CHALLENGING THE CHALLENGERS

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INITIALS IS PLEASED TO PRESENT CHALLENGING THE CHALLENGERS, THE FIRST IN A SERIES OF WHITE PAPERS THAT EXPLORE IMPORTANT INDUSTRY ISSUES. IF YOU ARE AN ESTABLISHED BRAND, THEN PLEASE READ ON…

Challenging The Challengers examines the rise of the challenger brand and the increased threat this presents to established brands, exploring what is driving this movement and the behaviours that are contributing to challenger success in winning over the consumer. It raises the question: ‘Do established brands need to start behaving differently?’ Going on to answer this with an unmitigated ‘yes they do’.

To start getting under the skin of this business-critical issue we commissioned quantitative research amongst over 1000 people who had recently switched from established brands to challenger brands across 8 categories: food, soft drinks, alcohol, household products, healthcare, toiletries, beauty, grooming products.

We gathered invaluable insights and used them to create a clearly defined picture of the threat posed by the Challenger, along with strategic pointers for survival and success as an established brand.

For the 10 key take-outs for brands to act upon please contact Abby Hartley - aha@initials.co.uk to request the full white paper. In the meantime, here is the reality:

5 HARSH TRUTHS:

1. Challengers are impacting all categories

After food (57%), some two fifths (39%) of consumers say they have switched to a challenger brand in toiletries, followed by alcohol (35%), beauty (34%), household products (32%), healthcare (31%), soft drinks (29%), and grooming products (28%).

2. The switch to challengers is likely to be permanent

44% say they intend to stick with the brand they’ve switched too.

3. Challengers are delivering to expectations

50% of respondents say challenger brands are seen to provide good value for money.

4. Higher consideration favours challenger brands

Especially true for food purchases, with over a half (60%) of shoppers saying that the more invested they are in a purchase the more likely they are to switch.

5. People recognise and respond positively to the Challenger mindset

People recognise and respond positively to the purpose and personality presented by Challengers – particularly younger consumers, aged 16-34.


Our report features quantitative research carried out in October 2018

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