When it comes to growth, it’s hard to ignore what we’re seeing in emerging markets. In fact, they’re currently generating two-to four-times the fast-moving consumer goods growth of developed markets, as detailed in Nielsen’s recent What’s Next in Emerging Markets report. But just because the big picture boasts big opportunity doesn’t mean capitalizing on the right opportunities is easy.
To get started, global manufacturers can realize emerging market growth opportunities by understanding how discretionary categories evolve in similar, but more established markets. Pairing the macro factors within a region or a country with identified category specific-drivers, consumer needs, and emerging trends within a given country is key to enabling sustained growth.
At a high level, we’ve seen several key dynamics at play over and over again as emerging markets develop in the consumer goods and services landscape:
- Increased competition, as there is more money to be won.
- Increased premiumization as willingness and ability to pay increases.
- And as Nielsen’s Emerging Markets report mentions, within food and beverage, portability and health are global needs as consumers become more educated on health and simultaneously live busier, more mobile lifestyles.
As competition increases and premiumization starts to occur, learning about country specific trends and nuances are where the rubber meets the road. It’s incredibly helpful to contrast benefits and characteristics demanded within a market to ensure that your products are properly defined and positioned. The question is, how do you make sure that your brands don’t get left behind? How do you uncover the emerging consumer needs in a developing country before it’s too late? Nielsen – Read more…