Fast-Moving Consumer Goods (FMCG)

Meeting dynamic demands

Navigating challenges in the evolving FMCG landscape – from unpacking consumer trends to managing ‘net’ pricing pressure.

We know your challenges: Our comprehensive approach for profitable growth.

At Simon-Kucher, we offer solutions that empower FMCG manufacturers to return to profitable growth. Our expertise has assisted midsize to global players in achieving 5-10% incremental growth by enhancing their marketing and commercial approach.

In today’s FMCG landscape, ensuring consumer engagement with your brands presents a myriad of challenges. Shrinking household budgets and declining brand loyalty lead to increased brand switching, down-trading to private labels, and a preference for promotional purchases. Additionally, consumers are less receptive to innovations, and the changing dynamics of information behavior and media consumption make it difficult to effectively address target groups.  

Retailers, too, must struggle in a high-cost, price-sensitive environment. Cost pressures drive retailers to adopt more aggressive negotiation strategies and promotions. Buying groups, especially in net price negotiations, become pivotal players. Retailers’ increasing demand for sustainability and a reliable supply, as well as the growing significance of e-commerce heighten pressure on already tight margins.

FMCG companies are confronted with their own set of cost-related difficulties. High operational costs, persistent inflation driving up the cost of goods, employees’ significant salary demands, and the volatile economic environment contribute to unpredictable costs. When combined with substantial price increases and reduced volumes, this creates scale effects, necessitating innovative solutions for sustained profitability.

At Simon-Kucher, we recognize the intricacies and dynamics in the FMCG industry and are committed to assisting you in navigating these challenges with our 360-degree suite of solutions. Our expertise has assisted midsize to global players in achieving 5-10% incremental growth by enhancing their marketing and commercial approach. 

Services & Capabilities

01

Revenue Growth Management

02

Brand and portfolio strategies

03

Marketing investment optimization

04

Price pack architecture

05

Promotion excellence

06

Trade terms optimization

07

Route-to-market and route-to-consumer strategies

Our Approach

We have the solution: Equipping FMCG companies with the strategies and tools for sustainable success.

To overcome the multifaceted challenges from consumers, retailers, and costs, branded FMCG manufacturers must embrace a comprehensive approach. This involves optimizing every facet of growth, including market strategy (adjustments vs. new), omnichannel strategy (brick-and-mortar retail vs. e-commerce), and customer strategy (win with the winners, trade terms and international net price management). This all should be supported by a suitable product and brand portfolio, pricing, promotions, marketing investments, and facilitative governance, tools, and data structures within and across countries. 
 

Consumer-centricity is at the heart of our approach, underpinned by insights into consumer behavior. Our solution development is tailored to specific consumer and shopper needs, ensuring a targeted and effective approach. From sales channels to your product portfolio, pricing, promotions, and marketing, we customize every aspect to fulfill consumer expectations to the highest level.

A collaborative approach is fundamental to our success, as we leverage our industry expertise and data analytics skills in tandem with our clients’ knowledge. Together, we align strategies and solutions with the dynamic interplay of market forces and overarching business objectives to create tailored solutions for all of our clients.

Our end-to-end solution development begins with a comprehensive understanding of the market, aligning strategies with our clients’ objectives. From initial strategy development, concept design, to the final implementation and incorporation of the right digital tools, we are committed partners throughout, ensuring that our solutions result in tangible and lasting impact.

Explore how our expertise can empower you to overcome challenges, achieve growth targets, and thrive in the ever-evolving FMCG market. Reach out to us today! 

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Our team

Partner
Istanbul, Turkey
Senior Partner
Barcelona, Spain
Senior Partner
Paris, France
Senior Partner
Cologne, Germany
Senior Partner
Mexico City, Mexico
Partner
New York, USA
Partner
San Francisco, USA
Contact us

Our experts are always happy to discuss your issue. Reach out, and we’ll connect you with a member of our team.