Melbourne’s tech firm, Shping, collaborates with IBM Food Trust™, unveiling the possibility for consumers to interact with their purchases. This partnership seeks to deliver detailed product traceability and origin information from IBM Food Trust™ to Australian consumers via the Shping App. This combined initiative allows consumers to delve into the details of the raw materials in their products, tracing their origins and journey.

The significance of track and trace technologies is undeniable, as they document a product’s entire journey through the supply chain, ensuring its authenticity and history are verifiable. Every product and its ingredients are given a distinct identifier, closely observed throughout its production.

IBM Food Trust™, a blockchain-driven traceability platform, oversees this “track and trace” process for numerous renowned global brands. With IBM Food Trust™, brands are connected to a vast network of companies using reliable technology, ensuring the traceability of their products from raw materials to retail shelves.

Shping, on the other hand, is a global rewards platform powered by its blockchain token, Shping Coin. The platform boasts a significant Australian user base, offering them not only brand rewards but also insights into product pricing, reviews, nutritional data, and more.

The fusion of IBM and Shping’s technologies promises consumers a holistic view of trusted product data, from origins to distribution specifics, enriching their shopping experience. Both Shping and IBM share a vision to amplify consumer awareness, fortify trust, and champion transparency across industries.

Shping’s CEO and founder, Gennady Volchek, said: “Brands are increasingly adopting track and trace technologies to bolster their production’s security and integrity, aiming to instill confidence in consumers. Until now, there hasn’t been a straightforward way for consumers to access this data. Our collaboration with IBM Food Trust™ not only illuminates this information for consumers but also offers brands an opportunity to enhance their ROI through increased consumer trust, ultimately boosting sales.”

Wiggs Civitillo, IBM Food Trust’s Program Director of Product Management, added: “By joining forces, IBM Food Trust™ and Shping will bring a host of third-party benefits to consumers, including enhanced transparency into the food they consume. This partnership aims to provide customers with the information and tools they need to make more informed and health-conscious choices while shopping. Furthermore, brands that join IBM Food Trust™ are able to leverage Shping’s platform in order to increase their return on investment (ROI) in order to track and trace implementation, through enhanced consumer confidence to drive sales. Being more transparent improves brand positioning and fosters increased trust among consumers.”

About Shping

Shping is a trailblazing global rewards platform based in Melbourne, Australia. Utilizing blockchain via its Shping Coin, it offers consumers a rich shopping experience filled with insights. Collaborating with industry leaders like Coca Cola, Pepsi, and Kraft Heinz, Shping stands as a nexus between brands and their audience. Beyond rewards, Shping champions informed shopping, emphasizing trust and transparency in the retail sector.

About IBM Food Trust

IBM Food Trust™ is a collaborative network of growers, processors, wholesalers, distributors, manufacturers, retailers, and others, enhancing visibility and accountability across the food supply chain. Built on IBM Blockchain, this solution connects participants through a permissioned, immutable and shared record of food provenance, transaction data, processing details and more.

Over a billion toys sold.
Endless licensing agreements.
Monster marketing budget.
64 years in the making.

And all it took was a 2 hour feature film to drive the message home.

A lot has been said about Barbie, and it’s truly a masterclass in marketing.
But in this article we’ll go a step further and unpack five key lessons you can leverage to add a little pink into your own brand.

1. Don’t make ads around content. Make content.

In today’s TikTok driven world, it’s entertainment that captures attention.
The best YouTube channels, Podcasts, Instagram accounts and TikTokers aren’t shoving products down your throat, they’re creating entertainment.
Pure and simple.

Now, if your entertainment just so happens to achieve some of your core marketing goals, then that’s a win.
But a consistent focus on creating stuff people actually want to watch is a pathway to commercial success.

The team at Mattel clearly unlocked this. Turning the Barbie franchise into a film is a bold bet.
It seems obvious in retrospect, but it’s a huge risk for the corporation.
What if the movie sucks?
What if the message doesn’t land?
What if it’s a box office slump?
There was a real non-zero chance that this film could have damaged the Barbie brand.
But therein lies the opportunity.
It’s a bold bet for a reason.
And clearly it’s paid off.

Let’s not forget the facts here. The film is a 2 hour ad that people paid 25 bucks to watch.
What if you approached your next campaign in the same way?
How do I create something that my audience would actually pay to consume?

You would probably do things very differently.
And that’s the whole idea.
Create entertainment for the audience’s purpose, not ads for your own purpose.

2. Master the art of storytelling

Barbie has been the subject of great debate in our time. Plastic pollution. Feminism. Body image issues.
There’s been empirical studies done into the impact of Barbie on society.
Mattel knows Barbie isn’t for everyone.

And they were actually bold enough to call this out in the film’s trailer.
“If you love Barbie, this is the movie for you.
If you hate Barbie, this is the movie for you”.

Acknowledging the haters is just the first step to humanising the corporate machine of Barbie.
The film goes to great lengths to unpack the real story behind Barbie.
And by the end of it, the audience is clear on two things – they love Barbie and they perfectly understand “you can be anything”.

The lesson here is to take a creative approach to sharing the deep beliefs and views behind your brand.
If you build your story, clearly articulate your position and views in the world, you can overcome some of your harshest critics.

3. Leverage partnerships

A lot has been said about the scale of Barbie’s marketing budget.
It’s probably enormous.

But the true genius behind the campaign is the way Barbie has leveraged the marketing budgets of others. 
Dream homes with AirBnB.
Pink burgers from Burger King.
Custom hardware from Xbox.
Even Google turns pink for Barbie.

The Mattel team loosened the reins of what a ‘normal’ partnership or licensing agreement looks like, lowering their royalties to achieve scale with over 100 brands.
This gave their partners a unique opportunity to join the conversation, to capitalise on the media buzz and get people talking. 

They’ve effectively crowdsourced their marketing AND the brands paid them to do it.
What does your version of a unique partnership look like?

4. You can’t sell a secret

OK, here’s an obvious one.

But let’s spell it out.

Mattel & WB invested more in marketing than they did on production. 

The film cost $145 million to make.
The marketing spend to promote the movie alone is $150 million. 

Let’s repeat that so it is perfectly clear.
They spent more on marketing it, than they did on making it.

And it’s paying off.
So far, they’ve grossed over $1B in box office revenue.
Not to mention the revenue they’ll make on licensing, and of course, product sales.

The lesson?
Even if you have the best product in the world, incredible brand awareness and great distribution, you need to invest in marketing as the glue to hold it all together.
The team at Mattel went a step further and clearly made marketing the centre of the business.

5. Have conviction

Clearly the team at Mattel and Warner Brothers were convinced this was going to be a smash hit. 

It would be impossible to pull off this launch (let alone the results) without it.
If you don’t believe your product or brand is going to become number one and dominate your industry, you’ve already lost.

Our final thoughts are around content delivery.
Not only is it important to create great content, but having a strategy to deliver that content to your target audience is equally important.

Don’t have a 2 hour feature length film for your brand?
Tell your story on Shping instead – a consumer engagement platform designed for FMCG brands.

In today’s uncertain macroeconomic environment, consumer-facing organisations in Australia are facing significant challenges due to rising grocery prices and inflation. However, The Australian Consumer Loyalty Survey has revealed that high-performing loyalty programs have the potential to offset these challenges, offering a solution that benefits both brands and consumers alike.

The impact of loyalty programs for brands
Amidst the challenging business landscape, loyalty programs have become a valuable tool for brands seeking to cultivate stronger consumer relationships. According to McKinsey, nearly 70 percent of consumers consistently participate in grocery loyalty programs when making purchases. This widespread adoption of loyalty programs presents a promising opportunity for consumer-facing organisations in Australia to counteract declining consumer sentiment and enhance customer engagement.

By implementing loyalty programs, brands can offer rewards and incentives to their loyal customers, which can have a positive impact on customer retention and sales. These rewards can take various forms, such as discounts, exclusive offers, or points that can be redeemed for future purchases. By providing these benefits, brands show appreciation to their customers, which contributes to building stronger relationships. For example, Shping provides a comprehensive loyalty program platform that helps brands navigate this ailing environment and create meaningful connections with their customers.

One key advantage of loyalty programs is their ability to encourage repeat purchases. When customers have the opportunity to earn rewards, they are motivated to continue buying from the brand in order to accumulate more benefits. When customers feel connected to a brand and receive exclusive benefits, they are more likely to choose that brand over competitors, contributing to improved customer retention rates.

Consumer trust in the digital era
Data privacy is a significant concern for both brands and consumers, especially in today’s digital age where personal information is collected and used by various organisations. In Australia, the implementation of data privacy laws has heightened the importance of adhering to regulations, particularly for loyalty programs that involve the collection and use of customer data.

Shping recognises the significance of data privacy and has taken steps to develop a system that prioritises compliance with privacy laws. One key aspect of Shping’s approach to data privacy is the commitment to transparency and consent. Shping operates on a permission-based model, where Shping members choose what information they share, e.g. taking a photo of their receipt. It is “opt-out by default”, however many people are happy to trade their first-party data in exchange for rewards or incentives.

By operating with this model, Shping ensures that customers have control and visibility over their data exchange. This approach aligns with the principles of data privacy laws, which emphasise the importance of informed consent and giving individuals control over their personal information.

A solution for Australian consumers
As prices continue to rise, consumers are increasingly looking for ways to save money and get better value for their purchases. Rewards programs can provide a user-friendly solution that empowers consumers to make informed decisions when it comes to their shopping.

Rewards and loyalty programs are very effective tools for businesses to grow sales and engage customers, however traditionally they have been owned by retailers.

In the past, manufacturers and brand owners were typically left out of the equation, making it difficult to directly reach end consumers without resorting to traditional (and expensive) advertising methods.  With the current macroeconomic environment, brands are cutting back on marketing spend in an effort to preserve margins.

Today, Shping has developed world-class technology to remove intermediaries and connect brands directly with their verified shoppers. Giving the power of data and communication back to brands.

As a universal rewards program built specifically for brands, Shping helps brands to engage directly with end consumers, reduce their marketing costs, and improve sales.

For members, Shping is a universal rewards program that enables them to earn rewards from the brands they love, on top of any other retail loyalty programs they may participate in.

The beauty of this ecosystem means that brands can reduce their advertising spend and use that money to directly reward shoppers, reducing the pressure on their margins. And for Shping members, the incentives are helping offset the rising costs of living.

An educational resource to earn and redeem
Shping’s core mission revolves around helping consumers make the most from their shopping and earn rewards from brands they love. This mission becomes particularly crucial when consumers are seeking ways to stretch their budgets and find better value in their purchases.

One of the key aspects of Shping’s approach is its partnerships with leading brands in the market. By collaborating with well-known names like Heinz, Pepsi, Schweppes and Bondi Sands, Shping ensures that consumers have access to a diverse range of product information and exclusive offers. This variety empowers consumers to make choices that align with their preferences and values.

In addition to facilitating access to products and offers, Shping also serves as an educational resource for consumers. By equipping consumers with knowledge about ingredients, nutritional information, and other relevant details, Shping empowers consumers to choose products that meet their specific needs.

In an ailing environment where grocery prices are rapidly rising, brands and consumers in Australia can turn to loyalty programs for a comprehensive and effective solution. By integrating loyalty programs, brands can increase sales and customer loyalty, while consumers can save money, earn rewards, and enjoy a seamless shopping experience. By incorporating these elements, Shping empowers consumers to make better-educated shopping decisions, maximise their rewards, and find better value in their purchases.

Gennady Volchek is CEO of Shping.

Yesterday, an article on news.com.au proclaimed that Australians are cutting back on big brands due to the cost of living crisis. 

For any brand manager or marketing manager in FMCG right now, you would be concerned this may have disastrous consequences.

Apparently, an “internal document” was leaked and revealed that categories like body wash, hand sanitisers and cleaning products were seeing a “sales slump”. 

Sounds like a strange place for Aussies to cut back, these aren’t luxury purchases. As we dig a little deeper (aka keep reading the article), it mentions that  Coles also reported that sales were down compared to the prior year because of COVID19 and a big flu season last year… 

That seems to make a bit more sense.

Anyway, aside from the sensationalist headline and potential misrepresentation of data, this article sparks some interesting questions.

Why are we obsessed with “big brands”? 

The article names some big brands from these categories like Ajax, Pine O Cleen, Dove and Palmolive. Implying these brands are being ditched by shoppers. This may be true, but is it because shoppers are switching brands, or because the market has declined and these brands largely make up ‘the market’?

The latest in marketing science helps us unpack this nuance with the concept of the “double jeopardy law”, brought to public attention by the work of Byron Sharp and the Ehrenberg Bass Institute – Australia’s Institute for Marketing Science.

And no, we aren’t talking about the 1999 film “Double Jeopardy” with a score of 27% on rotten tomatoes.

The Double Jeopardy Law for Brands 

The double jeopardy law contends that in markets where the products are largely substitutable and buyers’ needs are largely similar (i.e. our previously mentioned cleaning and body wash products), a law-like pattern occurs. The law states that brands with lower market share have fewer buyers and slightly lower loyalty. 

On the other side, this means brands with higher market share (like Ajax for example, the market leader) have more buyers and slightly higher loyalty.

So when buyers in the market decide to buy less, or there are simply less buyers in the time period in general, the brands with the most buyers tend to feel it the most. Makes sense, hey?

So what does this mean for the pursuit of “brand loyalty”? 

The double jeopardy law gives us some good clues about how a single-minded focus on loyalty won’t necessarily move the needle for brand growth. 

Let’s add some numbers to our earlier example to illustrate the point.

Assume Ajax shoppers buy the brand 4 times a year and they have a household penetration of 15%.

Now let’s compare that to a lower market share brand like Nifti. Nifti is likely to have slightly lower loyalty, perhaps a frequency of purchase of 3.5 times a year, but far lower household penetration of only 5%.

If Nifti focused only on loyalty, do you think they could grow significantly? 

Let’s say they develop super loyal shoppers, and their shoppers purchase more than the market leader Ajax at 4.5 times a year.

Here’s how the unit sales volumes would look if we pretend there are 1,000 households in the total market:

As you can see, even if Nifti achieved outsized results and eclipsed the loyalty of the market leader (unlikely, but let’s pretend), they won’t necessarily see an outsized return in unit sales or market share. 

Is pursuing loyalty worth it? 

100% loyalty doesn’t really exist.

And that’s okay.

Because brands grow big by having light connections with the many, instead of strong connections with a few. 

And over time, the Double Jeopardy law shows us that with more buyers, loyalty naturally increases.

An alternative to loyalty – rewards.

Instead of chasing loyalty from existing shoppers, brands can grow with the implementation of a rewards program.

Because a well designed rewards program is about more than just rewarding loyal shoppers.

It’s about attracting new customers. 

Encouraging back lapsed users. 

And driving more light buyers. 

In fact, marketers should be cautious about loyalty programs with blanket offers to the mass market, because it’s likely they are just rewarding existing customers and giving away margin to those who would have purchased anyway.

Technology based solutions

Marketers who are adopting the latest in marketing science are also turning to the latest in marketing technology. Melbourne-based Shping is a universal rewards program, designed to help brands build connections with Aussie shoppers. The Shping platform utilizes AI and a mobile app to collect, process and analyze shopping receipts from its members, transforming data into actionable campaigns for brands.

The benefit of the receipt data collected means Shping can tailor offers and communication so that it is relevant to the individual’s stage in the purchase cycle. Only presenting discounts and deals to “nudge” buyers over the finish line.

So what’s the lesson here?

Be wary of news.com.au articles!

But actually, the main point is that marketers should challenge conventional wisdom, embrace the latest in marketing science and continue to explore new ways to engage the market. 

If you found this article interesting, let us know in the comments.

A quick thought experiment

Let’s play a game. Pretend you are a brand manager at a large FMCG organisation. Your company is paying hundreds of thousands of dollars for shopper data. It’s great. You can find out all sorts of insights from the real-world behaviour that will leave your ad agency’s made up ‘personas’ for dead. 

And as a devout attendant to the church of Ehrenberg Bass, you know it’s critical for you to improve your brands mental availability and attract more light buyers. 

But you’re faced with two painful questions.
How can I use this data to achieve my marketing goals?
And more importantly, is it worth it?

A database of almost every single grocery product.

The Shping app hosts a database of almost every single product listed in Australian grocery stores. The information is constantly refreshed as the data is pulled from various sources on a regular basis.

But that’s not the fun part.

This database is supercharged by a machine learning algorithm paired with receipt-reading technology. In simple terms, the software makes use of “Optical Character Recognition” (OCR), the same technology that allows you to search words into your Apple Photos and magically find text-based content in images.

The user snaps a photo of their receipt, the software has the ability to identify individual characters, and then AI extracts meaning from the text to recognize what each part of the receipt actually is, and how that relates to a product. All in a matter of seconds.

Combining machine learning with crowdsourcing?

The output of every receipt upload is mapped back to the product database. This starts to build an interesting picture of household purchasing behaviour.

But as you can imagine, with 20 million products across several retailers, there’s bound to be some challenges. Retailers use codes and abbreviations to list products on receipts, and in some cases the AI can’t recognize the item back to a product in the database.

But instead of just giving up completely, the app has taken a page out of Google’s “reCAPTCHA” book and users review, scan the barcode of the product and correctly map it back to the database. So that next time a user scans the same code, the system knows what it is. Pretty clever, hey?

At a large enough scale and a long enough time line, the machine learning will improve exponentially and the data will map perfectly. All thanks to a little help from the humans to the machines.

So how does AI help marketers?

What about our data-swamped brand manager from earlier? What good is more data? The answer is “not a lot”. But the hero of our story will not be dismayed, as the data is extremely useful because it has real-world applications through the Shping mobile-app. 

Run a digital ad, track an in-store purchase 

Shping partners with brands like Pepsi, Heinz, Bondi Sands and more to deliver marketing campaigns off the back of this data. Shping combines real-world shopper data with engaging ad products, giving brands a powerful tool to recruit more shoppers. Knowing exactly who’s shopping your category, what they buy and how often means you can hit them with a timely message or offer. A marketer’s dream!

You can push surveys to your shoppers. You can run a sampling campaign to drive trial. But better yet, over time, you can measure the effectiveness of your messaging and offers and optimize for converting more ‘light buyers’ to your brand. 

Wanna find out more? 

At Shping, we are self-proclaimed FMCG brand nerds, we love meeting new brand owners and understanding the nitty-gritty of what makes your business work.
To find out if we can help you, contact us here or book a meeting here. 

User Generated Content (UGC) leads ROI for brands

User-Generated Content (UGC) is content created by customers or users of a brand or organisation, and can take the form of images, videos, blog posts, comments, reviews, and other online mediums. It has grown in importance over the years as a powerful form of digital marketing, and as technology advances, companies are increasingly relying on UGC for marketing purposes due to its tailored advertising and cost-effectiveness.

Not only does UGC provide an authentic representation of a company’s products and services that resonates with potential customers, it also drives user engagement, increases brand loyalty, and allows companies to tap into existing customer relationships. In fact, 79% of consumers say UGC impacts their purchasing decisions, whereas only 13% believe branded content has the same impact, and influencer-created content has even less impact at 8%.

UCG offers a distinct advantage over traditional forms of advertising, as it is generally more economical and has a more relatable tone. It also has the potential to reach audiences far beyond what traditional methods could hope to, as it often spreads rapidly through social channels. Additionally, harnessing the authenticity of UGC can add an important layer of trustworthiness and credibility to a product or brand, which plays a key role in making potential customers feel comfortable with their purchase decision. Similarly, UGC gives customers a platform to express their feelings about products or services, allowing companies to obtain valuable customer feedback. This insight can then be used to inform future decisions regarding marketing strategies and product improvements, helping to ensure that businesses remain competitive in the ever-evolving digital landscape.

Companies can incentivise consumers to post positive reviews and photos of their product or service, thereby increasing organic reach and bolstering credibility. Additionally, they can feature real customers in ads, repurposing their user-generated content to provide a more personal touch to campaigns. By identifying ways to effectively leverage consumer-generated content, companies can increase visibility while engaging with loyal customers across multiple channels. However, companies must navigate the legal barriers of obtaining UGC to use for their own purpose. The content produced on social media is legally protected and can only be reused by a brand for advertisement with express permission. Fortunately, there are some platforms that reward consumers for generating content and provide this content to brands in a commercial agreement.

UGC has become an invaluable asset for businesses looking to gain visibility and reach their target audience. It is more cost-effective than traditional advertising, as it is often generated by passionate fans of the brand or product in question, providing an insightful look into how customers interact with and use the product, along with their positive experiences. Moreover, UGC is more authentic than traditional ads with 90% of consumers saying that authenticity of a brand helps to build trust. User generated reviews provide social proof that other customers are using and enjoying the product and can mean the difference between your brand being selected. Recently, we have seen that, not only the quality of reviews matter, but the amount of reviews are taken into consideration by the consumer meaning larger volumes of reviews increase brand trust and recognition.

Furthermore, UGC allows brands to access the conversations taking place on social media regarding their products and services, allowing them to monitor customer feedback and gain a better understanding of what resonates with their target audience. UGC serves as a powerful tool for businesses seeking to leverage visibility and reach within their target markets. It is more cost effective, easier to produce and has more impact than traditional advertising content. Platforms such as Shping have developed rewarding experiences for users that submit their content meaning a constant development of UGC for brands to leverage to increase their authenticity, brand recognition and trust.

For a demonstration of the UGC Shping provides to brands, please use the button below.