Jesse Reif
SVP, Lifestage Marketing
Euro RSCG Impact
(312) 799-7341
Jesse Reif leads EURO RSCG Impact's booming Lifestage Marketing Group in the US,, which delivers millions of samples and consumer materials through over 250,000 target venues each year. Reif...more»»
Featured Question
Cooperative vs. Solo Sampling
Posted by Super from New York, NY, USA on March 1, 2007
What are the pros and cons of cooperative vs. solo sampling programs?
Traditionally, cooperative programs had two advantages. First, they had a lower delivery cost per sample and often, a higher perceived consumer value because of all of the samples in the pack. The thought was that consumers were more likely to keep and use a complete pack, as opposed to a single sample. Solo programs were preferred because the marketer could control all the variables: target, timing, reach, markets, etc. No compromises.
Much has changed recently to tilt towards solo programs. First, by working with your production team, co-packers and sampling supplier to wring out redundant processes and costs; solo sampling doesn't always have a higher price tag. Second, we've seen no difference in trial rates between co-op or solo programs. Deliver the same sample to the same consumer and the trial rate is usually the same whether delivered though a co-op bag or solo execution.
Controlling the variables has a much higher value to marketers today because it's common for sampling to be just one part of a larger, integrated campaign. To achieve the full value of the integrated plan, it's critical that marketers control all the variables across all of the tactics. It's often a false economy to sacrifice that control to save a cent or two on sample delivery, typically a small percent of the total sampling budget.
When should trial = purchase on a new product?
Posted by Lyn from Buffalo, NY, US on May 11, 2007
Hi Jesse,
I’ve been sampling a “new” liquor for a year in bars and liquor stores in a select US market . The product is new to the US, but the National shot of Hungary since 1790! Our target consumers LOVE it, prefering it to other shot brands, but are not calling for it yet.
This is my first product launch and I would like to know how long before we see sales. Where can I find info on other brands and the time it took for sales?
Thank you!
Typically you should see a lift after a normal category purchase cycle. That is, if a product is typically purchased every two weeks, you ought to see a lift after consumers have consumed their current supply and need to replenish.
Some considerations:
First, how many people actually tried your samples? You need to hit a critical mass, enough people to create a real demand for a product. As a rule of thumb, you should generate trial among no less than 20% of your target (and within a reasonable period of time.)
Second, is the product readily available at either retail or on-premise? Can consumers easily find and purchase the product? Your consumers may need a trigger to remind them how much they liked the product.
Last, we always have a healthy skepticism about consumer responses, especially if captured at the time of trial. If they "love it", in reality, they "liked it"; if they say they "liked it", it was probably somewhere above average.
Average in-store sampling costs?
Posted by Nathan from Glendale, AZ, US on April 17, 2007
Hello, I am developing a brand plan for fresh refrigerated salsa to be sold thru regional grocery chains in the Southwest USA. What are some good average in-store sampling cost assumptions to make?
Thanks, Nathan
Costs will vary widely based upon the category, the retailer, and the particulars of the campaign: labor, equipment, printed materials, including POS. For a shelf-stable item, we usually estimate $210 per store day for grocery.
ROI from Sampling
Posted by Super from New York, NY, USA on March 1, 2007
My management always challenges me to prove the ROI from sampling. Any suggestions?
It is common for "how will we measure this?" to be an afterthought in sampling. Smart marketers START with "how will we measure this" and build the plan from there. For example, if a marketer's ROI is determined by a marketing mix analysis or simply lift at the market level or store level. you can start your planning with some specific "must haves". You will need a specific minimum household or target penetration within the market or store trade areas (and isolate the control markets). The samples must be delivered within a fixed time frame. You need to assure that the product will have an adequate ACV within the test areas during the sampling campaign. Every measurement technique has different requirements, but the idea is to identify the requirements as a first step in order to get the truest ROI from your sampling campaign.
Sampling Programs More Efficient
Posted by Super from New York, NY, USA on March 1, 2007
Sampling is expensive. How can I make my sampling programs more efficient?
Sampling seems expensive on a straight CPM basis, but if you look at cost per trial or cost per conversion, it can be significantly more efficient than other marketing tactics.
There are a couple of keys to making sampling more efficient. First, have measurable objectives and plan against those objectives. For example, if the objective is to maximize trial, then challenge every dollar in the budget: will this generate more trials, at a lower cost per trial, than the alternatives?
Compare sampling alternatives on the total delivered cost (cost of goods, printing, co-packing, freight, cost to deliver to consumers, coupon redemption, etc.). This provides the truest measure of your best option.
Last, when determining your consumer target, consider HH category spend or volume, not just if they are a category user or not. That is, if you are sampling a laundry product, a mom with three kids is significantly more valuable than a single person household, even though both are in the category. Sampling to heavy users may have a higher CPM, but produces a much higher ROI because of the greater purchase and consumption.
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