What is the role of product packaging, given the fast-changing face of retailing and consumer demand now?
Retailers have undergone a marketing transformation. They are now in the business of building brands. Their own. Retailers' focus is on aligning their merchandise mixes: private label as well as national brands, and the shopping experiences they provide as distinct and unique; a reflection of strategically developed branding in alignment with consumer perceptions.
Tip: Consumers are increasingly exercising control in fashioning their own experiences. Retailers that deliver the kinds of experiences consumers are seeking will win in the marketplace.
What kinds of experiences do consumers respond to best? We've uncovered principle consumer drivers in our research. These include: creation of greater perceived brand value vs. competitors' brands; clearly delineated brand differences, with uncomplicated, direct packaging communication; perceived lifestyle fit; upscale, more luxury-oriented branding for consumers who have, or aspire to have, more status; and the delivery of enjoyment assets.
Tip: We humans respond to brands that deliver enjoyment or fulfill emotional desires. Brand assets that can be leveraged in packaging to give consumers pleasure and enjoyment are powerful purchase motivators—and also repeat purchase motivators. Endeavor to uncover them.
Packaging for national brands has to be tweaked for various retail channels. When packaging products for Wal-Mart supercenters or club stores, the focus is on a price-to-value ratio. Large pack and multi-pack offerings benefit from the strong use of color and graphics in palletized, no-frills packaging. Small pack sizes, quality imagery, and communication are geared to sell brand value rather than price for supermarket and drug chains. Consumers in these environments are increasingly information hungry.
Tip: Within categories, what unique consumer cues can be leveraged on packaging to make connections with them, avoiding the dreaded commodity trap in the process?
At the other end of the spectrum, upscale and specialty retailers such as Fortunoff, REI, and Williams-Sonoma sell lifestyle and luxury branded products to consumers. In these environments, consumers invest emotionally both in the shopping experience and in the retail brand itself.
Tip: Customer-centric service has to be offered at an uncompromising, high level to seal the deal and the brand image for these retailers' customers. Click here for the full article. Join the conversation: You're invited to weigh in by sharing your own experiences and insights on retail packaging issues with Shelf Impact! readers at george@packworld.com.
By Ted Mininni, President, Design Force Inc.
