This paper discusses innovation process performance in FMCG and blind spots in the classical research sequence. Using case studies, it demonstrates how a combination of relevant 'touch and feel' stimuli and behavioral research techniques can help solve the paradox of early testing of 'the real thing' in a 'real context' with a product that does not yet exist. It reviews 'design thinking' good practices that have helped Kraft deliver successful innovations with shorter time-to-market, thanks to 360° shopper-user understanding.
Companies are refocusing on the emerging markets in BRIC countries. With China, India and Brazil, Russia is back on the radar of multinationals. Despite its familiarity, the Russian market offers particular challenges to FMCG manufacturers, particularly when launching new innovations. This paper investigates the various opportunities for, and barriers to, launching innovations in Russia. The author aims to answer the following questions: What is the typical success rate of innovations in Russia? What makes Russia different from the perspective of launching innovations? How does the market environment in Russia influence launch expectations and launch strategies?
As innovation is the engine of growth, it is important to continuously invest. But during challenging economic times, we face difficult decisions as manufacturers: Should we continue to invest in innovation or save money? Should we cut production costs? Reduce the advertising budget? To answer these questions, we studied recessionary times in a variety of markets over the past 30 years. After assessment, their advice is clear: be very careful with these choices and make sure that short term decisions are not counter-productive in the medium-to-longer term. The presentation investigates the key factors of success of new product launches in the FMCG sector in the context of the current economic situation and provides research-based guidance on launching innovations during economic slowdown.
This paper utilises the FMCG category in a mature market with sustained equilibrium and a considerable number of well-established products to assess two assumptions: the stability of the system through time, without launch of new products nor significant changes in key variables of currently existing products (distribution, price, promotions); and the instability of the system caused by the launch of a new product or significant change in key variables from any currently existing product. The paper analyses the role of advertising for each of these two cases.
This paper provides a prognosis for the future of internet research based on the attitudes, experiences and opinions of the buyers of research within the FMCG sector. The paper provides an understanding of the dynamics involved in the possible adoption process from conventional to interactive research. Given their work within the marketing research industry part of the information economy and involvement in the collection and dissemination of bits of information rather than physical products, the authors hypothesised that the marketing research industry will be more heavily impacted by this transformation than most. There are two ways of addressing this transformation. The first is from the supply side, measuring the extent to which research agencies are investing and responding to this challenge. However, the supply side was already well covered by papers at this and other conferences. Consequently, the authors felt a more valuable approach would be from the demand side, testing their hypotheses with empirical research to explore what users actually think about the future of research.
This paper presents the results of the first large-scale parallel-testing program in the United States between central location (mall-intercept) and Internet interviewing. The research is significant because it demonstrates contrary to the conventional wisdom in the United States that the Internet can be used for research on mainstream fast-moving consumer goods (FMCG) products. The key as we will show is to recruit a demographically representative panel from what is presently a non- representative population and then to calibrate the responses of that panel through extensive parallel testing.
The paper describes three case studies of real market tests that have been carried out with GfK-BehaviorScan in Germany and France. In these tests parts of the media budget for fast moving consumer goods have been shifted from TV to print. The aim of these tests was to investigate the benefits and risks of stronger print support to the performance of the brands tested. Although being quite different in terms of product category or stage in lifecycle the results strongly suggest moving away from TV- dominated media strategies.
This chapter will focus on the application of modelling with data and research findings (often otherwise collected) to enable businesses and organisations to improve their effectiveness. Underlying methodology will be touched on where it is considered to influence the interpretation and application of results. The world of packaged goods has traditionally created the data sets required in modelling so it is not surprising that many of the modelling approaches have been developed for and by the packaged goods industries. Modelling has become increasingly popular as the advances in computers have brought the data and software tools to a wider audience. It has also been seen as the answer to How do I make sense of all these data?.