It was established initially in the United States of America in response to certain market conditions:

• Low growth
• High competition
• Pressure from consumers
• Emergence of new channels
• Emergence of highly efficient new entrants
• Traditional adversarial relationships resulting in high costs
• Emphasis on trading rather than focusing on consumer needs

In creating the Efficient Consumer Response working model, the early adopters focused on two key principles:

• Focus on consumers: A commitment to the belief that sustained business success stems only from providing consumers with products and services that consistently meet or surpass their demands and expectations.
• Working together: The greatest consumer value can be offered only when organizations work together, both internally and with their trading partners, to overcome barriers that erode efficiency and effectiveness.

Barriers can be seen both between trading partners and between business functions within one business. ECR attempts to break these barriers down.