Image from: Beautiful Beholder / Shutterstock
Beauty and Health manufacturers spend millions of dollars on marketing, attempting to create brand awareness, brand buyers, and ultimately, brand loyalists. In the Summer 2012 Online Shopper Intelligence survey, we set out to gauge consumer attitudes for health and beauty brands. Here is what we found.
Brand awareness for all brands is higher among females
Brand awareness among the leading health & beauty brands in very high in general, but even higher among females. This is true even for male product brands! I think this is a result of CPG companies focusing their marketing efforts primarily on women. But this needs to change. Men are increasingly taking on an active, if not primary, role in household shopping. If he doesn’t know your brand message, he will likely not buy your brand.
Older consumers are more loyal to brands
When asked if they would try a brand they do not typically buy if it were on sale, 3 out of 4 said yes. That is a scary number for CPG companies who spend millions of dollars trying to build brand loyalist. Interestingly, consumers 65 years or older are significantly less likely to switch brands compared to younger consumers. Perhaps the stronger brand loyalty among older consumers is simply a result of them having more time to establish a connection to a brand. In that case, all the marketing dollars do pay off, but it takes a long time.
Majority of consumers think brand name and private label brand health and beauty products are of equal quality
Across all age brackets, more than half of the consumers surveyed believe private label health and beauty products are just as good as brand name products. Even more telling is that almost 1 out of 10 consumers 18-34 year olds, a key demographic for CPG marketers, think private label products are actually higher in quality than brand name products. CPG manufacturers face a large hurdle convincing consumers to pay the premium price for brand name products when consumers think the less expensive store brands are equal in quality. Marketing messages need to focus more on brand differentiation and the benefit of buying the name brand. Coupons and samples are also great tools markers can use to drive trial and hopefully repeat sales.
As consumers continue to move their health and beauty dollars online, these learnings can help guide online strategy. Make sure online campaigns target towards both males and females in order to reach the changing customers base. Discounts go a long way in driving trial, so work with retailers to promote brand discounts and coupons on site. Finally, private labels do not have a strong loyalty online, so take advantage of this opportunity by emphasizing brand value propositions in onsite advertisements and product descriptions.
Be sure to tune in next week for when I look at consumer perception of household care brands.
Debra Miller Arbesman is senior associate, retailer and consumer products at Compete, a Kantar Media company that helps brands improve their marketing based on the online behavior of millions of consumers.