Press release
Growing Demand for Online Products to Drive FMCG Market Growth at USD 148.51 Billion by 2031
The global FMCG market is characterized by high consumer demand and rapid inventory turnover. Companies operating in this market need to focus on efficient supply chain and distribution management to maintain competitive advantage. Additionally, an effective marketing strategy is crucial to utilizing this market's full potential. FMCG market is important to the global economy, as it generates significant revenue streams and influences trends in numerous industries. The factors driving the global FMCG market include lifestyle changes resulting from increased health awareness. Furthermore, the rising global population, heightened awareness of FMCG products, and the frequent launch of new products and advertising campaigns for FMCG brands all contribute to market growth. The global FMCG market benefits from the growing trend of online shopping as well as research and development programs for new FMCG products and brands. The expansion of the FMCG network in the rural areas of developing countries is also a new opportunity for the market players. However, market players may continue to be affected by factors such as high competition among the major companies and retail execution.
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Growing Popularity of Online Products to Increase Demand for E-commerce to Boost Market Growth
The significantly prevalent trend of the increasing inclination towards the E-Commerce online distribution is one of the prime drivers of the market. The rise in the number of e-commerce has majorly affected the sales of the FMCG products. The wide variety of brand options available to consumers is one of the key reasons shoppers are increasingly focusing on purchasing FMCG products online. Price wars among such extensive range of e-commerce vendors have further expanded more such e-commerce businesses. This has heavily increased competitive pricing and affordability of the products by the consumers. Thus, the drivers mentioned above are expected to boost the FMCG market.
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Increasing Demand for Consumer Goods to Encourage Key Players to Venture into Rural Areas
Due to improvement in infrastructure such as better roads, telecommunication network, and supply chain logistics, FMCG companies can now reach the rural markets that were previously inaccessible. Additionally, increasing incomes in rural areas and aspirations to lead a modern and urban lifestyle contribute to the growth of demand of a wide variety of consumer goods by the rural population. The initiatives taken by government facilities in rural developments and the customer's growing purchasing power have contributed as a major other factor for the growth of the market in these areas. Companies operating in the fast-moving consumer goods market are focusing on manufacturing and marketing to suit only the rural consumers by keeping the prices low, packaging smaller and creating entirely different advertisement campaigns to cater to a growing market. Apart from the increased market size, it also provides a cushion in the situation of urban market burning out.
* In January 2023, Unilever presented a new line of personal care products, which are produced of 95% natural components and packed in recyclable materials.
* In January 2013, Nestle declared about the company's plans to invest $1 billion in the development of new plant-based food and drink products.
* In March 2013, PepsiCo presented a new line of functional drinks developed to improve sleeping, mood, and cognitive functions.
This Market has the Following Segment
Type
* Food & Beverages
* Personal Care & Cosmetics
* Healthcare Care
* Home Care
Production Type
* Inhouse
* Contract Based
Distribution Channel
* Supermarkets & Hypermarkets
* Grocery Stores
* Specialty Stores
* E- Commerce
Key Players Operating in the FMCG Market
* Procter & Gamble (USA)
* Unilever (Netherlands/UK)
* Nestle (Switzerland)
* The Coca-Cola Company (USA)
* PepsiCo (USA)
* Johnson & Johnson (USA)
* L'Oreal (France)
* Colgate-Palmolive (USA)
* Kimberly-Clark (USA)
* Mondelez International (USA)
* Danone (France)
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Growing Emphasis on Customer Experience to Retain Customers to Drive Market Growth
Top FMCG manufacturers are increasingly focusing on improving customers' experience to enhance brand loyalty and increase their profit. Additionally, e-commerce and sustainability are factors contributing to this trend. Manufacturers aim to simplify the process for customers to learn about their products online while also promoting awareness of their corporate social responsibility (CSR) practices. The majority of FMCG manufacturers are also using new technologies, such as chatbots and online reward programs, to improve customer service and implement various loyalty schemes designed for making customers come back again.
Related Report: Food Logistics Market [https://www.skyquestt.com/report/payment-processing-solutions-market]
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