Can a food retailer fall in love with food?

From one grocery store to another, aside from the convenient location it occupies, what elevates one over the other? Not much really. Differentiation is often in marginal territory….

• Products assortments are similar.
• Aisle configuration runs the same direction.
• The perimeter features fresh items.
• The packaged products anchor the center store shelves.
• The checkout is a line.
• Items on sale will exist in most departments.
• The ice bag locker is near the entrance.

Some stores may feature fancier lighting or shinier floors but for the most part if you’ve been in one supermarket in Maine, the same experience will be had in Minnesota or Maryland. There are a few exceptions to format like Trader Joe’s that turns the frozen department into a singular art form. Dorothy Lane owns its Killer Brownies. Publix and Costco lead with great reputations. Wegmans delights with service-minded staff. H-E-B in Texas stands above with its highly curated Central Market banner and Midwest shoppers frequently laud HyVee. Sure, the Northeast’s Stew Leonard stores step ahead with grocery-as-theater.

Even at the high end such as Whole Foods or Plum Market, while the shelves feature more boutique brands and the prices to match the artisanal, locally sourced claims – everything remains strikingly familiar.

But what could happen if a grocery retailer were to fall in love with food?

What if food retail was a culinary adventure, an inspirational tour more than just an organized maze of boxes, cans and bags? Ultimately, the business end of food for shoppers would be a better dish, an adventurous menu, and an extraordinary eating experience. Yet a peek inside the prepared foods case of most supermarkets is a study in over-heated rotisserie chicken and meatloaf belly-pleasers. Maybe a Sushi bar here and there but not many are really blowing up the concept for a delight-to-the-senses food experience.

The Internet and food delivery apps already democratize access to restaurant quality cooking. Great chefy meals can be had in 30 to 40 minutes. How can a food retailer successfully disrupt a ‘been there and done that’ shopping paradigm to create memorable and engaging food and shopping experiences? Is it possible to transcend the point-and-click convenience of restaurants coming to the front door?

Well, get ‘em inside your front door!  Food is sensory. It is emotional. It could be a feast for the eyes, the heart and soul. An inspiration for the home cook. A place of learning and creativity. A tour of global flavors and cuisines. A culinary Disneyland with one theme leading to another.

• Our hypothesis is this: you can’t really deliver food inspiration if you don’t have a passion for culinary experience powered by a visceral appreciation for the magic of food and great cooking (plus adjacent standards that demand improved output from the commissary).

What meal solutions would be located near other menu options if you loved culinary adventure and were determined to help customers elevate their food experiences? People mostly shop for dinner these days. How can you help them with that objective (and we’re thinking way past the roasted birds)? Saucing is a simple maneuver that can elevate just about anything on a dinner plate – who is making that small wonder happen?

Vegetables are a constant drumbeat of nutritional guilting but remain red-headed stepchildren in the pantry because of the absence of inspired preparations (think Asian options) and the transformative flavor punch of roasting over steaming.

• Whatever the culinary muse might be and how stores could be organized differently, it just won’t happen if the executive team doesn’t start with culinary enthusiasm holding court ahead of singular devotion to SKU velocity considerations.

Let the big boxes have their 30 linear feet of cheap tissue and towels. You are too busy whipping up magic in flavor-forward finished dishes or partially prepared global menus. You’ve already dialed in the wine pairing or created an entire plant-based feast. Organizing shopping by menus or need states or cuisine varieties and thinking like a home cook to layer flavors from one department to another.  You know about the current menu burnout epidemic and thus refresh the ‘what’s for dinner’ quandary with creative easy-to-follow meal ideas and curated shopping lists.

Many will interject this just isn’t possible based on the razor thin margins of food retailing that demand fealty to carts speedily navigating the aisles with belief everyone needs to get in and out as fast as possible. Maybe the desire to get in one door and out the other quickly is fed by no real delight to be found in the whole store experience. Is the only emotional win we’re willing to serve up a grass-fed New York strip at $12.99 a pound?

Evidence of Innovation

Grocery icon Bob Mariano and his talented gustatorial co-conspirators Don Fitzgerald and Jay Owen could rightly be accused of putting culinary considerations at the center of a fascinating play on re-imagined grocery. Their Dom’s Kitchen and Market store now operating in Chicago’s Lincoln Park neighborhood is a totem to unabashed borrowing of aligned culinary brand equity by featuring Bonci pizzas, Tortello fresh pasts and Meats by Linz. You go there, you want to stay there. It’s a feast for the senses. Dom’s is really a series of innovative kitchens and menus surrounded by well thought out unique packaged food selections. What fun!

Kevin Coupe, in his epiphanous Morning Newsbeat e-newsletter reports even the largest of grocery chains, Kroger, is experimenting in their Ralph’s banner near the UCLA campus in Los Angeles with a Kitchen United collaboration. Ten restaurant brands and menus can be accessed for in-store pick-up or delivery through a ghost kitchen integration that hits a college crowd pleasing tour-de-force of prepared food options. Think of fried chicken sandwiches and Ramen bowls, sushi, pizzas garnished with a heavy nod to all of the Impossible and Beyond products that replicate a meat lovers’ greatest hits. Relevant to the trading area for sure.

All of this challenges the definition of what a food retail store could be if the owners were in love with the outcome of what they sell. When passion for food and eating experiences influences the merchandising and business decisions, there just might be an opportunity to achieve transcendence. That is a shopping experience so differentiated and meaningful the home cook runs around the store exclaiming, “you get me, you really get me!”

Food adventure springs from the heart. A store can only live and breathe the devotion to food experiences when the executive team starts there themselves. The opportunity is this: create a food shopping experience so remarkable it generates talk value, social discourse, endorsement and excitement from those so awe struck that a food store might romance the actual food.

• What’s the key to competitive advantage in a world that operates in opposition to retail visits? A shopping experience you want to keep coming back to, and not just because there’s a two for one deal on a box of Cheerios.

If creative inspiration and communication of same is what you seek, use this link to open an informal conversation with a team of marketers who love food as much as you do.

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Strengthening your cultural connections is vital to sustainable growth

Why does brand relevance matter so greatly to your 2022 business results? Because it is within relevancy’s sphere of influence that consumers discover both their interest in your brand and a reason to buy. You may believe your product stands resolutely on its own merits – formulation and attributes and all. To a degree it certainly does, however your brand doesn’t exist in a vacuum.

Powerful external forces are at work driving consumer behaviors and preferences. More than ever, people are influenced by:

• What is popular
• What is socially agree-able
• What is on trend culturally

Where does your brand sit in relationship to popular food culture? Current issues and values pressing on the food industry’s future? Brand relevancy is connected to and associated with current culture cues and the symbolism that surrounds it.

Here is our guide to relevance and connection

Brand relationships continue to look more and more like those of the human variety. You are no longer just selling a product. You are marketing deeper meaning, values and beliefs attached to strong cultural influences. Better connections here help more salient brands rise while others less present in these shifting conditions may experience a corresponding decline in their value proposition.

Is your brand engaging in the world around it?

We are witnessing a profound sea change in the path to purchase as consumers look to brands for trusted sustainability stories and tangible efforts to address heightened awareness of a relationship between food/beverage choices and climate impact. Health, wellness and sustainability are key associations for modern food, beverage and lifestyle culture trends.

Is your brand viewed as a positive influence?

What specific actions, policies, behaviors, standards and commitments is your brand making to be at the forefront of these key issues that now dominate the cultural conversation? Is your brand voice up to date, participating in this discourse with credibility and referencing tangible efforts to meet wellness and sustainability expectations?

Is your brand a contributor to users’ lives?

As stated earlier, brand relationships look a lot these days like interactions we have with the people we care about. Thus, why enlightened marketers understand their future is founded on reciprocity. Brands must make a real effort to help consumers overcome barriers, succeed and grow on their life journeys. How is your brand operating as a coach and guide to help users achieve their passions and desires?

Designing for enhanced relevance

Relevancy is achieved through a creative, appealing mix of attitude, behaviors (actions speak louder than words) and appearance. What’s required here is an innovative reappraisal of your brand identity, visuals, voice, actions and symbolism that should be in sync with the cultural dialogue going on right now.

Your brand is the fabric and tether to deeper meaning that provides consumers with an anchor of belief and emotional resonance. Here’s the mix of ingredients that help you dial in brand relevance.

• How your brand interacts with popular culture – Your strategic game plan

• Articulating what your brand stands for – Your values and beliefs

• Why your brand exists – Defining your brand Higher Purpose

• Engaging where your users spend their time – Your interactions with their micro-communities of influence

Here are three steps you can take right now to bring this thinking to your strategic plans.

1. Consumer lifestyle insight

You’re interacting with humans not data points. What do you understand about their lifestyle aspirations, needs, wants and concerns? If sustainability is a cultural imperative now, do you know what areas of sustainability readiness they care about the most? Without a foundation of insight into their lives, it’s nearly impossible to find alignment and relevance with who they are, what they want and what they believe.

2. The customer experience journey

Based on a more granular understanding of your users’ aspirations, how should your brand promise and value proposition best be packaged and delivered to meet those needs? Are you monitoring social channels to assess how they’re interacting with you and engaging in your community? First party data is the best resource for reliable understanding of their behaviors.

3. Creative thinking around your future

Based on deep insights into your consumer base and their unmet needs, what new categories can your brand credibly operate in to help solve more problems and cultivate a deeper, more valuable relationship? What new touchpoints can you activate to engage consumers on their journey? Finally, what new tools can you deploy to deliver on the promises you’ve made?

• Legacy brands can improve their relevance by refreshing and restaging their brand positioning and building connections to current cultural symbols and aligned business behaviors.

• New and emerging brands can embed this thinking into their go-to-market strategies and the brand narrative they are building.

Once you understand how status and aspiration are defined by your user base, you can go to work finding connections and building trust. Perhaps the most important sea change in our culture is a move towards how consumption decisions impact the world and community around us. It is no longer just what’s good for me, the decision is now also about what’s good for society and for the future world people want to live in.

Emergent is a trend watching, culture defining organization of brand building experts and communications architects. We can help you dial in relevance and gain traction while leveraging the powerful forces of cultural change that influence what people want. The outcome is traction, engagement, relevance, value and business growth.

Use this link to request a complimentary “culture impact assessment” of your category.

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Why are brands getting it wrong more often than right?

Brand Higher Purpose is a vital strategic concept that will inform the success of modern relevant and growing businesses. Surprisingly, we discover it is frequently misappropriated or left unattended. Why? Brands can be held captive by strategies handcuffed to transactional thinking that intentionally or not, views consumers as merely walking wallets. This, however, occurs at a time when brand trust is at an all-time low. Facts are, the dynamic of how consumers relate to brands has moved on to a more enlightened relationship-based approach founded on reciprocity and mutual self-interest. Yet many brands are still operating on CPG marketing principles that are 30 years old.

What is Higher Purpose exactly and how do you deploy it to build your brand and business? We unpack the DNA of Higher Purpose best practices here.

The Foundation of Higher Purpose

Cultural changes are among the most important bellwether conditions brands must constantly study to remain vital and resonant to users. It’s why the Emerging Trends Report exists. Yet this important cultural sea change impacting food, beverage, lifestyle and related retail categories has languished in a backwater of misinterpretation. While Higher Purpose is a priority marketing asset, it is an all-too frequently underleveraged strategy.

The current era of purpose-built branding was presaged in a 2017 landmark study on food and beverage purchase behaviors authored by Deloitte Consulting and the Food Marketing Institute (rebranded now as Food Industry Association). Their report quantified and qualified what Emergent was already reporting: a seismic shift in consumer preferences and behaviors on the path to purchase. For decades, taste, price and convenience were the dominant consumer purchase motivators for food and beverage brands. This condition helped perpetuate the magnetic hold of large cap legacy brands that were inherently terrific at consistency and mass media awareness-building over time.

As issues and values began to hold sway over consumer preferences, we saw these new attributes surpass the historic patterns of buying motivation. The Deloitte/FMI study revealed that transparency, health and wellness, food safety, sustainability and visibility to the supply chain were eclipsing the traditional taste/price/convenience model on the path to purchase.

When issues, values and beliefs are as important, if not more so, than the product performance itself, what does that tell you? A cultural change has taken root and with it the advancement of purpose-built branding now supported with actionable consumer insight data. Yet still this strategic construct remains frustratingly anemic – rather than executed with skill and authenticity.

When brand purpose is defined as an unselfish, human-relevant purpose, great things can happen!

Higher Purpose is different than the transactional model that has dominated CPG and retail marketing plans for decades. It presents us with a more human-like path to brand building founded on reciprocity and contributing to the growth, welfare and quality of life of the people brands exist to serve.

To gain context, let’s first describe what Brand Higher Purpose is NOT:

• Philanthropy or “cause” marketing
• Another word for ESG commitments
• A mission statement
• A brand positioning
• A campaign tagline or theme
• Code for better PR strategies
• Issues management

Brand Higher Purpose is founded in deep consumer insights about the lifestyle needs, aspirations and concerns that govern the lives of a brand’s best users. It is in this understanding that brand Purpose can be authentically defined and brought to life.

Two key issues to examine:

• Your users want more from you than your good product. Are you prepared to give them the ‘more’ they seek and add deeper meaning to what your business stands for, does and works to accomplish for your users’ greater good?

• If your brand value proposition is linked to your best users’ beliefs and values, and in the spirit of reciprocity – how would that impact your business operations and behaviors?

The three primary components of Higher Purpose creation:

• Why your company exists, in the context of insight to your core users’ beliefs, values and aspirations.

• How your company delivers on its why (purpose) through tools and strategies designed to bring your purpose to life.

• What business are you really in based on your purpose, and how does that impact your operations, policies, standards, in-market behaviors and marketing?

Imagine the food retailer that determines it is in business to fully support the health, wellbeing and culinary creativity of its core shoppers. What tools and strategies would it deploy to bring this to life in education, product assortment and in-store communication and experiences?

Knowing this, what business is the retailer really in – knowing that the customer relationship is deeper than merely selling at velocity bags, cans and boxes off shelves?

Think of the impact this has on brand voice and meaning. What happens when the brand’s values and beliefs fully align with what consumers care about and aspire to become? What happens when a pet food brand determines it is in the pet lifestyle enablement business rather than selling high quality kibble and canned meals? It opens an entirely new conversation with consumers based on brand as partner, coach and guide on their pet parenting journey.

This is where relevance and resonance lives!

If you want to have a deeper relationship with your consumers, then imbue your brand with deeper meaning. To do this successfully the consumer must be at the center of strategic planning. Your goal is to define how the brand facilitates your consumers’ lifestyle needs and concerns.

Dove brands’ higher purpose revolves around supporting the self-esteem goals of its user base. Notice how this issue sits adjacent to but distinctly apart from the product attributes and benefits.

It’s always going to be a real, authentic, human-relevant purpose that sits above commerce!

Brand Sustainability Analysis

Emergent created a proprietary planning tool for helping clients determine the right higher purpose strategy based on brand history, strengths, consumer base, business operations and current marketing strategies.

We use this tool to define Higher Purpose for a brand and then how it will influence literally every aspect of how a company operates, creates products, innovates, treats it employees and goes to market.

If you want to learn more about the path to Higher Purpose, download a complimentary copy of our Brand Higher Purpose overview that summarizes the insights and strategies for a stronger, better and more effective brand marketing platform.

Looking for more food for thought? Subscribe to the Emerging Trends Report.

What happens when the consumer moves on and the brand doesn’t.

The pace of change these days is unsettlingly quick. Pandemic-authored forms of disruption have come hard and fast, supplemented by equally measured swings in consumer behavior, priorities and preferences. The world around us is evolving. Needs are changing. Attitudes and interests are getting a makeover. The pace of marketplace shifts is accelerating.

• We’ve entered an entirely new era of marketing challenges where consumers move more quickly than brands. This creates fractures in relevance and perceived value as businesses remain anchored to a legacy business model or said more simply, “how we’ve always done it.’

When the consumer’s wants and needs move to another location on the relevance chess board and the brand doesn’t move with them, what happens when the business suddenly finds itself at odds with its user base?

Changes now upon us –

• Modern food culture has gained new levels of sophistication.
• What food is and where it comes from is headed towards a bioengineered future.
• Health and wellness needs are now dominant preference considerations.
• Sustainability concerns have morphed to focus on climate impacts.
• Shopping patterns and behaviors are now linked to extraordinary experiences.
• Safety and security are simmering underneath a cauldron of uncertainty.
• Brand trust deficits compound while also multiplying perceived risks on the path to purchase.

Challenges that result –

• Your product portfolio hasn’t advanced to match the consumer’s evolving quality definition and expectation.
• You’re not looking hard enough at innovation driven by climate outcomes and requiring advanced bioengineering.
• Your products are not fully in sync with health and wellness lifestyle goals.
• You are still narrowly focused on clean energy as the platform for sustainability solutions.
• There’s nothing remarkable and entertaining about shopping your store.
• You haven’t answered the bellwether safety and security issues swaying your users.
• You haven’t placed trust creation at the core of your strategic marketing plan.

New brands are stepping into the gap

Where there’s a lingering need, others will step in to fulfill it. The world is ripe for entrepreneurs who wish to serve these evolving needs creating a business environment founded on new definitions of what scale is; value propositions that re-write the rule book on average cost of goods; and what people will pay for entirely new and higher standards of quality. Brand narratives are moving to focus on purpose and values while historic brand stories remain tethered to feature/benefit selling.

When people change, if you don’t change with them, you’re in trouble.

This summer I attended a backyard community barbecue where the entire menu was a trip into Korean culinary culture. It was mesmerizingly good, a welcome departure from hot dogs and burgers, and an eyeopener on flavor interplay between sweet (sauce) and sour (kimchi). The novel ingredients were off the charts delicious and created a learning moment.

The lesson: once people have experiences that alter their world order and concept of what’s important, tastes good or matters to their sense of values and beliefs, it’s nearly impossible to go back to the old behavioral patterns.

Food culture refinement is fueling change

You just know expectations on what great food is like are shifting when more sophisticated menus and unique global taste experiences start showing up at the corner neighborhood bar – gastropubs are getting Michelin stars!! We are awash in cooking competitions, chef authored packaged artisanal foods, fancy meal kits, and preoccupation with fresh local food ingredients that require preparation skills.

As people acquire knowledge and experience, perceptions shift. The lowly Brussel sprout, and veggies generally, enjoy a renaissance as cheffy preparations take this mini-cabbage (same species of plant – the brassica oleracea) sulphur bomb to new heights of flavor transformation with cured meat and high temp roasting to caramelize the leafy exterior. Cooking techniques magically alter a one-time musty vegetal eating experience with deeper umami flavors.  

The American palate is maturing alongside growing enthusiasm for more complex and layered food preparations and menus. Are food brands right there with them helping share the future of food, or mired in a legacy infrastructure of ultra-processed preparations that lean too heavily on fat, sugar and sodium to drive their appeal?

While popping open a bag of potato chips is still a common snack time ritual, people making their own chips from scratch isn’t out of the realm of possibility either. Food culture in America is rapidly evolving with raised expectations for tastes, flavor profiles and gustatory adventures.

When food experience is driven by ingredients

The basic legacy concept behind packaged food solutions is convenience, an effort to reduce or remove preparation from the equation. But what happens when millions of consumers get a taste of the very flavor layering techniques that make chefs the culinary superstars that they are? Lockdowns helped push people to their stoves. It’s hard to go back to standard boxed mac and cheese when you’ve enjoyed the outcome of informed cooking mixing a béchamel sauce with aged gouda and lardons to envelop an elbow noodle in indulgent magic.

It’s even harder to dismiss these developments when observing 12-year-old kids on FoodTV’s “Chopped Junior” show whip out a wine reduction sauce for pan roasted halibut in under five minutes? Suddenly an otherwise neutral, bland tasting fish rises to a new position in flavor town at the hands of a tween. Does this not signal a change in how we see food ideas, expectations on preparations, romance around the possibilities of better food experiences?

Ingredients take center stage in menus. Packaged products with reimagined ingredients not slavishly tied to what’s cheapest have this incredible competitive advantage of being able to tell their product creation story proudly. This is happening at a time when that’s exactly the kind of behind-the-curtain tale consumers want to know.

How to disrupt yourself

One sure-fire way to guide innovation, restaging, re-purposing and reimagining what your brand is on earth to accomplish – is putting the consumer at the center of your strategic planning and product development strategies.

• This is harder to do than it sounds because businesses often reflexively sit in service of their legacy brick and mortar infrastructure, supply chain traditions and sensibilities around average retail pricing.

When the consumer is willing to pay more for demonstrable upgrades in quality, where is that coming from? It is the very knowledge they’ve acquired through elevated food experiences where they learn about the relationship between better ingredients and better taste – and often healthier food outcomes to boot. The added spend equals sufficient added value.

Every food and beverage brand should be led by food culture anthropologists, scanning for the sea changes at a time when shifts are occurring more rapidly. We’ve reached a point where the consumer will inevitably move on while the brand plays catch-up or suffers relevance declines.

• When values change and the consumer wants unique, customized higher quality food experiences, you don’t want to find yourself at odds where you end up fighting them to stay put. Sure enough, a new brand will hit the radar to answer their call for quality innovation.

If you want to stay ahead of developing trends, be sure to register here for the Emerging Trends Report. If you’d like to discuss how your brand and business might evolve to stay ahead of food culture changes, use this link to say hello and invite an informal conversation!

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International survey confirms path to brand preference decision

Where should you place your bets for growth? Is it optimal product technology or top-of-mind brand awareness? While these issues remain important, they are not the number one driver of brand choice and preference according to a recent Ipsos study of 8,000 consumers in the U.S., UK, France and Germany. Read on for the reveal.

The study exposes a significant strategic weakness

The Ipsos report laid bare a decided absence of customer-centrism in how businesses operate. For all the sermonizing about the importance of consumers to brands and business growth, it is interesting that so few know the real details of their customer’s lifestyle needs, wants, aspirations and behaviors. This insight is required to build deeper brand relevance and personalization, two components of optimal strategy that surfaced from the survey conclusions.

It appears that CPG businesses, especially legacy brands, are constructed primarily around a focused model that is systemically preoccupied with product development, operations, manufacturing, distribution infrastructure, supply chain, sales/marketing and cost management of same. Appears it may be tough for an older dog to learn new tricks.

• “Customer first” is a relatively new trend in business management, seen more often in digitally-native brands where the entire proposition was invented on the back of laser-focused consumer relevance and ongoing interactive conversation and experimentation.

Further it is more difficult for marketing to connect and engage without heartbeat-level insight into those you wish to sell to – their lives and lifestyles. Relevance in brand communication is nourished by an uncanny sense of what matters to the user’s personal aspirations and needs. “You get me” and “you help me to ________” are ultimately more important in consumer-brand relationship construction than an awesome product, which is now table-stakes on the list of consumer expectations.

Here’s where to invest if sustainable growth is a priority for you and your organization:

The survey confirmed customer experience is the number one motivator of brand selection!

• 77% of consumers choose a brand based on positive experience.

• 64% will avoid a brand based on a bad experience.

• Women (66%), Millennials (70%) and GenZ (68%) are most likely to head for the exits after a bad experience.

In fact, brand switching starts to gain traction after just one bad experience. Moreover, negative experiences and unresolved issues are also catalysts for dissatisfied word-of-mouth and social channel sharing.

• Interestingly, the fastest growing consumer cohort now is 55+ and also the most ignored, given historic brand preoccupation with wooing younger audiences. That’s leaving big business on the table!

Here’s some added texture on the survey findings

• Consumers do research ahead of a purchase, so anticipation is higher right out of the gate.

• They expect to receive a seamless, friction-free and positive experience with your brand.

• Brand recognition and stellar product technology is important but not the decider.

• Customer experience is the tipping point on brand selection decisions.

• Failure to understand customer needs is the critical, pivotal Achilles’ heel.

U.S. consumers, especially, are looking for personalization and real-time responsiveness on their questions including chat options with a live agent not a bot. In fact, more than 40% of consumers want personalized solutions based on a granular understanding of their interests, buying behaviors, demographics and psychographics.

Retail everywhere

The study demonstrates the incredibly important opportunity brands have to add value at all touchpoints along the path to purchase, whether online or at the store. For consumers, the channel is irrelevant with respect to expectations. They believe it should be friction free, simple and helpful no matter where they purchase.

• What’s often missing is an embedded view that customer needs and wants come first rather than the company serving its own operational quirks or self-protective policies.

With consumer /user experience being a pivotal moment on the path to purchase and repurchase, it only stands to reason it must be served with skill and intuitive judgment on addressing the customer’s wants. Thus ongoing, always-on investment in consumer insight is a required commitment to make all of this work successfully for sustainable brand growth.

If you’re looking for deeper insight and fresh strategic thinking on the path to improved consumer experience, use this link to start an informal conversation.

Looking for more food for thought? Subscribe to the Emerging Trends Report.