Optimising brand strategies to navigate the dynamic F&B landscape
From organic food choices to real estate investment, consumer buying patterns across the globe has been changing. It’s not just things on the consumer front that is changing. For most brands in the past, purchases could only be made through 2 channels, instore and their direct website. Now, brands are diversifying and using the omnichannel approach, giving them more opportunities to unlock growth and increase sales.
In this exclusive post-event Q&A with Kate Muslayah, Founder & Director at eCommerce Me, we dive into her thoughts on how F&B retail is changing in 2024. With 25 years in the industry in notable companies such as Nestle, Treasury Wine Estate, and Asahi Beverages, we find out from her if catering to digital-first consumers means online marketing is still king, or is offline marketing is taking back the reins? Should brands be moving back to offline ad and promo spend? How can you cost-effectively personalise your promotions to value-seekers? How can you leverage and automate your processes to meet the rising consumer and business expectations?
In 2024, are brands shifting back to offline ad and promo spend?
In a true omnichannel environment, both online and offline results should be reviewed and optimised frequently, depending on the company’s ROI and objectives.
Even post-covid, consumers are increasing their digital channel usage as part of their purchasing journey. Kate noted that it’s a significant part of discovery and research (up to 80% of consumers), regardless of where their final purchase is.
In fact, larger companies are increasing their spend in digital media, varying on the focus, capabilities, and ecosystem of the business. It’s never a one-size-fits-all solution. Instead, adjust according to where the best touchpoint is to fit your strategy and deliver your best outcome.
How can you ensure that your online and offline promotion does not conflict with each other (with limited existing product offering)?
Kate believes that the best strategy is to employ a uniform brand experience across all channels to ensure your messaging, visuals, and promotions are aligned, especially if operating with a consistent set of products across multiple retailers. With a uniform voice across all areas of engagement, you provide a cohesive and seamless user experience for customers regardless of where they choose to shop.
Differentiated strategy can be used for key events that favours 1 method over another (For example, focusing online for Black Friday, Cyber Monday) or for differentiated packs (For example, a case or multiples of a product for a different promotional offer online vs. a single unit in a physical store).
Setting the objectives for your channels also helps to better inform whether you have aligned or unique promotional strategies.
On providing personal customisation to value seekers
Deal-seeking consumers put an emphasis on value, but value means many different things to different people, encouraging a greater emphasis on personalised promotions. Value seekers used to look for the most affordable option, but now, they’re looking for the best quality they can get within their budget.
Kate recommends providing affordable options for customisation, such as mix-and-match bundles, or add-on deals when adding purchases to their existing order. This allows your consumers to tailor their order within their budget means without compromising on the quality of their purchase.
Balancing personalised communication and broad communication
There’s a general assumption that personalised communication methods cost more than broad communication, but factors such as a higher customer lifetime value may out way the costs of personalisation. Kate separates it into 2 areas to determine and ensure the best outcome.
- Segmentation and targeting – Identify your key customer segments based on demographics, preferences, or purchasing behaviour. Once identified, prioritise your personalised communication efforts towards them. It increases your chances to generate higher returns based on segmentation, while utilising broad communication channels to reach a wider audience.
- Automation and technology – Leverage marketing automation tools and technology solutions to streamline personalised communication at scale, reducing costs and increasing efficiency. Tailored messages and experiences will resonate with individual customers or segments.
What strategies do you employ in an omnichannel approach to maximise customer lifetime value?
To Kate, there’s no specific strategy for driving CLV that is unique to omnichannel, but there are 2 essentials you need to ensure that your strategies are successful across the entire ecosystem.
- Seamless integration – It’s imperative that there’s consistency and smooth integration across channels, allowing consumers to switch between online and offline touchpoints effortlessly, providing a convenient, unified experience.
- Personalisation and data utilisation – Leverage on your consumer data collected across various channels to determine and deliver personalised and targeted marketing campaigns, tailored recommendations, and exclusive offers. This fosters customer loyalty, increasing their lifetime value for your brand.
Are offline strategies such as printed ads still effective?
Who are your ads targeting? What is the objective? Where are your target consumers at? Why are you targeting that group of consumers?
Identify your target audience and strategies in your marketing plans to ensure they are fit for purpose for your business and your objectives. Offline experiences are becoming more important, where local events and partnerships are used to build word-of-mouth promotional awareness.
For Kate, creative and eye-catching outdoor advertising techniques such as billboards, transit ads, or street art, can be strategically placed in high-traffic areas to capture the attention of the mass crowd, especially if linked to the ability to purchase as well, or on the way to a physical store, creating memorable brand experiences. In-stores, sampling events and campaigns can drive revenue as it’s been reported that 66% of consumers have committed to be purchase after a free sampling. Talk about the impact of free gifts!
How do you meet the rising customer and business expectations while marketing budgets are decreasing?
Globally, marketing budgets are decreasing (up to a staggering 10% to 20%!) as it’s not seen as an essential in the core operations of a business. Kate chooses to focus on data-driven decisions to optimise budget, analysing and prioritising high-value channels and tactics that delivers the best within your budget. Effectively manage your time and processes.
Use marketing automation tools to optimise, streamline, and create machine learning to reduce manual efforts on simple tasks such as EDM triggers, sends and designs, and social media scheduling. Spend on marketing efforts that will drive awareness to your brand, such as optimising content for SEO to allow for higher organic search ranking while decreasing paid spend.