Retailers can increase sales by using statistics

04/11/2013 02:51:00 PM
Coral Beach

The shifting sands of consumer buying habits make it difficult for retailers to maintain solid footing in the produce aisle, but statistics from The Packer’s Fresh Trends 2013 can help managers stabilize the foundations of their departments and strategically increase sales.

Paul Kneeland, vice president of produce and floral for Kings Food Markets, suggested retailers use data from the annual report to help them identify potential holes in their programs. He discussed Fresh Trends 2013 during an April 11 webcast with The Packer’s editor Greg Johnson and Produce Retailer magazine editor Pamela Riemenschneider.

The power of attractive displays and in-store sampling opportunities were two factors that Fresh Trends 2013 statistics showed as effective, based on responses from more than 1,000 respondents.

Paul KneelandKneelandKneeland said he has seen proof in the Kings stores that supports the survey result that shows 54% of respondents were “strongly motivated” to buy produce if it was part of an attractive display.

Sampling of new items is another tool Kneeland has seen boost sales for new items. The Fresh Trends 2013 data showed 49% of respondents said they “could be enticed to try a new item” after sampling it.

“It’s important to get the produce staff to sample the new items, too,” Kneeland said. “They are the ones who are out there on the floor and talking to customers.”

Kneeland said there is generally a bump in sales after a sampling event, but then retailers need to act again if they want to maintain those sales.

“The key to keep it going is to come back with another sampling event about two weeks later,” Kneeland said.

Kneeland said other data from Fresh Trends 2013 that he has seen hold true in Kings stores include the growing popularity of locally grown and organic produce. Statistics in the report about specific commodities are also helpful in produce aisle planning, Kneeland said.

The webcast will be available soon at: http://tinyurl.com/FreshTrends2013.



Comments (4) Leave a comment 

Name
e-Mail (required)
Location

Comment:

characters left

Rob Morgan    
April, 12, 2013 at 10:16 AM

Lolz. No amount of "statistics" can help without a good analyst to apply them. Something most companies in produce lack.

Matt Schlimme    
St Paul  |  April, 12, 2013 at 11:51 AM

You shouldn't need stats to know that samples sell product. Especially if it is something that is new, or with great flavor worth highlighting. The sample alone draws in the customer, giving them more time to consider the purchase they otherwise would have passed by. The little bit of labor put into a sample will always pay for itself in sales. Same way with big displays, merchandised with clean lines, good signs, and easy to shop (preferably from 3 sides) Again it is something that will draw the customer into the display. The trick is maintaining good quality by building appropriate sized displays through the use of dummies, and daily rotation. You can then use many of the would be culls for you sample, unless of course it is moldy or just has poor flavor. Don't forget to cross merchandise complimentary items to help increase basket size, and incorporate those items into the sample when it works. I suppose if you need stats in order to create action, then this is helpful. Otherwise just use common since on what would encourage you to buy the product.

Ramya divya    
April, 17, 2013 at 06:10 AM

Retailers need to constantly innovate to stay in business, technology can help retailers with increasing sales and gaining key insight into customer behavior and trends , came across this very interesting audio cast and whitepaper on strategies retailers could use to increase sales in a downward economy "Thinking about tomorrow: Post-recession strategies for retailers" @ http://bit.ly/10XoIQa

Darius Sadeghi    
Carmel, Ca.  |  April, 17, 2013 at 11:12 AM

I completely agree with Mr. Kneeland with the need for statistics and produce. In 2006 I was writing a new insurance program for accidental drift and patented a hand held device called the AgMeter to measure pesticide residues in 12 seconds. Consumers will soon be asking for more data and statistics as imported commodities increase.

Feedback Form
Leads to Insight