Full Form of FMCG :
Fast Moving Consumer Goods
FMCG Full Form is Fast Moving Consumer Goods. It is also known as Consumer Packaged Goods (CPG). It is a multi-million-dollar industry comprised of a series of brand names. These are goods used in the daily lives of a common man such as groceries, drugs, laundry products, cleaning products, personal care items, foodstuffs, and other items including those low cost and high volume goods. FMCG has been consistently evolving without dull moments.
Some of the examples of the giants in the FMGC industry include Dettol, Coca-Cola, Dairy Milk, Colgate-Palmolive, Dove, etc. Whether it is innovation or career progression or the rate at which the goods move, there has always been a swift movement in the entire process. FMCG mainly thrives on customer retention and employees and can actually beat the recession.
FMCG Full Form – Additional Information
This is a fast paced world and people hardly have the time or energy to undertake detailed chores. Everyone is on a lookout for items that can ease the work and give some comfort. Thus, it is a profitable venture to produce goods that are fast moving and much in demand.
WHAT IS FMCG?
FMCG or Fast Moving Consumer Goods are items that are used on daily basis in every household and thus are consumed on a greater scale. Apart from this there are items that may not be used daily, yet are high in demand like packaged foods, cold drinks, over-the-counter medicines, etc.
A fast moving consumer good is so called since it has a shorter shelf life. The meaning works in two ways – the items are picked off the shelf rapidly and do not remain for a long time. As well as the meaning that they are perishable items and even though processed, have a limited shelf life and thus need to be consumed soon.
As consumers, the daily needs items are toiletries like bath soaps, toothpaste, washing powder, bath gels etc. Apart from this, there is also demand for packaged milk, curds, frozen pre-cut vegetables, cold drinks, beverages like tea and coffee as well as milk additives like Bournvita, Horlicks etc.
As the population increases, so does the demand for daily utility stuff and this makes the FMCG companies most profit making even though their actual profit margin over each item is low. The profit comes from the mass consumption of goods and constant demand.
BUILDING A RELATIONSHIP
In India, there are many companies that vie for consumer’s attention and introduce new products on a regular basis to create a group of loyal clientele. Some people are very fastidious when it comes to choosing items from a supermarket shelf and stick to one particular brand of product and company, as they feel that the company is a trusted name and thus their products will always be of good quality.
So as you can see, it is essential for the FMCG companies to manufacture or market quality products to build a relationship of trust and help in retaining the client following. Day in and day out we see many products being advertised in the newspaper, magazines and more effectively, on television. The visual appeal of the product is enough to raise the curiosity of a customer and on his next visit to the store or supermarket he is bound to hunt down the shelves to see if that advertised product is available for trial or sale.
After seeing and purchasing the product, the consumer tries to ascertain at home if the claims made in the advertisement are valid or not. If the outcome is satisfactory, then the product and company become a “trusted brand”. In this fast paced and competitive world if you have to survive in the market, then maintaining the quality of the product is of prime importance.
INDUSTRIES AND ITEMS COVERED UNDER FMCG
We as consumers need various things in the house to maintain it like soaps, detergents, floor cleaners, utensil cleaners etc. Our personal grooming also requires items like bath soaps, shampoos, toothpaste and so on. Besides toiletries, makeup items are also used on a large scale like face creams, fairness creams, moisturizers, lipsticks, etc. Hair oil, hair dyes, and gels along with good shampoos and conditioners are a must for males and females alike. With the present image conscience society trend, these items are forever high in demand and FMCG companies strive to market the best possible product in every range to capture the market.
Just like household utility goods, there are items from food group also that fall under the FMCG category. Packet stuff like chips, savory food items, packaged milk/curds, cakes, biscuits etc are regularly consumed by the masses and thus, barely stay on the market shelf for long. Same applies to baby products and baby foods. Diapers, wipes, lotions and creams for the babies are every mother’s choice and with the booming population, there is always a constant need for these items.
Of late, to make the cooking work easier for the career woman, many companies have started marketing pre-cut vegetables, fish, meat, chicken etc. These are perishable items and need a quick buyer. Bakery products like cakes, biscuits, and bread too are delivered to stores on a daily basis and need to be consumed at an earliest.
LIST OF FMCG COMPANIES AND THEIR PRODUCTS
Top companies like Godrej, Proctor & Gamble, Unilever, Tata, Johnson & Johnson, Britannia, Parle Agro, ITC Ltd and much more have been ruling the Indian FMCG market for a long time. Godrej markets products like Cinthol soap, hair color, Real Good chicken, shaving creams, etc. Tata has been marketing tea, salt, coffee, and have recently introduced cleaned and packed pulses and grains etc.
Johnson & Johnson have been associated with manufacturing and marketing of baby products like baby lotion, soap, cream, No- more- tears shampoo, baby powder and so on. They also make wet wipes clean baby’s tender skin. ITC is a leading brand that is famous for Sunfeast biscuits, pasta etc. Their another product that can be found in every home is Ashirvaad atta, Sunfeast Yipee noodles, Bingo chips, B Natural fruit juices and much more. To lessen the burden of cooking they also have Ready-to-eat foods that just need warming the package and serving. In personal care products, their Fiama soap and body wash, Vivel soap, Shower to Shower prickly heat powder, Savlon antiseptic are preferred by many. Besides all this, they also market many makeup items like facial creams, perfumes, deodorants etc.
Nestle is the company that made Maggi noodles famous in every household. Their tea, Nescafe, Everyday dairy whitener, food tastemakers are popular and used in many kitchens. Unilever markets Kwality brand of ice creams, Lipton tea, Lux soap and body wash, Knorr soups, noodles and ready to eat foods, Pond’s creams and powders, Axe deo sprays, Pepsodent toothpaste, and Lifebuoy soaps, hand wash etc. Dabur has been making ready to use kitchen spices pastes, toothpaste, health supplements and so on. There are many more companies that are taking full advantage of the fast growing FMCG market.
THE FUTURE OF FMCG
FMCG companies make less profit per item. However, since the demand is high and the production is large, they make enough overall profit. These companies establish themselves in the market by building consumer trust and thus the consumers get sustained good quality products. This is required to stay alive in this competitive market of household goods. As per capita income increases due to high paying jobs and both earning partners, the lifestyle is more affluent and there is enough spending capacity to buy quality premium goods at a reasonable price.
FMCG are all affordable, low priced items as they are consumed in bulk. This facilitates the masses – rich, as well as middle-class people to enjoy the benefits of well-branded items and popular brands like Colgate toothpaste, Dettol soap etc, are found in even health and hygiene conscious poor homes. So as we can see, fast moving consumer goods are not only beneficial for the companies that manufacture and market them, but also for the consumers as they get plenty of variety for each item to choose from.
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