The First Purchase Approach in detail
We analyse every purchase from the NIQ consumer panel and calculate how many times the shopper has bought the brand before. “First Purchases” are the occasions when a brand gains a new buyer and are identified alongside Occasional and more Frequent purchases of a brand.
We use this classification to analyse each brand by variant, pack, price, promotion, channel, retailer, shopping mission and shopper type, and identify the First Purchase Rate for each. Previous analysis has shown that First Purchases of a brand are very different to more frequent purchases, especially in terms of pack size bought, price paid, and channel shopped.
The First Purchase Approach answers three killer questions for a brand:
1.
How many First Purchases are required to achieve growth?
2.
How many First Purchases will each pack/price combination deliver?
3.
How many First Purchases will come from each channel?
The key benefits of the First Purchase Approach are:
Evidence based
The First Purchase Approach removes guesswork for brands by using real shoppers’ purchasing data to identify the best opportunities for a brand to gain new buyers and quantify the size of each opportunity.
Effective
The First Purchase Approach is 100% focused on gainingnew buyers for a brand and enables the precise targeting of the biggest opportunities by pack size, price and channel to win new buyers.
Cost-Efficient
By precisely targeting First Purchases brands can be surethat their spend is directed towards activities that will help gain new buyers, and avoid spend on initiatives that are destined to fail.