I went into the store recently to just buy laundry detergent, but I ended up with an $87.46 grocery bill that also included fabric softener, chewing gum, greeting cards, a rotisserie chicken, fresh fruit, dog food, magazines, chips, lots of frozen pizzas, cupcakes, and some trash bags. Admittedly, this is typically what happens when I shop with my kids. They just roam through the aisles and add things to the basket that I forgot about or wanted to forget about. Now, that $2 off coupon for the laundry detergent that brought me into the store in the first place seems wasted.

While my total grocery bill annoyed me, the information it can deliver to manufacturers is extremely valuable, providing insight into consumer purchase motivations, in-store shopping paths, product associations, brand loyalties, methods of payment, and message processing. This is called Shopper Basket Analysis, and it also shows which products tend to be purchased together and which are most conducive to promotion.

The great thing is this information isn’t only valuable to large manufacturers — whether you’re an OTC start-up or emerging CPG brand, there are three reasons why this information can help you with your brand management:

Reason #1 – You can create or suggest bundling recommendations. If you’re launching an OTC brand (applies to all types of brands) be sure you understand the associative shopping process as it applies to your brand. For example, if a consumer buys jelly they will also likely buy peanut butter. So, if a consumer buys your brand, what might they also buy on that shopping trip? Understanding which products tend to be purchased together can help you improve cross-selling opportunities across categories or create the best couponing campaign to customers buying both products. And don’t just think inside the store – this information can also help you target your digital and social media efforts against associative, like or competitive products on the internet, thereby maximizing digital dollars and creating efficiencies with the use of shopper basket data.

Reason #2 – You can strategize and recommend product placement opportunities with the trade: Even if your product isn’t the main motivator for a shopping trip, there is still opportunity for a consumer to purchase your brand based on the shopper’s preferences for your product in context with competitive items found nearby, or, based on your brand’s location of their shopping path. What are the top purchased items in your category? In your aisle? Where are they placed on the shelf? How often are they promoted or on end-caps? Can you find a strong associative relevance to other products in the basket or could they be impulse purchases? Again, think outside the store. For example, if you are on shelf, but you have poor shelf placement, or are in small niche category, give your consumers instructions on how to find you in store – on coupons, within social media (such as Facebook, Twitter or in your blogger outreach). For example, let consumers know to “look for us in the family planning aisle” or even post a photo of your brand on the store shelf.

Reason #3 – You can prove the impact your consumer is having (or will have) on a retail environment: Bottom line, retailers want to know that your brand will bring in shoppers. And if you can show them the dollar contribution of your average consumer to their store….even better. Using my experience above, my anticipated $13 purchase of laundry detergent actually ended up contributing a total of $87.46. Find a way to show how much your brand’s consumer is really worth to the store and prove your shelf worthiness.

by Kamilah Lewis

Kamilah Lewis is a Brand Consultant/Account Supervisor at Robin Leedy & Associates (RL&A), which offers consumer brands integrated marketing and consulting. With an MBA in Marketing, Kamilah has worked for several OTC and CPG brands in brand management, and with this hands-on brand experience, she and RL&A are now offering brand consulting for clients, new/emerging brands, brand acquisition, U.S. product launches and more. For inquiries about how RL&A can help with your U.S. brand management, contact Klewis@rlapr.com.