CPG branding what it is and sales – boosting tactics

It involves understanding consumer behavior, leveraging customer data, and implementing targeted marketing initiatives. Effective marketing strategies ensure that consumer packaged goods stand out on crowded shelves and online marketplaces, driving both brand recognition and sales growth. CPG marketing is how businesses promote consumer packaged goods like food and household goods to the buying public.

Step inside any convenience store and you’ll find a litany of choice for potato chips. They can be thick, thin, wavy, or flavored, but at the end of the day, they’re all potato chips. Consumer packaged goods (CPG), like potato chips, are easily replaced, regularly used, and commonly purchased. To get shoppers to buy your product over your competitor’s, you need a strong marketing strategy. The right language, logos, and advertisements can help a product stand out from the competition.

Did you know that four out of five consumers feel they have to trust a brand before pulling out their wallets, according to the Edelman Trust Barometer? Developing this trust is harder than ever, especially since three out of four consumers actively avoid advertising.

Given that ad-blocking technology and ever-changing media channels are a hindrance for brands, they must find new ways beyond ads to achieve recognition. The importance of strong branding for earning consumer trust in the CPG sector is more than evident. Distinctive CPG branding tactics should be embraced to match the promotional power of ads and capitalize on the consumer transition into the ad-free purchasing journey.

Before taking a closer look at the tactics you can leverage, let’s define the terms for an easier understanding.

What is a CPG brand?

CPG marketing is how businesses promote consumer packaged goods to the buying public. CPG marketing can serve a variety of business goals such as increasing brand awareness and influencing consumer behavior but it has one overarching purpose: to sell more goods. Effective marketing strategies are essential for CPGbusinesses looking to stand out in a marketplace that has seemingly unlimited offerings. Consumer packaged goods companies are businesses that sell products consumers use regularly and replace often. CPG product categories include food and beverage items, household supplies like cleaning products, cosmetics, and over the counter medications.

If you were to draw up your weekly family shopping list, you would be eyeing consumer packaged goods or CPGs. Traditionally, these have only been associated with groceries, toiletries, and other everyday household essentials that need to be replaced frequently. But CPG categories expand as if on steroids. In 2024, they also include tobacco and cannabis products, as edibles, oils, topicals, tinctures, and flowers must be replenished consistently.

What are CPG brands, and how do they shape the items on your list? A CPG brand is basically a company under which these day to day essentials come. Think of brands like Jane West, renowned for cannabis based products and accessories, or Nestlé, which is the go to source of cereals and family nutrition for millions of people.

All CPGs have a short lifespan and are synonymous with rapid turnover. They have to win consumers over and over again because the product shelves are overflowing with offers, and the switch price is negligible. Fighting for consumer attention and trust mainly hinges on the successful presentation of consumer packaged goods. For over 60% of people, the unique look and value of CPGs and their ability to stand out is a deciding factor.

CPG branding and the hemp industry

Hemp and cannabis products are steadily transitioning from niche markets to the mainstream industry. This is why marketing them becomes as hard as other CPGs. But what is beyond the power of traditional advertising can often be achieved through consumer packaged goods branding. Effective branding lays the groundwork for trust and successfully communicates quality and compliance while being:

• Attention grabber. Extraordinary visuals are the magnet for attention. That’s a fact. Custom designs, interactive elements, NFC technology, and temperature-sensitive inks on packaging can distinguish your CPGs from generic ones.

• Trust builder. For cannabis brands entering the CPG market, credibility is based on being transparent, safe, and value-oriented. Their branding should revolve around open communication and consistent messaging to position themselves as reliable.

• Quality guarantor. Sometimes, you don’t even have to put a brand’s goods to the test to know they are the best of their kind. When a CPG company’s branding is done right, it can be automatically correlated with top quality.

• Compliance guardian. Brand elements can be combined with or smartly used to accentuate compliance certificates and safety awards. This is particularly important for cannabis products that are often assessed by their safety and legal status.

Key tactics for CPG brands to drive sales

When customers are about to decide whether your goods are worth a shot or not, they compare their value to other items within the category. However, it is not only the “Top quality, low price” rule that applies here. The meaning of CPG brands and their goods can be conveyed through a range of branding elements to win customers over.

Storytelling

Lifeless packaging won’t contribute to your sales. But adding a story behind your CPGs will. This works well enough for traditional consumer packaged goods and cannabis products, which can benefit from creative depictions of the cultivation process, strain selection, or growing techniques.

Consumer insights

When brands tune in to what consumers want, their products advance to a higher league without further ado. Build your brand image according to the findings of professionally carried out research and surveys. Once people realize you really listen to them, your sales will take flight.

Digital integration

Digital features add interest to CPG packaging. They provide a tech-savvy way to wow buyers and inspire loyalty through scannable QR codes or augmented reality. Admit it: wouldn’t you be excited to scan it to see how the item was sourced or made before buying it? (We know you’re nodding your head right now.)

For niche audiences

Even though cannabis products have transitioned from the niche market, many target audience subgroups still exist. Their preferences may differ from those of the general audience, which should be perceived as an opportunity rather than an extra challenge. If you identify their wants accurately, you can tailor your goods and augment your sales.

The role of a CPG branding company

If all this sounds like too much to handle, remember that teamwork makes the dream work. You can always join forces with a CPG branding agency that has specialized expertise for the categories of goods you sell. These agencies can do the branding for you and ensure your strategies are comprehensive and effective. They know how to speak your audience’s language and nurture trust that will accompany your brand image forever.

Partnering with a CPG branding agency can be a strategic advantage for all brands specializing in consumer packaged goods, including cannabis companies. A professional branding team can guide you through practical retail tactics and packaging while overseeing everything you do through the lens of compliance. You can not push your sales up at all costs-doing it in a legal way is a real achievement.