Consumer Packaged Goods Market Trends

Global Consumer packaged goods Market Overview

Consumer Packaged Goods Market size was valued at USD 5,297.82 billion in 2023. The consumer packaged goods market industry is projected to grow from USD 5,483.24 billion in 2024 to USD 6,976.22 billion by 2032, exhibiting a compound annual growth rate (CAGR) of 3.5% during the forecast period (2024 - 2032). The consumer-packaged goods market has been continuously developing at a constant pace over the past few years and is likely to observe substantial growth during the forecast years owing to surging applications of such products in daily life.

Source: Secondary Research, Primary Research, MRFR Database, and Analyst Review

Consumer packaged goods Market Trends

• The ongoing demand for convenience products among the population is skyrocketing the demand.

Consumer packaged goods are products that are used on a regular basis by consumers, and it requires regular replacement or replenishment. The consumer-packaged goods industry is observing a significant saturation of the market and less costs of consumer switching, as the population across the globe is looking for alternative options related to the product at less expensive or budget-friendly prices. 

That in turn provides a steady demand for such products and increases competition across the globe. Owing to this, the various manufacturers of consumer-packaged goods are focusing on the development of innovative packaging products at cheaper price rates. Daily essential products such as food and juices or drinks, various packaged foods, animal food, metal tinned food, baked products, soft and hard drinks, energy drinks, oils, fats, and baby food among others are a few of the types of consumer-packaged goods. Apart from that, cosmetics and personal care products, medicines & other health supplements, animal feed products, and various products majorly require convenience packaging as these products are purchased by consumers on regular basis. In addition, the increasing demand for convenience food products such as chocolates, snacks, chips, crackers, frozen desserts, baked goods, fresh as well as prepared meals, and ready-to-eat or ready-to-cook products, various beverages are key factors that are creating momentous growth prospect for the consumer-packaged goods market and is likely grow over the forecast years.

Consumer packaged goods Market Segment Insights

Consumer Packaged Goods Product Type Insights

Based on product type, the Consumer Packaged Goods Market is segmented into food & beverage, cosmetics & personal care, pharmaceuticals, nutraceuticals, and others. Food & beverage accounted for the major market share in 2022, with approximately ~30% of the overall market revenue. The food and beverage sector held the major share owing to surging demand for convenience products among the population. The shift in the preferences of consumers towards convenience products and the launch of various innovative consumer packaged goods in the food & beverage industry across the globe impelling the growth of the segments and is anticipated to grow over the forthcoming years.

Figure1: Consumer Packaged Goods Market, by Product Type, 2022 & 2030 (USD Billion)

Source: Secondary Research, Primary Research, MRFR Database, and Analyst Review

Consumer Packaged Goods End User Insights

The Consumer Packaged Goods Market segmentation, based on end user, includes residential/retail, and commercial. The residential/retail segment led the market in 2022. Furthermore, the end-user segment is anticipated to observe momentous growth as a frontrunner during the forecast years 2022-2030. This is mainly due to increasing awareness among consumers regarding consumer-packaged goods via television, along with the increasing number of users of the internet and other social media websites. Moreover, the increasing demand for personalized products among consumers is driving the overall market growth for consumer-packaged goods. Apart from that, it also aids the firms to tailor the demand for products with the help of their content of ingredients and the look of the packaging.

Consumer Packaged Goods Distribution Channel Insights

The end-user segment of the consumer packaged goods market is bifurcated into offline and online channels. The offline segment held the dominating market share in 2022 in terms of value. The offline segment is estimated to be the lucrative segment during the projected period. The offline distribution channel segment is further split into hypermarkets & supermarkets, convenience stores, specialty stores, and others, among which the hypermarket & supermarket segment accounted for the major market share, as various consumer packaged goods are available in the hypermarkets & supermarkets.

Consumer Packaged Goods Regional Insights

Based on the regional segment, the Consumer Packaged Goods Market is analyzed into North America, Asia-Pacific, Europe, and the Rest of the World. The Europe consumer packaged goods market held ~32% share of the market in 2022, in terms of market value, and is likely to observe a significant CAGR during the review period. This is mainly due to the presence of a comparatively large number of key players in Europe, that in turn back up the regional share. Various global players operating in food, beverage, cosmetics, pet food, and personal care products, along with chemicals, oils, and fats such as Nestle SA, Unilever plc, L’Oréal S.A., and Diageo among other players are headquartered in the region. Furthermore, Europe has various developed nations, with more disposable income the consumers, which is also driving the growth for the consumer packaged goods in the region. 

Furthermore, the North American consumer packaged goods market is focusing on the development of innovative products to gain a larger share of the global market. The developments associated with new product launches are increasing the efficiency of the market and contributing to the progress of the consumer packaged goods market. The U.S., and Canada, are projected to boost the growth of the North American consumer packaged goods market.

Figure2: CONSUMER PACKAGED GOODS MARKET SIZE BY REGION 2022&2030

Source: Secondary Research, Primary Research, MRFR Database, and Analyst Review

Further, the key countries considered in the analysis of the Consumer Packaged Goods Market report include the U.S., Germany, Canada, France, China, Italy, Spain, India, the UK, Japan, Australia, Brazil, South Korea, and South Africa.

Asia Pacific consumer packaged goods market emerged as the second-largest market. Asia Pacific is the region with various highly populated countries such as India, and China that lies a huge consumer base for consumer packaged goods. Moreover, the region is also having the opportunity to observe a noticeable growth during the projected period owing to the increasing per capita income of developing nations such as Japan, India, Australia, and China among others.

The rest of the world region includes South America, the Middle East, and African countries. The region also accounted for the stable growth rate of consumer packaged goods in terms of market value. However, the increasing expenditure and usage of various consumer packed goods such as cosmetics & personal care products, along with food & beverages in the GCC countries, South Africa, Brazil, and Argentina among others flourishing the market growth.

Consumer Packaged Goods Key Market Players & Competitive Insights

Consumer packaged goods have a stronger foothold across various verticals and regions, and the market is observing very high competition as it is dominated by thousands of global, regional, local, established, and pure-play vendors. Moreover, the corporations operating their business in the FMCG industry are making continuous investments in the development of innovative products in accordance with ongoing trends in the market. The companies are also focusing on the shifting preferences of the consumers, and they are innovating their solutions to meet their demands. The key corporations operating in the Consumer Packaged Goods Market are having a robust footprint across the geographies. Moreover, the active players are also focusing on environmental sustainability, and according to that they are introducing products in the global market. They are using biodegradable materials such as paper and jute-based packaging materials. The players are also observing a very high competition with the availability of corporations with similar offerings. Moreover, the vendors have a robust geographic footprint along with a partner ecosystem to cater to the diversified consumer segment.

The key players operating in the Consumer Packaged Goods Market are Nestlé SA, Procter & Gamble, PepsiCo, Unilever, LVMH Moët Hennessy Louis Vuitton, Imperial Brands PLC, Anheuser-Busch InBev, JBS S.A., Nike, Inc., and Tyson Foods.

The manufacturers operating in the Consumer Packaged Goods Market are focusing on mergers, acquisitions, partnerships, and other strategic collaborations to enhance their operational effectiveness.

Key Companies in the consumer packaged goods market include

• Nestlé SA (Switzerland)


• Procter & Gamble (U.S.)


• PepsiCo, Unilever (U.S.)


• LVMH Moët Hennessy Louis Vuitton (France)


• Imperial Brands PLC (England)


• Anheuser-Busch InBev (Belgium)


• JBS S.A. (Brazil)


• Nike, Inc. (U.S.)


• Tyson Foods (U.S.)

Consumer Packaged Goods Industry Developments

• In July 2022, Procter & Gamble (P&G)- one of the big giants of consumer goods launched updated versions for virtual shopping in the Southeast Asian market.


• In October 2022, Tata Consumer Products, and Marico announced the launch of new products under the brand name Saffola.


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  April 19, 2024

  
  

  Procter & Gamble Company announced net revenues of $20.2 billion for the third quarter of its fiscal year 2024, up 1% from the same period last year. Excluding the effects of foreign exchange and acquisitions and divestitures, organic revenues rose by three percent. There was an 11% rise in diluted net earnings per share to $1.52 from the previous year.

  
  

  For the quarter, net earnings were $3.8 billion and operating cash flow was $4.1 billion. Calculated as operational cash flow less capital expenditures as a proportion of net earnings, adjusted free cash flow productivity was 87%. Through share repurchases of $1 billion and dividend payments of about $2.3 billion, the Company gave $3.3 billion in cash back to its shareholders. This month's dividend increase represents the 68th straight.

  
  


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  In 2024, IBM announced a collaboration with SAP to develop solutions to help clients in the consumer packaged goods and retail industries improve their supply chain, finance operations, sales, and services using generative AI. IBM is collaborating with SAP to develop new generative and traditional AI solutions to address the complexities of the direct store delivery business process and product portfolio management, building on a shared legacy of technology expertise and the successful integration of IBM Watsonx, an enterprise-ready AI and data platform, and AI assistants, into SAP solutions. IBM Consulting and SAP are already working with global CPG clients to gather precise requirements for safe and scalable AI solutions that can be connected with the SAP Direct Distribution® solution.

  
  

Consumer Packaged Goods Market Segmentation

Consumer Packaged Goods Product Type Outlook

• Food & Beverage


• Cosmetics & Personal Care


• Pharmaceuticals


• Nutraceuticals


• Others

Consumer Packaged Goods End User Outlook

• Residential/Retail


• Commercial

Consumer Packaged Goods Distribution Channel Outlook

• Offline


• Online

Consumer Packaged Goods Regional Outlook

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  North America

  
  
  
  
  • US
  
  
  • Canada
  
  
  
  


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  Europe

  
  
  
  
  • Germany
  
  
  • France
  
  
  • UK
  
  
  • Italy
  
  
  • Spain
  
  
  • Rest of Europe
  
  
  
  


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  Asia-Pacific

  
  
  
  
  • China
  
  
  • Japan
  
  
  • India
  
  
  • Australia
  
  
  • South Korea
  
  
  • Australia
  
  
  • Rest of Asia-Pacific
  
  
  
  


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  Rest of the World

  
  
  
  
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    Middle East

    
    
  
  
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    Africa

    
    
  
  
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    Latin America