Both consumers and brands seem to have a love-hate relationship with cashless checkouts. Here are some of the ways that CPG brands are making the most of this technology to reach consumers.
Big Cashless Tech and CPG Marketing
Last year Kraft Heinz made CPG marketing news as they invested in Zippin, a cashless checkout point-of-sale start-up. The Zippin marketing materials say they use "a combination of computer vision, AI, and sensor fusion technology, to create a checkout-free experience, all shoppers have to do is download a mobile app and scan it before entering a store.
CPG brands have been slow to jump on the cashless checkout bandwagon, but with COVID-19 still playing havoc with big-box retail, we anticipate this is all about to change. Benzinga says, "Companies like Kraft Heinz are interested in cashier-less checkouts, as they represent an opportunity to get closer to the end consumer and better understand shopper behaviors and preferences." Not to mention that consumers will enjoy a more frictionless checkout experience.
CPG marketing is about to shift in favor of a more convenient, yet data-driven checkout. To stay competitive, CPG brands will need to use technology to improve the customer experience. Inconvenience can spell the death of the consumer relationship for CPG brands these days, and cashless (or cashier-less checkout, for that matter) creates a better customer experience and ultimately strengthens your brand.
Customer convenience aside, how do these new technologies actually increase the bond with your customers? The answer is through technology, of course.
Companies like Quotient, a CPG marketing firm, announced a new digital promotions tool late last year that puts offers, messages, and promotions right onto the customer shopping receipt. These are tailored to consumer buying patterns. Currently in use at Albertsons across 34+ states, the technology offers some serious ad personalization that is the complete opposite of the cold and impersonal human-free checkout process. It's through tools like these that seek to personalize the consumer shopping experience that brands will impress and keep customers coming back for more.
CPG Marketing and the Hyper-Connected Shopper
Cashless checkouts are a sign of the digitally transformed times, and it's forcing CPG brands to evolve. The latest technologies seek to harness what we know about each consumer and then use it during a hands-off, cashless, and highly streamlined shopping experience. CPG marketing must evolve to create an integrated consumer experience that includes a rich mobile experience right up to checkout. We have the data, and cashless checkout will continue to develop into a way to reach our customers across channels.
The difference today that CPG marketing teams must embrace is that consumers have more choices and power. They research, buy, and receive products at will using both online and offline channels. To build loyalty with these customers, CPG brands must create personalized, streamlined experiences across channels.
Make no mistake; cashless usage is coming. Pew Research reports more Americans aren't making any purchases at all with cash. The U.S. Chamber advises brands to pay close attention to these consumer behaviors and avoid "being the last guy to adopt, that little gazelle that's broken away from the pack is the one to get picked off."