The new unit — Retail Momentum — is geared to help advertisers with in-store marketing strategies. It will operate in partnership with Singapore research group Antony Consulting. In addition, shopper behaviour studies will be provided by local and international retailers.
Universal McCann MD Somyot Chairat and Antony Consulting's Elizabeth Tay will become joint managing partners of Retail Momentum, and will report in to McCann WorldGroup president and CEO, Mark Ingrouille.
In addition, specialist in-store creatives have been hired. The service will launch in January, with three clients signed up to run pilot projects.
"Clients in the consumer category are spending as much as 30 per cent of their annual budgets on in-store presence, yet much of it is unmeasured, unmanaged and unaccountable," said Ingrouille. "It's critical that clients can get the maximum benefit from in-store activity as the media market continues to fragment."
The project began in May 2005, and is the culmination of a year's research into customer shopping habits in Thailand. The agency claims sales for a pilot brand increased by as much as 27 per cent after rethinking its in-store strategy.
"When you go into a store, you follow a routine, and sometimes you'll end up buying things you never intended to. This project is about finding out why," said Ingrouille.
Thailand is the largest retail market in Southeast Asia, valued at US$21.6 billion, according to Deloitte Research. Aggressive expansion from international players including Tesco Lotus and Carrefour mean the industry is expected to grow between seven to 16 per cent this year.