Want to convert to your brand? Promote! A majority of new brand purchases are spontaneous
Suppliers and retailers are constantly looking for ways to make consumers try their brands and products. A new study shows that six out of ten new brand purchases are spontaneous and that promotions in- and out of store is the single most important driver of consumers' decision to try new brands.
In a new study published in Journal of Retailing and Consumer Services, Bogomolova sheds light on the consumers' decision to try new brands. The study, containing data from 10,000 loyalty card members and over 500 mail interviews with grocery retail customers, shows that new brand make up only 5% of the items in the consumer basket and are purchased on only a third of the shopping trips.
The majority of these new-to-consumer purchases were spontaneous (58%) and because the consumer noticed the brand during the trip (e.g. due to the shelf placement) or due to price or price promotion.
The results clearly points to the need to have a solid understanding of your promotions - both the type of offering, the discount depth but also the promotions space and possible external media push used. The study was performed on brick-and-mortar retail stores.
Reasons for buying a brand for the first time, %
/the Formulate team
P.S. You can find the full article here: