Hoyt Publishing Co.
www.instoremarketer.org
VOL. 2, NO. 9
February 2005 Highlights
I Guess This Stuff Works

It has been said that there's no such thing as bad publicity, although that adage seems as often false (as in the case of Michael Jackson, for instance) as it is true (see Martha Stewart, domestic doyenne and jailbird).

Since the outset of 2005, the media has devoted a fair amount of attention to several events that point to the effectiveness of in-store marketing -- although not exactly in ways that make one want to brag too loudly.

Here's a rundown:

  • Research conducted by Rand Health suggests that adolescents who view in-store beer displays are more likely to drink than those who don't. The study found "no evidence that exposure to television beer advertising affects subsequent drinking."

    If the subjects of this study were recent college grads instead of middle schoolers, or if the product in question were fruit juice instead of beer, retail marketing experts would be running it up the flagpole (although even the authors note some limitations). As it stands, that'd be like boasting about your father's Parolee of the Year Award.

  • Congress followed the lead of about two-dozen state legislatures last month by introducing a bill that would require all products containing pseudoephedrine to be kept behind pharmacy counters or locked windows. Since Oklahoma passed a similar law in April 2004, cases of illegal methamphetamine production in the state have dropped dramatically.
     
  • The Supreme Court of Canada upheld a Saskatchewan law banning all displays and signs for tobacco products in stores serving minors. The court found that the law, passed in 2002 but struck down by a lower appeals court, furthered the intentions of federal laws prohibiting tobacco ads on TV and elsewhere. Other Canadian provinces are expected to follow suit.
     
  • With the debate raging over who's to blame for the childhood obesity "epidemic," the Center for Science in the Public Interest last month issued "Guidelines for Responsible Food Marketing to Kids."

    The suggestions include the removal of all "low-nutrition foods" from kid-eye level on shelves and displays and the grouping of "cookies, chips, candy, soda" and other bad stuff "in a few designated areas to allow parents to skip those aisles." (The non-profit CSPI has had some prior influence over kids marketing through its regular dialogue with the National Advertising Review Council.)

We're not cataloging these events to sound any alarms (no one expects beer or snacks merchandising to go the back-room route of naughty videos). But we do want to keep a record of the increased scrutiny in-store marketing is undergoing.

After all, anything that proves how effective it is can't be all bad.

Peter Breen
Managing Director, Content
In-Store Marketing Institute


Desktop Marketing Conference: "Using Research to Improve P-O-P Marketing" by Scott Young, Perception Research Services

Do mothers shopping for pain-relief medication want to compare the relative merits of tablets and gel caps, or do they want to find the products best suited for themselves and their children? Unless a marketer understands "the shopping process," he may not be able to adequately address such questions through his packaging and marketing programs.

In a presentation delivered last December at the P-O-P Show/New York, Perception Research Services president Scott Young argues that successful in-store merchandising must begin with insightful shopper observation. In making his case, Young questions the wisdom of several merchandising "mantras," such as "good, better, best" packaging strategies and eye-level merchandising imperatives.


Producer Trends: Forecast for a Strong 2005; Top Materials of 2004

A number of product manufacturers loosened their purse strings in 2004, a trend that has P-O-P producers bullish on positive business growth in 2005. P-O-P Design takes the pulse of the marketplace in its annual state of the industry report.

Elsewhere, faux materials and laminates again top the list of most-requested products in our second-annual review of the Top Decorative Materials featured in the pages of P-O-P Design. Plus, check out a new one-click listing of new and noteworthy in-store marketing aids, and a downloadable version of the 2005 P-O-P Buyers' Guide.


Research: The Supermarket Super Bowl Revisited

On the field, the New England Patriots' football dynasty continued with another victory. In the aisles, the display dominance of in-store leaders Anheuser-Busch and Frito-Lay remained intact. Mosaic InfoForce updates last month's look at Super Bowl Merchandising Trends with fresh data from the 2005 "game."


Store Checks: Hannaford and Ralphs

Our first visit to Delhaize America's Hannaford finds plenty of room for branded displays amidst the chain's upscale merchandising strategy. A return visit to Ralphs again finds Kroger's California chain heavy on in-store media but light on secondary displays.


Welcome New Institute Members

The In-Store Marketing Institute is delighted to welcome new and renewing members to the Institute family. Below is a list of the companies that graciously allowed us to crow about their decision. Welcome aboard.

  • Abbott Action, www.abbottaction.com
  • Alpak, www.alpak.com
  • Arrow Display, www.mannkraft.com
  • Benjamin News Group, www.benjamin.ca
  • Day-Timers, Inc., www.daytimer.com
  • Heinzeroth Marketing Group, www.heinzeroth.com
  • HomeBanc Mortgage Corp., www.homebanc.com
  • Jelly Belly, www.jellybelly.com
  • MacNeill Engineering Co., Inc., www.macneillusa.com
  • Masco Corp., www.masco.com
  • Milliken Chemical, www.millikenchemical.com
  • Rural Reach Sdn. Bhd., www.ruralreach.com
  • Petco, www.petco.com
  • Rand Display, www.rand-display.com
  • Weyerhaeuser, www.weyerhaeuser.com
  • Zircon, www.zircon.com

NEW in the Library...

Retail Handbook
New Retailer Profiles of Dick's Sporting Goods and Kohl's, including more than 50 new images of their in-store environments.

Plus, brand marketers jump right into NASCAR merchandising as soon as the Super Bowl ends.

Research Library
A Rand Health study suggests that in-store beer displays influence pre-teen drinking.

Plus, the FTC's annual report on tobacco advertising shows another dip for P-O-P spending in the category.

Case Studies
After 25 years of print ad-driven success, Absolut vodka takes its iconic message to retail; recent campaigns from Campbell Soup, America Online, Skechers, Sony Ericsson and one dozen more.

Plus, the latest installment of "Ricci at Retail."

Image Vault
A gallery of more than 100 NASCAR displays and promotions.

Plus, submissions from Institute member Heinzeroth Marketing Group illustrate innovation in the home-center channel.

Legal Corner
Legislation in Canada bans in-store tobacco advertising; a proposed federal bill in the U.S. would put all pseudoephedrine products behind the pharmacy counter.

Lecture Hall
From the archives: In "What Retailers Really Need from You," Dave's Soda & Pet City owner Dave Ratner speaks candidly about vendor-supplied merchandising hits and misses.

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