The Business Issue:
During the Pandemic, many shopping changes occurred that dramatically changed shopping behavior. Some of these changes included:
- Trip frequency
- Basket size
- Shifting priorities & re-prioritized spends
- Return of the value-conscious shopper
- All generations embrace the shift to online.
On top of this, there were changes in snacking behavior including:
- Pandemic snacking changes
- Increase in overall snacking occasions in home
- Top motivating needs for consumers: Comfort, Indulgence, Convenience & Balanced Nutrition
All of these changes combined to shift shopper behavior and the major disruptions that we have seen over the past three years have resulted in a need to relook at the conversion funnel. The latest data from the Explorer Shopper Activation Framework shows a decline in autopilot behavior from 48% to 35%. With all of these changes, the opportunity was for Mondelez to understand where conversion breaks down and understand how to realize growth for the shopper, the retailer, and for their brands.
The Solution:
The research conducted was a hybrid approach that combined both in-store as well as in-lab research. The in-store observation research focused on natural conversion stages in the real environment. While the in-lab portion of the study leveraged eye tracking and other behavioral shelf exercises to measure detailed conversion nuances at shelf.
Key Learnings:
This study was a collaborative approach between Mondelez and their key retail partners.
The research identified sizing and prioritizing opportunities.
The research and the collaborative retailer approach resulted in improved brand blocking on shelf, re-working of the aisle flow, strengthening overall category performance, and understanding the power of adjacencies to drive incremental sales.
