Helga's lower-carb bread, Old El Paso Stand ‘N Stuff tortillas, McCain’s Healthy Choice Frozen Ready Meals and Arnott’s Shapes Light & Crispy are a few of the small number of 'breakthrough' product launches with perceived staying power, according to Nielsen.
The research company's Breakthrough Innovation Report reveals the results of a review of 10,770 consumer products that were introduced to the market during 2014.
They were rated according to their distinctiveness, relevance, and endurance.
Nielsen assessed whether they delivered a new value proposition, generated a minimum of $4.5 million in annualised first year sales, and achieved at least 90 per cent of year-one sales in their second year.
The research indicated that 25 per cent of new products did not stay on the shelf after the first year of launch and today, 53 per cent of products on grocery shelves were launched in the last five years.
Throughout 2014, only 48 out of 10,770 product launches in the Australian grocery category were considered ‘breakthrough innovations’.
Nielsen's innovation practice leader Thais Gill said the report highlighted the importance of innovation in a competitive environment.
Gill said the breakthrough winners for 2016, which included the Helga’s, Old El Paso, McCain’s and Arnott’s innovations, succeeded because they solved a consumer challenge or struggle.
“For example, flat-bottomed shaped tacos were designed to address the mess involved in the process of making and eating tacos,” she said.
