FEATURE
PRICE MARKED PACKShttp://www.asiantrader.biz 12 MAY 2017 ASIAN TRADER 19Follow us on: http://www.twitter.com/AsianTrader Like us on: http://www.facebook.com/AsianTraderPMPs power sales
Research shows 7 out
of 10 impulse shoppers
choose price-marked
products over non
price-marked (HIM); so
it’s hardly surprising
that more and more
manufacturers are
climbing aboard the PMP
bandwagon. Anthony
Dhadwal reports
V
alue for money is a big issue for consumers,
which makes price marked packs (PMPs) a
very useful tool for retailers. In the past,
convenience stores might have shied away from PMPs,
thinking that their profi t margins would be adversely
a ected.
While there remain pockets of areas where retailers
prefer the least amount of PMPs as possible (namely in
London), nowadays most independent retailers realise
that PMPs can work in their favour.
“In order to compete with
supermarkets, independents need
to set an attractive price proposi-
tion alongside their inherent
strength of convenience, and
PMPs is one of the best ways to
achieve that,” said Atil Mota
of Premier Convenience in
Headingly, Leeds.Market
Recent research by HIM
reveals 57% of consumers
are more likely to buy a
product with a price
clearly displayed, so it’s no
surprise that manufactur-
ers have increased the
range of PMPs on o er,
while continuing to o er a
proportion of non-PMPs so
that retailers can have thebenefi t of choice.
PMPs are particularly important in the impulse
environment, where research suggests over 70 per cent
of customers are more likely to purchase a price-marked
product (HIM).
The research points out that while many shoppers
assume that convenience stores are more expensive
than multiples, the growing prevalence of price marked
big brands within the independent sector can help o set
some of that perception.
Another thing retailers should be thinking about is
the current economic climate.
As economic uncertainty continues in the wake of
Brexit and with consumer confi dence shaken, consumer
focus on value for money is predicted to continue. For
retailers this means it is now, more than ever, important
to o er simpler, more transparent pricing.
For many consumers PMPs connote price reassur-
ance, and for retailers they can be a strategy to encour-
age trial, representing a quick, transparent and a ord-
able choice.
Over recent years, shoppers have become increas-
ingly overwhelmed by the multitude of promotional
mechanics o ered in store and this has driven a call for
simpler, more transparent pricing.Soft drinks
PMPs currently account for 13.5% (IRI) share of total
value sales of soft drinks.
Soft drinks prove particularly popular in the inde-
pendents and symbols channel as more than half (57%)
of soft drinks sold in this channel are PMPs (IRI).PMPs Feature1.indd 19 5/4/2017 8:25:26 AM