GREAT
EXPECTATIONS

Brand diversity
grows success

Let’s get into the detail. We’ll look globally, locally and talk about brands by size. Here’s what that looks like:

Finding growth

The average penetration gain in 2022 was higher than the previous year for brands of all sizes at +0.5 percentage points. There are several pieces to this dynamic, but these two stand out:

Asia, particularly India, is driving CRP growth, even as Europe and the United States softens.

Improved penetration has come at the expense of brand frequency.

We also have shoppers trying new brands, particularly smaller or local brands, and there are many more small brands than global brands. A twist this year is the way small brands are fighting their way into shopping baskets and gaining more traction than previous years. In many ways, they are the rising stars. They’re also showing resilience across all categories, except beverages, where global brands have held their traditional stronghold positions.A twist this year is the way small brands are fighting their way into shopping baskets and gaining more traction

Local learnings

At a local brand level, we also see a trend of shoppers finding gravity points with their local offerings.Through all of this, brand loyalty is pressured. Of course, much of that pressure comes back to that word again: inflation. It’s a word that is making the FMCG industry work (very) hard for its money. We’ve been inundated with questions on pricing, portfolio, promotion, innovation, and the nuances in between. Additionally, the dynamic between retailers and manufacturers has been wrought at times as retailers battled to hold prices down to keep shoppers in their stores and curb the bleed to discounters as shoppers race to conserve their spending power.

Discover the Kantar BrandZ Most Valuable Global Brands 2023 report from 14 June 2023, with new insights on how the highest performers are investing in strategies that differentiate, protect value, and advance sustainability credentials to connect more closely with consumers.
Find out more:
www.kantar.com/brandz