Ensuring Success for a FMCG Company

2722 Words6 Pages

Introduction

Within the fast evolving and highly competitive business environment that is today, new businesses will need to fine tune the processes undertaken which help in the overall success of the company within the business industry. FMCG is the abbreviation for ‘fast moving consumer goods’. FMCG Companies manufacture retail products that have a relatively short shelf life because they have a high turnover rate or because the product deteriorates rapidly, for example fresh food products (Jaray, 2005, p. 23). The goods must be bought every week or few weeks according to (Powell and Hardy et al., 2013). The authors go on to say that the goods must be cheap and that the FMGC business model must have a high volume/low margin. It must also include brand loyalty into the business model, as “FMCG companies cannot survive in business without many category buyers choosing the advertised brand regularly.” Furthermore (Heggde, 2010) shows examples of the biggest FMCG companies being Nestle, Unilever and Proctor and Gamble, with its products being chocolate bares, toilet paper, and soft drinks. The author states that examples of FMCG brands are coca cola, Kleenex, Pepsi and mars bar.

The new business will need to have a brand that is going to be attractive to its market, and will allow for the consumers to choose the product without hesitation. Exhibited by (Lancaster and Withey, 2007) f the authors for example, state “the product is bought frequently with little information search or alternative evaluation by customers.” Ultimately From this the company will therefore need to provide a brand to the consumer that is trustworthy and satisfies their needs allowing for customers to buy the product over and over. Without the correct proce...

... middle of paper ...

...ailable at: http://www.mediacom.com/en/what-we-do/our-industry/media-planning/what-are-the-challenges-of-media-planning.aspx [Accessed: 7 Dec 2013].

• Morritt, R. 2007. Segmentation strategies for hospitality managers. New York: Haworth Press.

• Nargundkar, R. 2008. Marketing research. New Delhi: Tata McGraw-Hill.

• nibusinessinfo.co.uk. 2013. How to identify new business opportunities. [online] Available at: http://www.nibusinessinfo.co.uk/content/how-identify-new-business-opportunities [Accessed: 8 Dec 2013].

• Powell, H., Hardy, J., Hawkin, S. and Macrury, I. 2013. The Advertising Handbook. Hoboken: Taylor and Francis.

• Shankar, V. and Carpenter, G. 2012. Handbook of marketing strategy.

• Strydom, J. 2004. Introduction to marketing. Cape Town, South Africa: Juta.

• Viardot, E. 2004. Successful marketing strategy for high-tech firms. Boston: Artech House.

Open Document