How Challenger Brands Can Compete Against The Big Guys

In FMCG, the big brands dominate the shelves and the visibility. They have the budgets, the relationships and heritage. But consumers are always open to disruption. That’s where challenger brands come in. They don’t just survive in the shadow of the big guys, they thrive. Here is some practical advice on how challenger brands can compete and win:

Know your Why:

Big FMCG players have scale. Challenger brands win by having a clear WHY. Whether it’s sustainability, health, local sourcing or something about the product that’s unique, having a mission or reason for being that resonates with consumers, builds loyalty that big budgets can’t buy.

Move with Speed:

Large corporates move slowly. There are layers of bureaucracy and multiple decision makers. This slows things down and the market in FMCG moves quickly. That’s how challengers win. By being able to test, fail and pivot quickly and jump on trends while they’re still relevant.

Know your audience:

One of the biggest mistakes small brands can make is trying to be everything to everyone. Challenger brands can win by knowing their target consumer better than anyone else and offering something noone else can or will. That means understanding who they are, what they care about, how you solve their pain points and create products they won’t just buy, they’ll advocate for.

Nail your pack design:

The biggest marketing tool at challenger brands’ disposal, particularly when budgets are tight is the pack design. Shelf space is crowded. Consumers make decisions in seconds. A challenger brand can stand out with bold packaging, clear messaging and a memorable user experience.

Decide where you want to play:

Brands always want to be in traditional retail. This isn’t impossible with the right proposition but it’s not right for everyone. Challengers can win by being smart about routes to market. Smaller players can meet customers where they are, without waiting for supermarket buyers to give you a meeting.

Collaborate:

Challenger brands can punch above their weight by collaborating with infleuncers, like minded brands or even local communities. Collaborations can give access to audiences and credibility without the big ad spend.

Measure what matters:

Don’t forget about data. Data is a challenger brands’ best friend and it doesn’t have to break the bank. By picking the metrics that matter and tracking them, challenger brands can quickly know what’s working and what isn’t and can adapt accordingly.

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