1. Moms’ shopping trends Today’s purchase path and what influences moms Lindsay Jurist-Rosner Microsoft Advertising

2. COUNTRIES SHOPPERS MOMS

3. New shoppers’ behaviors

4. The study’s shopping moms Microsoft Advertising | Carat | Essential Research | Project Red | 2010 Moms are primary decision-makers and highly store-loyal. Average age: 37 Average household income: $60K Decision makers Grocery: 90% Home electronics: 52% Home improvement: 54% Store loyal Grocery: 95% Home electronics: 74% Apparel: 85% Home improvement: 91% Fast food: 82%

5. Moms’ purchase decisions are no longer linear, they’re more dynamic than ever.

6. Need stateResearch The new shopper paradigm ‘Pre-tailing’Retailing‘Post-tailing’ Purchase Post purchase In-store experience Word of mouth feedback loop

7. 3 core shopping patterns emerged Source: Which of the following best describes your initial reasons for making this purchase? HabitualResearchImpulse

8. Purchase patterns differ by purchase type

9. The new shopper paradigm Need stateResearch ‘Pre-tailing’Retailing‘Post-tailing’ Purchase Post purchase In-store experience Word of mouth feedback loop

10. Moms on a mission Moms have made 3-4 different decisions about their purchase before they start their research. Budget, product, brand, place are the key inputs. NecessityItem for homeTreat Need state

11. Research Moms change their minds after researching 70-80% of moms changed something about their planned purchase as a result of their research. Price, retailer, brand: 3 most likely to change. Huge impact of digital marketing, circulars, coupons, word of mouth.

12. Moms at the point of purchase Purchase Place is selected based on price and proximity. Online choice is about price and delivery speed. 20% of moms changed their minds about their purchase at the point of purchase. 25% of moms used cell phones in store to inform their purchase decision.

13. Moms talk Need state Post purchase Word of mouth feedback loop Moms are significantly more likely to talk to people about purchases they make in each category—with the exception of home electronics. 40% of moms engaged in some word of mouth activity post-purchase.

14. Moms more likely to buy apparel on impulse Heavier researchers Most WOM More frequent shoppers Most impulse shoppers Shopper paths around the world

15. Driven less by necessity and more by kids’ needs Most likely to purchase a treat (grocery) More likely to be influenced by advertising Twice as many research sources 98% of WOM is digital; 78% on mobile Most likely to engage in post- purchase action Purchase triggers, globally

16. Shopportunities for marketing to moms Success requires an integrated approach to media and in-store experiences. Online, mobile, social communication are critical to your results. 1 Get to know the touch points and triggers along the shopper path to purchase 2 Understand the role of digital especially for researching purchases 3 Recognize and leverage word of mouth as a key driver

17. Thank you lindsajr@microsoft.com