Last year, almost 13,600 new consumer products were introduced in the Latvian retail sector, according to a study conducted by the market research company NielsenIQ.
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According to Ilona Leppa, Managing Director of NielsenIQ Baltics, the non-standard situation – a pandemic – initially raised concerns about whether manufacturers will be willing to take risks and devote any efforts to developing, introducing and offering new products to consumers, but despite challenges, 13,600 new consumer products.
According to the survey, last year the turnover of consumer products in Lithuania and Latvia increased by 3.7%, in Estonia by 2.8%, while the gross domestic product decreased in all three Baltic countries. “A large number of consumers during this time have been careful and have devoted financial resources only to basic necessities and services,” the company explained.
At the same time, the company noted that the development and introduction of new products during the pandemic faced various challenges, and although the number of new products and their market share in Latvia decreased in all categories except alcohol, the number of new products increased by 3%.
NielsenIQ also analyzed sales data and consumer feedback for the new product, which hit the domestic market last year. The results have shown that the most successful new product in Latvia in 2020 was chicken eggs laid in “APF Holdings” “Oluksne” barn, while “Jaunpils” sour cream butter “Zelta” took the second place, but in the third place “Food Unionice cream in “Paul” cookie.
At the same time, the research data show that “Unilever’s” vanilla ice cream “Baltija” became the most popular innovation in the neighboring country of Lithuania, while in Estonia it was “A. Le Coq” unfiltered light beer.
The company explained that NielsenIQ has been evaluating the latest products in 20 consumer product industries that appear in retail during the year every year since 2018. NielsenIQ’s most successful new products of the year are evaluated in two stages – in the first stage, the latest products purchased by consumers are ranked according to monthly average sales data. A consumer survey is then conducted. The index, which consists of objective turnover data and individual feedback from supermarket customers, identifies the most successful products in each group and the three new products that are the winners of the annual overall rating.