Most companies plan to focus innovation on range extension and developing entirely new products over the next two years, according to a survey by Campden BRI.
Respondents cite time and resource as the biggest barriers to innovation.
In addition, the majority of respondents said they will target innovation on extending their range (63%) and developing entirely new products (62%) over the next two years.
The other common drivers of innovation were targeting new markets (50%), reformulating for health (43%) and cost saving (38%).
About 78% of respondents said they meet regularly as a team to discuss their innovation pipeline.
Over a third of respondents planned their innovations up to nine months ahead and 42% planned 9-12 months ahead.
Less than 20% planned more than one year ahead.
Meanwhile, time (58%) and resource (60%) were the most common barriers to innovation.
About 23% said facilities were a barrier to innovation and 17% said generating ideas was an issue.
While all those surveyed said their company planned to innovate in at least one area over the next two years, only 28% said it was a top priority.
Over half (55%) said innovation was in their company’s top five priorities.
The 126 responses to the innovation survey are from ambient groceries, baked products, beers wines and spirits, prepared convenience foods and retailers.
The responses represent a cross section of industry from multinationals (39%) and large companies (19%) to medium-sized companies (25%), small companies (17%) and start-ups (<1%).