Why Data-Driven TV Advertising is the Perfect Match for CPG Brands

By Brett Sanderson, Sr. Director, Product Marketing, Cadent

We can all relate to having a favorite product, whether it’s the paper towels you always buy, the boxed mac and cheese that's your go-to comfort meal, or the salsa that’s a staple in your fridge. As a result, building brand loyalty has been at the core of consumer packaged goods (CPG) marketing strategies for decades. 

However, in recent years, the CPG industry has been faced with a number of challenges. Digital transformation has led traditionally brick-and-mortar brands to explore e-commerce solutions. Curbside pickup/buy online, pick up in-store (BOPUS), same day, and next day delivery have altered the retail landscape and shifted consumer shopping behaviors. The COVID-19 outbreak and subsequent U.S. recovery from the pandemic has only accelerated these changes.  

In response, CPG marketers have had to be even more agile and innovative in their approaches to tried-and-true TV advertising. To help these marketers deliver their desired business outcomes, we’re sharing some of the best ways you can use data-driven TV advertising campaigns to advance successful CPG brand initiatives.  

Three Data-Driven TV Strategies for CPG Marketers

1. TARGET YOUR AUDIENCE AT THE HOUSEHOLD LEVEL BASED ON PAST PURCHASE BEHAVIOR

Traditionally, CPG marketers have relied on the ubiquity of grocery flyers or direct mail coupons, the importance of in-store shelf placement and the reach of linear TV. But, fragmentation of the landscape and an increase in cord-cutting has caused a shift in TV viewership, creating challenges for marketers who heavily relied on linear TV. Our collaboration with NCSolutions gives brands the opportunity to use purchase insights to complement their TV reach strategies. These purchase insights can be mapped to screens at the household level and activated on indexed linear or addressable TV media plans, allowing marketers to reach consumers who have previously purchased their brand’s or a competitive brand’s product, are currently in-market for a product, or meet other behavioral criteria based on actual past purchases.  

2. DELIVER YOUR MESSAGE ACROSS ALL TV SCREENS FOR A FULL-FUNNEL APPROACH

Need to make a splash with a new product launch or brand refresh? A cross-screen campaign may deliver the desired business outcomes! TV has long been considered a key touchpoint for driving consumers down the marketing funnel. Yet as consumer behavior has shifted, so has the path to purchase. With this shift in behavior, brands may want to reconsider their approach to advertising, especially on TV. Today’s data-driven, targeted TV advertising strategies allow marketers to amplify and reinforce messages to specific audiences, educate new customers, foster brand loyalty, and drive sales. In fact, advanced TV platforms such as Cadent’s Aperture allow marketers to target, plan, execute, and measure across multiple types of TV media. By activating their messages across all TV screens, brands can engage consumers at all the moments that matter throughout the buying process and drive greater return on ad spend.   

3. CLOSE THE LOOP WITH IN-STORE SALES BASED ON POS INSIGHTS

While e-commerce is growing across the retail sector, most CPG sales continue to take place at brick-and-mortar locations. This makes measuring in-store sales critical for campaign success.  Advances in technology make it easier for marketers to measure sales outcomes of advanced TV campaigns using point-of-sale data. This purchase data is mapped to exposed households, allowing marketers to understand the true ROAS of their advanced TV advertising.   

Ultimately, CPG brands must future-proof their advertising. It’s clear that although linear TV still commands a large audience, more consumers are shifting part or all their viewing behavior towards Over-the-Top and Connected TV (OTT/CTV). To compete in a saturated market, CPG brands are turning to a digital-first or mobile-first approach. But in addition to their digital channels, data-driven advanced TV has a crucial role to play. Improved targeting and measurement are encouraging greater investment in advanced TV advertising, so it is prime time for CPG brands to get started!  

Ready to plan your next advanced TV campaign?