High Tech/Hi Touch

Very few shoppers ever pick a store to shop based on technology. When asked why they choose one store over another they'll do it based on price, variety, service, quality or location. Technology doesn't really matter, or does it?

What is clearer each day is the important role technology plays in the industry's ability to run stores best geared to an increasingly diverse population. Technology gives us the ability to cut costs, smooth the supply chain, cut out-of-stocks and make sure the right products are on the right shelves.

All of these types of applications were on display at FMI's recent MARKETECHNICS Convention. But what was also on display were the implications and benefits of technology that our industry is going to have to learn to explain to customers in ways that they will find inviting and helpful, not threatening. Here are some examples:

- Bio-metrics provide a new measure of security for the shopper and the store in making sure, for instance, that the person cashing a check is the right person. Many customers would probably welcome that measure of security and might even appreciate how the costs savings will benefit them, but only if it's well explained.

- The Auto-ID chip may provide the ultimate source of tracking product through the supply chain, ensuring the right goods move at the right times to the right places. The benefits on shrink and out-of-stocks are profound. And for the shopper, the benefits could include better selection, reduced costs and a radical change in the check out experience, saving time and improving the shopping trip. But again, only if it's explained.

- Genomics may provide the most profound change for humans. As explained in one session by Harvard professor Juan Enriquez, genomics allows science to unlock the basic language of life and could result in foods that target and cure illness. The topic is enormous, the debate wide and the potential mind-boggling, especially for us non-scientists. And again, the consumer will need to know.

There were many other topics that laid clear the potential benefits of technology, but the only way to achieve that potential is by creating benefits for shoppers and clear, credible information. How much work remains was demonstrated when the audience was polled on a series of questions. Each time, the audience voiced a clear opinion that consumers are ill-informed, leading to skepticism of new technologies, even if they are beneficial.

However, there are some examples of how this can be overcome. Irradiated meats, once an almost unmentionable topic, sell out in many stores now thanks to well-communicated messages to consumers on food safety and the benefits of irradiation. The lessons can be learned and the benefits realized, but only if information and communication leads the way.

Let's hope it's a lesson we will repeat.

VNU Consumer 360 Conference...A Huge Success !

I shared in my column in the Spring 2003 Consumer Insight magazine, the challenges facing the CPG industry today include the following key areas of focus: broadening coverage, increasing marketing ROI, new product success, and retail execution. Without exception, we at ACNielsen / VNU addressed these critical business imperatives at our just completed Consumer 360 Conference.

For the first time ever, ACNielsen and Spectra came together and created an unprecedented consumer insight conference... Consumer 360. This conference focused on what VNU does best--understanding the many dimensions of consumer attitudes and purchasing behavior. Helping clients leverage that consumer knowledge and insights was the bottomline benefit.

Focused on bringing complete solutions that help place the consumer in the center of every marketing decision, this new industry conference showcased the consumer insights, industry trends, powerful tools and cross-channel perspectives housed within the companies that make up VNU, the largest media and marketing information company in the world.

Leveraging best practices from companies such as ACNielsen, Spectra, ACNielsen BASES, Nielsen//NetRatings, Nielsen Media Research, Trade Dimensions and VNU media publications, the first annual Consumer 360 conference brought together some 1,100 key retail and manufacturer industry professionals in a three day event designed to reveal how you can obtain a 360 view of your consumer through education, training and networking forums.

The conference was uniquely designed to demonstrate how VNU companies can create a robust, complete view of your consumer; therefore enhancing your understanding of how consumers shop and interact with your brand, or shop your stores. Attendees learned first-hand about some of the newly-developed ACNielsen capabilities:

- The creation of three Centers of Excellence that together provide end-to-end modeling and analytic solutions to key business issues such as marketing mix, pricing and new product introductions
- The evolution toward providing deeper coverage via a Homescan Mega Panel
- The building of an online opt-in panel
- The development of a new retail in-store execution model that dramatically fixes 'out-of-stocks'


And much, much more...

Navigating through a sea of consumer data can be daunting for any marketing professional trying to drive efficient, targeted execution. Marketers must understand everything about their consumers while utilizing a myriad of data sources. In an environment that demands increasing efficiency, Consumer 360 participants found out how they could connect to actionable consumer insights to gain the competitive advantage.

VNU and its many businesses continue to evolve to: help you address your challenges; invest in client-focused innovation; deliver actionable insights and focus on world-class quality & service. Collectively, our capabilities often deliver integrated solutions that far outpace what any of our companies could create individually.

If you missed the Conference, and would like a CD ROM of the 30+ Concurrent Sessions, send an email request to: Consumer 360 Conference. You will then be sent an "Order Confirmation and Agreement" form to complete and be invoiced for $500 for this value-packed collection of some of the actionable insights of the Conference.