Cash-in on the FMCG omnichannel opportunity
Tired of the daily struggle to ensure FMCG products are available across distribution channels – physical and online – and maintaining competitive prices in a VUCA world? GEODIS helps by optimizing inventory, across channels & locations, while reducing carbon footprint.
We manage changing order volumes, especially during promotions & seasonal peaks, with our agile & customized solutions. To ensure data-driven supply chain performance & resilience, harness our state-of-the art IT tools, global account management program, & logistics network.
Decoding ‘new-age’ FMCG logistics
Manufacturers of mass market products are currently confronted with demanding consumers in the new retail era, agile digital challenger brands in every vertical, and increasingly stringent regulations.
"Beyond the traditional wholesale model, we see great development in the "direct to consumer" model. Data shows a growth in demand for D2C products, especially coffee, cosmetics, nappies, perfumes, personal care, pet food, and vitamins, minerals, & supplements. This implies that FMCG companies must consider refreshing their legacy logistics network to cope with this new consumer demand."
What is FMCG logistics?
To understand the FMCG logistics meaning , you need to first understand what FMCG is. This acronym stands for goods that are sold rapidly, and at a low cost, including beverages, packaged food, toiletries, cleaning products & personal care products. And FMCG logistics involves all the steps to get these products quickly across the supply chain to the shoppers, via different channels.
What challenges do FMCG logistics face?
In a fast-paced market like FMCG, it can sometimes be a struggle to keep pace with the logistics demand & delight customers. Here are some of the top logistics challenges that your business is likely to face:
- Inability to maintain sufficient inventory to meet fluctuating demand
- Struggle to stay compliant with industry regulations
- Lack of visibility of the inventory & order status
- Lack of system & data integration to optimize the full supply chain
What are the key performances indicators for FMCG logistics?
Some of the KPIs that you should track when it comes to fast moving customer goods logistics are:
- Delivered On-Time & In-Full
- On-Shelf Availability
- Supply Chain Costs
- Carrying Cost of Inventory
- Average Time to Sell
- Out-of-Stock Rate
How can FMCG logistics be optimized?
FMCG logistics can be optimized by choosing the right third-party logistics (3PL) provider. For best results outsource your supply chain management, warehousing & distribution, inventory management, order fulfillment, and delivery optimization to a 3PL like GEODIS.