As online CPG selling builds, etailers must work with manufacturers to drive sales
Selling consumer packaged goods online has been slow to take off, with ecommerce sales low compared to those in established merchandise categories like apparel or consumer electronics. But CPG sales are growing faster online than offline, and research indicates that manufacturers and online sellers will need to work together to continue to support this growth.
Online sales consulting agency etailing solutions and RetailNet Group asked both US CPG manufacturers and etailers in Q2 2012 how each could help the other increase online sales of CPG products. The CPG manufacturers indicated a need to draw on the ecommerce expertise of online merchants: Nearly seven in 10 hoped for stronger shopper insights from their etailing partners, while about two-thirds wanted more sharing of best practices.
The etailers surveyed had a different focus—with solid foundations in the basics of online selling, they were more concerned with assets that CPG manufacturers are in a unique position to bring to the table, including new and exclusive products, demanded by fully 100% of respondents. Web-only product offerings were attractive to more than seven in 10 online retailers, and there was also significant demand for better product info and more marketing investment from CPG brands.