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Importance of Retail Compliance this Christmas
Halloween has only just finished, but Christmas decorations and limited-edition products are already creeping their way onto the shop floor.
Christmas seems to start earlier and earlier each year, with Selfridges in London being the first department store in the world to unveil its festive window display two months before Christmas.
Love it or hate it, consumers are following suit and spending money early. According to GlobalData, the number of Christmas decorations being bought before Halloween doubled between 2013-2016.
In addition to this, consumers are also expected to make more purchase decisions in-store during the holiday season. The International Council of Shopping Centers reported that spending will increase by 4.9% this year, with 90% of consumers expected to make in-store purchases.
What Does This Mean for Brands and Agencies?With more and more brands stocking seasonal products before Halloween, it is even more important to ensure products create an impact and stand out from the competition.
One way to do this is to maintain stock level sand check retail marketing activities such as POS displays and in-store promotions are set-up correctly, otherwise, it could lead to adverse effects.
- Harvard Business Review found that if products are poorly stocked consumers are likely to spend their money on similar products or reframe from spending.
- Missing or faulty displays can cause poor campaign awareness and negative brand perception.
- Poorly executed campaigns could result in lower returns on investment and brand losing thousands of pounds.
How to Overcome this Challange:
There are three main stages to making sure seasonal campaigns are executed correctly in retailers.
1. Make sure campaigns are set-up properly to begin with, and if not, why not?
If the campaign requires a field representative to conduct an activity instore, such as setting-up promotional material, installing displays or negotiating with Store Managers, it is essential to know that this task has been executed properly.
This can be done by requiring field representatives to answer a questionnaire when completing their activity in-store and showing them example photos to help illustrate what they need to do.
However, no matter how well campaigns are planned, it is still common for unforeseen issues to arise.
Whether it is due to misunderstandings with retailers, lack of power outlets for displays or field staff not having the correct materials, at the risk of losing sales brand and agencies need to equip themselves for highlighting and fixing situations quickly.
2. Check retail compliance throughout the campaign period.
Even if marketing activities are set-up correctly to begin with, there is no guarantee issues will not arise later on down the line. It could be that products become out of stock, promotional materials get damaged or displays become messy.
Similarly, brands need to establish if the plans they have agreed with retails as part of the campaigns have actually happened. And if not, a reason with photos to illustrate why not.
3. Integrate sales-out data to measure the success of retail activity.
To fully understand the effects of in-store campaigns and to determine which activities are the most successful, brand agencies can use sales-out information from retailers (if available) to measure the campaign's effectiveness.
Sales-out information can also be used to see which retail locations are performing badly and if so, is it due to poor retail compliance?
Conducting retail audits and analysing results can be time-consuming and challenging, but with the right tools, it doesn't have to be.
The best way to tackle this task is to use a field automation software that manages field teams, reports on activities and highlights problems.
See how TeamHaven can improve your field marketing activities with a free 30-day trial.
TeamHaven is an all-in-one solution with all the tools you need to manage field activities, no subscription needed.
On a cost-per-activity basis, Teamhaven is the ideal software for seasonal field campaigns.
For information on how TeamHaven can help manage your field activities, please contact:
Tel: +44 (0) 1249 470420
Alternatively, contact one of our worldwide representatives.