“Mobile coupons have a 10% redemption rate versus traditional coupons’ 1%.” US Retail Digital Advertising Spend growth rate is 29.8 % and CPG Advertising Spend Growth rate is 25.5%. The chart from eMarketer below highlights the rate of growth in Digital Advertising Spend for US Retail Industry.
Rules of Shopper Engagement for Retail Brands
1. Engage where Consumers and Shoppers are more receptive to your advertising and Messaging.
People are more open to advertising when they’re shopping than anywhere else online.
Fifty-seven percent of consumers are open to ads while on shopping sites, compared to
47% while on email sites; 25% while reading information, news, or blogs; 22% while on
social media sites; 4% on video sites; and only 3% on gaming sites.
2. Differentiate the Brand Experience to assist the Shopper Journey
The main Home Depot App features an interior map for each of the retailer’s 2,000 stores,
along with voice-activated assistance. The key feature of the App is Bar Code Scanner that
lets you go through How-To Videos and get product information on Home Projects.
Over 40% of shoppers use their phones in stores to find deals. More interesting to CPG brands:
29% of men and 41% of women use their phones in-store to research consumer product details.
3. Content Delivery and Management needs to be based on the Shopper interests to guide their Shopping and be relevant.
According to Bazaar Voice, shopping apps provide a two-way mechanism. The brand knows what the shopper is interested in based on their scans. The brand can engage consumers by serving the right product in search and also recommending other relevant products.
An overwhelming 85% of people surveyed agree with the statement: “When shopping online, I’m receptive to online ads for products or services that I am currently considering buying.”
4. Enable conversations with Content that is sharable. Content that is sharable and can showcase the key product benefit creates Recall at the time of purchase.
5. Publicize your Content on YouTube channel to mention and create awareness as in the Cadbury YouTube video. The Brands can also use YouTube channel to show case the Brand Experience over and above Advertising. Use the other social media channels to publicize your content.
6. Add features such as Store Locator, Maps and App features to Compare Prices to assist the shopper journey.
Here is an example of interesting product that directs the consumer to the Aisle where a product on Sale is available.
Source: Bazaar Voice and eMarketer