Big brands are searching new packaging ways to sustain craft brands in the market with new and innovative products and packaging standards.
Digital packaging tools helps big brands to resurface with smooth product launches across the entire packaging ecosystem with improved design and communication system. According to a study published in the Financial Times article, Bain & Co. in October 2018, bigger brands such as Goliath performed badly as compared to smaller industries during 2012 to 2016. Goliath FMCG companies received 7.7% growth from 2006 to 2011, but only 0.7% growth from 2012 to 2016.
Moreover, the new product innovations launched in the market are unable to sustain for long due to various factors. For instance, according to a New Product Innovation Report, Nielsen stated that, of over 60,000 new stock-keeping units (SKUs) introduced in Europe in the last few years, just over half (55%) survived 26 weeks.
Craft brands are increasing its popularity as it maintains in providing according to consumer expectations and follows a dedicated influence towards creating the product as per the desired requirement. It deals in providing innovative products and markets its products quickly in the market. Moreover, it has also facilities of providing its products online, thus increasing its visibility in the market.
Despite the popularity of craft brand, consumers still prefer products from familiar named brands due to a sense of attachment and trust. According to Nielsen, 57% of consumers in developed markets say they prefer to buy new products from brands familiar to them. Therefore, the chances for survival of big brands are still high.