Winning Consumers In-Store - 1
For as long as I can remember, influencing opinions and guiding decision-making at the point of purchase have been key objectives for CPG companies. However, recent developments in the global economic landscape and rapidly evolving technology are gradually increasing the need for CPG companies to engage consumers at the moment of truth, in-store.
Why CPG companies are focusing on in-store interactions?
Here are some of the reasons I can think of -
- Consumers are now spending less in the wake of the recent financial meltdown. As a result, they have turned to private labels to maximize return on spends further weakening any brand loyalty that may have existed. Without compelling brand engagement at the point of purchase, CPG companies will continue to lose out to private labels.
- Mass broadcast marketing is passé. That's because the mass audience doesn't exist. Consumers are now organizing themselves into highly splintered groups based on varying demographics and psychographics. That's why CPG companies are turning to technology solutions that equip them to offer prospects decision-changing, context-aware marketing communication like mobile discount coupons, comparative pricing, and product information, all on the go and, most importantly, at the shelf.
- Consumer touch points and communication channels have grown exponentially. There is a pressing need for CPG companies to leverage digital-age communication networks such as social media to create a community of influencers who will be able to sway purchase decisions favorably at the moment of truth.
- Cutting-edge mobile technology and 3G handsets that enable features like location-based services, mobile TV, and video-on-demand have given consumers the power to access product information and pricing in real-time at their fingertips. However, intelligent CPG companies are utilizing this capability to engage and interact with prospects in synch with in-store technology like cellular digital signage to enhance the shopping experience.
Do you think there is much more to this list? Do let me know.
While some might say the challenges are many, these developments offer CPG companies the opportunity to leverage technology to enhance brand value, connect with consumers more than ever before, and initiate personalized promotions that people will value.
To win at the shelf, CPG companies will need the right tools to direct a consumer's shopping experience and engage them interactively using best-in-class technology.
I'm in NY today, to attend the CGT Sales & Markeing event, and am hoping to catch up with senior leaders and experts from the industry. I'm sure interesting conversations will come up and I'll keep you posted.
