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Tag: Digital

  • Digital will account for 49% of OTC advertising in 2023: Zenith report

    Digital will account for 49% of OTC advertising in 2023: Zenith report

    Mumbai: Advertising expenditure by over-the-counter (OTC) healthcare brands in 13 key markets, including India, will expand by 7.6 per cent in 2022 and five per cent in 2023, according to Zenith’s new Business Intelligence – OTC Healthcare report published on Monday. Digital will account for 49 per cent of OTC advertising in 2023, up from 46 per cent in 2021, said the report.

    By 2023, OTC adspend is expected to be 36 per cent higher than it was in pre-pandemic 2019. This growth will be driven by tailored digital brand advertising, as well as performance advertising driving traffic to OTC e-commerce platforms. The report forecasts that OTC healthcare adspend will grow from $20.1 billion in 2021 to $22.7 billion in 2023, exceeding by far the spending level of $16.7 billion in 2019. 

    OTC brands are expected to increase their digital adspend at an average rate of 11 per cent a year between 2021 and 2023, while radio grows by five per cent, television by three per cent, and magazines shrink by three per cent, as per the Zenith forecast. The 13 markets included in the report, apart from India, are Australia, Canada, China, France, Germany, Italy, Poland, Russia, Spain, Switzerland, UK and USA, which between them account for 74 per cent of total global adspend. The report covers medicines and remedies sold over the counter, including cold and allergy remedies, contraception, digestion care, eye care, oral care, pain relief, skin care, sleep aids, stop-smoking aids and wound care.

    “The pandemic has focused consumers’ attention on their health and disrupted their reliance on traditional OTC distribution channels,” said Zenith head of forecasting Jonathan Barnard. “Brands will continue to step up their investment in digital advertising as the rise of ecommerce gives it a greater role in driving OTC sales and brand growth.”

    OTC advertising grew throughout the pandemic. OTC adspend expanded by 6.8 per cent in 2020 while the market as a whole shrank by 3.5 per cent, as healthcare messages soared in relevance for consumers. Demand for cold and flu remedies sank sharply as social distancing cut their transmission, but most other sub-categories continued to grow, and sales of sleep aids spiked. When the pandemic hit, brands in many categories cut back or even ceased their communications, concerned that their messaging was no longer appropriate, or in some cases counterproductive in the new context. This gave OTC brands the opportunity to use plentiful cheap media to reinforce their contribution to consumers’ health and wellbeing.

    OTC advertising then rose a very healthy 12.8 per cent in 2021, though in this case its growth was slightly behind the overall market, which had lost ground to make up. Zenith forecasts growth in OTC advertising to remain healthy over the next two years, as brands defend their price premiums and ecommerce platforms compete to establish dominance.

    OTC has lagged some way behind the market as a whole in embracing ecommerce, but the lockdowns and other restrictions led to a leap in OTC e-commerce in 2020. Now that more consumers are aware of and comfortable with the option of shopping for OTC products online, it will become an ever more important sales channel over the next few years. This means traditional distributors such as pharmacies and supermarkets are facing new competition from digital ecommerce platforms, and brands have new opportunities to launch new partnerships or even direct-to-consumer ventures. The increased competition for traffic and sales will fuel continued growth in brand and performance advertising.

    Shift to digital helps brands tailor messaging to consumers’ specific needs

    When consumers first buy an OTC product, they often spend time researching the purchase and discussing it with family, friends and trusted advisors like pharmacists. However, after the first purchase, buying OTC products quickly becomes routine, part of the regular shop. The fundamental role of OTC advertising is therefore to maintain brand awareness at the point of purchase, much like FMCG advertising. Similarly, OTC healthcare makes heavy use of television for its high-impact mass reach. OTC advertisers spent 38 per cent of their budgets on television advertising in 2021, compared to 21 per cent for the average advertiser across all categories. OTC brands also spend more on radio and magazines – radio for its mass reach and magazines for their high impact.

    Until recently, it was difficult to use digital advertising to create emotional connections and lasting brand awareness. The rise of high-quality advertising environments, online video and retailer media – ads that appear on retail websites and e-commerce platforms – means brands can use digital to convey brand values effectively right through to the sale. Brands are also spending more on performance advertising as OTC ecommerce scales up.

    “The continued shift to digital allows OTC brands to use smart segmentation and dynamic creative to market the same products to different people with different needs, within the framework of regulations for digital advertising in this category,” said Zenith global chief digital officer Benoit Cacheux. “The gym-goer with muscle ache, the office worker with a headache and the parent whose child has growing pains all need pain relief, but brands need to talk to them in different ways to persuade them most effectively. This ability to tailor the creative to the needs of the audience gives digital advertising an advantage that traditional media never had.”

  • Carat India onboards Aruni Panda as VP – digital

    Carat India onboards Aruni Panda as VP – digital

    Mumbai: Carat India, from the house of dentsu India, has strengthened its leadership team for North and East. The agency has appointed Aruni Panda to lead these regions as vice president – digital.

    In his new role, Panda will lead strategic thinking and oversee agency clients on the digital front, reporting into Carat India CEO Anita Kotwani. He will work closely with the office head of the regions – Carat India executive vice president – planning Dipika Bhasin.  

    Panda brings over 15 years of experience and is an ardent practitioner of ad-tech tools, programmatic media planning & buying, social media & content marketing, digital customer experiences management, customer acquisition and web analytics. Prior to this, he was with GTB (part of WPP’s network of companies) where he held the position of AVP and senior digital media director, handling digital media planning, buying and execution.

    In his previous roles, Panda has been instrumental in helping brands and organisations develop digital marketing ecosystems by an outcome-led planning approach for the brand and the business. He has worked with brands like PepsiCo India and Ford India, to name a few across categories like FMCG, automotive, real estate, entertainment & sports, ISP & connectivity solutions, and IT-enabled executive education & training. Panda has re-positioned businesses as digital-first by setting up business-aligned digital ecosystems. He has also implemented and integrated seamless interplay between ad-tech and mar-tech stacks.  

    “With the changing dynamics of the media eco-system and a strong focus on digital across the clients of Carat, we felt it to be imperative to bring in a seasoned professional like Aruni to lead the digital mandate. His expertise across the full-funnel marketing will be an advantage that we would like to leverage across our existing and new client fold,” said Anita Kotwani, commenting on the appointment.

    Dipika Bhasin added, “Aruni’s experience will charter current and new growth with our partners. He will hold a strong commitment to driving Carat’s digital practice and the integrated media offerings of dentsu India. We are extremely happy to have him as part of the team!”

    “I am elated to embark upon this new journey with Carat India, an agency already known for its integrated approach backed by cutting-edge data tech and tools. It is critical to map, plan and build the right digital approach in this ever-evolving digital space for our clients to thrive into the future. I am looking forward to being a part of Carat’s growth story under Anita’s leadership and partnering with clients in their digital endeavour with the combination of media, data, commerce and technology,” commented Aruni Panda.

  • India fastest-growing market globally at 14.6%: dentsu Global Ad Spend Forecast report

    India fastest-growing market globally at 14.6%: dentsu Global Ad Spend Forecast report

    Mumbai: Advertising expenditure in the Asia Pacific is expected to grow by 5.9 per cent, with India being the fastest-growing market globally at 14.6 per cent, followed by the US, Russia and Canada, according to dentsu’s Global Ad Spend Forecast report. Digital forecast is expected to increase 9.6 per cent to a share of 61.1 per cent of total APAC advertising spend, even as advertising investment overall is forecast to grow by 9.2 per cent globally in 2022, as per the report.

    In APAC, overall ad spend growth is boosted by key sporting events such as the Indian Premier League, FIFA World Cup, Winter Olympics, and country elections in Australia and India.

    Moving towards a second consecutive year of growth following the five per cent market dip in 2020, 2022 is projected to build on a stronger than expected recovery in 2021 which itself saw a record-high 14.4 per cent growth in APAC, totalling $241 billion. The twice-yearly report which combines data from over 50 markets globally, anticipates $745 billion will be spent globally. 

    Digital and television continue to be the two powerhouses driving global and APAC ad spend, yet with opposite dynamics. Following a 24.8 per cent increase in 2021 (vs 29.1 per cent globally), dentsu forecast digital investment to grow by 9.6 per cent (vs 14.8 per cent globally) in 2022, fuelled by Social and Programmatic in APAC. This will result in the digital share of spend increasing to 61.1 per cent ($150 billion) of the total ad spend in APAC, over twice as big as the television share of spend (24.5 per cent) in 2022.

    Linear TV ad spend increased by 5.1 per cent in 2021, the highest rate since 2013. In 2022, dentsu forecast linear TV ad spend to grow by 1.4 per cent to reach $60 billion in APAC. Unlike digital and despite staying in high demand, dentsu is seeing linear TV share of spend on the decline – both globally and in the region – as connected TV and video on demand (VOD) grow.

    Out-of-home (OOH) and cinema will both see encouraging growth in 2022, respectively 12.8 per cent and 23.4 per cent globally (vs 2.8 per cent and 30.0 per cent in APAC). Radio too is forecast to grow, yet at a slower pace of 1.5 per cent in APAC (vs 2.0 per cent globally). As with previous predictions, ad spend in newspapers and magazines will continue to decline globally and in APAC. 

    Globally, the industries that will see growth in ad spend this year will include the beleaguered travel industry which is forecast to see a 10.3 per cent rise. There is also confidence the automotive advertising spend will grow by 7.6 per cent in 2022. Growth follows an 11.5 per cent increase in 2021 and steep declines in 2020 of -15.9 per cent. With pent-up demand and a trend towards personal vehicles in how people want to travel post-pandemic, there is confidence in the recovery of the automotive industry.

    Looking further ahead, APAC ad spend is predicted to grow by 5.6 per cent (vs 4.6 per cent globally) in 2023 and 4.9 per cent (vs 5.8 per cent globally) in 2024 – exceeding growth before the pandemic (4.1 per cent in 2019). Digital is forecast to increase its share of spend domination to 64.6 per cent in APAC (vs 59.4 per cent globally) in 2024. Of course, many factors contributing to the uncertain economic outlook could influence the predictions, from the evolution of the pandemic to supply chain issues, and dentsu recommends the industry keep a close eye on key economic indicators.

    “APAC region is expected to post robust growth in ad spend in 2022. India, Hong Kong and Vietnam will drive double-digit growth with the rest of the region showing strong growth,” said dentsu International CEO Media APAC Prerna Mehrotra. ” The share of digital spends in APAC is set to increase to 61.1 per cent up from 50.1 per cent in 2019 (pre-covid), driven by Greater China and ANZ. TV as a platform will continue to play a key role especially in Southeast Asia and South Asia.”

    “Marketers will need to be nimble, leaning on technology and maximizing opportunities in video, social, connected TV and e-commerce. The use of data to drive business outcomes without compromising privacy or security will continue and we expect data collaboration to be a big focus for 2022. In light of the ongoing global turbulence and recovery, we will continue to work with brands to accelerate efforts to engage consumers and drive attentive reach,” she further added.

    When compared to previous global financial and advertising crises, notably the financial crash of 2008, this rebound is almost three times greater, said the report. In 2022 the growth forecast at 9.2 per cent is nearly three times the 3.4 per cent growth in 2011 – the second-year post-global financial crisis. In 2022 the global ad market exceeded the 2019 pre-pandemic level of spend by 18.7 per cent, whereas in 2011 the global ad market continued to be one per cent lower than in 2008.

    “The bounce back from the early pandemic impact continues to be strong, especially in digital,” remarked dentsu International Global CEO media and global clients Peter Huijboom. “As we spend more time consuming digital media, brands have the opportunity to tap into the increased flexibility in which consumers engage through multiple touchpoints. Businesses who truly understand these developed human behaviours have the best opportunity to build lasting relationships with them.”

    “It also comes as no surprise of the increased popularity in gaming. Dentsu launched its global gaming proposition in 2021. Along with the burgeoning Metaverse, there has never been a more exciting time for brands to experiment, innovate and engage with their customers – as all forms of media are increasingly more central to daily life and routine,” he further said. 

  • We want to be the poster boy for Web 3.0-led marketing in India: WATConsult’s Sahil Shah

    We want to be the poster boy for Web 3.0-led marketing in India: WATConsult’s Sahil Shah

    Hybrid digital agency, WATConsult from the Isobar India group celebrated its 15th anniversary this month by launching an NFT (Non-fungible Token) in the form of digital artwork. Titled ‘Once a WATizen, always a WATizen’, it contained the names of all its 1500+ employees- past and present- to commemorate the milestone. The digital-first agency, which saw some downs but mostly ups due to the pandemic, brought 2021 to a wrap with double-digit growth and a host of new client wins including 59 new mandates. These include brands like Cricbuzz, Licious, Sava Herbals, UB Group’s Kingfisher Radler & Heineken, Joy Cosmetics, Lead School, India Circus, Dr Oetker, BIAL to name a few.

    A key founding member, Sahil Shah has been with the agency for the last 13 years, and is credited with playing a significant role in shaping and building it.. Having joined the agency as a social media executive in 2009, Shah moved from being chief business officer- to managing partner in September 2021. He credits the agency’s recent successful run to the fact that post-2020, with client businesses bouncing back, everybody wanting to get into digital. He, however, does not discount the effort that went into building the brand up over the years, which he says has played its part in influencing the adoption of digital in the country to a large extent.

    As we tread into 2022, IndianTelevision’s Anupama Sajeet caught up with the WATConsult head Sahil Shah spearheading the agency’s India operations for an extensive conversation on the agency’s foray into the metaverse and what it hopes to achieve by being a first-mover in the NFT space. He also shares forth on the rollercoaster of a year that 2021 was, his expectations from the new year, and insights on the trends that will dominate the digital marketing industry in the months to come …

    Edited excerpts:

    On the concept behind NFTs and how can marketers use NFTs as an opportunity for growth?  

    NFTS, in the simplest terms, is digital real estate that cannot be replicated and is owned by an individual or entity i.e. digital ownership. It’s on the blockchain in the Web 3.0 world, which of course on the internet itself, but a highly decentralised form of it. So, there you have this NFT marketplace such as the Opensea, on which you can list your NFT creative and it can be monetised by selling. And that’s the reason there is a humongous commerce opportunity with NFTs for even Brands, and brands need to realise this.

    Another usage of NFTs for Brands is as memorabilia or collectibles by using the power of its user community. Anything that’s ownable can be marketed this way- brand mascots or advertising creatives, or a public figure’s legacy in sports, entertainment or Bollywood. The collection would be unique – it is digital art and people want to own a piece of that art. For example, a brand like Amul, which has some iconic creatives, can list them on an OpenSea and get die-hard fans to actually auction for it and trade, resell and make a business of it! So the uses are many – as CSR, business, promotions, public figure marketing- the possibilities are endless.

    On celebrating the 15th anniversary with NFT

    As an agency, we have been known for doing a lot of new-age stuff. We have dabbled in and got into areas which the majority may not be cognisant of. So the thought behind such an initiative was to commemorate the 15-year milestone by actually building something that remains on the internet forever, and can be owned by each and every WATizen- past and present. And the answer was NFT because they are, by nature, “non-fungible” and the ownership lies within the people, the community, or the person who uploads or lists it on the marketplace.

    We came up with the idea of etching everybody’s name on the creative and making it a part of history and keeping it on the OpenSea marketplace Ethereum blockchain forever. So that way each and every one of us is a part of it and everybody has a part to play in it. Essentially, it’s a way to thank each and every person who built this company over the years by making them a part of our history forever.

    In fact, the same day we launched our NFT, one of our clients actually gave us a written brief on exploring something with an NFT for them. They want to be the first-movers in their industry in this space. So I’m excited about moving towards building not just “India-class” but “world-class” solutions for marketing in a Web 3.0 world. It’s of course early days, but we want to be the poster boy for everything related to Web 3.0-led marketing in India. In that sense, WATConsult has been the “blueprint” for other competing agencies to watch and learn, as we’ve been able to lead changes in the industry over the years. And with the NFTs we continue to do so.

    On his priorities since taking over as managing partner last year

    My priority is to make sure that we get three to four things very right: One, is everything that’s centered around the creative use of digital for, that’s the core of what WATConsult was, is, and will be. Second, we want to be extremely high on everything that’s around client delight and customer focus and make sure we deliver on it, which’s in a way linked to our revenue, growth, P&L, etc. Third, we always want to be the first movers and the early adopters, while continuing to be in the news for the innovations that we bring to the table. Additionally, ‘Talent’ and ‘People’ for me is a big focus area, besides revenue and recognition, and I want to make sure the company gives back to its people by different ways and means.

    On the industry’s new emerging categories

    I think one of the new and emerging categories is everything ‘new-tech’- so anything that’s born out of digital, such as financial tech or fintech, e-commerce, food tech- for instance, brands like Licious, Edtech, and so on. The kind of categories that are coming up are very exciting because they understand digital innately, being fully digital themselves.

    Having said that, while that’s one domain where digital businesses are booming and scaling up, there are also the businesses that are legacy brands but are wanting to embrace digital. For eg: One of our big wins in e-commerce solutioning was the UB Group, where we acquired the mandate for their entire commerce duties last year, which’s online selling of its Kingfisher Radler & Heineken non-alcoholic beverage category. We’ve been scaling up their business on Amazon, Flipkart, etc which has given great returns to a client whose business was 99 per cent offline. If we are able to move that metric from 99 to even 95 per cent and create like a 400 per cent growth in e-commerce sales then it would be a huge validation for both the client and us.

    On any major trends that the digital marketing industry witnessed this past year / is witnessing

    One big trend that sparked in 2020 was the fact that India woke up big time to short videos. For the TikTok revolution that started around 2018-2019 and then scaled up in 2020, 2021 has been by far the year for content consumption in a short format- which is a 5-20 seconder clips and visuals- that everybody from Facebook, Instagram to YouTube adopted. That was one clear shift in consumer content consumption that was happening. At the same time, users are also hooked on long-form web-based content on OTTs and online. The bottom line is that video in both short forms as well as the longest forms- kept on growing and it continues to do so as a primary piece of content consumption.

    The second was definitely ‘Bharat’, with the growing internet penetration in India’s hinterlands, which we were fortunate enough to latch onto and build a multi-lingual and regional/ localised service solution around it.

    Third is data-tech or data-led solutions. One of the things the industry is moving towards is everything that technology can aid. Technology today has the power to create a life-size, 3-D version of anything we want it to be, like a ‘Virtual Influencer’. This trend has already been explored in markets like the US, Korea, or Japan, and is an example of how Tech is going to influence a lot of content creation and even creatives per se, and this is just the beginning.

    Another thing that the world started opening up to towards the end of 2021 (the Oct-Nov-Dec period) was the idea of Web 3.0 with NFTs, Cryptos, the Metaverse etc. It’s still early stage and an up-and-coming trend, but I think in the next few years it will change the way we interact.

    On Expectations from 2022

    From the industry, my expectation is to continue the digital growth at around 40 per cent Y-O-Y. I know we are at scale but there is a lot that digital can still do for brands and marketers are realising it. So I just hope the digital part of the pie continues to grow.

    Secondly from a 2022 perspective and maybe for years to come, I think the world is going to be hybrid- the way we work is going to be hybrid. I don’t see the culture of people in offices from 9 to 5 for five or six days a week coming back. And it’s honestly okay and maybe even a good thing- it’s a healthy way to operate where people connect in groups, as well as, detach and work by themselves. So hybrid is here to stay, possibly even post-Covid.

    Additionally, adoption into Web 3.0 while we continue to do our campaigns in the Today. At least for WATConsult, I wish that we continue to think into the future while we execute in the present. So our focus will be to keep pushing the bar for creative use of technology in the marketing communications space and continue being the blueprint for others to follow.

    On any personal learnings, you will take into the next year

    Although I have seen various changes in the last 13 years with the agency, the last one and half to two years have been a huge shift in the way of working, and in my personal & professional beliefs. So one of the major learnings I want to take forward is to make sure I declutter from all the noise around and focus simply on just two or three things that I want to move towards, personally as well as professionally.

  • m/Six names Sahil Sachdeva as national digital head

    m/Six names Sahil Sachdeva as national digital head

    Mumbai: m/Six, GroupM’s youngest outcome-based agency has announced the appointment of Sahil Sachdeva as the national digital head on Monday. He will be based out of Gurgaon and will report to m/Six India head and senior VP Saket Sinha.

    In this role, Sachdeva will be responsible for managing the agency’s national digital services and helping existing and new clients transform their digital processes and marketing strategies as well as achieving ROI-driven marketing outcomes, said the company. He will focus on strategic and innovative solutions, this will include the continued development of integrated and ‘always-on’ digital strategy that cuts across programmatic, paid, social, search and e-commerce, it added.

    “Sahil has been a part of the family for a long time now. He brings with him in-depth knowledge and great expertise in the digital field,” said Saket Sinha. “I am confident that Sahil will play a key role and help us elevate our business offerings and deliver the best to our clients in the digital space.”

    Sachdeva comes with rich and vast experience in the digital industry and is known to design and deliver strategic direction to digital initiatives for brands like SonyLiv, Emami, Burger king, Revv, Veeba, Harley Davidson, Noise, WhiteHat Jr etc. Over the past 14 years, he has held various roles across planning, programmatic and digital marketing joining the m/Six family in 2017.

    “It’s an exciting time for the industry where marketing today is data-driven and digital-first. I look forward to working with brands to explore and co-create cutting-edge & innovative digital media solutions, not only to reach their consumers more efficiently but also to deliver business and brand outcomes,” stated Sahil Sachdeva. “I am grateful and proud to be part of the m/Six family that has given me such an amazing growth opportunity and looking forward to working with the entire team to deliver the best of digital strategies to the clients.”

  • Nxtdigital board gives in-principle nod for digital, media biz to be acquired by Hinduja Global Solutions

    Nxtdigital board gives in-principle nod for digital, media biz to be acquired by Hinduja Global Solutions

    Mumbai: Nxtdigital Board on Friday accorded in-principle approval for its digital and media businesses comprising broadband, HITS, digital cable television, content syndication & teleshopping to be acquired by Hinduja Global Solutions Limited (HGSL).

    The proposed acquisition is subject to all statutory or regulatory approvals and approval of the shareholders.

    The move is set to fuel and accelerate Nxtdigital Ltd (NDL)’s planned expansion across the digital ecosystem through synergies with HGS’ strength in digital processing and back-end expertise. “NDL will focus on harnessing the best of emerging technologies, whilst expanding its portfolio of digital solutions across geographies,” it said in a statement on Friday.

    The proposed acquisition will include the management team, employees, all businesses and technology across the entire media, communications and broadband spectrum.

    According to the details available, the proposed acquisition will result in shareholders of NDL receiving shares of HGS as per an independent share swap valuation, subject to applicable regulatory approvals.

    The media vertical of the global Hinduja group, Nxtdigital has launched some innovative solutions in the recent past and planned significant expansion in the emerging digital solutions space. “This move will provide much needed synergies, by leveraging the inherent expertise of HGS in the digital back-office and processes space, while allowing the media business to focus on digital expansion. This is also in line with NDL’s vision and mission of being a significant digital platforms company, harnessing the best of emerging technologies, whilst expanding its portfolio of digital solutions across geographies,” it said in a statement.

    The company said it will appoint independent valuers to carry out the valuation exercise and submit the report including share exchange ratio; besides also appointing other key intermediaries to facilitate the proposed move.

  • Eggoz appoints Samarth Wadhwa as head of marketing

    Eggoz appoints Samarth Wadhwa as head of marketing

    Mumbai: Eggoz, a Gurgaon-based integrated farmer egg brand has appointed Samarth Wadhwa as the company’s new head of marketing.

    Wadhwa carries nine years of experience in marketing, brand management, product promotions, and digital marketing. The company termed the appointment as a strategic move to capitalise on its recent success and the vision to grow. Wadhwa will be responsible for directing the marketing function and defining the short-term and long-term strategies of the brand, it said in a statement.

    Eggoz co-founder Abhishek Negi said, “Samarth is an expert in the field of marketing as well as a strategic thinker. He provides a varied set of abilities and a wealth of expertise to help Eggoz expand in India. His enthusiasm and dedication to his work will be invaluable in helping Eggoz shape and develop new opportunities.”

    Wadhwa oversaw Brand and Digital Marketing roles at Ford India and Honda Motorcycle & Scooter India before joining EGGOZ. He has completed his bachelor’s degree in Computer Applications from Bharati Vidyapeeth University Institute of Management & Research in New Delhi, as well as an MBA in Marketing and Finance from the same institution.

    “It is an honor to be a part of EGGOZ, the first consumer-focused and integrated farmer egg brand in India, and promote their mission of supplying chemical-free eggs fully integrated from farms in every corner of India. I am confident that EGGOZ’s products, services, and strategies will quickly propel it to the top of India’s business landscape,” said Wadhwa.

  • GUEST COLUMN: How D2C brands can level up their digital marketing game in 2022

    GUEST COLUMN: How D2C brands can level up their digital marketing game in 2022

    Mumbai: In today’s times, Direct-to-consumer is an extremely exciting space, primarily because there are so many interesting brands coming up in multiple industry verticals. Right from food to technology to health and many others, there are home-grown D2C brands making it big while raising investors’ money handsomely. And we are seeing some very interesting products and services rolled out for the end-users.

    Here are some focus areas on the top digital marketing activities that the D2C brands need to keep in mind when they want to market their products and services in 2022 –

    Advertising on Google, Facebook, and Instagram

    While this is something that most D2C brands are already doing to a very large extent, there is still a big gap in the way these campaigns are executed. Funnel wise break up of your ad campaigns on these platforms is going to be very crucial to be able to run profitable ad campaigns for your brand. In our experience of working with D2C startups, we have always advised having – remarketing campaigns right from the start, campaigns focused to maximise conversions, and using lookalikes as much as possible.

    Retention Marketing

    I primarily would like to talk about the usage of user engagement tools that help you retain. You want to focus on the lifetime value of your customers and while you do that the prime objective of your campaigns should be to use sophisticated tools like Webengage to bring the audience over and over again to your website and to have them purchase from you more than once in a year as per your product life-cycle.

    Conversion Rate Optimisation

    While D2C brands have spent quite some money in the acquisition game, the bleeding cost of sale has always been quite an important matter of discussion. In today’s time and age when the bottom line is super important from day zero, it becomes imperative that you focus on the conversion rate of the website as much as the number of conversions on your website. Reports which will help you understand where your users are dropping off and where you probably need to do a quick fix need to be generated regularly.

    Do not take an SEO any less seriously than earlier

    SEO is still one of the primary factors that will give you a long-term arbitrage on your cost per sale or cost of acquisition. This is primarily because when you are spending a lot of money in your acquisition campaigns using advertising models there is a very good chance that your organic growth will help you lower the overall cost for acquisition in your acquisition spree and help you remain sustainable in the long term. In our experience working with several D2C businesses, long-tail keywords with high intent and medium competition work best.

    Social Media Marketing

    Connecting with your customers is going to be much more important in 2022. With customers determining the persona of a brand depending on the kind of content they publish on their social media handles. If you want to be a cool brand you will have to have cool content on your social media channels for your customers to take interest and be connected to your brand in the long term. Start talking to your customers like a real person and not a suited-up brand.

    Similarly, the kind of influencers that your brand intends to associate with is going to matter a lot. The kind of content your influencers have been pushing is going to also affect the kind of personality you’re going to build for your brand in front of your customers. Personalisation, thought leadership, and focusing on building a strong brand image will separate you from the crowd.

    Being present omnichannel

    Being present omnichannel is going to be as important in 2022 as never before. This is primarily because of the kind of user behaviour that customers today have started from checking out a product online but probably going off-line and purchasing the product. You have to be in sight so that you are in the top of mind recall for your customers And hence being available at their favourite offline or local stores is going to impact your sales numbers more than ever.

    Creative Packaging

    Having great packaging for your products will be important. This is primarily because no matter how good or bad the eventual product is, the way it is packaged paints the first impression for the customer.

    (Deep Mehta is the co-founder of DigiChefs. The views expressed in this column are personal, and Indiantelevision.com may not subscribe to them.)