One term cropping up in retail news a lot lately is CPGs, or Consumer Packaged Goods. These are products purchased frequently due to their short shelf life or because of how quickly they are consumed. Consequently, they are sold in high volumes and offered at low cost. These variables also make CPGs subject to impulse buying and low consumer loyalty.
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CPGs, are changing fast. Not only are new competitors emerging every day, but the way CPGs reach consumers is rapidly evolving as well. Here is a link to an article than outlines nine of the most important trends impacting the CPG industry right now.
This article on the website Modern Retail focuses on specific brands that are using competitive pricing as a solution to consumer loyalty.
One defining attribute of CPGs is a short shelf life. Things from frozen foods, cereals, and bread to over-the-counter medications and sunscreen have short sell-by windows. The frequency with which they must be replenished and the variety of choices are the leading causes of low customer loyalty to specific products. Here, The Food Institute offers its ideas on Shelf-stable products.
In the coming weeks, American Retail will feature an article on the design elements that should be considered for CPG shelving.