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Discounts, Rewards & Information is defined as relevancy and ease of redeeming discounts and coupons, rewards for shopping, and providing relevant Information. Like Speed, which shot up from least to most important in the Covid Era, this pillar also became much more associated with success in 2020 than in previous years – sitting behind Speed and alongside Digital.

Out of all the pillars, the increased importance of Discounts, Rewards & Information seems to be truly a Covid Era phenomenon. While Discounts, Rewards & Information was associated with some success in 2020, long-term, the more a retailer leans on Discounts, Rewards & Information instead of improving base price, the poorer positioned they tend to be for financial success. Two factors seem responsible for the increase in importance of Discounts, Rewards & Information during Covid: perceptions of higher food prices and supply chain disruptions. Customers are not only noticing a rise in the cost of food but also that deals and discounts are less frequent than they were before Covid, creating a sort of double whammy for price conscious customers. They are also noticing that when deals are available, customers swarm the items and leave empty shelves. It's about quality offers and promotions rather than quality. So, retailers who did offer accessible, easy-to-use discounts and rewards earned repeat visits from grateful customers, and tended to have more momentum in 2020.

Fareway made a notable jump on Discounts, Rewards & Information during Covid. While this helped the retailer's strong momentum score, Fareway also happens to rank first in the market in the all-important Speed pillar for the Covid Era and is above average in Operations.

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In order to reflect on how the grocery world changed in 2020, we have changed how we calculate our overall Grocery RPI score. Given the historically unique metrics we've witnessed in the economy, the restaurant industry and the grocery industry, along with the rare influence a global pandemic has brought to consumer behavior, we're viewing grocery success in 2020 through a different lens than we viewed grocery success in prior years.

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In the first episode of Customer First Radio, Dave Clements, Global Head of Retail for dunnhumby and David Ciancio, Global Head of Grocery for dunnhumby kick off the series by discussing what it means to be a truly Customer First business, share which retailers and brands today embody a Customer First mindset, and examine how Customer First materialized during the pandemic with retailers.

In part two of our blog series exploring some of the common challenges in setting up a Retail Media operation, we take a look at the building blocks of a strong business case.

In July last year, we estimated that grocery Retailers in the UK could be missing out on as much as £1.7bn in unrealised media revenues – equivalent to some £11bn across EMEA. While those numbers might give us an indication of the overall scale of the Retail Media opportunity, they tell us a little less about its potential on a business-by-business basis.

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