Discover the UPSIDE of integrated logistics for the FMCG industry
What’s the UPSIDE?
The world of daily essentials does not stand still. It demands solutions that can operate at maximum capacity for most of the year. For an industry that doesn’t have the luxury of downtime, resilient and efficient integrated FMCG logistics are paramount. They are the UPSIDE in an otherwise chaotic FMCG landscape.
Fast moving consumer goods (FMCG) form one of the largest industries worldwide. From our morning showers with a jojoba shampoo to our oats and fruit breakfast, or office outings at a local pub or snacks at a street vendor – our worlds spin around consumer goods.
The industry today is constantly being disrupted by ever-changing consumer preferences and new technologies. Customers demand innovative products, which means producing a wider range of goods at higher volumes quickly. In developing markets, consumers are also spending more, which raises the call for an expanded supply chain.
According to Allied Market Research, the global FMCG market is predicted to reach $15,361.8 billion by 2025, growing at an incredible 5.4% in the next five years. New avenues providing greater business opportunities. Research from Statista also shows that eCommerce is growing faster than traditional brick and mortar stores every year. Consumers are demanding new product offerings such as healthier and sustainable products, and this is expected to open new roads for FMCG players.
Maersk – an able partner
FMCG leaders from all over the world trust Maersk with their logistics because we understand the ins and outs of their operations. A dedicated in-house team of experts boosts our services by catering to every brand’s unique requirements. We specialise in several sub-verticals including Food, Beverages, Home Care, Personal Care, Tobacco, Cosmetics, Tissue and Hygiene Paper, and Consumer Packaging.
Our expertise in consumer packaged goods (CPG) supply chains helps build solutions tailored to your products and needs, by understanding the market and the change in consumer preferences.
Accordingly, the supply chain trends emerging in the FMCG industry are:
The impact of Coronavirus on consumer spending
The impact of coronavirus on trade has caused an immediate and long-lasting change in consumer spending for FMCG companies. This shift is due to an increase in demand for specific fast-moving consumer goods, changes in consumption trends and stock needs. Businesses are now relying on an agile and innovative supply chain.
If current trends are to be the new normal, consumer goods companies need flexibility, visibility and clarity in their global logistics process to be successful. In this webinar, FMCG Supply chain “Bread and Butter”, our panel of experts discuss the future of the sector’s supply chain – the trends, strategies and solutions required. Find out how you can leverage data and emerging technologies to remain on top of ever-changing demand for your FMCG products.
Adding value to our customers
With Maersk as your partner, take advantage of our deep understanding of the FMCG industry to build a more efficient supply chain.
We focus on offering agile solutions characterised by safety and digital innovation, led by a global team of highly talented logistics professionals.
Changes in lifestyle majorly drives the growth of the FMCG market. Moreover, increase in global population, growth in awareness of FMCG products, frequent launches of new products, and effective advertisement of the FMCG brands are the other factors that boost the growth of the global fast moving consumer goods market.
I have to say, in light of the situation going on now with COVID-19, Tradelens has been the best investment I have made to my Supply Chain. I have been through 9-11, the Northeast Blackout of 2003 and Hurricane Sandy, and now that we are going through COVID-19, it’s very clear that a robust platform like Tradelens is nearly a necessity these days. I would like to send an email to my full team to make sure they have full access and they utilise it.
Breaking down the layers of Party Logistics
As the debate between the different “PL” or party logistics continues, it may often get confusing to differentiate the various levels. Outsourcing logistics operations is essential for FMCG companies. An-in-house logistics department may be cost-effective but takes away time and focus from your main priority – your business.
The right PL can help simplify your supply chain, lower costs and overcome coordination and visibility challenges. Here, we are taking the example of a dairy producer, Jake, to see how the different PLs impact his supply chain:
Overcoming the hiccups of a new partnership
The right logistics partnership can do wonders, not just for a supply chain but also for the teething problems of a new joint venture. See how we joined hands with an Early Life Nutrition brand to make sure that their new business found a strong foothold in the Asia Pacific right from the get-go.
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