• Pay-Per-Result Marketing: Just as DTC strategies hinge upon quantifiable marketing, digital marketing relies upon securing a return on investment (ROI). The DTC method of performance marketing—paying only when a specific result is achieved—has inspired digital marketers to look at free trials, coupon codes, first-month discounts, and rewarded in-app content as ways of getting a shopper’s foot in the door.
• Subscription Services: DTC’s focus is not on the short-term sale, but on delivering continuous value. Likewise, digital advertisers for CPG brands are considering how to create and encourage direct subscription services that generate long-term sales. Though the DTC model has struggled with scale and profitability, the wildfire success of Nike, Disney, and Kellogg’s forays into DTC has many CPG brands taking a deeper look at the model. 
• Personalization: Lastly, shoppers delight in the personalization available with DTC brands. CPG brands would be wise to emphasize similar options on their websites and email correspondences. By using quizzes, custom gamified experiences, and augmented reality (AR), brands are able to tailor their offerings and messages directly to the individual.

Micro-Influencers

Years of high-profile scandals, frauds, and fakes has brought the macro-influencer industry to its knees. 

Only 4% of people trust what paid social media influencers say. A study by Stackla found that people are 9.8x more likely to make a purchase based on a social media friend’ recommendation, rather than a high-profile influencer. As it turns out, real people have real influence. 

There are a number of ways CPG brands are engaging micro-influencers. They’re monitoring hashtags, responding to mentions, and using new tools to find, engage, and reward organic advocates and unofficial ambassadors. Some strategies include: 

• Running inspirational contests and giveaways. 
• Giving out promotional items and goods like free swag.
• Offering VIP experiences. 
• Inviting members to join their communities. 

It may not be as simple as paying a celebrity with millions of followers for a promotion, but the micro-influencer pitch works wonders for increasing authenticity and trust. 

Ephemeral Videos

Content is diversifying in new ways. Long-lasting “evergreen” content used to be the standard, but now consumers have demonstrated a demand for short, fresh, relevant videos.

The word “ephemeral” is an eloquent way of saying “short-lived.” Think Instagram Stories, Snapchat, or TikTok videos, for instance. Engaging visual clips that appear today, but are gone tomorrow, create a sense of urgency and FOMO (Fear Of Missing Out). 

With over 500 million active users in 2019, TikTok is a popular platform (particularly for Gen Z) that attracted CPG brands like Kind, Red Bull, Kool-Aid, Pepsi, and Lay’s.

CPG brands can use these platforms in a more casual, interactive way. They might offer a behind-the-scenes glimpse of the company, ask a live poll, countdown to an upcoming event, or create a contest.

Third-Party Mobile Apps

With 85% of customers using smartphones while shopping in-store, we can safely assume apps are now a staple element in the path to purchase.  

Third-party shopping apps are an easy, accessible, and affordable foray into this burgeoning market. Instead of developing a constant stream of app content, brands only need to create campaigns, which they can test, alter, and change as they please. 

Through Shopkick, clients’ campaigns have delivered noticeable ROI and increases in brand favorability thus far. 

For instance, when Claritin partnered with Shopkick, they achieved a 4:1 ROI on their campaign during the busy allergy season. By the end of the campaign, 28 million impressions were made, and 59% of consumers who went on to purchase the product originally had no plans to.