My thoughts on consumer goods market and other problems

Today I want to share my recent considerations in respect to industry we encounter daily with food we eat, drinks we consume, as well as personal care and many other everyday joys.

External environment with sharpest inflation for decades, global shortages of raw materials and difficulties in availability of labour has significantly impacted consumer goods sector operations. Meanwhile we continue to see continuous changes in consumer preferences and purchasing behaviour with hyper locality and high consumer concern for sustainability of producers and their products, as well as changing sales channels giving preference to direct to consumer channels. 

Hyper locality has always been an important trend with consumers having preference to their local brands and taste preferences however during past years it has become one of more important trends redefining consumer good sector with rapidly prospering local brands and companies. Sustainability is not an amenity or convenience that companies can afford not to have, it is mandatory requirement for any modern company. Companies must have sincere and undivided commitment to pursuing its goals and aims for defining, implementing, monitoring, and reporting their selected sustainability activities internally as well as to the larger public. I can not see companies staying “politically neutral” or just formally following ESG regulations.

Change in distribution channels with shift to direct to consumer, direct delivery, and e-platforms and increased importance of “around the corner” stores - purchasing convenience, buyer tailored offers, and proximity to consumer will remain a challenge to be faced by retail and consumer goods producers alike.

I trust that in business world these disturbances will create opportunities and will drive growth of local business. Innovation, creativity and exchange of knowledge will enable growth and development. After Russia invading and continuing its atrocities in Ukraine physical safety and security a can not be taken for granted and will remain a concern for everyone. Recent social media outrange in China for domestic abuse for woman as well as protests in US against gun laws following mass shootings are signs of standing up to inequality, marginalising power perverted part of our society and fighting for safer environment.