise rose 28% to nearly 16 per store in December."There is considerably more clutter during the holidays," says Steve Frenda, Mosaic's executive vice president of sales and business development. "That, in some ways, is a good thing, as retailers take advantage of the increased traffic."Despite the increase in overall activity, the focus on seasonal items led to a drop in display levels among health & beauty products, which averaged nearly two fewer displays per store in December than they did in September.And not all edible categories were treated equally. Overall, the average number of displays for products classified as "holiday" by Mosaic increased from 62 to more than 83 in the October-to-December period, while display averages for "heavily promoted" categories dropped from just under 56 to a low of 50. The change was most pronounced in the weeks before and after Thanksgiving, when merchandising for such typically under-promoted categories as gravy mixes and stuffing peaked.For instance, the average number of per-store displays for baking ingredients rose from 2.9 in early October to more than 6 throughout December, while the average for bottled water during the same period slipped from 5.1 to 3.8. In addition, some products that typically receive prime display placement "are often being pushed back into secondary locations," says Frenda. In several cases, the drop in display activity for a particular category seemed to be directly related to a rise in holiday alternatives: Displays for beer and ale slipped as wine merchandising increased; levels for standard salty snacks fell in favor of holiday favorites such as meat snacks, trail mixes and fruit chips; and chocolate candy displays proliferated as merchandising for non-chocolate candy waned. "Manufacturers who display year-round should take note that if the retailer feels he can generate excitement around your events, he will respond," advises Frenda. "During the holidays, there are many more multi-category displays than you'll normally find. That is indicative of merchandising with a purpose."

Display Research: Holiday Trends in Supermarkets

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