The building of the value of brands and food and drink companies enters the home
What is the tension?
We are used to thinking that creating value for most food and drink categories occurs in environments and experiences outside the home. But this isn’t the case. The addition of factors derived from the pandemic has redefined the role of our home into building value for brands and companies.
This new reality invites you to discover different business opportunities for brands that know how to understand in depth what is happening inside homes, what the new needs are, how the dividing line between OOH (out of home) and AH (at home) are becoming blurred, and how it can be relevant and differential by resolving this new economic tension.
Similarly, the OOH world faces the enormous challenge of ensuring that it is capable of being relevant and of finding opportunities to develop its value proposition in proposals that cannot be replicated or improved at home. It has never been more important for brands to find the levers necessary for consumers to leave the home and spend.
What do we need to know?
From our experience, we can propose a strategy that takes into consideration four factors that will allow us to understand and contribute in a space where the products and experiences presented can bring enormous differentiation and relevance, or, on the contrary, may not fit in with what the consumer demands and expects today:
- Question: stop thinking about dualities. The home and outside the home share and have more things in common than before, and the value is built in their dialogue. ‘Synergise’ what each one provides when defining the value proposition.
- Study: understand the home context and its multiple layers and needs in depth. Know what uses are maintained, which are transformed and what new realities are affecting households.
- Act: assign an ambition that guides the reorganisation of portfolios and brand architectures, propose new segmentations and build an innovation pipeline that does not trust the OOH’s ability to create the value that justifies the price we pay to replicate the home experience.
- Monitor: continue to evolve in the same way as households. Don’t stop studying the relationships and experiences they have with our consumers and continue to act accordingly.
Who can we learn from?
- Oatly: a lifestyle brand of vegetable drinks that no longer discriminates between the home and outside of the home to build legitimacy and value.
- Karma Drinks: adults’ soft drinks brand that builds a value proposition that works equally in all spaces by capitalising on contemporary emotions, which connect independently of the channel.