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Walmart: Annual Shopper Review

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1 Walmart: Annual Shopper Review
Laura Kennedy, Director Rachel McGuire, Director June 2016

2 Executive Summary: A Shifting Shopper Base Frames Evolving Demands
Walmart’s penetration with American shoppers has declined. The share of shoppers regularly shopping Walmart continues to decrease, even as the retailer adds stores. However, over the last five years, the retailer’s shopper base has shifted to be slightly more affluent as well as more ethnically diverse, implying there are new opportunities for the retailer to attract more shoppers with its value messages. The Walmart shopper is generally optimistic about the economy as well as her financial state. While stock market volatility has dampened the Walmart shopper’s attitudes about wealth, the shopper is positive overall about her financial standing and spending plans, implying that value messaging beyond pure price could resonate. Shoppers’ increasingly precise shopping approaches are evident in their habits at Walmart. After a few years of declines, the number of departments that shoppers visit and purchase from at Walmart has leveled off, though food now drives more than half of all trips to Walmart, and a lower share of trips are driven by non-food household products. Over time, a significantly higher share of Walmart shoppers is also shopping Amazon, perhaps indicating why the Walmart trip is increasingly being driven by food shopping. Walmart shoppers are embracing digital tools. Even though the store is still Walmart shoppers’ preferred destination for many tasks and shopping experiences, more than one-tenth of Walmart shoppers are deeply engaged digital “omnivores.” Plus, across the board, Walmart shoppers indicate they are highly interested in various online grocery options, while mobile is increasingly a key tool for Walmart shoppers. Neighborhood Market offers a key growth opportunity for Walmart, but shoppers’ attitudes toward the format suggest room for improvement. Walmart shoppers are recognizing some of Neighborhood Market’s supposed value propositions versus the Supercenter—including quick trips and fast checkout. But fewer Neighborhood Market shoppers are now also shopping at the Supercenter, suggesting that Neighborhood Market may simply be cannibalizing the trips from Walmart’s core format. Walmart has a fair amount of work to do to elevate Neighborhood Market’s value for shoppers to drive growth at the smaller format that doesn’t come at a cost to the Supercenter. Source: Kantar Retail analysis

3 Table of Contents Walmart Shopper Penetration
Penetration Over Time and Across Formats Key Demographic Shifts State of the Walmart Shopper Financial Health and Outlook Shopper DNA: What Matters to Walmart Shoppers Shopping Behavior at Walmart Cross-shopping Patterns Trip Missions Functional and Emotional Assessment of Walmart Spotlight Topics The Digital Walmart Shopper The Neighborhood Market Shopper

4 Walmart Shopper Penetration

5 Walmart Shopper Penetration
Shopper penetration at Walmart’s core formats continues to decline, though its growth channels have started to make some gains. However, some shifts in its shopper base may offer new opportunities for growth. Neighborhood Market and Walmart.com have made penetration gains with shoppers. Walmart’s initiatives to drive traffic online during the 2015 holiday season, including enhancements to Walmart Pickup and mobile engagement, seem to have given a bump to the retailer’s online penetration heading into the start of Meanwhile, Neighborhood Market’s share with shoppers in the 30 or so states where it operates continues to tick up as the retailer builds new stores and works to communicate the format’s value proposition. Even with relatively low penetration among shoppers, it is important to remember that the two channels are set to make up more than half (approximately 53%) of Walmart’s incremental sales growth in the United States through 2021. Walmart’s shopper base has shifted higher-income and more ethnically diverse. Even as Walmart’s shopper base continues to align largely with the demographics of the U.S. shopper overall, the retailer’s base has shifted over the last five years in a few ways that are significantly different than the shifts that happened in the overall population, including a bigger shift toward higher-income shoppers as well as toward more non- white shoppers. Both changes present opportunities for Walmart to broaden its value appeals. Source: Kantar Retail analysis

6 Slight but Steady Erosion in Percent of HHs Shopping Walmart
Continued Supercenter decline, despite stores added Percent Shopped Walmart during Past Four Weeks vs. Store Count Source: Kantar Retail ShopperScape® , January 2007–March 2016

7 Growth Formats Continue to See Modest Penetration Gains
Continued Supercenter decline, despite stores added Percent Shopped Walmart during Past Four Weeks, by Format Analysis for Neighborhood Market is limited to states in which Neighborhood Market had a presence as of January 2016 Source: Kantar Retail ShopperScape® , January 2007–March 2016

8 Lower income, more likely to have kids at home
Supercenter Shoppers Are a Close Approximation of the “Average” U.S. Shopper Shopper Profile: Walmart Supercenter Shoppers All Shoppers Past Four-Week WMSC Shoppers Monthly WMSC Shoppers Sample Size 48,440 28,067 22,922 Annual HH Income <$25k 25% 26% 27% $25k-$49.9k 28% $50k-$74.9k 18% 19% $75k-$99.9k 12% 11% $100k+ 21% 17% 16% Generation Gen Y 20% Gen X 31% Boomers 38% Seniors Children Kids in HH Race/ Ethnicity White Non-Hispanic 71% Black Non-Hispanic 13% Hispanic Virtually no demographic differences between recent and regular WMSC shoppers Lower income, more likely to have kids at home Shading indicates significant difference vs. all shoppers (95% confidence level) Source: Kantar Retail ShopperScape®, January–December 2015

9 Past Four-Week Walmart Supercenter Shoppers
Walmart Supercenter’s Shoppers Disproportionately Shifting Higher Income, More Minority vs. Five Years Ago Demographic Shifts Over Time: 2015 Index vs. 2010 Some demographic shifts are systemic, affecting all retailers (e.g., more Gen Y shoppers, fewer Seniors). But Walmart Supercenter shoppers are differentially shifting higher income, and also are shifting toward a non-white shopper base more dramatically than the total shopper population. All Shoppers Past Four-Week Walmart Supercenter Shoppers <$25K 101 94 $25K–$49.9K 97 $50K–$74.9K 99 $75K–$99.9K 96 103 $100K+ 100 118 Generation Y (born 1982 to 2002) 171 178 Generation X (born 1965 to 1981) 95 98 Baby Boomers (born 1946 to 1964) 104 Seniors (born before 1946) 57 54 Children under 19 at home White Non-Hispanic Black Non-Hispanic 106 Hispanic 112 *Read as: past four-week Walmart Supercenter shoppers surveyed in 2015 were 6% less likely to have an annual HH income of less than $25K than past four-week Walmart Supercenter shoppers surveyed in 2010; arrows indicate statistically significant difference between time periods (95% confidence level) Source: Kantar Retail ShopperScape®, January–December 2010 and January–December 2015

10 State of the Walmart Shopper

11 State of the Walmart Shopper
Walmart shoppers are feeling optimistic about their financial situation. However, continued volatility in the stock market and across other macroeconomic indicators could potentially impact their attitudes. Walmart shoppers’ spending intentions echo all shoppers’ general optimism. Three quarters of Walmart’s shoppers plan to spend the same or more as they did in the same period in the previous year, a share that has been steadily rising for the Walmart shopper as well as for all U.S. shoppers. Financial health is improving, though shoppers appear to be feeling the impact of stock market volatility and healthcare costs. Across a few economic indicators, Walmart shoppers seem to feel better about their overall financial health. However, the uncertainty in the stock market as well as in other investments means more shoppers are feeling worse about the value of their investments. Health costs are also a rising worry for Walmart’s shopper base. Keeping those wealth fluctuations in mind could be valuable as Walmart dedicates more energy toward the “live better” piece of its value equation. The principle of “value” has gained on price in importance. Perhaps as a result of some of that financial uncertainty, a growing share of shoppers is prioritizing “deals” and value that goes beyond paying “as little as possible.” In particular, Walmart shoppers value doing all of their shopping in once place more than the average shopper, indicating that as Walmart thinks about its Supercenter of the future, capitalizing on this one- stop-shop convenience should remain a top concern. Source: Kantar Retail analysis

12 (Three-month moving average)
Supercenter Shoppers’ Spending Plans Continue to Improve, Remain On Par with Average U.S. Shopper Near-Term Spending Plans: Percent Planning to Spend More/About the Same vs. Same Time Last Year Near-Term Spending Plans vs. Same Time Last Year: Q1 2016 (Three-month moving average) No significant differences compared with all shoppers (95% confidence level) Source: Kantar Retail ShopperScape®, January 2009–March 2016

13 Walmart Shoppers’ HH Financial Health Mostly Improving
Household Financial Health vs. Year Ago: Walmart Supercenter Shoppers Q1 2015 Q1 2016 Job security Much better/somewhat better off 20% 22% No change from last year 68% 65% Somewhat worse/much worse off 12% 13% Household Income level 32% 31% 50% 51% 18% Credit card debt 25% 27% 61% 58% 15% 16% Monthly mortgage/car payments 71% 9% 10% Worth of investments 26% 21% 63% 62% 11% 17% Value of home 29% 30% 8% More Walmart Supercenter shoppers indicate improvement vs. a year ago in their job security, debt, and monthly expenses … … but investment portfolios have taken a hit vs. last year. Source: Kantar Retail ShopperScape®, January-March 2015 and 2016 Shading indicates significant year-to-year difference (95% confidence level)

14 Shoppers Expect Personal Finances to Be Similar to Last Year
But less optimistic about 2016 outlook for U.S. economy overall Expectations for U.S. Economy and Personal Household Financial Health in Coming Year vs. Last Year U.S. Economy Overall HH Financial Health All Shoppers WMSC Shoppers All Shoppers WMSC Shoppers Arrows indicate significant year-to-year difference (95% confidence level) Source: Kantar Retail ShopperScape®, December 2014 and December 2015

15 Walmart Shoppers’ Concerns for 2016 Are Wide Ranging
Health care, politics, and income top the list Factors Walmart Supercenter Shoppers Are Worried About Affecting Them in Coming Year (% of past four-week Walmart Supercenter shoppers who say they are “extremely worried”) Paying higher health insurance costs 28% Unexpected expense (e.g., car repair, home maintenance, medical) November elections resulting in changes to government programs that will negatively affect me 27% Wage and income growth won't keep up with price increases in essential household products 26% Not having enough money to pay my bills 24% Getting sick (myself or someone in my household) and not being able to afford medical bills 22% Not being able to pay down debt (e.g., student loans, credit cards) 20% Not having enough money left at the end of the month to treat myself/my family Decreased value in my investments or savings 16% Getting sick (myself or someone in my household) and having to miss work Not enough time with my family due to work or other obligations 10% Getting enough hours at work 9% Losing my job Note: arrows indicate significant difference vs. all shoppers (95% confidence level) Source: Kantar Retail ShopperScape®, February 2016

16 EDLP Top Priority for Walmart Shoppers
Ranked alongside getting a “good deal” Arrows indicate a significant difference between Walmart Supercenter shopper sand all shoppers (95% confidence level) Source: Kantar Retail ShopperScape®, January-December 2015

17 Shopping Behavior at Walmart

18 Shopping Behavior at Walmart
Shoppers continue to be targeted in their trips to Walmart. Food is increasingly the driver to the Supercenter, and more shoppers are making quick fill-in trips to the big box. But cross-shopping patterns suggest that some of this precision could be the result of more Walmart shoppers spending time on Amazon. Amazon has gained significantly as a cross-shopping destination for Walmart shoppers. Over the past four years, the online retailer has gained 14 percentage points of penetration with the Walmart shopper, even as Walmart’s shoppers are significantly less likely to shop at several other core CPG and specialty retailers. Notably, the other retailer to gain a significantly higher percentage of cross-shopping from Walmart shoppers over the last four years is Dollar Tree, perhaps pointing to shoppers’ overall increasing preferences for quicker trips in smaller boxes. Shoppers’ trip missions at the Supercenter remain focused on the stock-up. Overall, more than 40% of shoppers still say their primary purpose at the Supercenter is for a stock-up trip. But the share who do quicker trips—fill-in as well as immediate-use—ticked up in 2015, again indicating shoppers’ broader movement toward convenient trips. In a positive sign, after decreasing noticeably over the last three years, in 2016 the number of departments shoppers visited and purchased from increased, indicating that Walmart’s efforts to merchandise more cross-box solutions may be working, and that those shoppers who have stuck with Walmart are consolidating some of their shopping there. Shoppers’ evaluations of the experience at Walmart varies by age, income, and ethnicity. While shoppers across cohorts share generally the same feelings about Walmart’s basic functionality, their enjoyment of the experience at the retailer vary quite a bit. In particular, younger and more-affluent shoppers present a key opportunity to think critically about more tailored shopping experiences at the store. Source: Kantar Retail analysis

19 The Supercenter’s Competitive Set Is Shifting
Much more likely to now include Amazon, Dollar Tree Top 10 Retailers Cross-Shopped by Walmart Supercenter Shoppers Arrows indicate significant year-to-year difference (95% confidence level) Source: Kantar Retail ShopperScape®, January-December 2011 and 2015

20 Fill-In Trips to the Supercenter Ticked Higher in 2015
Though stocking up remains the top mission Primary Reason for Last Trip to Walmart Supercenter (last trip to WMSC for food/groceries/HH essentials/HBC products) Other* Immediate Use Fill-In Stock-Up *Other trip types include trips to buy coupon or sale items, browsing, and special occasion trips Source: Kantar Retail ShopperScape® , Feb/May/Aug/Nov 2010–2015

21 Food Remains the Bedrock of the Supercenter Trip
Type of Products That Motivated Most Recent Trip to Walmart Supercenter Note: Arrows indicate statistically significant difference between May 2012 and May 2016 (95% confidence level) Source: Kantar Retail ShopperScape®, May 2012–2016

22 Though Food Drives Most Trips, Shoppers Likely to Shop Other Departments
Main Reason for Last Trip to Walmart Supercenter Was to Buy … General merchandise HH essentials Edible grocery HBC Areas of Store Shopped/Purchased on Last Trip to Walmart Supercenter Conversion Rate* 92% 74% 85% 86% *Conversion calculated as %purchased/% shopped Source: Kantar Retail ShopperScape®, May 2016

23 Shoppers Increase Number of Departments Shopped, Purchased at WMSC
Average Number of Departments Shopped/Purchased on Last Trip to WMSC Continued efforts to link edible, non-edible categories to add to baskets, move shoppers through the store Source: Kantar Retail ShopperScape® , May 2012–2016

24 Shoppers’ Assessments of Walmart’s Functionality Relatively Similar Across Cohorts
Extent to Which Walmart/Walmart Supercenter Meets Shoppers’ Needs Does not meet my needs Meets my needs, but no better than any other retailer Meets my needs better than most retailers Meets my needs better than any other retailer Source: Kantar Retail ShopperScape®, February, May, August, and November 2015

25 Shoppers’ Emotional Evaluation of Walmart Less Favorable
Younger and more affluent shoppers especially likely to indicate that shopping at Walmart is not an enjoyable experience Extent to Which Shoppers Enjoy Shopping at Walmart/Walmart Supercenter Don’t like/wouldn’t shop if I didn’t have to Neutral feelings toward shopping this retailer Like this retailer well enough; shopping there is okay Enjoy/look forward to shopping this retailer Source: Kantar Retail ShopperScape®, February, May, August, and November 2015

26 Spotlight Topics: The Digital Walmart Shopper The Neighborhood Market Shopper

27 Spotlight Topic: The Digital Walmart Shopper
While the Walmart shopper still prefers stores across a variety of key shopping needs, it is important to note that this shopper also has a multifaceted view of digital’s role in shopping, especially when it comes to the potential to adopt online grocery shopping and expand the use of mobile tools. When it comes to digital shopping, Walmart’s shoppers are slightly less pragmatic than average. About half of Walmart’s shoppers tend to stay on the fringes of digital engagement while shopping, but a significantly higher share than the average—more than one in 10—are “omnivores” who embrace digital tools while shopping. Far from the perception that the core Walmart shopper is excluded from online shopping, these “digital personality” traits of the Walmart shopper—as well as the success of programs like Savings Catcher—imply there are a range of opportunities to engage digitally with these shoppers. The store is still Walmart shoppers’ preferred venue across a variety of aspects, but Walmart shoppers are still more likely to view online as a stress-free destination. Walmart shoppers still count on the store to be a quick one-stop shop, as well as a destination for low prices and for “fun” shopping experiences. Walmart shoppers’ interest in evolving digital platforms is growing. In particular, Walmart shoppers are interested in online grocery across an array of fulfillment options, from home delivery to meal planning. Nearly 40% are interested in curbside pickup services, which Walmart now offers in nearly 40 markets nationwide. Meanwhile, a quarter of Walmart shoppers have used its app in the last few months, and six in 10 of those shoppers say they used Savings Catcher. Upwards of a quarter of Walmart shoppers say they’ve used the retailer’s app for research purposes before purchases, such as checking on store inventories and reading product reviews. Source: Kantar Retail analysis

28 Walmart Shoppers Have Multifaceted Digital Personality
Have a slightly less pragmatic approach to digital when shopping Shoppers’ “Digital Personalities” Omnivores “All in;” view online as fun, and digital tools make them smarter shoppers Pragmatists Value the convenience of online commerce, but not highly engaged beyond that Socializers Digitally engaged for social purposes, but prefer stores for commerce Wallflowers See the potential benefits of digital tools, but not actively using them Outsiders Do not have a digital mindset, digitally disengaged ? Arrows indicate significant difference between all shoppers and Walmart Supercenter shoppers (95% confidence level) Source: Kantar Retail ShopperScape®, January-December 2015

29 WMSC Shoppers Still Prefer Store for Most Factors
29 Especially likely to view the store as the best option for one-stop shopping Preferred Venue for Different Aspects of Shopping (among past four-week Walmart Supercenter shoppers) Overall Preference Store Online* 28% 72% 43% 57% 44% 56% 53% 47% 54% 46% 58% 42% 61% 39% 65% 35% 66% 34% 88% 12% >50% prefer online >50% prefer store *Computer, tablet, or smartphone; bold green numbers indicate significantly greater vs. all shoppers (95% confidence level) Source: Kantar Retail ShopperScape®, March 2016

30 Interest in Online Grocery Fulfillment Models High and Diffuse
Multifaceted notions of “convenience” mean no silver bullet fulfillment solution Level of Interest in Key Online Grocery Fulfillment Models (% who would be very/somewhat interested in using service) No significant differences between all shoppers and Walmart Supercenter shoppers (95% confidence level) Source: Kantar Retail ShopperScape®, July 2015

31 Walmart App’s Reach Continues to Expand
Savings Catcher a big draw Percent of Walmart Shoppers Who Have Used Walmart App in Past Few Months (among smartphone/tablet owners) Top Uses of Walmart App (among shoppers who have used Walmart app in past few months) Use Savings Catcher 61% Shop for products 40% Check to see if specific item is available in local store(s) 32% View weekly ad 27% Read product reviews 24% Make purchases 22% Access sales/discounts only available on the app 19% Access coupons 16% Receive notification of sales, store events, and/or new merchandise Get store information: store hours, directions 13% Source: Kantar Retail ShopperScape®, January 2014, 2015, and 2016

32 Spotlight Topic: The Neighborhood Market Shopper
The Neighborhood Market shopper is distinct from the Supercenter shopper, but the smaller supermarket format continues to pose a cannibalization threat to the Supercenter. It is clear that Walmart has further work to do to truly differentiate the smaller format to ensure Neighborhood Market’s role as a growth vehicle. Neighborhood Market shoppers are gradually cross-shopping the Supercenter less. Over time, the share of Neighborhood Market shoppers also frequenting the Supercenter is declining, indicating that Neighborhood Market may be replacing the Supercenter for some shoppers—in other words, Neighborhood Market is cannibalizing the Supercenter. At the same time, though, a higher share of regular Supercenter shoppers say they are also shopping Neighborhood Market over time, which indicates that shoppers may be utilizing Neighborhood Market to complement the trips they complete at the Supercenter. Neighborhood Market shoppers acknowledge and appreciate the convenience of the format. Compared with the Supercenter, a higher share of shoppers identify Neighborhood Market’s relative success at offering its key value propositions around convenience and quick trips. However, the format does have room to gain on the Supercenter on other quick-trip factors, such as offering quality to-go foods. Neighborhood Market shoppers are more likely to prioritize shopping factors that contribute to value beyond price. These shoppers are more likely than Supercenter shoppers to say factors like product quality, in-store service, and in-store information matter to them. This prioritization of the shopping experience is also reflected in the competitive set for Neighborhood Market, which according to shoppers’ cross-shopping habits includes national retailers and also specialty stores. Source: Kantar Retail analysis

33 Neighborhood Market Attracts a Younger, Non-White Shopper
Demographic Profile of Past Four-Week Shoppers Walmart Supercenter Shoppers Neighborhood Market Shoppers Sample Size 22,067 3,549 Annual HH Income <$25k 27% 26% $25k-$49.9k $50k-$74.9k 18% 19% $75k-$99.9k 11% 12% $100k+ 17% Mean income $58,180 $58,720 Generation Gen Y 20% 25% Gen X 31% 32% Boomers 38% 34% Seniors 9% Children Kids in HH 28% 29% Race/ Ethnicity White Non-Hispanic 68% 59% Black Non-Hispanic 14% Hispanic 13% Neighborhood Market’s shoppers are significantly more likely to be Gen Y than are shoppers at the Supercenter. Still, they’re about equally as likely to have kids at home. Note: analysis limited to states in which Neighborhood Market was present as of January 2016 Shading indicates significant difference between column percentages (95% confidence level) Source: Kantar Retail ShopperScape®, January–December 2015

34 NMKT and Supercenter Shoppers Overlap
Though over time, NMKT shoppers become less likely to cross-shop the SC Cross-Shopping Between Walmart Banners (among past four week shoppers of retailers) Analysis limited to states in which Neighborhood Market was present as of January 2016 Source: Kantar Retail ShopperScape®, January 2011–December 2015

35 Describes Walmart/WMSC Describes Neighborhood Market
Shoppers Do Distinguish Neighborhood Market from Core Format, Recognize Convenience Appeal Shopper Assessments of Walmart Banners Describes Walmart/WMSC Describes Neighborhood Market Sample Size 1,004 120 Can do all of my shopping here 61% 31% Convenient location 59% 71% I feel like I'm getting a "good deal" at this retailer 49% 40% I feel confident I'm paying the lowest price at this retailer 46% Easy to find what I am looking for 45% 44% Specific items I want are in-stock 37% 33% Store is clean and looks nice 36% 43% Can get in and out quickly 51% Good private label products available 25% Fast checkout 24% 34% Offers high-quality fresh foods (e.g., meat, produce) 21% Store associates are friendly 20% Store associates are helpful and available if I need them 18% 23% Offers a good variety of prepared "to-go" foods available 15% 17% Retailer "gets me"/values me as a shopper 10% 9% Offers unique products I can't find at other stores 6% Wide variety of natural/organic products available 5% 7% Note: bolding/shading indicates significant difference between column percentages (95% confidence level) Source: Kantar Retail ShopperScape®, February 2016

36 Neighborhood Market’s Grocery Competitive Set Varies by Region
Top Grocery Retailers Also Shopped by Neighborhood Market Shoppers, by Region West Walmart/WMSC 59% Costco 46% Safeway 33% Trader Joe’s 32% Albertsons 28% WinCo Foods 23% Central Walmart/WMSC 83% Sam’s Club 35% ALDI 32% Hy-Vee 20% Kroger 15% Whole Foods 13% Northeast Walmart/WMSC 64% Food Lion 30% ALDI 27% Sam’s Club 21% Kroger 20% Trader Joe’s 17% Southwest Walmart/WMSC 75% Kroger 31% Albertsons 30% Sam’s Club 28% Sprouts 22% H-E-B 21% Southeast Walmart/WMSC 74% Publix 61% Winn-Dixie 39% Sam’s Club 25% ALDI 20% Costco 15% Source: Kantar Retail ShopperScape®, January–December 2015

37 Neighborhood Market Shoppers Have Distinct Shopping Priorities
More likely than WMSC shoppers to prioritize having fun and discovery What Matters to Shoppers (among past four-week shoppers of retailer, % ranking factor among top four most important when shopping) Arrows indicate a significant difference between Walmart Supercenter shopper sand all shoppers (95% confidence level) Source: Kantar Retail ShopperScape®, January-December 2015

38 Appendix: Notes and Definitions

39 Data Source: About the ShopperScape® Survey
Who? How and When? 4,000 primary household shoppers per month Representative sample of ~50,000 unique primary household U.S. shoppers annually; 80:20 female:male ratio Fielded online the third week of every month Survey fielded through LSR access panel What? Coverage Monthly and quarterly tracking questions on retailers and venues shopped, products purchased, where spend the most, near-term spending outlook, and household financial health New questions each month on timely, topical, and seasonal issues (including key holiday periods) affecting shopping behavior 200+ retailers across all retail sectors 81+ category groups (e.g., candy/gum, non-carbonated beverages; women’s casual clothing) Seven major departments (e.g., food/groceries) Note about Hispanic shoppers: Hispanic shoppers are the survey respondents who self-identify as being of Spanish origin. Because the ShopperScape® survey is administered only in English, the ShopperScape® sample of Hispanic shoppers should be considered as representative of only acculturated Hispanics.

40 Data Definitions Haves/Have Nots: Segmentation based on the point at which 60% of U.S. households fall into the “Have Not” category (and represent 25% of all income in the U.S.) and 40% of U.S. households fall into the “Have” category (and account for 75% of all income in the U.S.). When applied to ShopperScape® data, that dividing line falls at an annual household income of $60k Generations Gen Y: Born 1982 to 2002 (note: ShopperScape® surveys heads of household 18+, so Gen Y respondents in ShopperScape® are 18 to 33 years old in 2015) Gen X: Born 1965 to 1981 (34 to 50 years old in 2015) Boomers: Born 1946 to 1964 (51 to 69 years old in 2015) Seniors: Born in 1945 or earlier (70 or older in 2015)

41 For further information please refer to
Contact: Laura Kennedy, Director T: +1 (617) Rachel McGuire, Director T: +1 (614) kantarretail


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