What does FMCG stand for?
FMCG stands for Fast Moving Consumer Goods and these refer to goods that are quickly sold in the market. Most of these products are also low in cost making them very saleable to customers. FMCG may be food or non-food items such as toiletries, and other household items. FMCG also represents a whole industry of products that are consumed quickly by customers. In most cases, the profit margin is quite small for items that belong to the FMCG group. But since these products are sold quickly and typically in large volumes or quantities, profit margins could add up to large sums of money for the manufacturers.
“FMCG items or products” are those that are typically consumed by people quickly in a period of a few days to a few months, or the most within a year. This consumption period widely contrasts that of other consumer goods that are considered “durable” and are replaced only after several years. Durable goods or items include appliances in the house like television sets, microwave ovens, and washing machines among others. Using the consumption period as basis, then one could easily identify goods that belong to the FMCG category. Food items and toiletries that people buy at supermarkets and groceries are examples of “FMCG items”.
But besides being consumed by people quickly, FMCG products may also move off the store shelves rapidly because of product expiration. Some food items are perishable and have specific expiration dates and so these items literally need to be moved off the shelves regularly. These perishable items include fruits, vegetables, and milk products.
Aside from food and household items, many also consider some consumer electronic products as part of the “FMCG group”. Items such as mobile phones, music players, and other mobile internet devices are sold quickly when compared with other types of electronic products and so are labeled also as FMCG by some people.