Negosentro.com | Trends in the Indian FMCG Sector | The Consumer-Packaged Goods (CPG) otherwise called as the Fast-Moving Consumer Goods (FMCG) sector has always shown great potential in India since, 20th century. The predominant activities and responsibilities of this fourth largest sector of the Indian economy are manufacturing, marketing, and distributing the fast-moving consumer goods.
However, until the 1980s the FMCG companies in India were only a few and the investments in it were limited. The most popular and probably the only MNC company of that time manufacturing its products in India was Hindustan Lever Limited. The customers of HLL were limited as it mainly focused on the customers in urban Indian. Since then, there has been an upsurge of these companies in India. This sector’s trends have evolved over the years, the study of which can help us know the marketing strategies and growth of the FMCG industry. Some leading trends in this sector have affected and will further affect the scope of FMCG companies in India.
Lifestyle Change and traditional culture transformation have fortunately had a positive impact on the FMCG platforms in India. There has been a shift from essential products consumption to the premium products consumption due to the increasing income of the middle-class group, which has made the FMCG companies in India reconsider the marketing strategies as this section of the society is ready to pay more for premium goods.
Health consciousness amongst the people is certainly increasing and impacting this sector in a good way, as people are willing to invest more into their well-being. The health and fitness regime has become an integral part of their lives and the acknowledgement of the fact that self-health and fitness give returns worth the investment lead to this positive switch in their lifestyle. This trend has favoured the FMCG sector globally and increased the production of the goods including the food and drinks embracing this cause. The present generation being keen on healthy and organic intake has largely profited the FMCG companies in India.
Digitalization has brought a major change in the marketing field, as the whole society and especially the millennials are highly influenced by the various social media platforms. People review the products they use and share their experiences on several digital platforms. The digital marketing has undeniably made the advertising process prompter and more impactful by reaching a larger audience, but, it has also made the customers more demanding when it comes to product specifications and so, has led to continuous improvisation in products’ quality.
Customized delivery service is one of the main reasons for the customers looking forward to more such collaborations with these companies. With the growing demand for products and a mammoth number of brands competing, the delivery is becoming a crucial factor in deciding the scope of the companies. There are many FMCG companies in India with the best delivery services incorporating customers’ customizations for their personalized touch. These customizations do cost the company, but they turn out to be worthy enough as they help them analysing the customers’ interests and behaviour.
Hope this article helped know some of the major trends of FMCG companies that brought a revolution in this industry, impacting the Indian economy.