Fast Moving Consumer Goods (FMCG) refers to consumer goods used daily, like food, drinks, home care, and personal care items. The short shelf life of FMCG products allows for quick and inexpensive consumer purchases.
The MENA region saw Egypt leading in consumer spending on food and non-alcoholic beverages, with a demand on the rise before the pandemic.
Th Gulf Cooperation Council (GCC) is a highly attractive market for consumer packaged goods producers.
Moreover, it's worth highlighting that free economic zones provide business incentives such as tax exemptions and modern infrastructure.
Obstacles for the FMCG sector in MENA include oil price fluctuations, technological changes, and geopolitical conditions.
Trends in FMCG
Alongside the pandemic, global changes in trends and lifestyles have influenced the FMCG sector in MENA as well. Online and mobile shopping is picking up speed. While online shopping surged in categories like grocery, food, and beverages, sales of footwear, clothing, and accessories experienced a contrary decline. Digital analytics are essential for actively evaluating such processes, meeting demands and expectations in MENA, as well as other regions.
The e-commerce sector in the UAE's FMCG market is experiencing notable growth and change. Various FMCG categories are affected by this trend from start to finish.
Changes in the FMCG sector of the UAE are being observed
Mondelez International is a company that exclusively makes chocolate and biscuits, including well-known brands like Cadbury, Tolerance, and Oreo.
Mondelez has modified its portfolio to boost progress and increase revenue in the chocolate and biscuits sector, including snacks.
With its regional headquarters in Dubai, the company operates in the MENA region, overseeing the entire sales and distribution process and establishing a strong presence in FMCG distribution in the UAE for over a century.
Majid Al Futtaim, a company that has made significant contributions in the Middle East, Africa, and Asia, is also one of the firms that follows and implements technological innovations.
Majid Al Futtaim and Carrefour joined forces to begin digital advertising. Advertising promotions are available through both the website and the app for customers who shop online. The consumer's most relevant aspects were taken into account. Higher levels of customer satisfaction are achieved through personalized ads for online shopping that are generated from such situations.
Establishing trust with consumers and improving operational efficiency
The major hurdles in the UAE's developing e-commerce landscape are:
• Trust in the quality and security of online shopping
• Protection of consumer data and cyber security
• Understanding e-commerce regulations in the UAE
· Observing international standards in UAE
· Embracing evolving technologies to secure a spot in the digital area
