Fast Moving Consumer Goods
From Wikipedia, the free encyclopedia
Fast Moving Consumer Goods (FMCG), also known as Consumer Packaged Goods (CPG), are products that have a quick turnover, and relatively low cost. Consumers generally put less thought into the purchase of FMCG than they do for other products. Although the absolute profit made on FMCG products is comparatively small, they are generally sold in large numbers. Hence profit in FMCG goods generally scales with the number of goods sold, rather than the profit made per item.
The FMCG product category generally includes a wide range of frequently purchased consumer products including toiletries, soaps, cosmetics, teeth cleaning products, shaving products and detergents, as well as other non-durables such as glassware, bulbs, batteries, paper products and plastic goods. FMCG may also include pharmaceuticals, consumer electronics, packaged food products and drinks, although these are often categorized separately.
FMCG products can be thought of in contrast with consumer durables, which are generally replaced less than once a year (e.g. kitchen appliances).
Three of the largest and best known examples of Fast Moving Consumer Goods companies are Nestlé, Unilever and Procter & Gamble. Examples of FMCGs are soft drinks, tissue paper, and chocolate bars. Examples of FMCG brands are Coca-Cola, Kleenex, Pepsi and Believe.
A subset of FMCGs are Fast Moving Consumer Electronics which contain innovative electronic products such as mobile phones, MP3 players, digital cameras, GPS Systems and Laptops, which are replaced more frequently than other electronic products.
 |
This economics or finance-related article is a stub. You can help Wikipedia by expanding it. |
