Fast moving consumer goods (FMCG) businesses use FMCG consolidated container services to expand their businesses and remain competitive.
Why is an FMCG consolidated service needed?
Not all FMCG businesses need a full container load (FCL) of the same product. Neither do they need a full container load of brands from a single FMCG supplier. In many cases, store owners require a wide variety of products in small volumes. This is a challenge, as they cannot fill a full container with products from a single supplier. This is known as a less than container load (LCL).
What happens during an FMCG container consolidation?
Container consolidation occurs when a number of smaller orders are combined into a single container. When the full container shipment reaches its destination, the FMCG business owner clears the container and places the variety of products directly onto their store shelves.
Benefits of an FMCG consolidated container service.
An FMCG consolidated container service expands businesses in the following ways:
- Cost savings:
With a consolidated container service, FMCG business owners can order a selection of products from various manufacturers in only the quantities they need. This translates into critical cost savings, in terms of the capital required to stock or restock shelves. FMCG businesses also save on warehouse costs when choosing a consolidated container service because there are no excess products to store.
- Improved customer service:
FMCG businesses that use a consolidated container service give their customers the right products, in the right quantities, at the right time. Ordering smaller quantities of products as and when they are needed allows store owners to replace sold items more quickly. This means a steady supply of fresh products for customers. Such service builds a competitive advantage by establishing firm, long-term relationships with customers.
- Trial new products, risk-free:
Smaller quantities of FMCG products ordered in consolidated containers allow FMCG businesses to introduce new products or brands to their markets, without a big, risky financial investment. The last thing any FMCG store owner wants is to be saddled with a full container load of products that no-one wants to buy.
FMCG businesses in over 50 countries use IOEC’s FMCG container consolidation service. We are a family-owned and run business with extensive export experience across three generations. More than 400 leading South African FMCG manufacturers trust us to introduce, manage, and develop their products in international markets. Contact us today for your FMCG container consolidation requirements.