Influencer Advertising Helps CPG Manufacturers Thrive. Right here’s Why.
Phrase-of-mouth advertising and marketing existed lengthy earlier than the digital age. It enabled individuals to find new services and products from their most trusted circle, which usually includes family and friends. As influencer advertising and marketing gained traction throughout the brand new social media age, the buyer packaged items (CPG) trade discovered an avenue to amass new customers via a brand new trusted group of its customers’ friends: content material creators and influencers.
However first, what’s CPG? Merchandise within the CPG trade embrace objects like meals, drinks, cleansing provides, sanitary merchandise, cosmetics, and extra. Merely put, a consumer-packaged good is one thing that the typical client makes use of every day and due to this fact must be incessantly replenished.
The CPG trade skilled substantial progress within the social media age, particularly in the course of the pandemic when sure items like rest room paper, hand sanitizer, disposable masks, and extra had been in demand — and at instances, exhausting to search out. Nielsen reported that grocery gross sales elevated by as a lot as 23% year-over-year (YoY) in March 2020, and it stays true that offer chain points nonetheless have a psychological influence on usually rational customers.
Greater than ever, CPG manufacturers have an amazing alternative to collaborate with influencers to spice up their presence on social media, the place customers usually tend to find out about new merchandise and types. Influencer advertising and marketing additionally permits CPG manufacturers to influence model loyalists from competitor merchandise to attempt their services and products via creator content material and testimonials.
Let’s dive into 5 key the reason why influencer advertising and marketing is a crucial tactic for CPG manufacturers.
1. There’s a fixed want for family CPG objects.
When COVID-19 was at its peak, the nationwide shelter-in-place mandate highlighted a vital want for groceries and cleansing provides. Although this mandate has been lengthy retired, the necessity has not disappeared — and many people have continued to replenish on important objects to arrange their households for future potential shortages.
Nonetheless, many patrons have observed that their favourite grocery and residential manufacturers have dwindled in inventory for the reason that pandemic as provide chain points persist worldwide. Model loyalty on this trade has dropped as customers prioritize merchandise which might be obtainable versus the merchandise they know. Due to this fact, we consider the time is ripe for manufacturers to draw and retain new prospects through influencer advertising and marketing.
Suggestions for activation: Work with influencers to know why they select the merchandise they do by accumulating suggestions through surveys. Use this suggestions to determine in case you can sway influencers and their viewers to attempt new merchandise via content material creation.
Taylor Cucqua | @taylor_cucqua on Instagram
2. Creator content material makes a huge impact on model notion.
In line with a Pew analysis examine, about 30% of grownup social media customers say that they’ve made a purchase order after seeing a creator publish a couple of services or products on social media. Moreover, 42% of social media customers say that creator content material impacts their buying choices. When manufacturers work with influencers to create useful content material about their merchandise, they get entry to an engaged viewers and unlock the ability of belief between the influencer and their following.
Suggestions for activation: Don’t let your influencer activations finish with content material creation. Leverage influencer-generated content material (IGC) by repurposing it in your owned social channels whereas persevering with to supply unique, participating model content material.
3. Buy choices are influenced by a low entry barrier for customers.
A product’s worth can influence the acquisition chance. In some instances, perceived worth can persuade customers to deviate from their common buy habits. CPG merchandise are usually low-cost and due to this fact require low-involvement choices in comparison with greater ticket objects equivalent to a automotive, an costly equipment, or different huge investments.
Due to this, customers may be swayed or satisfied to make impulse buy choices on CPG merchandise. These choices may be influenced by restricted info or top-of-mind consciousness from seeing a favourite influencer publish concerning the product.
Suggestions for activation: Take into account asking creators to share a reduction code or promote try-before-you-buy entry in order that their followers can demo your product risk-free.
Candace Hampton | @thebeautybeau on Instagram
4. Influencer applications are simpler to scale.
Some influencer applications work greatest when activating area of interest influencers in a selected trade to make sure genuine content material. CPG just isn’t a type of classes. Because of this CPG manufacturers usually have a broad influencer pool to select from. This selection permits manufacturers to leverage all sorts of social media influencers, together with mega-, mid-tier, macro-, micro-, and nano-influencers. It additionally provides manufacturers entry to a further cohort of loyalists, referrers, and advocates.
When manufacturers have all kinds of creator varieties to work with, they will adhere to budgets of all sizes and open their sponsorship alternatives to on a regular basis customers, which fuels the power to scale this system.
Suggestions for activation: Work with a big, numerous group of creators and optimize the choice course of over time. Take into account segmenting your influencer companions by specialty, follower depend, and engagement fee to achieve totally different audiences on totally different platforms as your follow progresses. Don’t overlook to be versatile with necessities and compensation, and at all times put communication first!
5. Product critiques present highly effective testimony.
Since extra customers are open to attempting new merchandise, some of the highly effective and convincing instruments a model can make the most of instantly is client rankings and critiques. When working with a platform like Mavrck, manufacturers can do greater than supply and activate the fitting content material creators for his or her campaigns; they will additionally solicit product critiques and syndicate them throughout energetic ecommerce initiatives.
This follow helps one thing we name social proof, which merely implies that customers usually tend to see the worth in one thing that’s promoted by somebody they belief. In reality, social proof is very related to the CPG trade as research present that 93% of customers say on-line critiques have an effect on their buy resolution.
Not solely that however micro- and nano-influencers are additionally the keys to long-term model loyalty. Some consultants recommend that these influencers usually tend to be engaged with their audiences and have the ability to affect at a better stage.
Suggestions for activation: Work with an all-in-one influencer advertising and marketing platform like Mavrck so as to add product critiques to your creator activations. Interact micro- and nano-influencers to supply product critiques at scale to syndicate to your ecommerce web sites.
Begin Advertising Your CPG Merchandise with Influencers
Influencers and CPG manufacturers are a match made in advertising and marketing heaven. The market is ripe with alternatives for manufacturers to achieve customers with impactful creator content material and testimonials, all of which may be scaled for widespread success. And it doesn’t need to cease there — search for participating methods to repackage and repurpose top-performing, high-quality IGC. Plus, don’t overlook to begin producing product critiques to persuade new customers to buy your CPG merchandise.
Want extra proof? We admire your discernment — and we’ve acquired the products. Take a look at these tales about how Mavrck helped CPG manufacturers stage up their influencer advertising and marketing applications.
Study extra about influencer advertising and marketing:
