Imagine yourself walking to the supermarket to buy a toothpaste. You will see a lot of brands such as Colgate, Pepsodent and so on. It has different flavors, usefulness, and forms. This can show that there’s a lot of variant in one single product.
Nowadays, supermarkets have around 40,000 products and still increasing until now. A supermarket can stock around 100 varieties of brand name, benefits, forms and scents. Of course, we can see the positive sides from these variant products which are customers that can have more choices, flexibility, and another alternative.
But wait. What are the negative sides of having a variety of goods? Isn’t it great to have other choices?
When you try to find the most alternative way in finding great products whether it cheaper or has the best quality, it require much effort and inner conflict that can lead to disappointment at the end. This is bad because some consumers might choose to walk away.
A variety of products can be defined as the number of SKU within a single product category. Consumer perception towards the range of goods is one of the top three criteria besides location and price. This has a lot of impact towards retail loyalty.
So, according to the Food Marketing Institute Study, there’s research that shows a reducing number of different items doesn’t affect the category volume. It means that you don’t need to worry. The research also found out that consumer perception depends on factors such as the similarity of the brand’s items, the amount of shelf space, and the presence of the favorite item.
So to solve this problem, marketers and retailers can improve the variety of category rather than the products. For example, large brand assortments need to be organized in a display to be shown by the consumer better. Because unorganized display fit small brand varieties better.
That’s why it needs more attention towards a variant of the brand to have a better strategy to sales more items or products. If you need help to find another approach, you can contact Dreambox to help you figure this out!
