Jaipuria Institute of Management, Indore students delved into n insightful study on game changing trends in the FMCG domain. 2018 seems like a sunny year for FMCG companies. How?
Fast Moving Consumer Goods (FMCG) sector in India has grown from USD 31.6 billion in 2011 to USD 49 billion in 2016. In the last quarter of 2017, the revenue in the sector grew by a whopping 17%. Predicted growth suggests that the FMCG sector will reach dizzying heights of USD 103.7 billion in 2020. Clearly, there is a lot to play for in the sector for businesses and brands; especially for the ones who want to win over the fast growing consumer.
An interesting facet of the India market is that the rural segment contributes for around 60% of the market share. Over the next ten years, the revenue for FMCG in the segment is set to grow ten times. Yes, ten times! So, what does it take to woo the dynamic Indian consumer? How can professionals who are making their way into the industry know the pulse of their audience? Here’s looking at the top FMCG Marketing Trends for the year 2018.
It’s important to realize that food fads are fickle, but trends in the industry have a longer shelf life. They are driven by social, cultural and political factors, and they go on to dictate the marketing strategies for FMCG brands- in every possible way. Keeping a tab on the trends allows managers in the field to device, and improvise strategies to good effect.
Health and wellness to get its due
There is a growing awareness amongst the consumers about their wellbeing. People are increasingly taking their health seriously but fast paced lives make their task difficult. For brands to make an impact, they will have to offer health benefits on a platter and suited to consumers’ convenience. With the launch of wellness brands and products catered to users’ lifestyles, focus will be on their usability and convenience.
Personalization is the key
Consumers are already asking, ‘what’s in it for ME?’, and the emphasis on the “Me” is only growing further each passing day. Personalization is the way forward for FMCG brands. Yes, the strategy comes with a cost but also has immense benefits as it offers brands an insight into consumer behavior. In 2018, you will see FMCG marketing gurus coming up with novel ways to ensure that their brands have a consumer specific impact.
Experiential marketing leads the way
Millennials and Gen Z consumers are growing in numbers, and with them they bring their unique demands out of FMCG products. A recent study showed that they are keener on experiences rather than the product so that they can be shared on various social media platforms. Online marketing is definitely the way to tap into this audience, but in 2018 brands will have to emphasize on experience sharing to attract consumer attention.
Today’s consumer is getting more discerning than ever and is looking at the bigger picture. Socially conscious products and sustainability are going to be the buzzwords in the FMCG market in 2018. The impact is being seen in India as well and brands will have to make a point of reminding audiences of the exotic elements in their products, craftsmanship, planet friendly manufacturing etc. Marketing moves will have to be directed to appeal to the conscience as well.
With the consumer behavior evolving at a fast pace, brands have to keep up with the marketing trends that will have their sway in 2018. And what is Jaipuria Institute of Management doing to keep their PGDM graduates up to date in this frenzied world of Change?
The B-school fosters a very Research-centric, practice based approach in its Marketing department. Leading practitioners and academicians deliver the course. From Prof. B.D. Nathani, popularly known as the Bhisham Pitamah of Footwear industry to academicians like Dr. Ashish Chandra, with his vast experience in research and publications- a Jaipurian learns to master the skill sets of surviving in the demanding world of FMCG and Marketing from day one into the course.