How Do you Increase Retail Sales by 50%? Answer: Through Effective Digital Segmentation of People who walk-in to your Retail Store. Count. Classify. Communicate. The Aida, Lorna and Fe analogy represents a simple but effective segmentation of Walk-ins. This 20 minute lecture was created for the Merchant Meeting of Ayala Center Cebu held at the City Sports Club last Nov. 25, 2011. Attendees included around 200 tenants of the mall. The event was made possible through the leadership of Ms. Joy Polloso, GM of Ayala Center Cebu and the generous support of the Ayala group and Moldex Products Inc.

1. Si Aida, si Lorna o si Fe?
Increase Sales by 50%
•Thru Street-Smart Digital Marketing
Bong De Ungria
Certified Digital Marketer

2. Background
This 20 minute lecture was created for the Merchant
Meeting of Ayala Center Cebu held at the City Sports
Club last Nov. 25, 2011. Attendees included around
200 tenants of the mall.
The lecture was made possible through the leadership of
Ms. Joy Polloso, GM of Ayala Center Cebu, and the
generous support of the Ayala group and Moldex
Products Inc.
Bong De Ungria
COO, Moldex Products Inc
Marketing Professor, Ateneo

3. Outline: Si Aida o si Lorna o si Fe?
Increase Sales by 50%
1. Our Digital Perspective
2. The Retail Challenge
3. Marketing Basics
4. Street Smart Research
5. Guaranteeing Long Term Growth

4. Outline: Si Aida o si Lorna o si Fe?
Increase Sales by 50%
1. Our Digital Perspective
2. The Retail Challenge
3. Marketing Basics
4. Street Smart Research
5. Guaranteeing Long Term Growth

5. We live in a new linked &
digitized world, Web 2.0
http://www.hypermarketing2.com/2011/06/web-20-whole-new-world.html

6. http://www.hypermarketing2.com/2011/06/web-20-whole-new-world.html

7. Digital stuff in last 3 days
that were not possible 3
years ago…
1. On-line booking, check-in
2. SMS of son school entry/exit
3. Virtual Class on Facebook
4. This lecture available 24/7 forever…
5. What some retailers are doing…

8. Outline: Si Aida o si Lorna o si Fe?
Increase Sales by 50%
1. Our Digital Perspective
2. The Retail Challenge
3. Marketing Basics
4. Street Smart Research
5. Guaranteeing Long Term Growth

9. Virtual retail sellers are now
sending 50% off promos via email

10. Even mall- based retailers
use email to sell…

11. Even leading malls use customer-
segmented VIP programs

12. Promo only for a selected
few but only if they SWIPE

13. Regular email (not 100% read)
has a chance. No email = zero
chance of sale

14. Groupon offers options of daily or weekly
email, but I have not shifted weekly for fear
of missing an important offer! Unread email
is not intrusive

15. Pizza Hut uses email from its
Palm Card campaign for an email
promotion

16. Modern retail rule-
Complement your mall-based
retail store with a virtual store!

17. Outline: Si Aida o si Lorna o si Fe?
The only acceptable response
to the retail challenge?
1. Our Digital Perspective
2. The Retail Challenge
3. Marketing Basics
4. Street Smart Research
5. Guaranteeing Long Term Growth

18. Transform from where you
are right now!

19. Transform!

20. Effective branding works!
Especially when there is
competition
You don’t have to use a sales
discount to SELL!

21. The “Joy” of being the
preferred brand…
http://www.hypermarketing2.com/2011/11/coke-vs-pepsi-example-of-brand-loyalty.html

22. The “Joy” of competition…
Extra mile = 2 cans
http://www.hypermarketing2.com/2011/11/coke-vs-pepsi-example-of-brand-loyalty.html

23. Outline: Si Aida o si Lorna o si Fe?
Increase Sales by 50%
1. Our Digital Perspective
2. The Retail Challenge
3. Marketing Basics
4. Street Smart Research
5. Guaranteeing Long Term Growth

24. I use a Heart model to explain
marketing principles…

25. Learn on-line:
“I Love Marketing” basics
http://www.josephdeungria.com/2011/08/marketing-101.html

26. How to
SEGMENT, TARGET,
POSITION
(Ready, Aim, Fire!)
Excerpts from the
“I Love Marketing Model”
Developed by Prof. Bong De Ungria
for the Ateneo Graduate School of Business

27. From the “I Love Marketing Model” of Prof. Bong De Ungria Step 1
Divide the market into Segments
(similar needs, wants & demands)

28. From the “I Love Marketing Model” of Prof. Bong De Ungria Step 1a
Effective segmentation is when distinct,
accessible, measurable groups are produced
28

29. From the “I Love Marketing Model” of Coach Bong De Ungria Step 2
Choose your primary target market (PTM)
Apologies to SM Shoemart and Ayala Malls, but marketing says…
BUT, YOU CAN’T HAVE IT ALL,
YOU CAN’T LOVE ‘EM ALL

30. From the “I Love Marketing Model” of Coach Bong De Ungria Step 3
Target your PTM with your positioning
(communicate benefits)

31. From the “I Love Marketing Model” of Coach Bong De Ungria Step 3a
To hit your PTM, adjust your marketing mix
(4Ps)
Promo
Product
Place
Price

32. From the “I Love Marketing Model” of Coach Bong De Ungria Step 3b
Some PTMs require a mix which emphasize
product and promo
Promo
Product
Place
Price

33. From the “I Love Marketing Model” of Coach Bong De Ungria Step 3c
Many PTMs require a heavy price mix
Promo
Product
Place
Price

34. From the “I Love Marketing Model” of Coach Bong De Ungria Step 3d
Your PTM requires strategic and tactical mix
adjustments
Promo
Product
Place
Price

35. From the “I Love Marketing Model” of Coach Bong De Ungria Step 3e
Aim well as your competitors are targetting the
same PTMs
Promo
Product
Place
Price

36. 3. Marketing Basics
Diff. Strokes for Diff. folks
Aida Lorna Fe

37. What do you do when Aida,
Lorna, Fe enter your store?
1. Do you give them the same treatment?
2. Do you get the same revenue from
them?
3. Will all of them come back?

38. Not all customers are
equal
Some are more important than
others!

39. Not all customers are
equal
Some are more important than others!
PARETO principle: 80% of revenue
comes from 20% of customers

40. 4. Street Smart- Market Research
Aida, Lorna or Fe?
1. LORNA
2. AIDA
3. FE

41. 4. Street Smart- Market Research
Aida, Lorna or Fe?
1. LORNA – REPEAT BUYER
2. AIDA - SWITCHERS
3. FE - NOT YOUR TARGET MARKET;
- LOW CHANCE

42. 4. Street Smart- Market Research
Aida, Lorna or Fe?
1. LORNA – REPEAT BUYER 10%
2. AIDA - SWITCHERS 60%
3. FE - NOT YOUR TARGET MARKET; 30%

43. 4. Street Smart- Market Research
Aida, Lorna or Fe?
pax Peso
1. LORNA – REPEAT BUYER 10% 40%
2. AIDA - SWITCHERS 60% 50%
3. FE - NOT YOUR TARGET MARKET; 30% 10%

44. What is Ayala Center Cebu
to a retailer?
1. Problem Solver
 People Magnet (Gatherer)
 Customer Comfort (Aircon, CR)
 Security
 Transport Convenience
2. Brand Builder

45. Retailers are
Problem Solvers;
Solution Providers
New Retail Mindset

46. Retailers are
Problem Solvers;
Solution Providers
Solve the problems of your
customers!

47. Outline: Si Aida o si Lorna o si Fe?
Increase Sales by 50%
1. Our Digital Perspective
2. The Retail Challenge
3. Marketing Basics
4. Street Smart Research
5. Guaranteeing Long Term Growth

48. 4. Street Smart- Market Research
Understand your customer!
1. Counter
2. Classifier
3. Analyze your sales mix
4. Record what they looked at but didn’t buy
5. Be their friend on FB
6. Find a way to get their cellphone number or email!
7. Bottomline, may them REPEAT, Lifetime customers

49. Outline: Si Aida o si Lorna o si Fe?
Increase Sales by 50%
1. Our Digital Perspective
2. The Retail Challenge
3. Marketing Basics
4. Street Smart Research
5. Guaranteeing Long Term Growth

50. Everyone who enters your
retail store
Is an Aida, a Lorna or a Fe!

51. 5. Guarantee Long Term Growth
Aida, Lorna or Fe?
Pax Peso Increase!
1. LORNA – REPEAT BUYER 10% 40% return!
2. AIDA - SWITCHERS 60% 50% convert!
3. FE - NOT TARGET 30% 10% try!
- LOW CHANCE

52. Come On!

53. In Summary,
What Do We do In Retail?

54. Serve Aida, Lorna & Fe

55. Serve Aida, Lorna & Fe
Dance with Aida,

56. Serve Aida, Lorna & Fe
Dance with Aida,
Marry Lorna

57. Summary: Si Aida o si Lorna o si Fe?
Increase Sales by 50% thru
Street-Smart Digital Marketing
1. Our Digital Perspective
2. The Retail Challenge
3. Marketing Basics
4. Street Smart Research
5. Guaranteeing Long Term Growth

58. Si Aida, si Lorna o si Fe?
Was made possible through the generous support of

59. Si Aida, si Lorna o si Fe?
Increase Sales by 50%
•Thru Street-Smart Digital Marketing
Bong De Ungria
Certified Digital Marketer