Spotlight: Expand into Adjacent Categories with Confidence
By Ellyn Steidl
Multifaceted businesses hope to achieve growth by expanding beyond their core business into adjacent categories. But how can companies ensure the growth of one business channel does not compromise the success of the other? How can brands leverage marketing research to grow their business across multiple categories?
In this spotlight we explore how W5 crafted a custom solution that combined audience profiling, key drivers analysis, and product development research for a client facing this challenge.
W5 partnered with a beloved QSR brand who had recently expanded its product portfolio beyond the restaurant space. The client sought opportunities to get their product in more hands without relying on the restaurant footprint. However, they needed to understand whether the channels were in competition with each other. They approached W5 to unlock insights on consumer behavior, category decision drivers, and consumer interest in new product offerings.
Case Study: Expand into Adjacent Categories with Confidence
Approach
W5 initially explored the key occasions, drivers, and goals surrounding consumers’ dining decisions with a phase of qualitative research. This included daily meal journaling and digital discussions to identify multiple decision drivers consumers balance when deciding where to eat and what to purchase in adjacent categories.
Qualitative insights then informed a robust, custom online survey that combined audience profiling, consideration drivers, and product development. W5 worked closely with the client throughout the survey development process enabling agile decision making about which white space products to include for consumer feedback. W5 then leveraged key drivers analysis to identify the leading factors motivating decisions in relevant categories.
Results
The quantitative research validated the mix of decision drivers consumers balance when making dining decisions. Additionally, the key drivers analysis illuminated which decision drivers influence each channel selection and their relative importance.
Second, the research quantified the degree to which the client’s products in the new adjacent category competed with their existing restaurant foot traffic. The quantitative results also provided industry comparisons to competitor restaurant brands.
Finally, the research highlighted which white space products generated consumer interest and suggested gains for restaurant engagement with minimal channel competition. These insights equipped our client to approach product road mapping decisions with clarity.
Does your business face a similar challenge? Reach out to W5 to learn how we can craft a custom research solution that expands your business growth.