Retailer Preference Index 2020: the Dunnhumby Grocery Edition also arrives in Italy
It was presented in December by Dunnhumby (Tesco Group), a player operating globally in the sector Data Science in retail and consumer experience, the first annual index of preference of Italian retailers (RPI) for the food channel, already in use in the United States and in the United Kingdom and in some European countries such as Spain and Portugal.
We are facing changing scenarios, with Covid having a discriminating impact on the ways of relating with the points of sale, full of changing needs from consumers, more and more disruptive technologies, new competitors, decreasing margins and closure of points of sale , but we believe that we are also in one of the best times for retailers, where they can redesign retention strategies and actions and propose new solutions to customers.
The study, by starting with understanding the specific needs of their customers and then providing what matters most to win their preferences, Retailers have the opportunity to achieve sustainable growth by putting their customers first.
Which retailers are best prepared to withstand an increasingly uncertain socio-economic scenario accentuated by the Covid pandemic? What can they do to compete?
The RPI tries to answer these and other questions, including:
• What determines the preference of customers for retailers in the consumer channel?
• Which retailers are winning and losing consumer preference? And why?
• What can retailers do to improve the consumer preference index?
Furthermore, he illustrates with statistics and tactical-strategic considerations to the managers of the Italian GDO:
• How winning retailers create emotional connections with their customers
• The drivers of consumer preferences and what has changed from the past
• The new rules of perception of value, key factors and business amplifiers
• The actions that less performing RPI retailers need to take to improve their appeal to their customers
The goal is to understand how customers perceive stores through certain drivers (or pillars) and how these perceptions affect the emotional aspects and performance of the stores.
Here are some extracts from DH papers edited for the Italian part by RetailHub:
The ranking methods of other existing research institutes or companies focus primarily on retail growth based on number of stores and revenue size, without linking growth to emotional performance (engagement) and financial indicators (sales / sqm; market shares).
DH presents a different perspective, which focuses on the consumer and their emotional connection with the various retailers within the LCC channel.