Capturing the 'First Moment of Truth': Understanding Unplanned Consideration and Purchase Conversion Using In-Store Video Tracking

Abstract

In order to optimize their shopper marketing strategies, retailers and manufacturers are interested in understanding in-store drivers of unplanned spending. In particular, they are interested in understanding shopping behavior at the point of purchase, termed the “first moment of truth” (Inman et al. 2009). In this research, we present and test a conceptual framework of the shopping trip-level drivers of unplanned considerations and the point-of-purchase behavior drivers of conversion to unplanned purchases. We test our hypotheses in a field study where we employ video tracking to measure shoppers’ point-of-purchase behavior. We find that longer in-store travel distance and lower “shopping efficiency” are associated with more unplanned considerations. Further, we show that an unplanned consideration is more likely to turn into a purchase if a shopper (i) spends more time in consideration, (ii) engages in more product touches, (iii) views fewer product shelf displays, (iv) stands closer to the shelf, (v) references external information, and (vi) interacts with the store staff. Implications of these findings for research and shopper marketing are discussed.

Keywords: point-of-purchase behavior, in-store behavior, unplanned consideration, unplanned purchase, video tracking

JEL Classification: D12, M31