Herb Sorensen, Ph.D.

CPGmatters: Hershey Leverages 'Need States' To Optimize C-Store Sales

October 13, 2009

FROM RETAILWIRE:
The Hershey Company is betting that incremental candy purchases in convenience stores can be triggered by placing its products in the right place at the right time. What value do you place on understanding the 'need states' of consumers at the store level?      [more...]

The general focus here is good, but I doubt the practicality of day part management in most cases. So why do people focus on day part? Because they can - they have clocks and watches.

Need states vary as the shopping trip progresses. For example, many shoppers rush into the C-store for the specific purpose of getting a drink. Check the hierarchy of need - beverages before food.

It is a fact that the shopper's need state changes at the cold vault. Before then they "need" a soft drink, and are less interested in snacks, including candy. Once they have selected their cold beverage, on the way to the checkout, they are more susceptible to purchasing a snack, whether candy or otherwise.

Although demographics are fixed, psychographics are as changeable as the wind. But like the wind, they may at least be partially understood.