What happens next, after this period of inflation?
What happens next, after this period of inflation? Looking first at big brands, they are not immune to periods of uncertainty. And importantly, share loss is difficult to recover even when the environment improves
Number 1 brand shares are resilient in the long term during and following periods of uncertainty
Over 14 years and on average across categories, the share taken by the biggest brand in each year doesn’t decline when times are tough or increase when things improve.
Number 1 brands are not immune to long term decline
The biggest brands do not always remain the biggest. Just 70% of the No.1 brands in 2008 were still number one in 2021 and their share had dropped nearly 3% points. Big brands can and do lose share not solely when times are tough – and the share loss is not recovered.
Private label is a factor when big brands lose share
PL share growth impacts all brands including the biggest. Continued investment to maintain and build the brand is important all the time – or face long term loss.
