How to Conduct Comp Shop

A merchant playbook of how to conduct a competitive shopping trip and gain valuable insight to drive differentiation in category assortments.



Mech/ Merchandise /Revenue/Gross Profit/Margin/Dollars/Data/Ecommerce/Omnichannel/Retail

1. Merchant’s Guide:
JoanBraatz,VPMerchandising

2. WhyShop
Competition?
To gain competitive insightsonproduct,
price, presentation, promotion, and
placement. This presents opportunity to
develop differiention in product strategy.

3. ContosoLtd.
Getstarted by answering
:
•Who are the key competitors for this category?
•Where isthecompetitorlocated?
•What are competitor’sstrengths?
•What are competitor’s weaknesses?
•What isthecompetitor’s product assortment?
•Whatistheirpricingstructure?
•What is the company’s marketing activities?
•Whoarethecompany’skeysuppliers?
•Isthecompanyexpanding? Cutting back?
•Whatstandsout?
Wheretostart?
Consistentvisits to keycompetitors
observing best practices and merchandise
strategies will yield valuable insights.
3

4. ContosoLtd.
Observethe Environment
Asamerchant,productwillalwaysbethefocusofavisit. Take the
opportunity to view the store through customer lens.
Digital
“Find more” on-line
signageorQRcodesfor
productinformation;
BOPIS, curbside
Navigation
Way finders and
adjacencies of like
products for impulse &
cross shopping
Customer Service
Attentivenessand
product knowledgeof
salesassociates; ease of
check out
Experience
Storeenvironment,mood
music,interactive
displays,discovery &
exploratoration
4

5. ContosoLtd.
BeConsistent
Repetitive trips to the same locations will give contrast of change in
product, placement, promotion, or pricing strategy
Assortment
Monitorfrequency of new
launches and
replenishment of core.
Study clearance racks.
Promotions
Visit onpeakandnon-peak
sellingdaystoassesswhat
promotionsare utilized for
each time period.
In-stocks
Checksizingintegrity.Look
fordepthinsizes orcolors
indicating bestsellers.
5

6. ContosoLtd.
Amerchant’scompshopchecklist
Product
Private brand, proprietary
or national branded
product assortment within
category
Price
Assesspricingstrategyas
good,better,bestorevery
daylowvalue
Promotion
Trafficdrivingstrategiesto
produceincremental
purchasesorstealmarket
share
Placement
Categoryassignment
withinthestore: front or
back; main/lower level.
Category agencenies.
Presentation
Useofdisruptivevisuals,
in-ailse shippers, nested
tables, back walls. Impulse
display to drive trial.
6

7. ContosoLtd.
Examine affluent markets
•Spot first to marketinnovation
•Study elevated standardsforproductpresentation
•Identify trends ahead of own company
•Pinpointopportunitiestointerpret for your consumer
Shop
Aspirational
Gaininspirationfor design and
product concepts by shopping at a
store withhigher price point than
core consumer.
7

8. ContosoLtd.
Shop
E-commerce +
Digital
CompShopOmni-channel
8
Website landing page
Feature banners
Product highlights
Left hand navigation
On-line only promotions
Shipping methods.

9. ContosoLtd.
RecordObservations
AtStore Site
Greet and talk to sales associates
Observeshopperbehavior (browse and buy)
Discreetly take notes at the store
Collectanycatalogsorfliersavailable
Inconspicuously take photos
Frontofstoreand/or storewindows
Offshelfpresentation
In-aisledisplays
Disruptive signing
Productinnovation
Promotional pricing
Back at the office
Reviewallstorenotesforcommonalities
Studywebsiteforcongruencytostore
Join forces with peers on their discoveries
Reach outtosuppliers to validateobersvations
Connectwith storeoperatorstogainperspective
Record key findings in document with date
•SWOT analysis
•Price and ease
Add a footer
9

10. ContosoLtd.
Complete a SWOT Analysis
10
Strengths
Weakness
Opportunities
Threats

11. ContosoLtd.
Chart competition by price + ease
Convenience
Inconvenient
Expensive Affordable
YOUR company
11

12. ContosoLtd.
○Create clarity of focus with questions
○Observeenvironmentandstore traffic
○Beconsistentwithfrequencyandlocation
○Examine the 5 P’s important to every merchant
○Findinspiration intheaspirational
○Survey websiteforcongruency
○Summarizeand record key findings
Summary
12
Competitiveshoppingreveals the
potential to develop differiention within
your company’s category strategy.

13. JoanBraatz, VP Merchandising
214-733-9677
[email protected]
https://joanbraatz.com/
https://www.linkedin.com/in/joanbraatz/