Immediate and Measurable
eCommerce is growing as a percentage of all retail sales. The penetration of online sales in some categories is as high as 45% of annual sales. eCommerce is now a viable entry into retail for many categories, and for some products, it is the best way to get started. You can tell a complex story online, in some cases better than in a store, with a combination of high-resolution product photos, lifestyle images, and video. For example, products with video have up to 8x or more shopper engagement than products without video. Managing online content [link to online item assessment in TRG Engagement process under Growing Business at Retail] can be immediate and measurable.
The pricing strategy of online retailers can be either high low or EDLP (Every Day Low Price). Retailers handle shipping in different ways (either paid for by the manufacturer or by retailer), and some retailers may require back-end fees like volume rebates. Clearly understanding each retailer’s approach to eCommerce before presenting pricing is critical to a manufacturer’s success.
Promotional planning online has a shorter, more flexible lead time than traditional brick & mortar stores. Promotions including seasonal, overstock, deal of the day, and disaster response can be limited to quantities available or budgeted discounts - flexibility and speed to market is the name of the game within eCommerce.
Finally, eCommerce is a strategy to prove out product or category success by selling online first thereby making the decision to carry a product in the brick & mortar assortment easier for the buyer. At TRG we create monthly Splash Maps that show where your products are selling geographically. This data is helpful when selling in product for in-store tests as it highlights areas of high sales potential.
Your eCommerce business is critical to omni-channel success. Even customers who are shopping in a retail store will use product descriptions and customer reviews online to help make their choices in-store. TRG has the expertise to help drive your eCommerce and Omni-Channels sales including:
- Create best practice product pages that drive conversion on Amazon, Home Depot, Lowes, and others.
- Navigate retail relationships to get into digital channels
- Set up a U.S. entity (for foreign companies)
- Set up Drop Ship capabilities to be able to pick pack and ship directly to consumers
- Engage with channels to execute promotions and drive traffic
Hear it for Yourself
“The market research from Premium was absolutely essential to our successful launch at retail. Not only did it help us refine our approach to the market including pricing and packaging, the data was critical in convincing the merchant to move forward.”