NEWS24 May 2017

Brand spend in decline, but Britons stay loyal to local

FMCG News Trends UK

UK – For the first time ever, none of the world’s 10 most chosen brands appear in the equivalent UK top 10 ranking, according to the latest Brand Footprint UK ranking from Kantar Worldpanel

Britain bunting crop

The ranking, which measures which brands are being bought by most consumers the most often, has revealed that the number of British brands among the top 10 has increased to seven (up from six last year). 

Worldwide, spending on local brands has increased by 3.9%, compared with a 2.6% growth in spending on global brands. While the amount spend on brands in the UK has fallen, local brands outperformed global brands, falling by 1.2% compared with 2.8%.

The top 10 UK FMCG brands according to the Brand Footprint study are: 

  1. Warburtons
  2. Heinz
  3. Kingsmill
  4. McVitie's
  5. Hovis
  6. Walkers
  7. Müller
  8. Birds Eye
  9. Cadbury’s Dairy Milk
  10. Cadbury

Five of this year’s top 10 brands – Kingsmill, Walkers, Müller, Cadbury Dairy Milk and Cadbury – have seen the frequency with which they are bought increase. But penetration (the percentage of the population buying a brand) has fallen for each of the top 10. Overall branded sales have decreased by 1.6%, while private labels have seen growth of 1.7%.

“It’s been a challenging year for brands across all FMCG sectors," said Fraser McKevitt, head of retail and consumer insight at Kantar Worldpanel.

"British retailers have stepped up their own label offer, consolidating and recalibrating their private-label lines in response to consumer demand for quality goods at low prices.  The growth of Aldi and Lidl’s market share has also played a role as consumers become accustomed to seeing non-branded products on the shelves.  

"Consumers have responded by increasingly opting for own-label alternatives across all retailers, and the proportion of the population buying the top 10 branded products has fallen by an average 2.5%.

“Brands and manufacturers need to keep pace with changing consumer behaviours if they are to succeed.  Today’s shoppers want to be healthier, happier and have their lives made easier, so brands will need to innovate in a way that matches these needs – easing busy lifestyles and tapping into consumer concerns around health and wellbeing."