Accessibility Statement Skip Navigation
  • Why PRWeb
  • How It Works
  • Who Uses It
  • Pricing
  • Login
  • GDPR
  • Create a Free Account
Return to PRWeb homepage
  • News
  • Resources
  • Contact
When typing in this field, a list of search results will appear and be automatically updated as you type.

Searching for your content...

No results found. Please change your search terms and try again.
  • News in Focus
      • Browse News Releases

      • All News Releases
      • Multimedia Gallery

      • All Multimedia
      • All Photos
      • All Videos
  • Business & Money
      • Auto & Transportation

      • Aerospace, Defense
      • Air Freight
      • Airlines & Aviation
      • Automotive
      • Maritime & Shipbuilding
      • Railroads and Intermodal Transportation
      • Supply Chain/Logistics
      • Transportation, Trucking & Railroad
      • Travel
      • Trucking and Road Transportation
      • View All Auto & Transportation

      • Business Technology

      • Blockchain
      • Broadcast Tech
      • Computer & Electronics
      • Computer Hardware
      • Computer Software
      • Data Analytics
      • Electronic Commerce
      • Electronic Components
      • Electronic Design Automation
      • Financial Technology
      • High Tech Security
      • Internet Technology
      • Nanotechnology
      • Networks
      • Peripherals
      • Semiconductors
      • View All Business Technology

      • Entertain­ment & Media

      • Advertising
      • Art
      • Books
      • Entertainment
      • Film and Motion Picture
      • Magazines
      • Music
      • Publishing & Information Services
      • Radio & Podcast
      • Television
      • View All Entertain­ment & Media

      • Financial Services & Investing

      • Accounting News & Issues
      • Acquisitions, Mergers and Takeovers
      • Banking & Financial Services
      • Bankruptcy
      • Bond & Stock Ratings
      • Conference Call Announcements
      • Contracts
      • Cryptocurrency
      • Dividends
      • Earnings
      • Earnings Forecasts & Projections
      • Financing Agreements
      • Insurance
      • Investments Opinions
      • Joint Ventures
      • Mutual Funds
      • Private Placement
      • Real Estate
      • Restructuring & Recapitalization
      • Sales Reports
      • Shareholder Activism
      • Shareholder Meetings
      • Stock Offering
      • Stock Split
      • Venture Capital
      • View All Financial Services & Investing

      • General Business

      • Awards
      • Commercial Real Estate
      • Corporate Expansion
      • Earnings
      • Environmental, Social and Governance (ESG)
      • Human Resource & Workforce Management
      • Licensing
      • New Products & Services
      • Obituaries
      • Outsourcing Businesses
      • Overseas Real Estate (non-US)
      • Personnel Announcements
      • Real Estate Transactions
      • Residential Real Estate
      • Small Business Services
      • Socially Responsible Investing
      • Surveys, Polls and Research
      • Trade Show News
      • View All General Business

  • Science & Tech
      • Consumer Technology

      • Artificial Intelligence
      • Blockchain
      • Cloud Computing/Internet of Things
      • Computer Electronics
      • Computer Hardware
      • Computer Software
      • Consumer Electronics
      • Cryptocurrency
      • Data Analytics
      • Electronic Commerce
      • Electronic Gaming
      • Financial Technology
      • Mobile Entertainment
      • Multimedia & Internet
      • Peripherals
      • Social Media
      • STEM (Science, Tech, Engineering, Math)
      • Supply Chain/Logistics
      • Wireless Communications
      • View All Consumer Technology

      • Energy & Natural Resources

      • Alternative Energies
      • Chemical
      • Electrical Utilities
      • Gas
      • General Manufacturing
      • Mining
      • Mining & Metals
      • Oil & Energy
      • Oil and Gas Discoveries
      • Utilities
      • Water Utilities
      • View All Energy & Natural Resources

      • Environ­ment

      • Conservation & Recycling
      • Environmental Issues
      • Environmental Policy
      • Environmental Products & Services
      • Green Technology
      • Natural Disasters
      • View All Environ­ment

      • Heavy Industry & Manufacturing

      • Aerospace & Defense
      • Agriculture
      • Chemical
      • Construction & Building
      • General Manufacturing
      • HVAC (Heating, Ventilation and Air-Conditioning)
      • Machinery
      • Machine Tools, Metalworking and Metallurgy
      • Mining
      • Mining & Metals
      • Paper, Forest Products & Containers
      • Precious Metals
      • Textiles
      • Tobacco
      • View All Heavy Industry & Manufacturing

      • Telecomm­unications

      • Carriers and Services
      • Mobile Entertainment
      • Networks
      • Peripherals
      • Telecommunications Equipment
      • Telecommunications Industry
      • VoIP (Voice over Internet Protocol)
      • Wireless Communications
      • View All Telecomm­unications

  • Lifestyle & Health
      • Consumer Products & Retail

      • Animals & Pets
      • Beers, Wines and Spirits
      • Beverages
      • Bridal Services
      • Cannabis
      • Cosmetics and Personal Care
      • Fashion
      • Food & Beverages
      • Furniture and Furnishings
      • Home Improvement
      • Household, Consumer & Cosmetics
      • Household Products
      • Jewelry
      • Non-Alcoholic Beverages
      • Office Products
      • Organic Food
      • Product Recalls
      • Restaurants
      • Retail
      • Supermarkets
      • Toys
      • View All Consumer Products & Retail

      • Entertain­ment & Media

      • Advertising
      • Art
      • Books
      • Entertainment
      • Film and Motion Picture
      • Magazines
      • Music
      • Publishing & Information Services
      • Radio & Podcast
      • Television
      • View All Entertain­ment & Media

      • Health

      • Biometrics
      • Biotechnology
      • Clinical Trials & Medical Discoveries
      • Dentistry
      • FDA Approval
      • Fitness/Wellness
      • Health Care & Hospitals
      • Health Insurance
      • Infection Control
      • International Medical Approval
      • Medical Equipment
      • Medical Pharmaceuticals
      • Mental Health
      • Pharmaceuticals
      • Supplementary Medicine
      • View All Health

      • Sports

      • General Sports
      • Outdoors, Camping & Hiking
      • Sporting Events
      • Sports Equipment & Accessories
      • View All Sports

      • Travel

      • Amusement Parks and Tourist Attractions
      • Gambling & Casinos
      • Hotels and Resorts
      • Leisure & Tourism
      • Outdoors, Camping & Hiking
      • Passenger Aviation
      • Travel Industry
      • View All Travel

  • Policy & Public Interest
      • Policy & Public Interest

      • Advocacy Group Opinion
      • Animal Welfare
      • Congressional & Presidential Campaigns
      • Corporate Social Responsibility
      • Domestic Policy
      • Economic News, Trends, Analysis
      • Education
      • Environmental
      • European Government
      • FDA Approval
      • Federal and State Legislation
      • Federal Executive Branch & Agency
      • Foreign Policy & International Affairs
      • Homeland Security
      • Labor & Union
      • Legal Issues
      • Natural Disasters
      • Not For Profit
      • Patent Law
      • Public Safety
      • Trade Policy
      • U.S. State Policy
      • View All Policy & Public Interest

  • People & Culture
      • People & Culture

      • Aboriginal, First Nations & Native American
      • African American
      • Asian American
      • Children
      • Diversity, Equity & Inclusion
      • Hispanic
      • Lesbian, Gay & Bisexual
      • Men's Interest
      • People with Disabilities
      • Religion
      • Senior Citizens
      • Veterans
      • Women
      • View All People & Culture

  • Hamburger menu
  • Cision PRWeb provides efficient communication tools to continuously engage with target audiences across multiple online channels
  • Create a Free Account
    • ALL CONTACT INFO
    • Contact Us


      11AM ET Sunday – 8PM ET Friday

  • Send a Release
  • Sign up
  • Log in
  • Resources
  • RSS
  • GDPR
  • News in Focus
    • Browse All News
    • Multimedia Gallery
  • Business & Money
    • Auto & Transportation
    • Business Technology
    • Entertain­ment & Media
    • Financial Services & Investing
    • General Business
  • Science & Tech
    • Consumer Technology
    • Energy & Natural Resources
    • Environ­ment
    • Heavy Industry & Manufacturing
    • Telecomm­unications
  • Lifestyle & Health
    • Consumer Products & Retail
    • Entertain­ment & Media
    • Health
    • Sports
    • Travel
  • Policy & Public Interest
  • People & Culture
    • People & Culture
  • Send a Release
  • Sign up
  • Log in
  • Resources
  • RSS
  • GDPR
  • Send a Release
  • Sign up
  • Log in
  • Resources
  • RSS
  • GDPR
  • Send a Release
  • Sign up
  • Log in
  • Resources
  • RSS
  • GDPR

CPG Brands Vulnerable to E-Commerce Onslaught, Research Finds
  • USA - English


News provided by

Business360

Nov 12, 2014, 03:00 ET

Share this article

Share toX

Share this article

Share toX

New York, NY (PRWEB) November 12, 2014 -- As the battle for consumers moves online, brands could recapture some influence over consumers, but research by Business360 shows few of the world's top personal care brands are making the investment to engage and serve consumers online. E-commerce is about to hit consumer packaged goods (CPG) companies and established brands will see their competitive position erode as nimbler players capture the consumer relationship.

SHIFTING ECONOMICS PUTS CPGS IN THE CROSS HAIRS

Long protected by low margins and high weight-to-price ratios, CPG categories were for years unattractive to e-tailers. Online activity still generates less than 1 percent of sales for most CPG categories – the lowest penetration of any major consumer category – and many retailers and suppliers expected to remain largely untouched by e-commerce.

But shipping and pricing innovations and the sheer scale of some online retailers means CPG can now be delivered profitably, and the industry is set to be disrupted. Sanford C. Bernstein expects online sales will account for 25 percent of all CPG purchases in as little as five years. And a 2014 study projects a marked switch between in-store and online sales, with in-store store sales in the U.S. of personal care products falling $6 per month on average and online sales increasing $9 in just three years.

AMAZON LOOMS

Amazon is gunning for CPG – it declared CPG a target category and is rolling out initiatives and innovations – and is casting a long shadow, influencing all category players.

Since 2013, AmazonFresh has offered same-day grocery delivery (including some personal care products) to a small number of US markets, but more significant is Amazon Prime Pantry, which for $6 delivers up to 45 pounds of goods for its Prime members, an offer that covers many personal care products. Along with other e-tailers, Amazon is moving aggressively to lock down consumer relationships with subscription models and repeat order programs.

PERSONAL BRANDS SITTING BACK, FAILING

Against this backdrop, you’d expect brands to do their best to engage consumers online, meet their needs, build bonds and shore up their competitive position. But Business360’s review of the sites of over 30 leading personal care brands in each of the top 10 e-commerce markets worldwide shows this isn’t happening. With few exceptions, personal care brands are mostly failing to engage consumers or build relationships to help ensure online sales.

Of the four companies reviewed – L’Oréal, P&G, Unilever and Colgate – L’Oréal is the top performer. Its brand sites are more popular and they engage consumers better. Often the difference is stark.

L’Oréal’s brand sites, for instance, have many more links-in from external sites. Against the average in the study sample, L’Oréal’s brand sites have 222% more links-in, while Colgate has 94% fewer. And visitors to L’Oréal’s brand sites stay longer (22 seconds more than the average of 1 minute 32 seconds), while visitors to Colgate’s brand sites leave 11 seconds sooner than average. Still, personal care brands generally fare poorly – the average visitor to Nike.com spends nearly 4.5 minutes on the site.

Personal care brands are also failing to build a sales relationship with consumers. Some sites offer no e-commerce, some link to sites that do (usually retail partners), and others offer full direct-to-consumer (DTC) functionality so consumers can buy products without leaving the site. Brands are slowly moving to offer more and better e-commerce functionality but progress is slow. Of the sites of 32 brands reviewed across the top ten e-commerce markets:

• 25% had no e-commerce functionality and didn’t even link to sites that do
• 70% linked to third-party e-commerce sites
• 5% offered DTC e-commerce

By failing to build their online franchise, personal care brands, and CPG brands generally, are missing the chance to engage consumers at the easiest point of contact, and a growing body of research shows that offline success rests on online engagement. Losing online means losing offline and personal care brands are already late to the game. It’s time for CPG companies to get serious and join the fray.

To build a better understanding of what personal care brands are actually doing online, Online Engagement and Direct To Consumer Strategies in Personal Care (http://business360.com/?p=e-commerce) provides detailed insights with a deep-dive into the top personal care brands of P&G, Unilever, L’Oreal and Colgate to find out what they are doing with e-commerce, and especially DTC sales.

ABOUT BUSINESS360, INC.
Business360 is a specialist research and insights company that delivers a range of knowledge services to the world’s largest companies. It works in over 20 languages, leveraging a global team that is used by all five of the top personal care companies and four of the top five food companies. Learn more at http://www.business360.com

http://www.personalcarebusiness360.com/
http://www.e-tail360.com/
http://www.foodbusiness360.com/
http://www.retailbusiness360.com/

STUDY SCOPE
This is the first of four planned studies. The others cover Beauty, House & Home Care, and Food & Drink.

Each study covers ten countries: United States, China, Japan, United Kingdom, South Korea, Germany, France, Brazil, Australia, and Canada. These countries represent the top 10 according to AT Kearney’s 2013 Global Retail E-Commerce Index.

PRICING
Executive Report (29 pages): $850
Executive Report with Market Review (51 pages): $1,250
Market & Brand Reviews per Company (19-31 pages): $600-$800 each
Full report (124 pages): $2,950

To purchase or for supplemental studies: contact us
U.S: John Marchant, +1 212 866 4680
U.K: Roger Sharp, +44 (0) 1304 613474
 
See the Table of Contents here, http://business360.com/?p=e-commerce

JOHN MARCHANT, Business360, +1 (212) 866-4680, [email protected]

Modal title

Online Engagement and Direct To Consumer Strategies in Personal Care
View PDF
Online Engagement and Direct To Consumer Strategies in Personal Care
CPG Brands Are Vulnerable To E-Commerce And Failing To Invest In Online Engagement
CPG Brands Are Vulnerable To E-Commerce And Failing To Invest In Online Engagement
Online Engagement and Direct To Consumer Strategies in Personal Care CPG Brands Are Vulnerable To E-Commerce And Failing To Invest In Online Engagement

Contact PRWeb

  • 11AM ET Sunday – 8PM ET Friday
  • Contact Us

About PRWeb

  • About PRWeb
  • Partners
  • Partnership Programs
  • Editorial Guidelines
  • Resources

Why PRWeb

  • Why PRWeb
  • How It Works
  • Who Uses It
  • Pricing

Accounts

  • Create a Free Account
  • Log in
  • Contact Us

Do not sell or share my personal information:

  • Submit via [email protected] 
  • Call Privacy toll-free: 877-297-8921

Contact Cision

Products

About

My Services
  • All News Releases
  • Online Member Center
  • ProfNet
Cision Distribution Helpline
888-776-0942
  • Legal
  • Site Map
  • RSS
  • Cookie Settings
Copyright © 2025 Cision US Inc.