Connected Packaging: Unlocking Valuable Consumer Insights
The packaging of products has now evolved far beyond its traditional role of merely protecting and promoting goods. With the development of connected packaging, communication has been significantly transformed. Indeed, connected packaging offers data that presents relevant consumer insights. Furthermore, it has changed how brands interact with their customers since it provides a deeper understanding of consumer preferences and behavior.
What Is Connected Packaging and How Does It Work?
Connected packaging can be defined as technology integrated into product packaging. This is done through different means such as QR codes and Near Field Communication (NFC) tags, as well as Radio Frequency Identification (RFID) and augmented reality (AR).
When a customer interacts with connected packaging, data is generated. This data set is extensive and diverse: it can include the location and time of the scan, the frequency of interactions, and the type of device used for these, among others.
The Value Of Consumer Insights
1.Understanding Consumer Behavior: Connected packaging informs how consumers interact with their products. Organizations can track and analyze which products are scanned most frequently, identify when their customers have interacted the most, and discover where they have scanned them the most. This data tailors the brand’s target audience and their marketing strategies in a more specific way.
2.Enhancing Product Experience: By providing interactive content, brands can improve the consumer experience, using connected packaging. For example, a beverage brand could use AR to present a virtual tour of its production process, or a cosmetics company could offer personalized beauty tips and tricks. These enhanced experiences, firstly, engage customers, and secondly, provide data on which types of content are most popular.
3.Improving Supply Chain Efficiency: Connected packaging offers insights into the supply chain by monitoring the journey of a product from manufacturer to consumer. Tracking this helps identify bottlenecks, optimize logistics, and ensure product authenticity. It also makes inventory management more accurate by providing real-time data on the product’s geographical position and stock levels.
4.Building Brand Loyalty: Personalized interactions foster a deeper connection between the consumer and the brand. By leveraging the data collected, brands can offer tailored promotions, loyalty rewards, and exclusive content. This personalization creates value and appreciation, driving repeat purchases and brand loyalty.
5.Gaining Competitive Advantage: In a crowded marketplace, having access to detailed consumer insights can be a significant competitive advantage. Brands that understand their consumers better can anticipate trends, respond to market demands more swiftly, and differentiate themselves with unique offerings.
Real-World Applications
Several brands have already harnessed the power of connected packaging. For instance, a leading sportswear brand uses NFC tags in its shoes to offer exclusive content and track athletic performance. A popular dairy company employs QR codes to share detailed product information, including sourcing and nutritional facts, which builds trust with health-conscious consumers. These examples illustrate the diverse applications and benefits of connected packaging across different industries.
Example: Appetite Creative and Tetra Pak Case Study
Appetite Creative has been successful in implementing many different projects that demonstrate the potential connected packaging holds. Indeed, this company has partnered with, for example, Tetra Pak to create a connected packaging solution. By integrating QR codes on the leading juice brand’s packaging, consumers could access a wealth of information about the product, including its origin, nutritional content, and recycling instructions. So far we have achieved 43,397 scans on packaging, 49,584 users played the game, which lead to 513,951 website page views with 2:00 min average time spent on the page.
Conclusion
Connected packaging is revolutionizing the way brands gather and utilize consumer insights. By transforming packaging into a dynamic tool for interaction and data collection, brands can gain a comprehensive understanding of their consumers, enhance product experiences, streamline supply chains, build loyalty, and maintain a competitive edge. As technology continues to develop, the potential for connected packaging to provide even deeper insights and more personalized interactions will only grow, making it an indispensable tool for forward-thinking brands.