FMCG Industry
Industry
Overview
The Fast-Moving Consumer Goods (FMCG) industry, also known as the Consumer Packaged Goods (CPG) industry, encompasses companies that produce and sell products with a quick turnover and relatively low cost. These goods are typically sold to consumers daily or frequently.
Key points for the Fast-Moving Consumer Goods (FMCG) industry:
1. Product Range
- Categories: Food and beverages, personal care, household care, and over-the-counter (OTC) drugs.
- Characteristics: High demand, short shelf life, and frequent purchases.
2. Market Dynamics
- High Volume Sales: Low profit margins per unit compensated by high sales volume.
- Brand Loyalty: Strong consumer loyalty is critical for sustained success.
- Consumer Behavior: Frequent purchases driven by necessity and convenience.
3. Distribution Channels
- Retail Stores: Supermarkets, hypermarkets, convenience stores, and specialty stores.
- E-commerce: Significant growth in online sales channels.
- Direct Sales: Including subscription models and door-to-door sales.
4. Key Players
- Global Corporations: Procter & Gamble, Unilever, Nestlé, PepsiCo.
- Local Brands: Regional players catering to specific markets and preferences.