fmcg me

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This will be the next big trend in Indian eCommerce industry – mergers and accquisitions of over crowded industry, The shift has happened from Valuation. Valuation is the new boom FMCG – Fastest growing FMCG in India – Patanjali Why does it work – Low cost Zero spend in advertising Baba Ramdevs fandom. Attracting a market which is not closely monitored by FMCG giants like HUL and ITC – Buddhas and rural market.Solid online presence – sells goods through e-commerce Food products – 43 percent Personal care – 22 percent Fabric care – 12 percent Rural areas showing better growth than Urban areas With rise in disposable incomes, mid- and high-income consumers in urban areas have shifted their purchasing trend from essential to premium products. In response, firms have started enhancing their premium products portfolio. Indian and multinational FMCG players are leveraging India as a strategic sourcing hub for cost-competitive product development and manufacturing to cater to international markets. Why young markets are important 18-24 year people focus more on the peer review and online review than other age groups Mobile marketing contribution by fmcg companies the highest http://retail.economictimes.indiatimes.com/news/industry/research- roundup-retail-realities/48141445 - for explaining the retail portion in your work Big shopping centers have high bargaining power nowadays due to the decreasing space.of unorganized retail

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Page 1: FMCG me

This will be the next big trend in Indian eCommerce industry – mergers and accquisitions of over crowded industry, The shift has happened from Valuation. Valuation is the new boom

FMCG –

Fastest growing FMCG in India – Patanjali

Why does it work –

Low cost

Zero spend in advertising

Baba Ramdevs fandom. Attracting a market which is not closely monitored by FMCG giants like HUL and ITC – Buddhas and rural market.Solid online presence – sells goods through e-commerce

Food products – 43 percent

Personal care – 22 percent

Fabric care – 12 percent

Rural areas showing better growth than Urban areas

With rise in disposable incomes, mid- and high-income consumers in urban areas have shifted their purchasing trend from essential to premium products. In response, firms have started enhancing their premium products portfolio. Indian and multinational FMCG players are leveraging India as a strategic sourcing hub for cost-competitive product development and manufacturing to cater to international markets.

Why young markets are important 18-24 year people focus more on the peer review and online review than other age groups

Mobile marketing contribution by fmcg companies the highest

http://retail.economictimes.indiatimes.com/news/industry/research-roundup-retail-realities/48141445 - for explaining the retail portion in your work

Big shopping centers have high bargaining power nowadays due to the decreasing space.of unorganized retail

Distribution growth, innovations around sachet offerings, employment rates and index of

industrial production (IIP) are key influencers of FMCG sales in India.

Sachet offerings very important

Proper positioning will also ensure that cannibalization of product doesn’t matter. For e.g

Loreal and Garnier positioning

Different hair care techniques for the upper market and the lower market

The FMCG sales have also gone down .- Low distribution growth. Has been found also in

the competitions.

No new product innovations in Shampoo. When I conducted a research in college we

found that most of the students don’t shampoo regularly.

Page 2: FMCG me

Low GRP has also affected sales

Cavin Kare launched Sachet chik shampoos in 2015

Zydus Wellness (Sugar Free , Nutralite and everyuth)

This is were the FMCG company should save for Price Sensitive goods

Counterfeit products are a problem P&G has found out that Vicks vaporub duplicate has

raked in sales equal to 54 %

Delhi Government made it mandatory for all e-commerce companies to file their transaction details on the website of the Department of Trade And Taxes while paying tax, after cases of tax evasion by some firms were spotted.

Trends of this world – today there are more mobiles than the no of people in the planet- Digitization, Trends sshifting from west to the east,Changing relationship between people and planet

NASA scientists today say that your cell phone has more power than the computers used in Digital Era

Every small decision you take the impact is seen amonfst 2 billion people

Youth being the center of the decision making

Consumer confidence index is on a 5 year high at 130.n

The Net Promoter Score, itself, is calculated based on responses to a single

question: How likely is it that you would recommend our company/product/service to a

friend or colleague? 

Seller NPS is useless because sellers wont want their friends and colleagues to join them

and compete

Correlation between NPS and Market Share

unless you have the intent, bandwidth and resources to do the deep-dives and follow-ups, measuring NPS in isolation will just tell you if you’re doing well or not, but not why or how to improve. And that, to my mind, is a complete waste.

The basic approach of positioning is not to create something new and different, but to manipulate what’s already in the mind, to retie the connections that already exist

Nowadays luxury brands are trying to appeal to the youth.Because youth are the ones who spend the maximum interaction time on mobiles and as we know the youth prefer cheap products. Then luxury brands have to diversify their range of products.

Luxury brands normally try to fulfil the aspirational needs of the people. Exclusivity or dilution is their primary concern

Most difficult is to target – THE MASSTIGE

Page 3: FMCG me

The biggest disruptor in the retail Industry

MOBILE TECHNOLOGY

The FMCG sector is more dependent on unorganized retail .More focus on Digital

currency,Comparision of products available. Now they are youth oriented. But this will become a

norm.

PWC s research has changed their approach to decision making using BIG DATA and Analytics

4 influencers –

Vulnerable supply chain

Mobile marketing

Changing customer data

Difficulty in collecting data – unorganized retail,organizational Silos

In this age according to PWCs top survey the main concern is regarding cost margins and then

profitability globally while 67% of the indian ceos believe that they want profitability. Focus on

online presence is also more in India when compared globally. Same with exposure to high

growth markets

Indian FMCG market is more concerned about evaluating the outcome of the decision.They want

to use analytics

Current Indian Trends in The FMCG sector -

Shoppurtinity - Reminded - 29%, Impulse - 12%, CPlan Category.. Many indian shoppers dont relate their pre-purchase want to the thing they actually buy.This puts more emphasis on the store design and visbility

Channel - 75% sales through Grocery, Then Chemists-fastest(promotes in-store brand) growing

sellers Modern Trade- Big Bazaar Shoppers stop, Cash n Curry for wholesalers, SPPs for baby oye and

all

In store brands are stores which only have those brands

Democratisation of premiumisation

Page 4: FMCG me

2 in 5 customers look for premium products. The challenge lies in making the luxury products available for evry one without dilution.

Newism

The rising growth of nuclear families are actually making consumer decisions independent of in laws views and all. It Is like Social Media is the new influencer

The channel is used as a laboratory for innovation better.Cooling medium, as we see yoghurt and all coming to the retailers and retilers storing it

Compact dongle like sd card, Shampoo to suit water type ,

Naturally cooling ingredients to keep soft drinks cold. Innovations should be outside in. Not the other way around

Health & Wellness product:

Today around 50% of the consumers are covered with Health Insurance compared to 25% in the last year. Healthy products are coming out on top like Saffola Oats and stuff

Rise of Private labels

Private labels include Big Bazaar Reliance Mart etc are marketing their own brand

Exploding expressions

AUTONOMY EVAPORATION – although we are independent a lot of buying decisions are dependant on digital media

The cost center

The cost center has moved towards children with parents trying to satisfy the needs of children more

Time impoverished

Initially consumers used to spend time to save money. Now the current trade is to spend money to save time.Shelves that are organized based on shopper needs and bundling that respects customers time will help win in-market

Convenience FMCG products are growing at a fast rate

Deals & Thrills

Data is important because it will help in determining where and how to give deals. Brands that create smart deals will get shoppers to buy more

.FMCG products are becoming giftproducts

Leveraging all the consumer trends in store will be very important

Page 5: FMCG me