Working towards widespread retail success can feel overwhelming at times. We get it! It IS overwhelming, especially when you’re still trying to get your name out there.
With that being said, there is one strategic approach that stands out as a game-changer for CPG brands aiming to grow their presence in the retail landscape: the power of focused regional distribution.
The Scattered Distribution Conundrum
Picture this: Your CPG product has gained significant attention and traction. Yet, despite its current appeal, achieving consistent retail success remains a challenge. The culprit? A distribution strategy that's spread too thin, resulting in a lack of concentrated impact.
Whether it's on purpose or not, the issue with scattered distribution is that it can lead to inefficiencies and a lack of brand recognition.
Embracing Focused Regional Distribution
We find that the best way to overcome this obstacle is to embrace a more focused approach. Rather than attempting to conquer the entire retail landscape at once or taking whatever you can get, consider starting with specific regions where your product is already generating demand. Here’s why:
A. Leveraging First-Party Data: Whether you know it or not, as CPG brands, you possess a goldmine of extremely valuable first-party data from your customers' interactions. Analyzing this data can unveil geographical and product-driven information, giving you insights into which regions are most excited about your product.
WeStock offers a really easy way to visualize this data through an interactive map showing exactly where your demand lies.
B. Laser-Focused Strategy: By concentrating your efforts on regions with proven demand, you're able to tailor your sales and marketing strategies to cater to the preferences of those specific markets. This targeted approach increases the likelihood of resonating with local consumers.
C. Stronger Retailer Negotiations: Armed with solid regional demand data, you're better equipped to engage with retailers. Think about it: If you were shown a data slide proving that people in your neck of the woods love a product and want to see it stocked in their area, it would be a no-brainer. At least, it’ll surely give you a leg up in the situation.
The Path Forward
So, how can you put this strategy into action?
A. Data Capture & Analysis: Dive deep into your first-party data to identify regions where your product is generating the most interest. To get an understanding of what kind of data points might be valuable in this situation, take a look at what information you’d be collecting as a WeStock brand.
B. Engage Your Audience: Engage your audience at every touchpoint, both online and in-person. This might involve setting up localized marketing campaigns, like text rebates, for in-person sampling events and tradeshows, where they can quickly opt-in through a QR code.
C. Form Relationships with Retailers: Approach retailers armed with the regional demand data that demonstrates your product's appeal in their area. This evidence-based approach makes a compelling case for them to stock your product.
Below, is a buyer-ready report made for a current brand on WeStock.
It’s extremely important to remember: Success lies not in being everywhere, but in being strategically present where it matters most. Having more focused distribution taps into the heart of demand, allowing you to concentrate supply to get to know your customers, cultivate brand loyalty, build strong retail partnerships, and ultimately set the stage for organic growth.
By taking this approach, you're not just navigating the retail landscape – you're conquering it, one region at a time.