CPG & eCommerce: Unpacking What Matters Most

typing cpg

Unpack What Matters in CPG & eCommerce 


Staying in front of the rapidly changing trends for eCommerce is an ever-evolving battle for the Consumer Packaged Goods (CPG) business. Consumers are increasingly turning to online options to purchase household goods, replenish their favorite snacks, and save time on the grocery chore. We see this by the explosive growth of food delivery and pick up services being offered within the grocery channel. A study done by Criteo shows that CPG is growing the fastest through eCommerce channels. There’s an urgency in the digital marketplace for CPG to attract and develop business. Through a series of blog posts, we will address how to engage and dial-into your CPG business, helping you unpack what matters most in eCommerce. We'll focus on the following:

      • Understanding Your Consumer 
      • Innovation and Reducing Barriers
      • Building Brand Equity & Market share

Reaching Your Target Shopper 

First, it's fundamental you have an understanding of who your core customer is. Understanding who your consumer is ensures you are reaching them, not missing opportunities and effectively converting clicks into sales for your business. By conducting data analysis you can be certain your brand aligns with their needs and wants. 

One leading target consumer for CPG continues to be moms. Historically, they’ve been the household CFO. Today, the description of a mom has changed dramatically. Moms are single and/or working moms, stay at home dads, over 35 years old and evolving. To stay relevant and keep business growing CPG should focus on what this broad range of moms are influenced by and examine their interests. One thing is certain, your shopper is multi-generational. How does your CPG eCommerce business attract the consumer you most want?

Consumer behavior in cpg and Amazon

Taking a deeper dive into the familiar mom shopper will enhance sales and reinforce you are reaching a target consumer. With the changing demographics of the marketplace, not segmenting the general mom group could slow down your growth significantly. Dismantling preconceived notions is vital to your e-commerce presence and making products move off the digital shelf into your shopper's hands. 

 Every consumer may have a different priority and trigger point to purchase your item. Consumers seek true value for their products. Price is not the only trigger for the purchase decision, they seek companies that align with their lifestyle and that provide a positive experience.  An easy way to conduct research is through your reviews online. Product reviews tend to have demographic data buried within them that may help you build and enhance your buyer persona. Remember, segmenting your target consumer helps cultivate your overall strategy to grow sales.

Meet the Consumer Where They Are 

The shopping is list constantly on-- via phone apps, tablets or other electronic devices that provide reminders or accessibility to your shopper. It’s critical your brand invest online to stay relevant to consumers.  You should align your eCommerce presence with these shopping habits, through promotions or content marketing. ECommerce sales made up over $517 Billion in sales in 2018 and you're looking to own a share of those sales for your CPG brand. Approximately, 40% of e-commerce sales came from mobile shopping. Your online shopper is always in-market, browsing and considering items. 

ECommerce shopping represents endless options and sales opportunities without the fatigue of brick-and-mortar crowds. Together, CPG and eCommerce co-exist to make things easier for shoppers, bringing value to their lives. Your brand should be ready to grab their attention and draw them to the online shopper's basket. Shopping online is less stressful than waiting in checkout lanes.  You may be wary of missing out on impulse buys. However, don’t despair, Business Insider asserts that while over 50% of online grocery shoppers have an idea of what they are looking for online they still report making impulse purchases, about 37% of the time⁴. 

Family online shopping

The High Intent Consumer

You have the opportunity to capture a high ROI with a high intent consumer. The online shopper is browsing purposefully.  

In today’s marketplace, we see that consumers thrive on identifying themselves with a brand. You’ve become a representation of what they care about. Take the time to understand their desires and use data analytics to develop your approach. Consumers today relish in sharing their experiences and interactions with your brand online. You may connect with your consumers through reviews and feedback online. Keeping your target consumer in mind-- coordinate campaigns with social media influencers, develop video content on how to use and enjoy your product and target platforms that your consumer spends time on. 

Your eCommerce presence is an opportunity for you to enhance your relationship with your consumer and build affinity for your brand. Focus on your consumer, educate them on your eCommerce site, not only to discover your products but to understand your brand and mission.

As you plan your tactics--- keep the spotlight on your target shopper, such as the mom we discussed earlier-- which is the bread and butter of your CPG business. Remember that transforming is key to keeping your relationship strong with your customers.  It should be your priority to optimize their experience online.

Tune in next week to learn about innovation and preventing barriers for your customer…. 

online shopping grocery cart

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