Insights & News

Facebook is a level playing field for FMCG/CPG advertisers

By Rohan Noronha, Httpool Facebook Lead Bangladesh,
and Tithi Chowdhury, Facebook Client Partner Httpool Bangladesh.

The new post Covid-19 reality has propelled digitalisation forward by five years. McKinsey research suggests that it could take anywhere between three to ten years for us to feel that going to supermarkets is again a safe and convenient way of grocery shopping. 

Why does this matter? Because the global FMCG market size is projected to reach $15,361.8 billion by 2025, registering a CAGR of 5.4% from 2018 to 2025, according to the Research and Markets Report. This makes FMCG the largest group of consumer products alongside the  production, distribution, and marketing of these consumer goods. 

Alongside the growth in the industry, FMCG/CPG also achieved notable growth in digital ad spend worldwide. Research from eMarketer shows that quarter two of 2020 saw up to a 53% increase in ad spending in the FMCG/CPG sector. In the UK, 2020 FMCG/CPG represented a 13.5% share in digital ad spend, earning second place, following retail at 20% ad spend. In the USA, CPG will make up 14.4% of all US digital ad spending in 2020, making it the third-largest spender among the industries we cover. According to eMarketer research, CPG advertisers in the USA spend heavily within the mobile sector, with the most popular form being display advertising on social networks and video platforms. 

In 2021 digital video advertising is expected to be the fastest-growing format in CPG ad spending, rising 17.1% to $5.54 billion in the USA alone. Digital video ad spending will make up 47.5% of CPG’s spending on display advertising in the USA and 28.6% of its overall digital spend.

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On Facebook, smaller businesses can successfully take on some of the largest FMCG/CPG brands.

Facebook’s 2.8 billion audience represents an almost limitless world of opportunities for advertisers to explore, offering the chance to win customers over to their brands, when they are at their most receptive state.

FMCG/CPG is among the top five ad spend categories across most Facebook markets within the industry. Large brands such as Unilever, P&G, Nestle, have already fully leveraged the global opportunities that Facebook advertising can accomplish.

Ten million businesses actively utilise Facebook advertising, with the top 100 advertisers in the FMCG/CPG sector representing just 20% of total ad revenue, according to CNN

Therefore, the size of your FMCG business on Facebook is not the top priority regarding advertising. The category is highly competitive, whilst offering a level playing field for global, national, and local brands. The business outcomes should be at the forefront, understanding the importance of expert teams, knowledge sharing, implementation of best practises, and the readiness to learn and develop. 

A combining creativity and measurement on Facebook is a winning formula for FMCG/CPG brands.


Advertises within this segment have learnt to refine their marketing objective and define their optimal audiences in order to solve potential business problems. Additionally, advertisers should pay particular attention to the following:

Think mobile

Advertisers should embrace the consumer shift into the world of mobiles, placing their focus on short form storytelling. In 2020 73.4% of people browsed their mobile phones across Central Europe, and people in the USA reportedly spent almost all their spare time on internet apps. Brands should be jumping onto this trend, initiating direct conversations with their consumers, and reaping the results.


Think creative

Utilising the right creative could be your token to success. A clever thought through illustration might be just what you need to ensure your campaign stands out from the crowd. Therefore it is important to focus on creative actions which can set you apart from your competitors and leverage brand building creative insights.

Similarly, creative agencies should start incorporating the ‘Facebook Thumbstoppers’ feature into their work, helping brands bring inspiration to their customers, leading to increased purchases.

Think data

Leveraging Facebook’s advanced measurement tools, advertisers should aim to develop simple and adaptable measurement strategies, doing so will help advertisers to better understand their customers, and thus allow them to make the most effective business decisions. It is important as advertisers that you balance your long-term and short-term needs, Identifying move metrics and driving brand growth.


Create and run effective tests which allow you to quickly understand and adapt to necessary changes on an ongoing basis to optimise your campaign. Conduct experiments and studies to test new hypotheses and stick with what works.

Continuously track sales level data from sampled stores and insights for their digital ROI. With a strong focus on business outcomes with multiple levels of insights linking sales with their Facebook ad efforts, advertisers should be able to maximise the efficiency and effectiveness of their efforts on this global platform. Custom Mix modelling to support Sales ROI for digital spends can provide further assistance to fine tune campaigns and achieve maximum impact.

Finally, trust the machine learning algorithms behind your ads and make the most of automated placements, bidding, and targeting strategies to achieve cheaper conversion rates.

Think multi-screen

Finally, to reach TV viewers, FMCG/CPG brands should incorporate the multi-screen aspect into their Facebook ad campaigns. A vast majority of the public reportedly use multi-screen, as opposed to solely desktop or mobile. Specific insights should be acquired to understand how best to achieve optimal campaign results using a combination of  both TV and Facebook ads.


Although there is no set recipe, various brands have achieved success in 2020. Below are a number of strategies used to make the most of Facebook advertising efforts.


And so, as we move into the next phase of the post-Covid reality, the FMCG/CPG sector will undoubtedly continue to thrive. And while pivoting will remain essential in all aspects of the business, digital commerce is one of those non negotiable elements in the mix of success. For major global brands, Facebook will continue to remain one of the main platforms to reach out to clients. For smaller brands, it will enable them to compete with the big guys. On the same terms and with the same audience.

Read the full #HttPaper on FMCG/CPG vertical here.