Fast Moving Consumer Goods, that’s what FMCG stands for. These FMCG are products that are sold quickly and at a relatively low price. In general, these are non-durable household products, such as food and toilet and cleaning products. Within this industry, there are an awful lot of different producers. So you have multinationals like P&G, Unilever and Heineken, as well as many national and international manufacturers large and small. Marketing and sales are an important aspect within FMCG to ensure that sufficient sales and profits are made.
As mentioned above, FMCG items have a short lifespan and therefore a high turnover rate due to high consumption. For example, we buy soda, deodorant and other foods every day. The opposite of these items then, of course, are consumer durables. These do not need replacement as quickly as kitchen appliances. Within the FMCG industry, we again distinguish between fast movers and slow movers. Fast movers include, for example, dairy products and other products with a short shelf life. Slow movers include products such as rice and canned goods, as these have a longer shelf life and are bought less often by consumers.
Competition within the FMCG industry
The products made by these fast-moving consumer goods companies are mainly sold in supermarkets. As you can imagine, that makes for incredible competition. For example, you have different brands of pasta, milk, soft drinks and so on. Every company’s goal, of course, is to be able to have as much shelf space as possible and add new products to the assortment. Also, smaller FMCG companies are taking more market share and large reputable companies have to give up some of their market share. This is mainly because current consumers are more likely to choose young brands and are no longer tied to one particular brand.
The Role of Global Co-packing within the FMCG Industry.
Competition within the FMCG industry is cutthroat. Therefore, as a company, you must do everything you can to get yourself on those shelves. You can do this by providing quality, pricing better than your competitors or making sure you stand out in terms of appearance. That’s what we at Global Co-packing can provide. Together, we provide packaging that meets all requirements qualitatively and also looks great. Are you curious about our capabilities? Contact us and we will work with you to find a suitable, and quick, solution.
