Guide to Understanding your Target Retailer

Why its important to understand your retailers (and How to Do It Right)

Breaking into key accounts can be a significant milestones for a brand, but landing a spot on the shelves requires more than just a great product. One of the most important steps is thoroughly researching and understanding your target retailers. Doing your homework on your key accounts allows you to build stronger partnerships, present a compelling pitch, and ensure that your product is set up for success in the right stores.

Guide to Researching and Understanding Your Target Retailers

1. Identify Your Ideal Retailers

Start by making a list of potential retailers where your product could thrive. Consider the following questions:

Where does your customer shop?
Which retailers align with your products key selling and price point?
Do you want to target national chains, regional stores, or local boutiques? (Going big right out of the gate can sometimes be a hinderance)

Your ideal retailers should match your brand’s positioning, price point, and the demographic of your ideal customer.

2. Understand the Retailer’s Customer Base

By researching the store’s customer base, you’ll gain valuable insights into what appeals to them. You can do this by:

Visiting the store: Observe who shops there. Pay attention to their age, behavior, lifestyle, and preferences.
Reading customer reviews: Retailers often feature product reviews on their websites or social media pages. These reviews can provide insights into what the store’s customers like or dislike.
Analyzing their marketing: Study the retailer’s social media channels, website, and advertising. How do they market their store? What themes or values do they emphasize?

The better you understand their customers, the easier it is to tailor your product’s messaging and demonstrate how it aligns with the retailer’s customer profile.

3. Evaluate the Product Assortment

Take a close look at the types of products your target retailer already carries.

Competitive products: Identify similar products or direct competitors and note their placement, pricing, and packaging. Can your product offer something unique?
Complementary products: Look for products that complement yours (e.g., if you’re selling cocktail mixers, look for stores that already carry premium liquors or barware).
Gaps in the product mix: Are there any gaps in the retailer’s offerings that your product can fill? Highlight this in your pitch to show how your product adds value.

4. Learn About the Retailer’s Buying Process

Do your homework on how the approval process works:

Check for supplier guidelines: Many retailers have specific guidelines or requirements for new suppliers, often available on their website.
Learn about the buyer’s preferences: Retail buyers are busy and often inundated with pitches. Understanding their preferences (e.g., do they prefer in-person meetings, virtual presentations, or product samples?) can help you deliver a pitch in a way they’ll appreciate.

5. Analyze the Retailer’s Competitors

It’s not enough to just research your target retailer—you also need to understand its competitors. Look at what other stores in the same market segment are doing. By identifying areas where your target retailer is falling short compared to its competitors, you can position your product as a solution to help the retailer stay competitive.

6. Follow Retail Industry Trends

Stay up to date on trends that impact retail buyers’ decisions, such as:

Sustainability: Many retailers now prioritize eco-friendly and sustainable products due to rising consumer demand.
Local sourcing: Some retailers favor locally produced goods, so emphasize this aspect if it applies to your brand.
Experiential retail: Retailers are looking for ways to create unique in-store experiences. If your product can support this, it’s a valuable selling point.

7. Develop a Retailer-Specific Sales Strategy

With all this research in hand, you can craft a pitch that speaks directly to each retailer’s needs. Focus on:

How your product aligns with their customer base.
Why it’s different from competing products.
How it will drive sales and add value to their assortment.

Tailor your messaging to show the retailer you’ve done your research and are ready to be a collaborative partner.

Conclusion

Thoroughly researching and understanding your target retailers is one of the most important steps in getting your product on their shelves and keeping it there.

Sampling and sales support is a highly effective way to support your target retailers and strengthen your relationship with them. Through sampling, you provide the retailers customers with an opportunity to discover new products which drive sales and enhance the shopper experience.

Momentum MarketingSeptember 24, 2024