Distribution Channels for Consumer Goods in India: Past, Present, and Future Directions

Abstract

India’s economy is projected to grow at a fast clip over the next few years. With increasing purchasing power and a rising middle class, the fast moving consumer goods (FMCG) industry is posed to grow dramatically. To leverage opportunities, FMCG manufacturers and retailers will have to develop and implement deliberate strategies for gaining market access. This paper provides an in-depth look at the strategic role of distribution channels in the FMCG industry. Specifically, it surveys the state of current distribution channels in India and identifies four archetypes that FMCG firms can use as a starting point to develop their distribution strategy in the future.