How To Reach The New Consumer

Chris Kanno & Hannah Lucich

Step 1 in reaching the consumer

• The Price has to be righto 86% believe price is an important

consideration in shopping ex: Del Monte, 60% ROI in incremental

revenue ex: Alaska Walmart value messaging ex: Indianapolis' Steak n Shake Co's $4

mealso Consumers believe they are entitled to

getting better prices

Step 2

• Define value beyond priceo price isn't everything, "brands that best meet

that complete brand-value set are going to be the ones that win out" - Steve Cartozian, chief strategic innovator at Arlington Heights ex: Steak and Shake Co. also promoted the

value of its foodo companies are stressing functional value

ex: Dollar tree getting rid of discretionary items for food items for repeat business

Step 3

• Word to the Wiseo It's important for marketers to create

positive word of mouth Chipotle created "My Chipotle" campaign Lululemon Athletica was affected by the

recession so they added free classes and increased employee training

Discussion Questions

1.Do you believe Chipotle and Lululemon successfully used word of mouth to increase awareness?

2.When you guys buy things do you factor in most if not all of these things consumers are trying to push?