The CII-BCG report was released at the National FMCG Summit 2015 “Re-Imagining FMCG in India” on 21 December, 2015 at New Delhi. The FMCG industry is going through a fundamental transformation. The combined effects of demographic shifts, rise of new consumption centers, the emergence of new channels like e-commerce, proliferation of the internet connectivity and digital media will have a profound impact on the shape of the demand over the next decade.
The report introduces an approach called the “demand centric growth” that helps companies demystify the consumer decision making process .i.e. understand how and why consumers make choices. The report suggests that the biggest determinants of choice are not demographics but needs of the consumer in a given context – that is, where the consumer is, who she is with, what she is doing and hence what she needs when using the product. The same consumer behaves very differently in different contexts and makes very different choices. FMCG companies would need to get superior insights that will allow them to develop superior portfolio strategy and reignite growth. The report identifies the key trends reshaping demand and assess the impact of these trends on the shape of consumption over the next decade and lays down the imperatives for companies going forward to win in this new world.