Foreword by Shiv Shivakumar, Chairman, PepsiCo India
>> In a sense, I feel, Rajesh is the Paco Underhill of India with his insights into the average Indian consumer, retailer and shopper.
>> There has been a healthy three-way split of value between brands, retailers and consumers. Brands try to maximize margins, retailers try and get more margin from brands and the consumer wants the best value defined as the emotional satisfaction he/she derives from the purchase. This three-way tango can never please all three and hence the science of shopping is essential to create value.
Introduction
>> It was suggested that if I ever wrote a book on this topic, it would help everyone understand more about shopping and it might help avoid disagreements about it between various types of shoppers. Although, I have written the book, I wonder if disagreements about shopping would ever stop.
>> Although, we all like to think of ourselves as rational and logical beings who make their purchase decisions with enough thought behind the same, that is far from the truth.
>> Conversely, the inherent conflict between spending and saving made them vulnerable to lot of post-purchase doubts and made them respond to discounts and promotional offers in a disproportionate manner.
Do Women Really Shop More than Men?
>> Men are more functional in their shopping approach while women might actually be better shoppers.
>> Women might shop for a longer period but also finish more chores during that time.
Swallow a Chemical Given by Someone You Know!
>> The irony is that shoppers trust an outlet based on their relationship. Hence, they believe that they are getting the best deal in terms of the other parameters which consist of quality, price, etc.
>> Trust is built on the experiences of how the shopper expectations were managed.
>> Perception and trust often make the shoppers overlook or ignore key terms and conditions.
I Got the Best Price or Did I?
>> Price is not equal to value. Value is what shoppers seek and price is only a small part of that.
>> Since shoppers cannot accurately judge the quality of the products they are purchasing, they tend to link price to quality.
>> There is a major limitation with regard to price perspective in the minds of shoppers as any shopper can remember and recall prices only to a limited extent.
The Lady in Red
>> Even a simple visual act is also an important sensory influence.
>> Indian consumers are not DIY (Do It Yourself) consumers, but DIFM.
>> Eat before shopping, preferably ripe bananas.
FREE is God!
>> Shoppers tend to compartmentalize products based on their usage.
>> Oft-repeated and almost predictable EOSS offers have conditioned the shoppers to expect the a sale regularly.
>> Promotions always leverage one or more of these feelings—sense of urgency, feeling of being special, and being able to make smart choices.
Pester Power
>> The younger consumers are usually early adopters of any new product, technology or service.
>> Pester power is real and it exists in the context of shopping.
I Want It Now!
>> Online shopping will definitely be a part of the choices available to shoppers.
>> Online shoppers today are constantly sharing an identification tag which links everything they do.
>> Clearly the emerging value definition in the minds of shoppers is skewed towards experience and convenience.
Do Shoppers Know How to Get Good Service?
>> We are unable to clearly communicate our service expectations and that ends up being one of the key reasons for getting poor service.
>> The service expectations of a shopper would change based on their age as well as the product category being purchased.
>> Customers or shoppers are human beings and can never be always right.
Becoming a Smart Shopper
>> Self-service formats and more recently online shopping has redefined the way shoppers behave.
>> Choice always creates challenges in any scenario. Similar is the case with shopping.
>> The only way shopping behaviour can change is through conscious practice and the resultant learning.
>> In a sense, I feel, Rajesh is the Paco Underhill of India with his insights into the average Indian consumer, retailer and shopper.
>> There has been a healthy three-way split of value between brands, retailers and consumers. Brands try to maximize margins, retailers try and get more margin from brands and the consumer wants the best value defined as the emotional satisfaction he/she derives from the purchase. This three-way tango can never please all three and hence the science of shopping is essential to create value.
Introduction
>> It was suggested that if I ever wrote a book on this topic, it would help everyone understand more about shopping and it might help avoid disagreements about it between various types of shoppers. Although, I have written the book, I wonder if disagreements about shopping would ever stop.
>> Although, we all like to think of ourselves as rational and logical beings who make their purchase decisions with enough thought behind the same, that is far from the truth.
>> Conversely, the inherent conflict between spending and saving made them vulnerable to lot of post-purchase doubts and made them respond to discounts and promotional offers in a disproportionate manner.
Do Women Really Shop More than Men?
>> Men are more functional in their shopping approach while women might actually be better shoppers.
>> Women might shop for a longer period but also finish more chores during that time.
Swallow a Chemical Given by Someone You Know!
>> The irony is that shoppers trust an outlet based on their relationship. Hence, they believe that they are getting the best deal in terms of the other parameters which consist of quality, price, etc.
>> Trust is built on the experiences of how the shopper expectations were managed.
>> Perception and trust often make the shoppers overlook or ignore key terms and conditions.
I Got the Best Price or Did I?
>> Price is not equal to value. Value is what shoppers seek and price is only a small part of that.
>> Since shoppers cannot accurately judge the quality of the products they are purchasing, they tend to link price to quality.
>> There is a major limitation with regard to price perspective in the minds of shoppers as any shopper can remember and recall prices only to a limited extent.
The Lady in Red
>> Even a simple visual act is also an important sensory influence.
>> Indian consumers are not DIY (Do It Yourself) consumers, but DIFM.
>> Eat before shopping, preferably ripe bananas.
FREE is God!
>> Shoppers tend to compartmentalize products based on their usage.
>> Oft-repeated and almost predictable EOSS offers have conditioned the shoppers to expect the a sale regularly.
>> Promotions always leverage one or more of these feelings—sense of urgency, feeling of being special, and being able to make smart choices.
Pester Power
>> The younger consumers are usually early adopters of any new product, technology or service.
>> Pester power is real and it exists in the context of shopping.
I Want It Now!
>> Online shopping will definitely be a part of the choices available to shoppers.
>> Online shoppers today are constantly sharing an identification tag which links everything they do.
>> Clearly the emerging value definition in the minds of shoppers is skewed towards experience and convenience.
Do Shoppers Know How to Get Good Service?
>> We are unable to clearly communicate our service expectations and that ends up being one of the key reasons for getting poor service.
>> The service expectations of a shopper would change based on their age as well as the product category being purchased.
>> Customers or shoppers are human beings and can never be always right.
Becoming a Smart Shopper
>> Self-service formats and more recently online shopping has redefined the way shoppers behave.
>> Choice always creates challenges in any scenario. Similar is the case with shopping.
>> The only way shopping behaviour can change is through conscious practice and the resultant learning.