Formulation Innovation: How CPG Companies Can Use Digital Tools to Capitalize on Current Trends
We’ve previously discussed how consumer packaged goods (CPG) companies need to adapt to shifting demographics to stay viable in today’s consumer market. The big question, however, is how. What trends can they take advantage of and use as inspiration for product innovation?
Biggest Trends in Current Consumer-Packaged Goods
Our current on-the-go lifestyle prioritizes individuality and portability. When looking for areas to innovate, CPG companies can keep the following traits in mind:
- Convenience: Today’s consumers are looking for low-effort products with quick benefits. They want items that will save them time while also providing multiple benefits at once. This sounds like a tall order. It’s not impossible, however. Look at the personal care product market. All-in-one shampoos and complete care toothpastes are increasingly popular among consumers.1
- Portability: If you’re constantly on-the-go, you want products you can take with you with little fuss and mess. For example, breakfast may be the most important meal of the day but sometimes you just don’t have time to prepare it, let alone sit down and eat it. That’s where offerings like bottled breakfast shakes or yogurt in a tube come in.
- Health: At the same time, today’s consumers aren’t willing to give up everything for convenience and portability. Thanks to greater awareness, today’s buyers are interested healthy benefits, too. They want products that are good for them and contain all-natural ingredients.
- Eco-Friendly: More than ever, people are aware of the environmental footprint we leave on the planet. As a result, they’re looking to buy from CPG companies that follow sustainable processes. They also want increased transparency in terms of labeling and ingredient sourcing. Both of these things go a long way to build consumer trust.
- Specialization: Most of all, today’s buyers aren’t interested in a one-size-fits-all approach. They want products that suit their specific needs and lifestyles. Consider the vast array of hair care products.2 There are shampoos and conditioners for every hair type. Dry, damaged, thin, frizzy—the list goes on and on. There are even product lines that cater toward individuals preferring organic ingredients! This type of specific targeting boosts consumer confidence by giving the opportunity to make individualized choices.
Digital Tools Can Help CPG Companies Create Innovative Formulations
Regardless of the trend, consumers want products that accomplish their intended purpose quickly, easily and effectively.3 Keeping this in mind, CPG companies can streamline their formulation development process with the use of digital tools.
When it comes to choosing the best digital tools to support R&D innovation, CPG companies should look for:
- Tools that allows for fast and easy data access and information sharing.
- Tools that ensure data compliance.
- Tools that support increased testing and a faster development cycle.
One digital suite we recommend for CPG companies is the BIOVIA Formulation Development Solution for CPG. This set of tools embodies BIOVIA’s main goal to support the laboratory transition from paper-dependent to digital, thus maximizing efficiency.
- Through digital management, past experiments can be easily accessed and shared among collaborators regardless of location. Since past information is readily available, the need for duplicate testing can be eliminated, saving time, effort, and money.
- Through automation, the time spent by researchers can be applied to other, more productive areas. In addition, experiment status can be tracked at all times to ensure an R&D cycle remains on its timeline.
- Through effective chemical management, laboratories can keep a handle on the materials in their inventory from receipt to disposal. This ensures regulatory compliance. In addition, it helps people know when they need new materials for formulation development.
Is your CPG firm looking for a digital solution to maximize efficiency in its R&D laboratory in order to capitalize on current trends? Please contact us today to learn more.
- “6 Trends That Are Driving CPG Innovation,” July 2, 2015, http://www.mediapost.com/publications/article/253201/6-trends-that-are-driving-cpg-innovation.html ↩
- “The bespoking and personalization of hair care,” August 5, 2015, http://www.cosmeticsdesign.com/Market-Trends/The-bespoking-and-personalization-of-hair-care ↩
- “8 tips for successfully launching innovative CPG products that break through the clutter,” June 25, 2015, http://www.foodnavigator-usa.com/Manufacturers/8-tips-for-successfully-launching-innovative-CPG-products ↩