Key priorities for FMCG companies in 2024: Europeanization of sales and pricing

The year 2023 was difficult for many FMCG companies. Revenues increased, but against lower volumes and lower profits. 2024 is anticipated to be another challenging year ahead.

We discuss key actions that FMCG manufacturers should prioritize to face rapid market changes on a European level.

Key challenges for FMCG companies in 2024

There is a lingering uncertainty in consumer confidence. Consumers are polarizing between trading down to cheaper alternatives, or buying more premium and sustainable products, often leaving A-brands stuck in the middle. Yet, the largest risk for profit deterioration comes from across the border. 

Public attention stimulates regulators to closely watch price differences between countries. Existing regulation prohibits price discrimination against consumers based on geography (territorial supply constraints). Equally prominent and related is the rise of international buying alliances. Retailers…