Getting it wrong with Eco-Actives will be costly
The new #WhoCaresWhoDoes study shows the risk for categories and brands as this group grows and their purchasing becomes more important. Also this week, our revised forecast for FMCG continues to show growth compared with a record 2020 – even before any potential spike in inflation.
- Winning favour with sustainable shoppers takes time; act now to benefit in years to come
We predict Eco-Actives will account for half the population by 2029. Brands and categories that currently under-perform with Eco-Actives face a big loss as the population shifts. - …Many categories are at risk if they cannot recruit Eco-Actives
The growth of Eco-Actives is good news but brands need to evaluate the impact on the bottom line. Eco-Actives growth comes at the expense of Eco-Dismissers. Brands which rely on this group will see their shares fall against other brands which ARE able to attract the sustainable shoppers. - The ‘new normal’ FMCG in 2021 shows value growth vs 2020 and is in line with forecast
FMCG globally in 2020 was 8% higher than pre-Covid expectation. Earlier this year, we forecast a further gain of 2% in 2021. To mid year, it looks like the gain will be closer to 1% but the trends are very similar to forecast with a long term benefit to the market. Naturally if inflation increases significantly, this will drive more growth.