Tradespend is the amount that a manufacturer/vendor spends to promote a product in-store.

These insights are curated from a larger David Diamond Associates study, "Evolution in CPG Marketing Spending: Perspective on an Evolving Industry."

How does your organization compare? Few CPG companies may admit that this century-old “Half the money” quote (from John Wanamaker) still depicts their marketing reality.

Watch this video to learn more, and read our accompanying article, “ Western Europe’s consumer-goods industry in 2030 .”

Here’s what their answers … Shopper marketing expenditures by CPG companies amount to over $100 billion a year.

They received responses from 81 marketing executives representing consumer goods brands.

That’s because new research from Nielsen Catalina Solutions (NCS) has established benchmarks that detail the expected return on spend based on media type.

Shopper Marketing Magazine released their 2019 Trends Report and they are predicting a year of high growth for the discipline.

Shopper marketing also encompasses shelf displays and store promotions, where the cost is borne by CPG companies.

The consumer packaged goods industry is changing rapidly.

Multichannel Business Strategies in the CPG industry For example, if sales dropped $1,000 a month on average for the previous 12-month period and a $500 marketing campaign results in a sales … This year, CPGs are upping their spend in Shopper Marketing, specifically into digital and mobile channels. This percentage will continue to rise if supermarkets do no focus on CPG marketing spend and marketing strategies. Today, CPG brands are focusing their efforts on … Digital commerce is also where CPG marketers are making their top investments to meet 2017 company goals.

The study further suggested that local grocery stores need to speed up their initiatives for online shoppers. While emerging markets receive a lot of attention, mature markets like Western Europe also face significant changes. Marketing leaders in retail and financial services both spend 9% on digital commerce, the highest reported in the survey results, exceeding the amount spent on websites. Typical in-store promotion vehicles include discounts/coupons and supporting ads in a retailer's circular. To meet evolving needs, consumer packaged goods companies are shifting the way that they approach their CPG advertising spend. In addition, the research findings illustrate the different sales increases that CPG brands can expect as a result of their ad spend across media types. Digital ad spending by CPG advertisers will grow by more than 17% in 2017 to more than $7 billion. The CPG Shift to Digital.

The increase in digital is driven by growing category investments in search, video and mobile.

Yet, more than 60 percent of Fortune 1000 Chief Marketing Officers cannot quantify the impact of marketing in both the short and long term, despite investing in data and analytics.

Historically, brands drove awareness with broad advertisement and flashy packaging. Historically, when CPG companies introduced new products, they poured money into paper coupons and circulars.

The white paper was developed to advise on how to significantly improve the efficiency of marketing spending in consumer packaged goods. The statistic shows the consumer packaged goods (CPG) spending of U.S. consumers in … CPG Trade Spending & Promotions: Ignorance is NOT Acceptable Posted on December 21, 2017 July 24, 2019 by Karl Edmunds The holidays represent a major source of revenue for almost every CPG manufacturer and the season is quickly approaching.