Keeping track of consumer packaged product stock is difficult under the best circumstances. It becomes nearly impossible during times of widespread chaos at home and abroad. Companies that make, distribute, or retail consumer packaged goods like cleaning supplies, toiletries, paints, office supplies, and accessories, need to be aware of the supply chain agility and flexibility required to deal with fluctuations in supply and demand. CPG & Natural Products Sales outsourcing agency can help you with that.
In an increasingly competitive consumer packaged goods (CPG) industry, supply chain managers are under intense pressure to reduce operational expenses and boost output. Transparency at the pace of business necessitates a digital CPG supply chain because of the growing number and complexity of sales channels that necessitate tracking items from their point of origin in the factory to the final consumer.
1. Establish a Connection
Due to the nature of end-to-end connectivity across the partner network, a great deal of data will inevitably be concentrated across several channels. Increasing end-to-end connection is facilitated by fostering collaboration with other channel partners by creating better ties through efficient and coordinated actions. The subsequent flurry of activity ultimately leads to a focalization of data.
CPG supply chain will need to network via many channels, such as e-marketplaces and their websites, even as grocery stores continue to play a crucial role as trading partners.
CPG supply chain planning may misjudge the impact of unexpected increases or decreases in demand. Incorporating ‘big data’ technology enables a more holistic strategy and flexible demand forecasting. Companies would have to act swiftly and efficiently to address production and inventory capacity throughout the supply chain in response to the demand estimate.
3. Consolidating Multiple Products
Bundling is a marketing tactic in which many items are marketed together. It exposes a low-demand product to a larger audience and boosts engagement by bundling it with a market leader.
4. Product Rationalization
It is a strategy wherein a company reduces or eliminates its product offerings in a market due to low profitability and low demand. Effectiveness increases when rethinking things that aren’t selling well. Having these items in stock is a waste of resources and money. With the savings from rationalization, the company can put more effort into its core value-creating activities and give more attention to its customers.
Businesses are adjusting their CPG supply chain management strategies in response to globalization, technology, and customers with more purchasing power. Supply chains of the future will be able to self-regulate and take necessary measures, expanding and augmenting human skills beyond what is currently possible. Emerge Natural Sales Solutions offers Natural CPG brands consulting solutions that can help you optimize the process.