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Industries · Consumer goods

Consumer packaged goods (FMCG)

How brand owners of food, drinks, and household and personal care products make money: from gross sales to net sales after trade spend, the route to market through distributors and small shops, private label, innovation, and how to crack consumer goods cases.

43 min3 lessons Facts checked against sources on
Start lesson 1 How consumer goods companies make money

Key takeaways

  • A consumer goods company makes branded products that people buy often, such as shampoo, biscuits, and soft drinks.
  • A consumer goods brand grows in two ways: more stores stock it, or each store sells more of it.
  • Consumer goods cases reward candidates who split growth into volume, price, and mix, and who remember that the retailer, the distributor, and the shopper each want something different.
By the end you will be able to
  • Walk a consumer goods P&L from gross sales to operating profit, including trade spend
  • Explain modern trade and general trade, and how brands reach small shops in India and Africa
  • Judge whether a promotion or a new product creates value
  • Describe the main consumer goods players and the trends of 2024 to 2026 with care