G/O Digital Study Reveals Localized Digital Activation Flexes More Direct Marketing Muscle Than TV Ads For CPG Brands

79 Percent of Moms and 75 Percent of Dads Are More Likely To Make In-Store Purchases When Presented With Locally Relevant & Personalized Deals

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G/O Digital

Sep 25, 2014, 09:00 ET

CHICAGO, Sept. 25, 2014 /PRNewswire/ -- G/O Digital, the leader in local, integrated digital marketing solutions, today released the results of its latest study – CPG Marketing Reinvented. The in-depth report, which surveyed 1,000 online and mobile users in the U.S., highlights how personalized content and localized digital activation must be a priority for CPG brands looking to create fluid cross-screen engagement with consumers to influence in-store sales.

The study's most noteworthy findings indicate that circulars are not an extinct form of advertising, but instead must be recast as an important component to the content marketing discussion. Most importantly, locally relevant and personalized ads move shoppers from their screens into store aisles. In fact, 79 percent of moms and 75 percent of dads are more likely to make in-store purchases when digital circulars present locally relevant and personalized deals.

"The modern-day shopper switches between screens as much as 21 times per hour and is barraged by an influx of experiences, emails, ads, coupons and offers across both traditional and digital channels," said Jeff Fagel, CMO of G/O Digital. "Because of these circumstances, CPG brand success rests heavily on three critical variables: personalized distribution of promotional content, approaching mobile as a behavior (not a channel) and real-time localized digital activation at national scale. In turn, brand marketers must provide locally relevant, contextually targeted content and advertising that are native to the user experience. If they don't, consumers will quickly move on to competitors who do."

Additional key findings from the report include:

Deal content distributed across digital channels flexes more direct marketing muscle than TV ads. Digital circulars rank as the number one form of advertising to influence moms (32 percent) and dads (29 percent) to buy food and beverage items in-store. Yet, TV advertising only influences the in-store purchase decisions of 6 percent of moms and 13 percent of dads.
Mobile deals and in-app promotions bring the web in-store. When asked about the value of digital promotions and circulars while standing in-store, 19 percent of moms replied that "it's very important…I regularly check websites, mobile sites and apps for brand/product-specific promotions and deals" and another 36 percent of moms believe "it's somewhat important…I am more likely to purchase an item in-store if I find a coupon or deal online."
The future of retail will be played out in the digital pre-shopping funnel as webrooming helps parents track down deals. When asked if they use their desktop/laptop computer, smartphone or tablet to pre-search for "on sale" food/beverage items, 40 percent of moms responded "yes, this is the first thing I do."
Low prices trump loyalty to preferred stores. When asked if online/mobile searches for "on sale" items influence which supermarket they visit, 60 percent of moms and 50 percent of dads answered "Absolutely, I would be very inclined to visit a local supermarket that offers/advertises the lowest prices and special deals."
Facebook trounces Twitter as king of social. 55 percent of moms and 47 percent of dads believe Facebook is the most useful social media channel to engage with CPG brands. Conversely, only 5 percent of moms and 7 percent of dads find Twitter useful.
Local Facebook offers are in high demand. 77 percent of moms and 72 percent of dads believe localized deals/offers on Facebook are important enough to affect the food/beverage items they drop into their grocery shopping carts.
One-size-fits-all online and mobile ads will deplete in-store sales. When asked what is most frustrating about online and mobile ads from food/beverage brands, 35 percent of moms and 29 percent of dads cited "information and promotions that are not locally relevant to products/prices in-store."

This study was fielded from July 2, 2014 through July 9, 2014 and garnered a total of 1,000 responses from online and mobile users in the U.S., aged 30-50 years old, who are interested in grocery shopping, have at least one child and own at least one desktop/laptop computer and a smartphone or tablet. The complete study and findings can be downloaded from the G/O Digital website.

About G/O Digital
The G/O Digital vision: To Transform Local Marketing and #WinLocal.

For Local Businesses, G/O Digital , a Gannett company, is a one-stop shop for local businesses looking to connect with consumers through digital marketing, from search to social and everything in between. For National Brands and Agencies, G/O Digital delivers local digital activation at national scale with push-button simplicity powered by G/O Digital brands: Shoplocal, BLiNQ Media & Key Ring.

G/O Digital partners with more than 5,000 of the nation's top brands and retailers, including P&G, Target, Walmart and Walgreens and leads digital marketing programs with thousands of local businesses across more than 110 local markets. For more information, visit www.godigitalmarketing.com and @godigitalmktg.

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SOURCE G/O Digital