Due to the pandemic, the market for consumer-packaged goods (CPGs) has fluctuated during the past two years. Despite the fluctuation, CPGs continue to grow and expand. Following the trends can allow you to stay ahead of the competition and grow your business. If you’re interested in getting involved in the CPG market, here are six trends you should consider before moving forward:
- Industries Are Prioritizing Direct-To-Consumer
Many industries are prioritizing direct-to-consumer (DTC) due to increased sales and the prevalence of online shopping. Consumers tend to prefer buying products directly from a company rather than visiting a brick-and-mortar store. While physical stores have increased security measures for their consumers, DTC companies that sell online don’t have to worry about in-person safety. This trend has also allowed more startup businesses to get their company off the ground quickly and easily.
- Fast and Easy Delivery
Due to the push for DTC sales and the increase in online sales, consumers have gotten used to purchasing goods online. The prevalence of online shopping has made many consumers raise their standards for deliveries. With the focus on e-commerce growing, many businesses aim to offer fast and easy delivery of their CPGs to maintain their brand image and keep consumers loyal.
- Protection of Consumer Data
Because of the rise in DTC sales, individual sales require personal data from the consumer. Privacy concerns are reasonable, and many buyers are hesitant to share data with a company online. Businesses work to protect consumer data by employing cloud-based platforms and extending data privacy protections. Consumers are more likely to remain loyal to businesses when they are certain there are privacy practices in place to protect their personal information.
- Focus on Analytics
The focus on analytics has taken off considerably since the pandemic began. CPG companies have begun to realize how crucial retail data is, and they have utilized it to gain traction for their business. This focus has allowed some companies to purchase or bypass their competitors.
- Sustainability and Clear Brand Values
Due to the rise in online and DTC sales, consumers are becoming more intentional about what they buy. They tend to support brands they like and value, and if the brand they support violates their values, a consumer is more likely to switch to another brand. Also, consumers tend to prioritize companies that use more sustainable practices. The market has shifted, and businesses that pay attention to analytics might notice consumers gravitating toward more sustainable products.
- Supply Chain Issues
Unfortunately, not all trends in the CPG market are positive. One of the biggest negative impacts on the CPG market are the supply chain issues that have persisted throughout the pandemic. It is important to consider supply chain issues when entering the CPG market.
Trends Are Important
If you’re interested in learning more about the CPG market and how to adapt to fluctuating trends successfully, RIVIR can help. The resources available at RIVIR CPG can help you get your business up and running, and our platform can help facilitate communication across all stages of the distribution process. When getting into the CPG market, following trends and focusing on analytics will help your business thrive. Contact us today, and we’ll help you every step of the way.