An advanced Mass channel deep dive identifying brand and category opportunities, and strategy redirects
Note: this example has scrambled the focus brand, retailer, category and #’s
Deep Dive Executive Summary
- Target does not have its Fair Share of comp market of the Soap Category
– Target has 38% Edible Grocery ACV compared to 22.0% Soap Category Share
– That Fair Share Of Market “Gap” exists across a majority of the sub-categories and key brands
– Target hold a 20% share of Bredford Soap’s Comp Market total volume which is one of the most extreme gaps in the category
-Target’s Biggest Gap resides in the Multipack segment and suggests an over-emphasis on the Singles Soap Bars segment
- That “Fair Share Gap” translates to an annual $96.7MM Soap opportunity (vs. TTL Mass gap is even bigger)
-Bredford Soap’s gap is nearly half of the Total Soap Category gap: $82.5MM
- Category Overview
-Target is trending even to Rest-of-Market YTD, but not Target (Ttl Soap: Target +19.0% ROM+19.0% WM +28.2%)
– Bredford Soap Co: WM is under-trending ROM & WM on YTD EQ Trends (Bradford: Target +16.7% ROM +28.2% WM +33.7%)
– Bredford Soap Co has gained Share of Ttl Soap at Target (28%), but not equal to WM (38%) (Bredford Share of Cat. pt. Change: Target +0 pts WM +4.1pts)
– Soap Singles vs. Multi Packs: Target is trending up on the Singles Segment and less so on Multi-Packs which is opposite to WM
- Promotion
– Ttl Soap Base & Inc trends are strong in spite of Bredford Soap PA Issues (base +16% Inc +138%)
– Volume Sold on Promotion: 12% (-7pts) of WM’s H&L volume is sold on promotion vs 40% (+5pts) of Target’s
– Over half of WM’s promoted Bredford’s volume comes from display activity which is down YTD -38% vs Target +10%
– Recommendation: refocus on optimizing the promotional calendar with an emphasis on MP display
- Pricing
– Pricing both Promo and Non-Promo are not a concern relative to WM, however Target takes issue with WM’s averaged down blended price
- Assortment & Shelf
– Target carries fewer Soap SKU’s than WM (on average over the past year Target: 58 WM: 82 sku’s)
– Bredford has not gained its fair share of items added (22% new sku’s vs 36% Share of Category)
– Target reduced 6 single sku’s to WM’s 0
– Space to Sales: Ttl Soap singles are Over-spaced vs. Multipacks (Singles Index:151 Multipack index: 82). WM MP’s similarly under-indexed
Recommendation:
-Refocus on narrowing Target’s Fair Share of Market Gap via a Display enhanced MP centric promotional calendar
-Re-balance assortment between Multipacks and Singles