FMCG sector Archives - Bada Business

Resourceful Techniques For Improving Sales In FMCG Sector

One of the extremely competitive industries is FMCG. This industry is always on the edge of change with rapid growth in terms of customer choices and preferences. Sales are one substantial factor for any business which every brand owner wants to achieve. FMCG business sales act similar to a balancer in which both the side required to be balanced equally.

In FMCG, quality and price are the main objectives to fulfil the sales targets. It doesn’t matter whether you sell any products the basic factors remain the same. In past years, many new ways came up to increase the sales have taken place like high use of e-commerce websites and subscription boxes have developed, and catered to niche markets. Thanks to the internet and technology developments have acted upon the industry to run the business.

So, if you want to dominate this competitive sector, then follow the following sales increasing tips and grow your business.

Try To Learn Your Customer’s Requirements

With a change in time, your customer changes with its purchasing habit also change. Its observed customer habit and buying attitude are changing rapidly, and to interpret this attitude of customer behaviour towards the products of your brand, one needs to build its own strategy.

It will aid you, in the long run, to know about customer attitudes and capturing the market. Therefore, you’re first towards facing the competition, and standing up front in the market is to know who is your real customer and then know their buying nature.

Set Dealer Margins

Being new in the industry and aim to build your brand, then you should set the margins for dealers who are going to buy your product. These people will buy the product with cash or credit to and make it reach your target audience. Make sure your pricing strategy should be made by focusing on all the factors like the discounts they will offer to customers.

To attract the dealer towards your product, you need to offer them a quantity discount which attracts them to order products in huge quantities. Think about the commission percentage also and limit at what level they can earn this commission. Hence, once you know your customer then focus on the dealers who will help you to reach your customer.

Maintain Your Operation Effectively

An operation in the company is needed to be focused very efficiently in any company. For this one, needs to acquire proper tools to manage all operational activity. FMCG industry is observing changes in every aspect like tastes and choices, so one should know the precise type of customer software to make your business grow.

Look and work towards maintaining all operations in your company, from managing deals to understanding the customer with quality and quantity of the product. Once you streamline your operational factor, it will easy to manage and reach the target sales.

After Sales Services

For any business, the most significant factor is to build the reliability, approachability, and convenience of after-sale service warranty claims and possible refunds. You should never ignore your customer once they have bought your product. If you do so then, not only you lose one loyal customer and lose trust in the market.

The brand which is easily accessible and available for all kinds of queries always creates a strong relationship between them. As it said, one happy customer brings more customers, similarly, one unhappy customer can make you lose potential customers.

The FMCG industry is a high potential growth industry. You can find a lot of hidden growth strategies for existing and new brands. The main point is not how many years you have given in the industry, but also how smart you make your business strategies. Utilize the given tips to increase the sales of your brand.

Four Possible Threats That May Affect FMCG Sector In 2020

Who doesn’t know Fast Moving Consumer Goods or FMCGs? It is one of the sectors which have a strong position not just in India but also in the global economy. FMCGs are those products that deliver a short shelf life and a high rate of selling.

Thus, only FMCG retains many business opportunities. 2020 may have been the year of surprises and shocks, but it’s been a year of technology. This year will ramp up with technological transformation. Companies will be concentrating on more operational efficiencies basically, for slow consumption on the rural market. Platforms like retail intelligence will use the technology pack to use the data insight for meeting the production to use the balance. They’re a lot of attempts made to bring satisfaction among retailers and consumers.

While the market remains to grow at a rapid pace, the Indian Retailer gets a look at threats that may affect the FMCG industry. Let have a look at the threat faced by the FMCG industry.

The Threat of Getting Replaced

In the market, one product has more than five brands to cater to the consumer, and it’s very comfortable for them to choose or switch from one brand to another. Consequently, brand owners need to work on the strategic decision, price, and quality at the same time to cater to the audience.

Some products have a small difference between them. Therefore, it is not difficult at all for the user to take the decision changing them from regular product to another. Thus, the threat of getting replaces is real, and it cost us enough when the consumer does this. Hence, brand owners need to work on both an immediate and long-term plan for attracting buyers to stay with you.

Brand Rivalry

With changing time brand not only expanding themselves, but getting into new geographies with new categories to touch new modern retail market. We all are brands like Wipro, Patanjali, and many more are diversifying and expanding their product range to cater to each group with varieties. As we know, the FMCG industry is highly fragmented as more companies enter the market.

This brings huge competition and tough times for weak brands in the market to stand. They need to work on price with the product’s quality and great deals so that they can stand big competition.

Transaction Power of Buyers

Increasing incomes and young growing population have been key growth drivers of many sectors. With low-cost products attract customers to switch to other brands. Thus, the brand owner needs to cater to more demand with a new product range.

This can only be achieved only by a strong influencer of marketing strategies to get the consumer to stay with your brand. For sustaining, the customer brand owners need to reach a firm decision on how they stand up with cheap brands without losing the quality of the product and customer.

The Threat of New Players

Every new competition in any sector gives threats to any existing brands in the market. An investment plan approval by foreign equity in single-brand retail and 51% in multi-brand retail give new brands a chance to enter the market and results in making the market crowded and full of competition.

That also leads companies to spend aggressively on the adverts and other promotional plans that can hurt the brands in the long run

Every industry has it their kind of benefit and threats which, you need to cater to changing times. These threats will help you to quiver up the problem and help you to face them with the thought process.