Food Brand Advice for CPG Loyalty Programs
Customer loyalty is difficult for brands of all sizes, but for today’s CPG (consumer packaged good) brands, the opportunities are narrower than ever with a well-designed loyalty program. With a wide range of tools, technologies, and resources, Brands today have many options to optimize—and improve—their CPG loyalty programs to regain and sustain consumer intrigue.
We love to see CPG brands are taking a big step toward loyalty and developing consumer strategies that will lead to results over time.
Introducing and maintaining a differentiated and effective loyalty experience can be hard to execute. First, they often struggle to build a direct relationship with their consumers. Second, they must piece together different data from different trading partners while working on grasping—and tie together—everything from consumer preferences to lifetime value to investment ROI.
One expects CPG loyalty programs should be at the heart of a loyalty program, even if it is the only benefit it provides to the retailer or brand.
With digitally focused loyalty programs, brands are beginning to collect customer data that they can use to deliver a personal experience when it matters most. As a result, sophisticated brands can provide consumers with insights and targeted tools to improve retailers “own marketing efforts.
As a result, we see a growing list of retailers providing CPG brands with individual transaction information for consumers. Working with brand marketers enables retailers to identify who is wearing which specific brands, and they can reach out to consumers to bring more traffic to their stores.
Some CPG brands see connecting packaging as a solution to control their relationships with consumers. This allows shoppers to interact with products on their smartphones through a code printed on the brand package. The digital tool, called SmartLabel® in 2015, allows consumers an easy and immediate way to look up facts on the food brands that participate. In addition, brands themselves control the product packaging, labeling, and code printed on the packaging, creating a world-class link between brands and consumers through independent retail channels, enabling brands to collect data on consumers and influence who executes transactions.
Prizelogic, the leading provider of engagement incentives, is an engaging platform that supports loyalty programs, promotions, discount CPG loyalty programs, food marketing agencies, and top brands from Pepsico to Molson Coors. Kelloggs announced this week the launch of “Kelloggs Family Rewards,” which uses code packs as the backbone to support loyalty programs designed to generate engagement and enthusiasm around its brand “key products.
For CPG brands that opt for an in-house loyalty program rather than a partnership, Shopkick can expand the program and shopping experience. In addition, Shopkick consolidates offers and enticements for multiple retailers and brands, so consumers of CPG loyalty programs don’t need to juggle dozens of loyalty brand apps.
The long-term impact of the pandemic will result in CPG brands and marketers positioning their products as solutions for consumers looking for new fun things that are not expensive yet dependable and offer comfort through more turbulent times. Given that new consumer priorities are stimulating a wave of packaged goods (CPG) consumers that have been in the American pantry for decades, CPG brands should seize this opportunity to transform new audiences into loyal consumers. In addition, we’ve seen that the data first-hand data we collect enhance the brand’s engagement efforts.
A good CPG Loyalty Programs rule to remember throughout the entire process:
Strive to delight!
Consumers are selective and opting in to an engaging commitment with brands they love; brands need to make sure your loyalty program provides value that your consumers cannot refuse unless they are delighted with each interaction!
If you have any questions about improving your food brand CPG loyalty programs, please reach out to the NewPoint team. Also, if you are interested in more food brand marketing topics, please visit our Food for Thought page or check out NewPoint’s Patrick Nycz’s book: Moving Your Brand Up the Food Chain.