“All’s well that ends well”, or so Shakespeare surmises.
When it comes to the in-store experience, the adage could hardly be more apt. Point of sale (POS) is a crucial part of the shopping equation – the place where last-minute decisions are executed and where sales are completed.
Hard-working POS displays serve multiple functions: driving impulse purchases, giving customers visual interest while they wait to check-out, decreasing the risk of basket abandonment – to name just a few. Plus, POS displays can be ideal vehicles for conveying a brand’s key messaging and any information about limited-time promotions.
While the term ‘POS’ most prescriptively refers to areas at or around the check-out, the term has also come to be used interchangeably for POP (point of purchase) displays.
POP communication happens in the physical location the customer decides on a purchase and adds it to their basket. POP displays – whether a 10cm2 shelf-talker, posters, or banners to a multi-shelf “mini-shop” within a shop – can be positioned anywhere in the store.
Taking a cue from department stores, some retailers are using large-scale POP/POS displays to inform and immerse the customer, hoping to impress shoppers and bring colossal standout to the products, ranges, and sub-brands they wish to highlight. When positioned strategically throughout the retail environment, these displays help to generate more marketing opportunities and influence consumers at key points in the sales funnel.
But is POS still important in today’s digitally driven world? Why should brands invest in POS when so many shoppers are switching to eCommerce?
Well, projections around post-pandemic behavior suggest that we shouldn’t be so fast to pull the plug on bricks and mortar stores.
Of consumers who participated in a study from 451 Research, almost half said they would immediately begin shopping at retail stores once most of the dangers surrounding COVID-19 were minimized. Just 16.8% said they would wait more than three months after restrictions were lifted to return.
Forbes reports that online shopping frustrations have emerged as a key reason for customers to return to the physical store, along with the desire for community and immersion. Having had a taste of life without brick-and-mortar stores altogether, many consumers lament the loss of the emotional experience of being in-store.
This thinking is further underpinned by the ethos of our parent company, SGK – which believes the experience is the brand. They understand how a great brand experience is designed from everyday interactions to special events, believing every moment matters.
As one respondent phrased it to Forrester’s ConsumerVoices, “Going to stores was a social event for me, a time to meet friends, make new friends, and buy quality merchandise. My life has a void without this.”
This lies somewhat in contrast with research into Americans’ levels of comfort when it comes to rejoining society after COVID. So-called “cave syndrome” is felt by nearly half (49%) of both vaccinated and unvaccinated individuals, according to a survey from the American Psychological Association. These respondents shared that they felt uneasy about returning to in-person interaction, including in-store shopping, once the pandemic ends.
The contrast between these two stances suggests that, while customers would welcome the chance to return to in-person shopping, the experience of shopping in-store must be rewarding enough to truly make venturing out worth their while.
The makings of a great POS/POP display
To be considered effective, a POS display should deliver interactivity and engage consumers.
Its design should meet some or all of the following aims:
1. Complementing and enhancing the appearance of the pack front – it shouldn’t contribute to a cluttered appearance but look clean, slick, and well organized;
2. Easing shopping and navigation – either the POS should allow the customer to view more of the product or it should enable easier pick-up/handling;
3. Conveying information – provenance, allergen information, promotions, and USPs, plus any further information that may enhance trust in the brand;
4. Creating a “mood” and building brand affinity – make venturing into in-store environments worth it for customers by giving them memorable experiences.
A look at Co-op’s ISB:
Co-op’s in-store bakery packaging and POS adopted a vibrant new look – without taking away one crumb of its character and charm.
The new packaging featured nostalgic paper bag formats, a negative-space wheatsheaf icon, and colorful strips to ease navigation for pre-bagged treats: These elements worked in perfect complement to the updated POS.
Co-op brought in new wooden racks and pull-out drawers, and shelf communication was designed so that the character and feel of a traditional village bakery were conveyed beautifully and seamlessly.
5. Delivering functionality as a feedback system and gateway to high-tech connected packaging experiences – we’ll go into this in detail below…
A “high-tech” POS
Whether using LED screens, incorporating modern robotics to cook up food to order in-store, or utilizing connected packaging with gamification, AR or VR, some of the best POS we’ve seen lately has harnessed head-turning tech.
To begin with, there’s a lot to be said for LED TV screens and/or touch screens as part of the POS display. Unlike a static cardboard display, a digital TV screen allows you to move swiftly between campaigns, even transitioning from one to the next along with shifts in audience – for example, if you have time-poor parents shopping in the morning, rushed commuters at dusk, and teens and 20-somethings after dark.
For private brands, the interactive touch-screen digital POS provides lots of opportunities to amplify the private brand story and relay the brand’s attributes. By using compelling renders, or content such as video, lifestyle images, testimonials, endorsements, UGC, etc., it’s possible to communicate clearly with consumers while keeping the private brand’s own distinctive voice.
We would recommend developing optimized renders for the best possible appearance on-screen. With a render, bar codes and small-print call-outs are removed, and critical buying information such as the brand, the flavor/variant, and multipack numbers are magnified. Renders ensure the brand maintains a consistent look and feel which enhances perceptions of value.
Merging the online experience with the physical POS
Advanced tech we may see widely adopted includes AI-enabled POS systems. This means that the data acquired by POS systems with every transaction in-store and online can then be plugged into machine learning models and analyzed so that businesses receive actionable insights that can ultimately lead to better decision-making from an operational standpoint – as well as helping to craft a superior customer experience.
As brands look to deliver more omnichannel experiences that connect the online experience with the physical touchpoints of packaging and in-store interaction, QR codes are soon going to be a pack-front must-have. The connected pack front, once incorporated on few outlier designs, will become an omnipresent marketing tool.
Connected pack fronts have the power to transport customers from the convenience store aisle to the farm where product ingredients were first sourced. They open up a world of games, recipes, and insights into the lives of people across the world.
Personally, I love the idea of QR codes serving as a window to the supply chain and the factories halfway around the world – talk about bridging distances and cultural gaps.
For retailers looking to bridge the experiential gap, created by the dramatic shift to eCommerce caused by COVID, a good omnichannel strategy – and an in-store pickup option – can help.
Shopify posits one solution for retailers who have lost much of the opportunity to market as they would have done in-store. The eCommerce software provider suggests that brands should highlight “click and collect” options as part of their online POS solutions, and make the most of these local pick-up opportunities.
In fact, data collected from Shopify’s users indicates that shoppers who choose local pickup are 13% more likely to complete their online purchase, and this type of shopper spends more too – as much as 23% more than those who select regular shipping. Local pick-up gives retailers another opportunity to bring customers back to the store to experience the brand “in real life”.
For me, this creates a satisfying link between online POS and in-store POS – where positive online experiences drive interactivity in-store, too. But too often I’ve seen poor execution in the latter part of the journey: The pick-up counter relegated to a dreary corner, with a bit of cardboard litter and tape strewn about, as though for effect. What a huge, missed opportunity, I think, to bring the brand to life, to upsell and to deliver experiential, brand affinity-building marketing. After all, it’s not too late, even post-conversion, to inspire social media sharing, unboxing, and word-of-mouth recommendations.
Maximizing every in-person and physical touchpoint in the consumer experience, POS included, doesn’t just help brands rise above the din of competitors, it sets the tone for future consumer expectations and engagement.
After all, an experience where ‘all ends well’ is really just the beginning.
Cover image source: Elia Pellegrini