Get In Step
Advancements in product development are helping food retailers gain a foothold in the once overlooked foot care category
Grocers that are vigorously supporting their foot care sections are racing to the finish line with stronger sales and profits. By David Litwak
Have supermarkets really been putting their best foot forward when it comes to marketing to consumers looking for foot care products? Probably not, since the drug chains and mass merchants still hold the lead in the category; however, aggressive food retailers are making major strides and gaining on their competitors' lead.
Far from being the most glamorous category in the store, the foot care section was often seen as a necessary HBC evil and was often overlooked and under-emphasized. As a result, there was often no real sales growth, due to lack of product selection and merchandising support.
In the case of foot care, the attitude that the retailer takes toward the section and the products may determine its success. While not a large sales section, especially by supermarket standards, the category had been increasing in sales across retail channels for many years until 2009, when economic pressures slowed growth, according to London-based Mintel Oxygen. The research firm reports that since that time, sales of private label foot care products have grown as consumers try to save money. While sales have migrated to lower-cost products, more new consumers have started to use over-the-counter foot remedies and devices like orthotics and insoles, instead of seeking higher-priced professional medical advice.
Thriving on Innovation
“There was a huge push toward private label foot care products in the last couple of years, but that might be running out of steam,” says Dan Feldman, EVP of Brooklyn, N.Y.-based Profoot. “I understand that private label products are good for margins, but what you don't get with private label is innovation. This is a category that thrives on innovation.” Feldman adds that the customer is looking for innovative products that solve specific problems and that supermarkets carrying those types of products will gain a competitive edge.
Helped by strides in product development, the category may again experience sales increases. One industry executive who has already begun to see growth is Josh Shaw, co-founder of New York-based Mission Skincare. “From what we've seen, it's a revitalized category for a number of reasons,” he observes. “One reason is the growth of the ‘weekend warrior’ and the more active consumer; also, aging consumers are staying active longer, which offers an excellent opportunity for foot care companies to step up with innovative products for active consumers of all ages. The third reason is that the technology of the advanced products is superior.”
The market for foot care products has shifted toward products that promote and sustain an active lifestyle, and Shaw suggests that supermarkets actively target athletic consumers as a key to promoting sales in the category. Mission uses some of the world's best-known athletes as its spokespeople to position its products as solutions to foot problems for active consumers.
According to Shaw, one way supermarkets can capitalize on this association with athletes is to set up cross-merchandising of foot care products with other pro-athletic items within the store. For instance, the store can place an athletic section merchandising foot care with energy drinks, supplements and organic food products in an area that draws sports-minded shoppers. “This goes beyond traditional cross-merchandising — there's an opportunity to upsell and cross-sell,” explains Shaw.
Today's new foot care products have good upside growth potential, but not if they're placed quietly on some back shelf. Since there are more innovation and more products available to relieve a wider variety of foot problems, consumers need to be made aware of the products and their potential uses. This requires proactive signage and promotion.
“Pay attention to the category,” Feldman advises. “This is category that the retailer needs to put some time and effort into. Having a set that is properly merchandised and planogrammed can make a huge difference.”
With an active lifestyle come more types of potential foot problems. Manufacturers have responded by making products for a larger number of ailments. Operators can experience dramatic results if they have enough variety in their sets to offer shoppers solutions to a wide array of foot problems. While a supermarket can offer a great mix in an 8-foot section, Feldman believes that the right set can be a winner even in a 4-foot section. “You need a comprehensive selection of solutions; you have to offer customers solutions to all or most foot care problems,” he says.
Not all foot care products sell themselves easily. Suffers may not know the difference between a wart, corn, callus or blister, and need sophisticated signage and packaging to help them make more educated choices. Retailers must be willing to work with suppliers to implement this type of signage in their sections. Orthotics present another type of sales problem for retailers. In the case of the new, higher-priced insoles and other orthotics, many consumers are reluctant to make a purchase without trying them first, because of all the choices available.
Memphis, Tenn.-based Dr. Scholl's has sought to get around this problem, as well as to lend some drama to the foot care section, by offering a display kiosk that measures the customer's individual foot and makes insole recommendations. This kind of recommendation/promotional display can help dramatically boost sales in the category by both guiding the consumer's choice and bringing shoppers to the section.
According to Shaw, the best course that supermarket retailers can pursue in the foot care category is proactively to seek out and merchandise the most innovative products on the market, including those from smaller vendors. Being on the cutting edge with innovative products will enable supermarkets to beat the competition in this category. Mission is about to launch three products that Shaw says will help retailers remain competitive: Mission Foot Rehab Cream, a product that helps prevent and relieve cracking; Mission Foot Rehab Spray, an anti-fungal, anti-bacterial foot deodorant; and Blister Armor, which creates a barrier between foot and footwear. PG