Twitter may just be CPG brands’ new best friend. Last week, Twitter announced that it will be launching an analytics tool that will measure the impact of promoted and organic tweets in a partnership with analytics company Datalogix. MediaPost reported on a study performed by Twitter and Datalogix that measured the impact of promoted and organic tweets of 35 CPG brands across categories of beverages, food, wellness, household products and alcohol. The study found that tweets helped lift offline CPG sales.
Social Barrel reported that the study showed engagement with a brand increases in-store sales. Users who engaged with promoted tweets bought more from a brand than compared to those who were not exposed to them. This resulted in a 12% increase in sales for brands. Also, those who were exposed to promoted tweets but did not engage with them still led to a 2% sales increase. Twitter believes these results show the value of promoted tweets and the capacity for them to impact a brand. Shoppers are now social, so the high visibility of promoted tweets allows them to act as reminders to purchase the featured item. The evidence is in that fact that user exposed to a promoted tweet will purchase 29% more from a brand than those who are not.
Despite promoted tweets having a higher visibility rate compared to organic tweets, organic tweets still contribute to an 8% sales increase for CPG brands. Users who were exposed to organic tweets purchased more from brands compared to the unexposed controlled group. There is still an increase in sales due to the fact that these organic tweets help to build relationships with a brand’s followers. This in turn can create advocates among users and impact their decisions to purchase more. In fact, the increase in sales was nearly three times the original value among those who were exposed to 5 or more organic tweets during the study. Advocates are valuable assets to brands and drive sales far beyond that of the occasional shopper.
For CPG Brands, Twitter and Datalogix’s research offers a compelling argument as to why they should engage with their customers on the social networking site. Customers are taking to social media sites to share their opinions and experiences with a brand. It’s like an end point to their purchase, so why not drive their purchase decisions where they’re shopping experience comes to a finish? CPG Brands will bring the experience full circle and kickstart the next purchase their customer will make with a simple tweet.