Consumers now have access to a huge wealth of information and are essentially inundated with choice when making purchases, putting significant power in their hands.
As such, FMCG industry players that want to stay ahead of their competition and take advantage of opportunities must gain a deeper understanding of the latest market trends, purchasing behaviour and consumer demands.
Consumer preferences and behaviours change quickly, which is why independent, third-party agencies are important in acting as an objective overseer to assess the situation.
Assosia specialises in providing relevant, timely data regarding consumer trends and the factors which are currently impacting purchasing behaviour in the FMCG industry. We understand that one of the biggest aims for companies within this industry is to make sure their brands include the type of products that consumers will want to purchase. Moreover, t he distribution model is divided into two parts, one part is direct, and another part is indirect.
In the direct state, the transaction occurs between the manufacturers and clients without the interference of the third party. In the indirect state, the manufacturers sell the product through a distribution channel to its clients.
Many channels were disrupted, leading to losses in the aftermath of the pandemic. At the same time, the companies had to buckle up to meet the increased demands of consumer goods due to panic buying.
Another challenge for the FMCG industry has been the changing consumer preference towards healthier alternatives. Moreover, the e-commerce boom has forced companies to offer their products using online platforms. Also, more and more consumers are turning price-sensitive. All these challenges have hurdled the growth of the sector.
The fast-moving consumer goods are bought on a need basis and sold frequently. The classification of the FMCG industry is done primarily by product type.
Some of the types are listed below. They come in a package. Some serve as a cooking ingredient; some are ready-to-eat food, while some have nutritional value. For example, tinned vegetables, cereals, flavored yoghurt, cheese, tofu, canned beans, etc.
Almost all kinds of food are processed. Some of them contain artificial flavors and preservatives to increase their shelf life. Almost all kinds of food undergo some form of processing. For example, even a can of fresh diced tomatoes undergoes cleaning, dicing, and packaging. Some of these include:. The high growth rate of the FMCG industry in India goes beyond growth drivers such as income growth and urbanisation.
The India of will have mn generation Z consumers, with changed priorities when it comes to purchasing goods. The new Indian consumer is characterised by high awareness, an affinity for health and nutrition and high expendable income.
This has led to the emergence of new FMCG sub-sectors, such as the air and water purifier market and organic food staples. These trends will further lead the development of the FMCG industry profile. Foxconn-powered SHARP has released a range of innovative air purifiers cum humidifiers, targeted specifically at the Indian market. With the growth of the traditional FMCG sector- and the emergence of sub-sectors that were non-existent until a few years ago- the future of this industry looks good for investors.
Popular: fdi policy , taxation in india , major investors. Company Name. While non-consumable categories may continue to lead consumable products in sheer volume, gains in logistics efficiency have increased the use of e-commerce channels for acquiring FMCGs. When shopping for non-consumable goods where consumers typically have something in mind, there is mostly a one-to-one correlation between online searching and shopping. Also referred to as consumer packaged goods, fast-moving consumer goods are items with high turnover rates, low prices, or short shelf-lives.
Accounting for over half of consumer spending, fast moving consumer goods are characterized by low profit margins and large sales quantities. Products that fall within this group include soft drinks, toilet paper, or dairy products, for example. The three main categories of consumer goods include durable goods, nondurable goods, and services. Durable goods, such as furniture or cars, last at least three years. Often, economists will watch durable goods spending to track the health of the economy.
Nondurable goods are items with a shelf life of under one year, and are consumed rapidly. Fast-moving consumer goods fall within this category. Finally, services include intangible services or products, such as haircuts or car washes. Swiss-based Nestle, for instance, operates over 2, brands that cover everything from vitamins to frozen foods. Importantly, within the fast-moving consumer goods industry, the competition for market share is high.
In response, companies focus heavily on packaging not only to attract customers, but preserve the shelf life and integrity of the product. Chegg Study. Business Essentials.
Family Finances. Personal Finance. Your Privacy Rights. To change or withdraw your consent choices for Investopedia. At any time, you can update your settings through the "EU Privacy" link at the bottom of any page. These choices will be signaled globally to our partners and will not affect browsing data.
We and our partners process data to: Actively scan device characteristics for identification.
0コメント