A new Nielsen Global Survey on new product innovation finds that 61% Egyptian respondents claimed to have purchased a new innovation in the last six months, 4 points higher than the regional average of 57%.
Yet, while they’re open for trying new products, brand comes before innovation. Around 74% of Egyptian respondents stated that they preferred to buy new products from brands that are familiar. Moreover, the majority (70%) would wait until a new innovation has proven itself before making the purchase.
“Brand competition is intense and shelves are crowded,” said Tamer El Araby, managing director for Nielsen North Africa & Levant. “Our findings revealed that around 90% of new product innovations in Egypt are taken out of distribution before the end of their launch year.”
HOW DO CONSUMERS DISCOVER NEW PRODUCTS?
Friends and family as well as TV ads ranking equally as the most commonly used source to learn about new products. This was followed by digital and internet-related platforms such as internet searches, social media and internet ads.
WHAT DO THEY LOOK FOR IN A NEW PRODUCT INNOVATION?
The need that supersedes all others in new product innovations is affordability. Not surprisingly as health awareness increases amongst Egyptian consumers, there is a desire to find products that are made of all-natural ingredients. Around 96% of Egyptian youth voiced health and wellness are a key priority to them. Surprisingly the third most wanted characteristic in new product innovations were premium products, despite the fluctuating confidence in personal finances over the last year as observed in Nielsen Consumer Confidence Index.
ABOUT NIELSEN GLOBAL NEW PRODUCT INNOVATION
The Nielsen Global New Product Innovation Survey polled 30,000 online respondents in 60 countries to understand consumer attitudes and sentiments about the drivers behind new product purchase intent. It’s important to note that in the eyes of the consumer, not every product that’s new to them is new to the market. As such, for the purposes of this study, we define a new product as any item a consumer has never purchased in the past. We uncover the reasons for making a new product purchase, discover the types of products consumers want but can’t find, and detail the sources consumers use to learn about them. Finally, we provide insights into white-space opportunities with the greatest potential, and we identify strategies for increasing the odds of success.
Nielsen N.V. (NYSE: NLSN) is a global performance management company that provides a comprehensive understanding of what consumers Watch and Buy. Nielsen’s Watch segment provides media and advertising clients with Total Audience measurement services across all devices where content—video, audio and text—is consumed. The Buy segment offers consumer packaged goods manufacturers and retailers the industry’s only global view of retail performance measurement. By integrating information from its Watch and Buy segments and other data sources, Nielsen provides its clients with both world-class measurement as well as analytics that help improve performance. Nielsen, an S&P 500 company, has operations in over 100 countries that cover more than 90% of the world’s population. For more information, visit www.nielsen.com/eg