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PERU: WHAT IS TRADITIONAL CHANNEL?

70% of the consumption is made through the traditional channel and the wineries are a very strong element in the purchase of the Peruvian.

The traditional channel in Peru is one that allows you to sell a product to the consumer through markets, warehouses and kiosks.

Among the main characteristics of the traditional channel is that the number of points of sale does not decrease despite the growth of the modern channel. In addition, it is the main means for sales of the categories of first necessity.

The economic situation causes the shopper to take refuge in the traditional channel and make daily purchases, hitting the self-service channel that is designed to generate a greater purchase routine.

“The average family makes small or medium purchases in the traditional channel. More than 80% of the shopper’s spending is by basic categories, “said Cecilia Ballarin, Client Development Manager of Kantar Worldpanel.

In the interior of Peru, the wineries and markets continue at the top, reflecting more than 90% of sales; and in the case of the capital, 70%.

The traditional channel responds especially to the need of a population whose income is daily or weekly, a population that represents more than 50% of the EAPO that forces them to make the purchase on a daily basis, with a small volume and in a nearby place.

It should be noted that the markets and warehouses are a distribution channel more than the companies choose to take their products to the consumer in the most complete, efficient and economic way possible.

CHARACTERISTICS OF THE TRADITIONAL CHANNEL

– Price is a key element

– There is little brand fidelity

– Daily or weekly income with little access to credit

– Daily purchase frequency

– Does not have own transport

– The high informality of the traditional channel allows to have low operating costs and therefore good prices

CHALLENGES AND STRENGTHS OF PERUVIAN BODEGAS

The wineries are present in our day to day.

These stores compete with the modern commerce that little by little has managed to advance in its penetration in the last 20 years.

“70% of the consumption is done through the traditional channel and the wineries are a very strong element in the purchase of the Peruvian,” said Yadira Kawasaki, business development manager of Fundes Peru.

To date, there are approximately 400,000 wineries throughout Peru, of which about 200,000 are concentrated in Lima on average.

Today, the challenge of the wineries is to renew, diversify and improve the services they offer their customers against the competition.

“The winemakers must diversify the forms of payment and that is not only cash because they are competing with the convenience and discount stores that have implemented POS. A differentiated offer of services and products will allow entrepreneurs to begin to feel the impact on their businesses, “Kawasaki told Peru Retail.

He also said that they want winemakers to realize the important role they have in people’s daily lives.

However, the wineries have great challenges to be able to compete with the convenience and discount businesses.

“Today its new competition is convenience stores and discount, because there is a vacuum that the winemakers have not filled, composed of modernity and technology,” said Víctor Guaylupo Marroquín, director of the School of Business Development of Arca Continental Lindley.

SALE OF BEVERAGES

For the winemaker, the sale of beverages will always be important, approximately 20% of the total. That is, 1 out of every 4 that goes in buys a big or small drink.

Among the buyers, the drinks represent 44% of their spending per purchase trip (average of 6 soles per soft drink).

Source: PerúRetail

 

EVENT MARKETING: 7 TRENDS THAT WILL OPTIMIZE THE EXPERIENCE

Within the variety of disciplines of Below The Line, the organization, planning and execution of events is one of those that generate the greatest expectation among the public, as well as being one of the brands’ favorites.

At the end of last year, the investment destined to event marketing in Mexico was 12,450.9 million pesos, that is, 24.3 percent of the 51,879 million pesos that were invested in the BTL industry, besides being the second most important service. offered by agencies in the country.

Seminars, congresses, conferences, exhibitions, fairs, conventions, product presentations and festivals are some of the types of events that a brand, from the hand of a supplier, can develop for specific promotional purposes.

Trends in events

While a festival is very different from a seminar or convention, there are certain elements or trends that converge in the vast majority of events, and more in response to the demand of audiences to receive memorable experiences, which is ideal for brands that have , as one of its main objectives, to motivate an emotional connection with its audiences.

In this sense, Eventbrite and Global Meet and Events Forecats of American Express suggest the following trends.

  • Convenience: that is, that the place where an event takes place has easy access routes, such as roads, airports, nearby hotels and other points that make their arrival and departure simple and optimize times.
  • Non-traditional locations: museums, squares, not very used establishments, lounges, among other enclosures or outdoors are some of the sites that can work to improve the experience when dealing with unusual places to make an event, but which are sure to be attractive for the attendees.
  • Use of new technologies: virtual reality, for example, is one of the most required in events of various kinds; thus the lived moment is maximized, as well as the emotions experienced.
  • Live broadcasts, via streaming: César Monzón, Sony’s Digital Business Manager in Mexico and Latam mentioned in an interview that, thanks to this type of resource, a brand can increase interaction in social networks, as well as awareness and preference for the firm.
  • Activation of sponsorships: acting as a sponsor in an event allows the development of other marketing actions at par, such as activations, direct marketing, delivery of promotional items, among others.
  • Development of mobile apps of the event: create applications that show schedules of bands presentations and the scenario where they will be, that allow to select the groups of interest and emit alerts when they are close to going on stage, informative content about the event, among other types of Data optimizes the experience even more.
  • Sustainable actions: applying circular economy actions such as the creation of thematic vessels, made from barley husk or compostable materials, is a trend that has been well received, which, in turn, bring added value to the consumer, improve branding , help the environment and make attendees feel identified with the brand.

Another aspect that, besides being a trend is a key factor and indispensable in any event, is the security for all attendees. In this regard, Fernando Famanía, Co-Ceo of the Ifahto agency mentioned in an interview that, in Mexico unlike other countries, it is a little care that should be a priority for brands and suppliers to guarantee not only the good execution, experience and results of the event, but also to safeguard the integrity of each and every one of the attendees.

Source: Lizbeth Sierra – InformaBTL

 

WHAT IS VISUAL MERCHANDISING AND WHY IS IT IMPORTANT?

The visual and sensorial aspects in a store are fundamental to be able to specify the sale and generate brand positioning.

The visual aspects in a store are fundamental to be able to specify the sale and generate brand positioning.

Visual merchandising is a strategic tool that involves the generation of an attractive, sensory and emotional environment to encourage purchase in the user using all available physical space.

The consumer should be attracted to the products displayed in the store, for that it is important to ensure that the visual aspects are in harmony and that they are in trend.

To be able to make the purchase, it is important that the items in the store are organized and ranked around the concept of this. These elements involve the products, lighting, furniture, showcases, typography and colors on the signs, among others.

IMPORTANT ASPECTS OF VISUAL MERCHANDISING

Aromas: The sensory senses are important in the shopping experience, therefore, companies select a particular aroma that is present in all its premises and even impregnated in the clothes so that the user can easily identify it.

Lighting: Depending on the products of the store you can find a different lighting and according to the theme of the place. Department stores tend to have more dynamic lighting, while specialty stores such as boutiques tend to be more subtle in terms of lighting to highlight certain products.

Signag: The graphic immersed in the store has a very important identity component, however, the function of guiding the customer inside the store is also important. The testers, boxes, counters, section of shopping bags must be well distributed to ensure that traffic is agile.

¿WHAT IS THE DIFFERENCE BETWEEN VISUAL MERCHANDISING AND WINDOW DRESSING?

In both cases, what you want to achieve is to project a consistent brand image and that the buyer can recognize it just by looking at the appearance of the store, colors, smell, furniture, among other things.

This is why the choice of all these elements should be consistent with what the brand wants to convey to consumers and how they want the competition to see it. The colors as well as the typography, are aspects that determine the style of the products as well as the personality that is wanted to transmit to the objective public.

WINDOW DRESSING AND VISUAL MERCHANDISING

These two activities need to work aligned to the brand concept. The visual merchandising what it achieves is to retain the user in the store thanks to all the visual and sensorial elements and to encourage it to the purchase, the key is to create a close environment with the client, who feels comfortable in the store and who returns in the shortest possible time.

On the other hand, window dressing is responsible for capturing the greatest possible traffic in the surroundings close to the store. This action is responsible for attracting the attention of buyers who are a few meters away from the store and who in passing are interested in the products by the type of showcase assembly found in the showcases.

The value proposal must be identified and be able to mark what is the trend for the consumer and the item in which the store is located. If it is a clothing store, the armed showcase should have the latest trend in that area and make it look like something unique.

Similarly, stores such as toy stores, accessory stores, sports, among others, create a context around their products and the space itself in the shop window. While the experience that emerges from the products is more real seen from outside the showcase, the customer will enter without any doubt.

Source: Perú Retail

 

5 TRENDS IN DESIGN THAT HAVE STOOD OUT IN 2018

By introducing a new product in the market, brands use different strategies to communicate to the consumer about their launch and motivate their interest in it. One of them is packaging, which, besides containing and protecting what it contains, keeps a commercial and image function in such a way that it has a striking presentation for the target.

In 2017, 65.9 percent of consumers in Mexico said that being in front of a packaging that is attractive to them, this may be sufficient reason to change their purchasing decision, as indicated by the Research Department of InformaBTL.

The fact that a package and its design have the ability to modify an intention to purchase, responds to how it is perceived by the client and how it reacts at the brain level.

Charles Spence, professor and head of the Intermodal Research Laboratory, part of the Department of Experimental Psychology at the University of Oxford, affirms that the colors, smells and textures of a packaging are key factors, at the moment not only to make the purchase decision, but also when it comes to identifying a brand, hence several packages, wraps, bottles and others have a certain color palette.

In this sense, there are trends in design that, in addition to influencing the perception of the customer to make their purchase decision, have made the packaging allows a brand to stand out on the shelf.

SIMPLICITY

Minimalist designs, with few graphics but that highlight the image of the firm, facilitate a better reading by the shopper, besides looking cleaner and more orderly.

PASTEL COLOURS

This type of colors and tones are aimed at the sensibility of the users, besides being a great option to give the products a warm aura.

PHRASES WITH LARGE TYPOGRAPHY

A good way to get the attention of the shopper, send a clear message and facilitate the reading and understanding of what you want to communicate, the use of large-scale typography is a trend, which requires a correct choice of typography, as well as of colors and location in the packaging.

STRUCTURES, ILLUSTRATIONS AND VINTAGE DESIGN

This type of packaging, in addition to evoking a fashion and culture, gives the brand and product a strong identity, if it is a launch it strengthens its promotion and awakens in the consumer an emotional connection given the nostalgia it generates.

USE OF HOLOGRAPHIC ELEMENTS

The holographic foil stamping can turn the ordinary into something out of the ordinary, since it is able to add depth, texture and different effects.

Source:  Lizbeth Serrano – InformaBTL

 

WHAT DOES THE PERUVIAN CONSUMER DEMAND FOR BRANDS?

The Pura Vida case, the discussion of whether Sublime was chocolate or not, or the presence of parasites in Florida mackerel preserves have been some crises that affected the main mass consumption brands last year. A year in which, without a doubt, the credibility of the companies was questioned.

In this scenario, the Estudio de Marcas 2018, which is developed every year by Arellano consultant for Día1, has gone further and includes – in addition to remembering – the level of credibility and relevance that consumers give to those brands they use most frequently. . Let’s see.

THOSE THAT LEAVE FOOTPRINT

Aligned to the trend marked since 2017, this year’s ‘top of mind’ has reaffirmed the presence of technological and sports brands in the top ten most memorable ones. Along with, of course, the brands of mass consumption, among which Gloria remains the queen, despite the reputational crisis she experienced last year.

While the leadership of the emblematic brand of the Rodriguez Rodriguez is indisputable, this 2018 fell a point against last year and shortens the gap against its competitors in the ranking. It is worth mentioning that in 2017 he already suffered a setback of five points.

Enrique Bernal, manager of Solutions of the consultant Arellano, explains that the loss is due both to the setbacks that the brand had as to a very active competition, which is gaining more space in the day to day of the people, “he says.

For his part, Marcel Verand, an expert in personal branding and teaching at Pacífico Business School, points out that one should take into consideration that today consumer tolerance has dropped considerably, even with ‘lovemarks’.

The leader is followed by Coca-Cola, Samsung and Inca Kola among the most remembered. Stresses the recovery of beverages within the count against the setback of 2017 because of the El Niño coastal phenomenon. Bernal argues that the absence of a similar event and a greater frequency of consumption allowed them to recover their privileged scepter.

The technological brands, on the other hand, also have a prominent presence in the Arellano list. Samsung is in the third position and a little behind are LG and the giant Apple, which continues to climb in the minds of Peruvians.

Bernal indicates that the technology is gaining a predominant space, to be part of the daily life of people. And do not be wrong. Ítalo Zolezzi, marketing manager of Consumer Electronics of Samsung, reaffirms this when he points out that Samsung has the objective of providing more solutions to be in the different moments of people’s lives through technology.

The sports brands, meanwhile, tread strong among the favorites for the second year in a row, despite a slight setback this year. “His presence is related to a more sporty lifestyle and, above all, to a preference for a more casual way of dressing,” says the consultant’s analyst.

CREDIBILITY IN JAQUE

Although Gloria leads the ‘top of mind’ ranking consecutively, when we talk about credibility with its consumers, the brand appears a little more relegated. According to the study, it ranks behind its direct competitors in the dairy, food and beverage categories. The Pura Vida case is not forgotten? Has the consumer become more suspicious of brands?

For Bernal, it is clear that it has impacted not only Gloria but the entire dairy category. In as much, Verand assures that the lack of credibility transcends to the marks. “The context of the country is a bit felt by corruption and widespread distrust, and that also moves to brands. It costs the consumer to forgive mistakes ” judgment.

In the case of dairy products, for example, the main motivation for a purchase today is respect for the law and transparency. A fundamental issue that denotes consumer demand and a greater concern to ingest quality products. Moreover, after the crises of last year and the latent discussion around the law of healthy eating and changes in labeling.

“The experience with Pura Vida has allowed us to learn on several fronts and one of them is that we must go far beyond what the law requires, to exceed the expectations of our consumers. So we have started several projects that will be announced very soon, “says Gloria to Día1.

According to the report, white line, universities, clinics and beverage companies are those that today enjoy the greatest credibility for Peruvians. With brands such as Samsung, PUCP and AJE with a confidence above 80%. The other side of the coin is insurance, department stores and telecommunications companies. Movistar, Ripley and Rímac throw the worst statistics.

For Verand, Movistar has not managed to establish a strong link with the consumer or to retain it, and now it suffers. Entel, in a short time, conquered that confidence.

As for Ripley, apparently, it would not have been completely cleaned up of the allegations of labor abuses facing the consumer, which is why it barely borders on 33% of credibility, adds the professor. Bernal says that, related to this, consumers begin to value more the contribution of brands to the improvement of society as a real motivation for purchase.

Although respect for the law and contribution to society are not yet among the first motivations of purchase (right now are the quality and fair price) at a general level, the executive ensures that they are factors that appear more and more often as reasons purchase of Peruvians and are escalating in the categories of mass consumption.

What will brands do to reinforce trust and stay fixed in the consumer’s mind?

 

Source: Claudia Inga – El Comercio

HOW TO CONVERT BUYING BEHAVIOR INTO A COMPETITIVE ADVANTAGE?

México es de los países que más compras realizan fuera del hogar, por lo tanto, para ciertas categorías, el consumo fuera del hogar es importante para impulsar el crecimiento.

Fabián Ghirardelly, Country Manager de Kantar Worldpanel México, agencia líder en conocimiento de hábitos de compra de los hogares, nos comparte su opinión sobre cómo convertir el comportamiento de compra en una ventaja competitiva y crecer ante un entorno de incertidumbre.

A continuación, el directivo comparte 10 puntos importantes a tomar en cuenta para no dejar de estar presentes en los hogares mexicanos, cualquiera que sea la vía por la que se quiera llegar.

1. Impact more households

The most important way for growth is to reach as many Mexican households as possible. This is the best way to obtain a higher return on investment and greater market share.

2. Impact more channels

From the small shop on the corner, the sale of door to door, to the modern channel, the brands must be present in as many points of sale as possible, since this will boost their growth.

3. Cover new cities

Mexico is huge and clearly the brands can improve their development having presence in more cities of the country where they have not yet arrived.

4. Successful innovation, high impact innovation

In the country the development of innovation is high, but unfortunately there are few successful cases. It is important to understand and know the buyers to be able to offer attractive solutions and thus have a high impact on the market.

5. Attacking new moments of consumption

Many brands, by their nature, have concentrated their efforts on specific consumption moments. The challenge now is to look for uses or occasions of consumption to develop brands. Knowing with what type of products the brands coexist will give them a guide to where to go.

6. Attract consumption outside the home

Mexico is one of the countries that make the most purchases outside the home, therefore, for certain categories, consumption outside the home is important to boost growth. Brands must offer appropriate formats in correct channels, it is essential to grow in an uncertain environment.

7. Obtain purchases of new price points

Covering new price points (disbursements) in the category will be a new source of income. From Premium options and also opportunity in affordable options.

8. Communication more linked to consumption

It is becoming increasingly difficult for brands to invest in media, to have a more efficient and effective communication, the ideal is to understand which means the most frequent buyers of the brand consume to seek their loyalty or understanding the non-buyers of the brand to attract them.

For each type of buyer the communication must be differentiated: the first case is the most emotional and for the second most functional case.

9. Optimize the development of categories

Certain chains show less development for certain categories or, conversely, they encourage growth. It is critical that brands optimize development by specific channels and channels.

10. Effective promotions

Promotions are important for brand sales, but they must take care of their planning so that your target audience generates greater impact and loyalty. For example, when promotions last a long time, they play against each other because they lose the credibility of consumers.

Source: Perú-Retail

5 ACTIONS YOU SHOULD IMPLEMENT IN YOUR BTL STRATEGY

It is estimated that Mexico would have reached 54.2 billion pesos, according to the InformaBTL portal.

Commercial communication has become increasingly dynamic with technological developments and the interpretation of consumer needs, increasingly present in the tasks performed by brands.

This has allowed the redefinition of the concept of the consumer, because now there is greater knowledge of its route within points of sale, the feelings it registers before certain campaigns and the interest it has for certain products based on needs and demand for content.

From this scenario there are five actions that can be implemented in a BTL strategy:

1. Approach the consumer

  • Meet the new consumer
  • Identify your omnichannel profile
  • Develop predictive models
  • Understand privacy that demands
  • Identify the digital impact on it

2. Point of sale strategy

  • Size the challenge that Mexican retailers have to offer an omnichannel experience
  • Know the golden rules to be an omnichannel retailer
  • Understand retail pricing strategies
  • Know the trends in point of sale: technology, showrooms, smart mirrors, shops without rows and purchase with face reader
  • Meet the Shopper journey: the digital future at the point of sale

3. BTL Digital

  • Big Data in BTL
  • Understand the power of personalization in a BTL strategy
  • Social networks as a protagonist in eCommerce and the payment trends within which it has
  • Virtual Reality, Artificial Intelligence and Personal Assistance 

4. Experience marketing

  • Create an experience marketing strategy
  • The tools to generate shopping experiences
  • The challenge of experiential marketing: How to capitalize on brand experiences?
  • Content marketing as a generator of experiences
  • The mobile experience of the consumer

5. Entertainment and influence

  • Brands as the future of entertainment
  • What role influencers play in entertainment
  • The role of stadiums, tournaments, concerts, sporting events, as a marketing opportunity
  • Activation of sponsorships and experiences within the event
  • The future of entertainment marketing

In order to know each of these points in detail, the Below the Line and Entertainment Diploma is composed of interesting and cutting-edge topics about BTL, through which you can analyze the different strategies used in current commercial communication to understand the consumer purchasing behavior, know what are the different ways to get there, know the global trends of BTL and its effects on the mix of digital marketing, among many other topics.

In 10 classes you can learn from the experience of teachers each with a long career in the marketing industry Below The Line. Undoubtedly, with their teachings you can create innovative strategies that will impact your target audience. The Diploma in Below the Line Marketing and Entertainment is the only program of its kind worldwide, which has an international curricular certification endorsed by the University of Nevada, Las Vegas.

Source: Merca2.0

TECHNOLOGY AS AN ADVERTISING MEDIUM IN CORPORATE EVENTS

In corporate events, such as presentations, exhibitions or fairs, it is important to draw the attention of the attendees to approach your advertising stand. Achieving it is essential to get prospects and potential customers.

However, getting attendees to come to the stand, feel interested and ask questions is not an easy task. In the place there will be much competition and distraction, so it must stand out from the crowd and resort to advertising. Given this, the use of technology as an advertising medium is the option that guarantees results, says Stringnet.

What is technology as an advertising medium?

These are solutions that employ technological methods to transmit messages and ideas of a brand or a product with an advertising objective. For this innovative resources are used, such as virtual reality, augmented reality, holograms, 360 ° videos, video mapping, among others.

The combination of types of solutions, whether audiovisual, multimedia or interactive, offers an infinite potential in terms of the way of transmitting a message. Therefore, it is unmatched for other forms of advertising.

Why use technological resources as an advertising medium?

The traditional means of advertising at corporate events no longer offer great effectiveness because they have become a “commodity”. They no longer arouse interest in people. On the contrary, technological means are very powerful resources to capture and maintain the attention of people.

Who would not want to experience a virtual reality game for the first time in their lives? Who would refuse the opportunity to be part of an augmented reality experience? It is just that condition of novelty and innovation before the public that offers an attractive differential in relation to traditional methods.

Of course, differentiating is essential. While all (or most) of companies use traditional methods to promote their brand or their products, the one that differentiates itself with innovative and eye-catching technological resources, will attract the most future clients.

Finally, if the content and the appropriate strategy are added to the technology, you will be able to impact the public with unforgettable brand experiences.

 

Source: Informa BTL

5 TRENDS THAT WILL PROMOTE THE FUTURE OF PAYMENT METHODS

Se pronostica que en el 2019 las transacciones a través de móviles alcancen los 1,080 mil millones de dólares a nivel mundial.

Las transacciones en efectivo o sin efectivo es un tema importante para toda empresa. Actualmente uno de los principales métodos de pago que está cobrando mayor relevancia en el mercado a nivel mundial son pagos móviles.

Una estadística de TrendForce publicada en Statista presenta la previsión de la evolución del volumen de transacciones realizadas mediante pagos móviles a nivel mundial desde 2016 hasta 2019. Según la firma, para el año 2018 se pronostica un volumen de transacciones mundiales realizadas desde smartphones superior a los 900 mil millones de dólares, cifra superior en comparación el año anterior con 780 mil millones de dólares. Sin embargo, se prevé que esta aumente a 1,080 mil millones de dólares en 2019.

A propósito, Accenture realizó una encuesta a consumidores estadounidenses sobre medios de pago en 2017 y descubrió que existen diez tendencias, las cuales impulsarán el futuro de los medios de pago. A continuación te los presentamos:

1. The growth of generation Z

According to the firm, this demographic group does not remember anything before Google, Apple, Facebook and Amazon, so it will influence the payment methods of other consumers.

2. Mobile finds its rhythm

Similarly, delivering a mobile payment experience is basic, and is required for the battle for the consumer.

3. The user experience is the new gold

This battle for the consumer is leading companies to create differentiated experiences to attract the attention of consumers.

4. The revolution of rewards

The award ceremony will be more relevant for consumers. Therefore, the actors of the means of payment have the opportunity to deliver prizes according to the needs of the lifestyles of consumers.

5. The merger between fintechs and banks

Finally, perhaps one of the most interesting trends is the integration of technology to improve financial activities. According to Accenture, fintechs and banks will boost the future of transformation in means of payment. Banks have brand recognition, industry knowledge and a customer base to scale.

 

RETAIL SECTOR AFFECTED BY THE LOW DEMAND OF SALES IN CHRISTMAS 2017

The retail and mass consumption sector will back 3.2% in this Christmas campaign, according to EY Peru.

During this year’s Christmas campaign, the retail sector and mass consumption will fall 3.2% in the Peruvian market compared to December 2016, although there has been an increase in the number of buyers since July and a better consumption due to the globalist fever, as revealed in its report EY Peru consultant.

Although football fever slightly overshadowed the start of the Christmas season, retail and mass consumption companies have been launching offers since the end of October as a strategy to counteract the slight drop in consumption that was expected, compared to the Christmas campaign of 2016.

For the Chamber of Commerce of Lima, the demand for gifts and food for Christmas 2017 could decrease due to the expense or indebtedness that many families had to assume as a result of the events of the Coastal Child Phenomenon.

“In the north of Peru, the influx of buyers to retailers has had a constant increase in recent months (5.1% in July, 7.8% in August, 10.5% in September and 12.9% in October) unlike what has been happening in Lima and in the southern region. Despite the outlook, the sector shows strong growth due to the opening of new shopping centers, “said Mireille Silva, Audit Partner of EY Peru.

However, Silva indicated that expectations continue to be auspicious throughout the sector. “Especially, this year sales in traditional channels (markets, galleries, warehouses, among others) will be superior to those of the modern channel (supermarket, shopping centers, online stores, among others),” he said.

According to the pollster GfK, in its 2016 survey about the Christmas campaign, 72% of Peruvians had planned to carry out their Christmas shopping in traditional channels, while 34% thought of doing it in modern channels; and it is expected that the trend will continue for this 2017.

“The reading of this statistic makes it clear that Peruvians are still willing to spend at this time, and identify traditional channels as cheaper and more profitable places to buy. Fortunately, the conjuncture of the classification to the soccer world cup has been a fact taken advantage of by many companies, especially of the textile, garments and household appliances “, the specialist emphasized.

Usually, the months of September, October and November are the most dynamic, since in that period the companies finance their inventories for the Christmas campaign. In this period, the sum of the products imported and acquired locally by the retail and mass consumption companies grew 5% compared to the same period of 2016, according to the logistic operator Dinet.

In 2016, Peruvians disbursed S / 540 million in food (panettone, turkey, hot chocolate, etc.) and more than S / 1,263 million in gifts only for Christmas. However, the demand for gifts for Christmas this year could decrease due to the expense or debt that many families had to assume for coastal El Niño.

For its part, the RDC consultancy, indicated that in December it is expected that the affluence of public in retailers back 3.2%, compared with December 2016. Additionally, Apoyo Consultoría mentions that 2017 will close as the year of lower growth of the last decade, taking into account that the basket of mass consumption between January and August contracted by 5.4%.

On the other hand, EY Peru indicated that in 2018 the sales of the main retailers are expected to improve, with non-conventional formats leading the growth of the sector. “The trends that will shape the business environment will be: the arrival of new international competitors (IKEA, Amazon), the expansion to the provinces of shopping centers, and the accelerated growth of the online channel,” concluded the EY Peru specialist.

Taken from: PerúRetail

negocios-mundial-peru-marketing-publicidad

GREATER BUSINESS OPPORTUNITIES THANKS TO THE CLASSIFICATION OF PERU TO THE WORLD RUSSIA 2018

With Peru in the 2018 World Cup in Russia after 36 years, various sectors will benefit. Companies, whether small or medium-sized, can generate new opportunities, thanks to the panorama that is presented after the classification of the Peruvian team to the World Cup.

Arnaldo Aguirre, Manager of Multiclient Studies of Arellano Marketing, said that 78% of Peruvians are fans of a national football team and that 83% watch national football games on television, thus proving the interest in this sport.

Regarding the media, Aguirre remarked that there are 1’000,000 radio listeners who dedicate between 1 to 2 hours a day to listen to sports programs and that there are more than 7 million fans on Facebook who follow a team from the national championship.

“Peruvian soccer has a great impact on the written press, since all newspapers have a sports section. In addition, compared to Argentina, Peru has more newspapers especially sports. This is a point that allows us to know the great potential that our country has, “said Arellano Marketing executive.

WOMEN MORE AND MORE FANATICS OF FOOTBALL

Breaking with the prejudice that football is a sport directed only for men, Arnaldo Aguirre said that 1 in 4 women go to the stadium to encourage the national team. This leads to determining that the new strategies should be designed for the female audience, as they are the ones who make the most decisions at home.

AUSPICES AND SPONSORSHIPS

Luis Carrillo, specialist in sports marketing, explained the difference between sponsorship and sponsorship, highlighting that sponsorship is a contract for long-term image rights, while sponsorship is a contract for advertising in a short-term media .

The specialist informed the audience about the different business opportunities that both large and small companies can take into account in order to take advantage of football fever. Being an official supplier of the selection is a business alternative if the company has a large budget. For example, sponsoring a selected player is an option that can cost approximately $ 100,000.

USE SPORTS INFLUENCERS IN SOCIAL NETWORKS

An asset that helps get data is sports tourism, having an alliance with these companies and make a draw. Through this method, you can get 800,000 records. Likewise, working with sports influencers is a new alternative that allows generating greater reach through social networks, since in 2018 there will be 9 million Peruvian smartphones that will be connected.

 

Taken from: PerúRetail

8 Trends that define the New Retail Industry

One of the industries that contributes most to the internal economy of a country and that employs thousands of people, without a doubt, is retail.

Retail stores, in their various formats, are not only an important source of work, but also a sector that makes available to the consumer hundreds of products that are promoted through different marketing strategies.

According to the National Association of Self-Service Stores (ANTAD), its retail chains contribute 3.4 percent of Mexico’s gross domestic product (GDP), with a total of 51,709 establishments, divided into three retailer formats.

Regarding the sales generated by retailers in our country, data from Planet Retail and Deloitte indicate that in 2016 the sum for this concept reached up to 464,940 million dollars, an amount that at the end of this year could reach 490,390 million; and for 2018 estimates of that firm suggest that net sales by retailers in Mexico would reach little more than 517 billion dollars.

What trends will define the retail sector?

The emergence of the Internet and the improvement of processes in logistics, distribution and customer service through the use of new technologies were some of the factors that have been transforming the retail industry worldwide, and that will surely continue to influence in coming years.

But just as the arrival of the network and the optimization of the operation of the retail sector have changed the industry, there are a number of trends that in the remainder of the year and the following may be glimpsed, such as:

  • Analysis of location of categories and proximity marketing: the first point refers to a more exhaustive work of analysis of purchasing habits, as well as the existing rotation in each category, to then find a way to redirect the shopper towards certain areas of the POS, which is accompanied by that type of marketing that will try to know with certainty which departments of the retailer are more traveled, why, and based on it create strategies that maximize their profitability.
  • Automated stock management: both on the shelf and in the warehouse, the correct and updated management at all times of the stock level in the store will help the retailer and manufacturers to have enough product quantity, and thereby prevent the customer from desisting to buy by not finding their products.
  • Shelves monitoring: Modelez marketing director, Luis Lazcano pointed out that each brand and store must have full control of the shelf, in terms of availability, since within a category the competition is constant and it is right there where the decision of purchase is given, so having an adequate supply will prevent a certain brand from being left behind.
  • Sustainable packaging with double use: for the new consumer a packaging with a real added value is one that not only looks good and motivates the purchase for its appearance, but also that which is produced with environmentally friendly materials, which does not require of high energy expenditure during its manufacturing process, and that has a second use.
  • Application of disruptive technologies in PDV: interactive testers, augmented and virtual reality, use of tablets to consult information about products, dynamics that start in an establishment and end with a publication in social media, are some examples of applications of new technologies that maximize the purchase experience, and this drives more purchases in a single visit.
  • Models of predictive analysis: as suggested by its name, this type of models allow the retailer to predict purchasing habits, consumption, frequency of visits, interests and tastes that it will have, to then go one step ahead of the target and offer products and services that he will need.
  • Real omnication: that is, the retailer will allow the customer to make purchases online within the PDV, it will offer an efficient online store where you can buy something and pay it in the establishment if you wish, with specific promotions for each channel that, together, give the shopper a range of purchase possibilities, as well as a pleasant experience.
  • Geomarketing strategies: as with Waze, for example, the retail sector will keep this trend so that through an SMS or suggestion within the application can know where there are retail stores near the customer, and with this the retailer knows what so often the consumer passes by, if he went to his PDV and locate potential customers.

 

Written by Lizbeth Serrano, taken from Informa BTL