Point-of-sale (POS) or point-of-purchase (POP) displays are sales promotions that are placed where they will effortlessly draw customer attention and trigger impulse buying through creative, eye-catching advertising displays. The newest research suggests that 50% – 80% of all fast moving consumer goods sales are either unplanned or made on impulse. POS advertising is designed to create a ‘have to have it’ attitude among consumers, sending a clear message to urge customers to buy – now. Used effectively, POS advertising of a latest promotion or new product creates an urge to splurge that the customer finds hard to ignore and quite simply cannot turn down.
A POS display is most effective when it is colourful, creatively arranged and at eye-level. The display can be used to market new products, suggest something extra that will complement what the consumer has already bought or present novel gift ideas. Most importantly, POS advertising must never become ‘stale’. From new displays come fresh ideas and more sales opportunities for the retailer. POS advertising is ideal for quantity discounts or buy-one-get-one-free offers, giving the customer the feeling they are getting a good deal. If these offers are changed fairly frequently, customers will keep returning to the store in search of the next deal.
The advent of digital advertising has brought with it a host of marketing opportunities for retailers. A 2010 Nielsen study revealed that four out of five brands utilising digital POS advertising enjoyed an increase of up to 33% in sales. Whether digital or not, effective POS branding can lead to an increase in sales. A highly visual approach, digital POS advertising is designed to illustrate an ideal use for a specific product, thereby encouraging the customer to buy said product. Market research has shown that 70% of purchasing decisions are made in-store so when retailers make effective use of all the marketing tools at their disposal, they are bound to reap the benefits.
In-Store Advertising Trumps Paid-For Commercials
While POS advertising can be the making of a brand, it is important for the retailer to get it right. Consumers generally perform the onerous task of grocery shopping, for example, in ‘auto-pilot’ often oblivious to the many advertising displays with which they are confronted. However, when seasoned marketers apply the rules of POS advertising, such as keeping the message simple, easy to read, colourful and exciting, the results speak for themselves. Studies have shown that POS displays featuring or simulating movement have a greater impact with consumers.
Numerous global consumer studies have proven that POS advertising works. It is a simple yet effective marketing technique which all retailers should employ. At its best, effective POS advertising will see product fly off the shelves and consumers returning for more.
Find out how Clarion can Help your Brand
A well established integrated branding solutions company, the Clarion Group provides customers with a full spectrum of services, from design and sampling to production and printing. For more information on how the Clarion Group can help your retail brand, visit www.clarion.co.za or email firstname.lastname@example.org.