{{Short description|Products that are sold quickly and at a relatively low cost}} {{Use dmy dates|date=January 2026}} {{redirect-distinguish|FMCG|Freeport-McMoRan|First Manhattan Consulting Group}} {{refimprove|date=August 2018}} thumb|right|Store aisle of fast moving consumer goods; shown here are health and beauty products thumb|Warehouse club store thumb|right|Soft drinks are also FMCGs.
'''Fast-moving consumer goods''' ('''FMCG''') are products that are sold quickly and at a relatively low cost. Examples include non-durable household goods such as packaged foods, beverages, toiletries, candies, cosmetics, over-the-counter drugs, dry goods, and other consumables.<ref name="Ramanuj_Majumdar">{{cite book |title=Product Management in India |author=Ramanuj Majumdar |publisher=PHI Learning |year=2004 |isbn=978-81-203-1252-4 |pages=26–27 |url=https://books.google.com/books?id=ESJzaCJE3fQC&q=what%20is%20fmcg&pg=PA26 |access-date=2010-06-19 |archive-date=2023-07-01 |archive-url=https://web.archive.org/web/20230701094723/https://books.google.com/books?id=ESJzaCJE3fQC&q=what%20is%20fmcg&pg=PA26 |url-status=live }}</ref><ref>{{cite book |title=The Advertising Handbook |author=Sean Brierley |publisher=Routledge |edition=2nd, illustrated |year=2002 |page=14 |isbn=978-0-415-24391-9 }}</ref><ref>{{Cite web |last=Nellist |first=George |date=2022-10-06 |title=By looking to nature, health products manufacturer Melaleuca is breaking barriers |url=https://www.digitaljournal.com/business/by-looking-to-nature-health-products-manufacturer-melaleuca-is-breaking-barriers/article |access-date=2022-10-09 |website=Digital Journal |language=en-US |archive-date=2022-10-09 |archive-url=https://web.archive.org/web/20221009233135/https://www.digitaljournal.com/business/by-looking-to-nature-health-products-manufacturer-melaleuca-is-breaking-barriers/article |url-status=live }}</ref>
Fast-moving consumer goods have a high inventory turnover and are contrasted with specialty items, which have lower sales and higher inventory holding costs. Many retailers carry only FMCGs, particularly hypermarkets, big box stores, and warehouse club stores. Small convenience stores also stock fast-moving goods; the limited shelf space is filled with higher-turnover items. ==Terminology==
The term FMCG is often used interchangeably with the term '''consumer packaged goods''' ('''CPG'''), but strictly speaking, FMCG is a subset of CPG. CPGs sell frequently, and include clothing (especially basics such as socks), beauty products, and other household products. FMCGs are a subset of CPGs: FMCGs such as beverages and toiletries sell faster than the other CPGs such as clothing.<ref>{{cite web|title=What is the difference between “FMCG” and “CPG?” |url=https://nielseniq.com/global/en/insights/analysis/2022/what-is-the-difference-between-fmcg-and-cpg/|date=15 February 2022|website=NielsenIQ}}</ref>
== Characteristics ==
The following are the main characteristics of FMCGs:<ref name="Ramanuj_Majumdar"/><ref>{{cite web|url=https://vyprclients.com/new-product-development-in-fmcg/ |title=New Product Development in FMCG |access-date=11 December 2025 |publisher=Vypr }}</ref>
* '''From the consumer perspective''' ** Frequent purchases ** Low engagement (little or no effort to choose the item) ** Low prices ** Short shelf life ** Rapid consumption
* '''From the marketer perspective''' ** High volumes ** Low contribution margins ** Extensive distribution ** High inventory turnover
==Shelf space== Between 2009 and 2023, shelf space in the U.S. supercenters and supermarkets decreased by 5 and 3.3 percent, respectively. This reduction has intensified competition for shelf space among brands, as the number of products available has increased. Retailers often charge slotting fees to brands for product placement. While some well-established brands may avoid these fees, the average cost can range from $100 per item per store to significantly higher amounts.<ref>{{cite news |last=Williams |first=Jennifer |url=https://www.wsj.com/articles/stress-on-shelvesthe-battle-for-space-in-store-aisles-6f6b0dea |title='Stress on Shelves'—the Battle for Space in Store Aisles |work=The Wall Street Journal |date=2024-08-14 |accessdate=2024-08-15 }}</ref>
== Consumer packaged goods companies == Well-known CPG manufacturing companies include:<ref>{{Cite web |last1=Jesse |last2=Jesse |date=2020-04-30 |title=Top 10 Largest CPG Companies by Revenue in the World 2020 {{!}} CPG Industry Factsheet |url=https://blog.bizvibe.com/blog/largest-cpg-companies |access-date=2022-10-09 |website=Bizvibe Blog |language=en-US |archive-date=2022-10-09 |archive-url=https://web.archive.org/web/20221009232612/https://blog.bizvibe.com/blog/largest-cpg-companies |url-status=live }}</ref>
* Nestlé * Procter & Gamble * PepsiCo * Unilever * AB InBev * L’Oréal * Coca-Cola * Mondelez International * Kraft Heinz * Heineken
== Rural consumers == Consumers in rural areas typically purchase goods from nearby towns and villages. A recent{{when|date=November 2024}} shift in consumer purchase behavior toward purchasing locally has prompted the need for better local promotional efforts to generate brand awareness in small towns.{{cn|date=January 2026}}
FMCGs play a large part in the economy, as they are inelastic products that touch every part of consumer life. Businesses that supply FMCGs to rural communities can help provide employment opportunities and reduce the cost of such products in those rural areas. For instance, FMCGs represent the fourth-largest sector in the Indian economy<ref>{{Cite web|url=https://www.ibef.org/industry/Fmcg-presentation|title=Indian FMCG Industry Analysis|website=ibef.org|access-date=2020-02-25|archive-date=2020-02-25|archive-url=https://web.archive.org/web/20200225053801/https://www.ibef.org/industry/Fmcg-presentation|url-status=live}}</ref> and generate employment for more than three million people in downstream activities.<ref>{{Cite web|url=https://www.journalijdr.com/sites/default/files/issue-pdf/Download%201068.pdf|title=Rural Consumer Behaviour on Fast Moving Consumer Goods|last=Singaravelu|first=Dr. K.|date=October 2013|access-date=2018-10-07|archive-date=2018-10-08|archive-url=https://web.archive.org/web/20181008061228/https://www.journalijdr.com/sites/default/files/issue-pdf/Download%201068.pdf|url-status=live}}</ref>
== See also == * Category management * Mass production * Trade promotion management * Shelf-ready packaging
== References == {{Reflist}}
{{Portal bar|Business and economics}}
Category:Manufactured goods Category:Retail packaging de:Warenrotation#Schnelldreher