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Fmcg sector

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BASIC IDEA

One of the fastest growing sector

in early 1980s till 1990s. The dream of every creative man, any investor, advertising agency, or B-school graduate to work in or for FMCG company. After 1990s, 5/22/12

INTRODUCTION
FMCG SECTOR generally deals with fmcg products or first

moving consumer goods.

Fmcg products have a quick turnover and relatively low cost . Indias fmcg sector is 4th largest Sector in the economy and

contribute to around 3mln employment opportunities. food & beverages.

Its principle constituents are household care, personal care , FMCG Industry is characterized by a well established

distribution network, low penetration levels, low operating cost, lower per capital consumption and intense competition between the organized and unorganized segments.
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MARKET SCENERIO

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GROWTH PROSPECTS
Large Market: India has a population of more than 1.150 Billions

which is just behind China.


According to the estimates, by 2030 India population

will be around 1.450


Billion and will surpass China to become the World

largest in terms of
population. FMCG Industry which is directly related to

the population is
expected to maintain a robust growth rate. 5/22/12

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MARKET OPPORTUNITIES
Vast Rural Market: Rural India accounts for more than 700 Million

consumers, or ~70 per cent of the Indian population and accounts for ~50 per cent of the total FMCG market. Millions. There is an untapped market and most of the FMCG Companies are taking different steps to capture rural market share.

The working rural population is approximately 400

The market for FMCG products in rural India is


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esti-mated ~ 52 per cent and is projected to touch ~

Hindustan Unilever Ltd is the largest player in the

industry and has the widest market coverage.


Cheap labor and quality product & services

have helped India to represent as a cost advantage over other Countries.


Multi National Companies out-source its

product requirements from its Indian company to have a cost advantage.

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SECTORAL OPPORTUNITIES
There are 4 Major Key Sectoral opportunities for Indian FMCG Sector are:
Dairy Based Products Packaged Food Oral Care Beverages

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TOP 3 FMCG COMPANIES IN INDIA

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HUL
HUL was formed in 1933 as Lever Brothers India

Limited and came into being in 1956 as Hindustan Lever Limited through a merger of Lever brothers, Hindustan Vanaspati Mfg. Co. Ltd. and United Traders Ltd.
One of the countrys largest exporters and recognised

as a golden super star trading house by govt. of India.


The mission-add vitality to life 5/22/12

P&G
The Company has 21 product categories out of which

only 8 product have presence in India.


In India Proctor & Gamble has two subsidiaries: P&G

Hygiene and Health Care Ltd. and P&G Home Products Ltd.
P&G Hygiene and Health Care Limited has a turnover of

more than Rs. 500 crores


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ITC
ITC is one of India's foremost private sector companies

with a market capitalization of over US $ 30 bln and a turnover of US $ 6 bln.


ITC is rated among the World's Best Big Companies. ITC ranks among India's 10 Most Valuable

(company)Brands.
5/22/12 While ITC is an outstanding market leader in cigarettes,

Future prospect

The only

threats to this strong


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SWOT analysis

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OBJECTIVES STRENGTH

HUL

P&G

ITC
Brand Management

Strong brand portfolio large scale market & large market share segment& gross profit

WEAKNESS

Low exports level & high advertising cost

losing their market share &Quality control

Unrelated diversification

OPPERTUNITIES Large domestic market

Beauty product for men Rural market & rising consumer level & online social network

THREATS
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Tax and regulatory structure & mimic of brands

Unilever

Increasing tax in cigarttes & health hazards

STRATEGY

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HUL

P& G

ITC

Focus on Focuses on diversified group children of customers

Focuses on farmers

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conclusion
More and more people these days have

started involving themselves in this field as; it creates tremendous job opportunities for them. It is a steady, diverse and a highly profitable industry where a person can do a lot of work.
The jobs in this field range from sales and

supply chain, investment, promotion, H.R development, and general management. It also allows you to trade directly with the 5/22/12 various traders online.

FMCG company

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THANK YOU ALL

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