|
|
|
March 1995 |
|
 Printer Friendly Version |
| The Chemistry of Chemicals |
by Stephen J. Alexander
President, Automotive In-Store Marketing |
 |
 |
| Stephen J. Alexander |
Second in a series of four articles reporting findings from focus group research about consumer attitudes and shopping behavior specific to three groups of automotive products. This month the subject is chemicals (functional, service/maintenance, and engine treatments). Last month, appearance products (wash, wax, cleaners, etc.) were discussed. In June, automotive security devices will be addressed. The series will conclude in July comparing the three categories and discussing the overall impact of in-store marketing.
Consumers report an inclination to spend more time browsing in the automotive chemicals section, looking at products on the shelves and reading labels for information and advice. This is in comparison to other categories covered by this study.
Chemicals, reported consumers, are generally not viewed as solutions to pressing problems. Frequently chemicals are perceived as a stop-gap measure for what consumers believe is basically a mechanical problem. The purchase of a specific chemical product is, therefore, not usually planned. Rather, consumers reported that they were very inclined to pick up items from the automotive chemicals section on impulse as they walked around the category.
While this finding applied somewhat to specialty automotive stores, it is particularly true for mass merchandisers. The impulse nature of the products coupled with the propensity of consumers to browse the chemicals section has obvious implications for retailers and marketers. With the correct in-store strategy, browsing can always lead to incremental sales opportunities. Uncovering this shopping behavior, however, was only the jumping off point for this research, leading to discoveries about how consumers view the present shopping environment and how they would change in-store presentation to make shopping for chemicals easier.
Different expectations
Consumers of automotive chemicals reported that they frequent different classes of trade for different reasons and with different expectations. Consistent with research findings reported on appearance products, chemical shoppers report that they frequently visit the automotive departments in mass merchandisers while they are in the store on other errands or shopping with spouses. Mass merchandisers were valued by these consumers specifically for price, convenience and selection.
Consumers stressed, however that the automotive chemicals section in mass merchandisers must definitely be approached as a self-service (and self-educational) environment. Echoing a sentiment heard time and time again about today’s retail scene, sales assistants, according to consumers in this study, are almost never available when you want and need them.
Even when sales assistance can be located in mass merchandiser, consumers reported, in-store personnel are perceived as totally lacking in knowledge about automotive chemicals.
“You ask someone there a question and they scratch their head and say, ‘Huh?’ I think they only hire idiots.”
By contrast, consumers demonstrated a greater loyalty towards automotive specialty stores and had a much higher regard for the assistance and knowledge that would be available from sales personnel in these stores. Even in these stores, however, where consumers’ perception is that sales help is better informed, the ability to get that person’s attention is sometimes frustrating according to consumers.
 |
 |
|
THE FOCUS GROUPS were made up of eight to ten consumers, males between the age of 25 and 55 who had shopped for chemicals, appearance products, and security devices within the pas six months. They participated in moderated, in-depth discussions. Research was conducted by HMG Worldwide, a leading in-store marketing company headquarted in New York City, in conjunction with Peter C. Ellison, President of Corporate Insight, a marketing research and consulting firm located in New York and specializing in the automotive aftermarket. |
This is a store one goes to with a specific purpose in mind. A trip to an automotive specialty store, according to consumers in this survey, is usually associated with a specific need, and consumers are somewhat less inclined to browse there than in mass merchandisers. They typically are concerned with purchasing a particular product and getting started on a specific automotive repair or maintenance project. In these stores the ability to help consumers find the product they want quickly and effortlessly is especially important. Even when shopping in automotive specialty stores, however, consumers of chemical products generally reported being more inclined than any other group participating in this survey to spend at least some time browsing.
Consumers want advice, assurance
This greater willingness to browse in the chemical section of the automotive department appears to be based on distinct but related factors. For one thing, even though the participants in the chemicals focus groups tended to have slightly more experience working on their cars, they expressed a certain degree of anxiety about their ability to properly maintain today’s increasing sophisticated, computerized automotive systems. Keeping abreast of what new products are available and looking over claims and POP information seem to promote a comfort level – a feeling that the consumer is “feeding” his car everything needed to keep it running smoothly.
Moreover, recognizing the complexity inherent in today’s automobiles, consumers are anxious to take whatever steps are necessary to assure that all their car’s systems are properly serviced and maintained. They are, for that reason, willing to study products and make us of whatever information may be available to them at the point of sale.
“If I need a carburetor cleaner, I’m going to pick up every single bottle and read it. I’m looking for something that’s going to convince me that the product is going to work—the name, exactly what it says it’s going to do – and then use one to compare against the others. Then I’ll look for a guarantee.”
Additionally, consumers reported that they frequently shop the aisles trying to discover what new products are available.
“You don’t know what you can fix unless you know what’s out there.”
So, providing information and highlighting new products is an important benefit that retailers and manufacturers can provide for their consumers at the point of purchase. Unfortunately, consumers did not give either retailers or manufacturers very high marks regarding information/education provided in the store at the point of sale.
Consumers, for example, could not recall any specific displays, signage or POP material in automotive chemicals that they had noticed or used to help them make a product selection or simply provide information beyond what was available on the packaging. When questioned about “in-store displays” consumers’ top-of-mind responses were about product merchandised on end caps, and several consumers viewed these somewhat negatively. Product on an end cap, they claimed, was often merchandise the store simply wanted to “get rid of.”
While consumers could not describe any memorable in-store merchandising, a number of consumers did recall seeing and were able to describe in some detail an infomercial for one particular additive. They remembered the infomercial and thought it highly effective. Several consumers, in fact, reported purchasing the product – prompted by the information they picked up from the infomercial. This is great information, most consumers agreed, but it does not always reach the target customer.
“That’s great, except not everybody watches those things (infomercials). But everybody goes to the store. That’s where you need to see it.”
Many consumers indicated that the type of detailed information provided in an infomercial (what a product is intended to do, how it works, how it should be used, etc.) would be highly desirable at the store level. It’s certainly not there now, they admit, but most consumers definitely agree they would like more information. The only question in the minds of these consumers was on the most effective way to deliver that level of information. One consumer suggested that retailers should run the infomercial in the store, Most disagree, however, noting that an infomercial runs too long.
“I’m not going to stand and watch that whole thing in the store. I only want to know certain things. I want to be able to go to the part I need, not listen to all the fluff.”
Despite their willingness to browse for automotive chemicals then, the amount of time consumers are prepared to spend doing so is still limited. Although they are willing to look around, consumers are definitely not willing to waste any of their time – not one second! With busy lives and limited leisure time, these focus group participants reflected the consumer profile that has become so well known in retailing today: time pressured, demanding and value conscious. So, while consumers may want to browse, they do so with a purpose and with one eye on the clock – and another on their wallet.
It is the responsibility of the retailer and the manufacturer to help the consumer locate and select the right product at the right price in the least amount of time. However, in the context of providing quick and easy assistance to help consumers make intelligent, informed purchase decisions, both automotive specialty stores and automotive departments in mass merchandisers were compared by consumers in this research unfavorable with other classes of trade, specifically home centers and hardware stores. Those channels were viewed as far superior at providing educational assistance and product usage information/advice. Home center, for example, were recognized for providing an 800 number for consumers and making sure pamphlets and brochures were available.
Consumers want and use chemicals
The challenge faced by retailers and manufacturers, according to this research, entails more than simply imparting information. The survey suggests that building confidence and credibility are equally important. For while consumers in the survey were very interested in using whatever product may be necessary for their car and while they were motivated to search for the right product – either from a preventive maintenance or repair perspective – consumers also admit that they do not always understand the precise benefits afforded by the myriad of automotive chemicals.
“What gets me is that you see some of these Teflon treatments for $30.00 and some for $14.00, but they all say they’re doing the same thing. So I don’t buy any of them and just change the oil every 3,000 miles, and that takes care of it.”
Consumers in this study report that they would appreciate assistance from manufacturers and retailers not only to help them understand product features and to clearly identify the specific benefits to be derived but also to be assured their particular need, will work in their individual car, and cannot possible cause (or exacerbate) damage to their car’s systems. Additionally, consumers want clear and specific instructions about how to use the various products.
When questioned about the process involved in making a purchase, many consumers in this research reported that frequently they really do no know how to make the correct product selection, i.e., one that is right for their particular make, model, year, and maintenance and/or repair problem. In those cases, consumers report, their last resort is to ask for assistance in the store. As discussed above, however, that approach can sometimes only add to a consumer’s level of frustration.
“It’s a lot of trial and error. It’s more frustrating for men since they won’t ask for directions.”
Importantly, while consumers want to be reassured about the product’s use and safety, they also report being “turned off” by too many warnings. There appears to be a certain low level of anxiety, a certain tentativeness, about products that are added to one’s automobile, and some consumers expressed concern that they may do more harm than good. Too many usage caveats seems to focus and feed that uncertainty.
Moreover, even when consumers in this research reported that they were able to uncover the information they required about specific chemical products, they often expressed skepticism about whether the product actually delivered. One consumer, for example, wondered, “Does anybody really know what oil additives actually do?”
This question was met with almost unanimous consent from other members of this particular group. No, these consumers did not really know what, specifically, oil additives did and the implication was that they, in fact, do practically nothing at all. One consumer remarked that oil additives are generally used only by people who don’t know very much about cars!
This level of skepticism seemed to vary by product type. Products which have multi-purpose applications within a specific product category (e.g., stops power steering noise and power steering unit leaks) may be positively received; too many applications (e.g., stops leaks in the transmission, master cylinder and power steering unit) may dilute the perceived efficacy of the product.
It is interesting to note that participants in this research seemed quick to question the actual benefit of many automotive chemicals, yet all admitted to using them. Some, of course, used chemicals on a more regular basis, and even these consumers seemed will to agree that benefits and claims were suspect. In fact, within the dynamics of the discussion group, it seemed almost fashionable to adopt “They can’t fool me” attitude about the category.
Again, implications for retailers and marketers are clear. There is a tremendous opportunity to increase consumer loyalty and help generate incremental sales – simply by providing some clear and compelling education that is readily available to the consumer in the store where the purchase decision is being made. Importantly, this information must be delivered in a manner that strongly fosters – and then reinforces – trust.
Consumers want a broad selection
This consumer “show me” attitude coupled with their willingness to make use of point-of-purchase information affected the way these consumers shopped and approached the purchase decision in a number of ways. For example, consumers in this research were very receptive to a wide and varied product selection. When asked to react to several in-store photographs, consumers consistently selected as their ideal shopping environment large sections with well stocked shelves.
“I like the selection of products you can choose from.”
“It’s like a mystery chest. I like all the products.”
From a merchandising perspective, there is, of course, a downside to offering the type of wide product selection preferred by consumers in this research: it can reduce the “shopability” of the section, particularly in the absence of any merchandising system to help organize, showcase and inform consumers. Shoppability defines a shopping environment which facilitates the purchase decision and effectively showcases product. When retailers are forced to merchandise a wide variety of products within a limited amount of space there is always the danger of compromising shoppability: creating clutter versus variety and presenting a visual jumble versus a clear product selection.
What, consumers were asked, could be done in-store to help bring a sense of organization to a crowded section. Clear, high-visibility signage was unanimously regarded as extremely helpful and effective. One theme that recurred throughout the research is that consumers appreciate any effort to help them locate and select the correct product – and signage is high on that list.
Importantly, consumers in these focus groups did not refer to signage they had encountered in the automotive class of trade as examples. Instead, consumers talked about how effectively supermarkets have utilized signage to tag categories and identify the products that are located in specific aisles. Signage, however, to be truly useful must be carefully thought out, cautioned consumers. One photograph used to stimulate group discussion contained overhead signage of “additives.” Consumers unanimously agreed that was far too broad to be of much assistance.
Another observation consumers had about the shoppability of the typical chemicals section concerned product visibility. Many respondents observed that when standing in front of a section or looking down an aisle, products all seem to “ run together.” This made it difficult, consumers felt, to find a specific product or even to “window shop.” It also made it difficult to select and examine products. This is a common problem in categories characterized by product proliferation. The number of products and diversity of sizes and shapes make it very difficult for the retailer to merchandise the section as well as making it difficult for the consumer to shop.
“There’s no breathing room between the products.”
What is the right organization?
An additional shoppability issue, which was discussed at length by consumers, was the organization of the section. Consumers who participated in this research astutely pointed out that the category identified as “chemicals” is a diverse and relatively complex one. It is, in fact, as more that one consumer observed, a collection of “mini-departments.” This, consumers reported, makes it difficult to find exactly the product you are looking for.
“If you’re looking for a transmission treatment, you don’t necessarily want to look at every engine, exhaust, oil product or whatever before you find what you want. It’s not as well thought out.”
When asked how retailers could deliver a “well thought out” category organization, consumers agreed on one account and disagreed on others. What consumers largely agreed on is that products should be clustered by use. While a small minority suggested that they were loyal to certain manufacturers and would like those products grouped by brand, these consumers were largely overruled in favor of application grouping.
“That’s the way to do it. Like at a grocery store.”
“You don’t have to walk around much; everything is clustered together.”
What consumers disagreed on was a system to identify the specific application groupings. Focus group respondents suggested that they would like to see dividers or some form of signage to help identify and distinguish segments. This, they believed, would make it much easier to find the products they wanted – from down the aisle or while standing right in front of the section. However, consumers had considerable difficulty agreeing on an appropriate name for each group of products. In fact, they had trouble agreeing on what constituted a product “group.”
One set of consumers suggested that the organization could be defined by the type of additive such “gas additives and oil additives.” Other consumers, however, came up with a number of products, such as transmission fluid, that they felt did not quite seen to fit that formula. Some consumers then suggested that segmentation might be defined according to the automotive system (engine, fuel, transmission, cooling). Others, however, felt that this was too broad a classification. Following much discussion and agonizing, the issue of category segmentation remained unresolved.
Although consumers could not agree on a specific category segmentation, they did agree that (1) segments must be detailed enough to help locate specific product and (2) defining segments too closely will contribute to the confusion rather than alleviate it.
Clearly, there is opportunity to create a more shoppable environment for the consumer and increase the opportunity to generate incremental sales. This is a category where information and education are called for – loudly and clearly by the consumer! As one consumer summed it up:
“Finding the product is sometimes a problem. Getting good information is always a problem.”
Solving those problems for the automotive chemicals consumer can significantly increase sales and profitability. But in order to achieve this, additional research is needed as well as some cooperation between retailers and manufacturers.
Stephen J. Alexander is an aftermarket consultant, speaker and monthly columnist for Aftermarket Business Magazine. To learn more about other in-store merchandising and marketing issues, contact Stephen Alexander, Automotive In-Store Marketing at 239-395-9203 or e-mail him at salexander@autoinstore.com.
COPYRIGHT NOTICE:"Reprinted with permission from Aftermarket Business, March, 1995, page 18. Copyright by Advanstar Communications, Inc. Advanstar Communications, Inc. retains all rights to this material." To subscribe to Aftermarket Business, call 1-218-723-9477 or email fulfill@superfill.com.
|
|
