Thursday, September 26, 2019

How CPG Brands Can Build Consumer Trust with Mobile

When it comes to wooing consumers, it’s not about the gimmicks or marketing campaigns (although those are fun). In reality, trust is the number one factor in winning your customers over, especially when it comes to food and beverage companies! Consumers are increasingly aware and concerned with what they’re putting in their bodies and the bodies of their families, and they also care a lot about how the brands they’re buying from sourced, processed, and packaged the ingredients for the products, too! So, how can CPG food and beverage brands be sure that they’ll win over the trust of today’s increasingly concerned consumers? First and foremost, a focus on the following:

  • Traceability
  • Sustainability
  • Ingredient Transparency

Let’s dive into each of these consumer trends, and take a look at how mobile can help you effectively communicate the efforts your brand is making toward these goals.

Traceability
There is a growing concern for how ingredients are sourced, and it’s starting to affect the way consumers buy. In 2016, only 39% of consumers said that they’d switch to a brand that provided more in-depth product information beyond the traditional nutritional label, but by 2018 that percentage grew to 75%! This is a phenomenal opportunity for CPG brands to think about how they’re sharing ingredient traceability information with their consumers, especially in-aisle as consumers are weighing their options. Create a video about where your ingredients are sourced from, and enable customers to access the video from your product packaging using image recognition technology, or a simple QR code. This small effort could pay off big time!

Sustainability
It’s no secret that consumers are more eco-conscious than ever before, and it’s starting to become a major factor in their buying decisions. Whether it’s how brands process their ingredients to how they package their products, consumers are leaning heavily toward brands that practice eco-friendliness–especially millennials. Forty-two percent of consumers say that they’re willing to pay more for products and services from companies that are committed to positive environmental practices, so consider creating a mobile app that you update regularly concerning your latest sustainability efforts. This not only builds trust, but also shows that you’re dedicated to continual improvement.

Ingredient Transparency
As CPG brands, you’ve likely heard the buzz around the clean label trend. It’s the consumer mindset shift toward increased trust in brands that use fewer and more recognizable (i.e., natural) ingredients in their products instead of artificial dyes and flavors. And it shows in their buying habits! Nearly 90% of shoppers said they’d feel a higher trust toward food brands that had complete and easy-to-understand ingredients. Obviously, this starts with your nutrition labels on your packaging. But a great way to stand out in the aisle is by taking it beyond the label and adding a mobile element to your nutritional information. Enable your customers to scan your packaging to access information beyond just your traditional label–it could be a video on your health and nutrition efforts, or additional information on how your chefs came up with the recipe for the product if you made a recent ingredient change. No matter what you decide to create, the nutritional label on your packaging should just be the beginning.

The way you communicate these efforts with your customers is just as important as you taking the steps toward these efforts in the first place! Ensure that you’re planning out your communication strategy in parallel to recipe changes and sustainability initiatives so that you can not only start building trust right off the bat, but also see some increased sales.