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CASE STUDY
Retail Media: Audiences — Expanding total audience to recoup lost shoppers
Snapshot
SOLUTION AREA
Technology
SOLUTION
Retail Media
INDUSTRIES
Food and Beverage
CLIENT
Manufacturer
The Challenge
A leading manufacturer of a dry breakfast item recently moved from to a larger pack size alongside a price increase for that larger pack. Net sales are up but the team is concerned that such a large price increase during a time of inflation could hurt the business long-term.
Insight
Analysis from the buyer decomp tree report show buyer penetration has dropped by over 25%.
A profile of the lost shoppers shows broad impact across demographics and purchase propensity. It will take a broad effort to bring these lost shoppers back.
Buyers of the product over index with dry breakfast items such as sweet cereal, treat bars, snack bars, fruity cereal, oatmeal and more. Shoppers who buy these adjacent categories but not this particular item are a good next opportunity to attract new buyers.
The Results
To reverse buyer loss trends, directing value to the Lapsed Buyers group with messaging may help them understand the value and start buying again. For Treat Bar & Kid Cereal buyers (with no current purchase of target item), provide a way to make the target audience larger to impact the business faster. They may also be responsive to the value message.
$7MM
TOTAL AUDIENCE RECOMMENDATION
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