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IRI spotlights top CPG launches in 2016

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CHICAGO — IRI has announced the most successful consumer packaged goods launches in 2016.

The IRI 2016 New Product Pacesetters report, released Monday, said thousands of new brands hit retail shelves last year, with 80% of the top-ranking brands from small and midsize manufacturers and accounting for 64% of dollar sales in the study.

Overall, the top-selling 200 new brands captured cumulative year-one sales of more than $5.8 billion across IRI’s multi-outlet geography, according to the study, an industry-recognized benchmark analysis of exceptional first-year CPG sales success for newly launched products.

The 100 top-performing nonfood brands tallied median year-one dollar sales of $17.6 million. In 2016, the top 10 nonfood brands by total year-one dollar sales (multi-outlet) were the following:

1. GSK Consumer Healthcare’s Flonase ($316.3 million)
2. Gillette Fusion ProShield ($144.9 million)
3. Garnier SkinActive ($117.5 million)
4. Tide Pods Plus Febreze ($87.3 million)
5. Crest Pro-Health Advanced ($80.1 million)
6. The Pioneer Woman Collection ($79.1 million)
7. Persil ProClean ($63.2 million)
8. Cesar Home Delights ($45.2 million)
9. Tampax Pocket Pearl ($41.9 million)
10. Old Spice Fresher Collection ($39.0 million)

Among nonfood items, health care products saw a decline in its number of Pacesetter-earning brands in 2016, but the average launch size increased, IRI noted. The jump in average dollars earned in year one was fueled by the over-the-counter transition of GSK Consumer Healthcare’s Flonase allergy relief spray, which posted sales of over $316 million in its first OTC year. Excluding Flonase, the average year-one dollar sales for new health care launches fell by nearly 60%, due to the presence of several more targeted new product launches, the report said.

IRI 2016 New Product Pacesetters_nonfood

Source: IRI 2016 New Product Pacesetters

Consumers want products that nourish from the inside out and contain exciting or relaxing ingredients, and fun new product forms increase enjoyment and personalization, according to IRI. Top-launching skin care brand Garnier SkinActive, for example, offers a range of skin care products developed to simplify skin care and actively make skin look fresh and healthy, no matter the skin type, the market researcher said. The brand’s website offers a quick-search feature that helps consumers pinpoint the right product and also offers guidance on developing the ideal personalized skin care routine.

“The top product launches of 2016 highlight the three P’s of successful innovation: prevention, personalization and pizzazz,” stated Susan Viamari, vice president of thought leadership for IRI. “Each plays an essential role in driving awareness and engagement in today’s marketplace. Personalization is perhaps the most talked about, and desired, phenomenon in marketing today. Keying in on consumer preferences is critical because of the sheer volume of information in front of people at any given time. Products that are delivering small and powerfully targeted solutions that grab consumers’ attention and make them feel and look great are resonating and making a huge impact.”

For the 100 top-performing food and beverage brands in 2016, median year-one dollar sales were $11.4 million, down from $19.6 million in 2015. Prevention played a key role in driving the success of these top-performing products as consumers turn to CPGs for help in meeting their nutritional goals, IRI reported.

The top 10 food and beverage brands by total year-one dollar sales (multi-outlet) were the following:

1. DairyPure ($1.16 billion)
2. Dunkin’ Donuts K-Cups ($204.1 million)
3. Not Your Father’s Root Beer ($114.6 million)
4. Oreo Thins ($110.2 million)
5. Artesano ($102.4 million)
6. Screamin’ Sicilian ($73.2 million)
7. Oscar Mayer Natural ($61.7 million)
8. DairyPure Creamers ($54.9 million)
9. Sargento Balanced Breaks ($54.2 million)
10. Henry’s Hard Soda($50.3 million)

In consumables, shoppers want fresh, unprocessed and simple foods made with ingredients that they can understand, since nutrition has become a first line of defense for well-being, IRI said. The company noted that 40% of consumers recognize that being healthy starts with lifestyle, and as a result they are reading labels, seeking products with fewer ingredients and turning to natural, organic and superfoods that can boost nutritional impact.

Antibiotic-free foods (ABF) are rising in popularity, particularly in meat, poultry and dairy products. DairyPure, the top-selling beverage launch of the year, is an example of an ABF solution that is has caught on. Consumed by 42% of U.S. households, DairyPure is the result of a consolidation of a number of regional brands. To ensure consistency and purity, regional dairies are required to meet stringent sourcing, processing and testing processes.

Meanwhile, the sweet snacks segment is offering attractive new options in indulgence, according to IRI. While there were only four sweet snack Pacesetter brands this year, down from seven in 2015, some of the brands made a splash by providing indulgence with a healthier-for-you twist. For instance, Nabisco introduced Oreo Thins, a light, new twist on a classic cookie, combining traditional Oreo flavor into a new cookie with a crispier texture, less crumbs and fewer calories, the researcher said

“Technology and know-how are allowing CPG marketers to not only understand consumer needs and wants, but also to respond to them more effectively than ever before,” observed Larry Levin, executive vice president of consumer and shopper marketing for IRI. “As a result, average year-one dollar sales from even the most impactful new product launches are continuing to decline, a trend we noted in Pacesetters during the last couple years. Certainly, mega launches surpassing $100 million are still occurring, but the brands in the middle of the pack are getting the squeeze as smaller, more targeted brands are capturing a growing share of Pacesetter sales.”

In the convenience store secotr, median year-one sales across the top 10 IRI New Product Pacesetters hit $23.4 million, which IRI said illustrates the push behind consumers’ pursuit of both healthy and indulgent personalized experiences.

The top 10 convenience store brands by total year-one dollar sales were the following:

1. DairyPure ($385.9 million)
2. Red Bull The Summer Edition ($149.0 million)
3. Quest Bar ($78.4 million)
4. Nut Harvest ($60.2 million)
5. BodyArmour ($55.0 million)
6. Rockstar Boom! ($53.3 million)
7. Rockstar Freeze ($51.7 million)
8. Not Your Father’s Root Beer ($44.2 million)
9. Monster Energy Ultra Black ($39.5 million)
10. AMP Energy Zero ($25.0 million)

Four energy drinks made the top-10 ranking, reflecting U.S. shopper demand for energy-packed solutions that can be consumed on the go, according to IRI. New energy launches provide an array of flavor experiences, but there are several new options for those seeking healthier alternatives, such as Monster Energy Ultra Black, which is light and refreshing, with no calories and no sugar. Similarly, AMP Energy Zero packs lots of flavor but has no calories.

“A 360-degree approach to health and wellness is yet again expanding the competitive set for food and beverage and non-food consumer packaged goods,” added Viamari. “Marketers must adopt a solution-oriented mind-set and keep in mind that the consumer is in charge. The key is to educate and draw interest in a product with a powerful and personal marketing story, rather than just throwing a product out there and expecting the shopper to come.”


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