Executive Summary: Going for Growth
E-commerce is a critical component of a rapidly evolving omnichannel ecosystem.
Retailers continue to test multiple e-commerce offerings across markets and are beginning to scale the models with the most promise. Consumers, to greatly varying degrees, have tried a number of in-store and digital activities and are locking into a customized shopping routine that works for them. Technology-focused innovators have identified friction points between retailers, brands and shoppers and are creating solutions that enhance the omnichannel shopping value proposition.
Winning outsized share of the projected $88 billion CPG e-commerce market will contribute to ultimate success in establishing brand leadership in the omnichannel universe.
IRI’s perspective is that total CPG dollar sales via e-commerce will jump from $11 billion in 2015 to $88 billion in 2022. Manufacturers and retailers who are winning early have skillfully crafted integrated marketing and sales strategies for omnichannel growth because they understand that e-commerce is more than just a sales channel.
With limited historical data and scant resources, e-commerce can be intimidating to enter.
It can be overwhelming to know where to start. With limited historical data on e-commerce performance and growth, it can be scary to be first. There is also a lack of resources, as budgets are squeezed and e-commerce has still not captured the full attention of marketers.
Framework to win: It is key for CPG manufacturers to understand the future opportunity and identify the influential e-commerce marketing and sales tactics to develop a winning omnichannel strategy.
IRI’s proprietary e-commerce category attribute model assesses how a category will perform to help manufacturers focus their sales efforts on the right brands in the right channels and retailers, and having a deep shopper understanding allows a manufacturer to invest in the optimal omnichannel touchpoints.
To download this and other white papers, click here.