Commercial Radio Listener Insights - PowerPoint Presentation

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Commercial RadioListener InsightsGrocery Buying Habits

F.C.T. Executive SummarySlide2

Meet Your ShoppersSlide3

Women made up the majority of respondents and shoppers. The respondent pool was 87% women to 13% men, with a good cross-section of age groups represented

.

(If you’re doing the math on the age groups, 3% were under 18!)Slide4

These listener-shoppers are overwhelmingly buying ingredients to cook their own meals versus picking up pre-packaged meals or meals to go. Knowing you’re reaching stay-at-home cooks opens up a number of needs: recipes, cooking classes, kitchen appliances, tableware, and all the products associated with food preparation, presentation, nutritional guidance and consumption

.Slide5

There are many people to shop for. Forty-five percent are shopping for 4 or more people. Slide6

Over half of the respondents are spending at least $100 per grocery purchase

:

41

% between $101 and $

250

13

% between $250 and $

500

28% are

spending between $50 and $100 per

trip Slide7

They are overwhelmingly spending those dollars on Adults, followed by Primary School Children, Teenagers, and then, even younger children: Pre-

Schoolers

and Infants. Slide8

With all those people to shop for, it makes sense that almost 70% buy in bulk. One in 10 make a special trip specifically to buy in bulk while 58% frequently or sometimes buy their groceries in bulk. Slide9

Where Do They Shop?

We asked two different questions about shopping location. We first asked respondents to select all of the stores they shopped at and then asked them to select the one store they shopped at most frequently. You’ll see interesting distinctions between the two.

Woolworths and Coles are the top 2 choices for both shopping questions. IGA and Aldi are neck and neck in the second tier.Slide10

Looking more closely at the “Choose all that apply” shopping question, note that Woolworths’ edges out Coles by:

5 points with All shoppers

10 points among 25-44 year olds

7 points among 55-64 year olds

IGA and Aldi capture relatively older shoppers. As for younger shoppers, one in five 18-24 year olds selected “a local store” and “whatever’s closest” when making shopping selections

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The order did not change when respondents were asked to select the ONE grocery store they shopped at most often, although the margin of difference did. Note that Woolworths and Coles are the top two selections, followed by Aldi and IGA, but... Slide12

25-34 year olds picked Woolworths over Coles by only a 4 point difference when selecting

all

the stores they shopped at, however the margin widened to 11% when answering the “

one

store” question.

Similarly

, 45-54 year olds selected Woolworths over Coles in the select

all

by a very narrow margin. But in the

one

store question the margin widened by 8 points.

Both

stores are being patronized, but Woolworths is shopped at more often. In a tight and competitive market, the opportunities abound for one store to cement loyalty and relationships, or steal share from the other through a plethora of services, smart marketing, offers and advertising

.Slide13

Digging into the loyalty card question also provides additional competitive opportunity. The majority of respondents do have a loyalty card, with Woolworths and Coles leading the pack, in that order.

Note

that 18 to 24 year olds are the highest group not to have ANY card (13%). With competition between stores so tight, and lifetime value of customers so high, helping your grocery client build loyalty with even a small portion of this young group could bring major rewards.Slide14

With the great variety of grocery stores throughout the country, it’s no surprise that over half (56%) travel 5km or less to the grocery store and just over 1/3 (36%) travel between 6 and 20 km. Slide15

When Do They Shop?Slide16

Almost everyone (93%) is in a grocery store at least once a week: 49% report 2-3 times a week; 28% once a week and 16% nearly every day.

This

provides a regular and consistent opportunity to increase convenience, showcase products and create a dialogue with these shoppers. Slide17

We also examined the times of day that consumers normally shopped. As a whole, morning is the most popular time to shop followed by afternoon, then late afternoon. Mornings received 23% of the overall respondents, followed by afternoons (19%); late afternoon (16%) and mid-day early evening and evening virtually tied at 8%. (Early morning shows at 7%).

Times

varied according to age groups. In particular, 18-24 year olds preferred afternoon shopping to mornings by a 2-to-1 margin.

You

can use this information to impact advertising schedules and targeted email marketing with the right offer to the right demo at the right time of day

.Slide18

Products & ConveniencesSlide19

Respondents were given a long list of conveniences to pick from and asked to select their top three most important features in choosing the grocery stores shopped at most often. Pricing was the top choice at 71% overall. Pricing scored particularly high for 18-24 year olds (74%) and even higher for 25-34 (76%).

Location

was a strong second choice: Sixty-three percent identify location as important, even more so (68%) among 35-44 year olds

.Slide20

Parking

rounds out the top 3 at 27%, closely followed by Variety at 23%.

Other

features of importance to consider in crafting grocer’s marketing messages include:

Brands: Particularly important to 45-54, compared to the rest of the group.

Staff Friendliness: Particularly important to 45-64, compared to the whole.

Produce and Store Appearance: More important to 18-24 than the overall group

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There are interesting demographic divergences when looking at specialty items. Generally, when asked about specialty items, In-House Butcher and Wine and Alcohol were ranked first and second. Twenty-eight percent of all participants selected purchases from an In-House butcher, although that one feature was ten points higher for the 55-64 crowd. Twenty-five percent purchased wine and alcohol at the grocer, the second choice, although the 18-24 year olds purchased at a slightly higher rate, 28%. Slide22

In fact, 18-24 year olds were particularly interested in:

Organic: Number three overall at 19%, but 7 points higher (26%) for 18-24.

Gluten Free: Important to 13% overall, but showed 6 points higher for 18-24

Sushi Bar: Selected by 7% but again, higher for 18-24 at 13

%.Slide23

18-24

year olds were also more interested in Dairy-free and Vegetarian items than the general group.

When looking specifically at 55-64, Sugar-free items ranked as the second most popular feature, even more popular than wine and alcohol for this age group

.Slide24

Respondents were asked specifically about the importance of organically grown food. A full 50% report it is somewhat important, even higher (56%) for 18-24. Sixteen percent said it’s very important. It’s not important to just over 1/3 (35%).

Note

the divergent attitudes in the last three slides. Organic ranks 15

th

out of 24 options on the 3 most important features when selecting a grocery store and third overall in the specialty items. Yet it’s clearly better to market organically grown when possible as it’s perceived as a positive by a large group with little downside

.Slide25

Do you know what you’re having for dinner tonight? Just under half our respondents do, about the same number sometimes do and a handful do not. Providing recipes, food preparation videos, or general ideas under a “What’s For Dinner” section of a station website or dedicated newsletter could provide a much needed service for advertisers and listeners alike

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Respondents were given a list of conveniences and asked which were important to them.

Self-Serve

Checkout soared high above all other choices at 59%. Self-Serve Checkout was first among the whole group, and particularly important to 18-34 year olds.

Banking

was the second choice overall at 34%, and showed as an increasingly important convenience as age increased. Slide27

Online

shopping was third at 26%, again more important to 18-34.

Gift

cards and Home Delivery were virtually tied (15% and 14% respectively), although Gift Cards were 4 points more important to 18-24 (19%) than the whole.

Apps

were 5 points higher for 18-24 (14%) than the whole (9%)

…Slide28

TechnologySlide29

Digging deeper into apps, the respondents were specifically asked “Which Apps do you use to assist your grocery shopping?” The overwhelming majority, 75%, reported they don’t use grocery shopping apps. Only 18% reported using the Woolworths app and 13%, Coles. The numbers were slightly higher among 18-24

.Slide30

Similarly, 79% said the ability to shop online has no impact on their feelings about shopping. Only 8% said it made shopping more enjoyable; 6% indicated shopping online was a competitive edge, making them select one grocery chain over another with an equal group, 6% saying shopping online made shopping less enjoyable

.Slide31

The

relatively low adoption of these tools

may

signify that the online shopping sites and apps currently available are difficult to use.

Creating

user groups from your listeners, and allowing stores to witness these groups work through different shopping sites and apps could be an extraordinarily useful exercise. The benefits abound: a unique program to bring to stations’ grocery clients, a fun event for listeners interested in sharing opinions and a priceless learning opportunity for the grocers/developers. Slide32

Catalogues – Flyers – Advertising Slide33

When asked “Do you check the store’s catalogue/flyer before you head to the store?” just under one in five said always and a full 50% said sometimes. While that “sometimes” number is fairly consistent across all age groups, note that the “never’ crowd is in the younger part of the respondent pool

.Slide34

Reading the actual catalogue is important to 66% of the respondents; 7% check the store’s website and an equal number read the catalogue as a newspaper insert. Watch this number. You can imagine the website access will only grow, saving grocer’s printing and distribution costs and making the flyer easier to get

... on

the fly, on mobile devices

.Slide35

Finally, when asked about the advertising that affects shopping decisions, Catalogues again ranked highest, at 66%. Television commercials were a distant second at 26%, followed by Email and Radio Ads. As platforms merge among different media types, broadcasters could look at this response and grab different opportunities

:Slide36

Email

: Play off email’s effectiveness by including ads and links to flyers in messages to your own station database. Target offers based on all the different segments identified in this report.

Video

: Save clients major production and placement costs by creating authentic videos of local personalities shopping and showcasing items, features and conveniences. Post on your sites and feature on your social platforms

.Slide37

FCT Grocery Key Messages

Target:

Grocery shopping is a part of day-to-day life. But different age groups have different needs. Understand the segment your client is targeting and use these results to reach that group.

Average Spend:

Just over 40% are spending $101-250 per trip.

Preferences:

Woolworths and Coles are the top tier players for over 70% of the respondents. IGA and Aldi follow but at much lower numbers.

Loyalty:

Opportunities exist to develop loyalty among those who don’t have a loyalty card. Help your clients target 18-24 year olds for the richest lifetime value return.

Bulk

is big. Seventy percent report buying in bulk.

Shopping Frequency:

Almost half the respondents shop 2 to 3 times a week allowing for multiple opportunities to cross-promote products and services.

Shopping

Daypart

:

Mornings are most popular. Late night the least. Use this information to impact advertising schedules and targeted email marketing with the right offer to the right demo at the right time of day

!Slide38

FCT Grocery Key Messages

Important

Features:

Top 3: Pricing, location and parking. But different age groups have different preferences outside these most popular conveniences. Target your audience and messages accordingly.

Specialty Items:

Top 3: In-house butcher, Wine/Alcohol and Organic. Again, different age groups show different preferences across the broader range of selections, opening targeting opportunities.

Organically Grown:

If you’ve got it, flaunt it. This is a good marketing edge for grocers.

Conveniences:

Number 1 is Self-Serve checkout, by a wide margin, followed by Banking and Online Shopping.

Apps:

Very low numbers on app adaption. Seventy-five percent don’t use them.

Shopping Online:

The ability to shop online has minimal impact. Although 6% will select one store over another because of this feature.

Catalogues/Flyers:

Two-thirds sometime use them. One in five always use them. Thirty percent never do. That’s too big a group for grocers to miss and an opportunity for radio to reach.

Advertising:

Catalogues and flyers reign, followed by TV Commercials, Email and Radio Ads. Newspaper ads, store website and other website ads trail, for the overall group.Slide39

Marketing Ideas

What’s

For Dinner?:

Everybody eats, and somebody has to figure out what to serve the family. Creative videos and dedicated recipe emails can provide unique content for grocers

.

Music and Wine:

Consider a weekly music and wine segment, sponsored by a local grocer. (This was done on some U.S. stations and worked well, for an adult music format).

Events:

Cooking Classes at the station or the sponsoring grocer’s location, showcasing tableware, cookware, etc.

Sponsored Digital Content:

Partner with a local store to focus on product, food preparation, recipes, etc.

Create mealtime events to entertain listeners while showcasing nutritional family meals

Video a trip through the local aisles of a store, with narration by a local

jockSlide40

Marketing Ideas

App

Development:

Create listener/user groups, and video their use of a store’s app (or allow stores to watch these groups use their apps). The benefits abound: a unique program to bring to stations’ grocery clients, a fun event for listeners interested in sharing opinions and a priceless learning opportunity for the grocers/developers.

Grocery Websites:

Same concept as app Development

.

Product Reviews:

Tap into the foodie at your station who can create an on-air segment or blog about new household products or food items

.

Morning Shows and Morning Shopping:

Tap into your biggest personalities and your grocer’s biggest shopping

daypart

. Set-up in-store appearances to drive traffic

.

Targeted Emails: Email:

Play off email’s effectiveness by including ads and links to flyers in messages to your own station database. Target offers based on all the different segments identified in this report

.

Video:

Create authentic videos of local personalities shopping and showcasing items, features and conveniences. Post on your sites and feature on your social platforms

.