The Spring Festival is approaching, and the FMCG industry is ushering in the annual “tough battle”. According to the Nielsen survey data report, the consumption of FMCG during the Spring Festival is 33% higher than the daily consumption. In recent years, consumers’ Spring shopping has shown a trend of more diversification and quality. On the one hand, the popularity of healthy consumption concept, the rise of Generation Z, the outbreak of personalized and customized demand; On one side are increasingly stringent regulations and food safety supervision. The FMCG industry is at a crossroads.

Driven by consumer demand, enterprises are also moving towards a new stage of digital and low-carbon driven development at the manufacturing end. In the current market generally into the stock economy, the operational efficiency of enterprises determines the vitality of enterprises, digital means and tools are reshaping the core competitiveness of the FMCG industry, only continuous innovation of traditional production methods, in order to achieve more flexible, more flexible production, higher quality and safety and shorter product innovation research and development cycle, successfully respond to the challenges of the digital age. Under the global trend of green and low-carbon development, “sustainability” has gradually become the consensus of the industry, and more and more FMCG enterprises will implement sustainable goals into all aspects of product design, production and operation, and integrate them into the future development of enterprises.

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Five strategic priorities to promote sustainable development of the FMCG industry

For FMCG manufacturers, how should they seize the outbreak of demand and meet the rapid and changing market challenges? Recognizing the changing needs in the FMCG sector, Schneider Electric and Frost & Sullivan released the white paper “How to Promote the Sustainable Development of the FMCG Industry without affecting business efficiency, human development and the Earth’s environment”. It is pointed out that “agility, sustainability, health and safety, workforce empowerment, profitability” are the five strategic priorities that affect the future development of the FMCG industry, and only by actively deploying around strategic priorities can FMCG enterprises enter the innovative growth track.
Agility: Today, consumer behavior is undergoing a major shift, while the demand for convenience continues to grow, which encourages FMCG companies to actively enhance their innovation capabilities and new product development level, guided by consumer needs;
Sustainability: Data shows that the global food and beverage processing stage produces about 600 million tons of carbon emissions, the FMCG industry is increasingly focused on sustainability and carbon neutrality, more and more companies have made sustainability commitments, need to optimize energy and water use, reduce waste generation, reduce emissions, thereby reducing carbon footprint;
Health and safety: Governments are gradually strengthening the supervision of FMCG companies, prompting companies to pay more attention to ensuring that processes and operations meet relevant safety standards;
Workforce empowerment: Recruiting and retaining a skilled workforce is one of the biggest challenges facing the FMCG industry, and companies need to use innovative technologies and digital management tools to improve personnel efficiency, reduce worker intensity and complexity, and increase productivity.
Profitability: Faced with numerous challenges such as rising production, packaging, transportation and logistics costs and labor shortages throughout the manufacturing process and supply chain, FMCG companies need to reduce costs and save operating expenses throughout the life cycle to improve profitability.