Learning from the UK’s Leading Brands May ’15

Kantar Worldpanel’s Brand Footprint Ranking reveals the strength of brands in 35 countries around the world, across the food, beverage, health and beauty and homecare sectors.  It uses an insightful metric called Consumer Reach Points which measures how many households around the world are buying a brand (its penetration) and how often (the number of times shoppers acquire the brand).

The Leading UK Brands are Home Grown

Kantar consumer reach

Within the UK the leading brand list is headed by Warburtons. In the worldwide Brand Footprint ranking, first place is held by drinks giant Coca-Cola. However, the success of domestic brands means it is the only brand in the global top 10 to make it into the British equivalent, where it sits in ninth place.

While the top 10 UK ranking is made up exclusively of food and drink brands, the global ranking tells a different story. Compiled using data from 35 countries, the global top 10 includes a more diverse range of FMCG brands, from health and beauty favourites such as Colgate and Dove to household and hygiene products.

There are two things that are striking about this list. The first is that there is a close, direct relationship between the household penetration and the frequency of purchase.

Penetration and Frequency Relationship

Penetration and Frequency Relationship

This relationship is inherent within Ehrenburgs Double Jeopardy Law.

Lower market share brands in a market have both far fewer buyers in a time period and also lower brand loyalty.

This is normally interpreted as the fact that loyalty is a statistical offshoot from penetration and not an entity that you can, or should target.

Allied to this is the realisation that actually, given there are 365 days in the average year, how little products are actually bought. So while it might be attractive to worry about why people don’t actually buy more, you are going to get much better value for money by getting more of them to buy. Simply focus on getting your offering right so you don’t lose them.

What does this all mean for the average brand?

Firstly that local brands can do really well by focusing on a local message, and making sure that it gets out to the shopper.

Secondly, your penetration – and the loyalty of your shoppers – will be linked to your availability;

  1. the stores you are in and whether the shelves are kept full when people want to buy
  2. your placement on the shelves, and the relationship between your local demand and the shelf space available to satisfy it
  3. the standout values of your pack in stopping and converting the shopper

The discounters cannot be ignored by all of these big brands since for some people they are the only store they visit. Similarly they can now be the basis for getting your brand in front of the young family, and building a loyal user base (more people buying) to take to other retailers as you grow.

Lastly, as you grow it is from the facing outwards in Layers. This drives how, and where, you invest to get the attention of your core shopper.

Layer 1 Point of Purchase – Focus on pack messaging and promotions primarily – and keep this effort going, as it gives you pack standout wherever the shelf is. As you can afford more;

Layer 2 The Path to Purchase – Move onwards to local messaging in your core areas. Posters outside the store. Local sampling. But ally this to gaining greater availability in the area (more stores and facings)

Layer 3 – The Greater Good – There will come a point where you can look to national awareness and the goal of getting onto the top 10 list yourself.

However, while you are reaping the fruits of all of the labours, never forget that you need to keep re-inventing this process since brands just like yours was, are waiting for you to slip up.

Why not download our guide to what actually does work in the first two layers above from here Case Studies