Who rules the portfolio animal kingdom?

Posted by Oliver Koll on Dec 03, 2021

Brand portfolios come in many shapes and sizes.
To try and provide some structure we have distinguished between five types of players competing in a specific category:

  • Large predators are single brand players which reach 10% of a category’s buyers.
  • Small predators are single brand players which do not reach 10% of a category’s buyers.
  • Prides are multi-brand portfolios where one brand crosses this 10% threshold, but all other brands are substantially smaller (less than half of the largest brand’s reach).
  • Pairs compete with a portfolio that contains two rather big brands (one needs to achieve 10% relative penetration with another one reaching at least half that many buyers).
  • Packs are multi-brand portfolios of which none reaches 10% of category buyers.

While the single-brand portfolios dominate in number (about two thirds of all manufacturers across ten European markets compete with one brand only), the majority of sales goes to multi-brand portfolios. Pairs, for example, are a rare species (only about 3% of all manufacturers compete with a pair) in both Germany and the UK, but they capture a large part of the prey: 20% of branded FMCG sales in Germany and 28% in the UK.

 

Data source: NB sales by top 30 manufacturers in 90 categories in 2019.