BrandZ Global 2021 report claims consumers sought out “familiar brands” for security and comfort
According to research giant Kantar’s most recent report, major FMCG companies have regained consumers’ trust, as established brands were favoured over challenger brands in 2020.
Cola-Cola, Redbull, Nespresso, Kinder and Oreo were among those that secured a place in the Kantar BrandZ’ 2021 Most Valuable Global Brands food and beverage rankings.
The document says consumers largely sought out well-known brands over D2C challenger products in 2020, as big corporates were able to leverage their economies of scale to maintain stock amid panic buying and frate disruptions brought about by Covid-19.
Additionally, consumers looked to these brands for security and familiarity as food became one of very few methods of escapism during Covid-19 lockdowns in 2020.
The pandemic forced many corporates to rethink their business strategies and scale back their offerings to offset losses in foodservice and higher admin costs.
Coca-Cola chose to cut 200 (half) of its beverage brands in October 2020, in an effort to focus on its most popular products and a small selection of new launches.
Interestingly, the report suggests innovation in wellness and healthier food and beverage options among global brands will focus on lower-sugar options, vitamin C fortification and higher-protein products, in the near and medium term.
It also highlights the value of social responsibility among big brands, noting that genuine marketing campaigns surrounding cultural issues helped boost some brands’ reputations.
“Sprite not only produced a well-received marketing campaign expressing support for Black Lives Matter, but they also donated significant monetary investments, both to social justice initiatives and local community artists and creators,” Kantar VP clients leadership Daniel Currier wrote.
Looking ahead, brands are urged to consider how to better suit their products and packaging to D2C delivery options.
Global brands should localise marketing messaging and offer up authentic insights into their role in local communities.
Kantar Brandz food and beverage rankings:
- 1. Coca-Cola
- 2. Redbull
- 3. Yili
- 4. Haitian
- 5. Pepsi
- 6. Diet Coke
- 7. Lay’s
- 8. Nespresso
- 9. Lipton
- 10. Nescafe
- 11. Kinder
- 12. Mengniu
- 13. Lindt
- 14. Monster
- 15. Fanta
- 16. Tropicana
- 17. Oreo
- 18. Sprite
- 19. Shuanghui
- 20. Gatorade
Date published: 21 June 2021