66 | Progressive Grocer | Ahead of What’s Next | August 2014

Marketing

What did the partnership entail? JK: Th e objective of the joint activation was to create awareness on the negative impacts of pesticides and germs present in fresh produce; to explain the benefi ts of washing, cleaning and removing the pesticides and germs; to build the Fresh Produce category as essential for daily diet; and to talk about the USP of Veg Wash. MA: Th e demonstration with promoters would have to show the external change in physical appearance of the product. For example, washing apples with Veg Wash removes the surface wax and makes them squeaky clean. Th e objective was to build/strengthen customer loyalty. We also wanted to build awareness of pesticide usage in India for growing of fruits and vegetables.

What was the pre- promotional planning for Veg Wash?MA: We were looking at Modern Retail chains selling groceries, vegetables and fruits, and where we would get focused retail touchpoints and brand visibility. We also wanted that our VegWash Plus should be placed near the fresh produce section. Th e objective was to achieve exponential sales growth, and create brand awareness of Veg Wash.

What was the budget allocated by Veg Wash? MA: For Heritage Fresh stores we allocated a budget of Rs 5,000 per store/month. We wanted to associate with big retailers who would benefi t equally by promoting VegWash, and who would build this new category. Th ey too would want to convey to consumers the long term adverse eff ects on their health due to pesticides.

How has the promo across your stores impacted the Heritage Fresh brand?JK: Promotions are enabled at a retail chain to increase trials of a new product, defend or increase market share, and to manage seasonality factors and inventory. Heritage Fresh is the retail brand of Heritage and is positioned very strongly in the Fresh Produce category. It off ers good quality and a wide variety of fresh fruits and vegetables. Veg Wash has enhanced the Health and Fresh quotient of the Heritage brand by associating with us on the same health and freshness platform. Veg Wash is a natural solution that helps in removing the harmful toxicants, chemicals, preservatives, surface pesticide residues, and dirt from fruits and vegetables. By selling/promoting Veg Wash through our stores, we have further leveraged our brand value with our customers.

VegWash, manufactured and marketed by Autodynamic Engineering, and Heritage Fresh, a food and grocery retail chain, recently conducted a joint activation

programme that ran for three months across six Heritage stores. The objective was to create awareness of making fresh produce free from dirt, germs and

pesticides. S Jagdish Krishnan, COO- Heritage Fresh, and Mangesh Arnalkar, Head Sales, Consumer Division, AutoDynamics, share their analysis, with Seema Gupta

Promotional Activation byVegWash at

Heritage Fresh

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August 2014 | Ahead of What’s Next | Progressive Grocer | 67

Marketing

How did Heritage support the product?JK: Heritage Fresh as a Modern Trade partner supported Veg Wash by providing visibility of Veg Wash standees (5ft x 3ft) in our F&V section, and at the entrance of the stores. FSU (fl oor stocking unit) placement near the best possible location in the F&V section; and by providing multiple touchpoints. Th e store managers and store teams were briefed on the activation programme, and they were actively involved in promoting the product with weekend sampling, and in weekly sales trend reviews. Th e promotional activation programme was conducted across Heritage Fresh stores in Indira Nagar, Koramangala, Yelahanka, Basavehwar Nagar, and Coff ee Board Colony, and BTM Layout.

How did Heritage ensure that its regular customers were not disturbed by the promo? JK: We followed a rather passive approach to interacting with customers. By placing the standees and the FSU at high visibility locations we were able to generate interest among customers. Th e sales pitch was made to only those customers who approached the sales person and sought more details about the product.

Would this promo be repeated after a period of time?JK: We are tracking the response from this ‘activation’ on a weekly basis and so far it has been encouraging. We wish to roll this program out to other stores in a phased manner and cover all of our stores in Chennai, Bangalore and Hyderabad in 6 months time.

What does a brand look for in retail partners for a promotional activity? MA: We would prefer a Hypermarket over a Supermarket, and would look at the number of footfalls/day, the average F&V bill/day, the retailer’s interest and contribution towards the brand, the product category placement and brand visibility. For us, it was important that grocers should fi rst believe in the product and are convinced that it is eff ective. He should be aware and concerned about the fact that we are eating more than 200% of pesticides compared to global standards. Also, since Veg Wash is a new category, he should have the patience to support the product Th e partnership must entail building the new category, and supporting the product through various promotions.

How can traditional retailers make their retail environment conducive to promos?JK: Th ere are two types of promotions: Consumer off ers, which are printed on the packs, and are available in both modern trade and

general trade. One often sees posters or POPs at general stores informing about such off ers or new product launch off ers. Th en there are specifi c promotions enabled at a retail store because in organised retail, consumers engage with the brands directly. Th ere is investment in space and display of inventory for the brands, which gives consumers a convenient environment to shop and engage with them. Consumers are free to make price and quality comparisons with other brands off ering similar products, and thus make informed choices. So, brands use promotions and placements to generate trials and gain consumer franchise. PG

Quantity Sold

DescriptionBefore Activation

10th May - 10th June

Activation period 11th June - 10th

July

350 ml 24 162

100 ml 18 149

20 40 60 80 100 120 140 160

162

149

2418

1800

350 ml100 ml

BeforeActivation

(10th May to 10th June)

Activation period

(11th June to 10th July)

VegWash+ Total Sales in 6 Heritage stores

350 Descriptionml17Non-activation

storesActivation stores

350 ml Bottle 17 162

100 ml Pack 30 149

80

61

43

58

3643

70

6 64 7 11 13

Activation Stores (6) Non Activation Stores (7)

70605040302010

350 ml 350 ml100 ml 100 ml0

11th to 20th June 21st to 30th June 1st July to 10th July

Sales Comparison between Activation Vs Non Activation Stores

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