FMCG or fast-moving consumer goods is the fourth largest sector & the fastest growing in the Indian economic state.
The sector has grown 11-12 percent in 2019.
According to the Economic Times, the FMCG sector will have a 9 percent growth in 2020.
However, the success of the FMCG market depends on marketing. Now, marketing for FMCG businesses can be a little tricky, because marketers need to pursue a variety of combinations.
What are FMCG goods?
Fast-moving consumer goods are those products which have a shorter shelf life, sold quickly & costs much less than other products.
These are mainly durable items that have a life of a maximum of one year.
We use FMCG products every day. They are the small-scale consumer purchases we make at the produce stand, grocery store, supermarket, and warehouse outlet.
What are the types of FMCG goods in the market?
As we already discussed earlier, FMCG products are non-durable items that have a short lifespan.
Now, these items can be divided into several categories includes:
- Beverages: Bottled water, energy drinks, and juices
- Fresh, frozen foods, and dry goods: Fruits, vegetables, frozen peas and carrots, and raisins and nuts
- Medicines: Aspirin, pain relievers, and other medication that can be purchased without a prescription
- Processed foods: Cheese products, cereals, and boxed pasta
- Prepared meals: Ready-to-eat meals
- Baked goods: Cookies, croissants, and bagels
- Cleaning products: Baking soda, oven cleaner, and window and glass cleaner
- Cosmetics and toiletries: Haircare products, concealers, toothpaste, and soap
- Office supplies: Pens, pencils, and markers
How can digital marketing help FMCG businesses?
The FMCG sector has grown from Rs 2,20,852.4 crore (US$ 31.6 billion) in 2011 to Rs 3,68,669.75 crore (US$ 52.75 billion) in 2017-18.
Therefore, integrating a strong online marketing strategy can have a range of advantages.
To Build A Strong Brand
One of the unique advantages of digital marketing is that it helps to create an effective brand identity that resonates with your target audience.
This helps consumers form a strong opinion of the brand, which will ultimately influence their purchase decision. The FMCG market has a huge product range with similar products to choose from.
To Gain Consumer Insights & Increase Roi
Unlike traditional marketing, digital marketing can be tracked in every step which makes analysis quite easy.
While speculative figures can be produced, there is no way to arrive at a definite conclusion.
However, with proper analytic tools brands can have access to information about a number of impressions, clicks, conversions, and others.
Advanced tools can even be used to help to track consumer buying patterns, likes, dislikes and so on.
Providing Innovative Ways To Promote Your Brand
One good aspect of FMCG products is the availability of a variety of goods which can be titillating if promoted wisely.
Consumers are becoming visual creatures so the more attractive way you promote your brand, the more engagement rate you will get, especially in social media.
Growth In Mobile Usage
Smartphones & high-speed internet has penetrated every section of society.
In India itself, the number of mobile users has exceeded over 500 million marks according to a newly released Kantar IMRB ICUBE report.
Thus a significant portion of the people all over the world is buying FMCG goods from their smartphones.
Digital marketing trends in FMCG need to keep up with the increasing volume of customers who prefer to shop online.
What are the digital marketing strategies to use for FMCG businesses?
We all know the basic platforms & remarketing strategies of social media marketing, email marketing, display ads, so on. But here are some of the unique ways to market your FMCG brand:
Multibranding Strategies
A number of businesses offer a number of brands in the same category. The primary motive of doing it is trying to cover the maximum amount of segments as possible by a single company.
Like for Hindustan Unilever has premium brands like “Dove”, and a much more economic brand like “Lifebuoy” meaning thereby, the company has not left any segment untouched.
Brand Extension
Brands like Amul has butter, ghee, cheese & chocolates. These are brand extensions of regular Amul.
Companies make brand extensions in the hope that the extensions will be able to ride on the equity of the successful brands.
New Product Development
Customer needs changes with time & trends shortened product life cycles and increased domestic and foreign competition.
So companies are developing new products to sustain the growing needs of the customers.
Benefits Of Distribution Network
An effective distribution system can be developed to increase market domination.
Take PepsiCo or Coca-Cola which has a wide network system making them dominating players in the market.
Advertising & Promotion
Of course, advertising and promotion are required to reach the target audience.
There are several mediums like display ads, social media promotions, etc. this is essential to build awareness about the FMCG brand which may be available in the market.
Do you need a digital marketing strategy for your business?
Contact Skyram Technologies and let us help you to build a digital marketing strategy suited for your brand.
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