The document outlines 5 challenges facing the fast moving consumer goods (FMCG) industry: 1) leveraging big data, 2) simplifying customer decisions, 3) emerging markets, 4) the digital consumer, and 5) demographic shifts. It notes that big data creates value through better consumer understanding and improved efficiency. Emerging markets will see over 1 billion new consumers spending $10-100 daily by 2020. The digital consumer is disrupting retail channels and online shelf space. Significant demographic changes include targeting older consumers and capturing micro-demographics as the population shifts.

1. Fast Moving Consumer Goods Challenges

2. Challenge #1: Big Data
The amount of data in the
consumer goods industry has
exploded in recent years.
Big data creates value in many
ways:
1. Providing a better
understanding of consumers
2. Improving operational
efficiency
Only 10% of executives give their organization an “A”
in preparedness.
3. Accelerating business
performance

3. Challenge #2: Simplify Customer Decision
Customers are overloaded with
products and information.
However, most people find difficult
to choose a product:
1. Product Specialiation
2. Vendor with more detailed
information
3. Minimalist interfaces
“People don't know what they want until you show it
to them”

4. Challenge #3: Emerging Markets
Build a leading position on the
right sectors with the right
products will be the key for FMCG
companies:
1. Launch tailored products
(market segmentation);
2. Intensive consumer education;
3. New ways to advertise.
By 2020, there are expected to be more than 1 billion
new consumers spending between $10-$100 per day

5. Challenge #4: Digital Consumer
While technology has played a key
role in the consumer goods
industry’s growth, it will be truly
disruptive in the coming decade:
Online:
1. Retail Channels (Sell directly to
customers)
2. Manage online shelf space
3. Consumers are more reliant
on referrals
In China, the online retail market has more than
doubled in each of the last 3years and could exceed
$200M by 2015

6. Challenge #5: Demographic Shifts
There will be a profound
demographic changes across all
markets:
1. Target older consumers
2. Capture micro demographics:
In the United States, for
example, Hispanics will
makeup 23 percent of the
population in 2030
3. Pockets of younger consumers
are growing in key markets.
By 2030, one in four Western Europeans will be
elderly

7. What Role I will play in this sector?
I hope to work
as a business
I want to find new ways of doing
I will contribute
business in this sector.
to the evolution of FMCG
I will apply entrepreneurship skills that
I hope to solve
developer in the medium term.
some of
market.
the MBA will teach me.
the industry challenges.