One More Item in the Basket
Many discount and drugstore retailers have realized that beauty isn’t always a destination for their shoppers. The destination in drugstores is often the pharmacy counter. In discount stores, the motivator is maybe a household item or clothing. With that in mind, buyers came to the Efficient Program Planning Sessions, sponsored by ECRM, earlier this week at the Sanibel Harbour Marriott looking for inexpensive items customers can pop into shopping carts.
EPPS is always a great place for retailers to find last-minute items, especially for the holiday season. Among the companies coming to the show this year were Meijers, Dollar General, Fred’s, HEB, Ulta and Wegmans. Although not all ECRM shows attract the blue-chip retail chains that have made the shows legendary, manufacturers said that’s fine. “We see all the big account at headquarters, this helps us get other [retailers],” explained one manufacturer.
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One way to drive more dollars into the shopping basket, buyers found from the show, is to create seasonal events throughout the year. Mass merchants have always relied on Christmas to carry the load. Now they are finding companies that are offering Christmas-style promotions for events such as back-to-school and Halloween. The changing of inventory to reflect new seasons is also inspiring customers to buy more on impulse, buyers said.
A buzzword at the show was ‘impulse’ bins. More manufacturers are taking a cue from Starbucks and other merchants that use clever merchandise to inspire extra purchases from wire racks near checkouts or other locales in the store. “You are going to see many more off-shelf fixtures of value items,” explained one buyer.
At the sun care show, retailers also saw a push for value — and innovation. With most Americans now aware of the need for sun protection, sun care marketers are finding new delivery systems. SPF is now in virtually every skin care item and available in forms from sprays to sticks.
One sun care item singled out at the gathering was the Cool Off Towelette. Cool Off is a pre-moistened towelette that can provide a quick relief from heat. The chill lasts for 20 minutes. Again, the towelette was seen as a great impulse item to someone buying traditional sun care.
One extra beauty item in a market basket, attendees said, does more than just boost a ring by a few bucks. With beauty margins often twice that of other products including pharmacy, the additional products delivery profits that go right the bottom line.
The mood for holiday is more upbeat than last year, but based on the drive for value items, it appears stores will feature low-priced options designed for stockings or items to be added on as an extra gift with a bigger-ticket item.
People, Places and Things
A few words Mitch Takefman, vice president of Karmin (formerly Forecast). Takefman is hoping to build sales in discount and drugstores beyond the traditional fourth-quarter push.
WWDBeautyNews: What can retailers do to boost year-round sales?
Takefman: We are trying to explain that promotional cosmetics don’t only need to be in the fourth quarter. The smart buyers are realizing that using other seasonal promotions make their stores look fresh. Booking only at the fourth quarter is short-sighted. We also have fixtures that are modular so each chain can edit the mix for what they need. If they sell more eye, we can do that; more lip we can do that.
WWDBeautyNews: What about fourth-quarter?
Takefman: We have some beautiful, foil retro holiday products planned. We also have some cute soaps, the kind your mother wouldn’t let you use!
What’s In Store
Lip Smackers Adds Vitamins: As part of its licensing program, Lip Smackers had introduced a Vitaminwater flavor line called Vitaminschtick.
Natural Products Association Certifies 300 Products: The certified seal from the Natural Products Association now is on more than 300 natural personal care products.