SmartInsights: Accelerated
product-innovation platform

New-age competitors are gaining significant market share

Digital transformation has changed the relationship between brands and consumers. With traditional entry barriers removed, born-in-the-clouds start-ups are eating into the market share of legacy companies by reacting to consumer preferences faster, gaining the first-mover advantage. Studies show that 97% of sales growth has been achieved by small, nimble CPG players and the flameout rate for products that do not leverage consumer insights is between 80 and 90% (Source: Accenture, HBR)

How can legacy companies stay relevant and regain market share?

Digitally-native challenger brands are forcing traditional brands to rethink strategies and use technology to identify trends to drive innovation, not just to manage existing processes. While identifying trends isn’t new, it is necessary to evaluate whether a trend has long-term potential to impact a category, and therefore warrants investment. Legacy brands need to know where, how and when to invest their money, separate signals from the noise and invest in trends that are likely to go mainstream sooner than later.