Garnier, BioFreeeze Top New Products of 2017, Says IRI

IRI has announced last year’s most successful consumer packaged goods launches in its 2017 New Product Pacesetters report, the CPG industry-recognized benchmark analysis of exceptional first-year new product sales success. Thousands of new brands hit retail shelves during 2017, with 49 percent of the top-ranking brands hailing from small manufacturers — defined as those earning less than $1 billion annually—and accounting for 26 percent of Pacesetter dollars. Overall, the top-selling 200 new brands captured cumulative year-one sales of more than $4.6 billion across IRI’s multi-outlet geography.

For non-food brands, L'Oréal's Garnier Whole Blends took the top spot at $121.8 million, while Biofreeze ($78.1 million) and Herbal Essences Bio:Renew ($74.7 million) came in second and third place.
 
2017 New Product Pacesetters/Top 10 Non-Food Brands ($ Millions)
(Total Year-One Dollar Sales, Multi-Outlet)
1. Garnier Whole Blends $121.8
2. Biofreeze $78.1
3. Herbal Essences Bio:Renew $74.7
4. Red Copper $53.1
5. Tide Simply Plus Oxi  $52.1
6. Select by Calphalon $44.4
7. Simply Straight $44.4
8. Copper Chef $42.7
9. Maui Moisture $40.2
10. all POWERCORE Pacs $36.8
Source: IRI Market Advantage™
 
“Consumers are demanding products that are customized to their needs, and this type of targeted innovation continues to put small and niche companies on the New Product Pacesetter map,” said Susan Viamari, vice president of thought leadership for IRI. “Just five years ago, an estimated nine out of every 10 Pacesetters launched were extensions of existing brand lines. In 2017, 40% of food and beverage and 25 percent of non-food Pacesetters were brands entirely new to the CPG marketplace. This clearly demonstrates consumers’ willingness to try ‘unknown’ brands. Millennials, in particular, are more moved by experiences and solutions to their needs and less likely to purchase based solely on brand name.”

“Smaller, more targeted product launches have become the new norm in CPG aisles, as manufacturers look to enhance impact with launches that align more closely with key consumer needs and wants,” added Larry Levin, executive vice president of consumer and shopper marketing for IRI. “In a testament to the power of this shift, 20 percent of this year’s top-selling launches earned less than $10 million during their first year on the shelves, continuing a trend we found in last year’s analysis.”
 
It’s no surprise that millennials are eager adopters of new CPG products. This group, after all, is continuously on the lookout for new, exciting and unique experiences. This quest for newness is pushing innovation into new territory. 
 
While frugal, millennials will spend on things that matter to them. Of the 20 largest 2017 Pacesetter brands, 85% command a price premium compared to their respective category averages. PepsiCo’s LIFEWTR, for instance, sells at a significant premium compared to other convenience/still waters. The brand hit strong in the market as a purified water, pH-balanced with electrolytes added for taste. 
 
Millennials are also embracing wellness and self-care to ward off ailments. Campbell’s Well Yes! soup easily meets this demand because it features clean, simple and nutritious ingredients to make healthy eating quick and easy.  
 
IRI is currentlt holding its Growth Summit 2018 this week in Las Vegas. The Happi staff is on site, and will provide reports after the event.