One third of brands launched in 2022 disappeared from the market by 2023: Euromonitor International

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Apr 30, 2024, 10:54 ET

Euromonitor International's new AI-powered Passport Innovation platform tracked new brand launches by country, retailer and category, from 2021 to identify how new products proliferate or get discontinued
Passport Innovation monitors 54 disruptive fast moving consumer goods categories across 32 countries and can tell if new brands are failing or succeeding

LONDON, April 30, 2024 /PRNewswire/ -- Nearly one third of brands launched in 2022 were discontinued by the end of 2023, revealed market research company E uromonitor International.

The findings came from Euromonitor International's new artificial intelligence (AI) powered Passport Innovation platform, which monitors e-commerce data and tracks the product lifecycles of newly launched brands across markets and online retailers to inform decision-making on product innovation.

4000 new brands were launched in just 2023, finds Euromonitor Passport Innovation

In 2023, Euromonitor detected more than 4,000 new brand launches and over 33,000 new sub-brand launches across the 32 global markets, 50 categories and online-retailers on its radar.

From 2021 to 2023, analysts watched more than 11,000 new brands and some 105,000 sub-brands launch on to the global market. Most new launches were line extensions for brands, with almost 3,000 new sub-brands on average launching each month.

Overall, Euromonitor analysts identified that there is a less than 60% chance new products will survive in the market in the long term.

The US dominates product innovation launches catering for vast population and high disposable incomes

The super six countries of product innovation - the US, Germany, India, France, Brazil, and the UK - contributed to more than 50% of all new brands and sub-brands identified by Euromonitor's Passport Innovation platform in 2023.

The US dominated innovation activity in 2023, with 16% of all detected new brands and sub-brands in 2023, followed by Germany with 9%.

With its vast and varied population and significant disposable income, the US stands out as a prime market for testing new products before expanding into others. It offers attractive opportunities for companies seeking to gauge product viability and consumer interest.

Passport Innovation reveals 'roll-out to phase-out' product information

Euromonitor International's Passport Innovation product will equip businesses with the unrivalled ability to track a product's lifecycle from roll-out to phase-out with real time information. The artificial intelligence-powered (AI) database will empower businesses to identify and track new brand and sub-brand launches from January 2021 onwards.

The categories covered are drinks including hot, alcoholic, and soft drinks; food and nutrition including packaged food; health and beauty including consumer health, beauty and personal care, and tissues and hygiene; and home products covering home care and pet foods.

Brad Borgman, Chief Innovation Officer at Euromonitor International, said: "We have been investing in large language models and have developed a state-of-the art database that identifies and tracks new product launches with unprecedented speed. It is a unique platform where companies can learn how these new products proliferate across retailers, countries, categories and see how they evolve in terms of attributes.

"Businesses will also be able to gain unparalleled insight into consumer purchasing preferences and assess how brands are responding. We can provide detailed answers to questions on product attributes and features, brand expansion and decline, markets with most new product launches and timings, product testing, and the players in the market that most frequently launch brands."

Stella Vatcheva, Senior Head of Practice for Innovation at Euromonitor International, said: "This is the only NPD platform that exclusively monitors e-commerce data, where most products are likely to launch first. Our Passport Innovation clients will be the first to know which new brands are failing or succeeding, with up-to-date information on whether a new product is expanding or being dropped by e-retailers. They will be able to visualise a new product's evolution over time, with detailed summaries of attributes and positioning."

For more information visit Euromonitor International's Passport Innovation platform hub.

NOTES TO THE EDITOR

Euromonitor's Passport Innovation platform includes:

Extensive monitoring of 54 disruptive consumer goods categories and sub-categories across 32 countries
- Countries covered include Australia, Brazil, Canada, France, Germany, India, Italy, Mexico, Poland, Spain, United Kingdom, United States of America, United Arab Emirates and Singapore.
- Industries include 27 categories across Food and Beverage including Soft Drinks, Hot Drinks, Alcoholic Drinks, Packaged Foods and Pet Food plus 27 categories across Beauty, Health and Home including Consumer Health, Beauty and Personal Care Home Care, Tissues and Hygiene
Searchable database of new brands and sub-brands alongside attributes and availability
Machine Learning models that interrogate the data to identify when brands and sub-brands are seen for the first time on retailers' digital shelf
The only New Product Development platform that exclusively monitors e-commerce data where most products are likely to launch first