Beauty Store Business

DEC 2014

Beauty Store Business provides solutions for better retailing! New products, industry news, savvy business moves and important trends affecting both brick-and-mortar and online retailers are included in each issue.

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4 December 2014 | Marc Birenbaum Executive Editor Editor's Note ARE AD CIRCULARS STILL "WORTH IT" for beauty retailers? Well, the traditional marketing-friendly format is enjoying a second life in digital media, according to the results of a recent study by Retale and Placed examining the shopping behaviors of more than 11,000 mobile users. Retale ( is a leading permission-based mobile and digital company connecting shoppers with their favorite local retailers; Placed ( is a leader in location insights and mobile ad intelligence. The study probed a wide range of shopping behaviors to better understand the impact of retailers' ad circulars on purchasing decisions among mobile users. Among the highlights: • Seventy-four percent of mobile users have looked at a circular in the past 30 days. • Of those, 50% viewed circulars inside a mobile app. • Only 23% of the respondents who reported using print circulars prefer to stick exclusively with the printed format. • Among those not using a circular in the past 30 days but saying that they'll use one in the future, 60% prefer to use a digital one. • Even among those respondents who reported not having used a circular in the past 30 days, 85% plan to use one in the future. "For the savvy marketing retailer executive, this is very good news: a famil- iar ad format—well-known for driving in-store traffic—is now also increasingly being consumed across digital channels," says Retale president Pat Dermody. It's interesting that the activities shop- pers report regarding digital circulars are similar to those long-held truths in the paper world: Among those who currently access digital circulars, nearly 82% indicate that they do so to plan shopping trips before heading to stores. And only 13% note that they access digital circulars in-store; that could be interpreted as digital-circular use having the power to catalyze a store visit, just as its paper ancestor does. David Shim, Placed founder and CEO, adds, "The ability to measure online behaviors and map them to off-line actions is changing the way retail attributes value to digital. The [launch of a] partnership between Retale and Placed [along with the announcement of the study's results] enables retailers to quantify the true value of circulars: in-store visits." The Retale- Placed collaboration allows retailers to measure real-world store visits from cus- tomers engaging with circulars inside a Retale app. According to the study, here's how users access digital circulars: • Slightly under 70% state that they access a retailer's website. • Fifty-three percent relate that they've downloaded a mobile app for a spe- cific retailer. • More than 31% have accessed digital circulars using a mobile app that aggre- gates weekly ads of multiple retailers. • An incredible 79% of those who use mobile aggregators cited convenience as the basis of their preference. ■ Seventy-four percent of mobile users have read retail circulars in the past 30 days. The Latest On … Retail Ad Circulars

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