“Things are tight.”
You can feel it too, I bet.
Ocean Spray CEO Tom Hayne is concerned. His cranberry profits are being squeezed to a pulp, as supply chain issues rise … just in time for the holidays.1 Demand is high, supplies are low, and patience is wearing thin.
Tom’s not alone.
Fortune reports that Procter & Gamble, Nestlé, and PepsiCo all felt the pressure too2 — and eased their pain by passing on higher costs to buyers; hanging their hopes on brand loyalty, while inflation rages on.
But, will it work?
We saw 72% ditch their favorite brands mid-pandemic. In fact, 58% of consumers plan to stick with a new brand they found during the lockdowns.3
Yet, we think buyers are ready to be loyal again… 🤔
Not so fast.
See what buyers are doing, right now.
Don’t guess.
That’s not how you make good business decisions, especially on raising prices. You have access to consumer behavior, right now. So, take advantage of it.
Start by seeing what shoppers are doing — then, ask what they’re willing to accept.
Like this …
Right now, you’re looking at in-store dwell time for older Millennials and Gen Xers.
As you can see, these two age groups visit stores, a lot. Nice. With that information, you can adjust in-store product strategy to attract more eyeballs, while shoppers are still inside. By focusing on quality and visibility, with this data, you can boost brand loyalty. And, that’s what you want: reinforcement against inflation.
You’ll need it.
To keep buyers loyal, and to bridge the gap — to the new buyers you need to stay relevant. I know, I know. It’s that younger generation that’s hard to pin down, especially in-store.
So, let’s take a look at them.
See that red box?
It’s calling out that weighted visits for the younger generations are much lower than older Millennials and Gen X. So, while the younger crowd may still be in stores …
They visit a lot less often.
That means you need to reach them in-store and online. Your goals are: keep current customers, build loyalty in the next generation — and combat inflation in the present. Whew. It’s not easy, but it sure is worth it. After all, buyers are loyal when they believe you offer a product better than anyone else — regardless of price.4
So, earn their affection.
Here’s how you do it.
Start with data.
Then, get ready to advertise. Take a look.
Marketing 101 tells us these groups — are two very different buyers.
So, let’s separate them.
On the left, we see older Millennials and Gen Xers. On the right, are the Gen Zers and younger Millennials. They have different needs, and you’ll keep them loyal by meeting them — starting with how you advertise.
Let’s give a little love to our older generations, and show you how it’s done.
What’s the first thing you see on the left?
Starbucks’ web traffic is up 131%.
Now, imagine if Ocean Spray had this data in hand for ad planning.
They could walk right on over to Starbucks, with a great story to help the coffee company lure in older Millennials and Gen Xers. After all, the chart shows this group is headed there for the holidays.
How timely.
‘Tis the season for Starbucks to offer their holiday dessert featuring — you guessed it — cranberries. Knowing this, Ocean Spray can explore a supplier partnership for Cranberry Bliss Bars. And, who knows, maybe even call out their brand in digital ads to older Millennials and Gen Xers, knowing they’re likely to see it.
Data is so powerful.
Now what?
Don’t make decisions in a vacuum.
Let the data reveal what your buyers want. Look at their behaviors. Then, ask why in a survey. Once you know what they want, reinforce your brand loyalty with a custom-build ad strategy for app, site, and in-store traffic.
Bolster your brand against inflation — and capture a new generation, while you’re at it.
Get started today, with a 7-day FREE trial of Persona Views™.
Happy holidays.
References:
- https://www.foxbusiness.com/economy/ocean-spray-ceo-on-food-prices-with-thanksgiving-around-the-corner-things-are-tight
- https://fortune.com/2021/11/15/big-brands-raising-prices-inflation/
- https://mfour.com/report/new-brand-loyalty/
- https://www.retentionscience.com/blog/customer-loyalty-vs-brand-loyalty/
