The FMCG market is absorbing this world

People working in the retail industry, the phrase "FMCG market" repeat several times a day. Although many do not fully understand the meaning of this abbreviation. Fast Moving Consumer Goods - goods of daily demand (or fast-moving consumer goods). Logically, it should be bread, milk, chewing gum, cigarettes, household goods.

Not everything is so simple: the listed goods are divided into three groups. Only one of them can be designated as a product included in the FMCG market - chewing gum and cigarettes. Classical attributes of goods related to this sector:

1. Low price.
2. Low profitability of the manufacturer.
3. High frequency of purchases.
4. The opportunity to cause an increase in demand through marketing activities.
5. Short period of use.
6. Impulsive decision to buy.

It follows that household appliances are not part of the FMCG market. Suppose the refrigerator: the decision to buy is taken consciously, the choice is made for a long time, the need to purchase arises when the old one is out of order or morally obsolete. This happens rarely. Bread and milk: each household buys these goods on a daily basis. But the total amount of purchases of these goods can not be affected. If the family consumes one loaf of bread a day, no advertising will force them to eat more. The decision to buy a certain producer's bread can only be affected by quality and price, bread will not be saved by bread-baked bread.

What has been said reveals yet another sign of the product entering the FMCG market: the consumer does not feel extreme necessity in it. In fact, without chewing gum you can do without cigarettes, too. After all, from the moment of birth until the time when the cigarette became a necessity, a person perfectly treated without nicotine.

The fact that these goods have a low profitability of sales forces the manufacturer, having experience in the FMCG market, to stimulate its increase using two ways:

• Maximally widely inform the end user about the importance and necessity of the product;
• Make the product as accessible as possible to the end user.

The first is achieved by advertising. This can be explicit advertising: banners, streamers, advertising in the media. Hidden advertising (the protagonist of the series puts a pack of cigarettes - a close-up for a split second), custom articles of "independent experts" about the benefits of the goods, other ways of influencing the subconscious of the consumer.

The second is in the struggle for a place on the shelf of the retailer. Here, and payment of space on the shelf in the zone of maximum probability of purchase (as close to the checkout, at the eye of the buyer). At the same time, trained merchandisers work with the shelf, whose task is to display products on the shelf in accordance with corporate standards and planograms. If the product requires cooling before use, the manufacturer will provide a retailer with a branded refrigerator for rent.

In addition, manufacturers are constantly holding promotions of their brands, FMCG-market does not like resting on its laurels. It is worth the manufacturer of any soda water to reduce marketing efforts, as he immediately loses part of the market. Neil-linguistic programming of sales personnel is also in progress: a person who once sold carbonated water of a well-known brand will never drink water from a competing company.