Five Keys For Brands to thrive in grocery’s new world

Our take: Shoppers engage brands they view as helping them meet needs and further personal goals associated with living better lives... | ---------------

Much has been made of the challenges facing retailers in today’s grocery marketplace. Their manufacturing trading partners are contending with equally pervasive disruption and the effects have been significant, with most of the top 100 brands continuing to lose market share to smaller competitors.

The issues impacting large CPGs are many — and they’re growing.

For one, shoppers are increasingly brand agnostic. They’re looking to manufacturers to address a need state and, if they have confidence that the product can meet their  need(s), it matters not the brand.

At the same time, there is growing demand across shopper segments for specialty, healthy and functional foods, as shoppers are moving well beyond “low sodium” or “sugar-free” line extensions in their efforts to eat better and improve their nutrition.

As a result, they’re turning to new and emerging brands to help them reach their goal of establishing a better diet.

And the barriers to entry for these emerging brands have never been lower.

Leveraging available technology, even the smallest food producer can achieve speed to market with enviable alacrity.

Further complicating matters is that at the center of everything is the “mantra of me” — shoppers’ deepening expectations of a personal connection with brands....

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