Like we discussed in our previous post, small retail companies currently have an advantage in terms of distribution and sales. Their swiftness has trumped the slow-moving giants. These companies are aggressively eating into the share of Big Retailer Cos. The Big Cos are back devising a strategy to regain the consumers they have cultivated over the years. Soon, the wave might turn against the smaller players as they lose their grip from the consumers’ minds and wallets.
What can the Small Retail Players do in order to maintain their position and permanently arrest the shift away from Big brands? The critical strategic play here is ‘Memory Embedding’. Here are some Strategic Instigations by Wolfzhowl about how smaller brands can create bigger memory structures in the consumers’ minds. Check out Wolfzhowl’s deck on Brands and Memory Structures
1) Be thankful – Gratitude goes a long way. Thank your Customers for trusting your brand in these tough times. Incentivise them, giving a smile or a sweet memory works too.
2) Don’t forget to leave a mark – Big players have the digital prowess and footprint that a small player might not have. Make sure the brand leaves behind a token visual mnemonic at every possible interaction with the customer.
3) Reaffirm Product Quality – Smaller brands often face the consumer perception issue cheaper price = low quality’. Therefore, they need to explicitly highlight high-quality control measures and establish that their product is at par, if not better, than the products offered by bigger brands.
4) Seize the opportunity for Product Innovation – With steady revenue coming in and big cos still left handicapped due to the lockdown, smaller brands have the opportunity to turn their focus on creating, hyper-local, consumer-centric, tactical product innovations. With some extra effort, this move can set your brand apart from other products and hence accelerate adaptability and memorability.
5) Increase basket-size with product bundling – Make hay while the sun shines. The more space the brand occupies in the consumer’s mind, the longer it remains in the consumer’s memory structure. Once your brand has entered the Customer’s wallet, make the most of it. If the brand has any other complementing products, bundle them with your fastest selling products via offers.
6) Create product consumer rituals – Effective long-term memory for brands can be created by associating the product with an action or a ritual. Invent a product consumption ritual via packaging, advertising or by gamification of product and its consumption. Eg. KitKat, Kinder Joy, Oreo etc. Create a unique, tangible mini-experience around your brand & product.
7) Unite to Fight – Evaluate Cross-category tie-ups with small manufacturers of other products to get into households with combined weight to tackle the post Covid19 onslaught of the big guns.
8) Underdog Advertising – Admitting that you are smaller player can feel like shooting yourself in the foot. But it’s a counterintuitive way to reach the consumer’s heart and be remembered for good. Smaller Cos are faster, cheaper and equally effective in the times of need. And just because they don’t have the strength of the big players, they work doubly hard to provide the best they can. This is an endearing way to embed your brand in your consumer’s mind and win some well-deserved brownie points.
Brilliant case of effective Underdog Advertising – Avis
9) Discount the Product, Not the Brand. Build one afresh – Brands that have been built in adversity have stood the test of time. Now is the best time for a smaller brand to lay the foundations and build a strong purpose from the ground up. A classic example of this is Dove.