This shift towards community building is not just a trend but a strategic necessity driven by the changing expectations of consumers and increasing competition. Central to this approach is the effective use of data collection and customer relationship management (CRM) strategies, which not only foster community engagement but also contribute to significant cost reductions in branding and customer acquisition.
Evolving Customer Engagement
FMCG companies can no longer rely solely on single transactions and traditional marketing tactics. Modern consumers seek more personalized and relevant interactions with brands. By utilising data collection through CRM systems, FMCG companies can gain valuable insights into consumer behaviours, preferences, and purchasing patterns. This data is crucial for creating personalised marketing campaigns and initiatives that resonate with specific customer segments.
Promoting Sustainable Growth Through Community Building
Building a successful community in the FMCG sector goes beyond transactions. It involves creating an ecosystem where customers feel valued, heard, and engaged. CRM platforms enable companies to cultivate ongoing relationships with customers, encouraging loyalty and advocacy. This approach not only strengthens brand affinity but also contributes to sustainable growth by reducing the need for costly customer acquisition efforts.
CRM Strategies for FMCG Success
Implementing effective CRM strategies allows FMCG companies to execute targeted marketing activities that promote community engagement. Here are some examples of CRM-based marketing initiatives:
- Personalised Email Campaigns: Use CRM data to send personalised and relevant email campaigns, such as product recommendations based on past purchases or exclusive offers tailored to individual preferences.
- Segmented Loyalty Programmes: Create multi-tiered loyalty programmes that reward different customer segments based on their purchasing behaviours and engagement levels.
- Community Building Events: Organise virtual or in-person events exclusively for community members, offering networking opportunities, product demonstrations, and interactive sessions.
- Feedback and Surveys: Utilise CRM systems to collect customer feedback and conduct surveys to understand sentiments and areas for improvement.
TLC Worldwide’s Proposal: Integrating Strategies with Guaranteed Rewards
TLC Worldwide offers a compelling solution through our COSMOS platform, which can be integrated with CRM systems to provide guaranteed rewards to customers and prospects. Using COSMOS, FMCG companies can run various campaigns with specific call-to-actions (CTAs), each tailored to the unique needs and preferences of customers. Whether it’s offering guaranteed rewards for completing surveys, making purchases, or participating in community events, COSMOS enables companies to create meaningful interactions and lasting relationships.
In the UK, as in many other countries, FMCG companies are increasingly focusing on creating and maintaining long-term relationships with customers. This evolution is driven by changing consumer expectations, which now demand personalised experiences and more meaningful connections with brands. Data collection and CRM play a crucial role in helping FMCG companies achieve these goals.
Trends and Statistics on Data Collection and CRM Activities in the UK
Recent data indicates that FMCG companies in the UK are continuously investing more in data collection and CRM activities to better understand consumer behaviours and optimise their marketing strategies. Statistics show a significant increase in investments in CRM technologies and data analytics platforms within the FMCG sector.
In 2023, British FMCG companies saw a rise in data collection activities through both online and offline channels. This includes the use of transactional, behavioural, and demographic data to create detailed customer profiles and guide more targeted marketing decisions.
Prospects for 2025 and beyond
For 2025, further adoption of advanced CRM technologies in the FMCG sector in the UK is expected. Companies are looking to develop increasingly personalised customer experience strategies and build loyal customer communities.
The prospects for 2025 include:
- Greater Integration of Data from Various Sources: To gain a comprehensive view of customers.
- Further Implementation of AI and Machine Learning Solutions: To analyse data and improve consumer behaviour predictions.
- Increased Focus on Using Data: To create more effective loyalty programmes and offer personalised customer experiences.
Impact on Efficiency and Business Sustainability
Effective use of data collection and CRM allows FMCG companies to improve operational efficiency, reduce branding and customer acquisition costs, and promote long-term sustainability. Building a community of loyal customers through well-planned CRM initiatives is crucial for maintaining a competitive edge in an increasingly complex market.
Reducing Trade Marketing and Branding Costs with Guaranteed Rewards
A well-executed data acquisition and loyalty campaign based on guaranteed rewards can effectively reduce trade marketing and branding costs in several ways:
- Precise Targeting and Optimisation of Trade Marketing Activities: An effective data acquisition campaign allows detailed customer information collection, including purchasing behaviours, preferences, and interactions. This data enables more precise identification of profitable customer segments and points of sale. Consequently, trade marketing activities can be optimised by focusing on the most interested buyers, reducing resource waste, and costs associated with promoting in less performing outlets.
- Personalisation of Branding Strategies: A solid data foundation allows for more targeted and personalised branding campaigns. With better customer knowledge, companies can develop more relevant and engaging content and messages. This not only increases the effectiveness of branding activities but also reduces overall costs by eliminating investments in generic or poorly targeted initiatives.
- Increased Customer Loyalty and Reduced Need for Aggressive Promotions: A well-structured loyalty campaign based on guaranteed rewards can promote the loyalty of existing customers. Guaranteed rewards create a strong incentive for regular buyers, reducing the need for costly short-term promotions to maintain consumer engagement. This results in greater sales stability and continuity, reducing dependency on discounts and promotional offers that erode margins.
- Optimisation of Marketing Budgets: Using acquired data to better understand customer behaviour and market dynamics, companies can allocate their marketing budget more efficiently. This means investing in activities and channels that show the highest return on investment (ROI), avoiding waste on less effective initiatives. A well-designed loyalty strategy allows for optimised resource distribution, focusing efforts on maintaining and developing long-term relationships with the most profitable customers.
TLC Worldwide Campaigns
An effective data acquisition and loyalty campaign, supported by guaranteed rewards, not only helps build lasting relationships with customers but also reduces trade marketing and branding costs. By leveraging data to optimise strategies and improve marketing initiatives’ effectiveness, companies can gain significant competitive advantages and generate long-term value for their brand.
Case Studies
We’ve worked with plenty of FMCG brands over the years who, using our proprietary tech and data model have rewarded their customers and achieved success. Some campaigns of note include:
Heinz Free Dayz Out
During a time where branded products were growingly losing market share to supermarket-own products, we created a campaign for Heinz to drive and support continued brand love amongst the nation.
We used the summer season to incentivise consumers to choose Heinz products, particularly for their barbeque needs, by offering them added fun with each pack. Every customer received one free entry for a day out when they purchased a promotional pack, creating a social media frenzy and drumming up lots of brand love.
Birds Eye x Hasbro
Birds Eye were looking to drive spend and market share, whilst bringing excitement to the category of frozen food, and provide an emotional benefit to families.
So, we created an amazing brand partnership with Hasbro Games and offered an exciting reward for all ages, whilst incentivising customers to increase basket spend. Customers were able to claim one free Hasbro game with the purchase of four items.
Superdrug Studio London
To drive increased awareness of the Studio London brand and celebrate its first birthday, we sent out birthday gifts to customers who bought from the brand in the preceding 6 months. Along with in-store comms, Superdrug wanted to celebrate their Studio London brand’s birthday whilst also saying front-of-mind with its customers and re-engaging lapsed customers. The customer received an email, were able to pop the balloon on the website to reveal their free gift. Rewards included Costa coffee, Krispy Kreme Doughnut or 1 months premium access to Meditopia.
Palmer’s Forest
We launched a new consumer in-store marketing campaign, designed to drive the sale of Palmer’s hair and body products, whilst also promoting sustainability in regards to their brand. Developing the Palmer’s Forest in Cameroon (Africa) with Tree Nation Palmer’s aimed to improve the livelihood of Cocoa farmers (being the main ingredient to Palmer’s products).
With every purchase we invited the customer to plant a tree for themselves and send one to a friend to be planted. We planted all 24,000 trees regardless of redemption levels.
Eukanuba Smile For You
To drive repeat purchase with prize draw on Eukanuba’s DentaDefence products, we curated 500 prizes to be distributed first across Pets At Home, then in other retailers. We offered an attractive prize overlay to incentivise customers to repeat purchase and enter the competition.
The prizes being A5 framed pet portraits from Purr & Mutt. Customers could select a themed portrait of their choice to customise with an image of their dog and receive a framed version.
