2008 New Product Pacesetters: The Role of Innovation in a Down Economy

MARCH 2009
EXECUTIVE OVERVIEW

IRI's Times & Trends highlights new developments and critical events across all major CPG categories and channels, providing powerful benchmarking data to help guide your strategic decisions. This edition of Times & Trends explores the most successful new CPG brands and the consumer benefits that have made them a success.

Introduction

The year 2008 will go down in history as the year the United States entered the most significant recession since World War II.

Even in good times, launching a successful new consumer packaged goods product is a daunting task. In a recessionary economy, new product successes are even harder to achieve.

IRI’s 14th Annual New Product Pacesetters report showcases the most successful new CPG brands for 2008.

These brands are truly remarkable for, to achieve Pacesetter status, new launches must exceed $7.5 million in year-one sales. Less than one-quarter of products actually achieve this benchmark. The products in this report overcame significant challenges in order to attain $7.5 million (or more) in year- one sales.

IRI New Product Pacesetters are best practice case studies in how to beat the new product odds.

Select Findings

Successful new food and beverage offerings brought the dine-out experience into the home in 2008. In the face of mounting financial pressures, away-from-home dining activity saw sharp declines in 2008. Products offering convenience, nutrition, and small indulgences are well represented among top food and beverage introductions.

Select chart to enlarge.

Top performers among non-food New Product Pacesetters share one of two powerful themes: self- care and improved performance. Consumers’ value equation has been changed by a slumping economy. Home-based self-care has intensified, and, across a range of non-food categories, innovation centers on improving the consumer experience.

Select chart to enlarge.

See the complete report in the " 2008 New Product Pacesetters: The Role of Innovation in a Down Economy" pdf.