You are previewing Retail Marketing and Branding: A Definitive Guide to Maximizing ROI, 2nd Edition.
O'Reilly logo
Retail Marketing and Branding: A Definitive Guide to Maximizing ROI, 2nd Edition

Book Description

Retail Marketing and Branding, 2nd Edition looks at how retailers can make more out of their marketing money with retail best practices in branding and marketing spend optimization.

The second edition of Retail Marketing and Branding includes the following updates:

  • New and updated case examples

  • Updated figures and examples throughout

  • New interviewers with recent experiences

  • Additional chapters

  • Table of Contents

    1. Cover Page
    2. Title Page
    3. Copyright
    4. CONTENTS
    5. FOREWORD
    6. INTRODUCTION TO THE SECOND EDITION
    7. SECOND EDITION ACKNOWLEDGMENTS
    8. INTRODUCTION TO THE FIRST EDITION
      1. Why you should read this book
      2. Who this book is for
      3. How this book was created
      4. How you should read this book
    9. FIRST EDITION ACKNOWLEDGMENTS
    10. COMMONLY USED ACRONYMS
    11. Part I: Building Superior Retail Brands
      1. CHAPTER 1: PRINCIPLES OF SUCCESSFUL BRAND MANAGEMENT: ART, SCIENCE, CRAFT
        1. It takes three elements to build and sustain a strong brand in retail: art, science, and craft
        2. The art is about balancing creativity with consistency to endow a brand with an emotional appeal that builds on its heritage
        3. There is more to strong brands than awareness: the science is in measuring a brand's strengths and weaknesses across the entire purchase funnel
        4. The craft is about bringing the essence of the brand to life at all touch points
      2. CHAPTER 2: SEGMENTATION
        1. Segmentation is just as important to retailers as it is to consumer goods companies – but for different reasons and in different ways
        2. Segmentation is a strategic topic and deserves top management attention: if the CEO doesn't care, nobody will
        3. Consumer needs are at the root of shopper behavior and should be the basis of a strategic retail segmentation
        4. There should be a central strategic segmentation: any secondary segmentation should be aligned with it
        5. To get the most out of a segmentation: keep it simple, bring it to life, and spread the word
      3. CHAPTER 3: A GUIDE TO EXCELLENCE IN RETAIL BRAND MANAGEMENT
        1. The brand diamond helps retailers map the attributes of their brand in a structured and comprehensive way
        2. The brand purchase funnel helps retailers benchmark the performance of their brand across the consumer decision journey
        3. BrandMatics is a comprehensive brand management approach for assessing and improving brand performance across all stages of the brand funnel
        4. The brand promise captures the essence of a brand completely, yet concisely, synthesizing it in plain and simple terms
        5. Branding is more than advertising: the brand promise needs to be delivered consistently at all customer touch points, from ATL advertising to after-sales service
      4. CHAPTER 4: DEVELOPING AND REFINING RETAIL FORMATS
        1. There are two basic types of retail format development: optimization of existing formats, or launch of a new format
        2. The key to successful format development is a systematic, four-step process: investigate, incubate, iterate, ignite
        3. The format development process needs to be supported by systematic project, HR, and communication management
      5. CHAPTER 5: STORE BRAND PORTFOLIO MANAGEMENT
        1. Increasingly, retailers are operating multiple formats and brands under one roof to address a wide range of consumer needs and purchasing occasions
        2. BrandMatics Advanced allows retailers to assess the real economic impact of brand portfolio management decisions
        3. Use the brand space map to derive different portfolio scenarios, then evaluate them with the help of customer conversion value modeling
        4. To assess the full impact of a portfolio move, estimate the one-time rebranding cost, changes in continuous marketing cost, and potential risks and synergies
      6. CHAPTER 6: PRIVATE LABEL BRANDING
        1. Private labels are here to stay: their share is growing across countries, sales channels and product categories
        2. PL has evolved beyond its origins in generic products and value segments. The most recent PL generation is even venturing into the premium segment
        3. As the foundation of sustainable PL success, retailers need to define their PL strategy, particularly an appropriate price and brand architecture
        4. To select the most promising SKUs for a given PL effort, it is imperative to design the category structure with a profitable growth mindset
        5. To capture the full benefit of PL, retailers need to match the sourcing, manufacturing, and marketing capabilities of brand manufacturers
    12. Part II: Optimizing Marketing ROI
      1. CHAPTER 7: HOW TO SPEND IT: FACT-BASED MEDIA MIX OPTIMIZATION
        1. The media landscape is in rapid transformation, and the media mix used for advertising differs substantially across industries and between countries
        2. Engage on an equal footing with your media agencies to ensure the media mix is tailored to your needs
        3. There are three distinctly different approaches to media mix optimization: testing and learning, comparative heuristics, and econometric modeling
      2. CHAPTER 8: BUDGET SIZING: THE MILLION-DOLLAR QUESTION
        1. Marketing budget sizing is the million-dollar question: it calls for a systematic and comprehensive, yet pragmatic, approach
        2. Create full budget transparency: conduct a comprehensive budget stock-take to capture the current budget, its components and its organizational owners
        3. Use outside-in competitive benchmarking to determine the share of voice required to cut through the clutter in your competitive arena
        4. Employ inside-out budgeting based on marketing objectives to estimate the investment needed to advance customers on their purchase journey
        5. Engage in saturation analysis, correlating marketing spend with impact to conduct a sanity check on the efficiency of the overall budget level
        6. Combine benchmarking, objective-based budgeting, and saturation analysis to derive a realistic budget level estimate. Refine as needed
      3. CHAPTER 9: BUDGET PRIORITIZATION
        1. Find the right decision mode: deciding centrally or convincing locally
        2. Define the right investment units: go granular and find the pockets of growth
        3. Create full transparency: understand where the money goes
        4. Define the prioritization criteria and weights based on what really matters in your budgeting decisions
        5. Avoid automatic decisions: prioritize your marketing investment in the light of the full facts
      4. CHAPTER 10: REACH–COST–QUALITY
        1. Optimizing individual vehicles one by one is challenging enough, but cross-media optimization is next to impossible without a universal metric
        2. Compare apples and apples: use “cost per actual reach in target group” as the common currency for evaluating and selecting different media
        3. RCQ scores can be used to increase efficiency as well as effectiveness, both within and across communication channels
      5. CHAPTER 11: MARKETING MIX MODELING
        1. What it is: Marketing mix modeling tells you how to spend it
        2. How it works: MMM compares the relative impact of a wide range of growth levers
        3. What it does: MMM has strategic as well as tactical applications
        4. What it yields: MMM creates transparency across multiple marketing levers
        5. What to watch out for: The devil is in the details of the analysis; cross-functional teams help to ensure the integrity of the data, the calibration of the model, and the correct interpretation of its output
      6. CHAPTER 12: THE DIGITAL RETAIL (R)EVOLUTION
        1. End-to-end digitalization affects multiple retail business functions
        2. Converging sales channels are transforming the consumer decision journey
        3. Digital localization and individualization gain momentum
        4. Social media impact is revolutionizing retail reputation building
        5. Content emerges as a future retail success factor
        6. Don't forget that multi-channel retailing includes brick-and-mortar
      7. CHAPTER 13: POS MARKETING
        1. For retailers, the POS is the most powerful marketing vehicle
        2. Despite its importance, many retailers don't leverage the store effectively
        3. Systematic POS management can advance both long-term brand building and short-term business success
        4. The tangible and intangible elements of POS marketing have to work in tandem
        5. The human factor is “make or break” for the consumer's POS experience; front-line employees are a retailer's foremost ambassadors
      8. CHAPTER 14: LEAFLETS AND LOCAL PRINT ADVERTISING: HOW TO ACHIEVE LOCAL MEDIA EXCELLENCE
        1. Local media is the true point of sale: consumers' love for leaflets drives sales and profits
        2. Local marketing is a complex challenge: to succeed, retailers need to cover all bases from consumers to media owners
        3. Fine-tuning pays: optimizing local marketing can increase its efficiency by 30 percent
        4. What to promote: what's on it determines what's in it for you! Highlight products with high expandability and low substitutability.
        5. Where to promote: use granular geo-marketing to reach your most valuable customers
      9. CHAPTER 15: FACT-BASED PROMOTION MANAGEMENT
        1. Econometric modeling helps to strike the right investment balance between regular pricing and promotions
        2. Comprehensive, clearly defined KPIs are crucial to optimize item selection and promotional tactics
        3. Retailers should leverage insights about promotional impact in negotiations with suppliers
        4. Excellence in forecasting, logistics management, and in-store execution can improve margins significantly
      10. CHAPTER 16: EXCELLENCE IN CLASSICAL MEDIA
        1. For many retailers, classical advertising remains a key element in their marketing mix, despite the importance of local media and digital vehicles
        2. Creativity matters, but it's not enough: content fit is equally important, especially in campaigns advertising low-involvement, fast-moving products
        3. Test and learn prior to, during, and after activation to make sure you get your money's worth in terms of target group impact
        4. Once the message is clear, optimize it across and within media to ensure that it is delivered effectively to its target audience
        5. Pick your creative partners carefully. Tailor the cooperation model to the needs of your brand and company. Don't be afraid to change horses
      11. CHAPTER 17: DIGITAL MARKETING EXCELLENCE
        1. Digital technology affects the entire retail value chain. Pick your battles wisely to differentiate your value proposition
        2. Digital marketing excellence starts with the consumer. Develop your digital strategy based on your target group's decision journey
        3. Search engine marketing drives online visibility. Manage paid and unpaid listings actively
        4. Display advertising is a retailer's online shop window. Fine-tune ad formats and user targeting to minimize scattering losses
        5. Social media is more than meets the eye. Integrate social media marketing with business strategy and listen actively
        6. Digital marketing is the new way of doing marketing. Coordinate centrally, build key capabilities in house, but keep the setup flexible
      12. CHAPTER 18: MAXIMIZING CUSTOMER VALUE WITH DATA-DRIVEN CLM
        1. CLM helps drive effectiveness and efficiency in targeted marketing, enabling retailers to extract the full value from their customer base
        2. Successful CLM requires a deep understanding of your customer base: identify relevant data and aggregate the information in meaningful ways
        3. Up-front impact estimates allow for more targeted CLM activities: use predictive modeling to assess probable customer reactions before piloting
        4. Optimization starts with knowing what works and what doesn't work: test different campaigns and keep track of their parameters as well as impact metrics
        5. Build sustainable CLM capabilities: secure top talent, set up clear interfaces and processes, and take precautions regarding data availability and quality
        6. CLM need not be limited to direct marketing but can be applied to areas such as category management and format development
      13. CHAPTER 19: SMART SOURCING
        1. Increasing marketing efficiency might be hard work, but it is well worth it: smart sourcing yields sizeable savings without compromising quality
        2. Efficiency levers include rigorous supplier management, streamlined demand management, and procurement process optimization
        3. Efficiency optimization is a five-step process: gather facts, create a long list of improvement ideas, select ideas for execution, negotiate, and implement
        4. Follow best practice in preparation, negotiation, and implementation to capture the full value of smart sourcing efforts
        5. Optimizing commercial print sourcing, an important cost position in retail marketing, can yield cost savings of 10–30 percent
    13. Part III: Ten Perspectives on Retail Marketing
      1. CHAPTER 20: TEN PERSPECTIVES ON RETAIL MARKETING
    14. CONTRIBUTORS
    15. INDEX