Sailing Upwind... With a Retail Media sail

Shopaholic attended an interesting breakfast seminar last week, put on by the AMI (Australian Marketing Institute) and panelled by a number of experts in the marketing, research and advertising game.

The prevailing sentiment of the addresses and discussion were;

1: Consumers are scared. Even the resilient Gen Ys are now worried about losing their jobs and the general state of the economy.

2: Luxury items are being crossed off the shopping list. Comfort and "cocooning" products are being added (ie chocolate, Playstations, pizza).

3: We are on the precipice of a "consumer revolution".

4: Marketing needs to be transparent, trustworthy and empathetic.

Here are some insights that were presented by Peter Harris, MD of research firm Colmar Brunton.
- 53% of people have cut down spending on luxury (non grocery) items
- Almost 1/2 have cut down on grocery spending
- 75% of people have changed the way they shop
- 58% of people not eating at restaurants
- 55% of people buy on price promotions
- Private label reaching an all time high
- Addiction to discounting can hurt a brand

So how can marketers stay in synch with shoppers without falling into the trap of brand-breaking trap of discounting?

Much of the banter following Peter's presentation revolved around the use of social media and online communities as a means to develop an emotional rapport with consumers and develop a two way relationship. "Deep conversations". Everyone seemed to agree that innovative use of online space was important for brands to develop long-term trust and equity.

Marketing must remind shoppers why they should spend more on their product rather than the cheaper private label next to it on the shelf.

Is opening up conversations online enough to foster this kind of brand support?

When a shopper is standing in the aisle of the supermarket or browsing through beer at the bottleshop, are they going to remember that deep conversation they had while they were sitting at their PC, rummaging through Tweets, Facebook updates, Youtube clips and blog posts?

There would have to be a pretty serious emotional bond there to maintain that connection all the way to cash register.

Maybe a trigger is required while in-store to remind shoppers of those conversations and why they "love" the brand in the first place? Something to remind them why, with so many other options on the shelf, purchasing these products made them happy.