As e-commerce is predicted to grow from 11% to 17% of all grocery sales, search rank on e-tailers has become the new shelf space. Just as Home Care brands have invested for years to snap up a prime, eye-level spot on the grocery store aisle, they will need to compete for visibility to those searching for products on Amazon or Walmart.
L2’s Insight Report on Home Care finds enterprises fall into three categories: those in denial, those making selective investments, and those with a head start. Reckitt Benckiser, Procter & Gamble, Kimberly-Clark, and Georgia-Pacific are trailblazers while Colgate-Palmolive is one of those in denial. S.C. Johnson and The Clorox Company are being strategic, neglecting smaller brands in favor of flagship ones.
But search provides an opportunity for smaller brands, who may not have strong relationships with brick-and-mortar grocer chains. Method and Seventh Generation, for example, are punching above their weight class on certain e-tailers.