abhishreshthaa
Abhijeet S
• The consumer product sector mainly consists of personal care, cosmetics and home products segments. The sector can be further sub-divided into dental care products, soaps, detergents, surface cleaning products, skin care, and hair care products.
• India's rural markets have seen a lot of activity in the last few years. Since urban markets are saturated in most categories, future growth can come only from deeper rural penetration.
FMCG majors are aggressively looking at rural India since it accounts for 70% of the total Indian households.
• The industry is volume driven and is characterized by low margins. The products are branded and backed by marketing, heavy advertising, slick packaging and strong distribution networks.
• Despite the strong presence of MNC players, the unorganised sector has a significant presence in this industry.
• Brand building and extensive distribution network is a key factor. A successful brand is a precious asset, which could fetch a price many times the cost of assets required to make the product.
A study conducted by A&M-ORG-MARG reflects that the share of branded goods is high for a number of daily used products. Branded goods comprise of 65% of sales in villages and the share of non-branded products is shrinking dramatically.
• India's rural markets have seen a lot of activity in the last few years. Since urban markets are saturated in most categories, future growth can come only from deeper rural penetration.
FMCG majors are aggressively looking at rural India since it accounts for 70% of the total Indian households.
• The industry is volume driven and is characterized by low margins. The products are branded and backed by marketing, heavy advertising, slick packaging and strong distribution networks.
• Despite the strong presence of MNC players, the unorganised sector has a significant presence in this industry.
• Brand building and extensive distribution network is a key factor. A successful brand is a precious asset, which could fetch a price many times the cost of assets required to make the product.
A study conducted by A&M-ORG-MARG reflects that the share of branded goods is high for a number of daily used products. Branded goods comprise of 65% of sales in villages and the share of non-branded products is shrinking dramatically.