Food, Beverage and CPG Industry Proves Resilient
June 20, 2013 by Newsfeed Editor
With advanced technology and mobile devices, the rules of consumer engagement have changed. That is one of the key messages from a recent study released by GMA called, Growth Strategies: Unlocking the Power of the Consumer. The study, which appears in Progressive Grocer, is encouraging news to the members of the at-retail merchandising and marketing industry. It shows that although net sales have slowed, companies have seen positive net sales of 7 percent in food, 5.5 percent in beverage and 3.2 percent in household products.
GMA is the voice of more than 300 leading food, beverage and consumer product companies in the United States and around the globe. The story contains a link to the entire report.
Here are some more of the key findings:
-Total retail sales reached $1.1 trillion in 2012: $568 billion at grocery stores and $530 billion at food service and drinking establishments.
-While net sales had been slowly going up since the recession, both top- and bottom-performing CPG companies experienced a slowdown in net sales growth in 2012.
-Bottom performers are starting to hold onto their cash, which means they could be ready to start making more investments in research and development and marketing to launch new products.
-Many companies are embracing the need for product innovation as well as understanding consumer and market needs as part of their R&D activities.
Data from this report points to greater need for understanding of the customer and tells us that successful companies are doing better than most at understanding what the consumer wants from their shopping experience. We can all learn from understanding and adapting these best practices to our own businesses as well as identifying potential new service opportunities to support manufacturers and retailers. Download your copy of the report today.