Your product portfolio is more than just a list of SKUs. It's a reflection of your brand strategy, your customer promise, and your investment priorities. As markets become more competitive and consumer preferences evolve faster than ever, regularly rationalizing your portfolio can help ensure you're focused on what truly works – and not weighed down by what doesn’t.

What is portfolio rationalization?

Portfolio rationalization is the process of evaluating all the products or concepts in your offering, identifying overlap or underperformance, and deciding which ones to keep, improve, or remove. It’s a proactive strategy aimed at reducing complexity, improving efficiency, and aligning resources to where they’ll have the greatest impact.

Why it’s critical now

In today’s landscape, where consumers expect personalized experiences and innovation cycles are shortening, brands are under pressure to deliver more value with fewer resources. Products that once served a unique niche may now feel redundant. Teams that manage dozens of product concepts may struggle to focus attention where it matters most.

Without regular portfolio review and optimization, companies risk:

• Higher operational costs from managing unnecessary SKUs
• Internal confusion and diluted messaging across product lines
• Missed innovation opportunities due to scattered attention
• Outdated offerings that no longer resonate with target customers

How rationalization drives smarter product strategy

A well-planned product portfolio rationalization process supports better decision-making and sets the stage for thoughtful innovation. For decision-makers, this means finding the balance between variety and focus – choosing quality over quantity, and ensuring that every product in your lineup has a clear business and consumer role.

This process also provides a strategic lens for:

• Identifying which products cannibalize each other
• Prioritizing innovation efforts where differentiation is most needed
• Aligning your offering with changing consumer behaviors and expectations

And when done with the right data – such as through concept testing and consumer research on platforms like AYTM – portfolio rationalization becomes more than a budget-cutting exercise. It becomes a way to sharpen your market position, deliver better experiences, and invest confidently in what’s next.

When evaluating a product portfolio, understanding how each concept performs relative to others is key. This is especially true when products target similar needs, categories, or consumer segments. On platforms like AYTM, it’s easier than ever to conduct structured concept testing and compare ideas side by side – a powerful way to fuel smarter portfolio decisions.

What makes AYTM a useful tool for concept comparison?

AYTM (Ask Your Target Market) is a DIY market research platform that allows teams to quickly concept test new ideas using quantitative surveys among targeted audiences. Its flexibility and speed make it an attractive choice for teams exploring new concepts or assessing existing ones. It can be especially powerful for identifying:

• Which concepts resonate most with consumers
• Which ideas appear too similar or redundant
• Where gaps or white spaces exist in your current portfolio

Using AYTM to compare 'sibling' product concepts

Concepts within the same product line – often referred to as 'sibling concepts' – typically share features, positioning, or target audiences. While variety can be valuable, too many similar options can lead to internal competition and consumer confusion.

With AYTM, teams can run a single survey that showcases multiple concept variations. Consumers can be asked to evaluate each concept on factors like appeal, uniqueness, purchase intent, and more. These direct comparisons make it easier to pinpoint:

• Which concepts stand out vs. blend in
• Where consumer preferences cluster
• Which ideas may be cannibalizing each other’s potential

For instance, a brand testing four flavor variants of a new snack might discover that two perform similarly – and below expectations. Instead of launching all four, they may choose to invest in the top performer and revisit the others with refined positioning.

Turning research data into action

The ability to quickly test and compare ideas doesn’t automatically translate to smarter decisions. That’s why many companies supplement their DIY tools with expert support. At SIVO, our On Demand Talent professionals help teams analyze AYTM data through the lens of strategic consumer research. They bring the experience needed to interpret results, identify meaningful patterns, and recommend clear next steps – all while supporting internal learning so your team becomes stronger over time.

In short, tools like AYTM are enabling faster concept evaluation, but they’re most powerful when paired with the right expertise. Whether you’re embarking on a full product portfolio rationalization process or simply reviewing a few overlapping ideas, integrating smart research data analysis into your approach can lead to better outcomes, faster.

Once you’ve run your concept testing using a DIY market research tool like AYTM (Ask Your Target Market), the next critical step is turning those results into smarter investment decisions. This is where research data analysis becomes essential in shaping your product strategy and guiding portfolio rationalization efforts.

AYTM excels at delivering quick, structured feedback on a wide range of product ideas. Whether you're testing packaging updates, new flavor extensions, or entirely new product lines, the tool helps you rank each concept based on consumer preference, uniqueness, purchase intent, and other relevant metrics. But knowing which scores truly matter – and how to act on them – is key to making meaningful decisions.

From Concept Scores to Investment Priorities

AYTM provides a wealth of data, including composite scores that combine multiple consumer response traits. To prioritize investments:

• Identify high-performing concepts with standout metrics (e.g., top 2 box purchase intent, uniqueness, or brand fit).
• Look at performance within context – a moderate score may still indicate a good opportunity in a low-competition category.
• Map concept results against business objectives such as growth targets, cost efficiency, or market expansion.

For example, if one product concept receives the highest overall score but offers only incremental benefits to an already crowded line, it may be better to invest in a unique but slightly lower-scoring option that opens new market territory. This kind of comparison can spotlight investment-worthy ideas that might otherwise be overlooked.

Telling the Story Behind the Scores

Numbers on their own don’t tell the full story. Effective portfolio rationalization requires understanding the why behind the ratings. Are consumers responding emotionally to the concept? Is the value proposition clear? Are preferences skewed by familiarity or novelty? These are the types of strategic questions you must ask to avoid misinterpreting results.

That’s where human expertise still plays a crucial role. While tools like AYTM streamline data collection, prioritizing product investments is ultimately about balancing data with insight, aligning concept winners with overarching brand and business goals. It isn’t just about choosing the “best-scoring” product – it’s about identifying where to invest for long-term growth and relevance.

The rise of DIY market research platforms like AYTM has made gathering consumer feedback more accessible than ever. However, democratized tools don’t automatically guarantee strategic clarity. Without a strong research foundation, valuable insights can be lost in translation – or lead your team down the wrong path. This is where working with On Demand Talent can make all the difference.

SIVO’s On Demand Talent are seasoned consumer insights professionals who bridge the gap between DIY tools and business impact. They help teams stay focused, ask the right questions, and avoid common pitfalls that can derail the research process. Most importantly, they ensure that your investment in DIY platforms becomes a driver of capability, not confusion.

Common Challenges When Going DIY (And How Experts Help)

• Unclear objectives: Without clearly defined goals, survey data can become scattered or misleading. On Demand professionals align your AYTM research to your business needs from the start.
• Flawed survey design: Poorly worded questions or logical gaps yield unreliable results. Experts help craft surveys that are clean, intuitive, and actionable.
• Analysis paralysis: Having access to data is one thing – knowing what to do with it is another. On Demand Talent interpret results quickly and help create a story that supports decision-making.
• Limited internal resources: Smaller insights teams often can’t dedicate the time to get the most from DIY tools. Talent can step in flexibly to fill these gaps without long-term commitments.

For instance, a fictional CPG brand using AYTM to test eight new snack concepts might feel overwhelmed by the range of responses. An On Demand expert could isolate key metrics, conduct side-by-side comparisons, and guide the team towards a short list of viable options that solve consumer need-states and reduce internal competition.

In a world where speed matters, On Demand Talent increase both the quality and velocity of insights – ensuring your DIY research doesn’t just check a box, but drives real business outcomes.

While DIY market research platforms like AYTM offer speed and affordability, getting the most out of your research investment often requires expert interpretation. That’s where bringing in external experts – like SIVO’s On Demand Talent – adds measurable value. These professionals provide both strategic guidance and hands-on execution to help teams unlock the full potential of their product portfolio rationalization process.

Whether you’re comparing product concepts using AYTM or conducting a broader product optimization initiative, insights experts can help answer critical questions like:

• Are your concept tests aligned with broader brand strategy?
• Is the data pointing to a true innovation or a niche offering?
• Where are there opportunities to remove overlap or duplication?
• Which underperforming products are cannibalizing stronger ones?
• How can resources be focused on areas of highest return?

Rather than sifting through dashboards or uncertain insights solo, working with On Demand Talent turns data into direction. These professionals bring years of consumer research experience and are adept at connecting research data to strategic actions that improve product lineups and fuel growth.

A Flexible, High-Impact Solution

Unlike traditional hiring or agency solutions, On Demand Talent are available flexibly – perfect for finite projects or short-term needs. You don’t have to build a larger team or overburden current staff to get expert support. Our network spans industries and skill sets, so we match you with exactly the right expertise to navigate a complex product portfolio challenge or get more out of your DIY market research tools.

By blending deep insights expertise with the advantages of platforms like AYTM, our professionals help businesses move faster and smarter. Whether you're a startup or an established brand, you can access the right level of support when you need it – without sacrificing speed or quality.

Ultimately, the real power of tools like AYTM comes when paired with the right people. Insights professionals amplify the value of your data by bringing clarity, context, and confidence to every decision.