White paper: Finding the sweet spot for margin growth in a dynamic economy
The past few years have been a rollercoaster for the consumer goods and retail industry. To keep up with ongoing supply chain disruptions, inflation and the surge in consumer demand, consumer packaged goods (CPG) companies have had to swiftly adapt their trade promotions, pricing and sales execution strategies. Finding the right balance between cost management, product quality, and shopper trust can be a challenge in today's environment.
Now, a number of countries are showing signs of disinflation and even deflation, meaning shopping behaviors learned during COVID and inflationary times may change again. For American companies operating internationally, these challenges play out differently across various markets, making strategic coordination even more complex. In this paper, we explore how companies can grow their margins in uncertain times.
What you'll take away
The impact of inflation and the cost-of-living crisis on shopping behaviors: Understanding how economic pressures have changed consumer purchasing patterns across different markets, which is particularly important for US companies managing operations in multiple countries with varying economic conditions.
How consumer goods companies and retailers have adapted: Real-world examples of how leading CPG companies have adjusted their strategies, from trade promotion optimization to pricing flexibility. Companies with global reach can learn from these adaptations and apply them across their international operations.
The outlook for markets facing disinflation and deflation: Economic forecasting and market analysis showing what these trends mean for different regions. This is especially relevant for US companies that need to coordinate strategies across markets experiencing different economic cycles.
Anticipated future changes in shopping behavior: Predictive insights into how consumer behavior might evolve as economic conditions stabilize, including how promotional effectiveness and brand loyalty patterns may shift. Companies with international operations need to understand these changes across all their markets.
Implications for trade promotions and retail execution: Strategic guidance on adjusting trade promotion management to remain effective across changing economic landscapes. For companies with global operations, this means adapting promotional strategies to work across diverse market conditions while maintaining brand consistency.
Strategies for driving both revenue growth and margin growth: Actionable frameworks for balancing revenue and margin objectives during economic uncertainty, with proven methodologies for trade promotion optimization that protect profitability while maintaining market share. These strategies are designed to work across both domestic and international markets.
This white paper provides essential insights for navigating economic uncertainty while maintaining competitive advantage across domestic and global operations.
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