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Major CPG Companies Put More PPC Budget Into Brand Awareness

  |  December 13, 2013   |  Comments

Consumer packaged goods like toothpaste, soda, and candy are typically sold through a third-party retailer; however, that's not stopping some of the largest brands from using PPC for brand awareness campaigns, according to a new AdGooroo study.

Some of the top manufacturers of consumer packaged goods (CPG) – those products like soda, candy, liquor, and toothpaste – are using paid search not for direct sales, but for brand awareness – just like they would television ads. This, according to a recent study by AdGooroo, which looked at the PPC strategies of some of the biggest consumer brands in the world like Coca-Cola, Kraft, and others.

Usually, brands investing in PPC want to see a direct return on investment. Companies that sell CPG do so through third parties like grocery stores, not usually direct to the consumer. Nonetheless, these brands have a budget – averaging 6.2 million per month – and growing, according to the research.

cpg-ppc-spend

The following table shows the top 50 CPG brands advertising in paid search, with the top three being KraftRecipes.com (owning 16.8 percent of total CPG impressions), BettyCrocker.com (6 percent of total CPG impressions) and McCormick.com (4.1 percent of total CPG impressions).

top-cpg-ppc-advertisers

So what exactly was their strategy? AdGooroo said they took a “brand laddering” keyword approach where:

CPG marketers attempt to maximize share of voice by layering their keywords with terms that span different stages in a consumer’s awareness and usage of the brand, including: brand terms (“Special K”), product terms (“breakfast cereal”), problem/need terms (“healthy recipes”), and finally, occasion terms where the product would be used (“how to lose weight”).

Looking at some specific categories within CPG, we can see the various campiagn tactics. In the baking mixes category, AdGooroo found “the vast majority of top keywords in the Baking Mix subcategory are related to desserts and dessert recipes.” Here, you can see the Duncan Hnes keywords:

duncan-hines-ppc

CPG manufacturers of beer have no trouble understanding their audience, and the relationship between football and alcohol.

“Paid search leader BudLight.com’s keyword strategy can be summed up in one word: football. Specifically, the term 'nfl draft' accounted for more than 2.6 million of its 4.9 million total impressions during the period,” AdGooroo said in its report.

bud-light-ppc

In the oral hygiene category, Colgate used paid search to perform special outreach, too – to diabetes sufferers – forging campaigns that raise awareness about the elavated risk diabetes sufferers have for gum disease. 

colgate-ppc

For a more in-depth look at 12 CPG categories, their impressions, keywords, and PPC campaigns, you can get the AdGooroo report here

This article was originally published on Search Engine Watch.

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ABOUT THE AUTHOR

Jessica Lee

Jessica Lee is a marketer specializing in web content strategy and B2B/B2C writing. Since 2005, Jessica has been in the business of content and communications, with the past several years focused on the web marketing space.

Prior to launching her consulting business, bizbuzzcontent, Jessica was responsible for content strategy, development and marketing for Bruce Clay Inc. – a global SEO firm, where she served small businesses and Fortune 500 clients. Jessica's background also includes positions in traditional marketing, communications, broadcasting and publishing.

Jessica has a bachelor's in communications and public relations from San Diego State University. She also contributed to the book “Search Engine Optimization All-in-One For Dummies” 2nd edition.

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