In this article, we will answer the question of “What is the FMCG Sector?”, which is heard by all of us, as well as by many people who are involved in business life and in marketing, and where product production and consumption is maintained rapidly.

What is the FMCG Sector? What Does the FMCG Sector Include?

The FMCG Sector is certainly one of the terms we hear frequently today. FMCG, which stands for Fast-Moving Consumer Goods, is called “Hızlı Tüketim Malları” in Turkish and is a sector that includes constant change, transformation and new ideas.

As can be understood from the name, we can count all products that are sold and consumed quickly in this sector. When you go to the super market, all the products that we can see on the shelves are included in this sector. In other words, we can think a super market for the question of What is the FMCG Sector.

FMCG Sector

FMCG and Packaging / Marketing

In the FMCG sector, the most conspicuous and important notion is certainly “packaging”. That is, marketing the brand to the customer at first sight. If we think what FMCG Sector means, this relationship should be the first thing to come to our mind.
In the article we wrote earlier (What is 4P in Marketing and What Does it consist of?), We talked about 4P of marketing. Packaging is an implementation that Philip Kotler does not include in 4P but is referred to as 5P with 4P.

For example, Walmart in the United States (the largest market chain in the USA and one of the richest companies in the world) contains more than 250 thousand products (They sell 75 million different products in total worldwide according to the number). The strategy of packaging is the way of the get the attention of a customer at first glance among 250 thousand products. For this reason, we can put packaging, which is a brand marketing strategy, in an important place in the FMCG sector.

Relationship between FMCG and ECommerce

FMCG Sector

FMCG (Fast Moving Consumer Goods) sector, which includes many brands, includes the products that everyone, from cleaning products to foodstuffs, personal care products, preferred in their daily life, and even now they are often used compulsory to survive. For this reason, people want to reach these products in the easiest and fastest way possible.

As you know, with the pandemic period of 2020, e-commerce is the system that is rapidly increasing and used by millions of people around the world. Many products are listed and categorized in e-commerce sites, just like the
aisles of a super market.

E-commerce sites that offer shopping opportunities in a virtual environment, as well as physical markets, may offer us more products than we can count. This means that we can consume more quickly, without physical effort. In other words, e-commerce sites provide great assistance to the FMCG sector, especially during the pandemic period, and benefit greatly from the dynamism and power of the sector. Companies that want to sell their products try to provide a quality service to consumers and to be in the competitive market.

The increase of E-Commerce in 4 countries during the Pandemic Period. Among 4 countries, Turkey experienced the most growth.

Relationship between FMCG and Logistics

We mentioned that FMCG stands for Fast Consuming Products before. One of the most important relations that we should include in the question of What is the FMCG Sector is the relationship between FMCG and Logistics. There are many companies in the market as the products are consumed quickly and renewed over and over again. As these companies produce in many countries around the world, they aim to bring them together with the consumer in the easiest and fastest way possible. In this part, logistics companies with which manufacturing companies cooperate come into play.

Logistics companies aim to ensure the satisfaction of consumers by considering the shelf life of the products at the most affordable price and in the fastest way. In a rapidly changing and developing dynamic sector, they undoubtedly play a major role in the rotating wheel by providing transportation to the consumer in person and by providing logistic support to vendor companies such as supermarkets.

FMCG Companies / FMCG Brands (Top 10
Companies)

According to 2020 data, the top 10 companies are listed, taking into account revenues and profits worldwide.

  1. Nestle AG
  2. Johnson & Johnson
  3. Pepsi Co
  4. Procter & Gamble (P&G)
  5. Unilever
  6. AB InBev
  7. JBS
  8. Coca Cola
  9. Philip Morris
  10. L’Oréal S.A.

Salaries in the FMCG Sector

Tasks Salaries
Store Manager 8500 TL
Store Manager Assistant 4800 TL
Engineer 4800-15500 TL
Technician 3100-12800 TL
Call Center 2500-8200 TL

USEFUL VOCABULARY

  • stand for (something) (v): if a letter, an abbreviation, or a symbol stands for something, that is what it means or represents
  • include (v): to make someone or something part of a group, set, or
    collection of things
  • conspicuous (adj): very noticeable or easy to see, especially because of
    being unusual or different
  • packaging (n): the boxes, bottles, plastic etc used for wrapping products
    so that they can be sold
  • glance (v): to read something quickly and not very carefully glance
    at/through
  • foodstuff (n): any substance that is used as food or to make food
  • compulsory (adj): something that is compulsory must be done because of
    a rule or law
  • e-commerce (n): the activity of buying and selling goods on the internet
  • undoubtedly (adv): used for saying that something is certainly true or is
    accepted by everyone

In Turkish: FMCG Sektörü Nedir? FMCG Nedir? FMCG Ne Demek? 2021