Retailers Shifting Marketing Budgets Back In-store: Blis & WBR Research
Blis launches its latest CPG retailer research, revealing key trends in consumer shopping behaviours, as well as strategies retailers are adopting for a successful omnichannel future. The research took place in May 2021 and surveyed 100 North American retail leaders in the CPG sector across the big box, retail pharmacies and grocery as part of […]
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Blis launches its latest CPG retailer research, revealing key trends in consumer shopping behaviours, as well as strategies retailers are adopting for a successful omnichannel future. The research took place in May 2021 and surveyed 100 North American retail leaders in the CPG sector across the big box, retail pharmacies and grocery as part of Blis and WBR’s report, Emerging omnichannel marketing strategies in the CPG industry.
In positive news for brick and mortar retailers, when identifying any shifts in their marketing budget in the next 12 months, 36 per cent of respondents said they’ll be looking to move budgets to in-store activity, followed by eCommerce (31 per cent) and brand awareness (25 per cent).
But when analysing shopper behaviour, 57 per cent of the respondents cited that unsurprisingly during COVID-19, consumers were more focused on prices. Further, 59 per cent of respondents saw a significant drop in brand loyalty among their customers. A separate analysis by Blis also found that while brand loyalty had decreased due to price, store loyalty had increased during the same period.
In the coming months, over half of those surveyed (52 per cent) believe their customers will keep their shopping focused on value rather than specific brands. Meanwhile, 44 per cent believe there will be more demand for the Buy-Online-Pick Up-In-Store (BOPIS) shopping model and 43 per cent say there will be more demand for omnichannel or ‘channel agnostic’ customer experiences.
When looking at specific retail tactics that respondents have already adopted to boost consumer engagement, ‘click to cart’ shopping features (60 per cent), contactless payment technology (58 per cent) and location-based advertising for relevant offers (56per cent), were cited as the most popular.
Moving forward, when revealing what strategies retailers will be undertaking to bridge the online and in-store shopping experiences in the next 12 months, creating dedicated spaces for pickup and home delivery (54 per cent), leveraging stores as edge warehouses for home delivery (48 per cent) and location-based mobile promotions, discounts and advertising (41 per cent), came out on top.
Gil Larsen, Managing Director of Blis US, commented: “It’s promising to see that as we emerge from the pandemic, retailers are pumping budgets back in-store. Ultimately, the next generation of retail shoppers are demanding an omnichannel experience that provides the same value and convenience regardless of which channels they use. And they expect retailers to accommodate their needs regardless of how they engage.
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“Retailers who intend to capitalise on these omnichannel shopping habits must align their marketing strategies to build better experiences for these types of customers. With a heightened focus on cost, value and convenience, it’s never been more important to reach customers with value-add services, competitive prices, promotions and discounts.
“We already know from working with leading CPG brands and retailers that location-powered advertising can help brands capitalise on returning consumer mobility and help drive them back in-store.”
Blis and WBR’s report, Emerging omnichannel marketing strategies in the CPG industry, explores how consumer packaged goods retailers can adapt their marketing and operational strategies to meet the demands of tomorrow’s retail customers. The report provides industry benchmarking information, analyses of key trends in consumer shopping behaviours and suggestions on how to leverage omnichannel and digital channels to develop next-generation shopper experiences.
