Guide to CPG - A Simplified Breakdown
As consumers, we are spending more and more every day. Since 2012, consumer expenditure in the United States has increased by approximately 14% in billion dollar values. Now you may be asking yourself why all of this matters. The answer? Pretty straightforward - with our actions we have evolved how companies are producing and the manner with which they are delivering their products to us.
Marketing has always played a crucial role in the success of a product but the role that marketing plays has become more and more apparent. The Consumer Product Goods (CPG) industry is more competitive than ever and consumers now have at least ten different brands to choose from for a given product (toothpastes, peanut butter chocolates, olive oils, cat litter, etc.). Furthermore, consumer's attention spans are decreasing and their decision making process is becoming shorter making it all the more difficult for a brand to standout and attract consumers. So how do you differentiate yourself as a brand among an ocean of competitors?
Build Consumer Trust
How you communicate to your consumers, in other words your brand placement and the medium through which you market your product, is an imperative element in building consumer trust. In my experience, I have found the following to be very strong catalysts in initiating this outcome:
1. Be present and have a strong share of voice on Amazon. Appearing as a "recommended" product and investing in Amazon Search to ensure you appear on the top of results can tremendously help your sales. After all, we have cities in a bidding war against the hosting of this company's headquarters.
2. SEM is your winning ticket. We are consistently searching whether it's on Google, Bing or Yahoo (do people still use that?). Investing in top positions and constructing a strong keyword strategy can catapult your business into another sales era.
3. TV is the marketing medium of trust. Despite digital getting all the buzz over the past few years, TV is still a very relevant platform and not going away. Even though the cost of this medium is relatively high, you are in return gaining consumer trust and loyalty at scale. In other words, investing in your brand can only mean that others will invest in you.
4. Incorporate user reviews into your website. It is said that 88% of consumers trust reviews just as much as personal recommendations. Personally, I always rely on reviews prior to purchasing a product - wouldn't you want to hear about someone's experience before committing your dollars?
Right Place, Right Time - Moment Marketing
I'm sure you hear the words "in the moment" and "right place, right time" rather frequently in the advertising space but I would like to highlight the importance of this mentality and what it really means to be in the moment. Taking this idea and applying it to "moment" marketing is how you can drive success. Now obviously, there is no exact minute or second that can be calculated and deemed as the "perfect" moment to appear in front of consumers which is why you have to consider a series of variables that collectively will give you the results you need:
1. Mobile, mobile, mobile. Besides those of us who wear watches, this is the only other device that we can confidently say follows us wherever we go (creepy, I know). For that reason, it carries with it all of our behavior and gives the richest data on users. Using a combination of location and predictive targeting, you can have a very strongly influenced marketing strategy on mobile.
2. Manage frequency. While you want to stay on consumers' minds you also don't want to appear to be "pushy". In other words, don't be on every device, in front of consumer eyes 24 hours a day, 7 days a week. Appearing frequently but in a "respectable" manner results in the highest impact when it comes to consumer acquisition.
3. Content is everything. It bears no significance to be at the right place at the right time with the wrong content. Your creative says everything about you that the consumer needs to know so, choose your words wisely. Incorporating your lively colors, keeping your messaging short and concise and having an interactive play (such as rich media or video content) can go a long way for your product. This is the cherry on top to your moment marketing.
In reality, it's very tough to convince consumers to try a new product but with the right advertising medium, attractive and concise message at the right place/time, you have a great shot at earning consumer trust towards your brand.
At MBuy, we can help you achieve the results you need in this competitive landscape. Let us help you pave your path towards greater consumer loyalty, brand awareness and success. Click here to learn more.