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PPN #016: How to avoid the clearance shelf
5 strategies to transform DTC wins into IRL sales
Today, we're diving into a topic that's been on my mind lately: Why do some killer e-commerce products struggle to gain traction on retail shelves?
I recently saw a product in-store that perfectly illustrates this challenge.
The Case Study: For Wellness Superfood Bites
Picture this: I'm strolling through Sprouts, eyeing their Innovation Set. A product catches my eye, but I can't quite figure out what it is. The packaging is sleek, but... mysterious. And it’s clear other other shoppers are confused, too. Some boxes have been opened so shoppers can peek inside and figure out what they’re considering purchasing.
Fast forward a few months, and I spot the same product in the clearance section. At a steep discount, I decide to give it a shot.
The verdict? Absolutely delicious. Like, "where have you been all my life?" delicious.
The product? For Wellness Superfood Bites.
It’s always unfortunate to find a good product in the clearance section. I want, more than anything, for the good product to win and succeed on-shelf.
So, what went wrong here? How did this amazing product end up in the clearance bin? And most importantly, how can we prevent this from happening to your brand?
Let's dive in.
5 Retail Strategy Tips (That'll Boost Your E-comm Game Too)
1. Right-size your packaging
The Problem: For Wellness offers a multi-serving box—but in the Innovation Set, this larger format felt like too much of a commitment for a new product. It’s a common situation: Many brands offer packaging sizes that don't align with customer preferences or trial habits, potentially deterring first-time purchases at retail.
The Fix: I would recommend For Wellness pivot to single-serving, on-the-go bars or brownies—at a lower price point. This size encourages impulse purchases and trials. For your product? Consider offering a range of sizes, including smaller, trial-friendly options. This could mean single-serve packages, mini versions, or sampler sets.
Why It Works for Both DTC/Retail: In retail, smaller sizes lower the barrier to entry for new customers. Online, they're perfect for variety packs or subscription boxes, encouraging customers to try multiple products or flavors.
2. Show, don't just tell
The Problem: On shelf, you couldn't see For Wellness’s actual product through the packaging. Opaque packaging or insufficient product imagery leaves customers guessing about what's inside.
The Fix: Use clear windows or high-quality images to showcase your product's appearance, texture, or use. Shoppers shop first with their eyes.
Why It Works for Both DTC/Retail: Visual appeal drives purchases both online and in-store. Great product visibility boosts confidence in-store and increases click-through and conversion rates online by giving customers a clear idea of what they're buying.
3. Make your differentiator crystal clear
The Problem: For Wellness’s key differentiator? It’s incredibly clean ingredients (almonds, yacon syrup, honey, oat flour, cacao, and lion's mane). But at first-glance…you’d never know.
The Fix: Identify your product's strongest differentiator and make it front and center in your branding and packaging. Whether it's a unique ingredient, a special production process, or a standout benefit, ensure it's impossible to miss.
Why It Works for Both DTC/Retail: In both retail and e-commerce, you have seconds to capture a customer's attention. A clear differentiator helps you stand out in a crowded market, whether that's on a physical shelf or in online search results. It also gives customers a compelling reason to choose your product over competitors.
4. Nail your product naming
The Problem: "Superfood Bites" doesn't clearly communicate the product experience or use case.
The Fix: Consider a more descriptive name like "Clean Brownies" or "Superfood Brownie Bites." Balance creativity with clarity to ensure customers immediately understand your offering.
Why It Works for Both DTC/Retail: Whether a customer is browsing store aisles or scrolling through an online catalog, a well-crafted product name can significantly impact their decision to learn more or make a purchase. In retail, it helps customers quickly identify your product's purpose. In e-commerce, it improves searchability and click-through rates.
5. Find your perfect shelf home
The Problem: Placement in the Innovation Set, while exciting, may have isolated the product from its natural category. When products are placed in the wrong category or unfamiliar sections, they’re often overlooked by their target shopper.
The Fix: I recommend that For Wellness be merchandised in the clean shelf-stable dessert or bar categories. Carefully consider your product's primary use case and target customer. Ensure it's placed (physically and digitally) where these customers are most likely to look.
Why It Works for Both DTC/Retail: Understanding your product's "home" helps with both in-store placement and online category optimization. It ensures you're being compared to the right competitors and found by the right customers.
The Bottom Line
On its DTC site, For Wellness’s Superfood Bites are sold out. They have 400+ 5-star reviews and a loyal following of obsessed customers. But on-shelf? They’ve plummeted into clearance territory.
The bottom line: A killer product alone isn't enough to guarantee retail success. The right packaging, pricing, and placement strategies are crucial foundational elements—and these elements often look different in-store vs. online.
But here's the good news: Improving your retail strategy can have a positive ripple effect on your e-commerce presence too. By addressing these areas, you're setting yourself up for success across all channels.
P.S. Struggling with the transition from e-commerce to retail? Our Go-To-Retail Incubator program might be just what you need to build a better foundation.
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