The global fast-moving consumer goods (FMCG) market is projected to expand by $456.6 billion between 2024 and 2028, with a compound annual growth rate of 3.27%, according to a recent Technavio analysis.
E-commerce and online distribution channels are driving market expansion, particularly in ready-to-eat and ready-to-cook food segments. The surge is attributed to dual-income households and increasingly hectic lifestyles. A 2022 report by Standard Process Inc. revealed that processed foods constitute approximately 70% of the American diet.
The COVID-19 pandemic accelerated consumer demand for convenience foods, with notable sales increases observed in markets like India. Blinkit, an online grocery store, reported a 17% rise in ready-to-eat product sales, while frozen food sales jumped 41% during the pandemic period.
Market trends indicate a significant shift across urban, semi-urban, and rural areas, with e-commerce platforms gaining considerable traction. Consumer electronics, pet care, healthcare, food and beverages, and lifestyle products represent top-performing categories.
Emerging market dynamics include growing smartphone usage, increased online purchasing, and consumer preferences for discounts and subscription services. Lifestyle changes and health consciousness are driving demand for natural and plant-based products.
Challenges persist, including price competitions among FMCG networks and the proliferation of counterfeit brands. However, the overall market trajectory suggests continued transformation, emphasizing convenience, affordability, and quality.
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