‘Initially, a retailer focuses on the rotation of his products; how much do you sell? And on revenue; How much profit does it make? But how do you encourage a continuous increase in rotation and revenue?’ Wim van den Berg asks, Retail Marketing Manager at Growers United. ‘By investing in a relevant product range. And how do you create such a product range? Which products do you choose and why? How do you make guarantee that your product range keeps meeting your shoppers’ current needs?’
Distinguishing yourself from competition with a coherent product range
‘What defines a relevant product range? When it helps establish a destination category. In other words, this product range is so iconic, that shoppers will visit a specific retailer because of it,’ Wim explains. ‘And when, next to providing this iconic product range, a retailer keeps focusing on its brand value(s), you can a success formula is born.’
‘Take Marks & Spencer for example. Its brand value(s) have been clear from the start and the retailer has been staying true to them to this day. Since its establishment, Marks & Spencer equals accessibility, reliability, and lasting quality. Also, Marks & Spencer only offers one or two variants of every product, to keep things clear.’
‘Boots is another great example. This retailer sells affordable (premium brand) health and beauty products. But what truly distinguishes Boots from its competition is its relevant product range and temporary promotions. Stimulating both routine and impulse purchases.’
Successful range: knowing which products to choose and which to cut
‘To create a successful product range, the first question to ask yourself is, “Which products bring something extra?” or “Which products meet the current needs of my shoppers?” And due to a product range being a dynamic concept, looking at it with a critical eye remains important. For example, which products are selling less well than anticipated? As soon as these products are cut from the range, valuable space appears for products that do meet the current needs of shoppers.’
Fruit and vegetables play crucial role in successful product range
‘Fruit and vegetables play a crucial role in a successful retail format. This product group’s rotation and revenue, instantly boost a value increase. A service supermarket – a retail format known for its broad product range – can offer fruit and vegetable products from affordable to premium. Within the tomato range for example, a distinction can be made between routine, premium and impulse products. This means every shopper has a choice, something that adds to a retailer’s value and success.’
‘To present a relevant product range, retailers have to know what motivates their shoppers,’ Wim says. ‘What are their current needs, when visiting a specific retailer? Because of our (international) shopper research, Growers United knows which fruit and vegetable products are successful at which retail format and also, where extra attention is needed. By analysing this up-to-date data, we can adequately support retailers in creating an effective and efficient product range. So, their shoppers will instantly find what they are looking for, and maybe a little more.’
Growers United uses up-to-date shopper insights to adequately assist retailers. Curious to know how we can create a relevant product range together? Check the website of Growers United for more information or get in touch, via marketing@growersunited.nl or +31 (0)174 238 000.