Katy Hill

PROMOTIONS ARE LIKE BAD CHOLESTEROL Sir Martin Sorrell, former Chief Executive of WPP once said “Brands should view promotions as “bad cholesterol” which boost sales but at a cost to brand health. In contrast advertising should be seen as “good cholesterol” which delivers sales whilst also maintaining profitability and brand equity.” The digital commerce equivalent would be Brands should treat Paid Search & promotions as “Bad Cholesterol” both of which boost sales in the short term at the expense of profit and loyalty. In contrast building relevance to a customer’s needs and missions along their digital shopping journey through portfolio, advertising, marketing and targeted digital retail media should be seen as “good cholesterol” which delivers sales whilst also maintaining profitability & brand equity and building customer engagement, experience and loyalty. A bit more of a mouthful, but then I haven’t spent 40 years at the helm of a global advertising giant. #digitalcommerce #ecommerce #cpg #cpgindustry #fmcg #fmcgindustry #digitalstrategy #digital

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Fighting harder than ever to maintain sales through current accounts? You are not alone! Continuing the GRIPPING serialisation of the latest Kindred survey of over 200 independent drinks brands by CGA by NIQ. The Duppy Share we're investing deeper than ever before in our off-trade partners in order to maintain last year's volume. The value-for-money hunting UK consumer is now buying over 75% of their spirits on-promo (vs 55% LY), meaning more investment than ever to maintain volume. On-trade is slightly different - Duppy's strength is in high volume large venue indies, where we can afford to over invest in epic experiences. Recent wins in Lucky Voice Group, Bubba Oasis | Bubba Hospitality Group, Troxy, The Clockwork Rose, Heartbreaker’s Gentlemen’s Club & Restaurant, Wing Kingz and Natty's Jerk all great examples of deep support and strong high volume opportunities. Expecting to see the market correct itself somewhat through 2025, as our multi-national competitors reduce their overfunding to deliver their sales numbers and the trade reduce their expectations of an indie sector that keeps saying NO to "opportunities" to showcase our brands in front of new audiences for ridiculous fees, and refuse to invest in accounts that aren't driving a profit or significant growth.

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50 YEARS OLD THIS NOVEMBER. AND PROBABLY THE MOST SPONTANEOUS DIAGEO BRAND SINCE JOHNNIE WALKER. I loved the process of creating Baileys. We only had one idea. And client no.1, Tom Jago, bought it in a heartbeat -despite the fact that it was a 'Mickey Mouse' liquid in a Schweppe's tonic bottle. And Mac Macpherson, the tech genius who perfected the product, originally pronounced our version "undrinkable". But he knew what we were after. The Irish end-user, David Dand, was just as quick to buy it, though he had a little more to work with. We showed him a bottle with a printed label and a half-way perfected liquid. There was only ever one product, one name and one pack design. We never tested any alternatives. In fact we barely did any research at all. There were no planners, analysts, strategists or researchers. That's why the operation cost peanuts. And didn't take too long. I'll bet the creation of Johnnie Walker back in 1820 was just as.....spontaneous. And I managed to keep working that way for another 30 years. For the full story of Baileys' beginning, check out my book on https://lnkd.in/eyRzmuK, and order it on Amazon. #Author #Book #Books #BookLovers #Bookstagram #Reading #WritersOfInstagram #BookCommunity #NonFiction #Biography #Branding #Marketing #CreativeWriting #BusinessBooks #Entrepreneurship #MarketingBooks #BrandStrategy #CreativeProcess #BusinessBiography #MarketingGuru #DavidGluckman #ThatShitWillNeverSell #BaileysIrishCream #DrinksBranding #BoozeBranding #IconicBrands #BrandCreation #DrinksIndustry #BrandingStories #CreativeMarketing

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WHY BIG FMCG WILL NEVER REALLY BE DISRUPTED…BY SOMEONE TRYING TO DISRUPT IT: PART 1 – Lower and lower barriers to entry equals more start-ups fighting for limited attention. It’s no longer the 1% club, but the 0.1% club. Barriers to entry in FMCG have collapsed. 1. Businesses can be launched on a shoestring budget and a combination of crowdfunding and the democratisation of start-up financing means capital is now rarely a barrier. 2. Almost all manufacturing can be outsourced and the economics of excess capacity and marginal cost means that it can be generally tapped into very cheaply. 3. Online distribution, direct to consumer, means that products and ideas can be tested with effectively no upfront costs, either through Shopify (what a business!) or larger aggregators like Amazon. 4. Social media, if you’re talented at it, allows a certain degree of marketing reach and whilst digital marketing is more of a business tax IMHO, the days of needing a big advertising budget starting out are long gone. 5. Free outsourced expertise. Don’t know how to import product from overseas? Want to understand how to calculate gross margin properly? Need help honing your Instagram skills? There are hundreds of thousands of YouTube videos to show you how. All free and pretty well-ranked for quality. So, it’s no surprise that the number of new consumer start-ups has exploded. When Sipsmith arrived on the scene in 2008/9 it famously had to get an 1823 law changed that prohibited distillers for obtaining a license for a still under 1,800 litres (that equates to a minimum 2,000 bottles of gin per run!). Now there are approximately 1,000 gin distilleries in the UK and thousands more brands on top of that. The top 10 beauty and personal care markets in the world saw over 30,000 new brand launches in the past two years and… …despite slowing category growth, over 170 new Tequila brands were registered by the CRT (the Mexican regulator) in the first six months of 2024, up nearly 50% year-on-year. All those new brands are effectively fighting for the same attention. They are all chasing the same influencers in the hope they’ll promote their brands. They all want to get in at SEPHORA but the SKU range is not expanding. They all want to be on the menu at The American Bar but the cocktail menu isn’t growing. They all want to be at eye level in Waitrose & Partners but the physical shelf isn’t expanding. In my former role as a consumer goods investor, I used to assume that about 1% of start-ups would ‘make-it’ in some form. I no longer think it’s the 1% club but the 0.1% club. To seriously boost your chances of success, I think you need to take a very different path to everyone else. LOOK OUT FOR PART 2 next week. Ray Latif John Craven Frederic Fernandez Jack Orr-Ewing Michael Steib Dan Gasper Saabira Chaudhuri Warren Ackerman Emile Ward David Gluckman

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Guinness 0.0 has surpassed Heineken 0.0 to claim the title of the UK’s biggest alcohol-free beer. Guinness 0.0 has seen its off-trade sales rise by nearly +110% to £33.2m in the past year [NIQ 52 w/e 13 July 2024]. Over the same period, Heineken 0.0 sales have only climbed by +4.2%, to £28.3m. According to NIQ, Guinness 0.0 overtook Heineken 0.0 at the end of March, based on 52-week rolling data, and has maintained its lead since. Rounding out the top five alcohol-free beers in UK retail are Peroni Nastro Azzurro 0.0%, Corona Cero and Beck’s Blue. A focus on product quality, marketing activations around rugby’s Six Nations Championship and Diageo’s work with retailers to grow the awareness of alcohol-free had contributed to Guinness 0.0’s rise. #beer #guinness #zeroalcohol #alcohol #beverages #diageo #heineken Lars Jensen Jean Noel Ortal Paul Villis Carol Dunne Gwyneth Kelly Michelle Osagie Gilles Halotel Ian Chesworth Erika Minaguchi Francois Sonneville Bourcard Nesin Jim Watson Stephen Rannekleiv Andy Crawford Mark Gallo John Craven Nuno Teles Stephen. O'Kelly https://lnkd.in/e7w5V6TM

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‘Marketers taking a lesson from this should look to double-down on “the fundamentals” of “availability, building brand awareness, being priced right and having a good proposition”.’ I couldn’t have said it better! I’ve had management tell me repeatedly to ‘Create viral campaigns’ or ‘Be disruptive’ - but the fact is that even creating high levels of awareness and demand is built on a lot of background work, especially for Influencers… Fads are transient; it’s the fundamentals that help pull you through.

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In case you haven't heard, there's a significant FMCG merger this year that's worth knowing about. Mars has just signed a $36 billion deal to acquire Kellanova (formerly Kellogg's), marking one of the most significant moves in the industry since the Kraft Heinz merger in 2015. This game-changing merger brings together two powerhouse companies with a combined revenue of $63 billion, setting the stage for major shifts in the global snack and food market. For Mars, this merger is a strategic leap into the savory snacks market, which is currently outpacing the sweets category in growth. The savory snacks market is projected to grow at a 5.4% CAGR from 2024 to 2032, driven by the growing consumer demand for healthier, convenient snack options. Meanwhile, the sweets market is expanding at a slower rate as more consumers focus on reducing their sugar intake. This merger isn't just about expanding product lines—it's about Mars positioning itself to better meet the evolving preferences of consumers who are increasingly seeking diverse, health-conscious snack options. As a result, you can expect to see more variety on the shelves, potentially better pricing, and a greater emphasis on healthier products. #FMCG #Merger #Mars #Kellanova #SavorySnacks #MarketGrowth #IndustryNews #HealthySnacking #ConsumerTrends

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This little pie is a summary of how search across channels compares in size, and was based on 5 broad categories we looked at. I am shamelessly posting again, because it's a massive shift in consumer behaviour and opens more opportunities for brands to connect to consumers who are interested in your brand/product/category at that precise moment - searchers! Esp. for the post-Google generation who love search in TikTok. Do you understand Omnichannel search habits in your category and how they are changing? Do your consumers find you? Greenpark

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The energy✨️ drinks category continues to perform very strongly, despite attracting a degree of negative publicity around caffeine ☕️ and sugar levels. Increasingly health-conscious consumers are beginning to expect low calorie, sugar free options. These consumer trends are driving category blurring in the energy market, into typically “healthier” categories. 46% of European consumers are looking for a reduction of tiredness and fatigue when seeking out food and drink products. Consumers seek a long-lasting energy boost that lasts throughout the day, without the crash often experienced with typical energy products on market, all leading to the increased shift towards the demand for more natural caffeine content and fewer artificial additives, expect to see lots more innovation in this space for the energy drinks category. There is an every increasing number of beverages products, with positioning's around, "natural clean energy", "healthy energy", "zero sugar" and "kombucha" backed by ingredients such as "Matcha green tea caffeine", "nootropics" "B vitamins", "zinc" to name but a few and all underpinned by new and innovative fruit flavours. The energy drinks category can expect to see an ever increasing number of natural clean energy product launches. For any brand owner or manufacturer looking to innovate 💡 in the energy drinks category and create great tasting, natural clean energy beverages, please do get in touch the beverages team at Kerry is here to help. #beverages #energy #zerosuagr #cleanenergy #naturalenergy #caffiene #energydrinks #taste #kombucha #honey #sugar #flavours #macha #coffee Carol Dunne Gwyneth Kelly Michelle Osagie Sheelagh Pentony David Deeley Brian Short Christina Furlong Mark Allen Paul Villis Farrah Gilsenan Marc LEJEUNE Breda Kelly Tiphaine BEAU Magdalena Edyta Przewoźnik Erika Minaguchi Barbara Lezzer Aoife Mc Donald Sergio Saavedra Rodríguez Ian Chesworth Birgit Schaaf Erlon Pereira Joshua Schall, MBA Elaine Druhan Xavier Herrera Sophie TUDOT John Craven Mark Gallo Jim Watson Andrew Wardlaw Nina Riggins

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Didn't get a chance to catch up on the latest FMCG news this week? I've got you covered with another snippet of 𝑾𝒆𝒆𝒌𝒍𝒚 𝑺𝒖𝒑𝒑𝒍𝒚 𝑪𝒉𝒂𝒊𝒏 𝘮𝘢𝘳𝘬𝘦𝘵 updates across 𝘪𝘯𝘯𝘰𝘷𝘢𝘵𝘪𝘰𝘯, 𝘴𝘶𝘴𝘵𝘢𝘪𝘯𝘢𝘣𝘪𝘭𝘪𝘵𝘺, 𝘪𝘯𝘷𝘦𝘴𝘵𝘮𝘦𝘯𝘵, 𝘦𝘹𝘦𝘤 𝘮𝘰𝘷𝘦𝘴 & more! 💸PAI Partners to acquire a majority stake in wellness platform Nutripure 🍇Suntory Beverage & Food GB&I helped boost biodiversity across Ribena’s farms with AI tech 💄Aurea acquired The Body Shop out of the UK administration 🛍️VF Corporation sells Supreme for $1.5Bn to EssilorLuxottica 🥤Califia Farms plant-based beverage brand acquires Uproot 📦Amazon's 48-hour Prime Day – increased sales to record $14.2 bln say Adobe Analytics 👶Abbott stock slips - company ordered to pay $495M in baby formula case 🍔McDonald's sales soften by 1%, diners opt for healthier choices & disappointed by increased prices 💊Reckitt streamline ops - reshaping portfolio & simplifying org structure 💡Mintel-Food&Drink CPG innovation dipped by ~50% since 2007, 2/3 of launches (2024) being “renovation” 🏭PepsiCo invest £13M into Doritos Coventry factory in the UK 👔Nike hires ex-Salesforce exec as CIO; Mondelēz International appoints new Chief Information & Digital Officer; Unilever bring Air Liquide’s ex CEO to its board; General Mills get new Chief Strategy & Growth Officer 🧁Tate & Lyle buys CP Kelco for $1.8Bn continue investing in sugar reduction tech Stay tuned for more news next week - anything I've missed? 𝑪𝒐𝒎𝒎𝒆𝒏𝒕 𝒃𝒆𝒍𝒐𝒘! #supplychainnews #fmcg #supplychainsustainability #sustainablesupplychain

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Calling for FMCG nominations! What's your favourite start-up or independent? Those of you who know me know that I spend time at small independent delis, farm-shop as well as exhibitions like the Food & Drink Expo looking for interesting new products and new start-ups. The vibrancy of our industry is driven by new and by start-ups which deliver up to 50% of our categories' growth. A few favourites … 💐 Bloom & Wild, established in 2013 by Aron Gelbard and Ben Stanway, is an online florist renowned for its innovative delivery flower service which allows bouquets to be delivered through letterboxes. Now expanded across Europe, B&W’s commitment to customer satisfaction is outstanding. Great flowers, great gifts and great subscription service. I love too how they use Mention Me. 🔋 virtue drinks, founded in 2016 by Rahi Daneshmand, is my secret energy weapon. A nootropic, clean energy drink; sugar-free, calorie-free, all natural; each 250ml can provides a natural caffeine boost equivalent to a cup of coffee, sourced from yerba mate. Certified Carbon Neutral, Virtue contributes to rainforest conservation with every can, reflecting its commitment to environmental responsibility and clean, natural energy 💥 😌 Another nootropic, BLOCKHEAD specialises in plastic-free functional chewing gum designed to enhance physical and mental performance. Their product range includes Calm Gum, formulated with soothing CBD botanical extracts to aid relaxation. All products are sugar-free, vegan, and utilise rapid absorption through the gums for swift effects. Regular gum is a single-use plastic, not BLOCKHEAD. 🍽 Waste To Plate is a community initiative in Thames Ditton dedicated to reducing food waste and promoting environmental sustainability. By partnering with organisations like FareShare UK and local businesses, they rescue surplus food and redistribute it to those in need, thereby decreasing landfill waste and providing nutritious meals to the community. Winner-winner-planet-friendly-purse-friendly-dinner! ❣ GenM Official, founded by Sam Simister and Heather Jackson, is committed to improving the menopause by collaborating with brands, retailers, manufacturers to make menopause more visible and better supported. They have identified 48 symptoms of menopause, highlighting the diverse challenges faced during this life stage. To assist consumers in finding suitable products, GenM introduced the “MTick,” a universal symbol for menopause-friendly items across various categories. Find it in Boots UK for example. ☺️ AromaStick AG - another nootropic - specialising in portable nasal inhalers infused with 100% organic essential oils designed to deliver concentrated scents directly to the olfactory system, promoting immediate effects on mood and well-being. The range includes blends for relaxation, focus, energy, balance, each formulated to support specific physical and mental states. Let me know what are your favourite start ups. #TheCPGGeek #FMCG #StartUps

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After 8 years of working with a huge variety of leading FMCG brands I've had the privilege of witnessing a critical, and very common issue in the FMCG industry: The failure of product sampling. The typical "mass drop" volume focussed approach is deeply flawed, yet still plays a major roll in the strategies of many, many brands. 1. Poor targeting: Most samples reach the wrong audience 2. Ineffective engagement: Quick, cheap handouts don't create meaningful, experiences. 3. Lack of measurable results: Millions spent with no way to attribute direct success or ROI - the "Key Result" is more often seen as the volume of samples distributed, rather than what impact they had The solution? Performance Sampling! An approach designed around hyper-targeted distribution - reaching specific consumer groups that perfectly align with your target audience and are actively looking for products like yours! Performance Sampling ensures deep, educational engagement, in your target consumers most receptive environment, the perfect place to try a new product or brand - home. And as for the results? Performance sampling measures success exclusively on the direct ROI from the samples you distribute, not simply how many you send out. In 2024 - it's mission critical that ALL marketing activities return data and provide REAL measurements of success. It's time to move beyond the 'spray and pray' sampling method. It's time to evolve! What do you think about Performance Sampling?

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B Corp has recently released its latest Brand Awareness Report. It's great to see that consumer awareness of the B Corp brand continues to grow around the world. 👏 👏 👏 1 in 4 people around the world have heard of B Corp, with that number significantly increasing in younger consumers. In the US half of all consumers under 25 are aware of B Corps. Furthermore, seeing the logo on a product package drives both awareness and purchasing decisions. 56% of consumers around the world agreeing that certifications for business practices influences their purchase decisions. https://lnkd.in/g-RHQf8C

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🚨 Hot take 🚨 Branding isn’t about internal consensus. It’s about external impact. *Jaguar entered the chat... Strong brands are built with bold choices, and bold choices don’t always please everyone - internally, externally, on social media, or down the pub. But does it matter? No. Probably not as much as you think it does. The purpose of branding isn’t to jazz up PowerPoint decks —it’s to position your company as the leader in your market. 🍏 When Steve Jobs famously faced pushback with Apple's "Think Different" campaign, some executives felt the messaging was too abstract and didn’t directly sell products. But Jobs held firm, focusing on emotional resonance with the audience. The result? It redefined Apple’s brand and set the stage for its rise to become a cultural icon. 🥤 When Coca-Cola revamped Diet Coke packaging in 2018 with bold, minimalist designs and vibrant colours, many felt it strayed too far from the established, safe image. But the redesign appealed to younger, trendier demographics, rejuvenating the brand and boosting sales. The most successful branding decisions often feel risky—and that’s exactly why they work. As long as they align with audience insights and marketing goals, internal discomfort can be a sign you’re on the right track. 💬 What’s your favourite bold branding move that wasn’t a crowd-pleaser? 

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Less than 1 in 10 pints of beer sold in GB are stout, yet despite this, Guinness 0.0 has become the nation's best-selling non-alcoholic beer according to NielsenIQ.  So how has this brand managed to transcend categories? In The Grocer, Diageo GB Managing Director Nuno Teles says the success is due to “the combination of a beautiful liquid, beautifully served in a nice branded glass around the sports viewing occasion.” Beautifully simple! But of course, there is much more to it than that. Having proudly worked for a competitor of Diageo for many years, I appreciate the hard graft and huge investment required to achieve what Guinness has achieved. For as long as I can remember, Guinness has conveyed in their advertising how the beer should be served, whilst simultaneously investing £m's to ensure EVERY pub and bar had the knowledge and equipment needed to deliver the promised product experience. Not only has this strategy paid dividends for Guinness, (now the number one beer in GB On-Premise), but it has created a positive halo for their 0.0 innovation. If there was ever a case study supporting the ‘importance of product’ in the marketing mix, this is it! More on this topic from Mark Ritson in his MarketingWeek column... https://lnkd.in/e77an9QE #brandstrategy Image credit: VanderWolf-Images

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In today's highly competitive beauty FMCG industry, knowing your numbers isn't just beneficial—it's imperative. With razor-thin margins and ever-evolving consumer expectations, the pressure is on manufacturers and retailers to deliver both quality and affordability. But what if I told you there's a way to boost your bottom line while simultaneously passing on cost savings to our end customers? It's not just a dream—it's a strategy grounded in innovation, optimization, and a deep understanding of your costs. Imagine you're a manufacturer who meticulously tracks every aspect of your production process, from raw material sourcing to the final product hitting the shelves. By continuously monitoring these metrics, you spot inefficiencies and identify areas ripe for optimization. Perhaps it's streamlining your supply chain, or maybe it's about negotiating better terms with your suppliers. By adopting a holistic approach to cost management, you can drive significant savings without compromising on quality. But let's take it a step further—innovation. In the beauty industry, staying ahead of the curve means constantly innovating, whether it's through new product lines, sustainable packaging, or leveraging cutting-edge technology. Innovation doesn't just keep your brand relevant; it can also uncover new efficiencies and cost-saving opportunities. The question then arises: What do we do with these savings? Instead of merely padding our profit margins, let's consider the bigger picture. By passing on some of these savings to our end customers, we create a win-win scenario. Our customers enjoy high-quality products at more affordable prices, which in turn builds brand loyalty and fosters a positive reputation. Happy customers are repeat customers, and in the beauty industry, word-of-mouth can be a powerful driver of growth. Optimize your product range regularly. Through careful analysis, you can determine which products are driving sales and which are not meeting expectations. Cutting underperforming products allows you to focus on what works, reducing waste and further driving efficiencies. This optimization doesn’t just benefit your business; it ensures that customers receive the best value for their money. By knowing your numbers, consistently innovating, and regularly optimizing your product range, you can discover cost savings that don't have to come at the expense of quality. And when these savings are passed on to the end consumer, everyone wins. Let's redefine success in the value and satisfaction we bring to our customers. Because when our customers win, we all win. #InnovateAndThrive #CustomerFirst #BeautyIndustry #SustainableGrowth #fmcg #groceryretail

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