New IRI study suggests CPG marketers are a little misguided online.
Consumer packaged goods makers aren’t using the Internet very efficiently, according to CPG Online: What’s Not Clicking for Manufacturers, Retailers and Consumers, a new study from Information Resources, Inc., Chicago.
The study says that what consumers are really looking for from CPG sites are too often overshadowed by extraneous features that do little more than provide garnish. While 55 percent of consumers want free samples and 48 percent would like to find coupons and other special offers, only 22 percent of CPG sites make samples available and just 19 percent offer coupons.
And the CPGs that are giving customers what they want apparently aren’t making the grade either. “Only 25 percent [of consumers] say they find brands and products online that interest them,” says Brian Murphy, partner with IRI’s e.Ventures unit.
While 38 percent of CPG Web sites offer games and activities, only 21 percent of consumers said they are interested in them. Meanwhile, 41 percent of sites feature lifestyle information, but only 27 percent of consumers are receptive. “There has been a lot of hype about the need for companies to build a ‘community,’” says Murphy. “Manufacturers should focus on the basics: provide product information, facilitate consumer contact, and collect feedback on product satisfaction and consumer needs.”
CPGs score better when it comes to providing basic contact and product information, which the study found to be one of the primary uses of the Internet: 63 percent of respondents said they visit a site to find a toll-free number for the brand, while 61 percent want an e-mail address; about 69 percent of CPGs provide the former, and 81 percent provide the latter. Also, 56 percent of consumers want a site to contain basic product information, which 91 percent of manufacturers are providing.
The slumping economy has kept many marketers from responding to consumer needs. “At first, there was a lot of trial and error. Now there’s a lot of ROI pressure put on Internet groups by senior management,” says Murphy. “Manufacturers are committed to the Internet, but they’re reining in spending to develop strategy.”
IRI surveyed 7,900 shoppers and more than 75 CPG manufacturers and retail executives. Harris Interactive, Rochester, NY, conducted the survey.
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