Example of how consumers complete a ratings and reviews on the Caddle mobile platform.

Ratings and Reviews Increase Sales Conversion for CPGs

Leave a Comment / Omnichannel, Shopper Marketing, Unified Commerce / By Aaron Richman / July 20, 2024

In today’s competitive marketplace, ratings and reviews have become an essential tool for CPGs to drive consideration and sales. Makes sense since consumers rank ratings and reviews as the #1 KEY CONSIDERATION WHEN MAKING PURCHASE DECISIONS. But there are a variety of ways brands can use ratings and reviews to their advantage.

Here is a list of the top 5:

1. Building Trust and Credibility

Authenticity: Ratings and reviews from real customers provide authentic feedback, which builds trust. Potential buyers are more likely to trust a product with positive reviews from other consumers. This authenticity is crucial in an age where consumers are increasingly skeptical of traditional advertising.

Social Proof: Ratings and reviews help consumers see that others have had positive experiences with a product reassures potential customers, making them more confident in their purchase decision. Social proof is a powerful psychological phenomenon that can significantly influence buying behavior.

2. Influencing Purchase Decisions

Peer Recommendations: Consumers often rely on the opinions of others when making purchasing decisions. Positive ratings and reviews act as recommendations, encouraging others to buy. This peer influence is especially strong in categories like beauty and health products, where personal experiences are highly valued.

Detailed Insights: Ratings and reviews provide detailed insights into the product’s performance, helping potential buyers understand its benefits and drawbacks. This information can be crucial in the decision-making process, , as it allows consumers to make informed choices based on real-world usage.

3. Enhancing Product Visibility

SEO Benefits: Ratings and reviews contribute to SEO by providing fresh, user-generated content. This improves the product’s visibility in search engine results, attracting more potential buyers. Search engines favor content that is regularly updated and relevant, and reviews help achieve this.

Higher Click-Through Rates: Products with high ratings and reviews and numerous reviews are more likely to attract clicks from search engine results pages (SERPs), leading to increased traffic and potential sales. High click-through rates signal to search engines that the product is popular and relevant, further boosting its visibility.

4. Reducing Purchase Anxiety

Addressing Concerns: Ratings and reviews often address common concerns and questions about the product. When potential buyers see that others have had positive experiences, it reduces their anxiety about making a purchase. This reassurance is particularly important for high-involvement purchases where the risk of dissatisfaction is perceived to be higher.

Transparency: Honest ratings and reviews, including both positive and negative feedback, provide transparency. This helps consumers feel more informed and confident in their decision. Transparency builds trust and can differentiate a brand in a crowded marketplace.

5. Encouraging Repeat Purchases

Customer Engagement: Engaging with reviewers by responding to their feedback fosters a sense of community and loyalty. Satisfied customers are more likely to become repeat buyers. This engagement shows that the brand values customer input and is committed to continuous improvement.

Product Improvement: Ratings and reviews provide valuable feedback that can be used to improve the product. Enhanced products lead to higher customer satisfaction and increased repeat purchases. By listening to customer feedback, brands can make data-driven decisions that enhance product quality and customer experience.

Here is an example:

Imagine a customer is considering buying a new skincare product. They read several positive ratings and reviews highlighting the product’s effectiveness and gentle ingredients. These reviews address their concerns about skin sensitivity and provide reassurance. Feeling confident, they decide to make the purchase. After a positive experience, they leave their own review, further boosting the product’s credibility and encouraging more sales.

In my opinion, ratings and reviews are powerful tools that help CPG brands build trust, influence purchase decisions, enhance visibility, reduce purchase anxiety, and encourage repeat purchases. By leveraging this feedback, brands can drive sales conversions and boost overall sales. 🚀

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I am Aaron Richman – Your Dedicated and Expert Shopper Marketing Consultant

Leave a Comment / Omnichannel, Shopper Marketing, Unified Commerce / By Aaron Richman / July 17, 2024

Aaron Richman Shopper Marketing Consultant

Hi, I’m Aaron.

Husband (33 years) to Michele Richman.

Father of two successful young men (@Zachary Richman and @Jordan Richman).

Entrepreneur and Shopper Marketing Consultant at JAMZ Marketing, founded in 2003.

I’m passionate about combining my love of sports, mentoring young people, and community service. I have been a volunteer coach, Director of House League and Board Member for several local sports organizations. Fun Fact: I even won a bronze medal in basketball for Canada as an Assistant Coach at a major international competition!

Clients and friends often tell me my personality is as colourful as the shirts that I wear.

Sharing insights and my point of view on key industry news and trends impacting the shopper marketing/omnichannel/connected commerce world is both a creative outlet and a passion. But trust me, my two-time Cannes Lions awarding winning son @Zachary Richman is the copywriter in the family.

As a Marketing Consultant my primary goal is to HELP BRANDS DRIVE SALES CONVERSION focusing on retail, CPG and technology companies within in the omnichannel space. I work with some of top agencies and CPGs) in Canada.

My expertise includes:

Shopper and retail strategy
Shopper digital media planning (RMN and RAMP)
Data analysis
Senior-level client service

I aim to provide thought leadership through my content and, when the opportunity arises, when we work together.

Currently, for the first time in several years, I HAVE CAPACITY TO TAKE ON NEW CLIENTS.

If you’d like my perspective on a trend or want to see if we’re a good fit, feel free to reach out on LinkedIn or email me at aaron@jamzmarketing.com.

Looking forward to connecting with you!

#MarketingConsultant, #ShopperMarketing, #Omnichannel, #ConnectedCommerce, #ContentCreation, #MarketingStrategy, #ClientSuccess, #CommunityEngagement #Mentorship, #Leadership #thoughtleadership #Networking #MarketingInsights #availabletowork #retailstrategy #CPG

To read more about Aaron Richman click here. To read my blogs click here.

I am Aaron Richman – Your Dedicated and Expert Shopper Marketing Consultant Read More »

5 star ratings & reviews drive sales conversions

Ratings & Reviews are #1 in Driving Consumer Purchase Decisions

Leave a Comment / Omnichannel, Shopper Marketing, Unified Commerce / By Aaron Richman / July 12, 2024

♫ Might as well admit it I’m addicted to…RATINGS & REVIEWS! ♬ Aren’t you? If so, you are among the vast majority of consumers (99.75%) who consult Ratings and Reviews when shopping online or pre-planning shopping trips before purchasing a product. (I need to meet the 0.25% who don’t use reviews! 😊)

How important are Ratings and Reviews?

Consumers rank Ratings & Reviews as the #1 key consideration when making purchase decisions (90%) ahead of family/friend recommendations (74%), search engine ranking (56%), Facebook and Instagram (28% & 26%) and brand influencer endorsements (17%).

BUT RATINGS AND REVIEWS ARE NOT JUST FOR ONLINE PURCHASES AND PRE-SHOP PLANNING!

More and more shoppers are using their mobile devices IN-STORE to research products by comparing and looking at product reviews.

A recent survey shows 84% of consumers use smartphones to look at Ratings and Reviews when considering IN-STORE purchases.

Just the other day I found myself in @Shoppers Drug Mart checking out reviews on @Google and @Amazon looking for consumer insights on an after-shave brand I had not purchased before. Focus group of one, but I purchased the product so … REVIEWS DO DRIVE SALES CONVERSION!

So, how can retailers and brands bring the power of Ratings & Reviews IN-STORE?

Recently, when exploring in-store photos on Shelfgram I came across a shelf media execution by Native deodorant that included a call-to-action of “50,000+ 5-star reviews”.

Photo courtesy of Field Agent and Shelfgram.

Also, Walmart Canada is testing digital shelf signage (see video below) that includes product and price information while integrating Ratings and Reviews. This is a splendid example of omnichannel marketing, as Walmart is making Ratings & Reviews accessible to shoppers online at Walmart.ca and in-store.

So how do you make Ratings & Reviews more easily available in-store while we wait for retailers to integrate digital signage?

Simple.

Integrate a QR code into your shelf media, POS, displays and packaging with a call-to-action to check out Ratings & Reviews. For brands already using QR codes to drive shoppers to receipt validation contest pages, recipe sites and brand pages this tactic is a no-brainer. While you’re at it, add a QR code linking to Ratings & Reviews in your flyer ads too!

Plus, if you want to gain insights into shopper engagement with QR codes check out Tapscan, which offers a platform featuring real-time reporting on shopper engagements by retailer, time day/week, language, location and more.

Finally, there are a lot of companies that offer Ratings & Reviews services in Canada to help brands drive consideration and sales conversion. Caddle, Field Agent, Samplesource and Shopper Army just to name a few.

Therefore, if you want to engage a leading Shopper Marketing Consultant to help navigate the Ratings & Reviews world, check out my contact information on my website or LinkedIn profile and let’s start a conversation.

Sources: Power Reviews, Uniqode

Native deodorant photo courtesy of Shelfgram and Field Agent Canada.

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Coors beer near-pack, gift with purchase program

The Lost Art of Near-Pack Gift Programs

Leave a Comment / Shopper Marketing / By Aaron Richman / June 17, 2024

I was in my local LCBO liquor store over the weekend and noticed a display featuring a Coors beer near-pack gift with purchase (GWP) program. Coors was offering shoppers a free cowboy hat with the purchase of two 6 packs of beer as part of sponsorship program with the popular Boots and Hearts — Canada’s largest multi-day country music and camping festival.

coors1 1 — Coors beer near-pack, gift with purchase program featured display at LCBO stores

As I looked at the display, I realized outside of the liquor store channel, near-pack GWP programs that offer shoppers immediate incentives to drive sales conversion, have become a thing of the past for CPG brands. Especially, in the grocery channel where delayed incentive GWP offers using a digital receipt upload as a proof of purchase method reign supreme.

At one-time near-pack GWP programs offered CPGs and retailers many benefits including

1.Increased Basket Size and Order Value: Customers were often motivated to reach a certain spending threshold to qualify for the free gift, which can lead to an increase in the number of items they purchase on a particular shopping trip.

2.Enhanced Brand Perception: Offering a gift with purchase would improve customers’ perception of the brand’s value, as it doesn’t devalue the products like discounts might.

3.Boosted Sales and Competitive Advantage: These programs can drive impulse sales and give retailers a competitive edge by offering something extra that competitors may not

Coor beer offering free cowboy hat with purchase

Now the prevalence of near-pack GWP promotions, has declined which has me thinking about the reasons why. Here are five reasons:

Cost and Profit Margins: Implementing near-pack gift programs can be expensive for both manufacturers and retailers. The cost of producing, packaging, and distributing the additional gift items can significantly impact profit margins. Given the highly competitive and low-margin nature of the grocery industry, many companies prefer to avoid these extra costs.

Operational Challenges: Coordinating gift with purchase programs involves logistical complexities. Ensuring the gifts are properly attached to or included with the main products, preventing theft, and managing inventory can be challenging. These operational difficulties can deter grocery stores from running such promotions.

Consumer Preferences: Modern consumers may prefer immediate price discounts or digital promotions over physical gifts. Digital coupons, loyalty programs, and personalized discounts offer more flexibility and convenience, aligning better with contemporary shopping habits and preferences.

Environmental Concerns: There is growing consumer and corporate awareness regarding sustainability and environmental impact. Near-pack gifts often involve additional packaging, contributing to waste. As companies strive to meet sustainability goals and cater to eco-conscious customers, they might avoid promotions that lead to increased packaging waste.

Effectiveness and Alternatives: The effectiveness of near-pack gift promotions in driving sales may have diminished over time. With the advent of sophisticated marketing strategies, data analytics, and personalized marketing, retailers and manufacturers can more effectively target promotions to specific consumer segments. This targeted approach can yield better results compared to the broad-brush method of near-pack gifts.

Immediate incentive free gift offers being replaced by receipt upload promotion tactic — Receipt upload promotion tactic being used frequently for free gift offers

In summary, while near-pack gift with purchase programs can be appealing, their decline in grocery stores is attributed to cost, operational challenges, changing consumer preferences, environmental considerations, and the availability of more effective promotional alternatives.

The Lost Art of Near-Pack Gift Programs Read More »

Printed flyers in Quebec impacted by shutting down of Publisac

Grocery Shoppers Moving to Digital Flyers as Readership Increases by 20%

Leave a Comment / Shopper Marketing / By Aaron Richman / June 14, 2024

Printed flyers, often found in mailboxes, rolled-up in elastic bands on doorsteps, or tucked within the pages of our community newspapers, are a familiar sight, offering shoppers discounts and promotions on grocery products from local supermarkets. In Canada, the distribution of printed flyers has historically served as a significant promotional strategy for retailers and CPG brands, providing a potent means for businesses, to reach and engage consumers to drive pre-shop consideration and get products on the weekly shopping trip list. However, traditional printed flyer distribution methods have been disrupted in the last 12 months leaving millions of households in Canada without access to flyers highlighted by two major developments.

First, in Quebec, the owners of Publisac shut down its flyer service after 45 years leaving over 2 million households without (see story here: https://rb.gy/eeojmv).

Second, in Ontario, the Toronto Star’s sister company Metroland Media Group announced it was closing print production of 71 community newspapers with only a handful continuing to publish online. (see story here: https://rb.gy/12moyy)

As a result, Canadian shoppers are increasingly using digital methods to seek out weekly grocery deals through retailer websites, retailer apps and third-party platforms like Flipp who aggregates weekly ads, deals and coupons from various retailers into one convenient location. Recently, Flipp, in partnership with Angus Read, released its 10th Annual Flyer Readership in Canada 2024 research study which shows:

*83% of Canadian shoppers report reading flyers; a decrease of 3 percentage points in the last year.

*Digital flyer readership increased +20% in the last year

*For the first time ever, digital flyer readership exceeds print flyer readership in all age groups.

*Overall, 54% of Canadian household shoppers read only or mostly digital flyers. This number increase to 77% for Gen Z and 75% for millennial shoppers.

*Among all digital flyer readers, the top 3 sources of the digital flyer are 1) retailer websites (48%), retailer apps (38%) and Flipp (32%)

To get a full copy of the Flipp readership study you can click here: https://rb.gy/ijc9o8

The Flipp app is a one-stop marketplace for deal in digital flyers. — Flipp app allows grocery shoppers to browse digital flyers with local deals.

Flipp helps retail and CPG partners create, curate and distribute local promotion and savings content to millions of highly-engaged shoppers every day through its mobile app.

In my opinion, digital is the future for flyer readership in Canada. And what excites me the most is technology from companies like Aristid whose software platform enables retailers to personalize millions of flyers every week for individual shoppers based on purchase behaviour. This allows retailers to deliver a flyer with the right product mix, at the right time, at the right price adjusting for local store pricing and product assortment with updates based on inventory levels.

To learn more abour Aristid click here: https://rb.gy/f3oz2xUntil next time, thanks for visiting.

Grocery Shoppers Moving to Digital Flyers as Readership Increases by 20% Read More »

QR Codes Are Changing the Way CPG Engage Shoppers in Grocery Stores

Leave a Comment / Shopper Marketing / By Aaron Richman / June 5, 2024

QR codes increasing popular with CPGs to engage shoppers in store. — QR codes increasingly popular with CPGs to engage shoppers in store.

“SCAN ME!”

These two short words are enhancing shopping experiences with Consumer Packaged Goods (CPG) brands in grocery stores every day. The reason? There’s a growing trend among CPG brands to incorporate QR codes into their product packaging, point-of-sale materials, displays, and shelf advertising.In fact, according to the 2023 Bitly QR Code Trends Report, QR code creation in the retail and CPG industries grew by 88% year-over-year.

But why are CPG companies accelerating their use of QR codes?

CONVENIENCE: with a simple scan using a smartphone camera consumers can access a wealth of information at the point of purchase.

ENHANCED SHOPPER ENGAGEMENT: QR codes allow brands to easily distribute relevant content such as videos, recipe ideas, savings offers and contest details.

PERSONALIZATION: QR codes can be programmed to deliver personal content based on location, day of week, daypart and more, all helping to build brand loyalty.

ADAPTABILITY AND VERSATILITY: The content linked to a QR code can be updated without changing the code itself allowing CPG brands to keep content current and

DATA COLLECTION AND ANALYTICS: QR codes are a gateway to valuable first-party consumer data for CPGs. Each scan can be tracked, providing insights into consumer behavior, preferences, and the effectiveness of marketing campaigns.

QR code growth by industry (Source: Bitly)

How are your brands using QR codes? Let me know in the comments. In the meantime you can check out the full Bitly 2023 QR Code Trends Report by clicking here.

#qrcodes #shopperengagement #omnichannel #shoppermarketing #marketingconsultant #personalization #retailmarketing #cpg

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IOGO Promotion Puts a Twist on Gift with Purchase Programs

Shopper Marketing / By Aaron Richman / June 4, 2024

As I was completing my weekly online store check on Shelfgram this morning, the pictured IOGO yogurt aisle blade sign grabbed my attention. Initially, the blade’s design with its well-balanced blend of colours and big, bold $10,000 call-to-action attracted me to read more. The same way, I suspect, it catches the attention of a shopper in-store.

Shelfgram Your Independent Grocer Saskatoon Canada 2024 06 01T111450

Expecting details of a receipt upload contest to follow, I was pleasantly surprised to discover the unusual approach that combined two sales promotion tactics: a gift with purchase and instant win. Specifically, if a consumer buys 2 participating IOGO products and uploads the receipt they will earn a free snack bag. The intriguing twist? One of the bags contains “golden ticket” — a hidden $10,000 prize — an innovation I do not recall seeing before.

And if the GWP / instant win are not enough to drive sales conversion, IOGO further entices shoppers with an instant redeemable coupon (IRC) offering a discount of $1.50.

To recap:

* Free gift with purchase
* A chance to win $10,000
* Save $1.50 now

I like this promotion as it taps into the insight that a significant number of Canadian shoppers are actively seeking out discounts and promotions when shopping for groceries (6 in 10 according to a recent Caddle research study). While the effect of the $10,000 prize on the redemption of the free snack bag offer remains to be seen, it’s an exiting addition that could potentially increase consumer engagement. Despite traditionally low participation rates in receipt upload offers and contests, perhaps this substantial prize could be a game-changer that boosts involvement.

Well done Aliments ULTIMA Foods inc. and agency!

hashtag#retailmarketing hashtag#shoppermarketing hashtag#omnichannel Jared Kligerman hashtag#contests hashtag#research hashtag#contests hashtag#shopperinsights

The Caddle research can be found here: h t tps://shorturl.at/w2c8j

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Shopper Digitial Media ad spend in Canada is on the rise

Growth in Shopper Digital Media: Exploring the Dynamics of RMN vs. RAMP

Shopper Marketing / By Aaron Richman / May 17, 2024

The digital advertising landscape in Canada is witnessing remarkable growth within Retail Media Networks (RMN). According to IAB Canada, RMNs in Canada continue to grow with projections for 2024 indicating ad spend will reach $3.15B in Canada representing 25.9% YOY growth. By 2026, it is anticipated that RMNs will command 25% of all digital ad dollars!

The surge is being led by CPG clients who capitalize on RMNs to leverage a retailer’s first-party data, enabling them to deliver targeted ads with relevant messaging to specific shoppers, thereby helping to drive higher sales conversion rates. (Of course, a handful of omnichannel marketing friends tell me they have no choice but to invest😊) In Canada, Amazon Media, Walmart Connect and Advance Powered by Loblaws lead the RMN industry.

RMN Benefits — Shopper Digital Media: Benefits of retail media networks or RMN

On the flip side, Retailer Agnostic Media Platforms (RAMP) carve out their own niche in the digital ad landscape. RAMPs empower brands to connect with a broader, more varied shopper audience, free from the constraints of a singular retail ecosystem. Plus, many RAMPs, including companies like Flipp, ShopLiftr, AdAdapted and GenesisX, provide innovative ad formats offering fresh and engaging advertising experiences.

RAMP Benefits — Shopper Digital Media: Benefits of Retailer Agnostic Media Platforms

In my view, striking a balance between RMN and RAMP ad solutions is key. A dual-strategy approach offers:

1. A harmonious blend of targeted and broad reach.

2. Increased flexibility to switch between RMN and RAMP based on their performance metrics.

3. The ability to engage shoppers throughout their purchasing journey.

I’m curious about how others approach a digital media strategy for shoppers. How do you navigate the RMN and RAMP landscape? Share your insights in the comments section below!

IAB article here: https://shorturl.at/PIWUN
Flipp info here: https://corp.flipp.com/platforms/
ShopliftR info here: www.shopliftr.com
AdAdapted info here: https://www.adadapted.com/
GenesisX info here: www.genesisx.com

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Shoppers Angry at Food Prices Consider Boycott of Loblaw Banner Stores Starting May 1

Shopper Marketing / By Aaron Richman / May 1, 2024

NEWSFLASH: Canadians are mad as hell (about high food prices) and a group of Ontarians are not going to take it anymore– at least from Loblaws! According to a story on CTV News last night, over 60,000 people have signed a petition on Reddit, Inc. to boycott all Loblaw Companies Limited banner stores in May as a way of voicing their displeasure with rising prices.

Will the boycott have any impact?

No!

Is Loblaws being unfairly targeted as prices and profits are just as high at other grocery retailers including Sobeys, Metro and Walmart Canada

Yes!

As Dr. Sylvain Charlebois eloquently explains the group is aiming its frustration at the wrong problem stating, “it is not about the consumer at the store, it’s about the supply chain bullying happening between Loblaw, Walmart and suppliers…and it needs to be fixed.”

But whether it is corporate greed or supply chain causing food prices to go up, Canadians are struggling and looking for help to save on weekly grocery shopping trips. According to a recent research study by Caddle:

· 60% ALWAYS seek out discounts and promotions when grocery shopping.
· 62% have switched stores to get a discount.
· 61% find out about discounts and promotions via flyers.

No matter the outcome of the boycott, the issue of high food prices persists as a significant challenge in need of a resolution.

REDDIT BOYCOTT PAGE HERE: https://tinyurl.com/4a2bjsx7

CTV STORY HERE: https://tinyurl.com/yc23d4rw

CADDLE RESEARCH STUDY HERE: https://tinyurl.com/2pxxkvs3

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Omnichannel Marketing Trends for CPG in 2024

Leave a Comment / Shopper Marketing / By Aaron Richman / December 28, 2023

omnichannel marketing trends for 2024 — Omnichannel marketing trends 2024

As 2023 comes to a close, I want to share with you my top three trends that will shape omnichannel marketing in 2024:

1. Prioritize Value Offers: In the current economic landscape, for the foreseeable future, consumers are going to be budget-conscious in order to stretch their grocery budgets. As a result, Consumer Packaged Goods (CPG) companies must put together an omnichannel marketing plan to reach shoppers pre-shop and in-store with aggressive value-based offers such as price promotions, coupons (digital or IRCs), bonus loyalty points offers, contests and more to drive sales conversion.

Air Miles Receipts and Walmart Coupon Centre are two new options available to omnichannel marketers to reach shoppers with an added-value offer

2. Retailer Media: The seismic shift of advertising dollars towards retail media will undoubtedly continue in 2024. The draw of first party sales data allowing CPG brands to reach key target audiences with relevant offers while in the shopping mode is challenging to resist. Plus, with the huge financial investments being made by the likes of Walmart and Loblaws, the shopper experience is only going to improve next year.

RMN image — Retail media is becoming a key component of the omnichannel marketing playbook.

3. Generative AI: The advancements in generative AI technology will allow CPGs to become more efficient when it comes to omnichannel marketing. AI will help marketers to do such things as map out new shopper journeys, introduce new product innovation, identify the most profitable target audiences and personalize offers leading an increase in ROI.

I am interested in what you see as the key trends next year in omnichannel marketing, so leave a message in the comments section.

Until next time, I wish everyone a happy and healthy holiday season.

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