Digital’s Impact on CPG Purchases In-Store

Sure – we know online shopping is on the rise – and it’s true for pretty much everything from electronics to eggs. We’ve all heard the staggering stats – like the fact that US consumers will spend $51B in online grocery sales in 2019. And that eCommerce will drive more than 30% of growth in CPG sales in the US this year (eMarketer, 2018). eCommerce growth is undeniable. But what does all the searching, scrolling and online shopping do for brick and mortar sales? The answer: a lot.

In fact, half of all in-store sales are influenced by digital – and that number is expected to hit 58% by 2022 (Forrester Research, 2018). So how do CPG brands leverage digital to not just fuel eCommerce growth, but to impact in store purchases?

The key is content – and it doesn’t just live on a brand’s owned website.

Of course, brand websites influence buying decisions – and research shows that visitors to CPG sites spend more on those products than non-visitors. But it’s not just about the brand site. Sixty-seven percent of product searches happen on retail sites. Amazon is now the second largest search engine behind Google – and Walmart has claimed the third position. So while it’s important to have rich content on owned channels, a CPG brand’s online presence on retailer sites is just as important.

Retailer site content (content that lives on sites like Amazon.com, Walmart.com or Kroger.com) needs a focused strategy to make an impact on the digital shelf. Top factors for compelling digital content include strong & convincing brand messaging, fresh content and engaging content. Looking for some quick wins:

• Create a content plan: Survey existing content, make a list of content needs and draft a plan to implement content across key retail sites.
• Employ a third party content distributor: Tools like WebCollage and Salsify allow brands to load content into a single source and distribute it to multiple retail sites, simplifying the process and creating a consistent online presence.

We have a team of digital-minded strategists on board here at MBB. Want some thoughts about how digital can drive sales for your brand? Give us a shout: lmountain@mbbagency.com.