and Jonathan Asher RETAIL REALITIES 18. BRAND=caa cr years, we've advised marketers to ensure their packaging “breaks through shelf clutter" and friitates shopping. Thats because our studies have consistently shown that visibility and shoppability are most predictive of in-market success. ‘Butall takes is one walk down a store asle—whether its a ‘Walmart in Texas a kiosk in Jakarta ora hypermarket in Paris—to realize that we need to take our advice one step further. Tb ensire success, marketers must not only optimize vitility and shoppubity Dut also how packaging actualy appears onthe shel. ‘We're speaking of course, about a fundamental and nearly universal truth: Packaging rarely appears as we'd like i to at retail. Instead, packages ae frequently knocked over, facing sideways or backwvands, partially obstructed, scrunched up or dented, or compromised by poor lighting or careless stocking. ‘What's more, many marketers willfully ignore these “retail realities” The situation sfequently dismissed as “beyond out contro” or ferent in every store” orsimply, “someone else's responsibility” Bat marketers can no longer afford to think and act this way ‘With mote than two-thirds of purchase decisions made in store —and with retailers increasingly focused on aggressively ‘promoting their wn store brands— ignoring “retail realities” is costing brands millions in forgome sles Tackling the situation becomes more manageable, though, when ‘marketers think more systematically about the realities ofthe retail environment. Packaging issues. 1» begin, there are the packaging issues—the result of packaging systems or structures that dori always translate well the esi environment (Consider rounded containers. They look great inthe conference room (or when viewed ina focus group) when they face directly forward, but, in-store these containers ae often turned off hagina.com serr09Se ee uC oe general disarray, packaging rarely appears on the shelf the way brands would prefer. center,which can greatly compromise their impact and communication, Bagged products can azo bea chalknge because they are likely to sg or get “scrunched”on shelé, which can impact quality perceptions and/or make Key copy points (claims, vatiety,etc,) unreadable Sometimes, «packaging material can beadetriment, cevenifit was expressly intended w aconsumer benefit. For example, many packages usea.clear window to allow the shopper to view the product. However, -ehen these windoweare damaged —as is kuown to Dbappen—the product becomes compromised and the result ea package that cannot beso ‘The visual impact of some color ie ako a packaging challenge, particularly white or black packs because they are far mote likely to beiafuenced by shelving. the quality of lighting and other elements of the retailenviconment, S. Thereare ako considerable iseues withthe way packaging s presented within acategory. Though marketers may notbeable to control the shelf, they can anticipate the diferent posibilities and design accordingly. For example, a packsge’s location on shelf has @ digest impact on how itis viewed by the shoppers ard, a2 a cesul, the importance of different panes. IPa package it typically placed on lower shelves (or within retigetstor wells. it is typically viewed downeard which makes the top panel (orld) the primary communication vehicle ‘The way acategory is organized also impacts packaging communication, In a.category where private label is interspersed with national brands, the primary packaging challenge often becomes one of differentiation and the juslification ofa price premium. In brand-blocked categoties, ‘there isa grealee need ta visually pre-empt the competition and facilitate product selection within the brand Another shelving concern relates to the manner in which the category is actually stocked, Por exam ple celailers often put se0709 wwuobrandpackacing com outas much product ae possible to save time and minimize stock-outs, Extea packages may be stuffed on shelf, leading to scrunchedJcompromised packs. Side or end panels may be featured (aa ie often the case in the pet aise), which placer grealec importance for these panels to “sell for the brand ‘There’ also the unfortunate reality that some stores may fall to accurately follow any prescibed plancgtam—and, thus. may not phcea brand's packsges in anticipated or desired adjaoencies $8UeS. On a broader ecale, there are other in-store variables that are cause for concern: product displays, signage and promotions, and retail environments are merchandising iseues that can all dramatically impact packaging effectiveness, BRINDrowas 19Oe | Pe ees eo nes Pen ene eens "The presence of product or point-of-sale displays, for instance, can dramatically impact the role of packaging, Consider the various technology categories, where products are often displayed withowst packaging. When the = shopper does reach for the ‘packaging, itis to quickly and clearly confirm ‘There i also the reality that in some categories (such as batteries product specifications and compatibility and OTC medications) there isa high likelihood of theft — (ise., Wil work with may sytem?) and packaging needs to limit this risk, without sacrificing shelf presence and communication. In these instances, its important that packages and in-store clisplays peacefully coexist, by complementing each other rather Of course, it can be overwhelming to try and consider each than replicating efforts We've found that displays can be effective ofthese challenges in your package development efforts indriving shopper attention and conveying a strong brand However, we've found that there ae typically two to three message, while packages are typically better suited to conveying _furdamental issues that drive the majority of problems in a specific product benefits and facilitating shopping/selection, given category. Thus, the solution is to identify the drivers in ‘your catogory-—and to explore packaging and merchandising. ‘Merchandising issues also include the many different innovations to mitigate these factors. physical impediment that can compromise packaging communication. These include shel “lps” that can block > FOUF Solutions. so where do youbegin to ensure that the bottom portion of a package, shelf overhangs that can your packaging is performing etectvly in the"rel world” obstruct the top-—or even freezer doors that often fog up Here are four suggestions: and hinder package viewing Start with retail audits. of cours, nearly Shopper issues. There are also underlying dynamics in all designers (and hopefully most brand teams) regularly the way shoppers interact with packaging, For instance, in many visit the store, particularly atthe outset of initiatives. The scent-criven categories (shampoos, fragrances, ar fresheners, question, however is how they conduct these visits. Do they :), shoppers havea desire to smell the product, Unless that just‘Took around? to get feel for the store environment, or need is adequately addressed via displays, scratch and snitt lo they systematically document these packaging, shelving, packaging oranother method, itcan lead to many opened and —__ merchandising and shopper issuesé Do they visit a range of retail rejected packages and, thus, high levels of shrinkage. channels to uncover the different challenges that exist in cu stores and convenience stores, as opposed to grocery or mass? Do they visit different countries and/or speak with global colleagues, to understand the differences across markets? ..a package’s location on shelf has a direct Yemgr'asncured woe vistchedlioensrea systematic and comprehensiveapproach to documenting the impact On how it is _ stalesssof theta emironment Wel aso recommend he s involvement of an inter isciplnary eam, inching members viewed by the shopper, _ cfmarteting, desig, sales research and package engineering i rit the Importance, smercites nay rc ment bingirs tighs'ommecs ult, the Importance Te erate wicks iar wot xy different pan thst ives enor managerene > 20 BRINDroacns wuwlbrandpackagingcom sepT09