it worked so well those women would
sneak the cleaner home. That fact wasn’t
lost on Charlie or his offspring. They
began targeting consumers and have been
cleaning up ever since.
Today, Charlie’s Soap customers
are still mostly women, ages 25 to 54,
Steve Bishop, managing partner of
Brick Meets Click, a retail consultancy
that works with grocers, agrees with
Sutherland that convenience is the pri-
mary factor at play with CPGs selling
“We’re seeing strong CPG sales online
driven mainly by the convenience of
ordering online combined in many cases
with home delivery,” Bishop says. “This is
a consumer-driven trend and;the major-
ity of brand marketers are reacting to the
demand, not creating it.”
He says the exceptions;would be start-
up brands that don’t have physical store
Consumer packaged goods (CPG) e-commerce sales rose 42 percent in 2016 — far beyond
overall growth in e-commerce and driven heavily
by Amazon subscription sales, which more than
tripled according to data analytics firm 1010data.
What’s selling most? Laundry detergent sales
rose 85 percent with Procter & Gamble’s Tide
owning a 48-percent share. That beats Tide’s
38-percent share in all forms of laundry detergent
sales offline last year, says data from research
Other detergents doing well online: Seventh
Generation, Method, Charlie’s Soap, and SC
Johnson‘s Mrs. Meyer’s — all green-positioned
products. Seventh Generation’s 5.7-percent
e-commerce share per 1010data is nearly 10 times
its 0.6 percent IRI share and makes it the third
best-selling U.S. detergent brand online, just
behind P&G’s Gain.
Toothpaste was the second-fastest-growing
CPG category online last year, up 75 percent.
P&G’s Crest took first ahead of Colgate. And like
in the detergents category, smaller natural brands
sold better online than offline.
Other categories doing brisk online business
include pet food and facial moisturizers. They’re at
$760 million and $450 million respectively.
1010data analysts say subscription is key to
online sales of CPGs. It reports that Amazon’s
Subscribe & Save accounted for 20 percent
of CPG e-commerce growth alone last year.
And subscription growth made Chewy.com a
dominant player for pet products online.
1010data adds that convenience and limitless
shelf space helps online sales of CPG, too.
Specifically the company says Amazon Dash
— the buttons consumer can place around the
home that let them automatically order products
they’re running low on — is helping to drive
Health supplements are the biggest online
CPG category with $2.6 billion in sales. Health
supplements account for 25 percent of total key
CPG category sales and exceeded the size of the
next biggest category by $1 billion.
Pet care grew 67 percent year-over-year — the
fastest-growing category among those with at
least $500 million in sales. Growth was driven by
specialty pet care sites, with brands like Chewy
and Drs. Foster & Smith and those focusing on
“natural” products experiencing the most growth.
TOP 11 CPG CATEGORIES
YEAR-OVER-YEAR GROWTH IN THE U.S.
1. Laundry detergent: 85 percent
2. Toothpaste: 75 percent
3. Health snack bars: 74 percent
4. Deodorant: 71 percent
5. Adult nutrition: 68 percent
6. Baby wipes: 68 percent
7. Protein powder: 66 percent
8. Bottled water: 63 percent
10. Baby diapers:
11. Beauty primer:
CPG E-COMMERCE SALES SOAR BY 42%