Real, On Time, Consumer Behavior Measurement
Consumers make overall choices of what they purchase, their preferences is a combination of many factors together like brand, product features, price, size, package, offers, etc…..
Every individual consumer has a different way of evaluating and choosing an offer, each person could value a specific item over the other, and here comes the need to understand and measure the consumer’s choices in a way that links those choices to market performance, such as shares, profits & revenues.
The concept of Virtual Shopping:
The core concept of the “Virtual Shop” is about real market simulation, it aims to put the consumers in a setting that is natural and closely represents shopping in the physical store and that is for the purpose of testing consumers’ reactions to different products, features, package designs, prices and offers
How does it work?
- Consumers would go to different shopping trips displayed on the computer screen
- They conduct 10 to 15 shopping trips in different virtual shops
- Prices, brands, sizes, variances, etc. change in each virtual shop
- From consumers’ purchase choices in the different shopping trips, we can predict, through our analytical models, the consumer choice for any market scenario.
What is the output?
- The output we get from the shopping trips is basically the “va lue” consumers put on every aspect of the total offering.
- Based on choices, in different ‘Virtual Shops’, we can predict accurately future behavior and identify exactly what were driving choices
- When combined with the right statistics & validation/ calibration, it would yield to a strong PREDICTION tool
Pros of virtual shopping
- Behavioral model: ‘Natural’ setting, utilizing advanced statistical tools for analysis
- Most validated: Various validation of prediction power vs. actual market shows excellent results
- We can test any possible market scenarios, within project design, to predict consumer reaction and brand sales
- It LINKS behavior to:
- Consumers mindset (brand equity)
- In-store influencers
- Reaction to price changes & promotions
Industries which can utilize the virtual shopping
- Automotives & Durable goods
- Financial services (Credit cards, etc,…)
- OTC Drugs