Fast Moving Consumer Goods Market Research Articles

Promoter Ownership and Leverage: An Empirical Evidence of Agency Problem in Select FMCG Companies

The study examines the association between promoter ownership and leverage of Fast Moving Consumer Goods (FMCG) companies listed at BSE in the ‘A’ category. The FMCG Industry is a vital sector for the Indian economy. Leverage decision is a critical financial decision. In the year, 2020 the revenue of the FMCG market was USD 110 billion. The study tries to investigate the impact of promoter shareholding on the leverage decision of Indian FMCG companies. The study is conducted on a sample of 46 companies and the study period ranges from 2017-2022 for 5 years. The study conducted A panel data model is opted for data analysis. The study also conducted a diagnostic test to further check the reliability of the data. The study indicated a significant positive association between ownership structure and leverage. Due to the existence of agency problems, the leverage decisions deviate from neoclassical models. The study’s finding adds to the extant literature on promoter ownership. The positive relationship indicated the existence of an agency problem. Firm executives should try to reduce Agency problems to enhance firm performance.

A Study of Consumer Buying Behavior and Brand Loyalty in a FMCG Market

Abstract: The Fast-Moving Consumer Goods (FMCG) market is a highly competitive and dynamic landscape, where understanding consumer buying behaviour and brand loyalty is crucial for business success. This research paper delves into the intricate relationship between these two crucial elements, aiming to provide valuable insights for FMCG companies to enhance their marketing strategies and foster long-term customer engagement. The study employs a mixed-methods approach, combining quantitative data analysis and qualitative insights, to explore the factors influencing consumer purchasing decisions and the drivers of brand loyalty in the FMCG sector. The research examines the impact of various elements, such as promotions, pricing, perceived quality, and brand trust, on consumer behaviour, as well as the emotional connections, repeated purchases, and advocacy that contribute to brand loyalty.

A Study on Economic Growth of India: A Focus on the FMCG Sector

The Fast-Moving Consumer Goods (FMCG) sector, holding the rank of the fourth-largest segment in India's economy, exerts considerable influence on both the nation's Gross Domestic Product (GDP) and employment landscape. It serves as a key driver of job opportunities across various stages of its supply chain, spanning manufacturing, distribution, retail, and marketing. This paper presents an analysis of the FMCG sector's growth in India, fuelled by consumer-driven expansion and escalated prices, particularly in essential commodities. As of December 2022, the FMCG market has achieved a noteworthy value of US$ 56.8 billion. Forecasts indicate a robust upward trajectory, with total revenue projected to soar at a Compound Annual Growth Rate (CAGR) of 27.9% from 2021 to 2027, reaching an estimated US$ 615.87 billion. In 2022, the urban segment accounted for 65% of the sector's contributions, while rural areas comprised over 35% of the overall annual FMCG sales. Factors such as favourable harvests and government spending are expected to be instrumental in revitalizing rural demand in the fiscal year 2024. Overall the Fast-Moving Consumer Goods (FMCG) industry emerges as a dynamic and essential component of the global economy, making substantial contributions to both revenue generation and employment creation.

Impact Of Digitalization In Fast Moving Consumer Goods Industry In India

While some individuals shop for groceries on a daily basis, others go grocery shopping once a week just to bulk up. Having said that, it is essential for everyone to buy food. The term "fast-moving consumer goods" (FMCG) is shorthand for things that are inexpensive, much sought after, and sell out rapidly. Because customers buy and use these products often, stores and supermarkets label them as "fast-moving" because they disappear off shop shelves so quickly. In India, the fast-moving consumer goods sector is a major economic driver. Household and personal care makes up half of the fast-moving consumer goods (FMCG) industry, which is the fourth biggest in the economy. Changing lifestyles, rising incomes, more knowledge, and better access have been the primary growth factors for fast-moving consumer goods (FMCG).There was a $56.8 billion FMCG market in December 2022. The forecasted total revenue for the FMCG market is roughly $615.87 billion, with a compound annual growth rate (CAGR) of 27.9% from 2021–27.The study shows that there are different opinions on digitization and that it is a wide-ranging issue. However, when people think of digitization in the fast moving goods business, particularly in the food sector, they usually picture the tools and processes that help sell food online. The current surge, on the other hand, is attributable to the fact that people are becoming used to buying online and are hence requesting this functionality for their grocery shopping as well. Companies in the food business can't help but consider digitization in response to customer demands for digital solutions, as customers are the industry's most important players. Electronic commerce (e-commerce) opens up a worldwide market and frees retailers from some availability constraints, allowing customers to buy things whenever and wherever they want, according to today's literature.Due to the wide range of temperatures and relatively short shelf life of many items, the food business has its fair share of unique issues. This presents both a barrier and an opportunity for online food sellers in terms of delivery. Everyone involved in the sector is aware of this, thus they're all working to find a delivery solution. But it's debatable that the food sector as a whole has to expand if e-commerce is going to be a viable and lucrative business model for enterprises. This includes the FMCG digital market.

Cross-Border Shopping on the European Union Fast-Moving Consumer Goods Market: Determinants of Lithuanian Shoppers’ Behavior in Poland

The sustainable economic development of a country or region can be encouraged by cross-border trade as it enables transnational cooperation and encourages entrepreneurs to search for more innovative and socially responsible practices. The Fast-Moving Consumer Goods (FMCG) sector was chosen for the research, as consumers purchase and use or consume these products frequently as they satisfy continuous consumer needs. The research supplements the scientific discussion on cross-border shopping and trade by presenting the research results from the Lithuania–Poland border region. The aim of the article is to identify the factors encouraging and suppressing Lithuanian customers shopping for FMCG in Poland. A questionnaire survey was provided in Poland and Lithuania by interviewing Lithuanians shopping for FMCG, and logistic regression was used. Key determinants of Lithuanian shopping behavior in the Polish FMCG market were established, i.e., economic and regional factors, income level, and professional activity. Finally, based on the research results, a model of Lithuanian consumer behavior in the cross-border FMCG market in Poland was composed and might be used and practically applied by local authorities and businesses to manage customer flows.

Save Myself or Others? The Influence of Attitude toward FMCG Products from Recycled Material on the Intention to Buy Them: Hidden Motives and the Role of Income

Buying products made from recycled materials is an important way to support sustainability, especially in the FMCG (fast-moving consumer goods) context. Because these are the products that make up a very large part of consumer spending, it is very important to encourage consumers to buy them when they are made from recycled materials. Therefore, this research aimed to determine the relationship between income, egoistic and altruistic motives, attitude toward FMCG products from recycled material, and intention to buy them. To reach the research aim, questionnaire research was applied and structural equation modeling was carried out to analyze the research results. Based on the analysis of research results, income negatively influenced egoistic motives regarding buying recycled FMCG. Moreover, egoistic motives influenced attitude but did not directly or indirectly influence intention. Altruistic motives were not influenced by income but directly influenced attitude and intention to buy FMCG from recycled materials. When communicating about the benefits of recycled FMCG, altruistic motives should be highlighted, including rationalization of these aspects with specific calculations supporting these statements. Based on research results, such communication could facilitate the highest possibility of developing a sustainable FMCG market from recycled materials.

Dynamic analysis of consumer loyalty fast-moving consumer goods market in the Republic of Kazakhstan

As a result of the formation of new geopolitical, economic, and social conditions, the consumer goods market is undergoing high volatility, which entails significant changes. At the same time, the transformation concerns not only the behavior of consumers but also the marketing policies of companies selling goods from the fast-moving consumer goods sector. The scientific article presented the current indicators of the fast-moving consumer goods (FMCG) market in the Republic of Kazakhstan. The results of changes in the economic profile of consumers are given based on the interpretation of the survey data. The article aims to study the impact of consumer behavior transformation on Kazakhstan's consumer goods (FMCG) market. The following research methods were used in the study: statistical analysis, survey, and in-depth interview. As a result of the study, the economic characteristics of the market were reflected based on the results of a statistical cross-section of 2022 the three quarters. The forecast of further transformation of the market and the explanation of individual trends was formed based on the data from the conducted expert interview. Accordingly, in a three-stage study, up-to-date data on the volume and structure of the FMCG market were obtained, a modern economic portrait of the consumer was derived, and the possibilities for improving consumer loyalty in the Republic of Kazakhstan were assessed. Local FMCG and retail companies can use final data in the processes of building sales strategies and studying the behavior of a modern consumer, as well as in the formation of sales policy and tactical decisions. These studies may be relevant for companies that still need their analytical tools.

What Really Drives Loyalty in the Fast-Moving Consumer Goods Market?

This article seeks to determine the real drivers of customer loyalty in the fast-moving consumer goods (FMCG) market. The study uses beer consumers in Lithuania as an empirical base for the research. A combination of qualitative (experiment) and quantitative (cross-sectional study and partial least squares structural equation modelling) research techniques are applied. The results reveal that loyalty in the FMCG market is driven by purchase frequency, promotion, price and perceived quality via moderating variables such as brand trust and brand satisfaction. Moreover, they demonstrate that consumers mostly do not recognize their favourite product among similar products; therefore, taste properties or other physical attributes of some FMCG products do not significantly contribute to the formation of brand loyalty. JEL classification: M31, M39

Synchromodal Supply Chains for Fast-Moving Consumer Goods

Synchromodality is an emerging concept in supply chain management. A synchromodal supply chain can be defined as a multimodal transportation planning system, wherein the different agents work in an integrated and flexible way that enables them to dynamically adapt the transport mode based on real-time information from stakeholders, customers, and the logistic network. The potential of synchromodality for the fast-moving consumer goods (FMCG) industry is related to the nature of business. The FMCG market is characterized by relatively low margins and high turnover, which is especially important in export supply chains. However, for a company, it may be challenging to objectively evaluate the costs and benefits, not to mention the design of a synchronized supply chain. In order to facilitate the adoption of the concept and guide the practitioners, our study put forward the following research questions: What should be considered in incorporating synchromodality in the export supply chain for FMCG? How should companies approach tradeoffs among factors affecting the supply chain? To answer these questions, we propose an adaptable framework, which should be considered a primary contribution of our study. The framework incorporates the center of gravity model, mixed integer linear programming, and sensitivity analysis. The framework is validated using a real-world problem from a multinational FMCG company. The problem involves the optimal volume allocation and the selection of the most efficient transportation mode for inland freight. Our study demonstrates that incorporating synchromodality in the export supply chain could reduce the overall cost by 9% and enhance flexibility by allowing multiple modes of transportation.

Processing of encapsulated flaxseed oil‐rich banana‐based (Dwarf cavendish) functional fruit leather

AbstractBanana fruit leather enriched with flaxseed oil in the form of encapsulates was prepared. Initially, the optimized conditions of 836 W power for 4 min for blanching of banana using microwave were obtained by Response Surface Methodology with residual polyphenol oxidase activity and vitamin C retention taken as responses. The addition of maltodextrin, citric acid, and pectin for blending with banana puree to obtain a non sticky puree having low pH was also optimized, while keeping the quantity of sugar constant. The blend was added with 5% encapsulates of flaxseed oil (FSO) in alginate used as wall material. The blend was dried in a tray drier at 40, 50, and 60°C and the drying behavior of the leather was studied. Henderson and Pabis model satisfactorily described the drying kinetics of banana leather. GAB model described well the sorption behavior of the leather. Fat content in the optimized leather increased to 3.27% due to addition of FSO. The ash content in the enriched leather was 5.56 ± 0.03%. Phenolic content increased from 91.84 ± 0.06 mg GAE/100 g to 100.90 ± 0.05 mg GAE/100 g for the enriched leather as compared to the control. The study revealed that the banana leather can be considered as a functional snack food due to the availability of flaxseed oil (rich in ω‐3 fatty) and high phenolic acid content.Practical ApplicationsBanana can be processed into functional fruit leather with the addition of flaxseed oil encapsulated beads to complement the fast moving consumer goods market. Developing the banana leather by drying enhances its shelf life while encapsulation increases the stability of flaxseed oil for a prolonged storage of the product. Flaxseed oil is rich in ω‐3 fatty acid, an important bioactive compound required for good human health. Moreover, modeling of the drying behavior allows optimization of the process, which is necessary for designing of energy efficient industrial flow dryers. Therefore, this study on development of a novel functional product and drying kinetics will give a new edge to the industrial processing of similar snack products with a potential alternative to reduce the waste of banana as a raw material.

100 Years of Growth and Success Story of Nestle India - A Fast Moving Consumer Goods (FMCG) Industry

Background/Purpose: As a Swiss multinational company, Nestle has a subsidiary in India called Nestle India Limited (NIL). In Haryana, the company is headquartered in Gurugram (Gurgaon). Food, beverages, chocolate, and confectioneries are among the company's offerings. Because of Nestle’s focus on its core strengths and its alignment with opportunities available, the company's product portfolio and global presence continue to expand. Nestle celebrated its 100th anniversary in India in 2012 with a new commercial featuring the company's products. Objective: In this paper, we analyze Nestle India's influence on customers during the COVID-19 pandemic, and to know the company's CSR activities. This paper also analyses the FMCG industry evolution in the country. Design/Methodology/Approach This study was undertaken using secondary sources, such as journals and conference articles, annual reports, websites of Nestle Company, the internet, scholarly articles, and social media reviews. A SWOT analysis assessment was made on the company. It is an explorative research case study that aims at identifying the growth of Nestle India Limited-A FMCG industry in the Indian economy. Findings/Results: During the COVID-19 pandemic, the company gained growth. Net income for Nestle India in 2020 is more than 20 billion Indian rupees compared to 19 billion rupees in the year before. Conclusion: Nestle India is a major player in the Indian FMCG market. One of India's top-valued companies, as well as one of the country's top job creators. As part of its mission, Nestle India strives to provide various high-quality, safe-food items at affordable prices. The firm is constantly striving to better understand modern Indian lives and anticipate consumer needs, it is also constantly working to improve its product offerings in terms of convenience, taste, nutrition, and wellness. Paper Type: Company Analysis as a Research Case Study

Social aspects of increasing environmental efficiency in Kazakhstan cities

Within the framework of the environmental efficiency system, the authors consider such topical social factors for increasing environmental efficiency in Kazakhstan as the quality of environmental education, motivational mechanisms for regulating the problems of sorting secondary raw materials. It is noted that work with the population is becoming colossal in solving environmental problems. The foundations of the urban system and social management in the field of environmental development testify to the serious problem of waste recycling and disposal in Kazakhstan. The authors highlight several eco-projects that help to solve these issues, such as Kazakhstan Waste Recycle, Tazalyk and SMEs that accept recyclable materials, but the figures for unrefined waste in Kazakhstan indicate that the problem is systemic and alarming. As a solution, in addition to the applicable penalties, the authors propose the launch of multi-vector motivational programs integrated into the everyday life of citizens. Such programs are designed to be informative, educational in nature in addition to motivational; they must be scaled up and involve business representatives widely used in the fast moving consumer goods market. It is recommended to give these programs an image republican character to create resonant recognition and use. The paper analyzes the awareness, involvement of the local population in the issues of environmental recycling and waste disposal based on an online survey, and presents a consolidated program for motivating the population. The authors consider the prerequisites for the implementation of these programs, their main characteristics, goals and performance indicators. Key words: waste sorting, waste recycle, green economy, motivation program, ecology.

Emotional Attachment and Laundry Detergent Consumers’ Loyalty in Nairobi City County, Kenya

In many markets, particularly in fast moving consumer goods market, brand relationships play a major role in the purchase and repurchase behaviour of consumers. However, empirical studies that focus on these brand relationships, and more so in developing countries such as in Kenya, are scarce even though such relationships often form a foundation for more comprehensive consumer-brand relationships. As a key dimension of brand relationship, emotional attachment has emerged as a salient construct in the study of brand relationship as it plays a key role in building consumer-brand relationships and consequently, loyalty. Therefore, to fill this gap, the key objective of the study was to ascertain the effect of emotional connection on loyalty among household consumers of laundry detergents in Nairobi City County, Kenya. This research was cross-sectional in nature and utilised explanatory research design. A sample of 400 household consumers was randomly selected and collection of primary data done using self-administered questionnaire. Regression was done in testing the research hypothesis using SPSS 25, and the results established that emotional attachment has a significant positive effect on loyalty of household consumers of laundry detergents in Nairobi City County, Kenya, thus the study concluded that emotional attachment has a positive significant effect on loyalty. The study findings will assist organisations in crafting brand marketing strategies for improving loyalty to their brands through the use of the emotional attachment construct.

SWOT (Strength, Weakness, Opportunities and Threats) Analysis of Fast Moving Consumer Goods (FMCG) Industries in India

Fast Moving Consumer Goods (FMCG) is the fourth biggest sector in the Indian economy. There are three primary segments in the sector food and refreshments, which represents 19 percent of the sector; medical services, which represents 31 percent of the offer; and family unit and individual consideration, which represents the staying 50% offer. FMCG market is relied upon to grow 5-6 percent in 2020. FMCG’s metropolitan segment developed by 8 percent, though, its rustic segment grew 5 percent in the quarter finishing September 2019, upheld by moderate swelling, increment in private consumption and country pay. Indian online basic food item market is assessed to surpass deals of about Rs 22,500 crore (US$ 3.19 billion) in 2020, a noteworthy hop of 76 percent over the earlier year. FMCG organizations are hoping to put resources into energy productive plants to profit the general public and lower cost in the long haul. Dabur had plans to contribute Rs 250-300 crore(US$ 38.79-46.55 million) in FY19 for limit extension and potential acquisitions in the homegrown market. The sector saw sound FDI inflow of US$ 16.28 billion during April 2000-March 2020. Investment goals identified with FMCG sector emerging from paper mash, sugar, fermentation, food handling, vegetable oils and vanaspati, cleansers, beautifiers, and toiletries businesses worth Rs 19,846 crore (US$ 2.84 billion) was implemented until December 2019. Developing mindfulness, simpler access, and changing way of life are the key development drivers for the consumer market. The attention on farming, MSMEs, training, medical care, framework and expense discount under Union Budget 2019-20 was required to legitimately affect the FMCG sector. Activities attempted to expand the extra cash in the possession of average person, particularly from country regions, willbe gainful for the sector. Hence, it is being a motivational factor to the researcher to have a study on the SWOT analysis of FMCG Industries in India.

Re-positioning customer loyalty in a fast moving consumer goods market

In the fast moving consumer goods (FMCG) market much of the customer loyalty operations are carried out with a short-term perspective, which often result in weak customer loyalty. Besides this, the one-sided view of customer loyalty and how to work with customer relationships, further adds to the challenges and there is a need to promote new insights and practices into customer loyalty in FMCG markets. In an attempt to broaden the view of customer loyalty, the authors take an organizational human resource perspective and present a conceptual framework and model built on human resource literature. Many companies face the exact challenge with high employee turnover, as it is associated with costs of recruiting and training, suggesting that customer loyalty becomes a question of organizing the customer as an external human resource. A practical contribution with the conceptual model is the suggestion to learn from the experiences of successful employee recruitment, and employee motivation, when viewing and working with customer loyalty.

Reinforcement of Brands Inspired by Faith with the Paradox of Cultural Divergence in Indian FMCG Market

Self-esteem values, with the new art of living, in the minds of Indians, lead to establish faith among the spiritual organization. Later on, the spiritual organization branded their names and market the products in their branded name. These brands, which are inspired by faith and created by Indian spiritual gurus have even disrupted the fast-moving consumer goods (FMCG) market by being customer-centric instead of being geared by lucrative returns. It is in this context this research is motivated: to find the cultural divergence factors that lead to change the consumption pattern of FMCG and how Indian spiritual gurus are segmenting the market. The research concludes that cultural divergence variables such as power distance, collectivism, uncertainty avoidance and long-term orientation influence the brands that are inspired by faith. Spiritual gurus in India are using sociocultural marketing activities such as social endorsement and cause-related marketing strategies for segmenting the markets.

Reconstructing systematic persistent impacts of promotional marketing with empirical nonlinear dynamics.

An empirical question of long-standing interest is how price promotions affect a brand’s sale shares in the fast-moving consumer-goods market. We investigated this question with concurrent promotions and sales records of specialty beer brands pooled over Tesco stores in the UK. Most brands were continuously promoted, rendering infeasible a conventional approach of establishing impact against an off-promotion sales baseline, and arguing in favor of a dynamics approach. Moreover, promotion/sales records were volatile without easily-discernable regularity. Past work conventionally attributed volatility to the impact of exogenous random shocks on stable markets, and reasoned that promotions have only an ephemeral impact on sales shares in stationary mean-reverting stochastic markets, or a persistent freely-wandering impact in nonstationary markets. We applied new empirical methods from the applied sciences to uncover an overlooked alternative: ‘systematic persistence’ in which promotional impacts evolve systematically in an endogenously-unstable market governed by deterministic-nonlinear dynamics. We reconstructed real-world market dynamics from the Tesco dataset, and detected deterministic-nonlinear market dynamics. We used reconstructed market dynamics to identify a complex network of systematic interactions between promotions and sales shares among competing brands, and quantified/characterized the dynamics of these interactions. For the majority of weeks in the study, we found that: (1) A brand’s promotions drove down own sales shares (a possibility recognized in the literature), but ‘cannibalized’ sales shares of competing brands (perhaps explaining why brands were promoted despite a negative marginal impact on own sales shares); and (2) Competitive interactions between brands owned by the same multinational brewery differed from those with outside brands. In particular, brands owned by the same brewery enjoyed a ‘mutually-beneficial’ relationship in which an incremental increase in the sales share of one marginally increased the sales share of the other. Alternatively, the sales shares of brands owned by different breweries preyed on each other’s market shares.

Trends in Ayurvedic FMCG Market

: The customer preference for over-the-counter drugs, processed food, soft drinks etc has led to reforms of the Fast-moving consumer goods (FMCG) industry. The Fast-moving consumer goods industry is growing at 4% per year, which is more than the global gross domestic product (GDP). FMCG is the fourth major sector of the Indian financial system. With the increasing speed of the Ayurvedic pharmaceutical market, FMCG players like Patanjali, Dabur, Emami etc. are interested in expanding to tap the market by their portfolios. FMCG sector is divided into food and beverages, health care and household along with personal care categories. Ayurvedic FMCG industry is based on the expansion and marketing of products between food drinks, health, domestic and personal care etc. In the current scenario, more than 30,000 proprietary and 1500 classical products are available in the market. The market of Ayurvedic FMCG products is estimated to register a compound annual growth rate (CAGR) of 16% between 2016 and 2021 and will increase from current $ 500 million to $ 1.1 billion by 2021. Although many FMCG products advertise the estimated results, the Ayurvedic FMCG industry is largely irregular. Mushrooming Indian population, mainly the middle class and the rural sectors, gives a chance to manufacturers of proprietary products to refurbish consumers to proprietary products. Consumers to take precautions are derived from caution and doubt, because the shift toward natural products has gathered momentum. In addition, companies of all sizes are racing to keep pace. This manuscript reviews a snapshot of current trends in the Ayurvedic FMCG market and will provide development opportunities and strategies adopted by the multi-billion dollar market. Key words: Ayurvedic, CAGR, FMCG, GDP, Portfolio

Preferenciastabilitás. Vásárlói preferenciák változásának vizsgálata vásárlás előtt és vásárláskor

THE AIMS OF THE PAPER The aim of our reasearch is to measure consumer preferences in Fast Moving Consumer Goods market. METHODLOGY First we conducted an online survey to measure long-time preferences, followed by in-store questioning still on preferences. As third, eye-tracking measurment was conducted while we finished with an evaluating questionnaire with those who participated in our research. Our spot of selection focused on Fast Moving Consumer Goods (FMCG). By those daily goods the consumer journey is rather short, kind of routine-wise. Therefore prove on stability of preferences may be difficult as underlaying preferences have stronger inpact what consumer may be not aware of. Decisions are made in-store at the self mainly, therefore in-store stimuli have a strong effect on purchase decision. Our examinded categories were: (1) carbonated and non-carbonated soft drinks, (2) beer, (3) sweets, (4) dairy products, (5) toothpaste. MOST IMPORTANT RESULTS Results approved our hypothesis of having a significant difference in purcchase behaviour between male and female when doing daily grocery shopping and next to that preference stability shows a clesar differencee when different categories are examined. Our main finding is that „quality of product” preference item proved to be in top 3 by each of the 5 examined FMCG categories in case of both spontaneous open list and promted top 3 closed list – while this statement is not proved to be true for any of the other preferences included in our survey. „Taste/flavour of product” proved to be in the first 3 position in case of the examined four food categories while in case of toothpaste this preference was not nominated to the toplist. RECOMMENDATIONS In the professional business our research may help category management with practical information on how much Hungarian consumers conscious are and how much „quality of product” an absolute priority means when deciding on daily grocery shopping. In each of our 4 examined food categories „quality” is ranked as one of the top 3 preferences. The research is supported by Hungarian Scientific Research Fund (No. OTKA K 116040) of National Research, Development and Innovation Office.

Effect of Brand Equity on the Performance of Distributors in Flour Mills of Nigeria PLC

The rapid growth of fast moving consumer goods market in Nigeria has brought competition, making firms to focus on the performance of distributors or loose to competitors. In order for fast moving consumer goods companies such as Flour Mills of Nigeria PLC to grow and ensure profitability, product distribution become critical. The objective of this study is to assess the effect of brand equity on the performance of distributors in Flour Mills of Nigeria PLC focusing on the north central region of Nigeria. The study is a survey research, data were collected using self-administered questionnaire, and the formulated hypotheses tested using multiple regressions with the help of SPSS IBM 23. The findings of the study revealed that the level of performance of distributors in Flour Mills of Nigeria PLC is greatly influenced by factors such as Product’s brand acceptance and product perceive quality which increases market share of the company. The study concluded that the positive effect of brand equity on performance of distributors in Flour Mills of Nigeria PLC is very high. And therefore recommended that creating intensive awareness about the Company activities will improve the Performance of distributors, requisite quality measures such as date of manufacture, expiry date, basic instruction on how to use the product and the production ingredients or contents that make up the product will create confidence in the mind of customers. Also, measures such as quantity and quality increase, effective distribution channels and affordability will increase customer’s satisfaction.