Numerator Introduces Household Penetration Acceleration Score to Help Brands Identify New Behaviors and Monetize Opportunities for Growth

CHICAGO, June 16, 2020 /PRNewswire/ -- Numerator, a data and tech company serving the market research space, has launched a Household Penetration Acceleration Score that quantifies the extent to which cumulative household penetration has accelerated year-to-date relative to 2019. This helps brands understand the accelerated rate at which households are buying their products.

Household penetration is often used as a key performance indicator for brands because it helps quantify brand health and growth opportunities. This is a critical aspect of brands planning inventory for second half 2020 and understanding repeat buying opportunities that have been created during COVID-19 which may return with a potential second wave.

"Household penetration is a critical metric in the CPG industry and much of the data being used is incorrect," said Eric Belcher, CEO, Numerator. "Brands are relying on data that is familiar, but no longer accurate, given the rise in non-traditional retailers. Better understanding household penetration gives brands a platform for growth."

The Numerator Household Penetration Acceleration Score shows the degree to which 16 center-store categories are ahead of or behind where they were in 2019 on a year-to-date basis along with additional context to help decompose demand via buy rate, purchase frequency, spend per trip, etc. Cumulative household penetration tends to build predictably, which is not the case in 2020. Key observations among the 16 categories evaluated include:

      
       
              Category    
      
              HH Penetration
                                   Acceleration Score





       Canned Soup              
      +12 weeks



       Canned Vegetables        
      +13 weeks



       Cleansers                
      +2 weeks



       Cold, Cough & Flu        
      +3 weeks



       Crackers                 
      +6 weeks



       Digestive Health         
      On track



       Frozen Dinners & Meals   
      +3 weeks


        Hands Soaps & Sanitizers 
      +10 weeks



       Ice Cream & Novelties    
      +3 weeks



       Juices                   
      +3 weeks



       Laundry Detergent        
      +2 weeks



       Non-seasonal Candy       
      On Track



       Packaged Cookies         
      +3 Weeks



       Pain Relievers           
      +4 weeks



       Shampoos & Conditioners  
      +2 weeks



       Yogurt & Yogurt Drinks   
      +2 weeks

    --  Canned soups and vegetables have the greatest increase in household
        penetration. With the highest acceleration in building their buyer base
        earlier in the year, this provides brands in this category more upside
        opportunity for repeat buying--provided they activate consumption--as
        consumers may rely on the shelf-stable nature of these products to fill
        long-term pantry needs.
    --  Not surprisingly, soaps and sanitizers are well ahead and will likely
        stay ahead given high consumption reporting.
    --  Many brands are running 2-3 weeks ahead, likely indicating an
        acceleration in usage aligned with the shelter-in-place orders.