Research for analysis was conducted at Super Stop & Shop, in Glendale, NY. Slideshow is a result of student research and is not the result of research conducted by The Stop & Shop Company, LLC or their affiliates. Photos of the Stop & Shop store logo, smartphone application, products, coupons, and Stop & Shop Card are property of The Stop & Shop Company, LLC.
3. +
Background of the
Supermarket Industry
First
true supermarket in US: King Kullen
(1930) in Jamaica, NY2
Stop & Shop’s origins in the U.S. date back to
19143
Closeto 400 locations in the U.S., located in
the Northeast3
Subsidiary of Royal Ahold (Dutch company)3
4. +
Current State of the
Consumer
46million people on food stamps according
to US Department of Commerce4
7.9% unemployment rate (11/02/12)5
Over
62 million receive Social Security
payments6
Urban vs. Suburban Environment?
7. Objective:
• Supplement knowledge of industry
background through qualitative
+ research
• Use secondary and qualitative data to
conduct a strategic quantitative study
that will provide an understanding of
consumers in the supermarket industry
and identify opportunities for
improvement
8. +
Primary Data
Qualitative Quantitative
Online Feedback Observational Research
Study the effects that store
layout and signage have on
Research Stop & Shop the behavior of consumers
customer feedback on
Google Maps and Yelp Questionnaire
Open-ended questions
Identify similar themes and focused on the buying
behavior of specific age
common complaints within groups
comments
Likert Scale
Discover customer attitudes
and identify opportunities for
improvement
9. +
Primary Data Evaluation
52
Questionnaires completed by Stop &
Shop customers in store
85Likert Scales filled out by customers in
store
Information
is entered into Excel
spreadsheet, quantified, and analyzed
11. +
Observational Research
Price tag encourages consumers to buy in bulk
Unit price of an orange is $1.00
12. +
Questionnaire Results
On Average:
Customers 18-29 years old shop at grocery stores
once every two weeks
Customers 30+ years old shop at grocery stores
once a week
Mostcommon spontaneous purchases are
snack foods and soft drinks
Mostcommon complaints include not enough
open registers and lack of parking
14. +
Name brand products are higher
in quality compared to the store’s
brand.
Agree
• 80% of customers surveyed have
purchased store brands in the past
• Only 48% say they regularly purchase
Stop & Shop branded items
16. +
I often use coupons with my
purchase.
Neutral
• Only 40% of customers surveyed say they
use coupons
• 47% say they will try a new product if they
have a coupon for it
20. +
Self-checkout registers are more
convenient than traditional
registers.
Agree
• 52% of customers surveyed prefer self-
checkout to traditional registers
21. +
Stop & Shop
Customer Loyalty
52% of customers surveyed say they shop at
grocery stores other than Stop & Shop
Biggest Competition: Trader Joe’s, Key Foods, &
Walbaum’s
58% claim that Stop & Shop is their preferred
grocery store
22. +
Loyalty Program:
Stop & Shop Card
65% of customers surveyed say they use
their own card with their purchase
24% say they have the employee at the
register use the store’s card
9% say they do not use a Stop & Shop Card
33% of consumers’ purchasing behavior not
being tracked
23. +
Use of Technology
“SCAN IT!” System Smartphone App
84% of consumers
51% of customers surveyed claim to own
surveyed are aware smartphones
of the system Of these customers,
only 20% had
Only25% are actually downloaded the Stop &
using it Shop app
Only 8% actually found
the app to be useful
25. +
Stop & Shop Consumers
Store signage is effective at encouraging customers to
buy sale items in bulk
Placement of snack foods and soft drinks is most
effective at the end of aisles nearest to checkout, where
customers are likely to make spontaneous purchases
Many customers are not using traditional coupons but
would try a new brand if they had a coupon for it
Customers have been slow to adopt advances in the
supermarket industry such as self-checkout systems and
the use of smartphone apps
26. +
Suggestions for
Improvement
Increase use of customer’s Stop & Shop Card
Existing Members – Cashiers should look up missing
card by using customer’s telephone number
New Members – Incentive should be offered with
sign-up, such as a special one-time discount
– More accurate tracking of purchase
Result
behavior
27. +
Suggestions for
Improvement
Increase adoption of smartphone app
Send e-mail to all Stop & Shop Card members
communicating the benefits of the application
Increase sales of store brand
Hold blind taste tests in stores, allowing customers to
compare the quality of store brand products to name
brands
Coupons for store brand – available through flyers, Stop &
Shop Card, “SCAN IT!” system, and smartphone app
Result – Increased customer loyalty
