Collaborative Gateway

A leading retailer used rich insights gained through the IRI Collaborative Gateway to further drive its natural/organic product business.

 

ISSUE

A retailer had grown sales of its natural/organic products by 74 percent in the past five years but felt it was missing new growth opportunities. In particular, it wanted to grow in this $4 billion category through higher buyer conversion to its private label brand.

INSIGHTS

 

IRI’s analysis uncovered the following:

  • Over half of the retailer’s shoppers who bought organic products were buying them outside of the retailer.
  • The retailer’s largest leakage was to a specific competitor, which had stores in over three-quarters of the client’s trading area.
  • Organic shoppers at the retailer exhibited pantry-stocking behavior.
  • The retailer lagged the rest of market in sales of specialty natural items.

IMPACT


Leveraging the client’s retailer custom hierarchy across a variety of platforms gave the retailer rich insights to develop an actionable plan to close the gap in its natural/organic sales through traffic, trip share and share of wallet goals. The retailer is now incorporating this modeling process and scenario planning into its price/promotion decision-making process in collaboration with its supplier partners across multiple categories.

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