For decades, consumer goods companies have line extended in
order to maintain continued growth. New sub-categories have been created, and then
saturated. But this has led to many more choices than a consumer could possibly
want. In turn, this has created a 'paralysis
of choice,' according to Luke Atkinson, deputy head of planning at Leo
Burnett Sydney, so retailers are starting to consolidate and replace aisles of
brands with their branded products.
order to maintain continued growth. New sub-categories have been created, and then
saturated. But this has led to many more choices than a consumer could possibly
want. In turn, this has created a 'paralysis
of choice,' according to Luke Atkinson, deputy head of planning at Leo
Burnett Sydney, so retailers are starting to consolidate and replace aisles of
brands with their branded products.
'There is no genuine unmet need left in these categories,'
he wrote. 'This is further compounded by digital, which has created lots of
new, interesting and often free ways to spend time and energy. Brands, as means
of self-expression, have lost their power. And it costs more money to
sustainably launch NPD into the market. No wonder incrementalism is a dying
art.'
he wrote. 'This is further compounded by digital, which has created lots of
new, interesting and often free ways to spend time and energy. Brands, as means
of self-expression, have lost their power. And it costs more money to
sustainably launch NPD into the market. No wonder incrementalism is a dying
art.'
Atkinson says it's time to innovate innovation, and here's
how:
how:
Think Big. Classic
incrementalism starts with detailed quantitative understanding of consumer
needs, looking for empty percentage that a new product could target. Ask
questions like, 'What is my brand's human purpose, making my target's life
better'? Around this bigger purpose, 'What unmet consumer needs exist that your
brand, through a combination of products could fulfill'?
incrementalism starts with detailed quantitative understanding of consumer
needs, looking for empty percentage that a new product could target. Ask
questions like, 'What is my brand's human purpose, making my target's life
better'? Around this bigger purpose, 'What unmet consumer needs exist that your
brand, through a combination of products could fulfill'?
Think Utility. Digital
technology offers new innovation opportunities that when combined with your product,
offers consumers utilities that have value. How can the purpose of your brand
and your product set, when combined with any consumer-friendly technology offer
a new utility to people?
technology offers new innovation opportunities that when combined with your product,
offers consumers utilities that have value. How can the purpose of your brand
and your product set, when combined with any consumer-friendly technology offer
a new utility to people?
Think Functional Integration.
To escape incrementalism, you must deepen your relationship with your
consumer, not expand it. This is what integration is about ' integrating your products
together around your meaningful purpose.
To escape incrementalism, you must deepen your relationship with your
consumer, not expand it. This is what integration is about ' integrating your products
together around your meaningful purpose.
Think Product and Promotion
as One. Instead of developing a product and then worrying about how to
promote it later, consider bringing the two together in one fresh combination. Consider
bringing your product, advertising and digital agencies to innovate together.
as One. Instead of developing a product and then worrying about how to
promote it later, consider bringing the two together in one fresh combination. Consider
bringing your product, advertising and digital agencies to innovate together.
