Expectations of Top 10 FMCG Industry Trends for 2022

FMCG Trends 2022

The term ‘FMCG‘ is widely used in many parts of the world. It stands for “Fast Moving Consumer Goods” and refers to various items such as food, beverages, clothing, household goods, personal grooming products, and more.

These items are typically sold in retail stores and are intended for mass consumption. FMCGs industry trends are usually less expensive than other goods because they are widely available.

It is critical to comprehend what FMCG is and how it differs from other product types as these products have distinct characteristics.

Characteristics Of FMCGs Industry Trends in 2022

FMCG products have a few distinguishing characteristics that set them apart from other products. These are as follows:

From the Consumer’s Standpoint

High availability:

FMCG products are frequently available and sold in various stores and supermarkets around the world.

Purchased frequently:

Due to the high availability of FMCG products in stores and supermarkets around the world, Customers are able to buy these products quickly and easily.

 Low buying effort:

Consumers typically purchase FMCGs with little effort. Most people walk into a store knowing exactly what they want and purchase it immediately based on their personal brand preferences.

 Low cost:

FMCGs are typically cheaper than other products, so they consume a smaller portion of the consumers’ income.

How does FMCG Industry Trends Work?

The popularity of the FMCG industry is widespread. The fast-moving consumer goods industry provides affordable solutions to everyday problems, from packaged daily necessities that can be grabbed quickly from a store to ready-to-make food. Hostel students, for example, prefer packaged foods such as instant noodles because they do not require elaborate cooking. Furthermore, packaged food aids individuals who live alone and cannot prepare home-cooked meals. Consumers have also benefited from the industry’s provision of medicines, masks, cosmetics, personal care, and hygiene products.

The global FMCG market was valued at $10,020.0 billion in 2017, and rising to $ 15,361.8 billion by 2025. One of the most important markets for these products is Asia. Many studies have discovered that FMCG brands have successfully utilized innovation, localization, and value-oriented marketing strategies.

The FMCG Innovation Map reveals 20 hand-picked startups, all of which are working on cutting-edge technologies in their respective fields. The Top 10 FMCG Industry trends & innovations that affect companies around the world are listed below:


Consumers are increasingly aware of climate change and its consequences on the environment. As a result, they pay more attention to a company’s social activities and seek out those that provide more environmentally friendly product options. As the issue of sustainability is becoming increasingly prominent, FMCG companies must consider not only how they present and package their products but also the materials they use. As a result, more and more FMCG companies offer compostable, recyclable, and reusable packaging to meet consumer demand. Furthermore, in food and non-food items such as cosmetics and cleaning products, cruelty-free, vegan ingredients are becoming more popular.

Customer Experience

Companies strive to improve customer experiences. Startups use Augmented Reality (AR) and Virtual Reality (VR). Customers are attracted to 3D videos and gamification because they entertain them while learning about the product. Investing in customer experiences increases brand loyalty and trust. As a result, many FMCG companies are using digital technologies to provide greater convenience.


Customers interact with brands across multiple online and offline channels, so digitization is becoming a priority for FMCG brands. These sources, including various social media platforms, web, and mobile applications, provide valuable data to businesses. It also enables FMCG brands to engage with their customers more effectively and convert one-time buyers into repeat customers.

FMCG e-Commerce

The percentage of sales generated by e-commerce is rapidly increasing. The COVID-19 pandemic has shifted consumers’ shopping habits towards online channels. As a result, brands enhance their online presence to increase consumer engagement. FMCG startups use various media for marketing their products, including mobile commerce.

Big Data & Analytics

FMCG companies are actively using big data to innovate and compete in the industry. As consumer data related to their online shopping trends becomes more accessible, brands look for new ways to strengthen customer relationships and gain insights from their behavior. Customer preferences and behavior are investigated using data analytics to provide FMCG companies with a better understanding of their purchasing habits. Big data solutions enable businesses to improve customer communication and provide more personalized experiences.

Artificial Intelligence

Machine Learning (ML) and Natural Language Processing (NLP), two AI-powered solutions, are gaining traction and presenting opportunities for the FMCG industry. For example, voice-based systems and recommendation engines that provide personalized product suggestions assist consumers in finding products 24 hours a day, seven days a week. As a result, FMCG companies can improve their customer experience by implementing AI-based solutions, resulting in higher customer satisfaction and retention.

Direct Distribution

Many FMCG companies are using direct distribution to increase customer loyalty and ensure growth. Manufacturers, for example, interact directly with their end customers via their own online and offline distribution channels. This boosts their profit margins while also providing consumers with a direct line to their favorite brands. This trend in the FMCG industry is closely linked to the growth of e-commerce and the adoption of smartphones and the internet.

Internet of Things (IoT)

With the development of the Internet of Things (IoT)  its applications in the FMCG industry have become more popular. FMCG companies can use them in physical stores, warehouses, and manufacturing facilities because IoT devices are automated and inexpensive. For example, one application of IoT devices is sending targeted messages to customers while shopping. Another area where IoT is widely used is inventory management, both in stores and warehouses. As a result, IoT creates new consumer interaction channels and revenue streams for FMCG brands combined with related emerging technologies such as ambient intelligence and smart objects.


The FMCG industry is becoming more competitive, and brands invest in blockchain to gain a competitive advantage. FMCG companies can use smart contracts and blockchain traceability to better understand their supply chain bottlenecks and intervene. It also improves consumer transparency by allowing them to track the origins of their purchases. Furthermore, blockchain platforms provide cryptocurrencies and loyalty programs, allowing customers to collect, exchange, and redeem points, increasing customer engagement.

3D Printing

For the FMCG industry, additive manufacturing and its applications provide disruptive solutions. The massive amount of waste generated by throw-away consumer products, ranging from personal care to food packaging, has prompted FMCG industry stakeholders to seek sustainable alternatives. 3D printing enables FMCG companies to design and develop products made of environmentally friendly materials and use less plastic. To this end, FMCG companies use 3D printing for sustainable prototyping, designing, tooling, and production scaling. Furthermore, by 3D food printing, food companies can add more nutritional value to their products.

Importance of FMCGs Industry Trends in 2022

The benefits of exclusivity with retailers are numerous for small manufacturers, wholesalers, and distributors. This means that their brands or products are the only ones carried by a particular retailer. High-tech companies are particularly prone to retail exclusivity, especially when new technologies are introduced to the market. In most cases, consumer anticipation is high, which benefits both retailers and manufacturers. Retail exclusivity can also help producers and distributors of other product types.


The trends we discovered during our in-depth research are only partially covered by the FMCG Industry Trends & Startups presented in this report. The industry as we currently know it will be transformed, among other things, by opportunities to improve customer engagement, experiences, and satisfaction as well as opportunities for sustainable product development, manufacturing, and packaging with the aid of AI, Blockchain, and advanced analytics. Gaining competitive advantage requires the early adoption of new opportunities and emerging technologies in your business. Get in touch with our KloudlearnLMS to quickly and thoroughly research startups and relevant technologies that are important to you.

FMCG Industry Trends 2022 FAQ’s

What are the four categories of FMCG?

Convenience goods. Shopping goods. Specialty goods. Unsought goods.

Which is the biggest FMCG company in the world?

Nestle, based in Switzerland, is the world's largest fast-moving consumer goods company, followed by Procter & Gamble and PepsiCo, both based in the United States.

Is FMCG a sector or an industry?

The fast-moving consumer goods (FMCG) industry is India's fourth-largest, with household and personal care products accounting for half of all FMCG sales. The sector's main growth drivers have increased awareness, accessibility, and changing lifestyles.

What are the three major segments of the FMCG industry?

The fourth-largest sector in the Indian economy is fast-moving consumer goods (FMCG). The industry is divided into three main segments: food and beverages, which account for 19% of the total; healthcare, which accounts for 31% of the whole; and household and personal care, which accounts for the remaining 50%.


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