Shopper Experience
17 April 2023
LeBron James' Uninterrupted eyes DTC growth with mobile app
The athlete empowerment brand partnered with Tapcart.
(Photo courtesy of Uninterrupted)
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LeBron James’ brand is looking to go mobile.
The news: Uninterrupted, the athlete empowerment brand within the SpringHill Company founded by NBA star LeBron James and sports-marketing mogul Maverick Carter, is building a new mobile app in partnership with no-code platform Tapcart.
How it works:
Through the app, fans can shop for merchandise, as well as engage with a community of fans.
The launch will coincide with the debut of the Uninterrupted spring line, called “The 300 Collection.” Inspired by baseball star Mookie Betts’ passion for bowling in the offseason, it features items with vintage bowling vibes.
Uninterrupted’s goals for the mobile app include: New user acquisition, higher sell-through rates and increased customer retention.
Key quote: "Product, content and community" are the three pillars of Uninterrupted's mobile strategy, said SpringHill Company VP of Commerce Steve Friend. "It is extremely important for us to stay up to date on the most current tech trends and methods in connecting with our consumers, both on their turf and in intuitive ways that matter to our business. Leveraging Tapcart allows us to reach our audiences and communities on a more personal level by meeting them on mobile, which gets us one step closer to our goal of 1-to-1 engagement within our community."
Mobile growth: Uninterrupted is moving to where shoppers are going. The return to brick-and-mortar stores hasn’t brought a slowdown in the growth of mobile shopping. According to Adobe Analytics, the 2022 holiday shopping season was a “turning point” in adoption, as a majority (51%) of Cyber Week sales were made using smartphones for the first time. Increasingly, shoppers are using mobile devices to toggle between in-person and online shopping. Apps can help to meet them along the way.
Going DTC: Along with the move to smartphones, brands and retailers are seeking to host more sales on direct channels rather than social media. NewStore found that 60% of consumers prefer in-app shopping experiences over the mobile web. For brands, the shift is also in part a response to privacy-oriented changes in digital advertising and the opportunity presented by the ability to access first-party data directly from sales and loyalty programs. Uninterrupted said the app will enable it to offer customers a more tailored experience that feels unique to them, as well. It plans personalized clothing recommendations and targeted content.
A winning record: In the era of celebrity brands, this isn’t the first collaboration between an athlete’s brand and Tapcart, which serves Shopify-powered brands. Previously, the platform’s app helped international soccer icon Lionel Messi’s apparel brand to triple sales in a month. Now the platform will be seeking to repeat, and help another legend grow their DTC business.
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Marketing
09 June 2023
'There's a lot of ways to frame value'
Campbell Soup Company CEO Mark Clouse offered thoughts on messaging amid inflationary shifts in consumer behavior.
Photo by Kelly Common on Unsplash
After months of elevated inflation and interest rate hikes that have the potential to cool demand, consumers are showing more signs of shifting behavior.
It’s showing up in retail sales data, but there’s also evidence in the observations of the brands responsible for grocery store staples.
The latest example came this week from Campbell Soup Company. CEO Mark Clouse told analysts that the consumer continues to be “resilient” despite continued price increases on food, but found that “consumers are beginning to feel that pressure” as time goes on.
This shows up in the categories they are buying. Overall, Clouse said Campbell sees a shift toward shelf-stable items, and away from more expensive prepared foods.
There is also change in when they make purchases. People are buying more at the beginning of the month. That’s because they are stretching paychecks as long as possible.
These shifts change how the company is communicating with consumers.
Clouse said the changes in behavior are an opportunity to “focus on value within our messaging without necessarily having to chase pricing all the way down.”
“No question that it's important that we protect affordability and that we make that relevant in the categories that we're in," Clouse said. "But I also think there's a lot of ways to frame value in different ways, right?”
A meal cooked with condensed soup may be cheaper than picking up a frozen item or ordering out. Consumers just need a reminder. Even within Campbell’s own portfolio, the company can elevate brands that have more value now, even if they may not always get the limelight.
The open question is whether the shift in behavior will begin to show up in the results of the companies that have raised prices. Campbell’s overall net sales grew 5% for the quarter ended April 30, while gross profit margins held steady around 30%. But the category-level results were more uneven. U.S. soup sales declined 11%, though the company said that was owed to comparisons with the quarter when supply chains reopened a year ago and expressed confidence that the category is seeing a longer-term resurgence as more people cook at home following the pandemic. Snacks, which includes Goldfish and Pepperidge Farm, were up 12% And while net sales increased overall, the amount of products people are buying is declining. Volumes were down 7%.
These are trends happening across the grocery store. Campbell is continuing to compete. It is leading with iconic brands, and a host of different ways to consume them. It is following that up with innovation that makes the products stand out. Then, it is driving home messaging that shows consumers how to fit the products into their lives, and even their tightening spending plans.
Campbell Soup is more than 150 years old, and has seen plenty of difficult economic environments. It is also a different business today, and will continue to evolve. At the end of the day, continued execution is what’s required.
“If it's good food, people are going to buy it, especially if it's a great value,” Clouse said.
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