Point of Purchase (POP) Displays Can Seal the Deal

by Alicia Peregory on June 16, 2017

Point of Purchase (POP) Displays Can Seal the Deal 

You’ve done everything right: customers are coming to your store and walking around. Unfortunately, that’s not enough. Once you’ve managed to attract shoppers, you want to make sure you are making the most of their visit.

POP marketing is very effective as it targets customers who are in your store by promoting a specific item and encouraging shoppers to take a look at particular offers. They are a less-expensive option when compared to other forms of advertising, and are also a great way of generating foot-traffic and creating excitement. Point of purchase signs impact sales greatly because it is present at the moment that the shopper is making a decision on whether or not to buy the product, and often results in impulsive purchases.

The role of POPs is changing

Investing in POP displays has become an increasingly important decision for marketers for the following reasons:

  1. They have proven to be more productive than advertising and promotions.
  2. At the store level, there has been a drop in sales support. This has caused retailers to show more interest in manufacturers’ POP programs.
  3. POP displays play a more important role than ever before in consumers’ decision making because there have been many changes in consumers’ shopping patterns and expectations, as well as an increase in impulse buying.

Interestingly, retailers who have traditionally not allowed manufacturers’ sales reps in their stores, are encouraging them to set up displays and offer planograms for their products. However, it is also important to note that most major retailers are not ready to relinquish full control of POPs to the manufacturer either because they are so important at this time. And many retailers are becoming more and more selective and are beginning to lay out some constraints in terms of the POP’s size dimensions, for example.

An experienced marketer will tell any manufacturer that POP programs are not meant to replace media advertising nor are they easily controlled by the manufacturer as they are set up in the stores, where the manufacturer has no control. It’s also important to note that POP displays can reinforce and remind the consumer about the advertising messages they have already seen, even before entering the retail store. POP programs are able to help improve productivity:

  • Low Cost – The cost for reaching 1,000 adults for a store merchandiser over 1 year is $0.03 to $0.37. Reaching 1,000 adults with a 30-second network TV commercial can cost between $4.05 and $7.75.
  • Consumer Focus – POP programs focus on the consumer but by helping to move products off the shelves into consumers’ hands, investing in POP displays is usually a better investment than off-invoice price reductions to the trade, which will likely not benefit the consumer.
  • Specific Target Marketing – POP displays are easily tailored for different markets which works well with marketers who are looking to focus on region-by-region programs. This also allows for the targeting of certain consumer segments.
  • Evaluation is Simple – Different POP programs can be presented in split samples of stores without incurring much expense. Stores that use check-out scanner systems can are able to easily provide sales data that can be used to evaluate the effectiveness of the POP program for both the retailer and the manufacturer.
  • Declining Retail Sales Push – More and more, manufacturers are asking if they can rely on retail sales clerks to push their products. The reality is the quality of retail salespeople seems to have declined; their status has diminished, there is a high turnover rate, their educational level is relatively low as is their pay. Retailers have cut back on hours, shifting to part-time employees who often have less experience.

Manufacturers that provide the most attractive, educational, entertaining, and easy-to-use POP programs are more likely to win over store management and consequently, their products are also likely to receive more push from salespeople.

Consumers expect more

Today’s consumers are more likely to look for special deals and wait for sales before buying a large ticket item or stocking up on small items. The increasing use of ATMs and vending machines, the broader use of self-service store formats, and the onset of computerized shopping mall guides all point to the fact that consumers who appreciate speed and convenience are willing to take action to help themselves at the point of purchase.

Signarama helps with successful POP displays

The key to POP advertising is ensuring the design is effective. POP displays should be attention-grabbing and should change over time. Graphics and designs used creatively can make all the difference when getting a message across to your customer. POP signs can be made from a variety of materials, in a variety of colors and sizes. They can also be placed in a variety of locations throughout a store, such as the counter, the floor, the wall, windows or doors. They can be small and specific or large and flashy.

No matter what your needs are, the design specialists at Signarama can work with you to analyze the best ideas that will captivate and inspire your clients to do business with you.

 

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