Research from Accenture shows big consumer brands how to beat local competition.
Emerging markets like China, India, Brazil and Indonesia were previously powerhouses for large consumer goods companies but their market share has been falling, despite these markets growing overall.
In 2017, 75% of the top 3 brands in the countries and categories studied were small, local or new brands. Their advantage seems to be an ability to launch highly targeted products founded on local insight and research, and distribute them quickly and effectively.
To respond, global companies need to include smaller, locally focussed products in their portfolios. They should embrace faster launches and accept the increased failure rates and shorter lifecycles that come with it. Finally, local teams should be empowered to generate ideas or fresh approaches should be adopted through M&A if necessary, then leveraged with global resources.
[8 minute read; article may be behind a paywall]