Best marketing strategies for FMCG products in India from the leading brands (indianretailer.com)
India is a hub of FMCG brands. There are huge national and multinational brands catering their products to millions of people and generating immense capital. The biggest player in the market is ITC. The market capitalization value of the brand is INR 256,769 Crores. The next on this list are HUL, Nestle (India), Godrej, Glaxo SmithKline, Colgate Palmolive, Marico, Emami and Procter & Gamble. These are the multimillion names that can are altering the retail industry with their innovative marketing strategies.
The brands have created an excellent platform for themselves by introducing new strategies in the market to create product awareness and maintain customer loyalty. Here is the list of best marketing strategies for FMCG products in India.
- Multi-branding
This is a unique style of the of FMCG brands that cater to competing products under the same banner. The same company manufactures a range of products, similar by genre, and caters to the consumers. The main motto is to create a stronghold in the market with the products of the same brand and leave minimum or no space for the competitors’ products. This strategy is uniquely used to eat up the shelf space available in the distributor’s and retailer’s shop. Creating competition among own products is a perfect way to grab hold the market.
- Flanking
This is a typical strategy where the same product is sold in different volume and packaging. For an instance, the shampoo is sold in both bottles and sachets so that it can grab all the segments in the market. It is a good strategy for almost all FMCG products available in the market.
- Extension of the brand
When a company has already established a brand name, it uses the popularity as the fuel to add more products with the same name and skyrocket the sales. For an instance, the popularity of Lifebuoy is huge. The company sells both soap and hand wash liquid with the same name in order to grab the same segment of loyal customers. The extension and diversification of the brand also add more value. It is a typical strategy used to make a product quickly recognized by the target audience.
- Product line building
This is a typical product line strategy that offers all the varieties consumer wants with different names. For an instance, Hindustan Unilever offers soaps of various kinds such as Dove, Lifebuoy, and Lux to cover all kinds of needs and market segments. These related products do not compete with each other as the target audience is absolutely different from each other in terms of preferences.
- Developing new products
In this case, Proctor & Gamble is the best example that develops new products every now and then to maintain the competition and replace the older ones that have proved to be incompetent. The current products face threats from dynamic consumer needs, different taste, product life cycles, etc. The new product development can be done either via research and development or via acquiring another company.
- PLC strategy
Product Life Cycle or PLC, in the case of FMCG products, is short. It is nothing but the span of the product existing in one market. The old products need to be replaced or transformed so as to maintain the competition and feed the enthusiasm of the customers. It is very essential for a company to create a new line of products to replace the old ones. The new inclusions and innovations in the products will also fortify the customer base and the stronghold in the market.
- Evolution and adaptation
The market survey often reveals the specific requirements and the pain points of the customers. This information is specifically used by the FMCG companies to design a new product line. Changing the product line, making it better to meet the contemporary needs is mandatory for the survival of the brand. If not changed or upgraded, the future of the company might become stagnant.
- A vast network of distribution
A vast and diverse distribution network, in terms of significant locations, can be very helpful for a brand to gain a lion’s share of the market. Soft beverages brands like PepsiCo and Coca-Cola own a vast network of distribution. It reaches to almost every corner of the urban and semi-urban markets to cater their products, making it tough for the other brands to infiltrate.
These are the best marketing strategies for FMCG products in India to grab the market and fortify the brand.
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