Top 100 CPG Companies Turn to Mobile SFA

In September, Catalina released a report revealing that major consumer packaged goods brands are trailing in today’s highly competitive retail environment. Nearly two-thirds of the Top 100 CPG brands tracked by Catalina saw sales and market share slip. Despite overall sales growth in every major category in which the top 100 compete. Among the 38 Top 100 brands that saw sales growth, the average gain, 5.5 percent, fell behind the average gain of 7.2 percent seen in their categories. Over the past few years, large manufacturers have seen an increase in smaller, agile manufactures into the marketplace.

The report found that 90 of the top 100 CPG brands have lost market share in 2015. This market share loss can be partially accounted due to an influx of small scale manufacturers into the market as well as the growing craze of the consumer looking for fresh and healthy alternatives, and lackluster retail execution. Large manufacturers lagged in adjusting to the shift in consumer demand but now we’re seeing an increasing number of manufactures removing unhealthy ingredients, limiting sugar quantities, and the industry as the whole is incorporating easily identifiable healthy labeling.

Large manufacturers are not only quickly adjusting to the fresh and healthy trend but are also reengaging with the consumers at the same level as small-scale manufacturers at retail. One way their approaching this problem is by investing in the three keys– people, hardware, and technology. Focusing on the technology aspect, large manufacturers are now equipping their field teams with mobile devices and updated sales force automation applications that effectively streamline their entire store visit.

Today’s in-store technology is allowing for organizations to integrate third-party data with their own internal data providing reps with detailed account-specific views that in turn help build sales and market share. CPG manufacturers are empowering their field teams to effectively collect in-store data, review it, assess it, and quickly improve execution at the shelf.  For large CPG manufactures these insights are essential at keeping an eye on the competition and enhancing their impact at retail across their portfolios. However; for a field solution to be widely adopted by any sales force that solution needs to be easy to use and provide a clean user interface, fit a team’s direct business needs, and allow for increased deployment ease with the growth of a sales team. Some of the larger CPG companies unfortunately have found this out first hand.

Large CPG companies seeking to seize the commercial potential of today’s in-store technology will continue to invest in mobile app solutions to keep pace with their competition and with the expectations of their customers moving into 2016.

 

The following two tabs change content below.
Seth Nagle, Senior Marketing Manager at RW3 Technologies understands the power of innovation but also its limitations. Attending Salve Regina in New England, starting his career in Silicon Valley, and now living in Austin, Texas; Seth provides a unique tech perspective to a complex CPG and Retail Grocery Industry that is in constant disruption.

Comments are closed.