Comments on: Shopping Carts are good for Health http://blog.milagrow.in/2007/10/24/shopping-carts-are-good-for-health/ Fri, 23 Jul 2010 11:10:31 +0000 hourly 1 http://wordpress.org/?v=3.0.1 By: devang raiyani http://blog.milagrow.in/2007/10/24/shopping-carts-are-good-for-health/comment-page-1/#comment-8 devang raiyani Thu, 25 Oct 2007 06:07:00 +0000 http://milagrow.in/blogs/2007/10/24/shopping-carts-are-good-for-health/#comment-8 it would be naive to believe that retailers have overlooked the potential loss of sale through a smart cart which warns you against high calorie purchases..<br/><br/>In fact the promotions on such a cart can drive higher net earnings for the retailer.. this is why -<br/><br/>1. There is a rapid shift of customer preference towards the "health" / "organic" / "low cal" variant. This is not just a passing phase or a minor undercurrent but drastic change in the shopper mindset which is more pronounced in the urban audience. <br/><br/>2. Shoppers don't alienate the category - they just opt for these healthier options. (in fact quick service formats like McDonald's & their likes were the first to be hit by this trend and had to re-design their menu to over come this crisis.. now Pepsico and Coca-Cola are re-shuffling their portfolio internationally to reflect this trend)<br/><br/>3. Healthier options always have a premium attached to it. It means higher margins and ultimately a healthier bottomline for the retailer.. (this article http://online.wsj.com/article_email/SB119135657404946747-lMyQjAxMDE3OTAxMzMwNTM2Wj.html by the WSJ is a must read.)<br/><br/>The net effect of such a smart device is that it can lead to greater customer satisfaction and higher net earnings for the retailer. It requires some intelligent content mining along with a well crafted communication strategy which makes the shopper feel at ease using the smart cart.. it would be naive to believe that retailers have overlooked the potential loss of sale through a smart cart which warns you against high calorie purchases..

In fact the promotions on such a cart can drive higher net earnings for the retailer.. this is why -

1. There is a rapid shift of customer preference towards the “health” / “organic” / “low cal” variant. This is not just a passing phase or a minor undercurrent but drastic change in the shopper mindset which is more pronounced in the urban audience.

2. Shoppers don’t alienate the category – they just opt for these healthier options. (in fact quick service formats like McDonald’s & their likes were the first to be hit by this trend and had to re-design their menu to over come this crisis.. now Pepsico and Coca-Cola are re-shuffling their portfolio internationally to reflect this trend)

3. Healthier options always have a premium attached to it. It means higher margins and ultimately a healthier bottomline for the retailer.. (this article http://online.wsj.com/article_email/SB119135657404946747-lMyQjAxMDE3OTAxMzMwNTM2Wj.html by the WSJ is a must read.)

The net effect of such a smart device is that it can lead to greater customer satisfaction and higher net earnings for the retailer. It requires some intelligent content mining along with a well crafted communication strategy which makes the shopper feel at ease using the smart cart..

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