Toledo is home to the Mud Hens, Tony Paco’s, Klinger and my mother-in-law. So, whenever we visit, I love doing in-person store checks in grocery stores. This morning I did a store visit of the local Kroger grocery store. As I was walking through it, I made some key observations.
Visits to grocery stores like Kroger provide key shopper insights.
1-FLOOR MEDIA: For a variety of reasons, including safety concerns and cleanliness standards, Canadian grocery retailers do not offer floor decals as part of their retailer media network solutions. Shame. Kroger had at least a dozen floor media executions that I found to be visually engaging, helped brands reinforce key messaging while directing customers to specific areas of the store.
2-CHOICE: In Canada, shoppers are generally limited in their buying choices for most CPG categories to stores private label plus one or two national brands. Not the case at most US supermarkets. For example, Kroger had an entire aisle dedicated just to cereal.
3-CROSS-MERCHANDISING: Several brands utilized a cross-merchandising strategy with shelf media placements in 2 or more aisles in store. The best example I found came from the @Mars brand Ben’s Original. In the rice aisle, the company promoted its new Street Food product by telling people they can find it in the canned food aisle. In the canned food aisle was a second shelf media ad placement promoting the benefits of the new product: new, fast and flavorful.
4-LARGE DISPLAYS: Kroger’s floor was bustling with massive, eye-catching displays placed in high-traffic areas from top-tier CPGs like @Mondelez (Oreo), @Kellanova (Pringles) and McKee Foods (Little Debbie). No doubt driving impulse purchases.
5-BACK-TO-SCHOOL: The wheels on the bus keep going round and round when it comes to display units during the back-to-school period. Kroger featured school buses from @General Mills (Nature Valley), PepsiCo (Lay’s, Doritos), @Keurig Dr. Pepper (Motts) and Mondelez (multi-brands).
What are your thoughts on these insights?
Have you noticed similar trends in your local stores?
Have any feedback on my content or just want start a conversation about shopper marketing leave a comment or email aaron@jamzmarketing.com.
Ever think about how RATINGS AND REVIEWS can provide CPG marketers VALUABLE INSIGHTS INTO CONSUMERS ACTUALLY BUYING YOUR BRAND?
I have!
And guess what? Ratings and reviews are a goldmine for consumer-packaged goods (CPG) brands looking to gain insights into shoppers. These insights are crucial for understanding customer preferences, improving products, and enhancing overall brand strategy.
Thinking about what shopper insights CPGs can glean from ratings and reviews.
5 Ways Ratings and Reviews Provide Consumer Insights
1. Understanding Consumer Preferences
Direct Feedback: Reviews provide direct feedback from consumers about what they like and dislike about a product. This helps brands understand consumer preferences and tailor their products accordingly.
Detailed Descriptions: Consumers often describe their experiences in detail, highlighting specific features they appreciate or find lacking. This granular feedback is invaluable for product development.
2. Identifying Common Issues
Spotting Trends: By analyzing reviews, brands can identify common issues or complaints. For example, if multiple reviews mention that a product’s packaging is difficult to open, this signals a need for improvement.
Prioritizing Fixes: Understanding the most frequently mentioned problems helps brands prioritize which issues to address first, ensuring that they tackle the most impactful areas.
3. Gauging Product Performance
Performance Metrics: Reviews often include ratings on various aspects of a product, such as quality, value for money, and ease of use. These metrics provide a quantitative measure of product performance.
Benchmarking: Brands can compare their product ratings and reviews against competitors to see how they stack up in the market.
4. Enhancing Product Development
Innovation Ideas: Consumer feedback can inspire new product features or entirely new products. For instance, if reviews frequently mention a desire for a specific flavor or variant, this can guide future product development.
Iterative Improvements: Continuous feedback allows brands to make iterative improvements to their products, ensuring they stay aligned with consumer needs and preferences.
5. Improving Marketing Strategies
Targeted Messaging: Insights from reviews can help refine marketing messages. Understanding what consumers value most about a product allows brands to highlight these features in their marketing campaigns.
Customer Segmentation: Reviews can reveal different customer segments and their unique preferences, enabling more targeted and effective marketing strategies.
Here is an example:
Imagine a CPG brand that sells a popular ice cream product. By analyzing reviews, they discover that while many customers love the taste, there are frequent mentions of complaints about the lack of eco-friendly packaging and a desire for a low-sugar variant. Armed with these insights, the brand can improve the packaging and introduce a new low-sugar option, addressing consumer needs and potentially increasing sales.
In my opinion, ratings and reviews provide CPG brands with a wealth of consumer insights that can drive product improvements, enhance marketing strategies, and ultimately lead to greater customer satisfaction and loyalty. 🚀
Exclusive Insights on Social Media Usage in Canada!
I’m thrilled to share some exclusive research from my friends Caddle, brought to you by ME!
Caddle Social Media Insights in Canada
In today’s digital age, social media plays a crucial role in the shopper journey. These platforms are a primary source for discovering new products, shaping purchase decisions through influencer and user-generated content, providing social proof when friends and family endorse a product, and offering compelling visual content that encourages purchase decisions.
For brands, social media provides a platform to expand brand consideration, foster direct relationships with consumers and collect valuable data on consumer preferences, behaviours and feedback to inform marketing strategies.
This is where Caddle comes in. Recently, Caddle, which boasts the largest active daily and monthly panels in Canada with 10,000+ daily active users and 100,000+ active monthly users, surveyed 9,649 Canadians. The survey, weighted by age, gender and Province, explored their usage of four key social media platforms: Instagram, X (formerly Twitter), Pinterest and Snapchat.
Here are some key insights from the research:
Among the four social media platforms, Instagram leads in popularity with 55% of Canadians using it, followed by Snapchat (53%), Pinterest (40%) and X/Twitter (27%).
Canadians are highly engaged with Instagram with 70.2% of users accessing the platform at least once daily, and 38.3% spending 1-5 hours per week on it.
Only Snapchat has a higher engagement rate with 73.4% of users on the platform daily. However, only 27.3% of users spend 1-5 hours per week on it.
Engagement rates and weekly usage rates for Pinterest (25.4%/23.4%) and X/Twitter (51.3%/26.4%) are lower than the competition.
In terms of customer satisfaction rates, Snapchat leads with 54.5% of users stating they are “very satisfied” with the platform followed by Instagram (35.4%), Pinterest (35.4%) and X/Twitter (30.5%).
A final thought: It’s essential for brands to understand that platforms like Instagram and Snapchat, with their high engagement rates, are pivotal in influencing purchase decisions. Brands should leverage the power of influencer partnerships and user-generated content to drive authentic engagement and build trust with the consumer.
_____________________________________________________________________________For more information on the Caddle go to www.getcaddle.com or reach out to Colleen Martin on LinkedIn.
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. 🚀
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.
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
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.
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.
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)
Publisac shuts down flyer service in 2023 impacting printed flyer distribution in Quebec.
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
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.
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.
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.
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.
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.
Marketing agencies operate in a dynamic and highly competitive environment where staying ahead of the curve is essential for success. In this landscape, marketing consultants serve as invaluable assets, offering expertise, fresh perspectives, and specialized skills. This blog delves into some of the myriad benefits that marketing consultants bring to agencies, spanning from augmenting the agency’s capabilities to enhancing client satisfaction and growth.
Top 10 Benefits of Hiring a Marketing Consultant
Marketing Consultants Can Help Agencies in 10 Ways
1. Diverse Skill Sets for Holistic Solutions: Marketing consultants often possess a wide range of skills and experiences in various marketing domains. These professionals can complement an agency’s internal team by bringing specialized expertise in areas such as strategic planning, digital media, content marketing, sales promotion, branding and more. The diversification of skills allows agencies to offer holistic and integrated marketing solutions to their clients, ensuring that all facets of a marketing campaign are executed with excellence.
2. Fresh Perspectives Ignite Creativity: Marketing consultants bring a valuable outsider’s perspective that can breathe new life into an agency’s creative processes. They are not constrained by the agency’s historical methods or biases, allowing them to see opportunities that might have been overlooked. Consultants can challenge the status quo, encouraging teams to think outside the box and devise innovative strategies. This fresh perspective fosters creativity and can lead to breakthrough ideas that set the agency apart from competitors.
3. Specialized Knowledge Elevates Expertise: Some marketing consultants specialize in niche industries or specific marketing tactics. Marketing agencies can harness this specialized knowledge to better serve clients in particular sectors or target demographics. This specialized knowledge is particularly valuable when agencies seek to expand their client base into new verticals. It enables them to demonstrate a deep understanding of the client’s industry, instilling trust and confidence.
Marketing Consultants Help Agencies Grow
4. Scalability in Response to Client Demands: Client workloads often fluctuate in marketing agencies, with projects of varying sizes and complexities. Marketing consultants provide agencies with a scalable resource pool. Agencies can engage consultants on a project-by-project basis, ensuring that they can meet client demands without the commitment and overhead of hiring full-time employees.
5. Client Satisfaction and Retention: By integrating the expertise of marketing consultants into their services, agencies can significantly enhance the quality and effectiveness of their client relationships. Consultants can contribute fresh ideas and refined strategies that lead to better results, ultimately boosting client satisfaction. Satisfied clients are more likely to continue their partnerships with agencies, leading to increased client retention rates.
6. Cost Efficiency: Hiring full-time employees with specialized skills can be expensive for agencies, especially when those skills are not needed continuously. Marketing consultants offer a cost-effective alternative. Agencies can access specialized expertise without incurring the overhead expenses associated with permanent staff. This cost efficiency extends beyond salary considerations. It also includes savings related to benefits, training, and equipment allowing agencies to reallocate their budgets more strategically and maximize ROI.
7. Training and Development of Internal Teams: Marketing consultants can play a role in training and developing the agency’s internal team. They can share their knowledge, provide mentorship, and facilitate workshops or training sessions to enhance the skills of in-house staff. This knowledge transfer ensures that agency teams stay updated on the latest marketing trends, technologies, and best practices. It promotes a culture of continuous learning and improvement within the agency, enabling it to remain competitive and adaptive.
8. Adaptability to Market Changes: The marketing landscape is characterized by rapid changes, driven by evolving consumer preferences, technological advancements, and shifting market dynamics. Marketing consultants are often at the forefront of industry developments, and they are skilled at helping agencies adapt to changes and emerging trends swiftly. Whether it’s adopting new digital tools, pivoting strategies in response to market shifts, or capitalizing on emerging opportunities, marketing consultants provide agencies with the knowledge and guidance needed to stay current and competitive.
9. Deliver Faster Results: Marketing consultants possess a wealth of hands-on experience and streamlined decision-making processes allowing them to swiftly identify effective strategies, mitigate common pitfalls, and optimize campaigns, ultimately accelerating results.
10. Flexible Resource Allocation: Marketing consultants offer clients flexibility of being hired on a project basis or to provide on-going support allowing agencies to access specialized expertise when needed, optimizing costs while tailoring the consultant’s role to align with evolving agency goals.
Bottomline, marketing consultants are indispensable assets for marketing agencies seeking to excel in a fiercely competitive and ever-evolving industry. Their diverse skill sets, fresh perspectives, specialized knowledge, and adaptability provide agencies with a multifaceted toolkit to thrive in a dynamic market. Whether agencies require support in specific projects, seek to enhance client satisfaction, or aim to expand their services into niche industries, marketing consultants offer a wealth of benefits that contribute to agency growth and success.
One of the questions I get asked most often by my CPG clients is “how can we improve our sales conversion rates?” via Ecommerce sites or in-store.
Typically, I advise clients that driving higher conversion rates starts in the pre-shop phase of the shopper journey by driving consideration utilizing shopper digital media with a goal of literally getting their brand on a consumer’s shopping list. Why is this so important? Well, according to a new research study from my friends at AdAdapted from their whitepaper titled “The CPG Pre-Planning Report”, shopping lists are an important part of the path to purchase.
Here are a few top-line insights:
82.1% of shoppers use a shopping list “often” or always.
80.1% of consumers use both pen-and-paper and digital grocery shopping lists.
54.3% of survey respondents use pen-and-paper while 49.6% note using a digital grocery list “often” or “always.”
Individuals across all age demographics utilize both types of lists, but Gen Z and Millennials tend to use digital shopping lists more often.
Consumers have a range of digital options available for managing their grocery lists including basic note-keeping apps (58.8%), digital grocery list apps (41.8%) and retail eCommerce apps (40.4%).
Shopping list apps are increasing in popularity with grocery shoppers
For more insights you can download a copy of AdAdapted’s full report by clicking here.
AdAdapted ads solution helps brands get on shopping lists and into shopping carts
And if you want help getting your brand onto shopping lists and into shopping carts consider AdAdapted’s media advertising solution which focuses on a new advertising genre: shopping list marketing. It is a solution many of my clients have used to drive consideration and sales lift.
A top line overview:
AdAdapted is a mobile only ad platform using patented technology.
AdAdapted’s solution allows brands to reach an exclusive shopper audience by serving ads via digital shopping list apps across North America. In the USA, there are 130 million Americans who have a grocery shopping list app on their mobile device with 46 million active users every week. In Canada, there 6.2 million Canadians who have an app with around 750,000 active weekly users.
The solution also allows brands to also serve ads on any other app on a shopper’s phone using mobile device IDs. For example, if a shopper has a digital shopping list and The Weather Channel on their mobile device, AdAdapted can serve ads to both apps.
Using patented Add-It™ technology allows shoppers to add the featured product to their shopping list app or directly to a retailer shopping cart without leaving the app.
Utilizing first-party data AdAdapted can hyper-target ads, for example, to category users, competitive brand buyersand within proximity of key retail stores.
If you want to know more about AdAdapted’s shopping list ad solution feel free to contact me at aaron@jamzmarketing.com or check out their website by clicking here.
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