CPG brands should adopt a more direct-to-consumer approach to increase their sales numbers

New Ideas in MarketingEssential news for marketers, summarised by YouGov
April 23, 2019, 4:23 AM UTC

By focusing on first party data CPG brands can penetrate the DTC marketplace.

Traditional consumer packaged goods (CPG) brands are facing some stiff competition from pure direct-to-consumer (DTC) brands for consumer share in the market.  But the author contends that the D2C brands are nearing their saturation level and CPG brands can use this opportunity to regain their market share.

CPG brands can step up their DTC strategy by launching subscription services or experimental ecommerce models. And with their industry knowledge and consumer insights, CPG brands can capture the DTC market by beefing up their second-party data with a robust social media strategy.

Having the advantage of first hand data and an adherent consumer base, some retailers have launched their “own brands”. Retail stores have leveraged this sales data to launch in-house brands which are standalone DTCs like the Walmart’s Allswell mattress and bedding.

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