According to eMarketer, the US CPG industry will increase its digital ad spending from $9.49B to $11.1B in 2019. CPG brands face many challenges, including lack of access to point of sale data from physical retailers, and the rise of new technology such as interactive shoppable ads. At physical retailers, store brands now account for 17% of total CPG sales.
Below we take a closer look at the Fluent audience to get a better understanding of their purchase behaviors and motivations when shopping for personal care products. As a leading performance marketing company, Fluent creates immersive media experiences to engage with nearly one million consumers a day. Through these interactions, we gather information about shoppers and their purchase intent. We then use these self-declared insights to build precise audiences, helping our brand partners to connect with the right shoppers at the right time.
Audience Snapshot: CPG Shoppers
Price and quality are two major considerations for shoppers when purchasing CPG products. 55% of the Fluent audience believes that price is more important when shopping for personal care products, as compared to 45% who prioritize brand. However, 34% say they will return to a brand they have purchased from before if they are happy with the quality.
CPG Brands & Promotional Offers
When it comes to enticing shoppers to try a new brand, promotional offers or discounts are a must – and often even trump the persuasive power of a well-known brand. Over half of our audience (52%) say a free sample offer would entice them to break their loyalty and try and a new brand, outweighing other promotions like a buy-one-get-one-free offer or standard coupon.
CPG Brands & Loyalty Programs
In order to strengthen their relationship with customers, CPG brands have much to gain from launching a loyalty program. 35% of our audience are already members of their supermarket’s loyalty program, followed by 22% who subscribe to a retailer’s program, and 20% with a loyalty card at their local pharmacy. Just as free samples are a good way to get consumers to try a new CPG brand, giveaways can also act as an incentive to sign up for a loyalty program; for 24% of our audience, free merchandise is enough to convince shoppers to join.
Key Takeaway for CPG Marketers: To edge out low-cost store-brand options, legacy CPG brands must develop 1:1 connections with shoppers to prove their value and build brand loyalty.
Check out the infographic for more findings: