profile of fmcg sector
TRANSCRIPT
Profile of FMCG Sector
FMCG is an acronym for Fast Moving Consumer Goods, which refer to things that we buy from local supermarkets on daily basis, the things that have high turnover and are relatively cheaper.
SWOT of FMCG Sector
Strengths: Low operational costs Presence of established distribution networks in both urban and rural areas Presence of well-known brands in FMCG sector
Opportunities: Untapped rural market Rising income levels, i.e. increase in purchasing power of consumers Large domestic market- a population of over one billion Export potential High consumer goods spending
Weaknesses: Lower scope of investing in technology and achieving economies of scale, especially in small sectors Low exports levels "Me-too" products, which illegally mimic the labels of the established brands. These products narrow the scope of FMCG products in rural and semi-urban market.
Threats: 1. Removal of import restrictions resulting in replacing of domestic brands2. Slowdown in rural demand3. Tax and regulatory structure
Overview of FMCG Sector in India
Rs. 72000 Crores IndustryOne of the largest sectors in Indian EconomyHuge untapped potential Growth continues despite the global slowdown
Top 10 FMCG Companies
Hindustan Unilever Ltd.
ITC Ltd.
Nestlé India
GCMMF (AMUL)
Dabur India
Asian Paints (India)
Cadbury India
Britannia Industries
Procter & Gamble Hygiene and Health Care
Marico Industries
Some other companies that offer good career prospects in the FMCG sector are Godrej, Parle, PepsiCo, Coca-Cola, Colgate- Palmolive, Revlon, J&J, Parry’s confectioneries, Nirma etc.
Hindustan Unilever Limited
Turnover exceeded Rs. 20,000 Crores in 2009
FMCG segment grew at 18.3 %
Reached around 700 million consumers and covers 6.3 million retail outlets
Employs more than 15000 persons including 1300 managers
ITC Limited
FMCG turnover exceeded Rs. 18,000 Crores in 2009
Segment revenue of FMCG grew by 20% over last segment
Reaches about 2 million retail outlets
Group employs more than 29000 persons
Dabur India Limited
Turnover exceeds Rs. 2,800 Crores in 2009
Market Capitalization of over US $ 2.2 billion
Wide & Deep Market; serving about 2.8 million retail outlets
Selected amongst top 25 Great places to work in India
Cadbury’s
Employs around 50000 people and have direct operations in over 60 countries
Ranked amongst best places to work in 2008
Wide base of around 1 million customers
Confectionary market valued at Rs.41 billion & growth is estimated at 23%
Beverage industry is valued at Rs. 16.1 billion and is Growing at 10.1%
Nestle India Limited
Turnover exceeded Rs. 4,400 Crores in 2008
Reaches about 2 million retail outlets
BRITANNIA
9th most trusted brand according to brand equity. The turnover of Britannia exceeds Rs. 2,300 crores 30% growth in Bread, Cake & Rusk business Overall sales growth of the company is 17.5%
Procter & Gamble
Rank 12 in business week's 2009 ranking of 50 most innovative companies 23$ billion dollar brands 85% of P& G leadership has one or more international assignments Products are Tide, Ariel, Olay, Pantene , Head & Shoulders, Pampers, Pringles,
Duracell.
Why FMCG Sector?
A high profile industry
Job security - Sustain Robust Growth – no slowdown in consumer spending
Numerous Opportunities, both urban and rural
Quick experience
Accelerating urban disposable income
Strong educational qualifications acts an advantage
Initial low package but salary packages rises fast
A wide range of experience
FMCG as a Career
A career in FMCG encompasses a large number of job roles. These are :
Market ResearchPricing Product DevelopmentPurchasingAdvertisingBrand Awareness
FMCG is a sector where fresher's can gain excellent rewards if they work hard. FMCG products are those that move off the shelves in retail outlets very quickly.
Besides these roles, this sector also absorbs large no. of people for Finance and HR related jobs.
Websites:
www.itcportal.com
http://www.nestle.in/join-us.aspx?OB=2&id=21
http://www.amul.com/