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Debunking the myth: FMCG brands and festive season advertising

The holiday season brings forth feelings of happiness, merriment and a noticeable increase in consumer spending. For brands that specialise in Fast Moving Consumer Goods (FMCG), this time of year poses a dilemma. Should they book in-store media space, or preserve budget for an alternate period?
Debunking the myth: FMCG brands and festive season advertising

Myth: Festive periods are not worth doing anything in-store

There is a pervasive myth that FMCG brands should refrain from running aggressive promotional activities or in-store advertising during the festive period. They might believe that their products will perform well in sales without additional marketing efforts. After all, it's the busiest time of the year anyway, right? In 2023, with various factors and stressors on the market, such as the increasing inflation rate (7.1% nationally, 17% for an FMCG basket) the competition for consumer decision-making is critical.

Truth: Capitalising on the festive season

Festive periods are indeed the busiest, and sales often skyrocket for many brands, however strategic promotions are playing an ever-increasing role in success. That's precisely why FMCG brands should be active in stores during this time. In today’s world the customer experience is becoming a more vital factor to influence purchasing decisions. If you're not visible throughout the customer journey, it’s likely that your competitors are! Shoppers are primed to spend during this time of year and are on the lookout for special offers, limited edition products, and holiday-themed items.

By being present in-store with well-planned campaigns and promotions, brands not only increase sales right away, but also build a stronger brand image and customer loyalty, paving the way for long-term success.

Additional reasons to maintain an in-store presence

Increased foot traffic

  • Christmas is a peak shopping period, leading to higher foot traffic in stores. Advertising in-store during this season ensures a brand's message reaches a larger and more engaged audience, where and when purchase decisions take place.

Festive atmosphere

  • Festive decorations and holiday-themed displays create a warm and welcoming atmosphere in stores.
  • In-store advertising aligned with the festive spirit, makes it more likely to resonate with shoppers.

Impulse or spontaneous purchases

  • Shoppers are often in a gift-giving mindset during this time of year, making them more susceptible to impulse purchases.
  • In-store advertising can prompt last-minute gift ideas, and festive season shoppers often make spontaneous purchases based on in-store promotions and displays.
  • Without being present on in-store displays, your brand can’t influence these impressionable decisions but others brands may win.

Brand recognition

  • In-store advertising reinforces a brand's presence in shoppers' minds, increasing brand recognition and recall.
  • Consistent in-store branding during the holidays can enhance long-term brand loyalty.

Targeted messaging

  • Brands can tailor their messaging to match the holiday shopping needs and desires of customers.
  • In-store advertisements can highlight specific products or promotions for the holiday season.

Physical interaction

  • In-store advertising allows customers to physically interact with products, fostering a deeper connection.
  • Shoppers can touch, feel, and experience products firsthand, leading to more informed purchase decisions.

Lasting impressions

  • In-store advertising leaves a lasting impression on shoppers, increasing the likelihood of future visits. Although shoppers may be there for the festive season, their memories will influence their purchasing decisions throughout the year.
  • Memorable holiday displays and promotions can lead to positive word-of-mouth recommendations.

Competitive edge

  • During the holiday season, many brands are vying for attention through various channels. Securing the space for your brand gives it the competitive edge over the brands that are not advertising in-store.
  • In-store advertising offers a competitive edge, as it allows brands to stand out in a cluttered marketplace. The innovative in-store advertising media available through Smart Media are specifically designed to maximise impact in key areas of the store. Ensuring that your brand stands out.

Maximise sales opportunities

  • Brands can capitalise on the sense of urgency and excitement during this period. The shopper journey changes at certain times of the year and brands being showcased in-store can capitalise on this.
  • Well-placed and enticing advertisements can lead to higher conversion rates. Smart Media’s advertising solutions consider impacting the customer journey on multiple levels, from educated staff to specific locations achieving measurable success on rates of sales. The Smart Q & Shop as well as the Smart Grab & Go solutions are highly effective in this regard.

The misconception that FMCG brands tend not to book in the festive season due to high sales is simply unfounded. In reality, this is the perfect time for FMCG brands to shine in the retail space. By embracing in-store advertising, brands have the opportunity to not only increase their sales, but also establish a prominent presence in the market. Remember, during the festive season, if you're not there, your competitor is – so make sure your brand stands out and captures the holiday spirit of consumers.

Contact the Smart Media team to secure the innovative solutions available for in-store advertising this festive season.

28 Sep 2023 12:43