Wendy Liebmann: Rethinking Retail for a New Shopper

Retailers seeking to survive in an evolving landscape must better understand and cater to a new breed of shoppers, according to Wendy Liebmann, chief executive officer of WSL Strategic Retail.

“In even just a year, the American shopper has changed dramatically,” Liemann said Tuesday, during a keynote session at the Shopper Marketing Summit in New York.  “We need to rethink the way we do our business.”

Although there are now more places to buy than ever before, brands have fewer places to sell, with the average number of channels that shoppers utilize dropping for the first time in years.

“[The shopper] is starting to pull back because they’re making different choices,” said Liebmann, who characterized the modern shopper as a “shopping goddess,” who makes faster trips in stores and more frequent ones outside traditional channels, opting instead for models such as subscription services and click-and-collect. in all the places she wants to be in?’”

Shoppers today are also less loyal to brands and disillusioned by the lack of perceived differentiation in categories, feeling that most retailers are mediocre at best. Touting “new and improved” products and offering basic price promotions will no longer win over shoppers, who care less about “stuff” and more about achieving happiness.

“If we’re in the stuff business, we need to build that proposition around the value she’s looking for,” Liebmann said. According to Liebmann, shoppers are more willing to pay for:

• Experiences and products that reduce stress in their lives.
• Healthy products that improve their well-being.
• The opportunity to make discoveries in stores and receive a customized experience.

To drive growth, retailers also need to develop dynamic strategies and programs that meet the changing daily needs and personas of shoppers, who can no longer be viewed through a singular lens.

Read more about Liebmann's session at the Shopper Marketing Summit on PG’s sister P2PI website here.