To survive and thrive, brands must adapt to the continually and rapidly evolving landscape of online retail. With the rise of online shopping and digital tools, brands now can directly reach their consumers and advocates with minimal barriers. But to do so, brands need to rethink their sales strategies, protect their brand and consumers, and establish a strong online presence. We reviewed 32 consumer brands on these attributes, and we published the results in our Digital Go-To-Market Review: CPG Brands, 2023.
What are some of our conclusions from this latest consumer packaged goods (CPG) review?
- First, brands need to establish a direct relationship with consumers. While wholesale distribution has been the norm, owning a consumer relationship can provide benefits such as reduced chances of counterfeit products. It’s crucial to have a well-executed direct-to-consumer website and capture customer information, and brands must ensure that the site experience is at least as good as anywhere a shopper could buy online.
- Second, brands need to rigorously protect their brand presence online. The prevalence of gray-market sellers and counterfeit products poses a significant risk to them. Brands must enforce strict governance over distribution and pricing, ensuring that their products are authentic and authorized for sale and that content associated with products is accurate and up to date. To that end, it’s essential to have dedicated teams and systems in place for brand protection and traceability.
- Other features of the best brands include a strong social media presence, as well as unique features such as customization of products to attract avid brand enthusiasts.
All sectors of retail, including those selling consumables, are undergoing significant changes, and brands can no longer just rely on wholesale channels to tell their story and generate demand. See this recent report for the full list of the strongest CPG digital leaders and the elements of excellence across the evaluation.
Are there other consumable brands that have impressed you with their digital execution? I’d like to hear your thoughts.