The number of launches of new brands of consumer goods has decreased in Russia

In January–August 2023, 16% fewer new brands of consumer goods appeared in Russia than during the same period in 2022. About this writes RBC with reference to NielsenIQ retail audit data in the largest retail chains in Russia.

Over the eight months of this year, 7,300 new brands were launched in the country compared to 8,700 a year earlier. At the same time, the current year’s figures are ahead of the figures for 2021. In January–August 2021, 6,900 new brands were launched on the Russian market.

In 2022, 80% of new brands were launched in the alcohol, dairy, beverage and confectionery markets. In the same year, these groups account for only half of the launches, while at the same time the number of new brands in the areas of body and hair care cosmetics, household chemicals and other non-food products is growing.

According to NielsenIQ, the most brands launched since the beginning of 2023 were in the categories of confectionery (22%), alcohol (16%), dairy (8.7%), body care (7.7%) and cold drinks (5.4%).

NielsenIQ noted that 2022 was an “abnormal” year in terms of brands leaving and entering. Against the backdrop of the start of a special operation in Ukraine, many large Western brands suspended operations in Russia or completely left the market. In this regard, new brands have filled the vacated niches, said Alexey Popovichev, executive director of the Rusbrand association. After growth in 2022, he considered “some slowdown” in 2023 not critical.

Executive Director of the Rusprodsoyuz Association Dmitry Vostrikov also noted that new brands continue to appear on the Russian market, but with less dynamics. According to Popovichev, the process of market restructuring is just beginning.