Fast-Moving Consumer Goods

(noun)

These are products that sell quickly and at a relatively low cost. Examples include non-durable goods such as soft drinks, toiletries, and grocery items. Though the absolute profit made on FMCG products is relatively small, they generally sell in large quantities, so the cumulative profit on such products can be substantial.

Examples of Fast-Moving Consumer Goods in the following topics:

  • Sales Presentation

    • For a strikingly good pitch, one must know exactly what the other party wants and doesn't want.
    • A salesperson gets only one chance to make a good first impression.
    • In case of consumer categories who have less attention span, the first method of attention-grabbing is usually a question or statement that might surprise or shock the listener.
    • Sellers of low-value, fast-moving consumer goods are usually known to deploy the first method.
    • In the second strategy, a "positive statement" is adopted in solution selling and in direct selling to corporate and or high value and or capital goods selling.

  • Determining Segmentation Variable(s)

    • For example, the Christian consumer attends movies less frequently than consumers in general. - Population density can also place people in unique market segments.
    • High-density cities such as New York City, Hong Kong, and London create the need for products such as security systems, fast-food restaurants, and public transportation.
    • Consumer preferences may bear no relationship to location.
    • Gender has historically been a good basis for market segmentation.
    • If a marketing manager is aware of where the specific segment of potential customers is, he or she can design the appropriate market strategy to move them through the various stages of readiness.

  • Demographics

    • Still, marketing managers must understand consumers intimately.
    • These consumers have an interest in high-quality household goods and in-home health care.
    • People in the US are moving south.
    • New York had the largest population of all states in 1950, but in the 1990s, fast-growing Texas pushed the barely growing New York to number three.
    • More than half of the four million immigrants that located in the United States between 1990 and 1995 moved to California, Texas, or Florida.

  • Social Responsibility and Welfare of Customers

    • Adopting socially responsible practices that benefit customers and society is fast becoming a competitive advantage in global business.
    • Social responsibility has thus become part of the latest management strategies where companies try to create a positive impact on society, while strengthening their brand image and doing good business.
    • Since the beginning of the 20th century, there has been a concerted effort in the United States to implement consumer protection laws related to food, drugs, and cosmetics.
    • The emergence of consumerism during the 1960s intended to increase consumer influence, power, and rights in dealing with corporate institutions.
    • From providing free leaflets offering "green" tips, to advice on how to safely dispose of electronics, social marketing is fast becoming a competitive advantage in global business.

  • Inseparability

    • A haircut is delivered to and consumed by a customer simultaneously.
    • In contrast, that same customer may consume a fast food burger a few hours after its purchase.
    • In other words, services are generated and consumed within the same time frame.
    • A haircut is delivered to and consumed by a customer simultaneously.
    • Describe inseparability in services marketing and how it distinguishes services from goods

  • Evaluating Alternatives

    • Evaluation of alternatives is the third stage in the Consumer Buying Decision process.
    • The brands and products that consumers compare - their evoked set - represent the alternatives being considered by consumers during the problem-solving process.
    • Likewise, consumers use extensive problem solving for infrequently purchased, expensive, high-risk, or new goods or services.
    • Ultimately, consumers must be able to effectively assess the value of all the products or brands in their evoked set before they can move on to the next step of the decision process.
    • Examine the "evaluation of alternatives" stage of the Consumer Decision Process

  • Specialty Products

    • If consumers shop at a store even if they have to go considerably out of their way to get there, it would be considered a speciality store that sells specialty goods.
    • From the perspective of consumers, specialty goods are so unique that they will go to great lengths to seek out and purchase them.
    • A person may wait a long time for that individual and might even move with that person to another hair salon.
    • Price is not usually the primary factor in consumer choice of speciality goods.
    • Usually, the person who purchases an expensive speciality item is not as concerned about price as the average consumer.

  • Understanding Strategy + The Creative Brief

    • A little bit of exercise, conscious breathing, and a stretch or two is good for the body, mind and spirit.
    • An imported German sports car will drive fast, but how will it make you feel?
    • Other supports include: facts and figures about the brand, awards, quality of the ingredients, performance, good press, sales records, comparisons to other brands, popularity, history – any aspect of the product that moves the consumer toward a purchase.
    • Stay within the chain of command and do your best to produce good work.
    • Not summer and good times, or BBQs.

  • Trends in Retailing

    • Retail has moved from a transaction-based activity to a conversational and interactive dialogue between businesses and consumers.
    • Retail has moved from a transaction-based activity to a conversational and interactive dialogue between business and consumer.
    • Behavioral clustering is a statistical analysis method used in retailing to identify consumer purchase trends and group stores based on consumer buying behaviors.
    • Some businesses are moving away from giant superstores and downsizing to smaller stores that are more demographically targeted.
    • These high-ceiling buildings display retail goods on tall, heavy duty industrial racks rather than conventional retail shelving.

  • The Marketing Exchange

    • Today's consumers have access to far more and far better information.
    • Businesses must provide personalized, relevant and high quality content that competes with a fast, ever-changing competitive landscape. .
    • One such technique to understand this consumer behavior is known as perceptual mapping, which is a technique that uses diagrams in an attempt to visually display the perceptions of consumers.
    • In general, the consumer decision process includes the following steps:
    • As the consumer moves through these various phases, internal and external conditions are influencing the consumer's actions throughout the purchasing process.