Guest Author: Tom Eaton, SVP, Programmatic & TV Solutions, NCSolutions
As brands continue to refine their media plans for 2022, they are thinking about how to reach the right consumers at the right moment in the buyer journey. This consumer-focused approach to marketing makes having a cross-channel audience strategy even more important.
According to a recent NCS consumer sentiment survey, almost half (48%) of Americans say one of their biggest pet peeves about advertising is when they see an ad that’s not relevant to them1. And this makes sense—finding the right consumers and serving them relevant advertising can be a challenge for consumer brands. Purchase-based targeting (PBT), or targeting a consumer based on past purchases, is one strategy that can help along the way.
Brands can use PBT to reach more precise and proven audiences based on actual buying behavior. These unique audiences can be activated across all media types and tailored to a brand’s advertising goals.
For example, a brand may focus on reaching consumers who sometimes buy their brand and purchase other brands frequently in their category to meet their strategy of conquesting the competition for a campaign. PBT is a proven strategy for brands looking to reach an audience more likely to buy more. In fact, purchase-based targeting drives 3x the return on advertising spend when compared to other targeting methods used by CPG companies in their strategies2. Past purchases are the most effective and efficient way to predict future buying behavior.
In a recent TV campaign, we saw that while just 3% of exposures were delivered to previous brand buyers, that segment contributed 27% of the incremental sales that resulted from the campaign. Using NCS purchase insights can help brands build a plan that minimizes waste and ensures every dollar they spend is reaching the consumers most likely to buy their products.
Building brand love with repeat buyers is another benefit of purchase-based targeting. With inflation at a recent high and kinks in the supply chain, consumers may try new brands due to price or availability. In a recent NCS consumer study about holiday food shopping, we learned that 17% of respondents will try another brand if their preferred brand is not available and 31% will substitute their favorite food for a cheaper brand3.
Reaching buyers at the right time and place matters. NCS has teamed up with Cadent to ensure their customers have access to NCS’s purchase-based audiences right within the Cadent Aperture platform. CPG brands have the ability to compete for digital dollars by delivering the same high-value audiences across all TV platforms.
Download NCSolutions’ free guide to discover more on how the combination of PBT and TV can work together for CPG.
1 NCS Consumer Sentiment Survey, September 2021
2 NCSolutions/Nielsen CPG Meta-Study
3 NCS Consumer Sentiment Survey, November 2021