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W. Frank Dell II, CMC's RetailWire Blog
March 11, 2010
Basket analysis is simply re-naming something grocers have done for years. And vendors use it to sell promotions every day. Every item has a multiple when put on promotion. This multiple varies by the level of support. But an item multiple does not always translate into ...
March 11, 2010
Cash is king due to cards reducing the value of points. Airline miles are worth little when compared to a Jet Blue ticket. Difficultly in redeeming points has consumers saying just give me the cash. Fuel Perks are easy to redeem and are viewed as cash. ...
March 10, 2010
Aldi runs a great operation. Some newer stores I visited were a great improvement over years ago. Aldi should be viewed as an alternative channel just like clubs. They attract the lower income segment, but also the thrifty medium income segment. Aldi, Save-A-Lot and the dollar ...
March 10, 2010
This is not a surprise. The strategy looked good on paper, but failed in the real world. During this recession, consumers have resisted any change. The question is, did the merchandising really take the consumer where they wanted to go? There is a logic jump that ...
March 9, 2010
Wal-Mart's item selection was easy when Sam was running the show. All he stocked was the number one, two and three items in a category. He let the consumer decide what to carry. Today putting any item in Wal-Mart makes it number one in the category. No ...
March 5, 2010
The real driver was not co-op advertising money but the Category Manager/Buyer incentive system. How many Buyers sold the Category Leader slot and then wondered why their store looked the same as competition? I once proposed to a chain president that they should set up groups of stores to ...
March 3, 2010
The Great Recession is the consumer driver. Some who never used coupons are active users now. Those who sometimes used coupons are heavy into them now. Newspapers have lost so much advertising, they are dealing inserts to the point that our weekend paper has more inserts than ...
February 19, 2010
Sears had a great brand image of trusted value for Middle America. The problem is, it is simply old. Automobiles are far better built today and they last much longer. Additionally, their operation cost continues to go down. This means there is a smaller market for auto ...
February 18, 2010
The drug store segment is doing what comes naturally for a mature industry. This is no different than what has happened in retail and wholesale food. Without growth, the likely outcome is management replacement. Walgreens has historically built their own stores so they could have control. ...
February 16, 2010
The supermarket websites I have viewed were disappointing and confusing. With the demise of newspapers, these websites need to step up their game to be a viable replacement. The problem I see is, four things are going on. First is to sell the retailer on creating the store ...
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