BENGALURU: Big Bazaar, the hypermarket chain, plans to exploit new technology and a growing number of stores to more than double the revenue it generates through in-store advertisements and brand promotions.
In addition to selling advertising space on facades, pillars, cash counters and display shelves, it is now installing "shelf-televisions"— small interactive screens offering product information – and activating a radio channel that will beam advertisements as shoppers walk across aisles.
In this way it is aiming to increase advertising revenues from Rs 100 crore to Rs 250 crore over the next two years, Mint reported.
"What we believe is you get the customer at a time when they are actually spending," Nayak explained.
"We have research that suggests that receptivity to catching an advertising message when you're in the act of shopping is much higher than when you are viewing ads in a passive environment," he said.
That is only part of the equation, however, as Kartik Sharma, managing director, South Asia, at media buying agency Maxus, pointed out: "How willing they [consumers] are to look at an advertisement and change shopping decisions will depend on who advertises with them and how," he noted.
Leaving aside this detail, Nayak was optimistic on a number of other points. "We feel this is the tipping point, wherein a lot of consumer companies are launching new products, so they need to advertise," he said.
"The underlying scale and size of format and number of stores becomes a good mix," he added.
This combination is attracting more shoppers and "we are seeing that more people are looking at brands seriously", said Nayak.
Data sourced from Mint; additional content by Warc staff