Key Findings

Lifestyle complexity and quest to optimise drive uptake

Increased lifestyle fragmentation, pressure for productivity, along with a desire for optimisation and self-stability are resulting in strong growth in salience of the need states framework among consumers seeking to bring precision and effectiveness to their consumption. 

Ingredients are vital to the delivery of outcomes

There exists a symbiotic relationship between need states and ingredients as effective formulations are crucial to the fulfilment of the implicit promises made by need state positioning. Outcome-based language can also shape consumer expectations of newer functional actives.

Material challenges to executing on need states

The four key frictions to successfully implementing a need state positioning are regulatory (restrictions on claims language), formulation (delivering an efficacious product), differentiation (standing out in crowded fields) and socio-demographic (ensure target consumers are receptive).

Monitoring and measuring universe of needs is key

It is vital for brand owners to monitor and quantify the need state universe to identify existing emerging areas of opportunity. Measurement of outcome-orientated consumption is challenging and requires a blend of approaches to unveil the true size of prize.

Need states to embed and become more granular

Use of need state positioning is growing across FMCG industries as brand owners recognise expanding consumer interest (which in turn will fuel greater awareness). As need states go mainstream, hyper-personalisation in messaging and formulation will lead to greater granularity.