The recent developments in technology have significantly changed the way consumers purchase products. As access to the internet and smartphones became more common, e-commerce became one of consumers’ most preferred shopping methods.
Moreover, the COVID-19 pandemic further modified consumer’s approach to shopping. As more individuals spent time at home during the pandemic, the world witnessed a shift in their shopping habits towards online channels. Surprisingly, the trend has continued post-pandemic as people have gotten used to shopping from the comfort of their homes.
The recent trends led to changes in how companies in various industries approach their customers, and the FMCG industry isn’t an exception. Today, almost all FMCG companies build their online presence to boost consumer engagement.
In what follows, we look at a few strategies FMCG companies can adopt to improve their sales and maximize profits. But before we delve into the details, here are a few e-commerce trends worth mentioning.
Recent Trends in Consumer Goods e-Commerce
The world has witnessed remarkable growth in FMCG over the last few years. The global consumer goods market was valued at $355 billion in 2022 and is expected to experience a growth of over 9% for the next few years.
The rapid growth in consumer goods e-commerce can be attributed to various factors, including smartphone access and high-speed internet connectivity. Moreover, easy access to online platforms like Amazon has also led to a growth in consumer goods e-commerce.
Given the recent trends in consumer goods e-commerce, FMCG companies must build an online presence that can help businesses access new growth opportunities. However, it will also aid in improving customer relationships and building a loyal customer base. Furthermore, growth in e-commerce can facilitate FMCG companies in improving their logistics and supply chain operations.
e-Commerce Strategies for Business Growth in the FMCG Sector
To enjoy the benefits of e-commerce, FMCG companies need to develop the right strategies to help businesses grow and improve their bottom-line profits.
A few strategies that can help businesses in the FMCG industry grow are as follows.
Investment in Digital Infrastructure
To gain an advantage of e-commerce, FMCG companies need to invest in digital infrastructure. With a developed technological infrastructure, businesses can conveniently carry out all e-commerce business operations.
Building a Strong Online Presence
Once FMCG companies invest in digital infrastructure that supports e-commerce, they must focus on establishing a strong online presence. By focusing on the quality of products and customer service, FMCG companies can use e-commerce to gain a competitive advantage.
Improving Online Customer Experience
FMCG businesses should focus on improving the online shopping experience for their customers. They can do so by offering a convenient checkout process, easy exchange and return policies, and timely delivery.
Focusing on Establishing a Loyal Customer Base
To maximize the benefits of e-commerce, FMCG companies need to focus on creating a loyal customer base. They can do so by offering rewards for repeat purchases and sharing exclusive discounts to repeat online customers.
Key Takeaways
While brick-and-mortar stores have traditionally been the most crucial distribution channel for FMCG companies, the growth in e-commerce is providing unique opportunities for businesses to grow. By trying some of the abovementioned strategies, FMCG companies can improve their sales, establish a loyal customer base, and improve their overall profitability.
