If you’re like a lot of retailers, you focus much of your time and resources on acquiring new customers as opposed to engaging the ones you already have. Market research will tell you, revenue typically comes from repeat business, not new business. And, according to the Chartered Institute of Marketing, customer acquisition costs are 4 to 10 times more expensive than the cost of retaining customers.
Knowing these stats, what can retailers do to engage their existing customers and encourage them to buy more and buy often? Well, one highly effective strategy is to optimize your in-store advertising.
Benefits of In-Store Advertising
According to an in-store shopper engagement study that interviewed 3,000 mass merchant shoppers, consumers are swayed by in-store advertising. Consider that:
- 82% of consumer buying decisions are made in-store.
- 62% of shoppers make impulse purchases while shopping.
- And 16% of these impulse purchases are driven by in-store ads.
Why do these in-store promotions lead to purchasing decisions and impulse buys? Because in-store shoppers are primed for receiving messaging that directs their purchasing decisions. The core of all good advertising has always been to get the RIGHT message in front of the RIGHT audience at the RIGHT time. This trifecta is well apparent with in-store advertising.
Not only can you encourage impulse buys you can also use in-store advertising to:
- Promote sales
- Support cross promotions
- Creates up-sell opportunities
- Promote loyalty programs
Getting Started with In-Store Advertising
Now that you know the many benefits of in-store advertising, let’s take a look at some of the basic in-store promotional styles. Which of these you choose to experiment with will depend on the size of your store and your industry.
Make Messaging Relevant
Know exactly who your customers are so you can create in-store ads that are relevant to their needs.
Take Customers on a Journey
When setting up in-store displays, use messaging that creates focal points and takes your customers on a journey through your store.
How can you create a cohesive and exciting experience for shoppers? Think about any specific season or holiday theme you can play with. You may also want to consider special promos using advertising elements that highlight certain departments of your store.
Live Product Demonstrations
Do you know why Youtube is one of the most popular social channels on the planet? Because people love to watch and learn. If space allows, consider setting up a live demonstration that allows your customers to experience your products first-hand.
Static posters and signs are only somewhat engaging. If your budget allows, try to use digital signage to share multimedia ads and messaging. You may also want to consider kicking your digital signage up a notch and make it interactive, allowing customers to select and control what content they view on the screen.
Don’t Forget to Use Those Carts
The shopping cart is prime real estate for your messaging. Your shoppers will spend a good chunk of their time staring into the cart, so use that space to promote your offers.
Beacons allow you to connect with in-store shoppers through their smartphones. Easily push notifications and coupons based on where in the store your customer is currently located. This is one of the most underutilized in-store advertising strategies right now.
Position your content where shoppers spend the majority of their time and place it in their direct view so your message is sure to be seen.
Keep it Simple
Most consumers won’t take the time to watch a full video or read a lot of text, so keep your promos short and sweet.
While traditional advertising like print ads and billboards is a great way to get new customers in the doors, in-store ads allow you to engage current customers and direct their purchasing decisions. These ads can act as a trigger and help you to increase your revenue month after month.