Digital CPG Blog

For better or for worse?

A comScore analysis of online ad impressions from July shows CPGs have become the heaviest users of “socially enabled” ads that appear on sites outside Facebook but include “visit us on Facebook” or other “Click to Facebook” appeals to get users to brand pages.CPG marketers are 10 times more likely than advertisers to use “socially enabled” ads, which appear outside of Facebook but urge visits to a Facebook site, finds a comScore analysis.

They were 10 times more likely than advertisers generally to use socially-enabled online ads.

“In many ways the fan page is replacing the brand website as the primary destination for outbound marketing online,” said a comScore executive.

The only thing that makes me nervous about this is that it is a short-term strategy. Yes, Facebook is HUGE, but wasn’t MySpace? I worry when marketers spend all their time, energy and money building on one platform only to have it disappear a few years later. ultimately, marketers should have a diversified strategy that always includes their own brand website where they have full control on collecting data and emails.

Ah, the Brits are selling personalized cans of soup on Facebook – here are the details:

The pop-up store allows Heinz fans (and-only fans) to send personalised ‘get-well’ cans of Heinz soup to friends suffering from post-summer distress disorder – i.e. Autumn colds and chills, for a £1.99 ($3.00) PayPal payment via an store app on the brand’s Facebook page.

The customised cans feature a personal get-well message on the label, via a custom store app on the Heinz fan-page from London-based social media agency We Are Social.

What we really like about this Heinz pop-up fan-store is that it taps into Facebook strengths – gifting – an eminently social activity, and personalisation (although not, in this case, via the social graph). Personalised gifts in Facebook make real sense. Kudos Heinz.

Heinz is emerging as something of a poster-child for f-commerce in FMCG/CPG – earlier in the year it opened a pop-up fan-store in Facebook to support the launch of a new line of ketchup by offering fans exclusive fan-first access to the product before it became available in-store (also by We Are Social). And last month, Heinz ran a social couponing campaign, where the value of the coupon doubled when shared.

Energizer Personal Care brand Schick Intuition just launched a new, interactive coupon-oriented Facebook application (www.facebook.com/schickintuition) asking customers to tune into their intution while they tune into some of the top social media influencers: Melanie Notkin, Founder of The Savvy Auntie, Kimberley Clayton-Blaine, Executive Producer of TheGoToMom.TV and MommyToMommyTv.com and Audrey McClelland, Founder of MomGenerations.com.

“Schick Intuition is excited to escort consumers on the journey to discover the secrets to simplifying their active lifestyles,” says Chit Itchon, senior brand manager Schick Intuition. “We’re looking forward to interacting with our fans through this program, and start a dialogue around simple tips that can make a difference in their daily lives.”

Now until October 30, 2011 fans can visit www.Facebook.com/schickIntuition to take the “Intuition IQ” quiz and discover if they are “Simple Carefree,” “Simply Flexible” or “Simply Smart.” After taking the quiz, fans are able to download a $3.00 coupon for any Intuition razor or 3ct. refills.

We talked yesterday about how Facebook was more of a loyalty program, not a customer acquisiton tool and judging by the latest numbers, more CPG brands should be using it:

The best-selling packaged-goods brands saw the defection of some of their most loyal customers over the past year, per a study by Catalina Marketing, which examined shopper loyalty-card data related to the top 100 CPG brands. According to Catalina, these brands experienced a 46% dip in loyalty among their best customers, although they still managed to grow their sales by an average of 2.2% during the 52-week period examined in the study.

Pop-up try-vesting f-commerce store? No it’s not just a hodge-podge of the latest vocab but an actual campaign –

Confirming its trailblazing status as a pioneer in social commerce for luxury brands, Burberry has launched a pop-up ‘tryvertising’ fan-store on its Facebook page to promote the launch of its new fragrance Burberry Body to its 7m+ fans.

And the best thing for Burberry fans is that the cost of getting the fragrance delivered to your door is $0 – the fan-store is actually a sample-store, offering free samples to Burberry fans.  We think it’s smart and slick and sets a new standard for tryvertising on Facebook.  The Burberry Body sample store features a like-gate, a count-down timer, an attractive order form, and plenty of opportunities for users to share the news.

Some great insights from Shopper Tech. Here are our favorites:

While online grocery shopping accounts for just 2% of total domestic consumer packaged goods sales, it is expected to more than double in the next few years.  A study from the Nielsen Company and MyWebGrocer predicts an increase to $25 billion by 2014 from $12 billion today. The study also found that 25% of CPG purchases are researched online where consumers look at retailer ads, search for deals, and find recommendations on social media sites. A whopping 97% of the time, the researched product is purchased online or in-store.

Yet online grocery shopping has remained a niche market, compared to many other categories like clothing, entertainment and home electronics. Can more CPG manufacturers and retailers take advantage of this emerging channel?

Scott Welty, vice president, retail industry strategy at JDA Software in Scottsdale, Ariz., sees challenges and opportunities on the road to growth in grocery ecommerce. He offers these signposts:

Social Media
Procter & Gamble’s recent reentry into ecommerce via Facebook is a new example of how important social media is becoming to CPG companies. Consider the continued growth of the prosumer — a recently coined word combining “professional” and “consumer.” They want to be able to produce, leverage and consume content. They don’t want to listen to the retailer or to the manufacturer, but to their friends or peers online.

Additionally, marketers need to look at the teenagers of today to get insight into the potential customer of tomorrow. Within 10 years, they will become mass market shoppers. Those people want one portal. The retail giants of the world will need to adjust because the trend in many industries is consumers getting in closer relationships directly with manufacturers.

Segmentation
Despite the vastness of the online opportunity, companies are going to have to tailor that shopping experience because the number of SKUs. The number of purchases of fast-moving consumer goods will dictate the need to have to segment programs, customers and promotions. There’s too much information and there are way too many products.

Next up in charts and infographics, we’ve got a great one on social commerce growth and f-commerce:

Does the non-Facebook internet feel about 9% less interesting than it did a year ago? That’s how much usage has fallen. In the same time period, time spent on Facebook has climbed nearly 70% year over year.

For years, trends have pushed brands toward becoming publishers. The advantages are a more captive and engaged audience. However, this data suggests the increasing importance of not just being a publisher, but being a Facebook-able publisher.

To get into newsfeeds, to be shared, to garner comments, Likes and recommendations, your content must be tuned to social, argues WOMMA.

Being a publisher means being on all available platforms and creating appropriate content for those platforms. And while it’s true that many people used to access the web through Google and now are accessing the web through Facebook, that doesn’t mean that putting or creating content on Facebook automatically means your social. Should that be part of your strategy? Of course. Absolutely. But don’t call yourself social because of that. Social is two-way and engagement. Most brands still remain broadcasters, even if they’re on Facebook.

Ah, need help explaining f-commerce to your colleagues or partners? Here’s a cute, little – and simple! – video that’s easy to understand.

Have you had any issues getting buy-in for a Facebook commerce initiative or strategy? If you have a store, have you found results and traction from the effort?

Do tell.