A renowned global F&B company was navigating a competitive and rapidly evolving market for gut health products. This market segment has seen significant growth due to increasing consumer focus on health and wellness. The demand for gut health products is driven by growing interest in probiotics, prebiotics, and digestive health, the F&B company needed to address various challenges to meet customer expectations and adapt to changing market shifts
The Challenge
The F&B company faced a competitive and rapidly evolving market for gut health products. Despite the segment’s growth, the company encountered several critical challenges:- Meeting Diverse Customer Expectations: Consumer interest in probiotics, prebiotics, and digestive health was high, but customer needs varied across regions and demographics. The company had to balance product development with evolving consumer preferences.
- Rapid Market Shifts: The gut health market was constantly evolving, with new trends and emerging research driving changes in demand. The company needed to stay ahead of these shifts to maintain its competitive edge.
- Production Complexities: Manufacturing gut health products required precise control over probiotic and prebiotic stability, quality, and shelf life. Ensuring consistent product performance across production batches was a significant challenge
- Competitive Landscape: The market had numerous established players and new entrants. To stand out, the company needed a unique value proposition while addressing customer expectations for quality and effectiveness
The Objective
The F&B company aimed to understand the gut health market landscape to develop aupdate its product development strategy. The objectives were to:- Identify market demand and supply patterns across regions and customer segments
- Understand key market drivers and barriers to entry
- Conduct PESTLE analysis to evaluate external factors affecting the gut health market
- Analyze market trends to identify white spaces for new product development
- Assess the competitive landscape to understand the strengths and weaknesses of leading players
Our Approach and Solution
To address the challenges in the gut health market, Exorixy implemented a comprehensive research approach that drew on expert insights and direct feedback from industry stakeholders and consumers. Here’s an outline of our approach and solution:- Primary Research with Industry Experts: Exorixy conducted in-depth interviews with 10 industry experts, including former employees from leading F&B companies, researchers, and production specialists. Each expert had over 15 years of experience in the F&B industry, with a specific focus on gut health products. Their insights offered a detailed understanding of market trends, production complexities, demand and supply dynamics, and emerging consumer preferences
- B2B Interviews with Food Service and Retail: Our team interviewed key stakeholders in food service and retail to gain an understanding of customer behavior and product popularity. These interviews provided insights into regional variations in gut health product sales and customer preferences
- B2C Interviews with Consumers: To gather direct consumer feedback on gut health products, Exorixy conducted B2C interviews. These interviews explored a range of topics, including customer expectations, product satisfaction, unmet needs, and suggestions for improvement
- PESTLE Analysis: Exorixy conducted a PESTLE analysis to examine the broader external factors impacting the gut health market. This involved analyzing political, economic, social, technological, legal, and environmental influences to identify potential opportunities and risks for the F&B company
- Competitive Landscape and White Space Analysis: The team analyzed the competitive landscape, identifying key players, their market share, and their strategies. Additionally, a white space analysis was conducted to discover gaps in the market where the F&B company could introduce innovative products or differentiate its offerings
Key Outcomes and Impact
The comprehensive approach and analysis helped the F&B company refine its product development strategy, meet customer expectations, and gain a competitive edge. Here are the key outcomes and their impact:- Expanded Product Range: The study identified gaps in the product range, leading to the development of new gut health products. This expansion increased the company’s market share by 10–15% in a year
- Improved Product Focus: Based on feedback from industry experts and B2C interviews, the company identified key product attributes that resonated with consumers. This led to an increase in customer satisfaction over six months, as the company refined its products to meet these expectations
- Enhanced Competitive Positioning: The competitive landscape analysis provided insights into successful strategies and white space opportunities. This allowed the company to differentiate its products
- Improved Brand Perception: The focus on customer satisfaction and product development enhanced the company’s brand perception in the gut health market
