Getting Back to the Basics of CPG Marketing – Product Sampling

Many years before the concepts of Social Media, CRM, One-to-One Marketing were even part of the nomenclature, and before the Internet was even invented, CPG marketers had a few limited methods of promoting their brands. These included time-honored methods such as mass media advertising, couponing, in-store/POP promotions, and product sampling. It’s no secret that the goal with all of these methods was to gain new users and capture/maintain market share.

Product sampling was, by far, the most powerful, because it allowed potential customers a try-before-you-buy approach. At the very heart of the matter was the confidence that a brand manager had in his/her brand … “if I can just get people to try my brand, I know that they will be convinced to buy it in the store the next time they shop.”

The biggest problems with sampling were as follows:

1. It’s expensive: Brand Managers were on the hook for a significant investment based on the cost-of-goods of a million or so sampled products distributed at no margin. Plus, Brand Managers had to pay for the shipping and delivery of the products.

2. It’s limited: Effective product sampling campaigns could reach perhaps 1 million consumer households while traditional coupon FSIs could reach 10 to 20 times that many households for the same financial outlay. Plus, sampling programs at that time were usually limited to home-delivery based on selected zip codes – meaning that EVERYONE would receive a sample whether they were currently loyal customers or new-users.

3. It’s not accountable or trackable: Like all other marketing tactics at that time, Brand Managers had limited opportunities to measure the success of product sampling other than analyzing coupon redemptions (assuming that Brand Managers added a special coupon with the sampled product).

All that being said, there was a marketing services firm called G.R.I Corporation in Chicago that offered a unique product sampling program to CPG firms called S.A.V.E. (Shoppers Association for Value & Economy). The S.A.V.E. program included two components:

On the B2C side…
… The program consisted of a ship-until-forbid continuity club that offered consumers opportunities to receive shipments of grocery products at a discount. Different collections were shipped about every 2 months and each shipment of products would be accompanied by coupons, product surveys, and recipes, etc.

Unlike traditional continuity clubs of that time (e.g., book and record clubs), there was no commitment on the part of members to purchase a minimum number of shipments, members could return any products they did not wish to keep, and members were free to cancel their membership at anytime.
The S.A.V.E. program appealed to an audience of “joiners” and households that were interested in trying new products as well as consumers that were interested in sharing their views directly with CPG manufacturers. The S.A.V.E. membership was about 1.4 million households.

On the B2B side…
… The program was actively marketed to every major CPG firm in the country and included participation of brands from P&G, McCormick, Colgate-Palmolive, Chesebrough-Pond's, Clorox, Armour-Dial, Kraft, and many, many others.
S.A.V.E. offered CPG firms capabilities of a sampling program that just did not exist at that time:


Here’s a partial list …

1. Targeted approach: Instead of a mass approach of providing samples to an entire neighborhood, the S.A.V.E. program shipped to selected households that were actually interested in trying products and new brands.

2. Cost effective: Participating brands in the S.A.V.E. program did not pay for delivery and, in many cases, received a rebate to assist in defraying the cost-of-goods.

3. Accountable results: Over 200 market research studies involving a pre-post, double-blind methodology proved that the S.A.V.E. program was successful in a conversion rate of at least 20% new-users to participating brands.

So …how does a dead program from 30 year ago apply in the 21st Century?

It is now possible for CPG brands to engage consumers on a nearly one-to-one basis. Modern tools and technology allow this and CPG brand managers are taking advantage of Social Media and Word-of-Mouth to foster conversations and dialogue with their consumers. Yet, traditional methods such as mass media advertising and couponing are still out there – and sucking precious marketing funds away from more targeted approaches.

I sometimes think that the advertising and coupon programs are only for the benefit of supporting the preferred channel of distribution (traditional grocery stores and the wide variety of firms involved in that supply chain) to demonstrate the support a CPG manufacturer will invest into its brands.

Are brand managers still that confident in the power of their brands and do they still espouse the notion that they would be able to convert new users if only they could: a) identify them; b) reach them; and c) get them to actually use the brand?

If the answer to the above is yes, then we could make a case for creating an old-fashioned targeted approach to product sampling. I really enjoyed my tenure as Marketing Manager of the S.A.V.E. program and I’d love to hear from anyone that knows of opportunities in effective product sampling programs.

How to Get the Most From a Networking Interview.

Like many of us out there in career transition or hiatus land, it’s important to gain opportunities to extend and expand our personal and professional networks. For the longest time, I have been investing a lot of my time in attending several different networking meetings of the job search variety and I began to see the same people. The one thing that we all had in common was that we were all in the same boat.

Don’t get me wrong. It is extremely valuable to network with one’s fellow unemployed professionals. There ‘s nothing like some fellowship to make you feel as if you are not all alone out there enjoined in the battle to get your next job. I make it a point to attend at least one of these meetings every week and, every time I do, I feel gratified that I am not the only unemployed marketing person in the entire city of Cincinnati – plus all of my unemployed peers are incredibly generous with their time, expertise and share their personal networks freely.

That being said, I’ve decided to put more effort into arranging networking meetings with people in the workforce that might be able to help me advance to the next level. Just like one has more leverage in the job search when one is employed, there is much more to gain from meeting and sharing information with someone that is already employed.

Networking or information-gathering meetings are an extremely effective tool, but here’s a few hints to get the most out of your efforts.

Step 1: The set up
Let’s say that you’ve identified an individual with whom you would like to network. The chances are very good that he or she will be more than willing to meet with you and offer to help you. However, your efforts will be made a lot easier if a mutual friend can help facilitate an introduction. Use LinkedIn or your personal and professional network to find those conduits.

I usually start by sending a BRIEF e-mail in which I request a meeting and provide minimal background. Make sure to emphasize that the meeting will be brief (usually 20-30 minutes) and provide a proposed agenda. Here are the four agenda items I usually include:

Getting acquainted – brief background of the individual and a description of his/her present role.
Getting acquainted – brief background about yourself and a discussion of your most recent efforts.
Sharing networks – a request for the individual to consider sharing the names and contact information of certain people he or she knows that might be able to help you.
Sharing networks – an offer from you to share your network or knowledge with the individual if it would help him or her in their current responsibilities.

Step 2: Preparation
Like any interview, there is a certain amount of preparation required. Here are some items to consider.
Get as well acquainted with the person with whom you are meeting. See if there are any common links (other than the person that introduced you (see Step 1). Be prepared to mention anything that you have in common early in the conversation.
Do some due diligence on the individual’s employer. Is their business up or down? Could the individual benefit from a bit of knowledge you could share?
In the short time you have available, you are going to need to be laser-focused on how this person can help you. It’s going to be a waste of both your time if are not able to provide a list of target companies or a very well articulated and concise vision of your ideal job. Have a list of your target companies or ideal employment situation prepared. Better yet, have it in an easy-to-read form that you can simply leave with him/her and be sure to feature your name and contact information prominently so that it’s easier for him/her to remember you.

Step 3: The meeting
Be respectful of the short time that you have, so keep the discussion focused on what’s important. To be sure, small talk and chit-chat is important, but don’t let it get you off on a tangent. Emphasize that you are respectful of your networking contact’s time. I’ve heard of people taking off their watch and leaving it face up to demonstrate how important it is to keep on schedule.

Proceed through your agenda and don’t be afraid to ask for his/her assistance. Getting the name and contact information is good … getting your networking contact to offer to facilitate a further introduction is even better.

Offer something in return. If you’ve done your homework before the meeting, you might already have a few people in mind from your network that could be useful in helping to advance or enhance your networking contact’s business or career. You also might have some technical or professional knowledge that you could share. I once met with a person that was only minimally active in LinkedIn and I offered to sit down with him for an hour to help him maximize his participation in LinkedIn (See my earlier post -- I Already Have a Job and Don’t Need LinkedIn).

Ask permission to extend the meeting if it begins to run long. Many times, your networking contact will gladly spend more time with you – especially if it becomes clear that the outcomes of the meeting are mutually beneficial.

Step 4: Follow up
Send a THANK YOU !!! I don’t care if it’s an e-mail, a post card, a formal thank-you card or a business letter. Just make sure that you thank him/her for investing part of their day to help you. Make sure to mention at least one or two items you discussed.

If you promised to send him/her some additional information such as names and contact information from some of your own network, then do it as soon as humanly possible.

If your networking contact agreed to introduce you to individuals from his/her network, then make sure to follow up with them within a day of being advised that an introduction was made. Nothing devalues a networking opportunity more than allowing time to expire between an introduction being made and a contact request.

Follow these simple steps and make the most of your networking meetings. You’ll see some immediate impact in terms of the number of potential job opportunities and you’ll also be able to add more individuals to your own network.

I don't need LinkedIn because I already have a job ... THIS IS SO WRONG !!!

So you're looking for a job and want to look up a potential contact in LinkedIn. You find that either this individual has no LinkedIn profile or it's obvious that he or she is not fully engaged in LinkedIn because there are perhaps 1 or 2 connections and he/she is not a member of any groups.


Were you to speak to that individual, you might get a response of "I already have a job, so I don't need LinkedIn." This is just so wrong on so many different levels.


There is never a good reason not to be networking -- especially if you are presently gainfully employed. No matter your role in a company, you need to be networking and gain value from the storehouse of knowledge that can be found in LinkedIn.


Here are a few good ways to use LinkedIn if you are already working for an employer:

1. Who are some of your peers? Look up your competitors and find out who else that is in LinkedIn has a similar role to yours . To whom are they connected? To what groups do they belong. Here's a thing to keep in mind ... your industry might take a hit and you might all be be out there looking for a job one day. The peers that are already better connected than you will have a head start and you don't want your efforts to be stalled right out of the box.
2. How do LinkedIn Groups help? When we are working, most of us are employed in some sort of specialized field supported by a slew of trade publications, news sites, listserves, discussion groups, etc. This is especially true in the B2B world. LinkedIn Groups give you the opportunity to tap into all that knowledge and bring it to your desktop in a matter of seconds. Plus, you'll get expert commentary from practitioners about all that information. Isn't this more efficient than searching and slogging through all these sources individually? Use LinkedIn as your portal to all this great information, because it is part of my next point.
3. Add value and become your company's (or your customer's) Thought Leader. Peruse the news and discussions and share some of the more relevant items with your peers, your managers and your customers. This will position you as a highly valued resource and help you maintain positive visibility.
4. Keep up with what is going on in your industry. If you don't do it, someone else will.
5. Contribute to News and Discussions on LinkedIn Groups. There are two advantages to this. First, suppose that you are tasked with an assignment and you need some additional help. Pose a question to thousands or millions of professionals and you'll quickly get your answers. Some will be in the box and some will be out of the box. Use these suggestions to help you complete the assignment and you'll look like a hero. Second, feel free to share your knowledge with others. Every time that you're out there actively engaged in LinkedIn, your visibility rankings will benefit and that's a good thing.

To sum up, it's a cruel world out there and lifetime job security is about as prevalent today as a rotary dial telephone. Make it harder for your company to send the grim reaper your way by being the valued source of knowledge. If that still doesn't prevent your job from being cut, then cash in on your investment in networking and be the one that is out in front of the pack.

How I use LinkedIn in my job search

Welcome to my first Blog post.

At the present time, I am in between opportunities, on hiatus, in transition -- let's face it, I need a job !!!

For those of in serious job search mode, we have all come to embrace Social Media -- particularly the power of LinkedIn -- to further our networking efforts to secure those all too elusive interviewing opportunities. Effective networking is the number one tactic that gets one to making the transition from unemployed to earning an income.

Here are a few ways I use LinkedIn in my job search.

Let's suppose that a job opportunity pops up and it doesn't matter if it's from a job search website (e.g, Monster.com or CareerBuilder.com) or from your neighbor across the street. You always want to do more than merely responding with the standard on-line application and cover letter. In the best of all scenarios, you want your resume and a customized and relevant cover letter to be seen by the hiring manager.

How do you get there?

Step 1: Search LinkedIn for any potential contacts and information

In order to customize your approach and make your communications with your potential employer meaningful, you're going to need information -- lots of it. Most of the time, it's going to take some digging around.

I once searched a potential employer whose product is food service. It was a marketing position and I was able to find and make contact with the incumbent that recently resigned. I was able to determine that he/she did not have any previous food service experience and that fact did not keep her from being hired. They found her overall marketing experience and skills more valuable and allowed her to acquire the food service knowledge on-the-job. Knowing this, I was able to position myself in way that highlighted my overall marketing skills.

In that same conversation, I was also able to obtain the name and contact information of the hiring manager ... BINGO !!!

Other valuable pieces of information found on LinkedIn are some of the following:

• Past employees - great sources of information
• List of your LinkedIn connections that are connected to key individuals at the employer that you may ask for introductions.
• LinkedIn Groups to which key individuals at the employer are members. Join those Groups to review what News & Discussions are being posted so that you are conversant with them once you score that interview. I sometimes forward some of the more relevant news items to a contact at the employer to demonstrate my knowledge and affiliation for a specific industry or application.

Step 2: Making Contact

The first step here is identifying the individuals that will get you to the hiring manager. This usually involves multiple attempts with several individuals, but, in the end, you will be successful if you're diligent. Now you need to determine your contact strategy. Is this person someone that is a great source of information? Can this person advance you to another person that will get you to the hiring manager?

Of course, the boldest step is to identify the hiring manager or highly placed HR recruiter and send an invitation to join your network in LinkedIn. The same holds true if you're trying to make contact with someone for key inside intelligence about the employer.

This is not always the best tactic, because the basis of LinkedIn is for you to know with whom you are networking -- it's should be a two-way conversation in which both parties are have the perception that each is receiving something of value for allowing the relationship.

That being said, it is much more effective for you to gain an introduction from a trusted connection. LinkedIn has a great Introduction tool and I've used it often. In this new Social Media world, one both gives and receives, so I rarely refuse a request from a connection to introduce them to someone in my network. For the most part, people want to help people that request their personal assistance and they feel good about it, so don't be shy about requesting introductions.

Step 3: You identified the hiring manager -- now what?

The first thing I do is to use all available tools to get acquainted with him/her. LinkedIn Groups provide a great way for you to begin to paint a picture. People on LinkedIn join Groups for both professional and personal reasons. Some examples of the more personal Groups can involve alumni groups or sports/recreational activities or causes. Join as many of those groups as you can. LinkedIn places a limit of 50 Groups and you can un-join those Groups that are no longer part of your current job search.

I am currently trying to get interviewed by an individual that belongs to several hunting and hunting dog Groups on LinkedIn. You can bet that I will be mentioning the fact that my favorite dog was my first Labrador Retriever. I also had the chance to join some friends on a few deer hunting trips when I lived in Texas and this fact will be sure to be mentioned in any conversation. Opposites really do not attract and it's human nature to be attracted to people with which you share something in common.

• See how many of your 1st level connections are members of the same LinkedIn Groups. Tap into them to assist you on your journey to interview land.
• See if the hiring manager made any recent posts and add a relevant comment.
• See if the hiring manager asked a LinkedIn question and provide an answer.
• Use your connections to get the e-mail address and phone number of the hiring manager.

Use all of this information to create a relevant conversation with the hiring manager and your potential employer.

Step 4: You just got hired -- now what?

NEVER STOP NETWORKING.