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Friday, April 05, 2019

Kellogg Pilots Virtual Reality Merchandising Solution

A surprising area to see this kind of implementation.     The 'lower shelf' optimal location for product goes with some very old beliefs in CPG.   But the guidelines for that were found to be mostly contextual long ago.  See my former colleague John Milby's work on Shelf virtualization, linked to in many posts below.  He combines true behavioral expertise to this kind of data.

Kellogg pilots virtual reality merchandising solution
By Rose Anthony in Retailwire  with futher expert comments.

Through a special arrangement, presented here for discussion is a summary of a current article from the bi-monthly e-zine, CPGmatters.

The Kellogg Co. last November partnered to pilot a solution that embeds eye-tracking technology in a mobile virtual reality (VR) headset to reinvent how brands and retailers gather critical consumer data at the store level.

Accenture and technology provider Qualcomm collaborated on the effort.

Conducted with the launch of Kellogg’s Pop-Tarts Bites product, the VR solution demonstrated that optimal placement for the new product was on lower shelves rather than on higher shelves, which conventional testing indicated was where consumers expected to find new products. The result was an 18 percent increase in brand sales during testing.

In a statement, Raffaella Camera, global head, innovation & market strategy, Accenture Extended Reality, said the mobile VR eye-tracking solution provided far deeper behavioral data than standard testing, which typically relies on online surveys and in-home user tests. She said, “It allows significant new insights to be captured while consumers shop by monitoring where and how they evaluate all products across an entire shelf or aisle. Ultimately, this enables product placement decisions to be made that can positively impact total brand sales, versus only single product sales.”

Among the potential benefits from the technology:.. '

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