Category management

Pack design isn’t enough for effective category management. How to increase conversion at the shelf?

Despite a growing influence of other media and aggressive category management, consumers still make the majority of their purchasing decisions in a vast array of FMCG products right in front of the shelf. While advertising plays an important role in raising brand awareness and increasing brand familiarity, pack design is still the key factor in successful conversions, and as a result – higher revenue. With 90% of purchasing decisions driven by emotions, pack design translates directly into what lands in consumers’ shopping baskets. But a traditional approach isn’t enough, and most agencies don’t realise that their clients may be missing out on shelf-level conversions. Learn why and how to make your category management effective.

Problems in category management

The vast majority of agencies try to dazzle their prospective customers with daring creativity in pack design. This approach is aimed at convincing manufacturers that the role of design is first and foremost to amaze. However, the main issue with amazement is that it’s hard to measure, and it doesn’t always convert. Design is successful only if it results in higher conversions and sales. Modern category management techniques mean that pack design has to be even more persuasive to sell. Here at SiebertHead, we believe that design is important in the marketing mix only if it’s persuasive enough to make your brand stand out and influence consumer behaviour. This is why successful pack design has to meet four essential criteria: 1) Iconic pack design that makes your product pop out within the category 2) Coherence with secondary pack design to increase visibility 3) Maximum benefit for the consumer to increase conversions 4) Above average appeal to grab attention within the category.

Benefits of the new approach to category management

Many design agencies base their approach only on the creative appeal, forgetting about the requirements for successful brand packaging design. This is why at SiebertHead, we’ve engaged in packaging innovation and developed a new, integrated approach to category management. The main goal of our approach is to make packaging work at the shelf. To achieve this, we analyse a number of aspects of successful, persuasive branding from the consumers’ point of view, stepping into their shoes as they move around the aisles, as well as from the manufacturer’s perspective, looking at the category through the eyes of a brand building its competitive advantage. This integrated approach to retail is our key area of expertise. Integrated Design™ relies on effective category management, while systemic pack design is its fundamental component. Within our Integrated Design™ approach, we use proprietary visual brand analysis tools, as well as portfolio planning and packaging process enhancement solutions. Further, we assist indirect services buyers at procurement departments with packaging cost optimisation. We also create alternative scenarios for future portfolio planning and development for directors and heads of marketing. Through our consultancy services, we help integrate the work of the trade marketing department with procurement, sales, marketing and R&D departments. This approach is the main benefit of working with SiebertHead. Would you like to learn more about Integrated Design™ at SiebertHead? Contact us today!