Fast-moving consumer goods brands in India will need to rethink business models in a post-pandemic world as consumer behaviour has been fundamentally altered, finds a new study from EY India.
The consultancy firm’s Future Consumer Index concludes that, without an overhaul, many FMCG brands will struggle to remain relevant or to deal with future disruptions.
The context
- The study reveals around 80% of consumers say they will be more cautious about their health, both physical and mental, post-pandemic.
- Many say they will support local business and 75% plan to think more about the environmental impact of what they buy.
- As the economic outlook remains uncertain, 77% of consumers say they plan to save more in the long term and 35% say authenticity will be their top shopping priority in the future.
Soundbite
“Companies need to prune their portfolios, innovate faster and alter communication to cater to changing consumer preferences. There is a need to revise product formulations to include more natural and eco-friendly ingredients by using recyclable, reusable or compostable packaging. However, brands must emphasise their local presence to capitalise on the growing ‘vocal for local’ trend” – Pinakiranjan Mishra, sector leader, consumer products and retail, EY India.
Sourced from Economic Times
