Five Imperatives for the Future of FMCG
Makers of fast-moving consumer goods must take several key steps to weather the sector's current challenges.
Fast-moving consumer goods (FMCG) companies face a landscape transformed by disruption. BCG’s FMCG consultants help clients define a path to advantage, even as the pandemic accelerates the pace of change.
The FMCG sector has an unmatched history of value creation performance—thanks to powerful brands, functionally superior products, and scaled operations. But slowdowns in global customer demand, multiple shifts in the customer landscape, and a loss of traditional scale advantages (due to new, digitally enabled models and the rise of e-commerce) have caused the sector to underperform since 2017.
The pandemic has only accelerated the decline. Looking forward, incumbents will—for the first time—be hit by multiple disruptions simultaneously, including a radical reshaping of shopping and channels, further erosion of scale advantages, and a heightened focus on social impact and purpose. Meanwhile, emerging technologies such as artificial intelligence will continue to revolutionize FMCG business models.
Our FMCG consulting experts help clients launch the transformations essential for meeting these challenges and thriving in the new reality.
Our FMCG consultants work shoulder to shoulder with clients to enable them to meet five strategic imperatives vital for sustaining success. For each imperative, we help clients activate high-impact levers for transformation.
We back deployment of transformational levers with proven approaches and methodologies. For example:
1. Become an always-on portfolio manager
2. Reinvent the demand model
3. Digitize end-to-end capabilities
4. Elevate the operating model
5. Inspire with purpose
Makers of fast-moving consumer goods must take several key steps to weather the sector's current challenges.
In order to thrive and win in this future, FMCG players will need to make proactive, bold investments in five areas.
Indonesia’s economic expansion is creating a strong market for these products. To capture the opportunity, manufacturers must understand the country’s most influential demographic segments: their shopping habits, brand relationships, and preferred channels.
BCG’s FMCG consultants draw on their understanding of the unique characteristics of FMCG and the forces shaping the future of the FMCG sector. We help clients excel on multiple fronts including FMCG marketing strategy, trade promotion management, and FMCG sales and distribution management.