Instore TV improves the customer shopping experience and increases retailer turnover by at least 1.5%, says a new study from How And Why.
The study was designed to determine the effect of a television Captive Audience Network on the behaviour of shoppers in a retail environment. The results show that there is a positive link between the content shown on the in-store television network and the amount of time and money spent shopping, as well as the number of items purchased.
Research leader, Charles Dennis said: “A 1.5% increase in turnover is the minimum improvement – factors that positively influence shoppers to stay longer and spend more money, like the increase in pleasure induced by the network can have a maximum impact of up to 2.5%.”
The Mall Ashley in Epsom was host to the TV network, along with seven retailers, including Burton, Dixons and Superdrug. 300 shoppers at the centre were interviewed and 76% said they were positive about the network with very few actively disliking it, though shoppers thought the TVs should be even bigger than the 42″ Panasonic plasma screens that were used. Respondents aged 24 and under were most positive about the network, the survey revealed.
Research leader, Charles Dennis said: “These results make a contribution to our understanding of the environmental psychology of shopping. This was exploratory research at a single location but if applied to a UK shopping centre the size of, say, Lakeside in Thurrock, the owners would typically have to invest around £12 million on refurbishment or extension to obtain a 1.5% increase in sales turnover.”
Bill Collins, head of North America How and Why, added: “Here in the US there are mall owners that turnover as much as $12 billion. A 1.5% improvement on those figures is very significant indeed.”
In April, supermarket giant, Tesco, launched trials of an in-store TV network across six stores nationwide. The trials were hugely successful with sales rising by 10%, says Tesco.
Screenfx, a relatively unknown outdoor advertiser, has just concluded a deal to deliver 63″ plasma screens to 175 shopping centres across the UK. It is expected that these screens will allow advertisers to target 200 million shoppers, who are poised and ready to spend.
Related Links
