Tracking the rise in traceability
Whether they are buying a beverage, snack or piece of furniture, today’s consumers are heavily influenced by brand and product transparency. So, what exactly does this entail, and why has it become a major topic of conversation? Read on in part one of The Transparency Track series.
When you think of the biggest drivers surrounding the consumer decision-making process, price, quality, value and convenience come out on top. However, it is now becoming increasingly apparent that a new factor is rising up the ranks: transparency.
And, should the consumer be satisfied with the information you provide about your business? You can reap the benefits of a customer base that is loyal, and who will trust your brand for the long term. But, ensuring these needs are met requires breaking down the many layers of brand transparency.
A clear message
Today’s consumers want to be healthier and more environmentally friendly. And so, to win their trust, manufacturers are starting to provide more in-depth and clear information on ingredients and/or materials, as well as where they were sourced. Does their cardboard packaging hold an FSC certification? Do their animal products meet animal welfare standards? Consumers also want to know about the environment in which the product was made.
The above examples underline the classic definition of brand transparency, which is to be open and genuine – and win over consumers as a result. However, for the brands themselves, there can be different levels of interpretation. For some, the focus may simply be on corporate practises, and ensuring stakeholders understand how the business is performing. In other cases, as with the examples given above, it means showing consumers the impact of what they are about to buy. Selling consumers their values and beliefs, and what they want to achieve – rather than simply focusing on selling the products themselves.
What do consumers want to know?
As for the consumers? Many studies show they place great importance on safety procedures and cleanliness, both of which are especially pertinent in light of the COVID-19 pandemic. With this in mind, how can manufacturers relay this information to the public? For starters, they could provide information on how their health and safety protocols have been adapted in light of global events. They might also benefit from communicating how their strategies have changed in the last year or so in order to accommodate people’s needs: according to a recent Edelman survey, companies that took action on an employee and community level – and who made sure consumers were aware – did not have their efforts go unnoticed.
Health is another important factor for consumers, who are becoming increasingly concerned with their wellbeing. This has led food and beverage manufacturers, for example, to start placing nutritional information on packaging, with an emphasis on simplicity. For consumers this means having access to a complete list of ingredients including information on nutritional values, allergens, and certifications – using language that is not overly technical.
However, there are some challenges that come with increased transparency, such as being able to provide consumers information on the entire process. Which is where SIG comes in. We’re dedicated to designing solutions which can help you manage and control your supply chain. Take PAC.TRUST, which allows you to deliver 100% traceability on any product. Or any of our Smart Factory solutions, all of which make it possible to optimise the production process and ensure end-to-end visibility.
In the second part of The Transparency Track series, we will delve further into how manufacturers can help consumers fully understand where a product comes from – and why this is important. We will focus primarily on the food and beverage industry, with manufacturers having to find new and innovative ways to keep consumers informed about a product’s journey from farm to fork.
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- May 12, 2021