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Arcor: Innovation generates new products and solutions for consumers and grocers

CLIENT

Arcor

INDUSTRY

Food

SERVICES

Innovation Strategy
Innovation Project Portfolios
Innovation Management Systems

Dynamism of the industry demands innovation

The food industry is one of the most dynamic in the world. In Chile alone, thousands of products are marketed annually, and more than half of them simply fall into the path of low consumer preference. At the same time, the irruption of the millennials as a segment with diffuse and constantly changing needs sets a challenging scenario for brands, which seek to take advantage of these consumer’s choice. With this scenario in mind, Arcor, one of the main actors in Latin America food industry, decided to establish innovation in its strategy. INNSPIRAL was selected to address this task.

Building the structure

In the first stage, INNSPIRAL deployed its methodology, which involved more than 400 interactions in the field with consumers, grocers and other influential players such as teachers, dentists and psychologists. This process allowed the practices and needs of buyers, distributors and other relevant actors to be uncovered and led to the elaboration of 2 ethnographic studies. These were oriented to the exploration of business opportunities. In turn, this gave rise to several prototypes of innovative products. At the same time, Arcor set up the structures and capacities to make innovation a sustainable reality, including the Innovation Committee, made up of the mid and senior management of the food company.

New Products, Better Display

At the end of 2016, after two years of collaboration, Arcor and INNSPIRAL had created and implemented 3 solutions that represented a significant percentage of Arcor’s turnover. These were two products: Hobby Energy, an energy bar that combines nutrition and energy and Natural Break, born from the need to get a healthy snack and in the right amount. In addition, a new solution of store shelf proposed better conditions of exhibition and sales to the grocers and, therefore, to consumers. Because of these, Arcor currently is in a better position to adapt to the new and changing needs of the Chilean consumer.