Unfortunately, grocers — like all businesses — build their plans in controlled and contained pools, but must execute them in the wild, as it were. A few times per year, grocers plan shelf resets, new products, annual plans and long-range plans of a few years.
These plans are unrealistic and short-sighted.
Recently, McKinsey & Co. completed a study across 822 companies for nearly 10 years deconstructing how businesses actually grow. The results show that more than 60 percent of any brand’s individual growth comes from the underlying momentum of the category. Competitive market share gain (e.g., most of advertising, distribution) drives less than 10 percent of a brand’s growth but often occupies 90 percent of a brand’s strategy and mindshare.