Fast Moving Consumer Goods companies are adapting to the shift towards healthier and more sustainable products by recognising the growing consumer demand for these types of products. In this blog post, we explore some of the ways that FMCG companies are adapting to this shift.
Fast Moving Consumer Goods companies have always been associated with producing products that are inexpensive and convenient, although not necessarily healthy or sustainable. However, in recent years, there has definitely been a noticeable shift in consumer preferences towards healthier and more sustainable products.
Consumers are increasingly aware of the environmental impact of the products that they purchase and are more conscious of their health and wellbeing. In response to this shift, many FMCG companies have been taking major steps to adapt to the changing consumer landscape by adopting sustainability and health into their product offerings.
The Most Recognised Steps Brands Are Taking
Developing Healthier Products:
FMCG companies are now developing healthier products by reducing the use of unhealthy ingredients and replacing them with natural and organic ingredients. They have also started to reduce the amount of sugar, salt, and unhealthy fats in their products. For example, many companies have been introducing low-sugar and low-fat versions of their products to cater to their health-conscious consumers. Brands and supermarkets have also been introducing gluten-free, dairy-free, and vegan products to their consumers who have specific dietary needs.
Many companies are using sustainable packaging by exploring numerous innovative solutions. For example, some companies have been using plant-based materials for their packaging. For instance, Coca-Cola launched their "PlantBottle" that's made from renewable materials like sugarcane, and Unilever started to use biodegradable materials for their personal care products. Various companies have also been exploring options like reusable packaging, which tends to include customers returning the packaging to the store, where it will then be cleaned and refilled.
Focusing On Environmental Sustainability:
To focus on environmental sustainability, FMCG companies have been using environmentally friendly practices within their organisations. Companies have been implementing measures to reduce their greenhouse gas emissions, such as using renewable energy sources, like wind, solar, or geothermal energy, and even using more energy-efficient manufacturing processes.
Brands are also implementing sustainable sourcing practices to ensure that the raw materials they use are sourced responsibly. Nestle for example, has pledged to use 100% sustainably sourced cocoa by 2025, and Unilever committed to sourcing all their agricultural raw materials sustainably.
The Need For Transparency:
With the efforts to tackle climate change across the FMCG market, consumers decisions are starting to be based upon a company's environmental claims. Reducing environmental harm, or having a positive impact is no longer just a nice-to-have, but it has become a must-have for most competitive businesses.
However, with some brands knowing this, it can lead to companies putting out misleading, or false environmental claims which are now referred to as 'greenwashing'. This is why honest and transparent reporting, especially on packaging, will resonate with consumers - which is a critical aspect of brand loyalty.
In conclusion, FMCG companies are adapting much more to the shift towards healthier and more sustainable products by taking a holistic approach that continues to address the changing needs and values of their customers. By developing healthier products, using sustainable packaging, focusing on environmental sustainability, and listening to the consumers, FMCG companies are clearly demonstrating their commitment to promoting healthy living and sustainability. These initiatives don't just meet the growing demand for healthier and sustainable products, but they also contribute to a better and more sustainable future in general.