What Is CPG Marketing and Why It Matters

Step inside any convenience store and you’ll discover a litany of selection for potato chips. They can be thick, thin, wavy, or flavored, but at the complete of the day, they’re all potato chips.

customer packaged goods (CPG), like potato chips, are easily replaced, regularly used, and commonly purchased. To get shoppers to buy your product over your competitor’s, you require a powerful marketing schedule. The correct language, logos, and advertisements can assist a product stand out from the competition.

discover more about how customer packaged goods companies use marketing to construct brand identity, boost sales, and differentiate their products in a crowded marketplace.

What is CPG marketing?

CPG marketing is how businesses promote customer packaged goods to the buying community. CPG marketing can serve a variety of business goals—such as increasing brand awareness and influencing customer behavior—but it has one overarching purpose: to sell more goods.

Effective marketing strategies are essential for CPGbusinesses looking to stand out in a marketplace that has seemingly unlimited offerings.

customer packaged goodscompanies are businesses that sell products consumers use regularly and replace often. CPG product categories include food and beverage items, household supplies like cleaning products, cosmetics, and over-the-counter medications.

Challenges of the CPG industry

• Product differentiation
• Changing customer preferences
• Changing customer behaviors
• customer relationships

Succeeding in the customer packaged goods industry requires a stellar product, a flexible throng, and a compelling marketing schedule. These are some of the challengesCPG marketers confront:

Product differentiation

The CPG industry is highly competitive. There are many similar options in any given product category, and CPG brands may battle to draw attention to themselves as a outcome. Developing an effective differentiation schedule helps to distinguish your product from the competition. This marketing habit focuses on creating a distinctive brand identity to connect with consumers.

Changing customer preferences

Legacy CPG brands may have trouble adapting to changing customer preferences. The beverage industry, for example, has seen a spike in demand for well, sustainable products in recent years, according to a update by Nielsen. When customer desires shift, CPG brands may have to alter their product or develop recent marketing strategies to remain relevant.

Changing customer behaviors

The popularity of online shopping has ballooned in recent years—online sales in the CPG industry increased from 4% to 10% between 2019 and 2022. This shift in customer behavior presents an chance and a test for CPG companies—especially those who depend on in-person shopping to drive sales. As a outcome, brands have to adjust their marketing strategies in order to reach people online. For example, online advertising and social media are key tactics for CPG companies.

customer relationships

Consumers today have a plethora of choices, and this abundance can make it challenging for CPG companies to construct powerful relationships. With CPG, customers may prize convenience and expense over brand loyalty. powerful brand marketing can assist cultivate an emotional connection by engaging customers in meaningful interactions and providing personalized, relevant content.

CPG marketing strategies

• Digital marketing
• Offline marketing
• In-store marketing
• Social media marketing
• Omnichannel marketing
• Experiential marketing
• Influencer marketing
• Content marketing
• Insights-led marketing

CPG marketing can assist your brand distinguish itself from competitors and be top of mind when customers are making purchases. Here are some CPG marketing strategies to consider:

Digital marketing

Businesses use digital marketing to promote a product or service online. This includes marketing activities such as paid search, paid social, display advertising, and email marketing. A solid digital marketing schedule can assist CPG brands reach customers shopping online. This broad marketing category encompasses many of the techniques listed below.

Offline marketing

Offline marketing is all non-digital promotions. Offline CPG marketing efforts can include billboard ads, print advertisements, radio spots, and TV ads, the latter still being where CPG companies spend the most.

In-store marketing

In-store advertising continues to be a crucial way for brands to distinguish themselves, as 90% of CPG shopping happens offline. Having endcap displays, free samples, and in-store promotions are effective offline marketing strategies that can influence shoppers at the period of purchase.

Social media marketing

CPG companies can use social media marketing to construct an online throng, interact with customers, and participate in trends. This includes paid social media marketing, organic social, and influencer marketing campaigns. Maintaining social media accounts lets CPG companies communicate directly with faithful customers by replying to posts or resharing user-generated content.

For some companies, social media is a chance to showcase a different side of their personality. CPG brands like MoonPie and ancient Spice have achieved viral achievement by sharing humorous, organic social media content. Others, like well ramen brand immi, focus on product education and brand stories.

Omnichannel marketing

Omnichannel marketing is a blend of offline and online marketing. For CPG brands, it’s a way to meet consumers wherever they are. Omnichannel marketing focuses on establishing a consistent brand identity across a variety of customer touchpoints.

Imagine that you own a CPGcompany selling probiotic thrill fruit gummies. If your product is available in stores and online, you could use omnichannel marketing to run online advertisements and purchase complete-of-aisle displays in grocery stores.

With this way, you make multiple customer touchpoints. Consumers who saw your ads online may be more likely to pick up a product in the store. Customers who saw the store display will have a tangible recollection of your product if they view online ads.

Experiential marketing

Experiential marketing involves inviting customers to participate in real-globe or virtual events. This schedule aims to construct deep connections with customers by creating memorable, positive experiences. For CPG companies, an in-person marketing occurrence can also provide customers with an chance to view or even sample your product. Brand activations like pop-up shops and live events are examples of experiential marketing techniques.

Experiential marketing activities are often creative and whimsical. A CPGcompany selling affordable, nutritious frozen waffles, for example, could stage a brand activation by attempting to set the globe record for the tallest stack of waffles. The brand could invite local residents to watch the waffle tower construction in person and livestream it on social media for far-flung fans, garnering eyeballs and media coverage.

Influencer marketing

Partnering with influencers to promote products on social media platforms or blogs can assist CPG companies reach an engaged spectators. Influencers often focus on a specific type of content such as trip, food, or wellness. Working with a relevant influencer ensures that your marketing messages reach the correct demographic. A toothbrush corporation, for example, might discover achievement by partnering with a trip influencer.

Content marketing

Content marketing is the procedure of creating and sharing original written or visual material to appeal to your spectators. This schedule can deepen relationships by engaging consumers with fascinating, appealing content. It primarily consists of organic content—material that is distributed without paid advertising promotion. Organic CPG marketing materials may include blog posts, videos, tutorials, or recipes.

Insights-led marketing

This CPG marketing schedule relies on data-driven selection-making. Marketers collect and analyze data to boost deeper insights into customer behavior. CPG brands can debt this information to assist make marketing decisions.