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NEW YORK — A new global shopper study, "Shopper Decisions Made In-Store" (SDMIS), reveals what's truly happening in the world's retail shopping aisles.

More than 14,000 shopper interviews were conducted in 700 retail outlets across 24 markets globally. The OgilvyAction study spanned five retail channels across six product categories to examine how shopper decisions differ across shopping channels, product categories as well as brands, and how those decisions vary by country and shopper profile.

The widely quoted statistic "70 percent of shopper purchase decisions are made in store" never went far enough to be very useful to marketers. What marketers really need is to understand the different kinds of decisions that shoppers are making, and then be able to generate insights that will help them develop smarter and more targeted programs to activate their brands in store.

The SDMIS study enables OgilvyAction to develop specific shopper insights for marketers whether they are targeting shoppers buying soft drinks from convenience stores in the United States, skin care products from pharmacies in London, coffee from supermarkets in Asia, or shampoo in Latin America.

Some of the most compelling findings include:

  • Nearly 30 percent of shoppers around the world wait until they're in the store to decide which brand they will buy.
  • In addition, one in 10 shoppers simply change their minds in store and buy a different brand than what they had planned.
  • Perhaps most significant is that almost 20 percent of shoppers will buy from categories they had no intention of buying from before entering the store.
  • Quite alarming is that, in the United States, almost one in five shoppers leave a product they planned to buy on the shelf and walk away empty-handed. This statistic alone represents tens of millions of dollars in new purchases up for grabs by marketers who can successfully activate their brands in-store.

Armed with in-depth shopper insights, brand marketers can make better strategic investment decisions and use the store more effectively as a vehicle to build sales and equity in their brands.

"We all know the point of sale is the ultimate moment of truth for brands today," said Rick Roth, global chief executive officer, OgilvyAction. "Getting it right and improving ROI is something that keeps many of us awake at night. Our clients need to know what's driving shopper decisions and we are committed to helping them win where it matters most."

The SDMIS study is endorsed by Harvard Business School Professor John Quelch whose 1983 Harvard Business Review paper proved to be incredibly portentous.

"Managing activities at the point of purchase to gain competitive advantage is even more important today than it was when Better Marketing at the Point of Purchase study was first published in 1983," said Quelch. "OgilvyAction's wide-ranging global shopper study is a significant step forward in offering marketers a better understanding not only into why it is important, but what they can do about it."

The In-Store Marketing Institute also endorses the SDMIS study's scope and methodology. Executive director Peter Hoyt calls it, "A massive global undertaking that finally makes practical use of the 70 percent statistic by showing how in-store decisions vary by product category, by retail channel, and by market — and by delivering actionable data that can be used to influence shopper behavior."

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