You would think FMCG branding is just about standing out on the shelf. Your product should catch the eye of shoppers. But hey it’s not just about that. It’s about telling a story so compelling and memorable that a customer reaches for your product without a second thought, every single time.
Think about it— Why has Amul remained a household name after decades? How did Cadbury redefine celebrations in India with “Kuch Meetha Ho Jaaye”? The answer lies in their branding and marketing.
And it takes extensive knowledge and expertise to crack branding for your brand. While in the process, you might make common mistakes.
That’s why we will tell you common mistakes that you should absolutely avoid making in this blog. But first, let’s understand what is branding all about so you can gain a better understanding of mistakes.
Table of contents
- What Is FMCG Branding, and Why Does It Matter?
- Common FMCG Branding Mistakes (And How to Fix Them)
- Ignoring Emotional Connections
- Inconsistent Branding Across Channels
- Failing to Adapt to Digital Trends
- Overlooking Consumer Feedback
- Ignoring Branding & Relying Too Much on Price Wars
- Should You Hire an External Branding Agency?
- The Challenges of In-House Branding
- How an External Agency Can Help
- Frequently Asked Questions
What Is FMCG Branding, and Why Does It Matter?
Branding in the FMCG space is the effort to make your product the first choice for consumers, amidst the variety of products available from other brands.
Also in India, FMCG branding is particularly nuanced. The market is a mix of urban and rural audiences with vastly different expectations. A brand that resonates in a metro city might fail in Tier-3 towns unless it tailors its approach.
FMCG branding here is about understanding the pulse of your audience, leveraging insights and building a connection that transcends price wars.
Over the decades, we have seen different branding techniques like playing on the straightforward product benefits (e.g., Lifebuoy’s “Kills germs”) to emotional storytelling (e.g., Cadbury’s family moments) and purpose-driven campaigns (e.g., Surf Excel’s “Daag Acche Hain”).
Common FMCG Branding Mistakes (And How to Fix Them)
The brands that we mentioned in the previous section have done their branding exceptionally well. However, there might be some brands with terrible branding mistakes. And that’s why we don’t even know if they exist.
You should avoid making those mistakes if you want your brand to be known in every Indian household. Let’s explore a few common FMCG branding mistakes and how to fix them effectively.
1. Ignoring Emotional Connections
The biggest mistake FMCG brands make is focusing solely on product features without connecting them to emotion. Or without deriving it from insight.
Yes, Lifebuoy told us that the soap kills germs. But it’s a benefit. The feature would be some ingredients used in the handwash that kill germs. That would have made it boring.
Emotional branding is what makes a product memorable. Think about Surf Excel’s “Daag Acche Hain” campaign—it didn’t just sell detergent — it celebrated childhood and love. Rather than saying the same old removes stains — they said stains are good. That’s how they also stood out from their competition.
How to Fix It:
- Tell a Story: Build campaigns that connect emotionally. If you’re a biscuit brand, highlight how your product creates moments of togetherness during chai time.
- Leverage Insight: Nike had a simple insight. People always procrastinate. That’s they asked people to “Just Do It”
- Add cultural nuance: Develop campaigns that resonate with culture. For example, you cannot show people enjoying the Christmas holidays. That does not happen in India. You can rather focus on Diwali campaigns.
2. Inconsistent Branding Across Channels
A lot of FMCG brands get their packaging right but lose the plot online. Or they nail their social media but have outdated in-store branding. This inconsistency confuses consumers and weakens the brand’s identity.
How to Fix It:
- Create a Brand Style Guide: Define your colour palette, tone of voice, and messaging, and ensure it’s applied consistently across packaging, ads, social media, and in-store displays.
- Train Retail Partners: Equip distributors and retailers with updated branding materials to ensure a cohesive look at every touchpoint.
- Audit Your Presence: Regularly review how your brand appears online, offline, and in advertising to ensure consistency.
3. Failing to Adapt to Digital Trends
While traditional advertising remains important, ignoring digital channels is a costly mistake. Consumers, especially younger ones, are making purchase decisions based on Instagram posts, YouTube reviews and influencer recommendations.
That’s why branding yourself on social media is equally important. Especially in this age where young consumers are always on social media.
Take MamaEarth for example. They educate their audience on Instagram by leveraging carousel posts, static posts and reels.
In fact, they opted for a digital-first strategy for growing. They relied on dynamic product ads for sales. Hence they also strengthen their branding on social media and then later use it to generate sales.
If you want to stay relevant — you must adapt to digital trends.
How to Fix It:
- Invest in Digital: Create a strong presence on platforms like Instagram, Facebook, and YouTube. Use influencer marketing to build trust and awareness.
- Engage Creatively: Don’t just post product pictures—create entertaining content. For instance, Zomato’s witty posts have made it a beloved brand even though it’s not strictly FMCG.
- Optimise for E-Commerce: Ensure your products look appealing on platforms like Amazon or Flipkart with high-quality images and engaging descriptions.
Hire a social media marketing agency if you need help with ideas, strategy and execution.
4. Overlooking Consumer Feedback
Brands often assume they know what consumers want without actively listening to them. But consumer preferences keep changing. And you must keep up with changing trends and change your branding accordingly.
How to Fix It:
- Monitor Reviews and Comments: Pay attention to what people are saying about your brand online. Tools like Google Reviews or even Instagram comments can offer valuable insights.
- Conduct Surveys: Regularly ask your customers what they want. Britannia’s success with regional biscuit flavours like Elaichi and Coconut came from listening to consumer preferences.
- Be Transparent: Show consumers that their feedback matters. Acknowledge it publicly and act on it.
5. Ignoring Branding & Relying Too Much on Price Wars
Many FMCG brands fall into the trap of competing solely on price. While discounts can attract buyers temporarily, they rarely build long-term loyalty. In fact, constantly undercutting prices dilutes the brand’s perceived value.
How to Fix It:
- Focus on Quality and Differentiation: Highlight what makes your product unique—be it better ingredients, superior taste, or eco-friendly packaging.
- Build Emotional Value: Create campaigns that add aspirational value to your product, like LUX’s association with Bollywood celebrities over the decades.
- Reward Loyalty: Introduce loyalty programmes or limited-time offers that reward repeat purchases instead of always lowering prices.
Should You Hire an External Branding Agency?
When it comes to branding, many businesses believe they can handle it in-house. After all, who knows your product better than you? While this logic seems sound, in reality, in-house branding often falls short of delivering the impact an FMCG product needs to thrive in today’s competitive market. Let’s explore why.
The Challenges of In-House Branding
First, branding isn’t just about designing a logo or writing catchy taglines—it’s an ongoing process that requires strategy, expertise, and a deep understanding of market trends. Most in-house teams are stretched thin, juggling multiple responsibilities like product management, sales, and operations. Branding often gets pushed down the priority list, leading to half-baked campaigns or inconsistent messaging.
Moreover, in-house teams may lack specialised skills like consumer research, packaging design, or digital marketing expertise. For instance, if your team is great at crafting ad copy but struggles with social media trends, your campaigns may fail to connect with the younger audience who live on Instagram and YouTube. And let’s not forget about the “echo chamber” effect. When the same team brainstorms ideas repeatedly, creativity can stagnate, leading to predictable campaigns that fail to stand out.
Finally, scaling branding efforts can become overwhelming. Let’s say you are launching a new product. An in-house team might struggle to manage the launch campaign, adapt packaging for different region and ensure digital ads reach the right audience—all at the same time.
How an External Agency Can Help
This is where external branding agencies come in. They don’t just solve these challenges—they bring expertise and fresh perspectives that can elevate your brand.
- Specialised Expertise: Branding agencies are like power-packed teams of specialists. From market researchers who identify your audience’s deepest desires to creative designers who craft packaging that pops, agencies have the skills your in-house team might lack. They know what works and what doesn’t in the FMCG space, especially in India’s culturally diverse market.
- Unbiased Insights: An external agency comes in with a clean slate. They don’t carry the baggage of “how things have always been done,” which allows them to think out of the box. For example, an agency might suggest positioning your organic snacks as an aspirational product for millennials, backed by influencer collaborations, instead of just another healthy snack.
- Scalable Solutions: Agencies are built to handle big projects, whether it’s launching a product across the country or running a multi-channel campaign. They have the resources, tools and manpower to execute branding strategies at scale.
- Cost-Effective in the Long Run: While hiring an agency might seem expensive initially, it often saves money in the long run. A well-executed campaign can drive higher sales, improve brand recognition and reduce the need for constant rebranding. Think of it as an investment that pays dividends over time.
That’s why you should definitely hire a FMCG digital marketing agency. If you are ready to take your branding to next level — you can reach out to us at hello@florafountain.com
Frequently Asked Questions
Vasim Samadji is a partner at Flora Fountain, where he leads the Business and Marketing Strategy divisions. In a world where everyone is used to sugarcoating, his directness is often considered rude. But that shouldn't be a problem if you like the no-nonsense approach. Because he is a seasoned professional...