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Why are industry leaders in CPG challenged for growth and market share?
Latest report on the H1 2026 performance shows that CPG leaders worldwide are challenged for growth and market share. Their growth rates are lower than the industry growth. Their more nimble new-age competitors are growing much faster, year after year.
What is behind this phenomenon? It has become more profound after Covid, when agility was the need of the hour. It is accelerating now, when e-commerce is gaining ground. Quick Commerce has accentuated it further.
The common factor behind this trend is the need for agility in the current scenario.
While most big companies are still stuck with monthly planning, their new age competitors are working on weekly or daily plan refresh.
While big companies, using conventional planning solutions, are busy fine tuning their monthly demand forecasting models, the new age companies have adopted Demand Sensing, using more agile planning solutions.
While production and procurement schedules are more rigid in the big companies, the new age companies have gone for more flexible and responsive backend operations.
If large companies want to regain their competitive edge, they have no option but to get more agile in their demand and supply planning processes.