Does a Megabrand = Megasuccess?
A variety of forces (fragmentation, shrinking store footprints, commodity cost spikes, stretched consumers, etc.) are bringing increased attention on assortment from retailers and unique pressures on profits in the U.S. CPG industry. As marketers form business plans to address these issues, a recurring outcome is attempting to produce more efficiency from fewer brands. This gives rise to a heightened interest in the notion of "megabranding" from marketers as a way to economize costs and grow broader, stronger franchises that can be more resilient to these forces.