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Brand Loyalty: What CPG Advertisers Should Know

Posted Jun 16, 2020

With their Coronavirus research hub, GlobalWebIndex provides updated information about the state of industries and social behaviour, as well as expectations of clients and the potential “new normal.” In their latest research for consumer packaged goods, they revealed key insights into how COVID-19 has disrupted the brand-consumer relationship and uncovered fact-based guidance on how CPG brands can adapt to the pandemic.

Carry on as normal.
Brands have been wary about carrying on as normal when it comes to advertising. There are good reasons to freeze advertising spend like wide-scale layoffs or a business sector being shut down but is that what consumers want? GlobalWebIndex’s data seems to paint a very different picture. Here are some key takeaways for CPG Advertisers on how consumers really feel about advertising since the outbreak:

  • 85% of consumers either approve of or are impartial to, carrying on as normal.
  • 85% want brands to provide practical information/tips to help them deal with the current situation.
  • 83% want to see brands pledging money/aid/supplies to help people.
  • 75% want to see brands offering funny/light-hearted content to keep them entertained.

Despite many brands calling a halt to their advertising in response to the crisis, there’s almost no consumer concern about brand advertising at this time. In fact, 85% of consumers either approve of or are impartial to, carrying on as normal. Just 10% somewhat disapprove and 5% strongly disapprove. 

Get approval from consumers.
What consumers expect from brands during the pandemic time, is being able to find reliable information, flexible payment terms, running ads that aren’t related to the coronavirus, and creating light-hearted videos for the entertainment of the consumers. GlobalWebIndex found out what consumers approve of brands doing at the moment. 

Reach the consumer directly.
Shopping behavior has undeniably changed immensely in the past several years and buyers are finding it much more easy to find what they’re looking for. Online shopping became more and more important and consumers started to have higher expectations regarding service quality. Consumers state that reliable and free delivery will be one of the important factors in online purchase behavior in the future, followed by free return policies, reliable websites, and same-day delivery options. 

With the switch to eCommerce channels accelerating and consumers looking for secure, authentic supply, digital experience, and generally more content from brands, the role of direct-to-consumer marketing takes on a new salience. With DTC marketing, brands promote a product or service straight to their target consumers, forgoing traditional intermediary channels such as third-party retailers, whether that’s the brick-and-mortar stores or the eCommerce kind. It allows businesses to own their entire purchase journey, rather than just the product, and to behave more like a tech operator, testing and learning with valuable new first-party data. 

The cookie-less world made things harder on the advertisers’ side, whereas compliant first-party data became more and more important. In-app environments allow advertisers to target audiences based on their behavior and the chance of customized messaging and creatives, with which brands can reach their consumers directly.

As reaching potential consumers with user-friendly ad formats gets more important than ever, brands are looking for new channels to integrate. Mobile gaming and rewarded advertising have been the answer for many years. The increase in time spent with in-game advertising during the pandemic period is a consequence of the expectations of consumers and the sensitivity of advertisers.

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