nickshanagher

There is an advertisement from Coca-Cola Enterprises in the last issue of Retail Newsagent of 2010 that says: "71 per cent of customers are more likely to buy a product with a price-marked pack." The research by HIM that supports this view is not particularly new but the execution of the advertisement by CCE is very impactful. It is illustrated with an array of 10 strong CCE brands in price-marked packs. The message underpins a huge change in what independent retailers are prepared to stock. When Mars, armed with similar insight, tried in the 1990s to champion price-marked products, the retail trade refused to stock its products. Today, shopkeepers understand the power of price-marking in generating sales and often seek out the price-marked option. However, with a fixed price comes a fixed margin. In making this trade off, retailers need to be clear about the overall impact on their sales and to get the mix of price-marked and higher margin products in the right balance. ...