Supermarket Advertising
Supermarket Advertising
Supermarket Advertising
Superior Marketing
Warehouse Convenience
Clubs Stores
Dollar
Specialty
Stores
Stores
Drug
Wal-Mart Stores
New Store Formats
Number of Stores
143,571
Grocery
144,866
39,553
Drug
49,437
5,636
Mass Merch 6,399 1993 2001
9,133
Dollar Stores
3,652
1,212
Supercenters
148
904
Warehouse 661
HH Penetration
100
Grocery 100
92
Mass Merch 95
62
Dollar Stores
52
63
Supercenters
52
52
Warehouse 50
1999 2002
Shopping Frequency
73
Grocery 83
22
Mass Merch 26
12
Dollar Stores
10
21
Supercenters
15
10
Warehouse 9
1999 2002
4.0% 50,000
40,000
3.0%
30,000
2.0%
20,000
1.0% 10,000
0.0% 0
1999 2000 2001 2002 1994 1995 1996 1997 1998 1999 2000
29% 5.0%
28% Gross Margin
27% Operating Margin
4.5%
26%
25%
24% 4.0%
23%
22%
3.5%
21%
20%
19% 3.0%
1984 1986 1988 1990 1992 1994 1996 1998 2000 2002
Unique Products
Shopping Experience
Personal Service
Superior Marketing
Assortment A Experience B+
Location A- CRM B
Price B+ Service C
Merchandising B+ Marketing C-
Low Product
Price Selection
Brand
Image
Shopping Convenient
Experience Location
30
Grocery Manufacturers
25 Grocery Retailers
20
% of Ads
15
10
0
1
10
ile
ile
ile
ile
ile
ile
ile
ile
ile
ile
ec
ec
ec
ec
ec
ec
ec
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D
D
Quality of advertising
22 The New England Consulting Group
NECGAdmin/FMI/SupermarketAdvertising
What is an Advertising Strategy
Admiral Nelson
Focus Group
Respondent
Your Favorite
Consultants
Mark Twain
POGO
Mae West