Consumer Goods

The Challenge at the Bottom of the Pyramid

  • CAN376392
  • 44 Pages
  • July 2014
  • Consumer Goods
Summary
The "bottom of the pyramid" (BOP) is a term used commonly in relation to the world's poorest, who make up a majority share of the world's population. It is a term that has been used extensively and with some excitement attached to it within the business world, eager to explore growth opportunities outside of the largely saturated consumer markets of the developed world.


Synopsis
- Develop an understanding of what the BOP is and who its consumers are.

- Develop a clear picture of what challenges and threats exist to BOP targeting and how that could influence decision-making over entering the market.

- Understand the factors behind the success (or failure) of brands targeting the BOP.

ReasonsToBuy
- What is the BOP and why is it important?

- What are the challenges that stand in the way of BOP success?

- Who are BOP consumers and what are their needs?

- What have brands achieved success in targeting BOP consumers and how have they done that?

Key Highlights
Evidence, and years of critical analysis of the concept, has credibly challenged the idea of a seemingly endless opportunity at the BOP. This does not mean that the BOP should be avoided; on the contrary, it is still a growing market with untapped potential compared to the world's relatively saturated developed markets.

Segmenting consumers by income alone will not guarantee success. It is a blunt instrument. It is essential to have a fully nuanced understanding of the particular circumstances of BOP sub-groups and how that shapes their propensity to be, and capabilities as, consumers.
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