I N D U S T RY

A N A LY S I S
FMCG
Personal Care

Presented by
Aditya Sharma 80011320083
Heena Chumbhale 80011320087
Puspendu Pahari 80011320006
Saransh Gupta 80011320106
INTRODUCTION

• FMCG: Fast-moving consumer goods (FMCG) is

the largest group of consumer products.
• The FMCG product group is an important
contributor to the economy.
• —One of the major factors which are responsible
to drive the growth of the global FMCG market is
the increase in population
—
 Market Size
MAIN SEGMENTS
OF FMCG
• The retail market in India
is estimated to reach US$
1.1 trillion by 2020 from
US$ 840 billion in 2017.

• The rise in rural

consumption will drive
the FMCG market. It
contributes around 36
percent to the overall • Food and Beverages
FMCG spending.
• Household Care
• Personal Care
 TO P F M C G C O M PA N I E S
• NESTLE India
• Hindustan Unilever Limited
• I T C LT D
• Dabur India
• P r o c t e r a n d G a m b l e C o m p a n y.

Strong growth in the FMCG sector

Revenue of the FMCG sector reached Rs 3.4 lakh crore (US$ 52.8 billion) in FY17 and
is estimated to reach US$ 103.7 billion in 2020.
PERSONAL CARE SECTOR

• —HAIR Care
• —Skin Care
• Oral Care
• —Foot Care
• —Kids and Baby Products
• Shaving Products
—

—This industry accounts for 22% of the country’s fast-

moving consumer goods (FMCG)
S U P P LY C H A I N I N
PERSONAL CARE
S E C TO R
• —The supply chains of the FMCG
industry are seen as a role model
for other industries.
• —In order to achieve the
organizational goal of making
money supply chain managers try
to find cheaper suppliers.
 performance
chain
Supply
REA model
The resource-event-agent (REA) model

SCOR model
—The supply chain operations reference
(SCOR) model

BSC MODEL
—The balanced scorecard (BSC)
C O M B AT I N G T H E H U R D L E S O F S U P P LY
CHAIN IN TIMES OF COVID

• —The sector was seeing a slowdown since mid-

2018, with growth rates steadily declining for the
past 15-18 months.
• —With demand for essential products shooting up,
companies across the globe were scrambling to
streamline their supply chains.
• —Driver availability, border sealing, movement
restriction, non-availability of return load.
R I S E I N E - R E TA I L
—Understanding the shift in consumer demand, the FMCG
companies have now started to shift towards e-commerce
platforms.
• —The beauty and personal care industry across India were
estimated to grow almost twice its value of over 11 billion U.S.
dollars in 2015 by 2020.
• —Estimated to grow over 22 billion U.S. dollars in 2020, almost
double its market size in 2015.
 Employment
Opportunities in the
FMCG Industry
Financial areas

Indian beauty and

personal care (BPC)
industry is estimated to
be worth USD 8 billion.
DISTRIBUTION
CHANNEL AND
MARKETING
• Retail Channels – Department Stores,
Hypermarkets, Speciality Stores, Shopping
Malls, and many more.
• Leading Channel is Grocery Retailers
• Chemists and Pharmacies are expected to gain
more traction in the coming years.
 CHANNEL
O V E RV I E W
• Digital Presence is in the lead.

• General trade still dominates the Indian beauty and personal care market with a share of
75%. This channel includes local Kirana stores and is used by the Indian consumer for
their daily care products like shampoos, deo, shaving kits, etc.

• Major growth drivers of the modern trade channel are online ads, social media, DIY
videos, etc.

• The online channel has a share of 2-5% share overall and is segregated into horizontal
(Amazon, Flipkart), fashion vertical (Myntra) and super vertical (Nykaa, Purplle) players.
FUTURE POTENTIAL
• The Indian personal care market
is expected to grow to USD 22-
23B in 2022.
• The global skincare products
market size was valued at
134.8B in 2018.
• It is expected to expand with a
CAGR of 4.4% from 2019 to
2025.
 PRODUCTS that have natural
goodness.
emphasis for future
D I G I TA L M A R K E T I N G
products
Main

E C O - F R I E N D LY o u t l o o k

VEGAN environment
TRENDS
• Shift towards mental and physical well-being through the use
of natural, organic, anti-fatigue, antipollution, anti-aging
products.

• Increased adoption of men’s grooming products.

• Increasing use of beauty devices and technology-infused

products and services.

• Consumers opting for at-home services, online buying.

• The growing importance of peer feedback and product reviews

in purchase decisions.

• A heightened sense of individualism in purchase and choice

among Millennials.
INDIA VISION
2030
By 2030, India will become the world’s fifth-largest consumer market, according to KPMG.

As per a report by the Indian Brand Equity Foundation by the year 2015, the Indian FMCG market will reach US$ 100 billion.

Brands will expand to new markets.

FMCG companies will contribute to utilize e-commerce platforms for selling their products.

Government initiatives such as the Food security bill, cash subsidies, foreign investment policies etc, will push the growth of the
FMCG sector.
Thank you!