The fast-moving consumer goods (FMCG) industry in India has experienced significant growth, hitting a value of $105 billion in 2021 with expectations of a Compound Annual Growth Rate (CAGR) of 3.15% until 2028, reaching an estimated $131.54 billion. As the market expands, understanding the evolving trends becomes pivotal for staying competitive and addressing challenges like supply chain disruptions and inflation.
1. Premium Products’ Elevated Status
Despite rising inflation, the demand for premium goods remains robust. Customers still seek these upscale products, favouring luxury even in economically challenging times. Additionally, there’s a noticeable shift towards environmentally friendly premium items, catering to consumers’ sustainability preferences.
2. Leveraging Consumer Data for Insightful Analytics
Data holds immense value across industries, aiding in understanding customer preferences and behaviours. Analyzing this data helps in refining business strategies, boosting sales, and product enhancements, and aligning offerings with customer expectations.
3. Personalized Food Experiences
Customers increasingly lean towards personalized offerings, evident in the rise of online grocery shopping. The convenience and tailored experiences offered by eCommerce during the pandemic have now become the norm. The demand for personalized food items like home meal kits continues to grow, likely to become more prominent in 2023.
4. Speeding In-Store Automation
Automation remains a game-changer in the FMCG industry. Leveraging sales automation and self-service tools enhances customer experiences. Features like shipment tracking, chatbots, and self-checkout kiosks elevate customer satisfaction and brand perception.
5. Embrace of Digital Marketing and D2C Channels
FMCG businesses need to evolve their marketing strategies, shifting towards direct-to-consumer (D2C) channels and digital platforms. Traditional advertising methods like TV and Google ads are becoming less effective, giving way to influencer marketing and social media engagement.
Understanding and adapting to these trends is crucial for FMCG brands to remain innovative, flexible, and customer-focused. Embracing automation, employing customer-centric marketing, and leveraging tools like the Goods Checker ecosystem can provide a competitive edge in a rapidly evolving landscape. Goods Checker aids in merchandise display, SKU analysis, and planogram compliance, offering transformative solutions for businesses seeking a competitive advantage.
