Latest news with #CPG
Forbes
21 hours ago
- Business
- Forbes
The Surprising Ways AI Is Reshaping Your Favorite Brands
Your favorite snack didn't end up on that shelf by accident. Neither did the perfect shade of lipstick or the limited-edition cold brew flavor you didn't know you needed until you saw it. Behind it all? AI. Consumer packaged goods (CPG) brands aren't just experimenting with AI. The forward leaning ones are rebuilding themselves with it. Shopper behaviors are shifting fast. Supply chains? Fragile. Attention spans? Shorter than ever. To keep up, CPG brands aren't tweaking around the edges. They're using AI to enhance everything from how products are imagined to how they're delivered, priced, and personalized. AI is fueling margin growth, streamlining operations, and reshaping how brands connect with customers. AI is in product development. It's powering how factories run. It's optimizing supply chain operations. It's in the algorithms behind pricing. It's in the tone of that personalized ad you just scrolled past. AI is fundamentally changing the way brands create, compete, and connect and sometimes in surprising and unexpected ways. AI is helping CPG brands build smarter, sell faster, and waste less. AI tools are able to look at large amounts of data quickly and help humans make better predictions and data-driven decisions. By scanning massive datasets including everything from consumer preferences, emerging trends, or suggested ingredient combinations, AI doesn't just identify what's popular now. It predicts what's next. Formulations that once took months to create can now be simulated in minutes. AI fine-tunes everything from flavor profiles to packaging appeal, helping brands launch with precision, not guesswork. But it's not just about what gets made. AI is overhauling demand forecasting by analyzing historical sales data, market shifts, and even weather patterns. The result? Leaner inventories, less waste, and products that show up right where and when customers expect them. Figuring out the right price for goods has long been a moving target, that used to come down to best guesses and luck trying to perfectly match supply with demand. Now, AI is able to track multiple data points in real time from real-time fluctuations in demand, competitor pricing, and consumer behavior. CPG brands can now adjust prices dynamically to boost revenue and stay competitive without missing a beat. Behind the scenes, AI is rebuilding how CPG products get made and moved. AI tools are able to help predict when there might be spikes in demand. AI tools are able to map the fastest, most efficient delivery routes. They can also spot potential bottlenecks in supply chains before they become major issues. With AI analyzing data across suppliers, factories, and retailers, the entire supply chain becomes leaner and faster. Shipping delays? Cut. Fuel costs? Trimmed. Inside the plant, AI-powered computer vision systems are able to catch things that human eyes often miss. Everything from misplaced labels, inconsistencies, contamination risks, or imperfections in products are now able to be caught and corrected in real time. Quality control isn't just better. It's smarter. Then there's sustainability. AI doesn't just help companies say they're green—it shows them how. It uncovers where resources are wasted. It provides recommendations on how to cut excess packaging. It recommends where energy usage can be reduced. These small tweaks across many areas of operations can have big impacts. For CPG manufacturers, AI isn't just a tech upgrade. It's the engine behind cleaner, faster, more resilient operations. AI doesn't just shape what's made or how it's shipped. It's also changing how brands talk to, engage with, and respond to customers. By analysing customer data such as browsing habits, purchase histories, and demographic data, AI turns guesswork into precision. Promotions can now feel timely. Product recommendations feel intuitive. And content feels more personal, because it is. Across channels and various touchpoints, AI helps brands meet customers where they are, with the right message, at the right time, with what they actually want. But engagement isn't just about outreach. It's about awareness. AI tools are able to scan reviews, social media posts, and feedback loops to gauge real-time sentiment. Are customers excited? Confused? Losing trust? Brands no longer need to wait for quarterly reports. AI surfaces patterns fast, flagging risks and revealing opportunities in real time allowing brands to react immediately. CPG brands are also increasingly using chatbots and virtual agents for customer support help. AI-powered bots are able to answer frequently asked questions, resolve order questions, and diffuse complaints before they escalate. They're fast, friendly, consistent, and always on. When AI handles the routine, human teams can focus on the more complex and nuanced inquiries. AI is being shown to provide quicker resolutions to customer questions and problems, help with customer service agent burnout, and improve the overall experience on both sides. Even in physical stores, AI is showing its value. AI can decipher foot traffic patterns, optimize shelf placement of different products, and fine-tune promotions based on real-world behavior allowing for better product placement and visibility, smarter merchandising, and ultimately driving more sales. The future of CPG isn't just efficient. It's responsive. Adaptive. Personalized at scale. AI makes this future possible at scale.
Forbes
3 days ago
- Business
- Forbes
How Tag Americas' CEO Uses People And Product To Build Profit
The economic uncertainty of the last few months has been difficult on brands of all kinds, but consumer products—food, beverages and personal care items—have faced the challenges faster than other industries. Consumer packaged goods (CPGs) have relatively short shelf lives, tend to be purchased by a large proportion of consumers, and face steep competition. The fast consumer cycle makes CPGs among the first products that need to raise their prices, the first to experience new tariffs (especially because some products must be imported), and the first to fight for sales among financially squeezed consumers. EY released a report this month looking at the state of consumer products and found that, above all else right now, CPGs need to build their brands through disruptive optimism—simplifying their portfolios and experimenting with different kinds of engagement with consumers and retailers in order to rebuild loyalty. The future for CPG brands appears pretty grim to those who work with them. Nearly four out of five retailers told EY they believe that in the long run, only one mass-market brand will remain on their shelves. The rest of the shelf space will go to private label products, premium items and niche brands. About two-thirds of CPG companies also see this future, but the retailers are the ones who control what goes on the shelves. Most consumers still want to be brand loyal, but they're looking for greater benefits. Several attempts to keep customers loyal have been unsuccessful: 78% of consumers said they've noticed package sizes getting smaller and prices staying the same, and 42% believe that product 'improvements' is just code for cost-cutting measures. Currently, over half of consumers only buy branded products when they're on sale. The product side of these companies can help fight the negative perception drift by digging into consumer interests and needs, and looking for ways to innovate in those areas. CMOs will play an important role by telling the brand's story in an authentic way. One of the best methods for doing that, EY suggests, is employing technology like AI to create sharper consumer targeting, bring more personalized messages to customers, and create loyalty programs that meet their needs and create new repeat buyers. Discovering what consumers want out of products and making sure that message is delivered can help keep products on shelves, even as people are becoming more careful with their money. Tag Americas has been using technology to bring innovative marketing solutions to brands, and its new CEO Stephen Kiely has plans to continue moving forward through uniting people and new innovations. I talked to him about his first few months heading the agency. An excerpt from our conversation is later in this newsletter. VINCENT FEURAY/Hans Lucas/AFP via Getty Images Ever since companies began to use enterprise AI, advocates have continually said that the technology wasn't out to replace jobs, and that humans would always be a necessary part of the equation. But in practice, some companies have moved toward automating everything. Meta founder and CEO Mark Zuckerberg outlined a future like this for digital advertising in an interview earlier this month with the Stratechery podcast. Zuckerberg suggests that Meta will be able to use AI so that companies can come to them with just a link to their bank account and a list of the business outcomes they want to achieve. The AI system that Zuckerberg wants to see at Meta could produce the creative, target the correct users and produce measurable outcomes. 'I think it is a redefinition of the category of advertising,' Zuckerberg said on the podcast. Forbes contributor Kiri Masters writes that Meta isn't the only player that's considering giving the keys of advertising systems to AI. Google has been moving in that direction with PMAX campaigns, which consolidate advertising across its platforms into a single algorithm-managed campaign type—though advertisers still need to provide some creative basics. Amazon is working toward making its advertising arm a standalone business, and while it has the internal data that could provide a robust all-AI advertising platform, analysts say the company's history indicates it is more likely to pursue a more transparent approach of people working with AI. A Target store in Jersey City, New Jersey. Target continues to face challenges brought on by a downturn of its brand image, which comes on top of declining consumer confidence during an unpredictable economic situation. In its earnings report last week, the retailer saw its sales drop 2.8% year-over-year, with total transactions down 2.4%, basket sizes dropping 1.4%, and traffic down 4.8%, according to Part of the reason is that Target has been singled out for rolling back its DEI program at the beginning of the year, and a group of Black faith leaders called for a boycott of the retailer during the 40-day Lent period leading up to Easter. In their earnings call, Target leaders didn't mention the boycott as a reason for the decline in store traffic and sales, and instead highlighted their strategy for brand-building, pricing and value going into the rest of the year. Last Sunday, the Rev. Dr. Jamal Bryant called for another one-day boycott of Target, writes Forbes senior contributor Pamela Danziger. Sunday was the five-year anniversary of George Floyd's murder in Minneapolis, which kicked off the recent racial reckoning movement—and at the time had moved Target CEO Brian Cornell to increase the company's support for the Black community. Players can speak with AI Darth Vader in Fortnite. AI is being used in many places, but not everywhere. One industry that has mostly stayed away: video games, writes Forbes senior contributor Paul Tassi. With the exception of the much-hyped introduction of AI Darth Vader in Fortnite—which came through a voice rights deal with late actor James Earl Jones' estate—many publishers have steered clear of using the technology. Game developers Take-Two, EA and CDPR have all said generative AI might infringe on copyright issues, but it also could bring about 'reputational harm.' Tassi writes that the gamer community is very defensive of the actual people who make video games: artists, writers, developers, musicians and voice actors. If AI-generated options are added to games, they run the risk of being roasted on social media as 'slop.' As AI video, music and storytelling improve, these opinions could change. But for now, gamers aren't necessarily giving the AI that is being used reverential treatment. Tassi writes that social media is full of videos of gamers making AI Darth Vader do and say silly things. Tag Americas CEO Stephen Kiely. Last October, Stephen Kiely was named the new CEO of Tag Americas, the full-service digital production and sourcing firm owned by international advertising powerhouse dentsu. Kiely, a marketing veteran who has worked with dentsu companies since 2016, started his time at Tag Americas with renewed strategies and commitment to technology. I talked to him about his first few months and what he sees in the future. This conversation has been edited for length, clarity and continuity. When you became CEO of Tag Americas, what did you see as the priorities and the challenges? Kiely: There's three priorities for me: People first [and] foremost, our product, and then there's profit—the actual business behind what we do. Our people [includes] a great collection of folks across the Americas, Brazil, United States, Canada. There was some unifying that was required, and some culture that we needed to build amongst folks. Over the last five months, we've put an emphasis on re-engineering how we get together every single month. We've branded it a Tag Up, and it's not a one-way conversation. It's us having a conversation and bringing in all aspects of the business so we can learn from each other. We've got a lot of regularly scheduled programming, including something called a Tag Spotlight, where we're bringing in stellar partners from inside and outside of our industry so we can learn as a collective. We have launched 'Meet the Humans of dentsu.' Dentsu acquired Tag two years ago, and our strength exists in how we leverage all the best parts of dentsu along with Tag. I would say we've built a lot of community and trust amongst one another, which I think is the basis for good work. From a product standpoint, we are on fire in all the best ways. Over the last couple years, we've invested about $50 million in really innovative technology to help our clients get to content automation at scale without sacrificing craft. We've built a tool. It will launch in the summer and it is unlike anything the world has ever seen. It's fully built [starting with] AI up. We are winning new business left, right and center. My estimation is this year we'll grow 12% through the product that we're delivering on behalf of clients versus last year. And that's huge in this economy. We're publishing work that I think is getting noticed in the world in ways that maybe it hadn't before. We deeply believe in the spirit of co-creation with our product and that no one partner can do it alone. It's about: How do you bring in partners from media? How do you bring in partners from creative? How do you underpin all of that with data to get to communication that offers utility? Modern communication should be two-way with the audience you're looking to reach. I look at a project for tentree, we built that and we detected [more than 200] wildfires [before they became problems in] the Canadian marketplace. That's something to be proud of. It's good commerce, good brand work and being a force for good. From a profit standpoint, we are growing in a very challenging economy. We're helping our clients figure out ways to be more efficient. We are in challenging economic times. What does that do for Tag Americas, and what is your plan to get through it? Tag is uniquely positioned, particularly in challenging economic times, because we are the only production partner that offers a true end-to-end solution, both content production and the sourcing part. We can blend the physical and digital worlds, and oftentimes we can realize on the sourcing side savings for our clients that can then actually fund the content side. Clients are nervous about spending money. They don't know where business is heading, and the ability to offer value without sacrificing quality is very attractive, and that is Tag's sweet spot. Where do you see Tag Americas in five years? Great question. We should ask AI. (laughs) I think the marketing industry needs companies like Tag on steroids. I think production needs to be the great neutralizing force in marketing so that media agendas don't go too far on one extreme, or creative agendas don't go too far off on [another] extreme. Production and being an intellectual blood bank for clients from a production standpoint keep that pendulum right in the middle. And that's got to be the goal of production. Oftentimes, production partners have been thought of for the last mile, and it's kind of been like an Easy-Bake Oven. A brief goes in and, ding: Three weeks later, there's content and assets and they're trafficked out. That's kind of to me [something from] yesteryear, and where it's going in five years is to be the equalizing force so that no agenda runs wild and every dollar is in check. And then I would say that in five years, we need to be guaranteeing outcomes for the clients that we're paid to represent. We need to deeply understand what is going to change their business, what their KPIs are, and then we need to be able to model using technology work that's going to win in the world. Creators are a big part of today's marketing strategies, but using AI in conjunction with them can make influencers' work more impactful. Here's how to take advantage of creator data to elevate your influencers' work. When you're looking for examples of successful companies, it's tempting to look at tech firms in Silicon Valley. While they have done well in terms of profits and products, many have a 'bro culture' that may not be worth emulating. Here's how to use the best parts of Silicon Valley's growth playbook—and still value diverse viewpoints. Which reality TV show franchise just named the cast for its 50th season in 2026? A. The Bachelor B. Big Brother C. Survivor D. Real Housewives See if you got the answer right here.
Business Standard
4 days ago
- Business
- Business Standard
EID Parry Q4 PAT rises 30% YoY to Rs 287 cr
EID Parry (India) reported a 30.05% jump in consolidated net profit to Rs 286.52 crore on a 22.57% rise in net sales to Rs 6,811.12 crore in Q4 March 2025, compared to the same period last year. Profit before tax (PBT) surged 92.15% YoY to Rs 734.54 crore during the quarter. Earnings before interest, tax, depreciation, and amortization (EBITDA) (excluding exceptional items of Rs 347 crore) for the quarter ended 31 March 2025 was Rs 626 crore, registering an increase of 8% in comparison to the corresponding quarter of the previous year. On the segmental front, the companys revenue from the sugar business stood at Rs 1,372.89 crore (up 6.79% YoY), distillery came in at Rs 268.19 crore (up 19.8% YoY), consumer products stood at Rs 195.32 crore (up 44.79%), crop protection was at Rs 698.72 crore (up 23.8% YoY), and nutrient and allied business was at Rs 4,320.96 crore (up 28.21% YoY) during the period under review. On the other hand, the firms income from nutraceuticals was at Rs 59.31 crore (down 15.32% YoY), and revenue from cogeneration stood at Rs 57.93 crore (down 25.49% YoY) in Q4 FY25. On a standalone basis, EID Parry posted a net loss of Rs 231.70 crore in Q4 FY25, against a net profit of Rs 80.27 crore in Q4 FY24. Standalone net sales rose 13.54% YoY to Rs 813.67 crore. Segment-wise, the farm inputs division continued to lead performance, recording a profit before interest and tax (PBIT) of Rs 398 crore for the quarter, up 26.35% from Rs 315 crore a year ago. In contrast, the sugar division reported a sharp decline in profitability, with PBIT falling to Rs 26 crore from Rs 164 crore in Q4 FY24. The nutraceuticals division posted a modest profit of Rs 11 crore, compared to Rs 16 crore in the same quarter last year. Meanwhile, the consumer products group (CPG) division widened its loss to Rs 13 crore from Rs 4 crore in the corresponding period last year. Meanwhile, the company noted that its subsidiary, Coromandel International, has declared a final dividend of Rs 6 per share and a special dividend of Rs 3 per share. EID Parry is expected to receive a total income of Rs 148.91 crore from this payout. Furthermore, the board has approved an investment of up to Rs 350 crore in Parry Sugars Refinery India (PSRIPL), its wholly owned subsidiary. The investment, to be made in one or more tranches, is intended to support debt reduction and strengthen the subsidiarys net worth. EID Parry (India) is engaged in sugar, nutraceuticals, and ethanol production. It also has a significant presence in the farm inputs business, including biopesticides, through its subsidiary, Coromandel International. Shares of EID Parry (India) rose 0.95% to Rs 990.45 on the BSE.
Fast Company
4 days ago
- Business
- Fast Company
Data is democratizing ethical consumption
Growing up in rural Northern California and later serving in the military, stationed in Mississippi, I experienced firsthand the stark disparities in access to quality goods. Even finding fresh, local produce often meant bypassing the grocery store for a farm stand because the desired options simply weren't stocked. In many communities I lived in and visited, the available choices were severely limited, creating a significant market gap that persists today. This isn't just a social issue I observed; it's a massive missed revenue opportunity for retailers who are overly focused on saturated urban markets while overlooking the immense potential waiting in rural and Middle America. This gap is critical as consumer packaged goods (CPG) undergoes a seismic shift. NYU Stern reports that about 33% of CPG growth now stems sustainability products, despite these representing only 18.5% of market share. This reflects a nationwide desire for products aligning with personal health, environmental consciousness, and ethical sourcing. A 2022 NielsenIQ study found that 78% of U.S. consumers say a sustainable lifestyle is important to them. The demand isn't coastal; it's cultural, and a significant portion of it, particularly in America's Heartland, remains largely untapped. The ethical consumption gap The challenge for businesses aiming to capture this values-based shopper demographic is twofold. First is a physical distribution gap. Potential customers in underserved areas often can't find healthier, more ethical product options locally, despite attempts to seek them out. My own experiences shopping at military exchanges highlighted this. The quality difference compared to civilian stores in metro areas could be drastic, driven by the need to offer lower prices. Second is a digital discovery challenge. Even when better options are available, shoppers struggle to verify claims about manufacturing processes, ingredients, and supply chains, making them hesitant to purchase. This all contributes to the ethical consumption gap: A growing divide between what people want to buy and what they can actually access because of legacy systems in both supply and search. High-end players and e-commerce giants have made strides with programs like Amazon's Climate Pledge Friendly, where products with certifications for health and sustainability are highlighted to shoppers with a green leaf. But what about the millions of Americans relying on dollar stores, regional chains, or even local military exchanges? The real opportunity sits with these retailers serving the everyday consumer. The landscape has changed Historically, understanding complex supply chains and verifying product attributes was a costly and manual process. Today, technology allows for automated data collection and verification, enabling retailers to efficiently identify, vet, stock, and promote products that meet specific standards. This democratization of data has transformed a logistical headache into a powerful competitive advantage. Yet retailers remain tethered to old approaches and often overlook rural markets. This isn't because of lack of interest but rather outdated merchandising models that haven't adapted to the decentralized discovery journey. Consumers today don't wait for a store reset to find what they want. They search, scroll, and share. If your products aren't showing up in that journey, you're invisible. Retailers must recognize the changed consumer landscape and use data to understand their entire customer base, not just rely on assumptions about location or price sensitivity. The belief that Heartland consumers only care about price is often misguided. The reality is that many want healthier options but lack access to them. With these insights, retailers can invest in merchandising programs that highlight trustworthy products, educate their customers, and build trust. Think a dedicated section like Clean Beauty at Target or data-backed labeling like Raley's Shelf Guide. The digital shelf in particular offers a low-risk entry point as retailers can significantly expand their online assortments with verified, values-driven products without immediately overhauling physical store layouts. Analyzing online sales from specific regions can then provide the confidence needed to introduce these products into the physical stores where demand is proven. This approach directly addresses the distribution challenge while meeting consumers online, where they increasingly begin their discovery journey. Design for unmet values-based demand Fintech revolutionized access to banking for rural and underbanked populations with mobile tools and data-driven personalization. Retail has the same opportunity if it stops building its future assortment based only on past point of sale data and starts designing for unmet values-based demand. Concerns about cannibalizing sales or tight margins miss out on attracting new customer segments, especially younger, growth-driving demographics who may currently bypass these stores. It's about growing the pie and maintaining relevance as preferences evolve. Offering these products isn't just about ethics; it's smart business, tapping into a proven growth category. Retailers, especially those serving rural communities, need to embrace their role in democratizing access to better products. By leveraging data, they can bridge the information and distribution gaps, empowering people in all communities to make choices that align with their values. This isn't just about catering to an elite niche; it's about recognizing the universal desire for healthier, more responsible consumption and making it accessible at all price points and locations. By transforming product deserts into engines of growth, retailers can unlock new revenue streams and build lasting customer loyalty. More importantly, they can contribute to a more equitable and inclusive marketplace where everyone, regardless of ZIP code and income level, has the power to choose healthier products. The future of retail isn't just urban, upscale, or algorithmic. It's rural, values-driven, and ready. Whoever closes the ethical consumption gap first won't just gain loyalty—they'll redefine retail relevance for the next decade.
Yahoo
4 days ago
- Business
- Yahoo
Agency EA Appoints Dee Hall to Board of Directors
CHICAGO, May 27, 2025 /PRNewswire/ -- Agency EA is pleased to announce the appointment of Dee Hall to its Board of Directors, effective immediately. Dee's lauded career began in the early 1980s in advertising and media at Leo Burnett advertising agency in Chicago. Her time at Leo Burnett led to the next chapter of her professional path in media sales and leadership at Petry Television, a national broadcast sales organization, where she founded Target Broadcast Group, fueling her burgeoning passion for promotions and events. Dee then co-founded national event marketing agency Stern Hall, introducing several Fortune 500 CPG brands to the power of experiential marketing. This led to the launch of Hall Event Group, later rebranded to FCBX as part of FCB Chicago. Most recently Dee held the position of President at Sunflower Group, an Advantage Solutions agency collection. She led teams that specialized in brand activation and experiential marketing for top CPG brands as well as national field marketing and events for two of the largest beverage marketers in the industry. Over the course of her career, Dee has been acknowledged for her leadership and mentorship by multiple industry awards including the Chicago Business Journal's Women of Influence Award recognizing women business leaders who innovate, succeed and "pay it forward". She has also held many prestigious industry positions including board member and executive committee member of the BAA (Brand Activation Association), a venerable marketing association that was acquired by the ANA (Association of National Advertisers), co-chair of the ANA Experiential Marketing Committee, and co-host of the REGGIE Awards - recognizing the best marketing campaigns activated by brands and agencies. She's been featured in MEDIAWEEK, BRANDWEEK'S "On a Roll," Event Marketer Magazine and DM News and has led many industry creativity and brand activation award wins for the REGGIE's, Event Marketer's Ex Awards, PRO Awards, and the Effies. "We are excited to welcome Dee to our board of directors," says Lucy Stratton, CEO. "She brings a wealth of experience in agency leadership and growth with a focus in brand activation and experiential marketing, which will be instrumental in supporting our vision and growth strategy." "I am thrilled to join Agency EA in this capacity. It's a company I have followed and admired for many years for their impeccable reputation, focus on people and culture and impressive executive leadership team," says Dee Hall. About Agency EAAgency EA is an end-to-end experiential house based in Chicago. Founded in 1999, Agency EA partners with the world's biggest brands to break the mold and deliver deeper experiences for their audiences. View original content to download multimedia: SOURCE Agency EA Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
