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How to be a Disruptive Brand

Zandi Brehmer Profile Picture
Zandi Brehmer Bio
Sarah Boumphrey Profile Picture
Sarah Boumphrey Bio

The pace of change is faster than ever and will only increase as technology and consumer behaviour continue to develop. Disruption is the new norm, challenging established global brands to stay ahead of the curve. Low barriers to market entry combined with new consumer pain points and delivery systems create equal opportunity for incumbents, insurgents and local brands to reinvent consumer markets.

Euromonitor’s Renovation → Innovation → Disruption framework illustrates how businesses execute change, with varying impact on their markets. It enables companies to accurately assess the threat posed by competitors and create opportunities to drive growth. While disruption is a new focus for many companies, renovation and innovation are still equally critical components to a growth strategy.

Defining renovation, innovation and disruption

The main purpose of renovation is to re-establish the brand within the category, ensuring relevance in the minds of consumers and protecting or stealing share from competitors. Gains are often incremental but can have a huge impact on sales and brand share. Renovation strategies include restaging pricing and launching new pack sizes.

More transformational than renovation, innovation leads to the creation of new sub-categories and brings new consumers to the category. Innovation strategies include introducing distinct new formats and creating new consumer sub-segments.

True disruption goes a step further and leads to the creation of entirely new categories or markets. For a company to disrupt they must focus on four areas: reconceptualising the market, consumer-centricity, engagement and leading fearlessly.

How do companies renovate, innovate and ultimately disrupt?

Leaders harness megatrends to disrupt a market. It is becoming increasingly difficult to keep up with competitors as technology spurs both the rate of and access to innovation. Amidst this change, it is difficult for companies to understand why industries are evolving in the way they are today, much less predict how they will evolve into the future. Megatrend analysis allows companies to build a long-term strategy that is proactive, rather than reactive, making sense of where they stand today, but also ensuring they have a plan to remain relevant moving forward.

Strategies for success

To identify and execute successful renovation, innovation and disruption ideas, companies must constantly focus on the key drivers and influencers of the business. The most successful companies simultaneously go deeper in getting to know their consumers, and wider in seeking inspiration from adjacent industries and categories, to find opportunities for growth, even in areas where growth appears impossible.

Download our white paper, How to Be a Disruptive Brand: Reinventing Consumer Markets, to identify new ways to evolve your business model and product.

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