The Consumer Truth

The effectiveness of traditional (mass) advertising has been reduced by channel proliferation and technology (user-generated content, DVRs, podcasting etc.). Additionally, a greater emphasis is now placed on accountability and attaining a justifiable return on investment (ROI) for each promotional endeavor. Shopper-driven marketing allows you to make decisions based on actual shopper purchase insights, linking the effectiveness of precision marketing with cost per performance to provide marketers with a measurability that previously never existed.

Prioritizing the 20% of shoppers that account for 80% of a product's (or category's) volume is the key to minimizing promotional waste. Specific promotions and advertising communicated to the most profitable shoppers (the 20% or less), ultimately increases your efficiency and delivers a higher ROI for your efforts.

As a real-life example, consider Condiment X with a category penetration of 35%. (Only 35% of all shoppers purchase the category.) In this example, 65% of a mass marketing promotional spend would hypothetically be wasted. In addition, Pareto's principle (the 20/80 rule) which applies in some form to all products dictates that a mere 20% of these shoppers purchase 80% of the total category volume. Shopper-driven purchasing enables you to find this small subset of households, and communicate to them with specific promotions and advertising.

Catalina Marketing, the recognized leader in shopper-driven marketing, uses a sophisticated transaction level database to pin-point shoppers' specific buying insights, enabling brands, retailers and healthcare providers to uncover the shopper truth, and create the most relevant and compelling shopper-driven advertisements, promotions and communications. Catalina Marketing is the ONLY solution that can provide you with the actionable insight to effectively reach your best shoppers. The times have changed - primitive methods of reaching your shoppers have been replaced with a sophisticated measurable medium.