Category Depth and Variety. Focus on Demographic Determinants. What makes a “good” category for the semester?. Competition among suppliers for shelf space (not just among brands). Retailer responsibility for brands, facings, depth, and pricing decisions. (No DSD)
Focus on Demographic Determinants
“Retailers must adopt broad, bland positionings: in contrast to manufacturers, retailers cannot deselect important consumer segments.
“Shopper segments exist, but they must be targeted within the store.
“Retailers must learn to handle in-store data to recognise which of their shoppers of the greatest potential…”
Identifies “disproportionate” purchasing: differentiation
Dividing a % $ volume by % of households (multiplying by 100) creates index.
“Ivory Liquid, Female Head 55+” = 202
(% $ volume ÷ %household) x 100 =202
56.0% ÷ 27.7% (x100) = 202Interpreting Index Scores