Excellence Our mission is to radically improve the promotional data landscape and deliver unparalleled analytics. Innovation We focus on innovative solutions to help drive our focus and that of our customer business. Actionable Providing a wealth of information is only part of the puzzle; our findings increase your profits. ECRM Market Matchup: Cub Foods vs. Target vs. Walmart Minneapolis, MN ECRM’s promotional analytics & reporting provides the most comprehensive information needed to increase profits, predict competitive trends and make better decisions. Confidential and Proprietary to ECRM 1
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ExcellenceOur mission is to radically improve
the promotional data landscape
and deliver unparalleled analytics.
InnovationWe focus on innovative solutions to
help drive our focus and that of our
customer business.
ActionableProviding a wealth of information is
only part of the puzzle; our findings
increase your profits.
ECRM Market Matchup:
Cub Foods vs. Target vs. Walmart
Minneapolis, MN
ECRM’s promotional analytics & reporting provides the most comprehensive information needed to increase profits, predict competitive trends and make better decisions.
Confidential and Proprietary to ECRM 1
INDEX:
• Methodology & Definitions
• Circular Design & Pricing Trends
• Product Mix Comparison
• Marketing Strategies
Confidential and Proprietary to ECRM 2
METHODOLOGY & DEFINITIONS:
Feature Ad Block Count: Feature Ad count gives credit to every unique product in
an ad block. Each instance of a product promotion in an ad block assigns a Feature Ad Count of 1 for that product.
Effective Ad Block Count: This measure gives shares credit for an ad block among
all products included. If 4 products share an ad block each receives a 0.25 count for that particular promotion.
Percent of Space: We measure and aggregate the percent of physical space each
brand receives in a particular channel of trade or even at a specific retail chain.
Time Periods:
• Prior Year : 8/26/2012 – 8/24/2013• Current Year : 8/25/2013 – 8/23/2014
A birds eye view of the style of circulars Cub, Target, & Walmart release, in terms of metrics including page count, frequency, price transparency, and ad count
• Pricing ComparisonSee whether a basket of goods purchased at both retailers costs the same
• Pricing Variation Over TimeDoes one retailer change prices or discount rates more frequently than the other?
• Product Level Price Point VariationDoes one retailer have product offerings across a wider
variety of price points?
• Front Page Pricing StrategyAre front page items similarly priced to comparable items on other circular pages?
• Year over Year Pricing AnalysisHow aggressive are retailers in raising prices this year compared to the year prior?
Confidential and Proprietary to ECRM 4
COMPARING CIRCULAR DESIGNMetrics like these help you understand the design and strategy behind retailer’s
circular layouts.
Here we can see that Cub Foods has the fewest pages per circular and trending even
fewer. They are also cutting back in ads per page. Walmart has the most pricing
transparency Y/Y. Cub, with its stronger promotional focus on grocery, average about
twice as many ad blocks per page. Target is adding pages per circular Y/Y but they
are becoming less transparent in pricing.
PL = Private Label
Confidential and Proprietary to ECRM 5
Cub Foods Target Walmart
Current Prior Current Prior Current Prior
Circular Count 53 53 58 58 95 82
Pages per Circular 7.1 7.7 26.5 24.7 13.9 15.3
Ad Blocks per Page 19.8 25.4 8.7 8.7 10.3 9.8
% of Ads with Pricing 95.1% 92.7% 89.6% 92.5% 98.6% 98.5%
PL % of Total Ad Blocks 14.9% 14.4% 17.1% 14.9% 8.8% 8.6%
PRICE BASKET CONTENTS AND METHODOLOGY
This comparative basket of goods was developed by analyzing the most frequently promoted items across the three select retailers.
Of seventy-two total observed months (twenty-four per retailer) their count of monthly specific observations is stated on the right.
To control for size & quantity variations, all units were standardized to a single unit size & quantity.
On the occasion that a month’s data point was not
available, where appropriate, this analysis used the most recently seen price point at that retailer.
Confidential and Proprietary to ECRM 6
Product Size Observations TotalCub Target Walmart
Frito Lay Lay's Potato Chips 10 oz. 23 23 13 59
Tide Laundry Detergent 150 oz. 19 24 14 57
Bounty Paper Towels 8 roll 14 24 14 52
Sunshine Cheez-It Crackers 7 oz. 22 17 10 49
Pepsi Products 12 ct./pk. 22 24 2 48
Nabisco/Christie Oreo Cookies 16.6 oz. 19 16 10 45
PRICE POINTS WITHIN PEPSI SOFT DRINKSNet Unit Prices for 12 ounce, 12 pack cans. Comparing Net Unit Pricing shows the
wide variety of price points possible when you consider the implications of offers and
incentives, even for a fairly commoditized product.
Cub Foods - Minneapolis, MN
Front (3) – 8/25/2013 Target - Minneapolis, MN
Front (1) – 5/19/2013
Confidential and Proprietary to ECRM 10
Walmart - Minneapolis, MN
Wrap (21) – 6/29/2014
PREMIUM PAGE PRICING STRATEGYThis analysis looks at the pricing discount on the front, back, and wrap pages for
products compared to where seen in the middle pages at that same retailer.
Premium pages can be a great place to drive traffic with competitive pricing.
Based on this comparative product basket, Cub and Walmart are more aggressive with their pricing on their premium pages, while Target more commonly leverages the space to pad their margins.
DIFFERENCES IN CIRCULAR SPACE BY CATEGORY - CUBThis table shows the top ten categories by share of circular space for Cub compared
to the others. These are the top Categories where Cub holds the promotional
competitive advantage.
Compared to Target and Walmart, Cub commits the
most space to Fresh Fruit and Vegetables, & Meat.
Confidential and Proprietary to ECRM 15
Category Cub Advantage Target Walmart
Meat 12.38% +9.88% 0.90% 1.60%
Fresh Fruit 8.31% +7.68% 0.31% 0.31%
Fresh Vegetables 5.18% +4.98% 0.09% 0.11%
Seafood 2.89% +2.60% 0.15% 0.14%
Floral 2.47% +2.38% 0.00% 0.09%
Bakery In-Store 2.97% +2.23% 0.09% 0.66%
Deli 2.15% +2.08% 0.02% 0.05%
Poultry 2.21% +1.98% 0.14% 0.09%
Canned Foods 3.56% +1.96% 0.24% 1.36%
Snacks 5.43% +1.44% 1.59% 2.41%
DIFFERENCES IN CIRCULAR SPACE BY CATEGORY - TARGETLastly, this table shows the Target’s top ten categories by share of circular space
compared to the others. These are the top Categories where Target holds the
promotional competitive advantage.
Target’s focus on Apparel is almost entirely
unopposed by Cub.
Confidential and Proprietary to ECRM 16
Category Target Advantage Cub Walmart
Women's Apparel 6.44% +5.07% 0.00% 1.37%
Kids' Apparel 6.03% +4.56% 0.00% 1.47%
Domestics 3.95% +2.67% 0.00% 1.29%
Furniture 2.68% +2.35% 0.00% 0.33%
Storage&Organization 2.53% +2.25% 0.00% 0.29%
Men's Apparel 2.96% +1.86% 0.00% 1.10%
Home Decor 2.03% +1.56% 0.03% 0.44%
Audio Electronics 2.39% +1.38% 0.00% 1.01%
Accessories 2.72% +1.38% 0.00% 1.34%
Shoes 1.79% +1.38% 0.00% 0.41%
DIFFERENCES IN CIRCULAR SPACE BY CATEGORY - WALMARTThis table shows the top ten categories by share of circular space for Walmart compared
to the others. These are the top Categories where Walmart holds the promotional
competitive advantage.
Walmart, leads the way with General Merchandise
categories.
Confidential and Proprietary to ECRM 17
Category Walmart Advantage Cub Target
Maintenance Items 1.59% +1.55% 0.01% 0.03%
Facial Care 1.08% +1.40% 0.08% 0.61%
Office Supplies 1.67% +1.39% 0.05% 1.27%
Skin Care 0.71% +1.03% 0.08% 0.29%
Auto Tools&Equipment 0.31% +0.66% 0.00% 0.01%
Diet 0.37% +0.63% 0.06% 0.02%
Bath Specialty 0.30% +0.53% 0.00% 0.04%
Analgesics 0.64% +0.51% 0.21% 0.19%
Digestives 0.74% +0.50% 0.12% 0.40%
Bundles 0.36% +0.50% 0.00% 0.15%
TOP 25 BRANDS SHARE OF VOICE AND SPACEThe Share of Voice is each brand’s share of Total Effective ad count while the Share of
Space is the brand’s cropped ad block share of the total pixel count. Fresh Grocery, In-house bakery, and Undefined Manufacturers and Brands were excluded.
When Share of Space exceeds Share of Voice, the ads are larger than average.
Confidential and Proprietary to ECRM 18
Walmart-US
BrandShare of
VoiceShare of
Space
Mainstays 2.08% 1.76%
Great Value 1.78% 1.45%
Spring Valley 1.20% 1.48%
Better Homes and Gardens 0.92% 0.64%
Samsung 0.89% 1.05%
Fruit of the Loom 0.87% 0.85%
Faded Glory 0.80% 0.62%
VIZIO 0.73% 0.83%
Straight Talk 0.64% 0.50%
Wal*Mart 0.55% 0.24%
HP (Hewlett Packard) 0.53% 0.64%
Glidden 0.48% 0.15%
Equate 0.47% 0.22%
Activision Blizzard 0.44% 0.44%
Russell Athletic 0.44% 0.35%
Lego 0.43% 0.26%
Pennington 0.41% 0.25%
Marketside 0.40% 0.31%
SodaStream 0.38% 0.26%
VTech 0.38% 0.27%
Galaxy S 0.37% 0.54%
Gold's Gym 0.37% 0.37%
Dove 0.37% 0.34%
Danskin 0.37% 0.44%
Special K 0.36% 0.47%
Target Stores
BrandShare of
VoiceShare of
Space
Threshold 4.00% 5.53%
Up & Up 3.49% 2.76%
Room Essentials 2.82% 4.13%
C9 by Champion 1.95% 3.66%
Cherokee 1.81% 2.39%
Market Pantry 1.80% 1.22%
Mossimo 1.44% 3.31%
Circo 1.38% 2.29%
Merona 1.04% 2.48%
Xhilaration 0.88% 1.44%
Archer Farms 0.71% 0.47%
Activision Blizzard 0.70% 0.54%
Galaxy S 0.67% 0.77%
Samsung 0.67% 0.88%
Simply Balanced 0.62% 0.38%
Hanes 0.51% 0.81%
Wii U 0.50% 0.26%
3DS 0.45% 0.26%
Fieldcrest 0.44% 0.59%
Philips 0.43% 0.50%
Pepsi 0.42% 0.31%
Coca Cola 0.40% 0.30%
Tide 0.37% 0.47%
Sterilite 0.35% 0.47%
EA 0.34% 0.15%
Cub Foods
BrandShare of
VoiceShare of
Space
Essential Everyday 6.91% 5.82%
Cub Foods 4.15% 8.96%
Always Tender 1.44% 2.98%
Wild Harvest 1.26% 0.94%
Oscar Mayer 1.14% 1.22%
Arctic Shores 0.89% 0.79%
Kraft 0.88% 1.22%
Jennie-O Turkey Store 0.70% 0.77%
Kemps 0.70% 0.84%
Old Dutch 0.70% 0.56%
Farmstand 0.68% 1.07%
Baby Basics 0.68% 0.38%
Crystal Farms 0.65% 0.58%
Hershey's 0.64% 0.60%
Campbell's 0.63% 0.62%
Equaline 0.62% 0.51%
Gold'N Plump 0.61% 0.82%
Pillsbury 0.53% 0.45%
Betty Crocker 0.51% 0.49%
Fresh Express 0.49% 0.90%
Cub Signature 0.47% 0.58%
Johnsonville 0.46% 0.39%
Marie Callender's 0.40% 0.34%
Shoppers Value 0.39% 0.32%
Pampers 0.38% 0.24%
TOP 25 MANUFACTURERS SHARE OF VOICE AND SPACEThe Share of Voice is each manufacturer’s share of Total Effective ad count while the
Share of Space is the manufacturer’s cropped ad block share of the total pixel count.
Confidential and Proprietary to ECRM 19
Due to many various products, Private Label Brands & Manufacturers tend to Rank the highest.
Cub Foods
BrandShare of
VoiceShare of
Space
Supervalu Inc. Private Brand 13.08% 11.38%
Cub Foods Private Brand 4.62% 9.55%
Kraft Foods 3.79% 4.21%
Hormel Foods Corp 3.76% 5.45%
Procter & Gamble Company 3.59% 2.72%
General Mills 3.50% 3.88%
Nestle S.A. 3.26% 3.01%
ConAgra Foods Inc. 2.00% 1.88%
Unilever 1.71% 1.49%
Kellogg NA Co. 1.66% 1.75%
Campbell Soup Company 1.55% 1.66%
Pepsi-Cola 1.30% 1.78%
Coca Cola USA 1.20% 1.62%
MillerCoors, LLC 1.09% 0.69%
Frito-Lay, Inc. 0.94% 1.45%
Hillshire Brands 0.93% 0.80%
Mondelez International, Inc. 0.92% 1.04%
J.M. Smuckers Company 0.92% 0.84%
Pinnacle Foods Corporation 0.89% 0.95%
Kimberly-Clark Corp. 0.86% 0.63%
Gerber Products Co 0.83% 0.55%
Anheuser-Busch Companies, Inc 0.83% 0.51%
The Hershey Company 0.82% 0.74%
E&J Gallo Winery 0.80% 0.49%
Old Dutch Snack Foods Ltd. 0.80% 0.66%
Target Stores
BrandShare of
VoiceShare of
Space
Target Private Brand 18.12% 22.63%
Procter & Gamble Company 4.92% 4.20%
Hanesbrands Inc. 2.51% 4.58%
Iconix Brand Group, INC 1.89% 3.92%
The Cherokee Group, Inc. 1.81% 2.39%
Samsung America Inc. 1.61% 2.03%
Nestle S.A. 1.35% 0.98%
20th Century Fox 1.31% 0.45%
Mattel Toys 1.23% 1.27%
Pepsi-Cola 1.23% 0.71%
Kraft Foods 1.21% 0.68%
Unilever 1.21% 0.81%
Hasbro, Inc. 1.16% 1.28%
Coca Cola USA 1.16% 0.69%
Universal Studios 1.13% 0.46%
Nintendo Co., Ltd. 1.12% 0.66%
Warner Bros. Entertainment 1.10% 0.52%
Kimberly-Clark Corp. 1.08% 0.89%
Philips 1.04% 1.03%
Apple Inc. 1.03% 1.22%
General Mills 0.86% 0.71%
Clorox Company 0.85% 0.62%Sony Pictures Home Entertainment 0.79% 0.35%
Paramount Home Video 0.71% 0.29%
Sterilite Corporation 0.71% 1.01%
Walmart-US
BrandShare of
VoiceShare of
Space
Wal*Mart Private Brand 10.24% 8.32%
Procter & Gamble Company 3.76% 4.12%
Unilever 2.66% 3.89%
General Mills 2.28% 3.27%
Kraft Foods 2.01% 2.97%
Samsung America Inc. 1.70% 2.05%
Hasbro, Inc. 1.56% 1.32%
Kellogg NA Co. 1.55% 2.16%
Newell Rubbermaid 1.51% 1.10%
Mattel Toys 1.44% 1.14%
ConAgra Foods Inc. 1.25% 2.09%
Nestle S.A. 1.22% 1.78%
Fruit of the Loom Ltd. 0.94% 0.91%
Iconix Brand Group, INC 0.94% 0.87%
Clorox Company 0.93% 0.72%
The Scotts Company 0.82% 0.62%
L'Oreal Paris 0.73% 0.88%
VIZIO, Inc. 0.73% 0.83%
TracFone Wireless, Inc. 0.73% 0.52%
J.M. Smuckers Company 0.69% 0.74%Reynolds Consumer Products, Inc. 0.68% 0.39%
Campbell Soup Company 0.67% 0.93%
Hewlett Packard 0.66% 0.87%Reckitt Benckiser Consumer Products, Inc. 0.65% 0.41%
Kimberly-Clark Corp. 0.64% 0.39%
0%
5%
10%
15%
20%
25%
30%
35%
40%
45%
0 10 20 30 40 50
Cub
Target
Walmart
CONSOLIDATION IN ADVERTISED BRANDSCumulative Share of Space for Top 50 Brands in Current Year Circulars. This metric shows
how each retailer chooses to allocate its ad space among brands, be it with the larger
macro brands or with more niche brands to match nuanced consumer tastes.
Top 50 Brands Total Circular SpaceCub : 40.57%
Target : 29.70%Walmart : 25.15%
Confidential and Proprietary to ECRM 20
SUB-CATEGORY SATURATION BY CIRCULARUsing a similar concept, this graph displays the Effective Ad Count per featured sub-category
for current year circulars. This metric can provide insight into whether retailers are branching
out their offerings across many sub-categories or have a more narrow focus.