Why do consumers buy the same brand of coffee and mayonnaise over and over again, but will often purchase different brands of cold cereal and chocolates? It’s hardly happenstance, according to a recent US study by The Nielsen Company. Nielsen’s study of shopper behaviour shows that consumers exhibit distinct shopping modes at the supermarket that dictate what ends up in their grocery bags.
“Shoppers don’t waste energy on everyday decisions,” said Manjima Khandelwal, senior vice president, Nielsen Customized Research. “To simplify their lives, shoppers are often in grab-and-go mode, reaching for the brands they usually buy without reading the label or checking the price.”
The key to reaching shoppers lies in understanding that auto-pilot mode can get disrupted by external stimuli such as advertising, buzz, new offers, price and promotions. When this happens, shoppers re-evaluate their decisions; they look at alternatives and consider new offers. Nielsen calls these disruptions Delta Moments and it is at these times that marketers have a brief window of opportunity.
Auto-pilot and Delta Moment dynamics vary significantly across Categories. A seemingly great strategy in one Category can fail to connect in other Categories. Marketers could be way off the mark by failing to read the ‘body language and mindset’ of shoppers.
Nielsen’s study, which reviewed consumer shopping behavior across 30 food categories, found that consumers adopt one of four different “shopping modes” as they cruise the supermarket aisles. Key characteristics of the shopping modes – auto-pilot, variety-seeking, buzz or bargain hunting – are:
Auto-pilot
In auto-pilot, or grab-and-go mode, shoppers are making everyday, habitual decisions driven by brand choices and they are usually not in the market to try anything new. Items such as coffee, cereal, cheese, margarine and mayonnaise are purchased in auto-pilot mode. For example, Nielsen’s research found that shoppers were quite particular about their coffee, choosing the same caffeine fix, flavor and coffee experience.“The implication for marketers in auto-pilot categories is that if you are a leader, avoid radical changes to your brand message or packaging,” said Deepak Varma, senior vice president, Nielsen Customized Research. “Otherwise you may risk disrupting habitual behaviour driving brand choice in your favor.”
Variety-Seeking
In the variety-seeking mode, shoppers are browsing shelves actively and on the lookout for new tastes as well as interesting product innovations or products offering “surprise” in their role as household chef.“Consumers seem to get bored with the same choices in certain categories,” said Varma. “We found shoppers on the lookout for a change of pace when shopping in the frozen food and cold cereal aisles, as well as for biscuits, salad dressings and chewing gum. In this context, customers’ decisions to purchase products were greatly influenced by informative and exciting packaging.”
Buzz
Energy and sports drinks, chocolate, ready-to-drink teas and yogurt drinks fall in the buzz-activated category. “Shoppers are most likely to be influenced by catchy advertising, new product introductions and the original packaging that leaps off the shelves and grabs interest and attention,” said Khandelwal.Bargain-Hunting
Bargain-hunted categories are driven purely by price comparison and promotions. “Consumers in this shopping mode are on a mission and the mission is savings,” said Varma. Canned Tuna, Canned Tomatoes, Canned Fruit and Pasta Sauce all languish in this category, according to the study.
Beware Over-Promotion
Nielsen’s research revealed that even though some product categories are not bargain-driven, manufacturers continually offer in-store deals and promotions, resulting in some categories to be over-promoted.
“Consumers choosing sports drinks aren’t looking for a bargain,” said Khandelwal. “In-store deals for these products go largely unnoticed. Marketers would be better off redirecting their wasted promo dollars to investing in advertising and new product introductions.”
Omega Rules OK
“I always buy brand X …unless guests are coming!”
“I buy the cheapest brand on special, as long as it’s not X!”
“Brand 2 works for my family, but if Y is on special, I buy that!”
Underlying repetitive purchase patterns are a set of cognitive decision rules – the ‘programme’ behind ‘auto-pilot’ purchasing. Nielsen (quick to brand such things) call these Omega Rules – the mental check-lists that keep consumers on-track and help them decide between alternatives.
Often these rules are quite mundane (e.g., pack shape) or social (e.g., acceptable to friends) and don’t represent deep emotional commitment to the brand. Brand leaders need to understand Omega Rules as they provide guidance on key marketing tactics that will reinforce the habits that give them leadership.
Recent advances in cognitive psychology have revealed that although consumers have 10,000 brands in their heads, they waste little time thinking about them. Instead, they evolve simple rules to navigate through the world of brands. These rules tend to be simple, few in number and rather hierarchical. They can be rational or emotion based, and once they have been developed the consumer is on ‘auto-pilot’ when placed in a buying situation. Auto-pilot mode remains in force until interrupted by an external stimulus, a Delta Moment.
Delta Moments are different for different segments and at different stages; they’re ‘moments of change’ when habits are most likely to be reviewed, and they vary in their impact depending on the disruptive nature of the causative event.
At Delta Moments, consumers re-evaluate their habitual decisions and either:
- Re-validate their rules
- Change their rules
Omega Rules and Delta Moments apply to online marketing as well. Auto-pilot mode is clearly in evidence when web users head to their regular destinations online, less likely to try out new websites unless disrupted by Delta Moments.
The challenge for emarketers trying to get noticed online:
- Understand how habits are formed in their particular category;
- Identify the key criteria underlying ‘auto-pilot’ habits; and
- Develop a range of Delta Moment triggers and motivators that will lead to change.
Easy, right?
