This document discusses how consumer packaged goods (CPG) companies need to transform to succeed in the new digital era. It outlines that CPGs must radically rethink their relationships with consumers and customers and move beyond legacy operating models. Specifically, it recommends that CPGs 1) create a unified brand strategy and two-way dialogue with consumers, 2) take a systematic approach to growing their digital consumer base, and 3) rethink their routes to market and customer engagement strategies. It also stresses the importance of switching to a holistic, flexible and digitally-enhanced operating model.

1. How CPGs can win
in the new age of the
digital consumer
Creating the E2E Consumer & Customer Experience

2. A lot changed in 2020
to this… and then to this.
We went from this…

3. It’s time for bold new steps
CPGs have embraced
digital capabilities, but
only to a limited extent.
It is often done on a small
scale, lacks speed and is
restricted to discrete
areas of the business.
To thrive, a fundamental rethink is required on:
• Where to focus
• How to enact holistic digital transformation
• How to redesign a more responsive
end-to-end operating model

4. CPGs must radically re-think their
relationships with both consumers
and customers. And they must forego
old ways of operating.

5. 1.
Brands aren’t currently
bridging the relationship
gap. And unlike their
digital native rivals, they
haven’t yet established a
two-way conversation
with their consumers.
Traditional
consumer
engagement
models are
obsolete
Challenges facing CPGs

6. This puts at risk the stability of
sales that physical shelves have
provided historically, but the
riches of data across competitors
and channels provides an
opportunity to unlock category
growth for data driven brands.
Digital
shelves are
up for grabs
Challenges facing CPGs
2.

7. 3.
New retail models are providing
new services to both shoppers and
suppliers. CPGs need to reassess
how they engage with customers
and redesign their route-to-market
and channel strategies to seize
new growth opportunities.
Retail models
are being
completely
reinvented
Challenges facing CPGs

8. CPGs are stuck in siloes
(in both functions and
channels). They need the
courage to replace legacy
models to survive.
Old legacy
models are
stunting
growth
Challenges facing CPGs
4.

9. How can CPGs
get started?
Collaboration alone with retailers,
consumers and third-party partners
is not enough. CPGs will need to
completely rethink how they meet
consumer needs, reshape how they
work with retailers, and reorient
their organizations.

10. Create a unified brand
strategy that establishes
a two-way dialogue with
your consumers
1.

11. French company, C’est qui le patron
(which translates to “who is the boss”),
is designed by its consumers.
Their community provides feedback
on ingredients, production methods,
the quality they want, and the price.
Source: “How millions of French shoppers are rejecting cut-price capitalism”, Jon Henley, The Guardian, December, 2019,
Verishop has launched a “Shop Party”
feature, allowing users to shop online while
video chatting with friends.
Users can browse products while video
chatting, look at each others’ carts, and
share feedback and advice.
The intent is to create a truly social online
shopping experience that brings the fun of
shopping with friends into digital channels.
Consumer
designed products
Creating a more social
consumer journey

12. Take a systematic
approach to grow
your digital consumer
market share
2.
61%
of consumers
were motivated
by the pandemic
to discover new
ways to shop

13. BrewDog’s solution to the coronavirus lockdown
was to create online bar platforms for every one
of its 48 UK bars, as well as for its locations in the
US, Germany and Australia.
The online bars hosted interactive events including
beer tastings with the founders, virtual pub quizzes,
live music and comedy and merchandise giveaways.
Participants could order products from their local
BrewDog bar for delivery or click-and-collect.
Source: Evening Standard article; BrewDog website
Bringing beer lovers
“together” online

14. Rethink your routes to
market and customer
engagement
3.

15. A global foods business wanted to reconfigure
their route to market (RTM) in the away from
home and independent channels.
How we helped
We used advanced growth analytics to
identify white space opportunities and
reviewed their current route to market
capabilities and operations.
• Built a digitally-led, integrated RTM strategy
including data-driven partnerships
• Optimized B2B with order transfer capabilities
• Used a data-led approach to field operations
and customer value generation
The result
A 12% increase in revenue while reducing
cost-to-serve by more than 20%.
CPG companies that are further
along in digitally transforming
their sales organizations report
top quartile growth
Level of embedding
Leaders Others
Digital route
to market
Customer &
Partner Channel
Engagement
27%
32% 26%
Customer Targeting
& omni-channel
servicing
22% 9%
Growth through digital, integrated RTM
Source: Transform Sales to Grow in Consumer Goods, Accenture, 2020
18%

16. Switch to a holistic
operating model
4. 94%
of executives say
their operating
model puts their
organization’s
growth and
performance at risk
due to its inability
to keep pace with
market disruption

17. A US-based packaged foods company faced
declining core category growth and needed a
new approach to growth. With Accenture’s help,
the team assessed operations across brands,
products, route-to-market, marketing, supply
chain, manufacturing and support functions.
Accenture developed a roadmap to strengthen
the core business while exploring adjacent growth
in under-developed consumption occasions,
product categories, channels and geographies.
And the plan identified operational efficiencies
and how to build essential new capabilities.
Enabling growth with
a new operating model
1. Liquid—Porous structures allow
access to people, processes, systems
and assets.
2. Joined up—Across functions and
capabilities through process and ways
of working.
3. Living—Flexible self-organized teams
prioritize outcomes.
4. Human—Processes and tools are
designed around people.
5. Digitally enhanced—With deep
digital skills, humans have
“superpowers” from machines/AI.
Holistic operations are:

18. Contact us:
Martin Adkins
Managing Director, Accenture Interactive
martin.adkins@accenture.com
Nevine El-Warraky
Managing Director, Accenture Interactive
nevine.el-warraky@accenture.com
Jeriad Zoghby
Managing Director, Accenture Interactive
jeriad.zoghby@accenture.com
Learn more: Visit www.Accenture.com/consumergoods
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