Is the market ready for interactive packaging? The challenge is having the means to communicate at the point of sale when the critical decision to purchase is being made and then afterward through the period of use. But the opportunity
is there. Consumers already hunger for information. They are ready for and receptive to personalized service that enhances their purchasing journey and demonstrates that a brand
fits with their values.
As Islem Yezza, Director of Sales and Marketing for Netpak, emphasized in his workshop presentation, “consumers have become hunters rather than surfers.”
A recent research report from Deloitte Consulting supports this.
The report found that 84% of retail store visitors use their smart phones before or during the visit to the store. Consumers who use their phones at the store for product information convert from shoppers to buyers at a 40% higher rate. About 22% of these shoppers spend more on the purchases than initially planned. In addition, 75% of those who receive recommendations through social media or experts said that this influenced their purchase decision and then later their brand loyalty.
Yezza referenced a recent statement from Nestlé that said technology is fundamentally changing the way consumers buy its products and engage with its brands. This would of course be valid for every consumer packaged goods company (CPGS) in the world. “As technology is fundamentally changing the way consumers buy products and engage with brands, there is a need to create highly engaging and meaningful experiences online,” Nestlé said.
Use and purpose of interactive packaging
The graph below shows how important brand owners, brand managers and creative agencies view greater consumer engagement at the point of sale as a motivation to invest in new technologies:
Three market verticals also emerged as key targets for interactive packaging solutions capable of wireless communication, specifically, near field communications (NFC). These were
pharmaceutical, food and beverage (including premium alcohol), and cosmetics. These could be considered high-value point-of-entry markets where interactive packaging can prove its worth and then spread throughout the rest of the consumer goods supply chain.
For what purpose? Direct marketing ranked first by a clear majority as the key driver for applying this intelligence. This of course links directly to consumer engagement at the point of sale.
Last October, 65 industry leaders from across the packaging value chain, including brand owners, packaging companies, creative marketing agencies and technology providers, gathered at Xerox Research Centre of Canada’s HQ in Mississauga, ON for IntelliPACK’s first Printed Electronics Intelligent Packaging Workshop.
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