Consumer packaged goods are an essential part of a consumer’s life. However, recent trends in connectivity, consumer behaviour, and direct-to-consumer choices have truly disrupted the CPG sector like never before. Customers are less loyal than before, spoilt for choice and easily navigating between old favourites and new-age brands. The battle at the grocery shelf is rife like never before. What are the trends disrupting CPG?
1. The digital-everything economy needs CPG marketers to rethink their data strategy
E-commerce has truly disrupted the CPG sector, with consumers ordering everything from medicines to other essentials from their mobile devices. COVID-19 pandemic further exacerbated this. Daily essentials that once required consumers to go to their favourite mom & pop store, into their trusted aisle, to pick up the product, now simply comes at the click of a button. This has caused consumer habits to change dramatically, as they navigate the world of choices online and choose which brands they will invest in, in every single purchase transaction.
In this new and increasingly omni-channel CPG shopping environment, CPG brands need access to data that helps identify trends and shopper behaviours at all times to be able to persuade them at the right time and at the right place.
2. Traditional promotional tactics don’t work anymore
Remember the weekend circular in the local newspaper that offered promotions on a slew of CPG products? Or those large promotional banners at point-of-sale? Well, let’s just say these traditional methods no longer work in the omni-channel ecosystem. Much before the consumer actually sets foot into the store, retailers now need to convince them to visit the store, download an app, or order online. The competition for mindshare begins much before the point of sale.
And in order to influence shoppers much before they arrive at the point of sale, CPG brands need data to run hyper-effective campaigns. For that, they need better understanding of each individual customer journey. How can CPG brands manage this?
3. The era of hyper-personalization is well and truly here
New age consumers have come to expect high levels of personalization across all their brand interactions, online or offline. The power today is in the hands of the consumer, who looks for speed, price, convenience above location or loyalty. Trained over time by the sound recommendation engines of e-commerce, consumers have come to expect the same level of personalization in their CPG shopping experiences.
But with little first party data available, how can CPG brands address the need for such deep personalization?
Customer intelligence is the answer
If we weren’t already clear, let’s spell it out now. For all the trends disrupting CPG, there is only one answer. Customer intelligence. When CPG brands have access to deep data about their customers through a sound consumer intelligence strategy, they can optimize their marketing spends, deliver personalized experiences, and meet the needs of their new-age customers.
With Lifesight’s Customer Intelligence Platform, CPG brands are no longer restricted to making educated guesses about their consumers. They are in fact –
We’re confident that customer intelligence and a sound platform that delivers it are the missing links in today’s CPG data strategy. Don’t miss the bus. Shout out for a demo, let us show you all that is possible with our CI platform!