CONSOLIDATION CONCERNS
In a story entitled “Moving Targets” (May PROMO), you report that while the in-store services sector increased 3.9 percent, “Growth was slowed by CPG consolidation, which reduced the number of major players in the grocery channel and the demise of one leading in-store company.” This consolidation can be traced directly to what we perceive to be a business climate that precludes some companies from competing in this market on a level playing field and in some cases precludes competition altogether.
What should be an open market where retailers and manufacturers have a variety of in-store P-O-P source options with which to promote their brands is instead dominated by a few select companies. The result is that retailers and manufacturers are often limited to a single option, when many more options exist that could more effectively boost incremental sales. Some marketers are even forced to lock into exclusive relationships with a single in-store P-O-P choice.
We believe it is time for the industry to explore the myriad innovations introduced into the in-store P-O-P market. New, versatile marketing options that actively encourage consumer migration to the shelf are reluctantly precluded from consideration because retailers are forced into exclusive contracts.
We urge retailers and manufacturers who share our concerns to work toward creating an open arena environment that will benefit everyone.
Cy Harris
Promo Edge
Neenah, WI
MIGHTY REPLY
I am writing in response to your May 2001 column (“Home Work”) regarding the Mighty Midols. Notwithstanding your critical review of the Mighty Midols, we appreciate your favorable comments about the Midol.com Web site.
Please note that information gathered from focus groups comprised of teenage girls was central to the development of both the Midol.com site and the Mighty Midols program. We sought the input of teen girls because, in order to provide them with important health information about menstruation that may be of great benefit to them in attempting to understand their bodies, we recognized that it was necessary first to successfully attract their attention.
So far, our research is showing that we're achieving this goal: Traffic to the Midol site is well above average, and 90 percent of the traffic to Midol.com is coming from the Mighty Midols game. We realize that our approach, which was intended to communicate empowerment through videogame icons that work as a team, may not appeal to everyone. However, I want to assure you that we meant no offense.
Thank you for allowing me the opportunity to share this additional information.
Heather Shirley
Bayer Consumer Care
Morristown, NJ
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