Shopper Marketing - August 2016 - 134


INDUSTRY REPORT
DAMAGE
Where in the supply chain do you encounter
the most damage to your P-O-P?

At the store level
52.2%

In transit
39.1%
At the DC
8.7%
INSTITUTE ANALYSIS: There have been anecdotal
reports of more damage occurring to P-O-P displays out
in the field in recent years. There's little in the way on consensus about where it may be happening other than the
fact that distribution centers seem to be off the hook.
When we asked survey respondents at which chain the
Source:
P2PI.org/Shopper
Marketing P-O-P
Trends Survey
2016)most
most
damage
is encountered,
Walmart
was (June
named
often, and by a large margin. However, this may simply be
a function or byproduct of its massive scale and reach.
Other chains mentioned briefly: Albertsons (Safeway),
Best Buy, Costco, Food Lion (Delhaize), Home Depot,
Publix and "the dollar stores."

For semi-perm and perm, I use competitive pricing.
We design it internally, so we own the IP, and then send
it out for pricing and prototyping. I can then compare
and they all know they are competing so the prices tend
to be competitive. It keeps everyone on their best game
and I also learn, over time, who is good with what types
of execution.
SMITH: Personally, I felt it was always helpful to have a
stable of vendors. The balance we always tried to achieve
[at P&G] was to find enough single-sourcing for a campaign. Give each vendor three or four campaigns each,
because displays might have different qualities and different vendors are better suited for different things.
There were big launches when we'd give two or three
guys a chance because we were talking $2 million-plus
campaigns. But I didn't like to bid stuff out to save
$10,000 on a $50,000 project because you really wouldn't
save that much.
Look, the P-O-P business isn't rocket science, but it
becomes difficult because we have to please shoppers,
retailers and a lot of marketing, sales, finance and purchasing people. It's the number of people involved that
makes it so hard.
If you could change one thing about P-O-P
producers, what would it be?

HECHT: Get out of the 1980s sales mode. That's the
worst. Older guys who come out with a big sales talk and
no substance to it. We joke about it, and sometimes I just
cringe when I get those calls: "We'll take care of it all!" I
get the same presentation every time - it's horrible.
MARRONE: My biggest request for any P-O-P producer
would be to have one person on their end manage my
account: design, production, inventory, shipping, issues
that come up, maintenance problems, repairs and ongoing maintenance.
Be proactive. Come up with new ways to do the same
old thing. If you have one person dedicated to you - and
I've experienced both - it works so much better.
STRINGER: I've had really good experiences. We do most
of this stuff in-house, and I work with a lot of the creatives
upstream. It's very thought-provoking. I guess the key
is truly understanding what
works for the [retailer] custom" We want to create things that
er and how they're all different.
It's important to understand the
are more substantial and
different aesthetics that play in
sophisticated. We don't want
different customers.
to overload the store with
SMITH: I used to tell our suppliers,
"If I know more than
tchotchkes."
you do, we have a big probMaureen Marrone, Director of Visual Merchandising,
lem." I may not need them to
Hunter-Douglas
understand the sophistication

a couple of agencies to pull from. We feel it keeps everyone on their toes while enabling everyone to do enough
to invest in our business.
RODRIGUEZ: Managing a stable of P-O-P vendors allows you to choose the best company for each specific
project and produce a better cost structure. If you have a
robust set of internal resources, this model can help you
excel as it drives competition.
MARRONE: You also get competitive pricing because
they know they're not the only fish in the sea.
HECHT: We operate with both of these models: turnkey
and a stable of vendors. For corrugated, we just use two
or three suppliers; that's it, and each supplier works on
different franchises (although the prices have been going
up and up).

8



Table of Contents for the Digital Edition of Shopper Marketing - August 2016

Contents
Shopper Marketing - August 2016 - bellyband1
Shopper Marketing - August 2016 - bellyband2
Shopper Marketing - August 2016 - 1
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