Design for DT

8/3/2019 Design for DT

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generalTradeDesignfor

Property of Unilever Asia Pte. Ltd.Strictly for Internal Use OnlyBy: Ronald Fernandez & Anthony Woo


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sit back and relax

because Im goingto tell you what you

already know


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Did you design your packs with

GTenvironment in mind?


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Or this shelfin a supermarket?


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MT=1.2x2shelfGT=0.1x0.2space

Packaging rarelyappears as you

would like it to at GT


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this has tochange


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Start with her

GT?

How

does she

shopin


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1

She asks for the productHe gets it for her

2

3 4

5Hands her the product He tells her the price

She pays and leaves

This process heavily influence the shopping behavior

in GT


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1

She asks for the product

He gets it for her

2

3

Hands her the product

4

He tells her the price

5

She pays and leaves

Loops back to

1 if she buysmore than 1item


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This happens

10,000,000times a day in

GT


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Did youspotany issues oropportunities?

But


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The GT Shopper is always at least

3 meters away from your product.

Typically theres a counter and a

merchant between your shopper

and your product. When you areat a distance its hard to:Read fine printRead back of packPick the product upSmell the productSee what it is and why it isbetter

Issue


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We must make sure that our products are identifiable and understood at

a distance of at least 3 meters. We must also create ways for our GTshoppers to interact with our products. In GT the counter is a fence

keeping you away from the products and the merchant is thegatekeeper.

Use IconographyUse Large Font for keymessages

Opportunity


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Space is a major constraintfor merchants, thereforearranging their productsinside their store is a hugechallenge. They are trying to

maximize return from minimalspace. In most cases thefront of pack is not evenshown to shoppers because itis not the most efficient way

for the merchant to organizeproducts on his type ofshelves.

Issue

Can you tell what this is?


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Design for the worst case scenario. Side and end panels will probablyface your shopper. Therefore make sure the most important information

is present:(1)brand(2)variant(3)size.

Ensure that each packaging panel is selling. Facilitate easier shoppingdynamics for both merchant and shopper by giving them what they arelooking for.

Message

Opportunity

CopyofMessage

CopyofMessage


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Packaging rarely appears as wed like it toin a GT store. Instead, packages are:

frequently knocked overfacing sideways

backwards or upside downpartially obstructed

scrunched updentedpinned on a wallIt impacts quality perception, makes keymessage unreadable and often leads tohigh levels of shrinkage.

Issue

Square shape melon isdesigned to make displaying

and storing easier.


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The ideal scenario is to have a ready to sell packfor a GT store similar toshelf ready packaging (SRP) for MT. It should be easy to put up and withinarms reach of the merchant. We should do the following:

Ready to Sell Counter-top unitsReady to Sell Packaging for GT

Opportunity

Be aware of current location and merchandising practices for eachproduct.

Think of designing a scaled down version of a gondola end. Design a pack that can be fully independent from a merchants

intervention by improving product visibility, protection against

shrinkage and fit a display space perfectly. Ensure that the merchant would feel like the pack is worth showing to

his shoppers and not tucked away in his back room.


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Wire Racks

Displaying shelf-ready packs can bechallenging in GT due to the strengthof the material to withstand stacking.Wire racks are a great tool to enable

stacking in GT.

Best Practice Example


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Having GT Ready Packs gets yourbrand placed on the stores HOT

SPOT i.e. counter-top

GT Ready Packs



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Holes for Ease of Display

Doy packs and pouches are often pinned orstapled to a wall or on a shelf. This sometimesleads to shoppers rejecting the product due toquality issue. Having a hole on the pack canreduce shrinkage due to tampered packaging.



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We dont do it consistently


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He gets it for her

2

Unlike in MT, there are no

categories and aisles


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Shelves in MT areorganized based on

category managementprinciples

MacroCategory Category Brand

Foods Cooking Aids Knorr

tea toothpasteshampoo laundry

facialmoisturizer

toothbrushsoup

diaper

Merchandising inGT is a huge

Melting Pot

4 meters, 1 category 2 meters, 8 categories


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The GT merchant organizes his stock to getthe most out of his limited space. He

typically arranges his products in thefollowing manner: Pack type: sachets, plastic bottles, cans,

decanted, etc. Pack size What sells most (fast versus slowmoving products) By manufacturer or brand

Products will be mixed up together andthere wouldnt be any clear segmentationbased on category adjacencies. Therefore

youre competing across, notwithin category for visual attention.

Issue


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Make sure your products can be recognized and identified amongstanything. Use explicit visuals on pack to signal to the merchant and

the shopper which category the product belongs to. If youre ashampoo, look like a shampoo. Use noticeable and obvious colordifferentiation, color blocks and icons to distinguish one variant fromanother. Use POS to help the merchant cluster like minded products

together.

Use picture of product on sachetFit the Stereotype

Opportunity


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Typically theres more to buy than what youcan see in a GT outlet. This is driven by ahost of factors: space, fixtures, range, back

rooms etc. The merchant has to make atrade-off between what he puts on displayand what has to be stored somewhere else.This means that shoppers are not alwaysaware of the total offer in a GT outlet. Onmost occasions they have to ask themerchant for the product they want. These

requests can be branded or unbranded. Anunbranded request opens up scope for themerchant to choose on behalf of theshopper. He will make this choice based onthe following factors: If he knows the shopper personally he

may well know which brand she wants(or usually buys)

He may go for the brand that is iconic tohim thinking its the best choice forthem

He may simply try to push a brand if hehas too much stock or makes moremargin

He may simply go for what is in withinhis reach

Issue

Whats on offer?


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Issue

Source: Project Sari-sari 2008 Philippines

Thats the best conversion rate you canexpect for if you are not seen at the POP.

If you are not the lead brand visibility isabsolutely critical

33%

30%

11%

Unprompted BrandAwareness

Top of Mind


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Most MT fixtures have adiamond hot spot

centered typically onthe beacon brand -

more eye movement ishorizontal, workingwith a vision zone of

1-2m wide and 1m high

In GT the diamondhot spot is area

around the merchant


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Opportunity

Unilever needs to create a simple way to show GT shoppers whats onoffer so they can ask for exactly what they want (i.e. a specific

branded request). The concept of counter module, counter menu,merchant endorser signage all tap into this opportunity. They allow

the merchant to show what is actually for sale without having todisplay the physical stock.

Counter-top Mat Counter-top Module


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Counter-top Module

Places the products on the hottest spot in thestore where all the transactions are happening.Makes it easy for shoppers to know that itsavailable and also within arms reach of themerchant.



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Counter-top Mats

Counter-tops and

hatches are visualhotspots for shoppers tosee whats on offer



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Swing Racks

Captures the line of sight of shopperwhen they approach the store fromthe side of the street. This can showthe total offer available which can be

hidden behind the counter.



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RO-RO Modules (Roll-in, Roll-out)

Increase selling area andcommunicate product availability



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Shadow Board

Back-shelf inside a GT store can hardly be seen by the shopperstanding behind the counter. Shadow board improves product

visibility by doubling the visual cues with shelf stickers.



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3

Hands her the product

Unlike in MT, shoppersare partially committed

to buying the producttheyve asked for


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Theres a high percentage of shoppers buy the first product they encounter according to amodern trade study1. It is the same in GT, but also different. The shopper is partially committedto buying the product once she asks for it. Once it is given to her, she is embarrassed to askthe merchant for more product to choose from even though she doesnt know the price yet.Sometimes the choice is up to the merchant when the shoppers make an unbranded or

category request. This even happens in self-service GT outlets where 62%2 of shoppers stillprefer to walk up to the merchant and ask for the products.

* Source: 1. Why we buy, Envirosell 2. Project Face-Off, Indonesia

Advantage of Top of Mind

Point out the product and

shopkeeper hands it over 78%Takes the product by

herself 38%

Over the Counter Outlet Self-service Outlet


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Are we understood?We typically design for MT thentry to fit everything on to a GT

pack that is less than half thesize. The average pack size issmaller in GT, therefore it is

even more important to makesure you have simple, clearmessages and unclutteredpacks.

In MT, you could easilydifferentiate the shampoo fromthe conditioner because of theshape of the bottles. It will be a

challenge in GT sinceeverything is in a sachetformat. Having the shape of theconditioner bottle printed onthe sachet can overcome thisissue.


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4

He tells her the price

Unlike in MT, shoppersdoesnt know the priceuntil the merchantsays it


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Issue The majority of the products sold in GTstores do not have price tickets (tags). How

can you judge value if you cant see the

price? The merchants usually has the price in

his head. So the only way to find out the

price is to ask him. This heavily influences

how shoppers behave in GT stores. Typically

when a shopper buys in a GT store she will

walk up to the merchant and ask for theproduct. The merchant will then look for the

product, hand it over to the shopper and

mention the price. At this point she is almost

committed to buy and if she wants to do a

price/ value comparison, she would have toask again and again. Therefore shoppers

cant do their own value assessment at the

point of purchase. This can work for and

against us.

Can you tell that we arecheaper than competition?


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Packaging should portray value in a visually explicit way. Where weare better value we need to show that we are better value.

Where we are at an absolute price disadvantage, we should showour value added benefit and not talk about price. The pack shouldalso look the part; premium look for a premium price or a modestlook for a cheap price. A cheap packaging with a high price is a

bad combination. Brilliant execution in-store is very critical becauseeverything should be understood from a distance.

Opportunity


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Magic Pricing

Ask for the price theyhave in their pockets



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5

She pays and leaves

Similar to MT, merchantsalways want to sell more


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It will happen 10 million times again tomorrow

How do we buildloyalty in GT?

B ild Relationship d G i Brand Advocates


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Build Relationship andGain Brand Advocates

Half the battle is won when you win over themerchants. They are the gatekeepers that stands

between you and your shopper.


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Building consumer loyalty via promotion is a

challenge in GT because the merchant is alsoa barrier in executing the promotionmechanics properly. For example a free itembundle is typically resold by the merchant.

A local manufacturer in Indonesia came witha very ingenious solution by placing a scratchand win promo on every sachet. Itencouraged shoppers to continue to buy theparticipating brands because they might getlucky.

Shopper Promotions

Scratch & Win

In Summary GT Design Issues


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Therearetwobigbarriers

keepingGTshoppers

awayfromyourproducts:thecounterandthe

merchant

Howdoyougetnoced

whenyouareamongst

anythingandeverything?InGTyoureastockitem

onashelfnotaproductin

acategoryinanaisle.

Merchantswillmaximize

returnfromtheirsmall

sellingarea.Somakesureyourbrandisvisible

regardlessofhowits

merchandised.

Themerchanthasthe

priceinhishead,

thereforeshoppers

cantcompareprices

InMTyoupicktheproductup

andputitinyourbasketwhile

inGTyouhavetoaskthe

merchantforit.Whatyouseeisnotallthatyoucanget.

In Summary GT Design Issues

6 Things to RememberGT Design Guide Questions


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6 Things to Remember

Willitbeseenfrom

3meters?

Ifitsashampoolook

likea

shampoo!

Arethekeyelementsvisible

oneachsideofthepack?

becausetherearenopriceckets

Think30cmGondolaEnds

GT Design Guide Questions


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agreement with the copyright owners. Any unauthorised usemay lead to legal action. Unilever 2010.

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