1. Definition(source: http://en.wikipedia.org/wiki/FMCG):
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. Though the absolute profit made on FMCG products is relatively small, they generally sell in large numbers and so the cumulative profit on such products can be large.
2. Product Characteristics & Industry Segments (source:http://www.ciionline.org/sectors/58/default04b7.html?Page=Introduction.htm):
Products belonging to the FMCG segment generally have the following characteristics:
- They are used at least once a month
- They are used directly by the end-consumer
- They are non-durable
- They are sold in packaged form
- They are branded
The main segments of the FMCG sector are:
- Personal Care: oral care; hair care; skin care; personal wash (soaps); cosmetics and toiletries; deodorants; perfumes; paper products (tissues, diapers, sanitary); shoe care.
- Household Care: fabric wash (laundry soaps and synthetic detergents); household cleaners (dish/utensil cleaners, floor cleaners, toilet cleaners, air fresheners, insecticides and mosquito repellants, metal polish and furniture polish).
- Branded and Packaged Food and Beverages: health beverages; soft drinks; staples/cereals; bakery products (biscuits, bread, cakes); snack food; chocolates; ice cream; tea; coffee; processed fruits, vegetables and meat; dairy products; bottled water; branded flour; branded rice; branded sugar; juices etc.
- Spirits and Tobacc: An exact product-wise sales break up for each of the items is difficult.