Increasing Shopper Satisfaction through Contemporary Merchandising Strategies
Boosting Shopper Loyalty and Basket Size: Hillphoenix's Agile Merchandising Strategy
In the rapidly evolving world of food retail, staying ahead of the curve is crucial. One company that has been a trusted source for merchandising insight and inspiration for over 138 years is Hillphoenix.
Hillphoenix offers a one-stop resource hub for merchandising trends and inspiration, providing food retailers with actionable takeaways, informative reports, real-world photos, trend reports, video tips, and blog posts. This wealth of information helps retailers stay ahead and implement a flexible and agile merchandising strategy.
This strategy is key to boosting shopper loyalty and increasing basket size. Here are five approaches retailers should focus on:
- Integrate Local and Regional Sourcing: Highlighting local brands and products through storytelling, dedicated signage, and digital content enhances shopper trust and community connection. This boosts loyalty by associating products with quality, origin stories, and regional pride. In-store displays and e-commerce features like location filters or QR codes bring local flavor to both physical and digital shopping experiences.
- Leverage Data-Driven, Real-Time Execution: Use real-time shelf data and signals to optimize product availability and reduce out-of-stocks, especially in sensitive categories like dairy. Agile, targeted responses improve shelf conditions, encouraging larger baskets and repeat visits by ensuring shoppers find what they want.
- Optimize Space with Strategic Product Placement (Planograms): Employ dynamic and strategic planograms to balance assortment depth and breadth, including techniques like scrambled merchandising (mixing unrelated products) to surprise and entice customers. Well-designed shelving not only improves product visibility and accessibility but also creates engaging shopping journeys that can increase basket size.
- Adopt Technology for Dynamic Pricing and Inventory Management: Implement electronic shelf labels (ESLs) to enable real-time pricing adjustments based on demand, competition, and product freshness. This creates a more responsive pricing strategy that drives sales and reduces waste. ESLs also feed live data into supply chain and inventory systems, improving operational agility and ensuring shelves remain stocked with optimal products.
- Use Shopper Behavior Analytics to Personalize Promotions: Track in-store customer movements and shopping patterns to deliver precision-targeted promotions that encourage additional purchases and reinforce brand loyalty. Personalization at the point of sale increases relevance and basket size.
Hillphoenix's merchandising strategies incorporate current trends with tried-and-true tactics. Products like the PTD-R-H Combination Service Hot Dome and Self-Service Refrigerated Display, which pairs hot-and-ready options with easy refrigerated sides in one spot, exemplify this approach.
In addition, Hillphoenix's self-contained refrigerated cases, such as the PF Self-Service Multi-Deck, offer merchandising flexibility and are easy to move around the store. These cases come in 4-foot and 6-foot lengths and use natural R-290 refrigerant to comply with emissions regulations.
The company's expertise in merchandising is evident in its past publications, such as the successful book "Modern Food Merchandising," printed in five editions. Hillphoenix has also been providing full-store refrigeration solutions since 1887, including natural CO systems that seamlessly integrate with an extensive portfolio of customizable cases.
Shoppers have more options for purchasing groceries and are wary of inflation, leading them to shop around. A good in-store experience is crucial for shopper loyalty, with enticing, low-effort options and encouragement of impulse buys being important factors. About 75% of grocery store shoppers make purchasing decisions on the spot in-store.
Retailers can explore all that Hillphoenix has to offer on their website, Hillphoenix.com. The company's GMD-R Multi-Deck Service Refrigerated Display Case, for instance, offers full-view visibility and illuminating LED lighting.
In summary, retailers should blend regional/local product storytelling, real-time inventory and promotion management, thoughtful assortment and display planning, and technology-enabled dynamic pricing and shopper insights to create a responsive, engaging retail environment that drives stronger customer loyalty and larger baskets.
- By featuring locally and regionally sourced food-and-drink and home-and-garden items through storytelling, dedicated signage, and digital content, retailers can strengthen shopper trust, foster community connections, and boost loyalty associated with quality, origin stories, and regional pride, thereby enhancing both physical and digital shopping experiences.
- Implementing technology-driven solutions such as electronic shelf labels (ESLs) for dynamic pricing and inventory management within the supply chain can help retailers create a more responsive pricing strategy, reduce waste, and increase sales, ultimately driving shopper loyalty and encouraging larger baskets by offering enticing, low-effort options and encouraging impulse buys.