Kraft Heinz is suffering from a number of self-inflicted wounds, from underinvestment in its brands to a failure to adapt its portfolio to modern tastes, leading to a parlous financial situation.
By Mark Ritson
The biggest direct-to-consumer brands still only achieve around half the search volume of established competitors, according to exclusive data from Google, but the fastest risers are catching up quickly.
The number of direct-to-consumer brands is ballooning, as are predictions of the traditional FMCG sector’s demise, yet people underestimate the resilience and capability of the established giants.
FMCG firms are using their brand equity to up prices, but in a tough consumer economy, will it win or lose them revenue?
M&S has highlighted its brand and product proposition, personalisation and data, and modernising its store estate and supply chain as key focus areas for the next two years.
By working up to investing in brand building – rather than adhering to the 60:40 rule – are small businesses on the road to success or setting themselves up to fail?
Addressing marketing’s lack of socio-economic diversity could be the key to creating a more inclusive industry in general. However, making a difference starts with taking practical steps.
It takes courage to challenge the status quo and drive change but marketers are increasingly bowing to the pressure of the C-suite, which needs to stop.