Consumer Attractiveness Towards Green Products of Fmcg Sector

Only available on StudyMode
  • Download(s) : 393
  • Published : May 25, 2011
Open Document
Text Preview
The term FMCG refers to those retail goods that are generally replaced or fully used up over a short period of days, weeks, or months, and within one year. This contrasts with durable goods or major appliances such as kitchen appliances, which are generally replaced over a period of several years. FMCGs have a short shelf life, either as a result of high consumer demand or because the product deteriorates rapidly. Some FMCGs – such as meat, fruits and vegetables, dairy products and baked goods – are highly perishable. Other goods such as alcohol, toiletries, pre-packaged foods, soft drinks and cleaning products have high turnover rates. The following are the main characteristics of FMCGs:

From the consumers' perspective:
oFrequent purchase
oLow involvement (little or no effort to choose the item -- products with strong brand loyalty are exceptions to this rule) oLow price
From the marketers' angle:
oHigh volumes
oLow contribution margins
oExtensive distribution networks
oHigh stock turnover
While green marketing came into prominence in the late 1980s and early 1990s, it was first discussed much earlier. The American Marketing Association (AMA) held the first workshop on "Ecological Marketing" in 1975. Green marketing incorporates a broad range of activities, including product modification, changes to the production process, packaging changes, as well as modifying advertising. As a result there is a growing market for sustainable and socially responsible products and services. It may be viewed as a specific type of socially conscious or socially responsible consumer behavior that involves an ‘environmentalist’ perspective and may thus be called ‘environmentally concerned consumption’. A classic definition describes ‘environmentally concerned consumers. Business organizations tend to concern about environments issues due to several reasons such as environmental pressure, governmental pressure, competitive pressure, cost or profit issues. Main...
tracking img