Winds of disruption are raging, and consumer packaged goods (CPG) companies are in the eye of the storm. From macro environment changes reshaping consumers’ attitudes and behaviors, to material shopping behavior shifts, to the dramatic reinvention of retail models, large global CPGs are being battered from multiple directions. Weathering this storm requires substantive change. If they fail now to establish and scale new approaches for growth, CPGs may fall behind and never catch up.
To grow, CPGs must radically rethink their relationships with both consumers and customers.
Mere collaboration with retailers, consumers and third-party partners may not be sufficient. CPGs need to determine how they will meet consumer needs, find new ways to work with retailers and reconfigure their organizations to be responsive and flexible. How?
With consumers, establish a two-way dialogue. Improve your digital consumer experience online and in-store. Balance global and local approaches.
Take a systematic approach, including for the digital shelf. Use new analytical tools to leverage available data, at speed and scale.
Prioritize customers and identify how to create new joint value. Design new propositions and experiences considering the broader channel environment.
Create end-to-end processes enabled by digital tools and a liquid workforce. Develop an agile, resilient supply chain with ecosystem partners.