One of the primary drivers shaping the strategic landscape of the FMCG industry is the evolving consumer demand for convenience, quality, and value. Time-constrained consumers seek products that offer convenience in terms of accessibility, packaging, and usage. They increasingly prioritize the quality and health benefits of the products they purchase, demanding transparency in ingredient sourcing, sustainable practices, and ethical manufacturing processes. Consumers are also growing more concerned about the environmental impact of their purchases and expect companies to adopt sustainable practices throughout the value chain. Balancing these consumer demands while delivering compelling value propositions poses a significant strategic challenge for global FMCG companies.
At Procter & Gamble, environmental sustainability is deeply ingrained in their business model, as they are committed to improving the lives of the people and the planet. In September 2021, Procter & Gamble announced an ambitious goal to achieve net-zero greenhouse gas (GHG) emissions across its operations and supply chain by 2040. Their Climate Transition Action Plan encompasses the entire lifecycle emissions of P&G products and packaging, including operations, consumer use, and product end-of-life.
P&G partnered with Krukow to develop new industry standards for package designs as well as in-store point of sale (POS) materials, space management, and digital prompts, with the intent of increasing consumer conversion to refillable personal care products.
