How Bamboo Brands radically changed innovation in the FMCG Sector over the past 10 years
Published on Feb 1, 2029
’s-HERTOGENBOSCH - Over the past 10 years, Bamboo Brands, an innovation agency, has turned the FMCG innovation process into a scientific method. No longer are FMCG innovations based on consumer opinions, but on actual consumer behavior within a real-life testing environment. In 2019, when Bamboo Brands was founded, 8 out of 10 FMCG innovations failed within the first year. However, thanks to this scientific approach to the innovation process, this statistic has been drastically reduced; from an 80% failure rate to only 20% in 10 years! How has this innovation agency in the southern part of our country brought about this radical change?
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More predictable and successful innovation with prototypes
Testing a prototype, especially early in the innovation process, has proven crucial for manufacturers to innovate more successfully. Previously, A-brand manufacturers introduced new products after completing the entire innovation process without testing them on the shop floor at any point. Unconsciously, many manufacturers based their innovations solely on consumer opinions, neglecting the infamous 'say-do gap.' Bamboo Brands assists these manufacturers early in the innovation process by testing prototypes on the shop floor. This allows manufacturers to gather crucial feedback on their innovative concepts so they can optimize them in a timely manner. By testing prototypes, manufacturers can determine the potential of their innovation early on without significant investments.
Innovating twice as fast with factual insights
Introducing an entirely new product, from concept to launch, took an average of about two years in 2019. Much of this time was spent on concept and product development, but thanks to Bamboo Brands' fact-based research methods, they have reduced the duration of the innovation process by about 50%. By testing innovations on the shop floor as A-brand manufacturers, they gain valuable and factual insights to develop their concepts more quickly. This hyperspeed feedback enables manufacturers to focus on what is truly important: developing products that provide real value to their target audience.
A drastic reduction in food waste
About ten years ago, innovations in the FMCG sector were responsible for 9% of all global food waste. If an innovation doesn't rotate sufficiently, it always involves discarding stocks, packaging, and raw materials. With a focus on sustainability, Bamboo Brands wanted to change this in 2019. By helping manufacturers with insights into actual consumer behavior, they not only assisted these manufacturers in innovating more successfully but also contributed to a significant reduction in food waste in our country.
Theo Toering, the founder of Bamboo Brands, is proud to mention:
"We have not only ensured that manufacturers innovate more successfully and faster but also contributed to a significant reduction in food waste in the Netherlands."
Test & Learn Hubs within Innovation Teams
Bamboo Brands had only one goal at its founding in 2019: to radically change the way innovation is done in the FMCG sector. Bamboo Brands started as a strictly executive party but quickly realized that to make a real impact, the philosophy of fact-based research had to be internalized within A-brand manufacturers. Therefore, they started a few years ago to set up so-called 'test & learn hubs' in collaboration with manufacturers. This enables manufacturers to innovate better, faster, and more sustainably in collaboration with Bamboo Brands. Nowadays, almost every manufacturer within the innovation team has a test & learn hub. Manufacturers themselves benefit the most from the hubs; knowledge and speed are embedded in the innovation process, and expertise is built internally.
But it's not 2029, is it?
Of course, it's not February 1, 2029, but February 1, 2024. That does mean Bamboo Brands is celebrating its 5th anniversary today! Over the past 5 years, we have helped several clients innovate more successfully, something we work towards every day. We look forward to the next 5 years to achieve the rest of our goals: drastically reducing the failure rate of FMCG innovations!
Do you currently have an innovation challenge and are you ready to be among the 20% successful innovations? Then contact us. We look forward to your innovation.