Category: b2b

How to engage customers in the shopping aisle with mobile technology

Posted on by shopkick

Mobile technology is an integral part of determining how to engage customers in the shopping aisle. Consumers consistently carry their smartphones with them as they shop and typically, they use their mobile devices to enhance their in-store experience. In fact, one survey showed that 77% of consumers used their phones while in the shopping aisle to gain product information and find deals. Brands that wish to engage consumers during these pivotal moments need to take advantage of mobile-based opportunities to share product information, gain attention, and influence consumer decisions at the point of purchase.

It’s said that “location is everything” when it comes to sales, but in today’s retail climate, location is dynamic. Brands creating a shopper marketing plan must account for the constant movement of consumers. Mobile allows brands to capitalize on that movement and encourage consumers to interact with products while in the store. As the likelihood of purchase increases based on a product’s proximity to the customer, mobile can provide several opportunities to drive consumer interest which many other digital marketing methods can’t.

Influencing Customers With Psychological Cues

Marketers have studied psychological cues and how they impact consumer behavior since the free market began. Everything from the color of a product to the way it physically feels in hand can influence how a consumer reacts to the brand. Mobile can be a crucial part of this process, as it allows brands to leverage several sales-driving cues, including:

  • Scarcity: These days, scarcity is more often referred to by the new phrase “fear of missing out” or FOMO. It uses limited-time opportunities to encourage consumers to engage with a brand. When the consumer knows they only have a limited amount of time to cash in on a deal or event, they’re likely to act more quickly. CoverGirl took advantage of this on National Lipstick Day, which fell on July 29 this year. The cosmetic company partnered with Target as well as a mobile app to offer a 25% discount on certain lipsticks to celebrate the event. The limited time offer drove interest in the brand and prompted consumers to act fast, which quickly led to increased sales.
  • Reciprocity: Reciprocity is a strategy that most shopping apps, like Shopkick, use. When an individual receives something from a person, brand, or business, they feel the urge to return the favor. Brands can use rewards points, which are typically available through shopping apps, to trigger this reciprocity. With Shopkick, consumers can gain kicks (rewards points) for scanning items in the store. The mobile program leverages reciprocity while encouraging consumers to seek out products in the shopping aisle. The physical process of handling the item and receiving a reward primes consumers for purchase, which increases the likelihood of a returned favor, or a purchase.
  • Authority: Consumers often turn to their smartphones for advice when they’re in the store. Brands that display authority through a helpful mobile strategy can build consumer trust. An excellent example of this comes from the well-known pasta company, Barilla. The brand provides an informative online experience which offers a wide range of recipes to consumers—even those who may not have extensive cooking skills. It also includes simple but useful information, like how to decipher between different types of pasta, and which pastas best compliment each sauce. By helping consumers discover new recipes and increase their knowledge of pasta, Barilla becomes an authority the consumer can trust, which improves engagement and brand affinity.
  • Social proof: Social proof works by using word-of-mouth to encourage consumers to follow a specific trend. When consumers talk about a brand favorably, these brands should seek out ways to capitalize on this buzz. Social proof can be best understood through the Pringles flavor stacking campaign. The brand noticed that many consumers were reposting videos of individuals “stacking” Pringles chip flavors to create unique combination flavors of their own. When consumers caught on to the clever idea, they were quick to try out the stacking for themselves. Pringles decided to use that trend to leverage further sales, and even created an interactive web-based experience where users could virtually combine Pringles chip flavors. When Pringles effectively took advantage of social influence, consumers engaged with the brand, learned about its offerings, and shared that information with others.

How to engage customers in the shopping aisleMobile marketing acts as an ideal way to capitalize on psychological cues as it’s rapid, dynamic, and scalable. Brands can simultaneously leverage several of these cues through the use of mobile apps, increasing their overall marketing impact. Of course, brands may not have the budget, time, or ability to create a proprietary app. Luckily, third-party apps like Shopkick allow brands to capitalize on trends while maximizing their marketing ROI.

How to Engage Customers Using Third-Party Apps

Third-party apps can provide an opportunity for brands to connect with a new audience of consumers. These apps are typically designed to leverage multiple cues like scarcity, reciprocity, authority, and social proof, so that brands can maximize their marketing efforts.

Additionally, third-party apps take the responsibility of finding an audience off of the brand. Shopping rewards apps generally have a built-in user base, as consumers seek out unique, mobile ways to earn rewards for shopping. By partnering with one of these developers, brands can gain the attention of an active audience of shoppers, further expanding their marketing reach.

Knowing how to engage customers using mobile apps can be tricky, as brands don’t want to be invasive with a consumer’s private information.

Knowing how to engage customers using mobile apps can be tricky, as brands don’t want to be invasive with a consumer’s private information. However, mobile is vital for capitalizing on several critical psychological cues which effectively drive sales. By partnering with a third-party app provider, brands can discover ways to engage with a new audience of consumers.

Shopkick offers our partners the opportunity to connect with potential customers when they’re most receptive to psychological cues which drive sales. For more information on our innovative app and how it can help engage consumers on behalf of your brand, contact us.

Image courtesy of Rawpixel

Leveraging These Consumer Engagement Strategies Could Mean a Boost in Sales

Posted on by shopkick

Leveraging These Consumer Engagement Strategies Could Mean a Boost in Sales

Get In Touch

There are numerous consumer engagement strategies that brands can use to improve sales, though some are more effective in the CPG sector than in others. The key is to encourage the consumer to interact with your brand or product in a way that piques their interest. This strategy can urge consumers to interact with products physically or boost brand recognition with branded content. In either case, the more engaged a consumer is, the more likely they’ll be to purchase a product.

Consumer engagement can have an additional benefit for brands by allowing them to leverage consumers as micro-influencers. When a brand offers an interactive opportunity, those consumers will likely want to share their experience with their friends. Consumers often do so through social media, or other online platforms. This allows brands to increase awareness and affinity, which is the first step to creating an ongoing sales relationship with consumers. Here, we explore several consumer engagement strategies which brands can use to improve their sales both online and in stores.

#1: Offer Free Digital Samples

While free samples are a very traditional form of marketing, they can also be expensive and difficult to scale. A more effective and cost-efficient way to satisfy consumer trial needs is through the use of virtual samples. To do so, brands can leverage an augmented reality marketing strategy to assist consumers in making decisions about products.

Target’s Beauty Studio provides an excellent example of this, as the retailer took a category of products that are often sampled first by consumers and made that sampling process digital. Using Target’s web-based app, consumers can try on different types and shades of makeup virtually. Target also offers this feature on kiosks in ten of its retail stores—with plans to expand to more locations. This strategy allows both in-store and online advertising and eliminates the high cost of stocking samples. There are many benefits to using this innovative strategy, including the following.

[siteorigin_widget class=”SiteOrigin_Widget_Features_Widget”][/siteorigin_widget]

Digitizing Customer Service

In the past, customers in the cosmetics section of a store would seek out the help of a sales associate, which often meant they would have to wait for one to become available. Through digital kiosks, customers can easily receive advice and information on cosmetics without the need to locate an in-store associate.

[siteorigin_widget class=”SiteOrigin_Widget_Features_Widget”][/siteorigin_widget]

Offers Scalability

The final, and arguably best benefit of digital samples is their scalability. Brands can deliver virtual samples to 100 customers as quickly as they can to 100,000. This scalability makes this free, digital sample tactic much more cost effective for brands and retailers alike.

[siteorigin_widget class=”SiteOrigin_Widget_Features_Widget”][/siteorigin_widget]

Minimizes Waste

As soon as a product has been opened, it shouldn’t be sold. This safety concern is particularly prevalent in cosmetics as many consumers want to try out products, but not all stores will have a dedicated sample. This often leads to broken seals, contaminated products, and wasted inventory.

Additionally, stores that do offer makeup samples must continuously clean to ensure these areas stay hygienic and appealing to consumers. With digital samples, cleanup is minimal, as is waste from used samples.

#2: Create Consistency With Integrated Marketing

Integrated marketing is an excellent way to connect with consumers by creating a consistent digital presence. Through this strategy, brands create a tone for their content which is seamless across multiple platforms, whether they’re sharing video content on YouTube or sending direct messages on Twitter to new sales leads.

Red Bull provides a great example of creating a consistent presence even across the brand’s extensive digital portfolio. The brand’s overall tone is exciting, young, and high-energy—which works very well when selling an energy drink. Red Bull sponsors many extreme sports events and partners with a variety of sports figures like Swedish skier Jennie Lee Burmansson and US base-jumper Luke Aikins. Through online communications, the brand maintains its familiar high-energy tone by sharing information with hashtags like #epic, #inspirational, and #esports. There are several components of Red Bull’s strategy which other brands should consider implementing to their own events to increase consumer engagement, including the following.

[siteorigin_widget class=”SiteOrigin_Widget_Features_Widget”][/siteorigin_widget]

Use Diverse Spokespeople

While Red Bull typically targets athletes, the spectrum of individuals that they use to advertise is diverse and extensive. They choose individuals from many different countries, age groups, demographics, and backgrounds to promote their marketing messages.

[siteorigin_widget class=”SiteOrigin_Widget_Features_Widget”][/siteorigin_widget]

Prominently Display Logos

In every sponsored video, piece of content, or event, the Red Bull logo is noticeable without being intrusive. A prominent display of logos ensures a consistent branded experience and provides ongoing brand recognition.

[siteorigin_widget class=”SiteOrigin_Widget_Features_Widget”][/siteorigin_widget]

Choose Proper Product Placement

When Red Bull sponsors a sporting event, the brand doesn’t rely solely on posted banners or logos on uniforms. The brand also uses product placement by simply displaying images of people holding Red Bull cans or drinking from them.

 

#3: Provide Rewarded Video

Rewarded video incentivizes consumers to watch through advertisements in exchange for digital goods—usually in the form of shopping rewards. Rewarded video works because it takes the invasiveness out of the advertising experience. In most cases, advertisements interrupt consumers when they’re either trying to watch a video, play a game, or view other content. By first getting their permission to play advertisements, brands eliminate the interruption, which reduces the frustrations that consumers may feel with ads.

In one study, consumers preferred rewarded content over non-rewarded content at a ratio of four-to-one. While this feature is most popular in gaming apps, it’s also one which works in shopping apps. By incentivizing videos, brands can build affinity and engage consumers on a deeper level.

#4: Host Digital Scavenger Hunts

Digital scavenger hunts offer brands a way to encourage individuals to seek out their products in the store. This is a strategy Shopkick leverages by allowing users to gain kicks (rewards points) with or without purchase. Shoppers can get rewards by merely seeking out a product, picking it up, and scanning the UPC.

By encouraging the consumer to pick up the product, they become familiar with its physical feel and features, making them much more likely to make the purchase. Mobile apps like Shopkick can act as a map to drive sales, guiding consumers to specific products and incentivizing them to interact with and ultimately purchase them. Shopkick also offers an additional reward for purchase which further incentivizes sales.

#5: Build Social Media Events

Creating a social media event is an excellent new product marketing strategy which can be used to roll out a new release or pump some enthusiasm into an old one. By connecting with consumers online and hosting interactive events, brands can increase engagement and expand their audiences. This strategy has been leveraged by Bacardi several times, and has allowed them to build awareness of products by encouraging the contribution of user-generated content.

Very recently, Bacardi decided to test out the new IGTV feature on the popular social media platform, Instagram. In doing so, they created significant buzz for their brand. On June 29, 2018, Bacardi held a major marketing event featuring two Instagram influencers, Les Twins, who have 970,000 followers on the site. The event centered on a music video which fans helped to direct by voting on features like locations, choreography, lighting, camera angles, colors, and more. The interactive event gained a lot of attention while also boosting engagement. Bacardi saw such great success with this event by utilizing the following strategies.

[siteorigin_widget class=”SiteOrigin_Widget_Features_Widget”][/siteorigin_widget]

Leveraging Influencers

The Les Twins are very active on Instagram and were also winners in the World of Dance competition. Through their mass following, Bacardi was able to gain considerable attention for the event.

[siteorigin_widget class=”SiteOrigin_Widget_Features_Widget”][/siteorigin_widget]

Encouraging Audience Participation

By allowing the audience to vote on the event, the brand was able to draw greater attention and boost interaction. Consumers felt a connection to the content because they helped create it, further strengthening brand affinity.

[siteorigin_widget class=”SiteOrigin_Widget_Features_Widget”][/siteorigin_widget]

Cross-Channel Promotion

Bacardi rolled the program out on IGTV but also shared it via Instagram story, as well as on YouTube. This strategy allowed Bacardi to continue gaining views and participation even after the event ended.

#6: Focus on Local Markets

While online shopping is a popular option, brick-and-mortar locations offer something which online sales cannot; the ability to localize search results. According to Google, searches which include the term “near me” have tripled in the past two years. Also, 80% of individuals who want items in a hurry will go to the store to get them, even if there is expedited shipping available.

For brands, it is necessary to find a way to adjust search results based on the most active local markets. When a consumer is looking for a product in a specific category of goods, clarifying that this product is available in their local area is imperative. This could include an option that allows consumers to check a brand’s website to find local stores that carry specific products. Brands can also consider leveraging mobile apps with location-based messaging. When using a proximity marketing or location-based app, search results are automatically adjusted based on the consumer’s area. Location-based marketing allows brands to take advantage of local markets where their products may perform particularly well.

 

#7: Remarket to Former Customers and Browsers

Remarketing provides compelling opportunities for conversion as these ads are directed towards individuals who’ve already shown an interest in a specific product. As these individuals have already searched for a particular product before, they’re very likely to make the purchase.

Remarketing programs often come from third-party options, like Google’s AdWords. While they are typically pay-per-click campaigns, they offer a benefit of only targeting high-potential prospects with ads. This targeting ensures that brands are marketing to the best potential audiences for their products. Remarketing works as follows.

[siteorigin_widget class=”SiteOrigin_Widget_Features_Widget”][/siteorigin_widget]

Step 1

The brand codes their website in a way which allows them to collect cookies or browsing information from visitors.

[siteorigin_widget class=”SiteOrigin_Widget_Features_Widget”][/siteorigin_widget]

Step 2

The brand then organizes that data into a manageable database depending on the remarketing priority. For example, a consumer who placed items in a cart would take priority over browsers.

[siteorigin_widget class=”SiteOrigin_Widget_Features_Widget”][/siteorigin_widget]

Step 3

The brand determines the timing of the data collection and decides how long they’ll contact the individual after the visit to their site.

[siteorigin_widget class=”SiteOrigin_Widget_Features_Widget”][/siteorigin_widget]

Step 4

The brand selects keywords and phrases which will trigger the remarketing ad and sets bids to target these ads to those specific audience members.

[siteorigin_widget class=”SiteOrigin_Widget_Features_Widget”][/siteorigin_widget]

Step 5

The consumer searches for the selected phrases and receives ads from the site they’ve visited in the past. They may also visit a website and see ads in the sidebar from those companies.

Using Mobile Apps in Consumer Engagement Strategies

All of the engagement strategies listed above can be implemented via mobile apps. Mobile apps are not only engaging marketing strategies, but platforms from which to try thousands of different approaches. Also, mobile apps can travel with consumers as they’re in the shopping aisle, offering brands a more significant opportunity to connect with consumers in the moment.

Consumer engagement strategies aren’t just about advertising to consumers. They’re about connecting with them in a meaningful way, whether they’re purchasing a product for the first time or the thousandth. These strategies work by incentivizing sales, personalizing brands, and creating buzz that builds rapport. Through mobile apps, brands can use these strategies to connect with consumers in a way that both generates affinity and increases sales.

Shopkick helps our partners engage consumers by offering several high-conversion features like digital scavenger hunts, rewarded video, and location-based marketing. To see how our app can improve your sales prospects and increase your market share, contact us.

Shopper Marketing Best Practices: Lessons from Walmart, Target, and Whole Foods

Posted on by shopkick

Shopper Marketing Best Practices: Lessons from Walmart, Target, and Whole Foods

Get In Touch

When seeking out shopper marketing best practices, the ideal option for both retailers and brands is to look at the successes of those who’ve come before them. While Walmart, Target, and Whole Foods are very diverse brands with unique demographics, many of the successful strategies that they’ve provided us with are applicable on a smaller scale, especially for CPG brands seeking new ideas. Brands wanting to update their shopper marketing mix should look to these three retail powerhouses for strategies proven to boost sales and gain market share.

Brands must always be willing to adapt as the market changes. This need for adaptability is why retailers like Walmart, Target, and Whole Foods provide so many insightful examples of shopper marketing best practices. These brands have successfully shifted focus and rethought campaigns to stay competitive as consumer needs constantly change. By staying ahead of retail advertising trends, brands can also increase their competitive edge. These practical takeaways from Walmart, Target, and Whole Foods show us how successful a brand can be when they focus on being adaptable and meeting customer needs.

Studying Walmart’s Segmentation Strategy

Walmart’s main selling point has always been its low prices. However, this has presented some challenges for the retailer as low prices typically pull in less loyal consumers. Once the brand is unable to beat the steep discounts of a competitor, they lose that customer. To combat this, Walmart makes a point of segmenting their audience to ensure that price isn’t their only competitive edge and defining factor.

To strengthen customer retention, Walmart takes a psychographic approach to audience segmentation. This type of segmentation goes deeper than simple behavioral analysis, focusing on information which is a bit harder to obtain from customer service interactions, including the following.

[siteorigin_widget class=”SiteOrigin_Widget_Features_Widget”][/siteorigin_widget]

Consumer Personality Types

Knowing someone’s basic personality type—like whether they’re introverted, extroverted, aggressive or passive—can help companies gain insight into how to plan events, and to ensure they’re able to satisfy all customers. A choice that’s as significant as determining whether to hold a Cyber Monday event or a Black Friday event is much easier to decide when a retailer knows how receptive their customer base is to each.

[siteorigin_widget class=”SiteOrigin_Widget_Features_Widget”][/siteorigin_widget]

Opinions

Political opinions can be a major factor in what drives a consumer to make purchases. It’s significant to note that Walmart has always taken a very patriotic stance by emphasizing items which are made in America, supporting charities and events for soldiers, and so on. This patriotism aligns with the opinions of the retailer’s core audience, and helps to build loyalty and trust.

[siteorigin_widget class=”SiteOrigin_Widget_Features_Widget”][/siteorigin_widget]

Interests

Understanding the interests of the consumer can help a retailer determine what areas to focus their attention on when planning events or selecting advertising partners. For example, Walmart is a major NASCAR supporter—evidenced in their very recent agreement to sponsor the Quaker State 400—which is again, an interest which aligns with its target audience.

Notably, on a smaller scale, Walmart offers NASCAR merchandise and holds events around the popular sport. Through this strategy, the retailer humanizes its brand by sharing its customers’ interests.

Walmart not only focuses on price, but also works diligently to build brand affinity and understand customers needs. The retailer does so by using publicly available social media information to obtain various customer profiles within its target market. This strategy is one in which brands can take advantage of as well to create a deeper connection with consumers. A brand can apply this strategy by using the following techniques.

[siteorigin_widget class=”SiteOrigin_Widget_Features_Widget”][/siteorigin_widget]

Following Hashtags

When a consumer follows a brand on Facebook, Twitter, or other social media site, the individual gives an indication that they are loyal to this brand. This social action sends a signal to the brand that this promising consumer should be evaluated for data potential.

[siteorigin_widget class=”SiteOrigin_Widget_Features_Widget”][/siteorigin_widget]

Reviewing What Followers Have in Common

Following consumers back can give brands valuable access to customer insights, for example, to the things they like and share, as well as the comments they make. This information can be aggregated to help brands find common ties among their customers, which can then be leveraged into a marketing strategy.

[siteorigin_widget class=”SiteOrigin_Widget_Features_Widget”][/siteorigin_widget]

Finding Brand Differentiating Factors

When a large part of a core audience has a common interest—like in the case of NASCAR and Walmart—brands should find a way to weave that common thread into their marketing strategy. This involvement doesn’t have to be expensive or extreme. It can be as simple as sharing interest-specific information on social media.

Going High-tech at Target

One way for brands to stand out and remain relevant in this fast-paced digital environment is to take advantage of emerging trends in retail shopping—which include high-tech options like mobile wallets and rewards, online ordering, and apps that blur the line between digital and physical spaces. Innovation is a value that Target focuses on to stand out in the retail landscape, and has successfully done so by implementing several new features such as the following.

[siteorigin_widget class=”SiteOrigin_Widget_Features_Widget”][/siteorigin_widget]

Curbside Pickup

Target continues to expand its Drive Up curbside service, which allows users to order via mobile app for pick-up in the parking lot. Many Target customers enjoy this convenient feature, and the retailer intends on implementing the strategy to up to 1,000 stores by early 2019.

[siteorigin_widget class=”SiteOrigin_Widget_Features_Widget”][/siteorigin_widget]

Piggybacking on Prime Day

When Amazon held its annual Prime Day, Target decided to jump on the bandwagon and offered flash sales during the event via its website. As a result, the retailer reported its biggest one-day sales event so far this year.

[siteorigin_widget class=”SiteOrigin_Widget_Features_Widget”][/siteorigin_widget]

Augmented Reality Features

In late 2017, Target rolled out an augmented reality function on their mobile site which allows users to view furniture in their living space via an AR overlay. This unique feature makes it easier for consumers to gauge the size and style of furniture they’re considering, creating a more seamless and helpful shopping experience.

Target’s AR option was so popular the retailer rolled out a beauty-based AR program in early 2018 which is performing equally well.

These are just a few of many strategies that Target has used to embrace technology and improve overall customer experience. Through these efforts, the company manages to stay competitive in its brick-and-mortar locations, even when competing with major online retailers. This is also a strategy that brands can capitalize on, but on a smaller scale. Brands that wish to follow Target’s lead should try the following.

[siteorigin_widget class=”SiteOrigin_Widget_Features_Widget”][/siteorigin_widget]

Stay on Top of Trends

By understanding that Prime Day wasn’t a competition, but an opportunity, Target was able to take advantage of the high volume of shoppers looking for e-commerce sales, and in turn, increased online purchases during that day. The retailer did not view this online event as a threat, but instead as an established digital trend.

[siteorigin_widget class=”SiteOrigin_Widget_Features_Widget”][/siteorigin_widget]

Tech as an Incentive

Consider technology an incentive—not an advertisement. Target does not use its apps or websites as strict advertising. Instead, these apps and technology improve the customer experience by offering an additional service.

[siteorigin_widget class=”SiteOrigin_Widget_Features_Widget”][/siteorigin_widget]

Partner With Third Parties

Not all brands have unlimited budgets to invest in new retail mobile apps and high-tech website features. Partnering with third-parties helps to allay some of these expenses. Shopkick, for example, offers a shopping app which brands can use to direct consumers to their products in the store, providing a seamless shopping experience.

 

Whole Foods Updates Shopper Marketing Best Practices in a New Market

Whole Foods faced challenging times during the sudden explosion of demand for organic food. For years and years, the brand controlled the health food niche simply due to supply and demand. The desire for these foods had not gone mainstream, allowing the brand to focus on this opportunity to differentiate itself from competitors. As organic offerings became more popular, many other chains released lower-cost natural alternatives to Whole Foods products, eliminating the retailer’s competitive edge.

However, in the midst of this challenge, Whole Foods saw an opportunity. With so many new consumers entering the organic food market, the retailer realized this new audience would need some guidance. Whole Foods shifted its entire marketing message from serving a niche of knowledgeable customers to servicing a mainstream market. These changes involved the following.

[siteorigin_widget class=”SiteOrigin_Widget_Features_Widget”][/siteorigin_widget]

Humanizing the Brand

In its new digital, online, and television advertisements, Whole Foods has pulled away from the commercials of old and instead has introduced their audience to more human moments and relatable characters. A few examples include a man on a Paleo-diet convincing his father to participate in the diet as well, or another that shows a customer overwhelmed by cheese choices in the store.

[siteorigin_widget class=”SiteOrigin_Widget_Features_Widget”][/siteorigin_widget]

Employing Experts

Whole Foods employees aren’t just working cash registers or stocking shelves. They are knowledgeable brand ambassadors that are prepared to provide information—especially to those new to buying organic—which helps to guide customer purchases.

[siteorigin_widget class=”SiteOrigin_Widget_Features_Widget”][/siteorigin_widget]

Reducing Prices

Whole Foods had to reevaluate its pricing structure to win over consumers who were seeking out lower cost organic options elsewhere. One way the brand did this was by partnering with Amazon—who purchased the retailer in 2017—to include more Whole Foods products through its Prime program.

Whole Foods was able to adapt to a challenging climate and reinvigorate its brand. By reviewing its audience, the retailer created a new campaign which resonated as organic foods went mainstream. This strategy is one that many brands can emulate by trying the following measures.

[siteorigin_widget class=”SiteOrigin_Widget_Features_Widget”][/siteorigin_widget]

Becoming Subject Matter Experts

While many retailers sell organic foods, Whole Foods differentiates by presenting itself as an expert on organic foods. This can be a particularly useful strategy for challenger brands, as this helps even smaller, lesser known brands increase visibility not only for their products, but for their knowledge. This method is excellent for building consumer trust which can, in turn, build brand affinity.

[siteorigin_widget class=”SiteOrigin_Widget_Features_Widget”][/siteorigin_widget]

Rewarding Customers

Not every brand can afford to cut prices, and many don’t want to, as their focus is not on price-based competition. Rewards act as an alternative to discounts as they still offer a financial return to consumers without diminishing brand value.

[siteorigin_widget class=”SiteOrigin_Widget_Features_Widget”][/siteorigin_widget]

Staying True to Branding During a Pivot:

While Whole Foods shifted its strategy, the retailer didn’t compromise their core values by offering discount organic foods to compete with other mainstream retailers. Instead, the brand stayed true to its focus on locally sourced, quality foods even as they introduced those foods to new consumers. Through this strategy, the brand was able to connect with new consumers without alienating their existing loyal customers.

The three strategies of these retail giants can be easily adaptable to shopper marketing best practices for CPG brands of any size, from small startup brands to major multinational companies. By examining the segments of their audiences, offering new features through technology, and pivoting a brand without changing its message, companies can retain loyal customers while opening new markets. These brands can differentiate themselves even in a very crowded climate and as a result, grow their market share.

Shopkick helps our partners improve the customer experience by offering an engaging, gamified app which encourages brand interaction. For more information on how our app can benefit your brand, contact us.

Creative shopper marketing plans: How to grab the attention of your target audience

Posted on by shopkick

Creating a shopper marketing plan for a target audience requires a lot of insight. Brands must be prepared to do a deep dive into their ideal customer data to ensure delivery of messages at the right time, to the right group of consumers. A critical part of this is understanding and working with data.

With the right data, brands can connect with consumers based on their specific needs, as well as reach out to new consumers, or market new products. Data is available on just about every online platform. However, data which travels with consumers—like in the case of mobile shopping apps—can be particularly valuable. Using data helps in guiding brand marketing campaigns, which can, in turn, increase market share.

Deciphering Data for a Shopper Marketing Plan

Brands need to gain insight into their target audiences to create a marketing strategy around shopper behavior, That means finding the most useful, relevant data—the types of which can be broken down into four broad categories.

Identity Descriptive Quantitative Qualitative
This category covers the basics like name, address, email, phone number, and other fundamental identifying factors. This data goes a bit deeper into identity, breaking down an individual’s socioeconomic class, marital, and family status.   Quantitative data is numbers-based. It’s used to determine how often a consumer makes purchases, how much they spend, and more. This data is a way of measuring why a customer behaves in a certain way. The qualitative category is mostly subjective and centers on what drives customer purchase decisions.

Marketers can use first-party data, or data given directly from the consumer to the company, when building a shopper marketing plan. For example, popular e-commerce retailer, Amazon, uses a consumer’s prior history on the shopping platform to provide them with future purchase recommendations. Alternatively, marketers can use third-party data, where available data is used or purchased from outside sources. Shopkick, for example, acts as an intermediary for third-party data because the app provides partnering companies with information regarding its users’ shopping behaviors.

Using Data to Target Shoppers

A good shopper marketing plan focuses on using prior behaviors to predict a shopper’s future purchases. More than a few brands have leveraged this tactic, including:

  • Dannon: When Dannon wanted to promote a new line of natural yogurts, the brand had to consider their existing audience, which was made up primarily of older individuals who spent more time watching television than they did on digital media. As a means of creating a digital bridge for younger customers, Dannon offered a promo code during its TV commercials, which when sent via text, delivered mobile coupons for the new product.
  • Pringles: When the brand wanted to create a new marketing campaign, they turned to social media data to help them locate trends surrounding their products. When doing so, they discovered many consumers were “stacking” flavors together to create new ones. This data led to the highly popular Flavor Stacking campaign, which leveraged an existing trend to create a unique experience for customers.  
  • Covergirl: Covergirl, along with many experts within the cosmetics industry, have noticed an increased trend of men using beauty products like bronzer, eyeliner, and brow gel, among others. The brand began hiring male models and cosmetics spokespeople in 2016, and since has continued with an inclusive focus on male cosmetics users to reach this emerging demographic.

effective shopper marketing planIn all of these scenarios, brands recognized emerging trends by looking at both their existing data, as well as industry data. These strategies help brands reach new demographics as they’re taking shape, allowing them to cement themselves in before these trends go mainstream. A significant part of capitalizing on emerging trends is partnering with the right companies in order to gain access to third-party data.

Accessing Third-Party Data to Build a Shopper Marketing Plan

While there are a plethora of opportunities in third-party data available to marketers, not all are equal. Some data may be able to provide necessary identity information. However,  third-party shopping apps that connect with consumers in the shopping aisle can provide a greater array of information across the four data categories.

In many cases, brands can gain access to this data by partnering with outside companies, rather than merely purchasing this data. Partnering is often a better option, as it allows brands to continuously gather new information over time, which they can then use in conjunction with future marketing strategies. Other options include reviewing publicly available information on social media and other online platforms. Though, brands would do best to partner with a company experienced in gathering this data to ensure the process doesn’t become unwieldy.

Data is an essential part of a shopper marketing plan as it allows brands to get to know their audiences, capitalize on current trends, and increase the ROI of their marketing campaigns.

Data is an essential part of a shopper marketing plan as it allows brands to get to know their audiences, capitalize on current trends, and increase the ROI of their marketing campaigns. By partnering with third-party apps, these brands can open the lines of communication with consumers and ensure they’re delivering an excellent customer experience. This data doesn’t just help brands target current demographics, but also discover new ones and, with the right campaigns, grow their market share.

With Shopkick, our partners gain greater insight into their target audiences, enabling them to convert browsers to buyers. For more information, contact us.

Image courtesy of VectorKnight