Market overview: road freight transportation. Encyclopedia of Marketing

*Calculations use average data for Russia

INTRODUCTION

The FMCG goods market is one of the most striking indicators of the economic situation in the country. It reflects not only consumer sentiment and confidence, but also the level of solvency, since most FMCG products are essential goods.

According to the definition, FMCG (fast moving consumer goods) are goods of everyday consumption by a wide range of buyers, which have a relatively low cost and high turnover. In other words, these are consumer goods:

Personal hygiene items

Cosmetics

Teeth cleaning and shaving products

Detergents

Light bulbs, batteries and other non-durable goods

Food products (sometimes considered as a separate category, but more often as FMCG)

A distinctive feature is the low profitability of this type of product, however, due to large sales volumes and fast turnover, they represent an economically profitable category.

MARKET ANALYSIS

The market for food and non-food FMCG products has been showing a stable downward trend in turnover since the second half of 2014. The reasons for this are the decline in real incomes of the population, Western sanctions, the weakening of the national currency and other negative factors.

For the entire period from 2014 to 2016, there was only one surge of activity in the market, when the population actively tried to invest cash as much as possible. However, the real growth rate of retail trade in 2014 was 2.5%, while in 2013 this figure was at 3.9%. The decline in sales volumes forced players to reconsider their operating models and significantly change their assortment policy and logistics. With a decrease in turnover in physical terms, in monetary terms, according to RBC, retailers' turnover increased by 30%. The share of chain retail (food) in the market structure has also increased; in 2014 it amounted to 37.8% (+5.8 percentage points).

In general, the development of chain retail in Russia is uneven. The supply of chain stores per capita lags significantly behind the indicators developed countries. At the same time, in some cities there is an excess of chain retailers, while in others there is a shortage.

According to analysts, by mid-2015 a number of trends had emerged that will determine the further development of the market until the end of 2017:

Increasing variety of formats within one trading network, including through the introduction of discount formats (discounters);

Increasing the share of modern formats in FMCG retail to 60-65% in 2016;

Increasing the share of Russian-made goods in the assortment (up to 40-50%) and revenue of chains, associated with the import substitution policy; development of own production;

The growing popularity of discounters (stores with a range of products in the low price segment);

Decrease in consumer activity of the population, reduction in expenses, high degree of influence of price on the purchase decision;

Changing the development strategy and business models of networks to reduce the share of borrowed funds in total capital due to their high cost;

Refusal to open some new stores (however, some discount chains, on the contrary, began to actively develop the format of “convenience stores”;

Growing influence of state regulation of the industry, increasing tax burden on business.

The dynamics of GDP growth reflects the general state of the country's entire economic system. If at the end of 2011 - beginning of 2012, GDP showed growth of 4-5% per quarter, then in the second quarter of 2015, with a stable preliminary fall, it was already -5%. However, at the beginning of 2016 the decline dropped to -1%.

The prerequisites for the crisis are obvious: EU and US sanctions, the weakening of the ruble, a significant drop in oil prices. As a result of these processes, the cost of imported products has increased significantly. Since the production of many domestic goods uses imported technologies, raw materials, components, equipment, etc., prices for products from Russian manufacturers have also increased. According to Rosstat, prices for goods and services in 2015 increased by an average of 12.9% compared to 2014.

Figure 2. Consumer Confidence Index, Q1 2008 – Q1 2016

As can be seen from Fig. 2, the consumer confidence index has approached the values ​​of the crisis year 2008, which directly affects the development of retail trade. However, experts, in particular RBC.Quote, predict an improvement in the economic situation in 2017–2018. and an increase in Brent oil prices to $66.4 per barrel. Experts also predict a decrease in the rate of inflation and growth in consumer prices (up to 4.9%).

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However, even against this background, according to the Ministry’s forecasts economic development, real disposable income of Russians in 2016 will decrease by 2.8% due to high debt levels, rising prices, unstable economic and political situation and other factors. This will force the population to take a more balanced approach to spending.

Figure 3. Nominal volume of retail trade in the Russian Federation, billion rubles, 2009-2018 (data from RBC, according to sources from the Ministry of Economic Development and Trade)

In the future, until 2018, experts predict an increase in household incomes and the restoration of the consumer lending system, which will lead to increased consumption. In 2018, according to forecasts, retail trade turnover growth will be 3.7% in volume terms. The savings rate will decrease, which will lead to some increase in spending by the population.

Retail trade and the services market have traditionally ensured the growth of Russian GDP. However, against the backdrop of the economic recession, these segments began to lose their role as the main factors in economic development.

Figure 4. Share of retail trade in the structure of Russia’s GDP, %, 2004-2014.

Figure 5. Share of retail trade turnover of retail trade networks in the total volume of retail trade turnover, %

In the non-chain retail trade segment, there has been a decrease in the number of small and micro-enterprises due to increased competition from retail chains, as well as an increase in the tax burden on small businesses and an increase in the cost of loans.

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There have been no significant changes in the structure of retail trade formats in recent years. The discounter format showed some growth, while the supermarket format showed a decline, which will continue to decline in the near future. Large-format retail (hypermarkets) showed high resistance to crisis factors, but its share still decreased slightly. Convenience stores showed an increase. This format is being developed today by both federal companies and, traditionally, local players.

Since 2013, experts have noted a significant increase in the share of “other” formats: eco-goods stores, “fix-price” format stores, etc. In 2014, they accounted for at least 10% of the total retail turnover. Presumably, this share will grow.

The number of food manufacturers' own chain stores is also growing: poultry, dairy products, bakery products.

Figure 6. Structure of retail formats (by number of outlets) in Russia

Retail market development forecasts (FMCG segment):

Reducing the share of large-format retail and increasing the share of discounters (within 35%)

Reduction in the share of supermarkets amid declining customer traffic

Development of convenience stores (up to 12-13% of the total)

Emergence of new store formats

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Introduction

Conclusion

Bibliography

Introduction

Everyday goods, FMCG (Fast Moving Consumer Goods) are products that are relatively cheap and sell quickly. Although the absolute profit on the sale of such products is relatively low, they are usually sold in large quantities, so the overall profit can be high. This market is characterized by a high level of competition, seasonality of sales for certain product categories, as well as the constant emergence of new brands and types of goods. The usual prerequisites for success in this market are: a wide representation of goods on sale, affordable prices, a wide range, as well as standards for the placement and display of goods in retail outlets, since the choice of most goods of this type is made by the consumer “in last moment" Examples include a wide range of frequently purchased consumer products: personal care products, soaps, cosmetics, teeth cleaning and shaving products, detergents, as well as other non-durable goods - glassware, light bulbs, batteries, paper products and plastics. Also sometimes included are drugs, consumer electronics, and packaged foods and beverages, although the latter are often classified as separate category.

Convenience goods must be distinguished from durable goods and consumer electronics, such as kitchen appliances, which are usually replaced no more than once a year.

The largest FMCG companies: Japan Tobacco International, Philip Morris, British American Tobacco, Reckitt Benckiser, Colgate, Procter & Gamble, Henkel, Unilever, Coca-Cola, PepsiCo, Nestlé, Danone, Mars, Heinz, Kraft, Cadbury, Carlsberg, SUN Interbrew, Heineken. The majority of all global FMCG brands belong to this list of companies.

Convenience goods are consumer goods and services that are purchased frequently without much thought, with minimal comparison with other products. Typically this is inexpensive goods short term use is sufficient. FMCG products are divided into basic products, impulse products and emergency products.

A product is not only technical characteristics, quality parameters and packaging. First of all, a product is a benefit that a consumer acquires by becoming the owner of this product.

Today, the Russian consumer market in general and the consumer goods market in particular are among the fastest growing in the world.

But if a few years ago general direction the development of a relatively young market, not spoiled by assortment, was easily predictable - what was sold was bought for Lately changes have become noticeable in the attitude of consumers to choosing a place to make purchases and in the nature of consumption of Russians. Russians have become more demanding of the level of service in retail trade, which is an important sign of mature markets.

Every year, the volume of private consumption in Russia grows by 12% and is one of the main incentives for further development Russian economy. A stable level of consumer confidence, the growth of the middle class and household incomes have a positive effect on sales of a wide variety of consumer goods - from premium alcohol, confectionery and innovative health-promoting functional foods to high-tech devices and automobiles. While Russia has the largest number of retail outlets than any other country in Europe, the level of development of the retail trade structure is still low, which provides an opportunity for manufacturers and retailers to compete for public preferences and success in this huge market.

Russian retail trade in consumer goods is growing at an impressive pace. Since 2002, the number of supermarkets has increased sixfold, and hypermarkets tenfold. However, trade density is still extremely low compared to other mature markets: there is 1 hypermarket and 20 supermarkets per 1 million population. At the same time, the importance of this channel for sales of consumer goods has grown and already accounts for 37% (by value) of total sales in urban Russia. St. Petersburg seems to be the only metropolis where the level of retail development has reached the average European level. Here, per 1 million population there are 11 hypermarkets and 56 supermarkets, and the share of the modern trade channel reaches an extreme 76% for Russia.

Modern trade formats are the most attractive place for consumers to shop for everyday goods in Moscow and St. Petersburg. According to ShopperTrends 2009 research, about 80% of households in Moscow spend the majority of their budgets on everyday goods in this channel - compared to 75% in 2007. Supermarkets have strengthened their position and are now leaders in the fight for consumer preferences and wallets. According to a Nielsen survey, 35% of respondents said that they leave most of their family budget for everyday goods in stores of this format. The share of hypermarkets and discounters (stores low prices) accounted for 20% of the respondents' votes.

In St. Petersburg, modern formats have practically replaced traditional retail: 95% of households surveyed by Nielsen prefer to spend their budget on food, fresh produce and personal care products in these retail outlets. Hypermarkets and discounters are leaders here consumer preferences. Each format accounts for 40% of consumer votes. Although the importance of the hypermarket channel in St. Petersburg has increased compared to 2008, for only 10% of respondents this channel is the main place for purchasing everyday goods.

Traditional grocery stores, kiosks, minimarkets and open markets are visited by many consumers, but rather for occasional and small purchases in terms of volume and range.

Declining share of open markets - trend of four recent years. The overall share of this channel in total sales of consumer goods in urban Russia decreased to 11% (in money terms). It is interesting that just two or three years ago open markets were the most popular place to buy fresh food in Russian megacities; in 2008 the picture changed. According to a Nielsen study, about 60% of respondents preferred to shop for fresh meat, fish, vegetables and fruits in modern retail stores. The most popular channel, according to the survey, is supermarkets. ~30% of respondents in Moscow and 39% in St. Petersburg gave their preference to him.

As the results of the study showed, when choosing a store, most consumers are driven by habit, i.e. visit a store they are used to. And every third person buys in the nearest store from home or work. Although store availability is still important factors choosing a place to make a purchase, its importance in the consumer motivation system is decreasing, giving way to “good value for money” in Moscow and “high level of service” in St. Petersburg.

Demanding levels of service and the quality of training of sales personnel are signs of a mature retail market. At the same time, promotions are not the main argument for Russians when choosing a place to buy. Only 5% of respondents in Moscow and 9% in St. Petersburg reported that they change stores in search of attractive discounts.

Several surveys were compiled with more than 500 respondents: “What do you buy every day” and “How much do you spend on it.” According to the survey, the most popular answer was food. Based on this survey, a ranking of the most purchased everyday goods was compiled

Fig.1 What do you buy every day

Fig.2. How much do you spend on it?

Based on this, a selection of goods was carried out (Bread, vegetable oil, tea, margarine, juices and nectars), according to several criteria, namely: demand, quality, price.

At the first stage, the demand for the product and the breadth of distribution of the candidate product on the Russian market are determined. The product must be available in at least 25% of the surveyed enterprises. Market research is carried out by regional associations of the Russian Consumer Union. At the second stage, the SPRF Center for Independent Consumer Expertise anonymously, without notifying manufacturers, purchases samples of goods that have passed the 25 percent barrier in terms of distribution in the retail chain and conducts comparative tests using special methods. At the same time, the physicochemical and microbiological composition, organoleptic characteristics, appearance, packaging, completeness of consumer information, product compliance in weight, volume, expiration dates, etc. At the third final stage, based on demand, the best ratio of the integral quality indicator and selling price, winners in various nominations are determined.

Table 1 Vegetable oil

Table 2 Tea

Result of the table: first place goes to “Princess Nuri”, “Princess Gita”, “Imperial” tea

Table 3 Margarine

Table 4 Juices and nectars

Based on the data, the first place among juices is occupied by “Fruit Garden” juice, and among nectars – “Favorite Garden”

Table 5 Beer

Products that received as a result of comparative tests
total score according to quality indicators less than 40 points,
places in the ranking were not assigned.

Conclusion

Convenience goods are goods that consumers buy frequently, without thinking and with minimal effort to compare them with each other. Everyday goods are divided into:

Basic goods of constant demand;

Impulse purchase goods; And

Emergency supplies.

MCG (fast moving consumer goods) are everyday goods: food, household chemicals, beer and cigarettes. In a word, consumer goods. Professionals and those who strive like to call such products “fast movers.” In fact, FMCG is just high-turnover goods. These are inexpensive goods that we are forced to purchase every day. FMCGs are sold in supermarkets and used in everyday life. Another one distinguishing feature FMCG are packaged goods that break down during use.

In this work, several surveys were compiled, in which more than 500 respondents took part: What do you buy every day and how much do you spend on it? demand, in which special attention was paid to the quality, price and demand of the product.

Footwear 21 19 26 21 31 33 35 34 13 Radio equipment 36 24 33 30 26 28 28 30 -6 Televisions and video recorders 10 16 23 31 18 12 17 38 28 From the above table 10 it can be seen that the quality of goods entering the consumer market RF, is quite low and tends to decrease even more. Most of them are rejected food products, among them the lowest...

Every person is familiar with FMCG companies, because we use their products every day, hence the name of the sector fast moving consumer goods (FMCG) - consumer goods. FMCG companies include Unilever, which produces detergents, Johnson&Johnson, which sells medicines and cosmetics, and Sun Interbrew | AB InBev, which produces beer, and Philip Morris International, known for its tobacco products. FMCG is drinks, chocolate, hygiene products and other goods that are needed by customers on an ongoing basis and have a relatively low price.

FMCG companies face the difficult task of not only maintaining great amount customers, but also to constantly increase profits by attracting new consumers. A successful business in the FMCG sector is determined primarily by the company’s ability to effectively implement innovations and apply non-standard approaches to solve ambitious problems, and this inevitably depends on the quality and competence of its personnel. This is why FMCG market leaders pay special attention to the recruiting process: the employee selection system in FMCG is one of the most strict and complex.

How to get a job in FMCG?

For many FMCG companies, what matters is not so much the basic education of potential employees, but rather their personal qualities and competencies. The ideal candidate for the FMCG sector is an active, dynamic person who can work independently, communicate effectively and think outside the box. FMCG companies are in a constant battle for consumers, so they need people who can make decisions at lightning speed, overcome difficulties and achieve results. Required condition is the ability to work in a team and good leadership potential.

It is virtually impossible to identify all these qualities and skills during a regular interview. Therefore, the selection process in FMCG companies usually includes several stages: psychological testing, testing to identify abilities, and only then an interview. Testing allows you to initial stage determine whether a given candidate is suitable for the company and how well he can cope with the assigned tasks.

For many applicants, the greatest difficulty is testing. This can be partly explained by the fact that while most people are familiar with the interview format, tests are much less common - mainly in large international corporations. The complexity of the FMCG tests themselves cannot be denied: the questions they contain will force you to rack your brains and use your abilities to the maximum, which is exactly what they are designed for. The testing stage is a really serious test, but it is quite possible to pass it if you do it in advance.

FMCG testing

Designed to assess you as an individual as objectively as possible, including intellectual skills - the ability to think logically and rationally, analyze data, find solutions, as well as personal characteristics - communication style, character type, sociability, etc.

Intellectual skills are assessed through ability tests, including, as well as. During the test, you are asked several questions of varying difficulty with answer options, from which you a short time you will need to choose the right one. This test allows you to evaluate your ability to absorb information quickly and efficiently, your ability to read numerical data and draw reasoned conclusions based on them, and the level of your logical thinking.

A personality test is a list of questions related to work and work process that you will need to answer based on your character and personality. This test gives a potential employer the opportunity to assess whether you can fit into the team and corporate culture companies.

Benefits of working in FMCG

As you can see, getting a job in FMCG is very difficult, so is it worth spending time on? FMCG in Russia is one of the most promising areas for building a successful career. Here are just a few advantages of working in FMCG companies:

• FMCG companies are always companies with big names. Procter&Gamble, L’Oreal, PepsiCo, Coca Cola – these names are familiar to everyone, because FMCG retail chains are represented all over the world. These are brands that are present in every home and make our lives easier. Working in FMCG is an opportunity to become part of big family with global fame.
• In FMCG, work is not a daily routine, but continuous development, as this sector is constantly changing, adapting to new habits and needs of people. Whatever industry you find yourself in - tobacco giants British American Tobacco or Japan Tobacco International, the sweet industry of Mars Inc or Nestle - you will never be bored.
• FMCG companies respect their employees as highly as they respect their customers. Investing in personnel development is a core principle in the FMCG world because corporations understand: successful business rests primarily on professional personnel.
• The FMCG sector, like no other, is able to withstand financial crises. People may stop buying stocks, real estate, and cars, but they will never stop buying consumer goods. Working in FMCG, you can be sure of stability and a long-term career.
• In FMCG, they don’t value your diploma, age or work experience; only one thing matters here – your achievements.

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Have you noticed how, while standing in a long line at the supermarket, you involuntarily reach out with your hand to the tray located at the checkout for a chocolate bar or chewing gum, which is safely sent to your grocery basket? At this moment, without realizing it, you are being led on and thereby accelerating the turnover of funds in the FMCG sector. "What is this?" - you ask. Products that we all come across regularly and constantly need. This article will help answer your question about this product in more detail.

How to recognize FMCG products?

The abbreviation is translated from English as “fast moving consumer goods”. Simply put, this is what we buy constantly and very often due to rapid consumption. They are characterized by three main features:

• low cost;
• fast implementation;
• use for a short period of time.

All products falling under these parameters are classified as FMCG. What are these products? First of all, products with a limited shelf life (dairy, bakery products) and quickly consumed (cigarettes, drinks, chocolates, alcohol). In addition, this group includes all household chemicals (powders, toothpastes, soaps) and cosmetics, paper and plastic dishes, all kinds of batteries, light bulbs, etc.

Features of the FMCG market

Unlike durable goods, FMCG are much cheaper, and therefore, in order to make money, companies in this area have to constantly maintain high turnover. The frequency of purchasing everyday goods at a fairly low cost is the basis for making a good profit.

At the same time, in FMCG, like in no other area, there is the highest and toughest competition for a place in the sun. That is why you cannot make a mistake in choosing the appropriate pricing policy; you need to constantly keep your finger on the pulse while searching for new products to bring to the market.

Supermarket is the best place for FMCG

Today's favorite FMCG retail chains, or, more simply put, supermarkets, have gained the greatest popularity in the sale of this kind of goods. It is these self-service stores that have proven to be able to effectively sell everyday products due to the following components:

• wide range of goods;
• relatively low cost of production;
• all main product categories are always in stock (continuous replenishment).

In addition, competent planning of the placement of goods throughout the supermarket (thoughtful stimulation stimulates high consumer activity. It is within the trading network that the principle of impulse purchases is most easily implemented. Have you ever wondered why the display case with chocolates, candies and chewing gum is always located at the checkout, and the shelves with bread usually stand in the back of the store (to get to them, you will involuntarily have to walk past other products)? All this is not an accident, but a marketing ploy, very popular in FMCG. What does this give? An opportunity to increase sales and earn money in conditions of low prices for products.

Features of marketing policy in the FMCG sector

Features characteristic of marketing in this area include:

• continuous increase in turnover (when each individual product is inexpensive, only a significant volume of sales can bring high profits);
• the most important part of the work is working with the consciousness of the consumer (here it is important to evoke in buyers a stable and often unconscious desire to purchase a product, to create a need for it);
• two things are important - the location of the product (shelves in a supermarket) and consumer loyalty (you need to be able to attract their attention, gain trust).

Thus, in order to survive in the conditions of a wide variety of consumer goods and high competition in this area, you will have to work hard and continuously, constantly searching for new products for sale and new marketing secrets, maintaining an acceptable price level and increasing trade turnover.

Realities of the FMCG market

In America and Western Europe The FMCG market has existed for a very long time and is significantly ahead of the Russian market in terms of development and organization. The FMCG category in Russia began to more or less take shape in post-Soviet times. At the same time, one of the first companies that began to conquer the Russian market of fast consumer goods was the company "MARS". However, today it occupies one of the leading positions in this area. Everyone knows Snickers or Dove bars and Skittles candies. Even our pets consume their products, gobbling up Whiskas or Pedigree food. When buying products from different groups and brands, we don’t even think that in fact many of them are just different sides of one whole. Regarding a number of other products sold under different brands, it can be said that most of them belong to one big brand (Nestle, Wimm-Bill-Dann, Coca-Cola). This suggests that on this market A virtual monopoly reigns, with a few major companies occupying the bulk of it. Small firms have a hard time in these conditions, but some of them find their niche and exist successfully in the modern FMCG market. What is this if not a successful marketing policy that helps win (or win) the hearts of consumers?