Fuel the Brand Funnel at Each Step With Relevant Advertising

By Deirdre McFarland, Chief Marketing & Communications Officer

Here’s something surprising about the brand funnel: It’s 100 years old. Although the AIDA (Attention, Interest, Decision, Action) model was developed in 1898, it wasn’t until 1924 that it was paired with the funnel concept.

A century later, brands are still finding the purchase funnel and all its variations to be an effective way to visualize and map out their advertising strategy.

But…well, 100 years is a long time - and a lot has happened in media: the telephone, radio, television, cable, the internet, social media, streaming TV… a LOT. 

YET… The combination of more media channels along with more ways to shop has made the consumer journey more complex. Potential buyers tend to wander up, down and around the funnel, looking at online and offline sources and seeking out information days after seeing a product for the first time. Before they even make a purchase, 60% of consumers say they take six or more actions, like comparing prices (80%) or visiting the brand’s or product’s website or app (67%).

Like the consumer and media, advertising has evolved too. As consumers in a digital world, we’re bombarded by messages everywhere we look, so - as marketers - we’re now hyper aware of the importance of reaching the right consumers with the right messages at the right time. One way we can do that is by leveraging purchase-based insights. 

Purchase-based insights are built on actual household buying data - and they can serve up incredibly valuable nuggets to nourish an advertising strategy. 

Think about what you can learn from the contents of a consumer’s shopping cart. It can tell you a lot about the things they’re likely to buy together. If they add organic fruit to their basket, there’s a good chance they may also add organic yogurt. 

Maybe they’re a heavy buyer of frozen food and would be a good potential buyer of a new frozen meal you are launching. This type of basket analysis can help marketers identify potential buyers or triers of their products.

What if they usually buy your competitor’s products? It’s worth considering what an analysis of purchase insights can tell. With the right message and offer, you have an opportunity to motivate them to try your product. For instance, if you know the frequency a household is likely to buy paper towels you can offer them a coupon or discount - at just the right moment.

These are just a few of the many ways purchase insights can help you improve your advertising outcomes. If you want to take a deeper dive, we’ve put together a comprehensive guide to purchase-based targeting.

Why Fueling the Full Brand Funnel Matters

Brands approach their advertising audience strategies by:

• Going after new buyers. Customer churn is a constant in the life of a CPG marketer. When 41% of Americans say they would consider switching from their favorite food brands if it became too expensive¹, there’s always a need for brands to fill that leaky bucket. Yet, relying on this strategy can be costly.
• Focusing on existing customers. Brand loyalty is important for sustained brand growth. NCS research shows brands with the highest levels of consumer loyalty had twice the incremental sales as brands with low or average loyalty levels. Brands also know it's less expensive to keep loyal buyers coming back for more than it is to find new customers.

In truth, brands need to do both. They need to balance getting new buyers with maintaining loyal customers if they want to fuel both short- and long-term growth.

Attracting the most likely buyers at the top of the funnel is crucial to increase brand penetration, grow your share of wallet, and build market share. When brands fuel the full funnel with purchase-based insights, they can increase their pool of likely buyers and grow their base of high-value customers. 

Turn Awareness Into Purchases

When Buntin Group reached out to Origin to help drive awareness and incremental sales for its client, a major disposable tableware brand, it summed up the vision for the campaign succinctly: Turn awareness into purchases.

Origin developed custom, interactive creative, then the team worked with NCS to develop a purchase-based targeting (PBT) approach. The team identified and targeted three key segments: lapsed brand buyers, non-loyals/switchers, and buyers of competitive brands.

Purchase insights were the right ingredient to fuel success at the top of the funnel. With these insights, the team was able to put Origin's custom ad units in front of the right buyers with precision and efficiency. 

Smart Targeting, Better Than Expected Results at the Bottom of the Funnel

Roku had a hunch. Its client, a personal care brand, had run an effective campaign on the service using demo and third-party audiences. But the streaming provider thought the brand could exceed goals if it used purchase-based targeting to identify and connect with its most valuable customers. Roku was right: This audience strategy delivered 35% more incremental sales than the previous campaign - and with fewer than half the impressions, it was far more efficient. 

Fuel Better Outcomes With Purchase Insights

Are you ready to learn more about how PBT can help you fuel every stage of the customer journey? We would love to help. 

 ^{1 NCSolutions Consumer Survey, February 2023}