NOT YOUR EVERYDAY STRATEGY
Social Advertising Tips for CPG Brands
Adaptly Best Practices
Social Advertising for CPG Marketers
TRENDS
In 2016, consumer packaged goods (CPG) and
consumer products advertisers in the US are spending
$5.97 billion on digital marketing, an 18.2% year-overyear increase. Brands are intentionally focusing more
than 60% of digital spend on mobile devices: according
to comScore, mobile accounts for nearly 2 out of 3
minutes people spend consuming digital media.
CPG and consumer products companies are also
keeping up with consumer behavior by boosting
spend on digital video, translating insights gleaned
from television to the small screen. While companies
in the sector won’t abandon TV any time soon, they
are tapping into in-house and third-party data and
taking advantage of digital video’s reach and extensive
targeting capabilities to enhance relevancy.
THE VERTICAL
CPG and consumer products
encapsulate packaged goods,
food products, household
products, personal care
products, cosmetics, and
toiletries.
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Adaptly Best Practices
Social Advertising for CPG Marketers
CONSUMER PACKAGED GOODS AND THE SOCIAL MEDIA LANDSCAPE
As CPG and consumer products brands are improving
And with nearly 80% of social media time spent
their ability to harness data about consumer
on mobile devices, mobile is a key aspect of social
preferences, they are increasingly relying on social
advertising that enables brands to keep their products
media platforms to reach consumers at various
top-of-mind and complement visual storytelling efforts
stages of the purchase funnel (e.g., influence decision-
on TV.
making in-store). Market research company IRI
reports that 76% of CPG shopping trips start online,
and many consumers continue researching products
and comparing prices on smartphones while in the
shopping aisles.
THE PURCHASE FUNNEL
BEGINS ON MOBILE
Reach consumers at the
beginning of their shopping
journey on mobile, where
they research products and
compare prices.
76%
76% of CPG shopping
trips start online.
80%
80% of social media
time is spent on mobile.
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Adaptly Best Practices
Social Advertising for CPG Marketers
CHALLENGES
Rapidly Evolving Shopper Behavior
New Competition and Media Consumption
While the major CPG companies are already household
Recently, there has been an emergence of CPGs
names and have high levels of brand awareness,
with innovative business models such as direct-to-
increasing purchase frequency can be a challenge.
consumer. These new companies owe much of their
According to a Deloitte survey, consumers consider
success to millennials.
just 30% of brands they purchase to be “must haves,”
Millennials, many of whom are becoming new parents,
or brands they would buy at full price even if other
are growing in purchasing power and setting high
items are on sale. The same study revealed that “must
expectations for CPG companies. Rather than heavily
have” brand loyalty has declined for three in four CPG
reliant on TV, they are mobile-first digital natives: in
categories since 2011. When shopping, consumers are
comparison to Baby Boomers, they’re 3.8x more likely
taking into consideration more than factors such as
to use Facebook and Instagram and 1.6x more likely
product price and performance. Now, they’re making
to use digital channels to learn about new products.
purchase decisions based on attributes like health
In addition, millennials are 3x more likely than Boomers
consciousness and brand responsibility.
to shop online for groceries, candy, or other food and
1.9x more likely for health and beauty products.
KNOW YOUR CUSTOMERS
Millennials are more likely to
use digital channels to shop
and learn about new products,
while Baby Boomers are more
likely to shop in stores.
3.8x more likely to
use Facebook &
Instagram
1.6x more likely
to use digital
channels to
learn about new
products
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3x more likely
than Boomers to
shop online for
groceries, candy,
or other food
1.9x more likely
than Boomers to
shop online for
health and beauty
products
Adaptly Best Practices
Social Advertising for CPG Marketers
Brands can help mitigate these issues and attribute
Audience Fragmentation Across Channels
social advertising efforts to sales by leveraging data
While 69.2% of CPG respondents in a Duke University
companies like Datalogix that provide cross-channel
survey of CMOs said they commit marketing budgets
shopper insights. It will become increasingly important
to social media, only 12.5% have been able to
for CPG marketers to turn big data encompassing
quantitatively show the impact. Integration is one area
consumers’ offline and online activity into smart data:
of opportunity when it comes to measurement for
IRI reports that the Internet will account for about 50%
CPG brands. Half of respondents in the same study
of industry growth, or $28 billion, by 2018.
responded with a “5” on a scale from 1 to 7 (Not At
All Effectively to Very Effectively) when asked “How
Read on for strategies on how to integrate social
effectively does your company integrate customer
advertising into a brand’s multichannel marketing and
information across purchasing, communication and
measurement mix.
social media channels?”
INTEGRATE CUSTOMER
INFORMATION ACROSS
CHANNELS
Data companies can help
brands make sense of
consumers’ offline and online
activity to develop a multichannel marketing mix.
O F F L I N E
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Adaptly Best Practices
Social Advertising for CPG Marketers
ADAPTLY RECOMMENDATIONS
Reach fragmented audiences cost-effectively
and achieve scale.
Extend the reach of existing sponsorships or
events and capitalize on real-time buzz.
• Plan campaign budgets on reach and frequency of
When activating around tentpole events like the
a brand’s target audience, using a frequency level
Super Bowl or Grammys, focus on becoming part of
based on how much impact you want to achieve.
the conversation or creating a moment in time that
Use Facebook’s Reach and Frequency tool to serve
demonstrates brand personality and will keep people
users a series of ads from start to finish, striving
talking and interacting.
for at least one to two per week. This is where a
• Raise awareness and increase engagement for
brand’s personality can really shine with humor
brand sponsorships and events using Twitter,
and character development, and try to be a part of
a platform where brands can be cheekier and
pop culture conversations. Or tap into Placement
humorous to appeal to millennials. Providing real-
Optimization to run ads across both Facebook and
time content will allow a brand to have an authentic
Instagram to boost reach and improve campaign
voice shine through and connect with users.
performance while driving cost efficiencies.
• Measure advertising effectiveness on Facebook
• Optimize towards reach with highly impactful video
with Nielsen Digital Ad Ratings (DAR). This type of
on mobile.
measurement allows audience size and impressions
• Allocate a portion of budgets to always-on content
to be verified by a third party. Advertisers can also
while allocating a majority of ad spend for new
tap into Social Content Ratings, Nielsen’s solution
product launches, high-profile partnerships, and
for measuring aggregated conversations related to
measurement studies.
TV programs on Facebook and Twitter.
JOIN THE
CONVERSATION
Commenting on an event in
real-time can showcase your
brand personality in a fun
and authentic way.
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Adaptly Best Practices
Social Advertising for CPG Marketers
entire planning process throughout a Pinner’s time
Identify key audience segments with varied
purchase behavior and native targeting
across each platform.
on the channel. Keep in mind that keywords should
encompass both broader terms as well as specific
terms to reach people throughout the planning
Maintain cost efficiencies by using a mix
of native targeting on the platforms (e.g.,
keywords, interests, behaviors) and third-party
data providers such as Datalogix, Acxiom,
and Ibotta.
• Third-party data providers track purchasers of
different products through credit card transactions
at various retailers. You can target light, medium,
heavy, lapsed, and other types of purchasers.
journey.
Utilize CRM data and reach broader audiences
similar to existing top customers.
• CRM audiences can be compiled from email
subscribers, loyalty card holders, or other information
gathered about users. These are important audiences
as they have already demonstrated interest and are
more likely to re-engage.
• On Twitter, use a combination of relevant handles,
• To win back customers who haven’t shopped in a
keywords, interests, event targeting, and TV
while, leverage CRM audiences to build Lookalike
targeting. Note: Datalogix and Acxiom audience
Audiences on Facebook and Instagram that scale
segments are available directly via Twitter.
efficiently.
• On Facebook, use a combination of behavioral,
• Advertisers can use Snapchat’s Snap Audience Match
demographic, interest, and household composition
and Lookalikes to tie a brand’s list of email addresses
targeting.
and mobile IDs to the platform’s consumer data, plus
target users with characteristics similar to existing
customers.
Top Searches on Pinterest:
recipe, easy healthy recipes,
• Target Pinners on Pinterest based on the types
breakfast desserts, cake,
of products they are searching for. Use seed
appetizer, cupcakes, breakfast
audiences (Customer Lists or Visitor audience seeds)
ideas, cookies, healthy snacks.
of top qualified customers to generate Actalike
audiences. People use Pinterest to visually plan for
the future, so promote ads well in advance of other
• On Snapchat, tap into Snapchat Lifestyle Categories
marketing channels to capture user interest in the
to target users based on their platform engagement:
consideration/planning phase. For example, for the
not only foodies, but also sports fans, film and tv
Super Bowl, start promoting pins right after the new
fans, and more.
year to influence people as they begin to think about
their party and their needs to host it.
• On Pinterest, use a combination of keywords,
interests, and Actalike targets to capitalize on the
BUILDING AUDIENCES
LO CATION
DE MOGRA PHIC S
INTERES TS
+ BEHA VIO R
RE-T ARGETI NG
1ST PARTY
+ LOOKALI KE
7
3RD PARTY
DATA
Tap into robust targeting
options to deliver relevant
messaging to the right
audience.
Adaptly Best Practices
Social Advertising for CPG Marketers
Appeal to millennials and moms, the
primary shoppers for CPG products within
households.
70% of Food & Drink Pinners
discovered a new product
on Pinterest and 1 in 3
Mass CPG brands can reach millennials, a prime
demographic growing in purchase power, by
refining their targeting and creative. Tapping
into celebrity spokespeople and having a
presence on the newest, shiniest platform is
the best way to reach this group.
• Snapchat reaches 41% of 18- to 34-year-olds in the
US versus 6% reached by the top 15 TV networks.
Deliver brand stories in the app with Snap Ads by
leveraging powerful vertical video between users’
Stories to drive impact and awareness. Utilize
Snapchat’s new swipe-up attachment capability to
direct users to a long-form video or a customized
‘web view,’ or to drive them to download an app.
purchased that item.
• Half of new daily Snapchatters in the U.S. are
over 25.
- Reaching moms with quirky, playful Snapchat
content will help raise awareness of CPG products.
- Test multiple vertical video options on this
platform to see what’s performing most efficiently
and shift budget accordingly.
According to Pinterest internal data, more than 50%
of all moms are on the platform, with ‘food & drink’
Moms drive 70-80% of all consumer purchasing.
• US moms check Facebook about 10 times per day.
What’s more, one in four US female Instagram
users are mothers, of which 68% use the platform
daily. Leverage the two platforms to target specific
demographics:
and ‘beauty’ being two of the most popular categories.
• 36% of parents on Twitter use the platform daily.
- Have multiple tweets in the auction at the same
time and optimize to the most efficient.
- Whitelist additional handles of mom-fluencers and
- Key audiences driving purchases - New Moms,
promote relevant content from their accounts.
Moms of Elementary School Children, Big City
- Work with Twitter to cap frequency to control for
Moms, etc.
over-messaging to your audience.
- Household compositions - Family-based
households, New Parents, and so on
- Income levels - $50K+, $75K+, and more
SNAP ADS
Deliver brand stories in the app with
Snap Ads by leveraging vertical video
between users’ Stories to drive impact
and awareness. Utilize Snapchat’s new
swipe-down capability to direct users
to a long-form video or a customized
‘web view,’ or to drive them to
download an app.
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Adaptly Best Practices
Social Advertising for CPG Marketers
• Snap Ads, which can be viewed similar to TV spots,
Reinforce brand messaging on TV with
social ads.
offer a unique experience: brands can use the
format to engage Snapchatters with motion and
• Run reach activity on Facebook alongside TV to drive
sound through high-quality content.
incremental reach of core audiences. 85% of viewers
who visit a social network while watching TV visit
Facebook.
• Use TV targeting on Twitter in order to reach people
on their second screen. People who use Twitter
while watching a TV program are 62% more likely
than people who aren’t on Twitter to recall brands
that advertise.
TWO SCREENS ARE BETTER
THAN ONE
TV targeting can help you reach
social media users who are secondscreening while watching TV, which
will reinforce your brand message.
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Adaptly Best Practices
Social Advertising for CPG Marketers
• To find the most relevant audiences and drive
E-commerce in the CPG world is still a very
new tactic. Most CPG brands drive to online
retailers such as Amazon and Pea Pod to
generate sales, which doesn’t allow for
the most accurate tracking and retargeting
capabilities. Focus on audiences that are
click-heavy and test different creative to
determine which drives the most site traffic.
efficiencies, run tests such as geo- targeting to
metropolitan millennials or people who live far
away from grocery stores.
• Showcase multiple products and/or deals with
Facebook Carousel Ads. This works really well during
the back-to-school timeframe or around holidays
where you can package multiple products together
• Continue driving messaging home to shoppers who
as your target is meal planning.
have already expressed an interest in a brand and
• Focus on measuring in-store sales through third-
funnel users to conversion. Tell a story through
party data providers and understanding how to
sequential messaging with Facebook’s Reach and
increase incremental sales by core audiences.
Frequency tool and use Pinterest’s retargeting
capabilities to tell a more in-depth story. Utilize a
• 93% of Pinners use Pinterest to plan purchases,
combination of long-form video, short-form video/
which include what they’ll buy at the store for
gifs, and lastly, static photos.
dinner, an event they’re hosting, or a date. Given
the planning nature of Pinterest, create content
- Pool video viewers from this content and serve
that resonates with people throughout the funnel
them additional ads, driving them to purchase the
and refresh content to align with seasonality, big
product or products they recently were shown.
moments, and always-on initiatives. Keep in mind,
• Target product buyers/CRM audiences and
pins live in perpetuity, so content will continue to
Lookalikes with Link Ads to increase scale and traffic.
surface as it is relevant.
Facebook and Instagram users have an inherent
• Engage users with innovative ad units like 360 video,
interest in your brand and you’ll want to drive them
Facebook Canvas, or Snapchat Web View.
to purchase their favorite products in a new way.
CHOOSE THE RIGHT
AD FORMAT BASED ON
OBJECTIVES
Carousel ads are effective for
CPG brands because they
showcase multiple products
in a single ad unit.
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Adaptly Best Practices
Social Advertising for CPG Marketers
• Compared to the national average, CPG brands
Measuring campaign ROI can be challenging,
so work with third-party data and
measurement partners such as Datalogix
and Nielsen Catalina.
are 3x more likely to reach existing customers
on Pinterest—and those customers spend 16%
more. For Pinterest, focus on engagement rates
as a measure of success because the platform has
• Use Facebook’s Reach and Frequency tool to drive
proven that a strong click rate equates to in-store
reach and mass awareness, then continue to drive
sales. The new Pinterest Tag allows brands to track
users down the funnel by retargeting them. Lock
in unique reach and average frequency that follow
events and event data on site.
best practices for the duration of a campaign on
- Events such as Add to Cart, Checkout, Search,
Facebook and Instagram: a reach of at least
Lead and Page Visit can be reported on and used
20 million and one to two impressions per user,
for audience creation.
per week.
- Create Visitor Audience rules to specify who
• To gauge campaign success and understand
to target based on user behavior on site. For
purchase intent, measure Brand Lift or Brand Effect,
example, brands can create an audience of users
rather than DLX ROI, which leverages CPG data from
who triggered a Page Visit event on a certain URL
multiple retailers and measures in-store sales/lift.
and had a search query like “appetizers.”
• Hold a two- to four-week dark period after a
campaign to avoid skewing results.
MEASUREMENT
DEMYSTIFIED
Evaluate campaign
performance and calculate
ROI with help from third-party
measurement partners like
Datalogix and Nielsen.
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Adaptly Best Practices
Social Advertising for CPG Marketers
ROUNDUP
Ultimately, CPG companies have to adapt to rapidly
changing consumer behavior in order to remain
competitive. Traditional marketing tactics and channels
won’t do; innovation is key.
Millennials, who have surpassed Boomers as the largest
living generation in the US, are nearly twice as likely to
trial new products. CPGs should seize the opportunity
to win over this growing demographic and keep them
loyal by using social advertising to appeal to their
interest in online discovery and shopping, which will
rapidly evolve to mobile purchasing.
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Adaptly Best Practices
Social Advertising for CPG Marketers
CONTACT US
Adaptly is a marketing technology and services
company that enables the world’s biggest advertisers
to scale campaigns across walled gardens, including
Facebook, Instagram, Snapchat, Twitter, and Pinterest.
Clients spanning 15 industries include MasterCard,
Viacom, FOX, Banana Republic, Etsy, KFC, Frito-Lay,
Quaker, and more. Adaptly is headquartered in New
York City, with offices in Chicago, Los Angeles, San
Francisco, Sydney, and London.
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www.adaptly.com | facebook.com/adaptly | @adaptly. For more information, please email [email protected].
Adaptly Best Practices
Social Advertising for CPG Marketers
SOURCES:
eMarketer
US CPG and Consumer Products Industry 2016: Digital Ad Spending Forecast and Trends
ComScore
2016 U.S. Cross-Platform Future in Focus, The CMO Survey
IRI
Taking Stock of CPG Past and Future: Gear Up Now for a Year of Growth
Deloitte
2016 Consumer Products Industry Outlook
Facebook IQ
Raising the Bar: The New Millennial CPG Shopper
Wall Street Journal
Snapchat: How Brands Reach Millennials
Instagram for Business
Reaching Moms on Instagram
Twitter Blog
New Research: TV Viewers Who Engage on Twitter Have Higher Rates of Ad Recall
eMarketer
Mothers Prefer to Check the Social Media Site via Their Mobile Phone
Pew Research Center
Parents and Social Media, Pinterest Internal Data
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© Adaptly, 2016
Printed in United States of America.
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