Segmenting the Market of In-Store Decision Makers: Implications for Shopper Marketing

Abstract

Over $23 billion is spent on point-of-purchase advertising in the U.S. each year. Yet, for all of this investment, we still know very little about the influences on shoppers at the moment of decision making. It is estimated that at least two-thirds of all buying decisions are made after the consumer enters the store environment. The question arises: are all of these “unplanned” decisions alike? The purpose of this study is to segment the market of in-store decision makers in an effort to identify the consumer, product, and environmental variables which distinguish subgroups of shoppers. In particular, the study examines how impulse purchasing fits into the broader category of in-store buying behavior. Through the use of cluster analysis, five groups of in-store decision makers emerged: Whimsicals, Pillars, Extrinsics, Prompters and Misers. The clusters are discussed, along with implications for advertising and merchandising at the point of purchase.