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6 Things You Need to Know About CPG Marketing

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6 Things You Need to Know About CPG Marketing

by Anna Rodriquez, California Business Journal
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The steady advancement of consumer demands is associated with the growth of the consumer-packaged goods industry. In the CPG market, all items are accessible that buyers utilize on a day-to-day basis, and they have to be replaced constantly, like food, cosmetics, apparel, other household items, etc.

As per official reports, CPG sales in the United States in 2021 reached USD 1.56 trillion. CPG marketing includes both offline and online marketing techniques. The behavior of the end consumer can be assessed with the help of CPG marketing actions. CPG marketing strategies are crucial to creating robust brand loyalty, obtaining more revenue, and making your brand unique from the competition.

CPG Marketing: 6 Vital Things to Learn

CPG marketing is relatively vital since there are infinite resources and zero switching expenses for the consumers. Below are some vital things one should know about CPG marketing.

● Types Of CPG Marketing

When it comes to the types of CPG marketing, they are divided into organic and paid initiatives. Examples of organic CPG marketing are regular organic social media posts, content marketing, email marketing, etc. Examples of paid marketing are paid social media marketing, advertising, paid search, etc.

● Most Effective CPG Marketing Channels

As each company is unique, the best practical CPG marketing channels will be those that assist in developing better connections with the buyers in the long run. These can be advertising, customer loyalty programs, email marketing, slack channels, webpages, communities on social media platforms, etc. According to Statista, the American CPG industry in 2019 used about USD 18.44 billion for digital advertising.

● CPG Conversions

In 2021, the maximum CPG conversions came from mobile gadgets, with an increase in re-ordering. However, the CPG orders from the desktop retain more value. So, brands must concentrate on marketing good-quality products on desktop orders and contact old buyers with reminders for re-ordering on mobile.

● Online Purchasing and Product Trial

It has become crucial for CPG marketers to ensure their brand maintains a good enough online presence because buyers are shifting to online purchasing. About 75% of customers are regularly buying items online every month. In addition, nearly 73% of customers tend to purchase an item after trying it for free, so starting the product trial strategy is an incredible method to retain old buyers and attract new customers.

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● Sustainability Trend

Sustainability is becoming vital for CPG brands and items. Buyers are ready to spend more money to purchase environmentally friendly items. About 68% of customers express that it is vital that ingredients in the cleaning items they purchase are eco-friendly and natural. Moreover, 77% of buyers believe that it is crucial for CPG companies to acquire their items responsibly.

● Free Delivery Strategy

About 58% of buyers explain that free delivery is the primary reason for online buying. Free delivery is indeed vital to encourage purchasing among buyers. Presenting next-day delivery, coupons, and discounts will boost positive buyer reviews. It explains how present-day customers value low costs and convenience.

Bottom Line

The CPG industry is thriving well as more products are being added to meet customer demands. Companies must utilize practical marketing strategies to gather buyer insights, interact with consumers, and enforce a CPG marketing idea. Proper CPG marketing strategies will help with customer engagement and overall productivity.

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Anna Rodriquez, California Business Journal

Anna Rodriquez, California Business Journal

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