US mobile payments could reach $1 trillion by 2015

According to David Schropfer fromThe Luciano Group, mobile payment spending will be close to $1 Trillion by 2015 in the U.S. if retailers receive lower payment processing fees based on a more efficient system

Read the full story at:

http://bit.ly/gN2Gp2

While it is still very much yet to be seen, whether growth will reach this landmark, it is clear that Marketers need to gain a deeper understanding of mobile as a shopping tool including gaining deeper shopper insights.

On-line retailers better meeting the needs of CPG shoppers as penetration grows.

Great recent article in the Chicago Tribune talks about the growing trend of shoppers switching to on-line to fulfill their needs on everyday household supplies and how online retailers are clearing key barriers for on-line purchase including:

• More acceptable consumer pricing models
• Discounted/Free shipping hurdles for stock up trips
• Greater focus on shopability and site satisfaction score
• Greater selection of consumables
• Increase in promotions

This is significant time for smart CPG brands to partner with on-line retailers with insight driven sales planning and Digital Shopper Marketing initiatives to drive trips, conversion and loyalty.


Online Shoppers Say Home Goods Are Good
Chicago Tribune
More and more consumers are purchasing household products on the Web. Amazon.com paid half a billion dollars for the parent company of Soap.com and Diapers.com. Alice.com, a household staples seller, has a strong following and Drugstore.com, which has been around for over a decade has grown sales 20% per year. - Read the whole story...

Wal Mart Stores (WMT) CEO Mike Duke Talks Technology and Shopping

Wal Mart Stores (WMT) CEO Mike Duke said Thursday that retailing looks like it will see a technological inflection point this year.

“More and more the customer is shopping with a cell phone to check prices,” for example, he said. The use of “site to store,” is growing, too. Site to store refers to customers who buy on line and then come to the store to pick up the merchandise to avoid delivery charges.

“There might be an inflection point this year” in the use of various technological modes of buying, with the uptake curve accelerating, he said. Price transparency will increase across numerous retail channels as a result, he added.

Retailer are realizing the power of opportunities that allow consumers to shop and buy anywhere, anytime. Smart brands will increase their availability and be anywhere there is a checkout and a heart beat!

Mobile Commerce

Interesting article about iPhone 5 with near-field communications capabilities to enable payments. Relevant for shopper apps/ retailer marketing, spirits, and more.

The world of Mcommerce is about to explode



http://www.mobilecommercedaily.com/2011/01/27/nfc-enabled-iphone-5-to-take-mobile-payments-to-the-next-level

ECommerce The New Frontier for CPG Marketers

CPG manufacturers are faced with increasing loss of product availability in the “brick and mortar” shopping environment as retailers push to reduce costs and maximize margins through optimizing assortment. This will reduce available SKUs and/or the cutting of whole product lines.

Adding to loss of in-store availability, retailers are continuing to expand their private-label products while pushing brand-label products off the shelves. Where retailers were once content with building their brand in basic CPG categories, they have continued to expand their reach.

Most recently, Kroger has more than doubled the number of items in its Mirra line of private-label cosmetics, shampoos and other beauty products, and plans to add more. The grocery chain is making store brands a priority, and already offers more than 20,000 store-brand items.

While CPGs recognize this trend, they are slow to leverage the e-commerce solution as current online sales opportunity is less than one percent. However, industry trends will motivate brands to explore, more seriously, the expanding e-commerce channel and identify more efficient digital trade sales route to market.