Shopper Marketing - June 2017 - 9
charge). The curated inventory includes national brands and directly sourced items.
I'm guessing Stitch Fix, whose recent marketing plan includes a fairly heavy TV schedule
and a very aggressive retargeting program,
doesn't have distinct marketing budgets. Neither does Tiesta Tea, a 7-year-old manufacturer of loose-leaf blends with 14 employees
and a chief executive officer (Dan Klein) who
only recently relinquished social media duties
to a new marketing staffer. Tiesta is currently
available in 6,000 stores, including Costco
and Albertsons locations, by the way.
As a company,
Hickies is as
flexible as its
Or Hickies Inc., a 6-year-old company that
makes a non-tie, adaptive-fit "lacing system"
for athletes that flexes with a foot's motion.
Hickies has 22 employees, most of whom
work in its Brooklyn, New York, headquarters. But it already has retail distribution in 43
countries and will launch website operations
in Europe and Australia this year.
These companies aren't encumbered with
the entrenched strategies or the legacy systems and processes that are hindering the
modern business transformation necessary
for consumer product manufacturers to succeed in a changing marketplace. In some
ways, they're the business equivalent of a
4-year-old child. (In this context, is it a stretch
to view Dollar Shave Club as the kid and Unilever as Groucho?)
As Path to Purchase Leadership University
covers in its "Shopper Marketing for E-Commerce" course, the industry is at a turning
point. The sales and marketing activities that
for decades have been treated as two separate functions must align.
Why? Because e-commerce eliminates any
gap that ever existed between consumer
and shopper, the gap between the onset of
a consumer need and the completion of a
purchase designed to fill that need. While
the traditional purchase funnel is still there in
theory, a consumer can now get from start to
finish in a few seconds and a couple of clicks.
In that environment, keeping up walls between brand marketing, shopper marketing,
trade promotion and everything else isn't just
counter-productive, it's potentially lethal. Keeping IT at a distance seems a little crazy, too,
since technology is now the key to both internal alignment and consumer engagement.
It might be time to run out and find a
Peter Breen is editor-in-chief of
Consumer Goods Technology (CGT), a
sister publication of Shopper Marketing.
He can be reached at 973-607-1300 or
JUNE 2017 SHOPPER MARKETING y