The CPG Guys Podcast: Customer Acquisition Through Closed-Loop Sampling with Recess CEO Jack Shannon & Advisor Mike Feldman
Release Date: May 24, 2025
In this insightful episode of The CPG Guys, hosts Peter V.S. Bond and Sree Rajagopalan delve into the evolving landscape of consumer packaged goods (CPG) marketing with special guests Jack Shannon, CEO and Co-Founder of Recess, and Mike Feldman, Strategic Advisor to Recess. The discussion centers on leveraging closed-loop sampling as a potent tool for customer acquisition within the burgeoning realm of retail media networks (RMNs).
1. Introduction to Retail Media and Experiential Sampling
The conversation kicks off with an exploration of the current state of retail media. Mike Feldman provides a seasoned perspective, highlighting the rapid growth and subsequent maturation of RMNs over the past decade:
“We're starting to see that growth plateau. CPCs are going up, ad load on the different RMNs is increasing, incrementality is plummeting...”
—Mike Feldman [06:18]
Jack Shannon complements this by emphasizing the critical role of experiential marketing within RMNs:
“Experiential marketing, we're seeing it become a critical growth channel and opportunity for retail media networks.”
—Jack Shannon [07:58]
2. Challenges in Traditional Experiential Marketing
The hosts and guests discuss the inherent challenges of traditional experiential marketing, notably issues of scale, targeting precision, and measurability. Mike articulates the difficulty brands face in justifying sampling initiatives without concrete data linking them to sales outcomes:
“Everyone is doing sampling for the trial but then being able to prove out that then led to purchase and repeat has always been such a challenge.”
—Mike Feldman [16:14]
3. Recess’s Closed-Loop Sampling Solution
Jack Shannon introduces Recess’s innovative approach to experiential sampling, which integrates digital precision into real-world engagements. He outlines how the pandemic catalyzed a shift towards scalable, data-driven sampling methods:
“Instead of having their teams go out to these locations, we could ship the product to those locations... and make it a full omnichannel program.”
—Jack Shannon [11:16]
This model allows Recess to execute sampling across thousands of locations with consistent execution, targeting specific consumer segments based on comprehensive data analytics.
4. Data-Driven Targeting and Measurement
A core theme of the episode is the importance of data in enhancing the effectiveness of experiential marketing. Mike Feldman emphasizes the necessity of closed-loop measurement systems to validate marketing spend:
“If you can't measure whether you move the needle, then what are you doing it for?”
—Sree Rajagopalan [17:20]
Jack elaborates on Recess’s methodology, utilizing anonymized cell phone data to identify and target specific consumer behaviors and demographics:
“We use tons of signals from cell phone data... to understand... if we're talking about a gym like an F45, we can look at the cell phones that were present at that gym and then where did those go the other 365 days out of the year.”
—Jack Shannon [20:00]
5. Strategic Partnerships with Retailers
The partnership between Recess and Dollar General serves as a pivotal example of how closed-loop sampling can align with retailer objectives. Jack discusses how this collaboration allows for precise targeting and accountability in measuring campaign effectiveness:
“So, it's being authentically distributed. ... tying it back to the retailer... a couple of different ways that we're kind of driving traffic and driving sales back to the retailer.”
—Jack Shannon [23:37]
Mike adds that such partnerships enable brands to integrate experiential marketing seamlessly into their retail media strategies, enhancing both top-of-funnel engagement and bottom-line sales:
“You can do the best of what you can do off site by doing these great experiential opportunities. But Recess now has this aligned to the JVP.”
—Mike Feldman [29:13]
6. Content Creation and Amplification
A significant advantage of Recess’s approach is the ability to transform sampling events into rich social media content. Mike highlights how user-generated content (UGC) from these events can amplify brand messages exponentially:
“Sampling is this limited, not scalable thing. But the more you can turn that into content and then you post into TikTok and other platforms... the most impactful way.”
—Mike Feldman [24:30]
This strategy not only extends the reach of sampling programs but also fosters authentic consumer engagement through platforms like TikTok and Instagram.
7. Aligning Retail Media with Joint Business Plans (JBPs)
The discussion shifts to the integration of experiential sampling within Joint Business Plans (JBPs), emphasizing a shift towards Joint Value Creation (JVC):
“Retail media can be an anchor for driving JVC because it's the entire funnel where you can focus on the customer...”
—Peter V.S. Bond [35:23]
Mike underscores the importance of aligning brand and retailer incentives to ensure that experiential marketing efforts contribute meaningfully to mutual growth objectives:
“It fits into the similar workflow that they already know... a win for the brand, for the retailer and ultimately the consumer as well.”
—Jack Shannon [38:31]
8. Future Trends and Directions
Looking ahead, Jack Shannon outlines Recess’s strategy to expand its partnerships and enhance data capabilities, aiming to make in-real-life (IRL) media as measurable and performative as digital channels:
“We want to make IRL media as measurable and performative as digital.”
—Jack Shannon [32:07]
Mike anticipates continued growth in off-site retail media channels, driven by the need for more accountable and emotionally resonant consumer engagements.
9. Conclusion
The episode wraps up with the hosts and guests reiterating the transformative potential of closed-loop sampling within the CPG and retail media ecosystems. The integration of data-driven strategies into experiential marketing not only addresses longstanding challenges but also opens new avenues for authentic consumer connections and sustainable growth.
Jack Shannon and Mike Feldman provided invaluable perspectives on how Recess is pioneering innovative solutions that bridge the gap between traditional sampling and modern, data-centric marketing strategies. Their insights underscore the critical role of measurement, targeting, and strategic partnerships in driving effective customer acquisition in today’s complex retail landscape.
Notable Quotes:
-
“Everyone is doing sampling for the trial but then being able to prove out that then led to purchase and repeat has always been such a challenge.”
—Mike Feldman [16:14] -
“If you can't measure whether you move the needle, then what are you doing it for?”
—Sree Rajagopalan [17:20] -
“We want to make IRL media as measurable and performative as digital.”
—Jack Shannon [32:07]
For more insights and discussions on CPG and retail media strategies, visit cpgguys.com.
