Murder Your Thirst And Measure Everything
Murder Your Thirst and Measure Everything: Rethinking Marketing Success in the CPG Industry
In the fast-moving Consumer Packaged Goods (CPG) sector, understanding how to measure marketing success accurately is a critical challenge. Benoit Vatere, Chief Media & Digital Commerce Officer at Liquid Death, recently discussed these complexities in an episode of AdExchanger Talks. He emphasizes that traditional metrics, like return on ad spend (ROAS), often fail to provide a full picture of marketing effectiveness.
Beyond ROAS: The Importance of Media Synergy
Instead of focusing on isolated numbers, Vatere highlights the need to view how different media channels collectively contribute to driving sales. In a marketplace saturated with options, pinpointing which combinations of paid, earned, and owned media generate genuine growth is more valuable than evaluating performance through single metrics. Incrementality—the measure of the additional lift a campaign provides—is identified as a superior approach.
Understanding Consumer Loyalty Dynamics
A unique challenge in the CPG industry is the transient nature of consumer loyalty. According to Vatere, brands should not only cultivate their loyal core customers but also focus on lighter and lapsed buyers. Engaging these segments offers more sustainable growth opportunities as consumer preferences shift frequently. This broad-reaching strategy helps brands maintain relevance and capture new business.
Innovative Strategies at Liquid Death
Liquid Death’s marketing approach exemplifies these principles by integrating innovative partnerships with creative use of both paid and earned media. Vatere’s leadership showcases how leveraging media ecosystems can build brand awareness and drive new-to-brand purchases effectively. This holistic view moves beyond conventional attribution models and embraces the complexity of modern marketing.
Key Insights
- Why is focusing solely on ROAS limiting? Because ROAS doesn’t account for the incremental impact of marketing efforts and often overlooks new customer acquisitions.
- What role do multiple media channels play? They work in tandem to amplify overall sales impact, rather than performing independently.
- How does consumer loyalty affect marketing strategy? Since loyalty is fluid, brands must engage lighter and lapsed customers alongside core fans to foster long-term growth.
- What’s Liquid Death’s approach? Combining innovative partnerships with integrated paid and earned media strategies to drive meaningful results.
Conclusion
Marketers in the CPG space must evolve their measurement strategies beyond basic metrics like ROAS. A focus on incrementality and a deeper understanding of media synergies can better capture the real impact of campaigns. Additionally, expanding the target audience beyond loyalists to lighter and lapsed buyers is essential for sustainable brand growth. As Liquid Death demonstrates, embracing complexity with innovative marketing tactics is key to thriving in this dynamic industry.
Source: https://www.adexchanger.com/adexchanger-talks/murder-your-thirst-and-measure-everything/
