How To Drive CPG Sales This Holiday Season Using Digital Recipes

The holiday season is a time of togetherness, joy, and, of course, feasts. While the season is full of traditions, the way consumers approach grocery shopping and holiday cooking is always evolving. CPG brands and grocery retailers need to stay attuned to the latest consumer behaviors in order to capitalize on potential advertising opportunities.

Key Consumer Grocery Shopping & Cooking Trends To Know This Holiday Season

In this blog post, we'll dig into key findings from Chicory’s 2023 Holiday Playbook, which pairs data from a 2023 survey of over 1,000 American consumers with insights from the 2022 Holiday Grocery Shopping Report. This combination of data provides actionable insights for CPG brands looking to enhance their holiday activation strategies and boost sales.

Hosting During the Holidays 

This year’s survey shows that 89% of respondents plan to host or attend holiday gatherings this year. Among them, 50% are attendees, while 39% will take on the role of host. This means that the demand for holiday products and ingredients remains strong, providing a ripe opportunity for CPG brands to promote their gathering-friendly products and earn their spot on the table. Whether it's convenient appetizers for those attending potlucks, or premium ingredients for those hosting elaborate dinners, consumers will seek out products that best suit their needs. This offers brands of all types the opportunity to tailor their marketing campaigns and product offerings to the right audience.

Navigating Higher Prices With Homemade Dishes

With 77% of shoppers expressing high price sensitivity as a result of inflation, CPG brands should be prepared to address these concerns. About 30% of respondents plan to make more homemade dishes to navigate higher prices. Brands can assist these consumers by educating them on how to get the most out of their products, emphasizing value and quality.

Combining Scratch and Shortcut Methods for Convenience

Today’s consumers value homemade dishes but seek convenient cooking methods. According to the survey, 59% of shoppers classify themselves as combination scratch/shortcut bakers. This group is likely to add grocery items, like baking mixes, pie fillings, or canned sauces, to their carts, offering them an easier way to access the flavor and cost-effectiveness of home cooking. 

Trusting Ads and Recipes as Pre-Shop Tools 

Consumers in 2023 are more discerning than ever when it comes to their holiday shopping decisions. A significant 50% of respondents rely on coupons, while 40% turn to online recipes to prepare for their grocery shopping trips. This indicates a growing reliance on digital meal-planning resources and underscores how important it is for your brand to be represented in these trusted pre-shop tools. 

Selecting Brands Before Shopping 

Over 61% of shoppers typically have a specific brand in mind before embarking on their holiday grocery shopping trips. This presents an opportunity to shape consumers' brand preferences during the planning and inspiration phase of their shop. Engaging with consumers early in their holiday planning process can help influence their choices in your favor.

Using the Online Cart as a Shopping List

More than a quarter (27%) of respondents use their online grocery cart as a shopping list during the holiday season. This evolution in consumer behavior presents a unique opportunity for CPG brands to target consumers at various stages of their digital shopping journey, and connect the online and in-store experience.

Extending the Festive Season With Seasonal Recipes

The holiday season isn't confined to a single day or week for many consumers. An impressive 70% of respondents intend to prepare festive recipes beyond traditional holiday occasions, spanning the fall and winter seasons. CPG brands can take advantage of this by expanding their sales window, offering seasonal products sooner, and promoting their products within recipes that cater to the entire season.

Capitalizing on Holiday Trends Using Contextual, In-Recipe Advertising 

CPG brands can capitalize on these consumer holiday trends with contextual, in-recipe advertising, featuring their products in digital recipes via shoppability technology, in-recipe media, or sponsored carts. As consumers search for the perfect holiday meals, they'll be exposed to product recommendations and opportunities to engage with your brand. In turn, your brand will increase awareness and incremental sales. 

Whether targeting high-end event hosts or price-sensitive shoppers, embracing a contextual, in-recipe advertising strategy will be the key to holiday success. Download the playbook, Winning the Holidays With Contextual Commerce, to unlock the potential of this holiday season.

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