This article produced by NielsenIQ gives insights into the top investments that will impact CPG (Consumer Packaged Goods) over the next 3 years.
In this report, they assess the trajectory of many common “big bets” being made in CPG, including lab-grown meats, customized health products, NFTs, the Metaverse, vertical farming, regenerative agriculture, rapid delivery, staffless stores, and more.
- It explores 18 popular transformative ideas major industry and global companies are investing in today. The ideas are slated to fuel the next phase of exponential growth within the retail and global consumer goods sector.
- Transformative leaders need to build a culture committed to monitoring and learning about new innovations, technologies, and approaches to maintain an agile, forward-looking company. (This article unveils what these latest innovations and technologies are)
- Across the 18 ideas they vary in maturity – some are close to launch and being mainstream change makers others are a bit further from claiming success
- Nielsen have assessed the likelihood of these investments eventuating based on 7 key ‘enablers and barriers’ such as customer sentiment, governance, scalability, readiness to name a few.
- The landscape encompasses – Innovation, technology, sustainability and Retail transformation – the 18 ideas sit within this landscape. The article provides real world examples of how this is playing out in the market today.
- Recent research shows that consumer preferences and priorities are more dynamic than ever.
- 74% of global respondents believe that their priorities and resulting shopping habits have been impacted by the pandemic.
- NielsenIQ conducted a directional survey of consumers in 17 global markets to gauge the general levels of willingness and “openness” toward adopting the big bets that are examined in this leading edge report.
- NielsenIQ’s survey revealed that the investments that aligned with sustainability, inclusive of reduced or recycled plastic, lower waste/footprint, and renewable energy consistently ranked the highest around the world. What does this mean?
- Global consumers are serious about sustainability and have noted a strong willingness and acceptance toward sustainability-focused programs.
- It is interesting to note that direct-to-consumer (DTC) models also have widespread positive consumer acceptance around the world. DTC models have sprung to prominence in the past two years as pandemic-induced behaviours and homebody lifestyles have provided trial and adoption.
- Of the 18 big bets considered, the top five areas of investment that will most likely have an immediate and widespread influence on the global CPG industry in the next three years are reduced/recycled plastic, DTC, rapid delivery, renewable energy, and automation technologies.
- Consumer sentiment alone will not be the single factor that decides the success or failure of these big bets. NielsenIQ has created a 7- point framework to assess the most influential barriers and enablers to success.
A significant amount of investment, focus, and innovation is happening right now at the leading edge. Transformative leaders need to build a culture that is committed to monitoring and learning about new innovations, technologies, and approaches to maintain an agile, forward-looking company.
