Digital Shelf Analytics for Brand Protection Success in 2023.
We have seen the adoption of digital shelf solutions and insights only cementing their value within brands and organisations over the last 3 years. At the heart of digital shelf insights lies the need to analyse and fix the various friction points that are caused to a consumer as they navigate the online aisles.
An effective digital shelf strategy would involve consumers having minimum distractions as they consider buying a product online, and ensuring that yours is the product that delivers the best value in terms of Stock, Ratings, Reviews, Price Points, Imagery and Content, Buy Box Ownership, Visibility (share of search) and more.
There are many factors at play when it comes to having a successful digital shelf strategy in terms of tactics. Understanding the algorithms different retailers have to offer ( what are the factors at play in terms of SEO, selling history and rating, reviews and more) for your brands to achieve a higher share of search, but the biggest factor for a successful digital shelf strategy being synergy and understanding of KPIs, and share of knowledge between eCom and other teams within organisations.
eCommerce is not a different channel, but a sales channel, and this at times makes the difference.
It’s a slow change, but one which is gradually happening. As reported by Profitero in their 2022 eCommerce Organizational Benchmark Report, “Nearly one out of five leaders (19%) say eCommerce responsibilities are now democratized across their businesses, a 20% jump from last year.”
This brings us to the topic of brand protection and digital shelf synergy.
Just like eCommerce success is a combined effort between sales, eCommerce, marketing, logistics and other wider teams, it’s the same approach that needs to be applied when thinking #brandprotection, monitoring and enforcing against unauthorized 3P sellers on marketplaces, counterfeit takedowns on eCommerce channels and more.
A successful brand protection strategy involves legal and policy teams understanding the eCommerce and Sales KPIs and vice versa. Clients with the most success at GreyScout follow this eCom+Legal synergy-first mindset.
As highlighted in the image above, generally, the root cause of revenue losses for 1P channels or any other form of unauthorized selling happening within the various eCommerce channels goes back to the infringement of policies (selling, consumer safety, distribution agreements and more).
Legal and policy teams are more in sync with that part of the organisation. Whereas eCommerce teams are more on the front line when it comes to these policies having a direct impact on the digital shelf performance because of these policies being not adhered to by the unauthorized 3P sellers.
For example, if an FMCG product was not stored at a particular temperature, consumers may receive a damaged product, which might result in bad reviews, which in return might lead to that product being de-prioritised on the share of search.
Or an assortment which is not made to sell finding its way online, like the review above.
The bottom line being brand protection enabled by digital shelf metrics is a powerful combo. There are multiple ways to utilize the insights, for example:
- Focusing on SKUs which tend to lose buy box more frequently or which tend to see more MAP violations (US based) being prioritized for brand protection initiatives as they might unroot bigger challenges.
- The same goes for SKUs with the least ratings, maybe the issue is not the product but also the quality of the product or the product in itself.
The end goal is positive performance across digital shelf, retail media, and brand protection initiatives generated by the synergy between eCom, Sales, Performance and legal teams.
If any of the points or suggestion sounds familiar or interesting, do reach out to me to discuss how GreyScout and your digital shelf initiatives can work in complement in 2023.