Why You Shouldn’t Mass Market Products Anymore

laptop open to amazon with text why you shouldn't mass market products anymore

Typically, big companies of consumer packaged goods (CPG) are at the top of the mass-marketing game. Their brand is recognizable, so all they have to do is let people know about their new products and services. According to a recent report from eMarketer, CPG brands (in this case, grocery) are beginning to insert themselves at all points of the buyer’s journey, instead of focusing on brand awareness and promotions by retailers. This means that these brands are using a “small business” model, such as targeted advertising, social media strategies, and restructuring how eCommerce product pages are managed.

Big Brands Turn to Small Business Advertising

With large companies, losing a customer to a sale price isn’t a big deal but when the smaller brands start to win over customer after customer, the big brands start to notice. What these smaller companies were picking up on was that consumers attach an enormous amount of value to a brand that personalizes its content to speak directly to them. With social media and email platform technology making it easy to target ad creative and automatically personalize emails, big companies began to prick up their ears.

Ad Spend is Shifting

Big brands shifting their advertising budget toward Amazon Marketing Services (AMS) and other retailer-oriented, direct-response advertising. You’ve probably noticed it more and more as you browse products on Amazon or Walmart; brands have their own marketing teams create their Amazon pages as marketing, instead of sales, vehicles. eMarketer estimates about 90 percent of grocery sales in the US are made in stores but 90 percent of US internet users are researching CPG products online at some time during their purchase journey. This trend will only increase and brands need to prepare.

More Focus on Creative, Less Dollars Spent

Advertising online is more efficient, effective, and takes less of an investment than traditional print, radio, and TV advertising. Creative teams are expanding to get eloquent, more engaging copy and imagery on pages. Take the example below:

Amazon product display for mario odyssey

The first product that popped up on the Amazon homepage was Super Mario Odyssey for Nintendo Switch. The main product has an interactive video background, immersive scroll-through images of gameplay, and a detailed “About the product” section. When you scroll down the page, you see that Nintendo has placed copy and imagery from their own website so that customers know the product is legitimate, as well as giving the buyer all the information they need to make an informed decision. Though this is a product most don’t need the convincing copy or fun pictures to make the move to buy, it illustrates how effective the potential is for any brand.

This marketing move is something small companies have been focusing on in the past couple of years because all they need to do is upload the info from their own website. No hiring external professionals or spending hundreds or thousands of dollars to get TV spots.

So, What’s Next?

These CPG brands are going to continue to learn that AMS and similar products are where growth is. By allocating the right resources to these kinds of campaigns, they can better optimize channels and associated ads to identify which products make the most impact within each marketplace and target audiences. Brands will also commit resources to data collection and associated analytics technologies to make insights on e-commerce and other online platforms.

A Competitive Marketplace

Of course, great product experiences are constantly changing due to trends, pricing, etc. Keeping up with the constantly evolving market. The great news for smaller brands is that there is a much better chance to gain new customers and build a successful business because the internet is so vast and alternatives to everything are so easy to find.

Ready to get ahead of the competition? Contact Turn The Page Online Marketing today to learn more.

Author Amanda Hall

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