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In-Store TVSways ConsumersBY LAURA BLUM, ADWEEKPublished August 29, 2006NEW YORK — Consumers for the most partenjoy watching ad-supported media whilegrocery shopping and their buying decisionsare often influenced by such messages.So says a Nielsen Media Research studythat examined in-store media providedby Fairfield, Conn.-based SignStorey.Albertsons and Pathmark are among thegrocers that carry the SignStorey videonetwork, which is now in 1,300 stores.According to the study, 68% of thosesurveyed said in-store messages would swaytheir product purchasing decisions. Another44% said they would swap a product theyhad intended to buy for one advertised onSignStorey.The study, Nielsen’s first customizedanalysis of supermarket data, gauged overallSignStorey viewership at close to 40%. (Thatfigure — which represents approximately 22million shoppers — included consumers whobriefly glanced at the screens, listened tomessages or watched intently for extendedperiods.)SignStorey CEO Virginia Cargill describedher network as “an enhancement to thecustomer.” She added, “Retailers get ahalo effect, since they’re viewed as beingmodernized.”The Nielsen research provides “theadvertising community with the metrics theyneed to effectively utilize in-store media,”said Jim Spaeth, founding partner of SequentPartners. In-store media are useful becausethey “help advertisers better understandand quantify the opportunity to reach targetdemographics,” he said.“In-store television is maturing as anadvertising medium,” said Beth Corbett, vicepresident of New Media Services for Nielsen,which is owned by Adweek parent VNU.According to research house PQ Media,in-store TV ads tallied nearly $100 millionin 2005 revenue, a 45% increase from theprevious year.Some say the numbers are significantlyhigher. For example, Mark Mitchell, PremierRetail Network’s executive vice president ofad sales, said his network alone sold roughly$100 million in in-store ads in 2004, withsales jumping more than 10% the next year.Other in-store networks include InStoreBroadcasting Network and Ignition.© AdWeek, 2006According to research housePQ Media, in-store TV adstallied nearly $100 million in2005 revenue, a 45% increasefrom the previous year.12
Wal-Mart, P&GSee SalesThrough a PrismPublished on May 16, 2007BY CONSTANCE VON HOFFMAN, BRANDWEEKMIAMI — Wal-Mart and Procter & Gamble today announced the rolloutof a major effort to measure the effectiveness of in-store marketing.“This is an initiative we think will forever change retail marketing,” saidWal-Mart CMO Stephen Quinn during a session at the Consumer 360conference in West Hollywood, Fla. The effort, called P.R.I.S.M., usesinfrared sensors around the store to measure traffic and consumerexposure to product displays and other marketing materials likebanners and store TV networks. It is organized by Nielsen In-Store, adivision of Brandweek’s parent company.Dina Howell, who heads worldwide in-store efforts for P&G, said U.S.stores would start to be equipped with the sensors within two weeks.In addition to Wal-Mart, the devices will be put into 150 different retailoutlets—including convenience and grocery stores—by the time ofthe project’s full launch in early 2008. Although the study is currentlyonly being rolled out in the U.S., Quinn and Howell said it will be inplace internationally within a couple of years. The consortium fundingP.R.I.S.M. also includes Albertsons, Kroger, Walgreens, 3M, WaltDisney, Coca-Cola, Kellogg and Miller Brewing.“This will have a profoundimpact on the whole industry,”P&G’s Howell said.“It’s starting in marketing butit will impact operations, sales,everything.”and that further refinement since then has increased that to 85%.P.R.I.S.M. is designed to predict consumer reach by category, areaof the store, retail format, and day of the week. “This is not a nice-tohave;it’s a must-have,” she said afterward.One measure of how important Wal-Mart sees this effort is the fact that ithas contributed sales information from 1,000 of its stores to the study—atenfold increase over the amount of data the company had ever previouslyreleased according to Quinn. Another key part of the study is measuringthe difference between what companies plan to have displayed in storesand what actually winds up being displayed. “We need to know the truthabout this,” Quinn said afterward. “We need to know how much of this isfact and how much is myth.”Although Howell declined to speculate on what sort of impact this willhave on the marketing mix in the future, earlier this month CEO A.G. Lafleymade it clear that in-store is growing in importance to P&G. “If you stepback and look at our mix across most of the major brands it is clearlyshifting, and it is shifting from measured media to in-store to the Internetand to trial activity,” Lafley said during a call with investment analysts.Paul Fox, ER leader for P&G’s global operations, said Procter is steppingup efforts to measure marketing channels “that have been around forever.”He said P&G would be rolling out a word-of-mouth measurement methodwithin the next 18 months.© BrandWeek, 2007“This makes the store a part of measured media,” said Howell. Shesaid that a pilot effort that ran for two weeks last year achieved aninitial 76% accuracy rate in its predictions of consumer behavior13
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