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Establishing a bar as a trusted brand

The consumer goods industry (CPG) is tough. High competition, crowded and often driven by price. Manufacturers are now under even more pressure, as consumers increasingly want to buy only from brands that they believe are in line with their own values.

As people become more aware of what they are bringing into their bodies, attention to health issues is increasing, and sustainability and inclusiveness are being taken more seriously (especially by Millennium and Generation Z). This means that brands that want to maintain or even gain market share need to see that they are contributing to these causes.

Consumers are increasingly prosecuting brands, wanting more information than can be delivered on a label or billboard. Businesses must now be able to demonstrate that their products have been obtained, manufactured and even transported in a safe and sustainable way – at every stage of the supply chain.

These data requirements are too important to ignore: 99% of consumers say transparency is important for fresh food, and 75% of consumers say they will switch to brands that offer more information1.

With the addition of regulators that require increased transparency and precision in environmental social management (ESG), it is more important than ever for companies to strive to build a reputation for trust.

True transparency

It is no longer enough to simply state that the product is Fairtrade / organic / GMO free. Consumers want to see proof of this. They want proof that the brand is fair to its employees and behaves ethically and safely – and this expectation extends to the entire supply chain. As the purchasing power of the younger generation increases, the demand for rich information will grow, and brands need to adapt to this market now.

So far, getting this full visibility across the supply chain has been difficult, as data from different vendors have been different and inconsistent. However, with the possibility of mass serialization of products, digital printing of unique identities on goods on a mass scale is becoming more accessible. Combined with computing power and cloud power to share, process and store these vast amounts of data from each product, true visibility is within reach.

This marks a revolution in the CPG industry – allowing consumers and businesses to access all product lifecycle information simply by scanning code – for the first time providing true end-to-end visibility. It also gives businesses both a challenge and an opportunity to finally meet customer expectations regarding transparency. Consumers will expect this, and businesses will secure their supply – or risk losing market share to those who do. Successfully done, it provides an opportunity to build trust and even create loyalty among the customer base, with which you can constantly interact both before and after the purchase.

Maximum engagement to build trust

Until now, the ability to interact directly with consumers in the CPG market has been limited due to the lack of product registrations in this arena. The digital identity of the product should change all that, as consumers can scan the code before buying, giving potential buyers a link and additional opportunities to participate after the purchase – all to encourage repeat or subsequent purchases in the same brand.

Of course, it all depends on what the consumer likes about what he sees when he accesses this information. As the market matures, there is no doubt that more and more data and higher levels of transparency and authenticity will be expected.

Change the game when you recall a product

The benefits of this new technology go beyond satisfying consumer requests for information on how the product is manufactured. This will also significantly affect the complex area of ​​product recall.

No matter how much the company is focused on security, recall is commonplace. The way it is managed can have a significant impact on a brand’s reputation and its customers ’trust in it. In the CPG arena, recalls are often made through posters in stores, social media and email. There is very little opportunity for direct interaction with the consumer because the nature of the market means that product registration is rare (e.g., the consumer does not register a bottle of shampoo or a can of beans).

In addition to allowing companies to maximize engagement both before and after purchase, it will also provide a direct channel for issuing security alerts when needed. Crisis management in this way will go even further in protection, if not in building this important consumer confidence.

Plan now for the consumer of the future

I have no doubt that digital product identities are the future. In addition to meeting consumers ’ever-growing data demands, it also plays into the ESG movement, providing information on product lifecycle, highlighting opportunities for resilience.

Businesses need to start planning for the consumer of the future now and think about how they will meet customer expectations, as well as make the most of potential and establish themselves as a trusted brand. That is:

– Starting to gather information all the way to the product and the consumer

– Consolidate data from vendors, internal and consumer applications around unique cloud-enabled product identification

– Allows each point of contact with the product to read and write contextually relevant data

– Tell customers. Emphasizing the fact that they are completely transparent and that consumers can easily access the product life cycle and a complete set of information about its origin

– The industry as a whole must work together to fully implement this new technology so that everyone can benefit.

It’s important for businesses to start taking these steps sooner rather than later, and take advantage of the end-to-end opportunities and digital product identities to build a reputation as a trusted brand – ensuring consumers switch to them. , not from.

Wondering how the world’s leading brands are personally discussing such topics? Learn more about World Digital Marketing Forum (#DMWF) Europe, London, North America and Singapore.

Tags: authentic, brand, transparency

https://marketingtechnews.net/news/2022/feb/15/setting-the-bar-as-a-trusted-brand/ Establishing a bar as a trusted brand

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