Price Marked Packs: Still Relevant to Both Shoppers and Retailers
4 September 2015
Ruth Cousins, Marketing Executive, him!
As shoppers and retailers alike become increasingly savvy when it comes to looking for a bargain, it is no surprise that our latest research reveals that price marked packs are as popular as ever! 1-in-3 UK adults say that knowing a convenience store sold price marked packs positively influences their decision to visit that particular store showing huge opportunities for retailers. him! research & consulting spoke with both convenience retailers and shoppers to find out what it is about PMP that keeps them coming back to the tills.
The perception that customers ‘trust’ price marked pack products has remained in the top 3 pulling factors for convenience retailers since 2013. Customers feel reassured that they are not being over-charged when shopping in convenience stores with half saying ‘it reassures me that I am not being overcharged’ and ‘they make me aware of the true price of the product.’
43% of convenience shoppers believe that the price marked pack products they pick up are on promotion whilst 33% are under the impression that they are a cheaper price than the standard.
In turn, convenience retailers have become more likely to stock price marked pack products. A massive 76% of convenience retailers are more likely to stock a new product if it is in a price marked pack vs. 63% in 2013.
Whilst on the whole, price marked packs are proving to be a powerful way of bringing in sales, not all categories benefit equally. In the lead are biscuits with 29% of shoppers saying they would be more likely to purchase if they were price marked packed than if they were non-price marked. At the bottom is wine with only 16% of shoppers saying they would purchase under the same circumstances.
Overall, PMPs are as relevant to shoppers today as they were 5 years ago and have become more so for retailers. Price and value remains a key driver for shoppers in today’s climate and most convenience retailers agree that they are a positive way to re-enforce both a positive price perception and trust in their store and their prices.