How Companies Can Use Big Data To Help Their CPG Executives Make The Best Decisions
Big data and analytics help consumer packaged goods (CPG) executives make informed product decisions, create a competitive edge, and adapt to meet consumers’ ever-changing expectations. Innovation in this industry is crucial for growth and success.
Big data helps retailers understand customer feedback and use it to tailor future product development
Engaging with customers on a regular basis is important. Conducting opinion studies, focus groups, and market research are traditional methods of gathering information that are proven to work. Social media provides real-time feedback that can help retailers and product developers understand what areas of need are emerging and which trends require their attention. Real-time feedback also helps bring to light which product features customers like most, which can drive incremental improvements and bring new ideas to market faster.
Consumer-generated data informs product development
Consumer-generated data comes to retailers in the form of Facebook posts and reviews, Twitter mentions, YouTube video reviews, and Pinterest responses. Gathering this data is a good idea, but there are other ways to use it, as evidenced by the Mighty Handle market research project in 2014. The product was set to roll out in Walmart, but their target audience differed from the typical Walmart shopper. This innovative company tested several product packaging options on YouTube and Facebook before choosing one for their Walmart debut. As a result, their test was a success and they are now in over 3500 Walmart stores.
Master data on all products provides full traceability
Consumers demand transparency where product safety is concerned. Traceability is a huge issue in the food safety arena, and using master data to meet this demand puts a business in a position to improve customer satisfaction.
Maintaining comprehensive master data on all of their products, from the raw-goods supplier to the retailer that their customer purchases the product from puts the company in a position to produce information upon request. This helps establish trust with customers and translates to better sales and a bigger market share.
Companies can stay competitive far into the future by employing these tactics to use big data to their advantage. Prioritizing feature releases, identifying new business opportunities, creating better products, and staying ahead of customer expectations put businesses in a position of power.