New York, NY – For the second consecutive year, A.T. Kearney and the Outreach and Business Development Working Group of the National Association of Chain Drug Stores (NACDS) Retail Advisory Board (RAB) have identified and revealed the state of digital marketing among retailers, CPG manufacturers and pharmaceutical companies.
Recruiting digital marketing talent into traditional corporate environments can be difficult, with many of these individuals preferring smaller, more entrepreneurial environments.
The findings of the 2015 “Winning with Digital Marketing” study were first revealed yesterday at the NACDS RAB meeting during NACDS Week in New York City.
The second-annual study included surveys and interviews with executives from retailers and manufacturers from the chain pharmacy sector. It evaluated five aspects of digital marketing within the companies: maturity of the discipline, strategy, organization/capabilities, processes, and metrics.
The following are among the key findings of the second annual study, as conveyed in the report, “Results of the 2015 NACDS ‘Winning with Digital Marketing’ Study”:
· For retailers in particular, when comparing goals for digital initiatives with those identified last year, there does appear to be a shift to more strategic objectives, including tailored pricing and brand awareness.
· The top five digital marketing goals are: sales increase; traffic increase for store or e-commerce site; more insightful customer information; facilitating customer to share ideas about the brand; and engaging and relevant customer interactions.
· 73% of retailers say they are using Facebook and mobile apps for marketing purposes, compared with only 48% of CPG manufacturers that use Facebook and 31% that use mobile apps. Among vehicles that have been adopted, respondents say company websites and Facebook are most effective.
The report also reflected on companies’ strategies for performing the digital marketing function.
“Recruiting digital marketing talent into traditional corporate environments can be difficult, with many of these individuals preferring smaller, more entrepreneurial environments,” the report said.
“Nevertheless, there is a risk of creating a downward spiral: If companies continue to outsource the management and execution of their digital marketing, then they will never develop the capabilities they need to excel. And as digital marketing becomes more important, companies with an in-house digital capability may be in the best position to establish relationships with customers, promote their brands, and ultimately drive sales.”