Report depicts new rules for CPG brands, retailers
Positive 2012 sales for food, beverage, household products, report states
Retailers and consumer packaged goods (CPG) companies are dealing with new rules of consumer engagement as they seize opportunities from advanced technology and the digitally connected consumer, according to the 2013 Financial Performance Report titled “Growth Strategies: Unlocking the Power of the Consumer” by the Grocery Manufacturers Association (GMA), Washington, D.C., and PwC US, New York. Despite the overall slowing of net sales growth rates in 2012, the report notes that food, beverage and household products companies experienced positive net sales growth of 7.0 percent, 5.5 percent and 3.2 percent, respectively.
According to the report, leading CPG companies and retailers benefit from responding to the speed of the connected consumer and balancing operational quality with innovation accordingly. Top-performing companies see success by identifying their consumers, engaging with them, and focusing on innovations that directly reach their customers, it states. The report explores how numerous digital channels, accelerated mobile adoption, and a direct-to-consumer approach are impacting retailing and CPG manufacturing. The report also examines how companies can seize new opportunities by creating lasting brand value.