IRI’s annual State of the Industry event was delivered to a record number of attendees online this month as the FMCG sector learns to navigate challenges and embrace growth opportunities. The key areas of opportunities identities were the increasing demand for value, a growing appetite for products and messaging that reflects consumer diversity, the rise of the one-person household, sustainability, the emergence of the wellness mindset and escalating adoption of online offerings.
“This year’s State of the Industry event was incredibly successful and attracted record attendee numbers. These numbers reflect the general sentiment across the sector and the need for information, insights and guidance. While the sector is extremely resilient and agile, there is an overwhelming sense of uncertainty and eagerness to seek greater clarity around what the next 12 months hold and how to navigate them. The FMCG sector plays a critical role in the economy. We really are at the forefront of the world’s engine room, working to provide consumers with their essential household needs, while at the same contributing significantly to the economy and generating jobs. Changes in macro and micro conditions are often felt across the FMCG sector first before any other sector,” said Craig Irwin, Managing Director for New Zealand with IRI.
“Shoppers want to experience different products but they also want to feel like their own culture and sensitivities are being considered as well. Several brands are already achieving significant progress in this area however, there is still further scope to embrace the opportunities in this regard."
“Another of the key themes IRI talked to was that of consumer bifurcation. While a lot of households are struggling to make ends meet, there is still a portion of society out there spending money. While some consumers are trading down and buying more frozen vegetables and shelf stable fruit products, others are treating themselves to indulgent treats such as premium ice cream. IRI is also seeing the lipstick effect in full swing as people are buying more beauty lines such as lip gloss and facemasks to beat the inflation blues.”
“Sustainability is still top of mind and an important area of focus for many consumers. Brands that embrace value as well as values in a simplistic yet curated way will be rewarded for their ingenuity.”
“The wellness mindset continues to offer opportunities for growth as consumers strengthen their resolve to take charge of their own health and wellness journey and incorporate products into their life that support improved life balance and wellbeing."
“Online shopping has been growing at the fastest rate in our history. This combined with changes in household makeup and the rise of the one-person household, presents interesting yet exciting challenges for brands to create offerings that meet the needs of the fast-evolving shopper base."
