Saturday, April 14, 2012

What is getting into the Shopper's basket in India.

AaramShop has just released the 2nd State of Online Grocery Shopping Report, which takes a deep dive into the shopper's behavior online when shopping for FMCG / CPG brands. The unique report is not based on a sample survey but on the authentic buyer data on the hybrid platform - the consumers shop online via the 1900 AaramShops (neighborhood retailers) across India.

The report can be downloaded in full from here, however some of the significant & unique aspects are worth highlighting and one of them relates to what is being shopped. 

While the men have averaged a spend of Rs. 580/- and the women have averaged Rs. 552/- when shopping online what is significant is that 30% of the expenditure of an online shopper in India is restricted to two categories - "Rice, Atta, Lentils & Dals" (16.81%) and on "Edible Oils" (13.70%)

Tuesday, April 3, 2012

Where tomorrow‘s customers will place their trust.

One thing is clear: mass marketing has had its day. For decades people have consumed what they learned about through the constant barrage of advertising – and what was available in the shops. Retailers stripped their shelves of everything that only sold occasionally, in order to free up valuable shelf space for the real top sellers.

That is all in the past. In the new online economy of the “long tail”, providers increasingly earn their money with niche products. Thanks to limited costs for storage and for the “showroom”, it is well worth their while to offer the unusual and the quirky as well.

Consumers like niches. They no longer want to be one of the masses; they want to own things that are rare and unusual. Small groups of aficionados grow up – “social networks”, which replace the mainstream as a peer group.

These networks take over the job of communication. Information about “cool” new offers travels round in no time. Providers who want to be noticed in increasingly fragmented markets must therefore make themselves visible in these circles.

The explosion of choice makes heavy demands on consumers. To reduce the flood of information, they go along with a calculated risk: they trust the recommendations and tips of others. They increasingly take decisions for emotional rather than objective, factual reasons.

The Story of Unstoring.

The enD of The ShoP AS We KnoW iT !

One of the first products to be sold on the Internet was a pizza. That was in 1994 and the provider was an international restaurant chain called Pizza Hut. One year later Jeff Bezos took up the idea of online retailing. He started by selling books online on amazon. com. The sales channel faced a wall of scepticism. Who in the world would order books online when they could buy them in a shop? Fifteen years later the answer is clear: lots of people, and more every day. A comparatively young trio of Apple, Google and Amazon are in the process of forcing 500 years of printing and its distribution channels to adopt new business models. This development is already in full swing in the music industry and has the potential to turn conventional retail upside down. The triumphal advance of the Internet and e-commerce is changing the way in which the world gets its information, exchanges views and ideas, and shops. There is no sign that this momentum is about to change. The launch of user-friendly Internet browsers in the mid-1990s triggered the race for ever cheaper and more powerful terminals; since then, the story of retailing has been an ongoing process of steady revision. Bypassing the shop.

Unstoring denotes a development that short-circuits the classic retailer. It is a future that could render shops superfluous – if they refuse to change. The reality is that digital technologies are increasingly part of the real world. The clear distinction between online and offline, between virtual and real, is blurring as the two universes merge. But what will happen to conventional shops when more people use the (virtual) pixel shopping cart than the conventional (real) wire cart? When sales migrate off the retail floor, it is time to reinvent the retail store.

Facebook Considers Adding The Hate Button.

Just imagine the impact on your brand's Facebook centered marketing strategy if you have more "hates" than "likes" on your brand's timeline. 

When the original Like button was announced, Mark Zuckerberg made a bold prediction there would be over 1 billion Likes across the web in just the first 24 hours. Sources at Facebook say Mark is estimating 2 billion Hates on the first day. Facebook studies have shown the sad fact that people hate things on the Internet more than they like things. There’s also an internal debate on whether the new button should be called “Hate” or “Dislike.”

Since the tiny Like button makes up such a huge part of Facebook’s revenue, the introduction of the Hate button could raise Facebook’s valuation further ahead of the IPO.

If FB decides to add the button, then personally I think "dislike" has a better ring to it than "hate".

Read more about the possibilities of hate button here