Eliminating Inefficient Investments in FMCG Businesses

An outsourced Revenue Growth Management project might not be the right first-step

The branded FMCG arena is characterized by fierce competition, nowhere more so than in the highly concentrated UK retail landscape. It has long been a battleground where brands vie for market share and consumer loyalty. Investments pour into product development, marketing campaigns, and distribution channels, but the returns are seemingly increasingly less lucrative!

However, amidst the flurry of activity (it only seems to be getting tougher for all of our colleagues working in this space), a pervasive issue looms large:

Wasted investment - A near criminal-level of wasted investment given the insights at the disposal of FMCG businesses, large and small!

Unravelling the layers of this costly conundrum unveils key factors contributing to wasted investment in FMCG. It’s not a lack of consumer or customer centricity driving this. At the core of the issue is a lack of understanding of what is possible from a commercial insight perspective and a lack of true collaboration between commercial departments. People focus on where it falls down between manufacturer expectations and retailer’s ability to execute. There is far more low-hanging fruit!

Cross-functional working is great, but what about first hand cross-functional expertise and external experience?

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If you are enlightened enough to have developed high quality squads comprising Marketing, Category, Shopper, Customer and Supply Chain, you are doing better than most. If you are confident you are maximizing all of the datasets you currently buy, then even better!

From our perspective, there are some questions every good Commercial Director should be asking themselves:

  • When was the last time you audited the data that was being purchased within your business – has that data set evolved, has it made other dataset surplus to requirements?
  • Are insights being surfaced from those essential datasets and discussed at every meeting which makes up your monthly S&OP cycle?
  • Does the level of data and insight available in a particular channel now challenge the levels of in-house or outsourced Retail Execution (Field Sales) support you need?
  • How are you thinking about utilizing data to drive a “prevention is better than cure mindset” in retail execution?
  • Ultimately, how wholistically are your commercial leadership team thinking? How much are they bridging the gap between their respective disciplines? – This is so often where it falls down and value is being lost
  • What are the external inputs into your activity evaluation? With the landscape changing so quickly, how can you drive the best possible forecast and best possible post-evaluation?

How Sellex can help your FMCG Business

Because the team at Sellex have, and continue through client engagements, walked in the shoes of Commercial Leadership Teams, we identify efficiency opportunities every day. More importantly, because we have moved between the functions personally, we see the problems /opportunities more clearly. They are only clear once you have worked across more of the disciplines of Customer Development.

We are passionate about eliminating waste – in every sense. And, we have the know-how and passion. We would be delighted to have an initial conversation with you about where the opportunities might lie.

Our experienced team of consultants and trainers have walked in manufacturer and retailer shoes. We can support you throughout 2024 and beyond to navigate a challenging (but we believe an opportunity-filled!) year.

Ready to find out more?

For an initial conversation, please get in touch via our contact form or call our Managing Director, Anthony Carr on 07342 084166 or Euan McGlashan, our Director of Consulting on 07796 191617