Tips to Enter a Nascent (FMCG / FnB) Market
FMCG the industry is fast evolving and in order to survive in the market manufacturers and suppliers need to keep up with the trends
The Indian food and beverage industry have grown by leaps and bounds over the past few years and is constantly evolving. Exploring this dynamic market is both challenging and interesting at the same time. The Indian food sector has witnessed development and variations over time. The changing lifestyle, fast moving life and urge for healthy food are the factors constantly influencing the trends in food and beverage industry.
Young brands and the booming trend of start-ups have motivated new players entering the market, thanks to technology. When planning to explore a nascent market, it is important to be strong. Be clear of what you are getting yourself into and how to go about it.
A few tips for a player entering a nascent market:
Identify the Un-catered Needs: The food and beverage industry in India is wide and competitive. The best way to flourish in this market is to identify a need that is not yet satisfied or to satisfy a need differently. In order to understand the concept, consider liquid handwash. Indian populous never realized a need for mobile hand sanitizer or hand sanitizer in sachet before it was introduced to them. The twist is to make people realize that a particular product will make their life better or ease the process for them. With a link to the industry, let's talk about packed food, we never felt the need for packed foods like buttermilk, flavoured milk, etc. but once they were introduced to the audience, there was no looking back.
Branding and Packaging: Packaging and branding are essential for marketing a product. Packaging communicates a lot about the brand, it indicates who you are and the target segment you are trying to reach out to. No matter how much you have spent on the product, but the only factor that will help you attain new customers is the attention your product gets. In order to grab the attention of prospective consumers, packaging plays a vital role.
Branding is not just a logo and colour or combination of colours that represent your brand. It comprises of what your brand stands for, what you are catering to, the industry you are operating in and the brand ethics. People these days resonate with the brand emotionally rather than on a rational basis. So, it is always good when branding and packaging communicate your brand story.
Innovation is the Key: FMCG the industry is fast evolving and in order to survive in the market manufacturers and suppliers need to keep up with the trends. The sector is characterised by the need to reduce the time and urge to find new innovative products in order to get a competitive edge.
Digital Marketing: Consumers today are more exposed to smartphones and internet platforms more than the traditional mediums like newspapers, radio and television. For reaching out to consumers the information has to be made available at their preferred platforms. Besides this, the manufacturers/suppliers/retailers can directly access to the reviews and grievances of the consumers, aiding in improved communication. In this digital age, consumers prefer to shop online rather than visiting a store.
Take Feedbacks Seriously: The sole purpose of marketing is to sell the products. The first purchase depends on a number of factors namely, packaging, the utility of the product, reaching the right target group and effective communication. But the follow-up purchase is completely based on customer post using the product.
In this communication age, people are more vocal about almost everything. They post about the products and share reviews, both good and bad. Understand, accept and try to incorporate something that demands recent attention.
Be Focused: Don't try and juggle among various products at the beginning. It's better to start with one product and focus completely on that. Once the product is recognized and accepted in the market, one can think of a new product.
Be Sure of People Your Business Relies Upon To operate effectively and efficiently manufacturers need to go through a supply chain. It is essential to keep a check on the suppliers and middlemen.
Sales Team: One need not have a huge sales team, but a few people to ensure that there is no gap between consumer's needs and products to satisfy those needs. It also plays a vital role in building consumer loyalty towards the brand. Remember, the process of sale is not complete until a consumer reorders the product.