Washington - More and more stores are trying solution selling. For example, if your planning a party and don't have time to wander from store to store trying to find everything you need the supermarket might have a special party solution center with decorative plates, matching napkins, utensils, balloons, candles, flowers and even cakes. A store may even have a summertime-meal kiosk that has the barbecue goods - hamburger rolls, ketchup, mustard, pickles, lemonade, cheese, pasta salad, dressing. Finally, someone's taking the guesswork out of it all.
Supermarket aisles are undergoing a facelift, and time-starved consumers are discovering a new concept that is revolutionizing the shopping experience. Solution Selling, the newest merchandising innovation from the food and consumer packaged goods industry, has been steadily making its way into retail outlets across the country, providing consumers with solutions that make one-stop shopping a piece of cake.
Refined in 1997 by the Grocery Manufacturers of America and Andersen Consulting, Solution Selling is the new way for retailers to improve the shopping experience by bundling products and services all in the same location within a store. The concept has moved from the “how to” stage outlined in last year's study, to the implementation stage illustrated by 11 case studies in “Solution Selling II: Delivering the New Shopping Experience.” The new report, released this month, illustrates the creative new relationships being forged between manufacturers and retailers to break down traditional barriers in the supermarket aisles.
“The consumer is up for grabs,” said GMA President C. Manly Molpus. “With so many shopping venues open to consumers in today's marketplace, manufacturers and retailers need to develop an innovative shopping experience that will anticipate consumers' needs and capture their imaginations. Solution Selling delivers that experience.”
From innovations like co-branded meal solutions, to more integrated solutions built around branded consumer packaged goods, the new merchandising technique encompasses long-term strategies - beyond traditional promotions - to create tangible value for the consumer. Each of the 11 case studies followed a four-step approach to the Solution Selling process, including consumer research, program development, execution and performance measurement. In addition to the case studies, the second report also includes a detailed look at the barriers and future opportunities for Solution Selling.
“Solution Selling has major implications in the food industry, as it is changing the dynamic among retailers, manufacturers and consumers,” said Mike Gorshe, Executive Director of Food Industry Programs, Andersen Consulting. “Marketing to the masses no longer works for this industry - we need to provide solutions that fit consumers changing demographics and lifestyles.”
Both retailers and manufacturers are reporting success with their Solution Selling efforts.
“The success we shared with Hy-Vee during the 'No Oven Summer Backyard BBQ' solution has validated our view that consumers are looking for meal simplification ideas and fun shopping experiences,” said Mary Kay Haben, Executive Vice President, Kraft Foods.
Case studies in Solution Selling II include: * Life Savers Company (a Division of Nabisco Inc.): "Power, Productivity and Profits" * Pillsbury/Tyson Foods: "Green Giant's Create A Meal! Starters with Tyson's Sliced & Diced Chicken/Beef" * MAI-Alper, Inc.: "Rush Hour Recipes" * Gillette/Ukrop's: "Body & Bath" * Hallmark Cards, Inc.: "Cake and Party Outpost" * Warner-Lambert: "Cough/Cold Allergy Center" * Kraft Foods, Inc./Hy-Vee Food Stores: "No Oven Summer" * Bill Mar Foods (a Division of Sara Lee Corporation [NYSE:SLE - news]): "Sara Lee's Today's Selection" * D&W Food Centers: "Market Square Store" * Ukrop's Super Markets, Inc.: (11 store-wide meal solutions, including meal idea center) * ConAgra Specialty Foods; "Bake and Chill product line"
Members of the Solution Selling Steering Committee include representatives from ConAgra Frozen Food Company; D&W Food Centers, Inc.; The Gillette Company; Kraft Foods, Inc.; MAI-Alper, Inc.; Nestle Food Company; Nabisco, Inc.; The Pillsbury Company; Sara Lee Corporation; SUPERVALU, INC.; Ukrop's Super Markets, Inc.; The Warner-Lambert Company. For copies of the report, contact the GMA Industry Relations Department at 202-337-9400.
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