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China Facts: The growth of microbrands is challenging the business of consumer goods

 

 

The growth of microbrands - or direct-to-consumer (DTC) brands - represents a profound shift in the consumer-goods sector. According to Nielsen, a consultancy, the biggest 25 food-and-beverage companies, for example, generated 45% of sales in the category in America but drove only 3% of the total growth in the industry between 2011 an 2015! A long tail of 20,000 companies below the top 100 produced half of all growth. Selling directly to consumers means that microbrands boast a wealth of data. Their giant rivals, by contrast, use data filtered by retailers. 

*) the Economist 10th November 2018

 

 

 

 

 

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Hans Henrik Pontoppidan
Secretary General, DCBF 
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