Resources Platform for Management Consultants

Consumer Packaged Goods

Product

 

Household products (soap, snack, food, pet supply, etc)

 

Distribution

 

Retail outlets, wholesalers, direct email order/online sales

 

Customer

 

Individual customers, retailers of all sizes, wholesalers

 

Competition

 

New products are critical to success. Product mix and brand management are the basis for competition

 

Key Trends

 

(1) Perpetual extension of product line that requires both internal development and outside-in innovation;

(2) Lifestyle/behavior of consumers drive demand, e.g. aging population, online advertising, social network, economic downturn, go-green;

(4) Increasing influence of governmental regulations

(3) India/china emerging markets are key source of future growth

 

Revenues

 

Low margin products with revenue based on volume, and higher margin branded goods that foster price premium

 

Costs

 

COGS (raw material, packaging), sales, marketing, branding

 

 

 

 

Resources

 

Brennan J et al. (2013) Tough choices for consumer-good companies, McKinsey Global Institute

 

Wharton Consulting Casebook (2010)

 

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