Product benefits are the biggest driver of new trial

NielsenIQ insights reveal that brands can succeed by tapping this sentiment and aligning quality with claims.

Shopping-cartBenefits claims are the most likely way to get consumers to try new products, according to the latest survey from NielsenIQ.

In its latest FMCG trendsetting insights, NielsenIQ reveals that product benefits (37%) edge out novelty seeking (36%) and promotions (31%) as the top three factors that entice new brand purchases. These eclipsed word of mouth and online reviews (26%), attractive packaging (25%) and preferred brand being unavailable (24%).

Aligning with the drawing power, shoppers are also frequently hyper-aware of the product claims and benefits offered by the brands they buy. Once drawn in by trial, product quality  aligning with the claims is particularly important to hooking new buyers.

Globally, NielsenIQ identified a sizeable percentage of consumers (69%) as either “trend leaders” or “innovation seekers” – this number was 50% in Canada. NielsenIQ recommends localizing a new product that appeals to the trendsetting disposition of consumers.

While many Canadians take comfort in routine – 42% of Canadian consumers actually don’t go out of their way to seek new things – tapping a trend leader or innovation seeker mindset can help a small brand eventually generate mainstream followers and even routine-seeker appeal.

But outside of trend-setting, fickle, agnostic buyers also represent a huge opportunity, the report notes. For this group, they purchase what they need, without considering brand, making product claims and quality even more important.

NielsenIQ identified two challenger brands as successfully navigating their respective categories.

First, baby brand Hello Bello brought fun to the diaper category when it first launched stateside, then came to Canada in 2020. The brand has emphasized high quality at affordable prices as its core messaging, expanding into adjacencies like vitamins for the whole family using the same approach.

Aligning health needs and being memorable have proven to be a winning recipe even among the most routine-oriented, Nielsen says.

For example, Love Good Fats bars in Canada embraced fats in a positive way as a product benefit with “fat is back” positioning. The company also innovated with on-trend keto certified, and differentiated itself as a fat-based, great-tasting, shelf stable, convenient bar.

 

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