Pricemarked packs have been popular among shoppers and retailers alike for some time, writes HIM’s Ruth Cousins. They are as relevant to shoppers today as they were five years ago and have become even more so for retailers. Why? The 20,000 shoppers we spoke told us they like to feel that they can trust their local convenience store and bag a bargain while they’re at it. Customers feel reassured that they are not being over-charged when shopping in c-stores, with half saying ‘It reassures me that I am not being overcharged’ and ‘They make me aware of the true price of the product’.
A third of UK adults say that knowing a convenience store sells pricemarked packs positively influences their decision to visit that particular store. Nearly half of shoppers we spoke to believed that pricemarked packs are on promotion and only slightly less were under the impression that they are cheaper than the standard price, contributing to positive price perception overall.
Due to the longstanding success of pricemarked packs, we’ve seen retailers continuing to open their ears to the voices of their customers. In particular, new products have become increasingly popular for retailers to stock, as 76% told us they are more likely to stock a new product if it is pricemarked, up more than 10% from 2013.
But not all categories benefit equally from being stamped with a pricemark. Shoppers are most receptive to pricemarked products such as biscuits, snacks and soft drinks, whereas premium products such as wine and spirits are less likely to have shoppers reaching for the shelves if they see that bright price flash. Shoppers we spoke to in recent years told us they feel that pricemarked packs cheapen the product’s image, and this statement is likely to be more relevant for items shoppers may buy as gifts.
While retailers have upped the ante with pricemarked packs in recent years, we’re still seeing it to be more of an importance for shoppers than to retailers. The profit margin may not be as healthy as one may hope for, but the shopper demand is there.