The race to catch consumers young, hots up

Following a 25.7% increase in 2020, retail ecommerce sales worldwide are expected to rise to $4.92 trillion in 2021, according to data firm eMarketer. A representative of P&G, which makes Tide detergent and Gillette razors, said its “plans are evolving” to reach people “where they are – including in places like streaming and gaming."

In this rear view, an unrecognizable woman stands with a shopping cart in front of a shelf full of food in the bread aisle of a grocery store.

CHICAGO, Oct 4 (Aryavarth) – Unilever Plc and Procter & Gamble, the world’s top two
advertisers, are seeking out younger audiences by reallocating some 2021 spending away
from traditional TV and into video games, streaming services and media programs operated
by retailers like Walmart and Tesco.
As they continue to look at their digital ad budgets and try to appeal to younger shoppers –
who have during the pandemic convened around Nintendo Switch game consoles and in front
of Netflix screens – the two consumer giants have turned to tie-ups with popular services like
Hulu and HBO Max and games like Fortnite and Animal Crossing.
Shoppers of all ages also avoided big box retailers’ stores and placed orders on online
platforms. Following a 25.7% increase in 2020, retail ecommerce sales worldwide are
expected to rise to $4.92 trillion in 2021, according to data firm eMarketer.
Unilever is “rethinking” how it spends its advertising budget as the prolonged pandemic has
accelerated a shift in the way people shop and entertain themselves, Luis Di Como,
Unilever’s executive vice president of global media, told Reuters. He said digital marketing
at Unilever, which makes Ben & Jerry’s ice cream and Dove soap, now accounts for roughly
45% of its total media budget versus about 40% prior to the pandemic.
Unilever holds monthly gaming ‘master classes’ for members of its marketing team, inviting
professional video game players and industry experts to keep the company attuned to
consumers, Di Como said.
A representative of P&G, which makes Tide detergent and Gillette razors, said its “plans are
evolving” to reach people “where they are – including in places like streaming and gaming.”
“It seems a little riskier – I mean it’s test-and-learn at this point,” said Elizabeth Marsten, a
senior director at marketing data firm Tinuiti. “But at the same time, how will you know if
you don’t try? You’ve got to go where the people are and 20-year-olds don’t have linear TV. ‘
Unilever’s total marketing budget is 7.5 billion euros ($8.85 billion). Di Como declined to
break out how much of that it spends on media, but  he said Unilever is shelling out “much
more” on ecommerce advertising platforms in addition to gaming and streaming platforms.

“We are investing on retailer media. So not only the pure-players like Amazon but also –
when you think about omni-channel – players like Walmart, Tesco, Target, Carrefour that are
also becoming media companies,” Di Como said.
Unilever is also branding new products to appeal to people who stream more TV and movies
during lockdowns. In a nod to shoppers’ heavy use of streaming entertainment, for instance,
Ben ‘Jerry’s launched an ice cream flavor called ‘Netflix and Chill’s,” a play on the popular
millennial internet meme ‘Netflix and Chill.’
Late last year, Unilever’s Hellmann’s condiment brand tied up with Nintendo farming video
game ‘Animal Crossing: New Horizon,’ promising to donate to a food waste charity each
time a player donated a virtual vegetable to charity within the game.
According to data firm Newzoo, there are more than 2.7 billion gamers worldwide, and the
size of the video game market will surpass $200 billion by 2023.
In  Britain, Unilever’s deodorant  brand Axe sponsors a handful of top gamers, including
Calfreezy.  In China, which contributes  about 6%  to overall sales, Di Como said the
company backs e-sport celebrities  and leagues,  which are rapidly gaining popularity among
the affluent younger generation in Asia. The company has an Apple TV+ documentary on
paternity leave sponsored by its Dove Men + Care brand.
P&G also has a tie-up with Animal Crossing through its Venus women’s razor brand. The
company told Reuters that it measured nearly 1 billion impressions when it created more skin
types for in-game characters, which represent features including freckles, acne, cellulite, hair
scars and stretch marks and psoriasis.

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