Marketing research can be especially insightful in the competitive, dynamic world of consumer packaged goods (CPG) and retail. Just a few of the challenges in these industries include:
Changing consumer demographics and behaviors
- More informed consumers, with easy access to product/retailer information
- Understanding the younger generation of Millennials, whose priorities and behaviors are quite different from their predecessors
- Marketing/sales strategies are also needed for different ethnicities, such as Hispanics, as the U.S. population continues to become more diverse
- The growing importance of websites and mobile applications as more buyers use technology to research and purchase products
- The influence of online product ratings and reviews
Ever-increasing demand for high value, low price products
- Products need to be differentiated not only from brand-name competitors, but also from national/store brands that are growing their market share
Leverage Marketing Research to Differentiate Your Brand
One of The DRG’s first clients in the mid-1970s was in CPG (a producer of baked and packaged foods), and since then, we have partnered with numerous other clients in this vertical. We have tested and evaluated a diverse mix of products, from clothing and eyeglasses to hand and power tools, from travel packages to beer and sausage.
Examples of research The DRG has conducted in the CPG and retail industries include:
- In order to integrate their in-store and online shopping experiences, a national retailer worked with The DRG to learn about their customers’ online shopping preferences. A DRG Moderator conducted a series of focus groups with the store’s customers to not only gain insight into the role of online shopping within the purchase decision process, but also to evaluate several site re-design layouts. The research provided insights the retailer used to drive sales both online and in-store.
- A leading manufacturer of paper, packaging, and other CPG products partners with The DRG to conduct monthly product testing research, consisting primarily of central location tests (CLTs) and focus groups at our Focus Center. The research is customized each month based on current priorities, but we typically recruit either consumers or professionals in healthcare, foodservice, or facility management. The primary objective of the research is to understand how customers use the products, so our client can continuously be improving their product portfolio to stay ahead of the competition.
- The DRG worked with a client to help them develop their go-to-market strategy for a new beverage product they were launching. The ultimate goal was for our client to understand the consumer decision-making process and which features were most important. The DRG designed a web survey, including a Max-Diff trade-off exercise, which helped our client determine the optimal price point and positioning for their product. Respondents also evaluated packaging options, highlighting what they liked and disliked. The research was used by our client to identify the ideal target market and finalize their advertising and messaging strategies.
- The DRG worked with a major credit card provider and their retail partner to find out why retail cardholders were not taking advantage of promotional offers. The research included in-depth interviews and a web survey with cardholder segments. The interviews focused on awareness and value of promotional offers and tested the clarity of promotional messaging. The DRG’s final report identified promotional messages that had the greatest chance for redemption and ultimately helped drive store sales and card usage.