IRI’s Approach to Developing a Robust Demand Portfolio Strategy Provides
a Sustainable Competitive Advantage
CHICAGO–(BUSINESS WIRE)–IRI®, the global leader in innovative solutions and services
for consumer, retail, media and over-the-counter health care companies,
published today insights that revealed short- and long-term growth
opportunities for consumer packaged goods companies by identifying and
capitalizing on dynamic consumer trends, particularly those that can
command a premium in a particular niche. The IRI Point of View, “Winning
the CPG Zero-Sum Game by Uncovering Hidden Growth Pockets,” details
three potential key strategies — “Buy, Borrow and Build” — for
participation in category sub-segments of rapid growth.
“How a company decides to participate in selected growth pockets is
highly dependent on overall strategy, existing core competencies, risk
appetite and merger and acquisition budget,” said Jamil Satchu, partner
and practice leader of Growth Consulting for IRI Strategic Analytics.
“Ultimately, the level of attractiveness of a growth pocket will depend
on an assessment of external variables, as well as target candidate
internal assessment variables.”
IRI identifies three potential key strategies for participation in
growth pockets that are significantly outperforming other segments:
1. Acquisition: “Buy” into them
How the company decides to absorb its acquisition can vary from “full
integration” of the target’s capabilities into the organization
(changing the target’s brand to that of the company’s), allowing
complete independence of the target’s operations (letting it continue
to grow organically but under new ownership).
2. Renovation: ”Borrow” ideas and inspiration
A company may seek to learn from a target candidate to renovate its
3. Innovation: “Build” them
A company can choose to build the capabilities directly and thus gain
participation into the growth pocket.
Developing a proactive approach to growth is a winning approach. CPG
marketers require a proactive, fact-based method to view tired,
commoditized categories in a new light to best acquire actionable
insight into what drives growth to win with growth pockets.
IRI Growth Consulting has vast experience in successfully partnering
with leading CPG manufacturers in leveraging this proactive path to
growth. Companies are now able to follow a distinct demand portfolio
strategy that will help identify acquisition and inspiration targets
through growth platforms. Winning with growth pockets matters, as an
accurate understanding of actionable growth opportunities may lead to
“Clearly and accurately defining the universe from which pockets of
growth will be derived is critical,” said Connie Chang, principal of
Growth Consulting for IRI Strategic Analytics. “If the scope is too
narrow, it renders the effort myopic. If the scope is too broad, it
becomes difficult to implement and access due to organizational dynamics
and the buy-in necessary to creatively pursue adjacencies.”
To download the full POV, please click here.
About the IRI Partner Ecosystem
IRI fundamentally believes that delivering differentiated growth for
clients requires deep, highly integrated partnering with a variety of
best-of-breed companies. As such, IRI works closely with a broad range
of industry leaders to create innovative joint solutions, services and
access to capabilities to help its clients more effectively compete in
their various markets and exceed their growth objectives. IRI is
committed to its partnership philosophy and continues to actively
enhance its ecosystem of partners through alliances, joint ventures,
acquisitions and affiliations. The IRI Partner Ecosystem includes such
companies as Adobe, The Boston Consulting Group, comScore,
Experian, GfK, Gigwalk, Ipsos, Kantar Shopcom, MasterCard Advisors,
MaxPoint, Millward Brown Digital, Mu Sigma, Oracle, PlaceIQ, Research
Now, SPINS, Survey Sampling International, Univision and others.
IRI is a leading provider of big data, predictive analytics and
forward-looking insights that help CPG, OTC health care organizations,
retailers and media companies to grow their businesses. With the largest
repository of purchase, media, social, causal and loyalty data, all
integrated on an on-demand, cloud-based technology platform, IRI helps
to guide its more than 5,000 clients around the world in their quests to
remain relentlessly relevant, capture market share, connect with
consumers and deliver market-leading growth. A confluence of major
external events — a revolution in consumer buying, big data coming into
its own, advanced analytics and automated consumer activation — is
leading to a seismic shift in drivers of success in all industries.
Ensure your business can leverage data at www.IRIworldwide.com.