Changing the Subject

The Wall Street Journal didn't ask, but James Stengel told them anyway.

In an interview published on July 10, the Journal asked Procter & Gamble's global marketing chief if his company had learned any lessons from its early experimentation with product placement.

You know the idea behind product placement: People aren't watching commercials anymore, so instead you insert the products into the programming. To me, it feels a bit like moving across the street from your ex-wife, but it can be very effective when done in relevant, non-intrusive ways.

Anyway, the Journal asked Stengel about product placement and he seemingly went a bit off topic. First, he noted that P&G's Crest was one of the earliest sponsors of The Apprentice. "We tied that into retail displays and felt really good about that," he said.

P&G also worked multiple brands into Survivor, he said. "We did a coupon booklet in the Sunday paper when we were on the show, tied it into retail displays and felt terrific about the return on that," he explained.

Summing up after the Journal asked a follow-up question on effective product placement, Stengel said: "Always, when it has a retail tie-in it works better."

Marketers have tied into film and TV properties for decades in hopes that "borrowed equity" from the property will enhance the equity of their brands. They also used them to create excitement at retail, although that's more often been viewed as a lesser goal. PepsiCo was able to pull off both last month by tying into Superman Returns, which produced one of the more prolific in-store campaigns of the year. (Incidentally, PepsiCo didn't run any TV advertising for the tie-in, deciding that a focus on retail and radio would give it "a great deal of bang for our buck," according to a spokesperson.)

So thanks for making the point, Mr. Stengel, that marketing in the store -- where the product really gets placed -- is an important part of the marketing plan. Is everybody listening yet? If not, we'll keep pointing it out.

Peter Breen
Managing Director, Content
In-Store Marketing Institute

Members: More information here.

Desktop Conference: "Partnership Marketing in a Retail Environment" by 7-Eleven's Doug Foster

7-Eleven wants to create a great retail experience that establishes an emotional connection with customers. And brand marketers can help achieve this goal by working with the chain to develop fully integrated marketing campaigns. In a presentation from April's In-Store Marketing Summit, vice president of marketing Doug Foster discusses the chain's strategy for leveraging the equity of marketing partners to connect with customer "passion points."

Also, look for an updated profile of 7-Eleven in the Retail Handbook.

Members: Watch the lecture here.

Research: Shopper Attitudes About Displays and Signs from Mass Connections

Nearly two-thirds of shoppers polled in recent surveys say their decision to buy products is influenced by signs and displays at least some of the time. Retail marketing agency and Institute member Mass Connections provides excerpts from "Touch America - The Shopper Connection," an analysis of the dynamics affecting purchase behavior.

Members: View the research here.

Research: Benchmarking the P-O-P Industry

Companies that produce a higher percentage of temporary displays tend to perform better than those focused more on permanent P-O-P fixtures. That's one of the findings from the 2005 P-O-P Producer Financial Ratio Report, a survey of leading companies conducted by RMS McGladrey (then American Express Tax & Business Services) in conjunction with the Institute and LaSalle Bank. Although the survey size was too small to generate a valid statistical sample, the report provides an interesting first glimpse of future financial benchmarks for the industry. The three parties are conducting a second survey this month. (To learn how to participate, contact Maureen Macke at (847) 675-7400, ext. 127.)

Members: View the report here.

Store Check: Account Specifics at Publix

Publix claims to be the place "where shopping is a pleasure," and it takes that promise very seriously. That translates into clean, orderly stores where the development and placement of brand-supplied P-O-P materials are strictly controlled -- but not banned. Browse through more than 100 images from recent Institute trips to Atlanta and Orlando to see how the chain uses brand-supplied displays and signs to enhance the shopping experience. Our coverage also includes an update of the Publix profile in the Retail Handbook.

Members: View the store check here.

Welcome New Institute Members

The In-Store Marketing Institute is delighted to welcome new and renewing members to the Institute family. Below is a list of the companies that signed up recently. Welcome aboard.

• Active International
• Anheuser-Busch
• Benchmark
• The Clorox Company
• Dad's Pet Care
• DARKO Inc.
• DIRECTV Entertainment
• DS-IQ
• Florida Lottery
• The Garvey Group
• George Weston Bakeries
• Get Fit Foods
• Globe Electric Co.
• The Hartford Courant
• The Home Depot
• Hawver Display
• Jergens
• LEGO Systems Inc.
• Meridian Display
• Miller Zell Inc.
• New Creature
• OATSystems
• PowerPact LLC
• Pudik Graphics
• REMY Cointreau USA
• Seven Hills Corporation
• Shoppers Drug Mart Inc.
• The Retail Communication Group
• University of Wales, Bangor
• Visual Marketing Inc.
• Weber Display & Packaging
• WMH Tool Group