Traditional brand advertising is taking a pounding
July 29, 2016
Fast Moving Consumer Goods brands are taking a pounding.
In the US, 90% of the top 100 FMCG brands lost market share and 68% suffered a decline in sales.
Why? Traditional brand advertising – the engine that drives FMCG sales- no longer works.
Instead, Amazon’s customer reviews and Google’s search connect you to the right product without having to default to the safety of a brand.
So small nimble companies with innovative products that are rewarded by Google search are taking lumps out of the big brands.
For example, cosmetics firm Nyx out-performs L’Oreal Paris in organic search visibility by a factor of three, despite only bidding on 129 search terms compared with L’Oreal’s 60,000 terms.
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