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BIA-Brukerstyrt innovasjonsarena

LAUNCH: Data-driven insights to boost the success rate and lifetime of retail food and beverage products

Alternative title: LAUNCH: Data-drevet innsikt for å øke suksessraten og forlenge livssyklusen til matprodukter og drikke solgt til konsumenter

Awarded: NOK 5.8 mill.

Project Number:

332316

Project Period:

2022 - 2024

Funding received from:

Organisation:

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Foodback launched this innovation project to explore a set of novel methods to collect, monitor and analyze feedback to improve retail F&B product launches and developments. By using physical products to include an invitation to provide feedback, and applying a scientific approach both to consumer buying behavior and data science, the project developed a software solution to radically improve both the quantity and quality of feedback used for New Product Development (NPD) compared to existing state-of-the-art processes and data collection solutions. A main challenge in this project was to identify specific enough questions to give useful information that at the same time can be used on a wide range of retail F&B products. Striking the right balance to achieve both a high quantity and quality of the feedback was instrumental - as getting a lot of “thumbs up” or “thumbs down” is relatively easy - but not particularly informative. Furthermore, the project was addressing multiple challenges to transform subjective experiences into actionable data - and plays into the main drivers of the $bn 73 market research industry; speed, cost, quality and sustainability. The project fostered collaboration between academic institutions (UiS), FMCG producers (Q-Meieriene and Orkla Foods Norway), and technology providers (Foodback), resulting in an integrated approach to product development and management. These methods will help FMCG producers refine their products and strategies early, enhancing market competitiveness. Continued use of Foodback could reduce product failure rates, promote sustainable product management practices, and enhance consumer satisfaction, setting a new standard for consumer and brand engagement in the FMCG industry.

With a success rate as low as 10%, Foodback Launch addresses the challenge of high failure rates for new Fast-Moving Consumer Goods (FMCG) by leveraging expertise from the HORECA industry and building on Foodback's software. New features and question sets have been tailored specifically for FMCG. The aim of the project was to develop, test, and validate a novel software solution and data collection process to improve new product development (NPD) for FMCG, increasing both the quality and quantity of data obtained, and unlocking insights by analyzing feedback. The project successfully demonstrated its efficacy through pilot studies and academic partnerships. Key accomplishments include: - Successful pilot with Orkla's "Naturli" brand, achieving high response rates. - Collaboration with the University of Stavanger, which is writing a paper on the project and share the results at the International Conference on Culinary Arts and Sciences in June 2024 (ICCAS2024). The results will contribute to the research community, addressing a previously under-researched area. - Conducted a pilot with Q-Meieriene, resulting in over 45k responses. This enabled A/B/C tests on various QR code designs, impact of incentives, and survey setups, providing valuable insight. Focus group results showed that while consumers initially said they did not want to give feedback, preliminary results are promising. Though tests with Q products are not broad enough to draw definitive conclusions, the project demonstrated that consumers, when given the opportunity and platform, are eager to engage with products. This reveals a discrepancy between what consumers say and what they do, highlighting the potential for meaningful consumer involvement in product development. This engagement provides insights for developing new products and improving existing ones, contributing to a more sustainable portfolio. Project's preliminary success underscores the importance of consumer engagement and data-driven decision-making in creating products that meet market needs. Looking ahead, Foodback has the potential to foster a more sustainable and consumer-centric future in the FMCG industry. The intro of QR codes has refined traditional feedback mechanisms, making consumer interaction quicker and more accessible. The project collaborated between academic institutions, FMCG producers, and technology providers, resulting in an integrated approach to product development and management. These methods will help FMCG producers refine their products and strategies early, enhancing market competitiveness. Continued use of Foodback could reduce product failure rates, promote sustainable product management practices, and enhance consumer satisfaction, setting a new standard for consumer engagement in the FMCG industry. During the project AI technology has rapidly evolved. With models like ChatGPT, there are significant opportunities to build on this project to improve question formulation, analysis, and

The success rate for new product launches in the retail food and beverage (F&B) business is only around 10%. In Norway only, there are some 2,000 new F&B products launched every year, meaning that there is a significant waste of development and marketing efforts, as well as unnecessary carbon footprint. This is often blamed on poor products or weak market research, but is also in part because of the intransigence of consumer shopping habits. For consumers to repeatedly buy a new product, it has to satisfy a need that is not currently met, or satisfy a need better than alternatives on the market. Even small mistakes in packaging, serving size or taste profile can make the difference between success and failure. Understanding exactly why products fail or gain traction can at times be difficult to ascertain. Getting ample, high quality and timely feedback from consumers can help manufacturers make the necessary adjustments, as well as provide learnings for future New Product Development (NPD). An increasing move towards online retail F&B shopping is also creating new dynamics that are likely to make it harder for new products to be noticed. Working to enable data-driven improvements, Foodback is on a mission to unlock insights and identify hidden business opportunities. Based on a collaboration with Q-Meieriene, the innovation project will explore a set of novel methods to collect, monitor and analyze feedback to improve retail F&B product launches and developments. Organic and healthy diets for more nutritious, low-calorie and low carbon footprint food products will be targeted in particular. By using physical products to include an invitation to provide feedback, and applying a scientific approach both to consumer buying behavior and data science, the project will develop a software solution to radically improve both the quantity and quality of feedback used for NPD compared to existing state-of-the-art processes and data collection solutions.

Funding scheme:

BIA-Brukerstyrt innovasjonsarena