The consumer-packaged goods marketing market used to be simple. Usually, a few people recommended the product, and it was good enough. However, now the time has changed. Consumers rely on social media comments; they look out for their favorite influencers, etc. When enhancing retail performance, CPG brands must focus on consumer behavior, and using a CPG brand strategy helps increase the market share and gain profit.
Below are some CPG strategies one can implement to maximize retail performance.
Have An Omnichannel Strategy
CPG brands must ensure their products are accessible to customers through several channels, such as retailer sites, marketplaces, etc. The retail website can generate large volumes of sales. D2C stores allow for building customer loyalty, which is also helpful in collecting data on consumer behavior. Companies such as Pepsi, Coca cola, etc., are utilizing omnichannel strategies.
Earlier, brick-and-mortar stores get the most revenue, but now this trend has changed. Now, most consumers buy online from DTC and large companies that have extended their online offerings, for example, amazon pantry. Since there has been a shift in consumer behavior, CPG companies must opt for digital marketing.
One such example of the advantage of digital marketing is Fenty Beauty. The business is relatively new, and within a few years, it has garnered more than $550 million in sales. Also, the company has around 132 million views on its YouTube channel. All this has helped in its sale.
Even though online marketing is gaining traction, in-store promotions are an effective marketing strategy. For example, when a company pay for end cap displays helps in making the products stand out among the competitors. Also, another great way is to send coupon codes to customers that one can only redeem in stores.
Influencers can play a significant role in promoting products. It is a great way to get in touch with the target audience, and when an influencer promotes the brand, people feel that a real person is backing up the brand. Influencer marketing occurs on social media, which works excellently for the beauty and food industries. One example to look out for is the collaboration between Stride gum and DJ Khaled.
Reviews play a crucial role; in fact, according to reports, more than eighty percent of people search for the product online. Online reviews are one thing that consumers look out for. Also, retail sites such as Amazon make it easy for the consumer to compare products. Product ratings and reviews are essential components of sales strategies. The more reviews, the more the products get seen by consumers.
Summing up, E-commerce has gained tremendous acceleration during the pandemic, and this change has forced brands to reevaluate their customer engagement strategies. The CPG industry is competitive and crowded, so it becomes vital to stand out from the competition if one wants to be a successful CPG brand. So, follow these tips and maximize your retail performance.