The Corona epidemic has made a big difference in consumer shopping. In the case of daily commodities (FMCG), the demand for Rs 500 products has increased by 40 per cent instead of Rs 1,000. At the same time, the demand for beauty products has decreased. In addition, the demand for FMCG products is higher in rural areas than in large cities. This situation has forced companies to change their strategies. A Nielsen report has revealed this.
The report said FMCG companies delivered a total of 1,897 products to the health and wellness department from March to August. This is 18 times more than six months ago. While in the beauty and purpose section, the price of the new product has dropped. During this period their number dropped from 255 to 160. These include skin care creams, lipsticks, chocolates, biscuits and confectionery products.
40% of the business comes from the countryside
Nielsen reports’ Covid-19: In the face of increasing consumer trends, companies are now revising plans for proposed products and focusing on current market needs. It said that 40% of the business of FMCG companies comes from rural India, which is why their strategy has to be reconsidered.
Domestic spending has risen
At the same time, the home cooking sector has jumped 35 percent in the release of new products. Household use has increased as people have closed their homes, hotels, restaurants and other places. The range included new products from March 2020 to August 2020, including ketchup, chutney, cats, butter and milk powder, although only 93 products were launched in the previous six months.
Low-cost mobile sales have doubled
According to a Nielsen report, between May and August this year, sales of mobile phones worth Rs 15,000 have doubled. At the same time, spending on electronics and home electronics products rose 26 percent. Fashion spending fell 53 percent during this time. It said e-commerce sales rose in1 percent in August. Although the cost per customer has increased by 17 percent, which is close to the December-January and February averages. Average product purchases also increased by 23 percent during this period. However, the report noted that Corona has created opportunities for local national-level organizations as well as local organizations during this period and increased confidence in local organizations.