Packaged goods marketers and retail experts will soon have a much better understanding of the North American landscape now that Walmart will begin sharing U.S. sales data with Nielsen Co. and other research firms.
The retail giant has kept the numbers secret for a decade and the move will eliminate a gaping black hole in consumer packaged-goods sales data that had to be filled using consumer panel data and advanced modeling.
It also has the potential to make the marketing-mix modeling CPG and other marketers use as the basis for measuring marketing ROI considerably more accurate.
Nielsen will begin providing clients access to Walmart and Sam’s data in “a few months,” said Nielsen spokeswoman Jennifer Frighetto. “We’re raring to go, and starting to work with [Walmart] and train them, and we will be providing new views of our U.S. industry numbers. It’s a big impact.”
The deal covers “census” data, or data from all U.S. Walmart stores, Neighborhood Markets and Sam’s Clubs, and will include historical data, Frighetto said, though she didn’t immediately have information on how far back it will go.
“Walmart will be sharing their data with other providers as well,” Frighetto said. “What’s different here is that Nielsen is the primary provider. So they’ll be using our data and tools. We’ll be training Walmart on using this data that they haven’t been using for so long.”
SymphonyIRI is in the process of finalizing an agreement with Walmart that will provide the same level of access to the retailer’s scanner data, said John McIndoe, senior vice-president marketing. At the same time, he said SymphonyIRI has been named Walmart’s preferred supplier of shopper and consumer insights, and will be the “platform of choice” to provide Walmart customer insights.
Walmart’s policy change is potentially a win for other research firms, too, such as NPD Group, which also had access to Walmart scanner data prior to the ban.
The executive behind the change apparently is Cindy Davis, the former Sam’s Club chief marketer who earlier this year became exec VP of Walmart global consumer insights, spanning all of the retailer’s U.S. and global divisions.
In a statement provided by Nielsen, Davis said, “This expanded relationship with Nielsen will provide Walmart and Sam’s Club with deeper insights into customer purchasing – and unmet needs – both nationally and in key local markets.” Sharing information, she said, will also help Walmart and Sam’s identify category growth opportunities sooner and develop more “impactful” programs.
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