FMCG Industry in Digital Marketing

Fast Moving Consumer Goods Industry in Digital Marketing

As I’ve mentioned it before in my previous entry, digital marketing have larger user volumes, higher user engagement and virality. In sum, those 3 concepts differ digital marketing from other marketing techniques.

In general, doing marketing in FMCG sector is very difficult. Think about it this way, for example P&G one of the biggest and most successful FMCG companies in the world. It sells cleaning products and it does that really good. If they can sell a cleaning product, which is not appealing at all, what else can’t they sell?

FMCG industry is the most prominent and largest category on social media. In my opinion companies in FMCG sector are the ones using marketing in the most anomalous way.

There are also other points, which makes it hard.

According to Copeland’s Classification Theory (1923), which cares about consumer involvement, goods are classified to 3; convenience goods, shopping goods and specialty goods. The products of FMCG sector penetrate the convenience goods category. In this category, Copeland explains, customers shopping convenience goods purchase very frequently and immediately with a minimum effort. They buy the product at that time, when they need it and when they see it. For example think about a carton of milk. You use it everyday for your breakfast, pour it into your cornflakes, you just need milk. Here the marketing strategies of FMCG companies arise. A milk producing company should differ its product from the others in a way. The challenge here is that there is a category of products considered all the same (milk), but it’s in their hands to break this perception. How to differ a carton of milk from the competitors? That’s why FMCG companies are considered to be more creative and innovative then others. They use the relationship marketing, database marketing, e-CRM profiling, personalizations and Big data which I would go through in the following of this entry.

Relationship Marketing

Companies give promises to consumers and when those promises are achieved, they will have satisfied customers.

Below you can see some FMCG companies making contact with their clients in order to solve their problems and provide them a better service. This will increase the relationship of the customer with the brand itself.

  • A complaint – Unilever

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  • A conversation – Coca Cola

Screen Shot 2016-04-16 at 12.18.00

  • Creating interaction – Red bull

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  • Directing the customer – Coca Cola

Screen Shot 2016-04-12 at 20.08.29

Coca Cola for example has the biggest community on Facebook. Its followers are very active and participate in their campaigns or contests. “Share a Coke” was a very successful digital campaign they had started back in 2011 which resulted in a 7% increase in sales. A total of more then 18% million media impression has achieved, the traffic on Coca Cola Facebook site increased by 870% and likes grew by 39%. Moreover, as it can seen from the image below, it turns out to become a huge success on social networks because people loved to share images of their custom Coke bottles, having their name on it.

Screen Shot 2016-04-12 at 20.28.41

Database marketing

Collecting data and making analysis on it, to better understand the customer behavior and focus on their shopping attitudes. With database marketing, you can offer a better customer service and understand the market further. All in all, your communication with the customers would increase.

Wal-Mart for example, has an application, which can sense the customers entering the store and propose them to switch their phone to “store mode”.When customers switch to “store mode”, they can have interactions with special QR codes to access further product information. Thus, Wal-Mart is able to track their customers’ in-store behavior. This great data collecting technique , which would be analyzed, and as a result maybe lead to  some changes on position of the products, promotions etc. in the future is very significant.  *

e-CRM profiling, personalisation and Big data

Aim is the same, providing excellent service to customer. However as a marketer, your product should add value to your customers. Your customers should be satisfied with what you’re offering them .Herewith, you can have loyal customers. So, you will get help from some tools such as feedback forms, phone calls, emails etc. In line with your customer’s profile you can tailor offerings online. Using the Big data you have, you can match some behaviours with others to target your audience.

Nowadays, social media is one of the first places consumers check for review before making a purchase or write their reviews after their purchase. Having a powerful online presence is very essential for the FMCG brands as it is for every industry.












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