Report on 3×3 appointments for retailers and suppliers of alcoholic beverages faced with a sharp drop in cold weather sales from December to January, COVID-19.
New York, 15. December 2020. – The customer involvement company 3×3 Digital is pleased to publish its own report with important information for retailers and alcohol suppliers who want to expand in January 2021 and beyond. January is a sadly slow period for alcohol sales after the holiday peak in the fourth quarter. This year VIDOC-19 will supplement this scheme. The report is based on unique information about the sales trends of influential beer, wine and spirits traders across the country. The full version is now available on the 3×3 website.
From December 2019 to January 2020, dollar sales of 3×3 liquor stores fell by $50 million. This is not an isolated incident – from December 2018 to January 2019 sales of dollars fell by $ 64 million. In each category (beer, wine and spirits) monthly sales in dollars fell by half. The 3×3 data show the same decrease in the average basket size from December to January as last year.
After a strong December, it’s hard to see January as an opportunity, says Mike Provance, CEO of 3×3. But perspective is essential. Data from the 3×3 retailer shows that January could be a productive month for creating consumer demand.
Retailers and suppliers can use the month of January to create a strategic demand and stay one step ahead. The 3×3 ratio describes a series of proactive measures for lasting success.
- After the holidays, you should focus on improving inventory management and conserving inventory. Think of possible software upgrades, new racks and displays, or a better warehouse organisation.
- Spend time with the products you already have in stock. Find the ones with the best margins and then focus on marketing and merchandising.
- Invest in digital marketing early. A constant connection with customers is essential for success in low season, and digital advertising can help attract new customers.
- Focus on lower cost offers. Most consumers will not want to spend a lot of money on alcohol after the holidays, but 3×3 had strong sales in January 2020 and an above-average cart for three types at lower prices.
- Consider promoting low-alcohol or alcohol-free products as the dry January approaches. Health and well-being are increasingly influencing beverage trends: Fifty-two percent of the Millennials will drink more non-alcoholic beers and mocktails in 2020, and 61 percent tried an alcohol-free beer for the first time at VIDOC-19.
- Suggest a variety of offers and a global e-commerce strategy. The combination of a cold January and COVID-19 means less pedestrian traffic because consumers make fewer trips. E-commerce is designed to take manual sales out of the physical world and into the digital world.
- Be creative to stimulate demand. Consider replacing personal tastings with homemade kits that can be picked up on the sidewalk. Precision tins that make it easy to obtain all the ingredients of popular cocktails. The experience on site is recreated by offering ready-made varieties (packaged, bottled or canned).
Consumers need guidance, says Jeff Nedo, owner of a liquor store and director of strategic customer management at 3×3. You can’t wait for them to come to you.
For more information, additional details and information on the 3×3 method, see the full report on the 3×3 website.
About 3×3 –
3×3 is a digital customer engagement campaign that combines consumption data from transactional data with localized customer engagement and retention tactics to create value for brands, retailers and consumers of beer, wine and spirits. The company’s marketing technology is used to influence brands and retailers to identify emerging beverage trends in order to gain market share from their competitors.
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