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Published August 11th 2022

The Big CPG Industry Trends for 2022

Will 2022 be another year of positive growth for the CPG industry?

When uncertainty hits, we need brands we can rely on. With inflation at a high, the last year has required many CPG brands to step up to the plate.

After the pandemic, in which cleaning products and household necessities were flying off the shelves, what will consumers be looking for more of post-COVID? And what trends should we be looking out for?

Trend #1: Supply and demand

As panic buying becomes more frequent post-pandemic, supply chain issues have become increasingly common. And customers aren’t happy about it.

In our new report on trends in the CPG industry, we found that consumers are increasingly disappointed to find their favorite products out of stock. In fact, in January 2022, conversations about products being out of stock were at the highest level since the pandemic began.

Brand loyalty is key for encouraging repeat purchases, and this is equally true for businesses having supply chain issues. By keeping your customer base updated on product availability, you can build consistent sales.

Trend #2: Fashion goes sustainable

The discourse surrounding ethicalities in the fashion industry is growing. We found that 75% of sentiment-categorized mentions about fast fashion and its ethics were negative, showing a vocal percentage of customers eager to find sustainable alternatives.

With this in mind, fashion companies might consider sharing more details on the process of creating their clothes – assuming they are ethically made – with potential consumers on social media. By being honest about the supply chain, businesses can encourage repeat customers.

Trend #3: Home gyms are here to stay

The baseline for the conversation about home gyms is higher than pre-pandemic, showing that consumers are more inviting to the idea of working out at home.

However, there are a number of regular concerns about working out at home that businesses should address. Exercising too loudly is a top concern for those considering a home gym. Whether it’s living in an apartment with neighbors below you or having thin walls, consumers are worried about being too noisy.

Businesses in the health and fitness space might consider approaching this trend with consumer concerns in mind. You can find out more about how we recommend doing this in our CPG report.

Trend #4: Branded vs. off-brand preferences are changing

Typically, grocery stores’ own-brand items are cheaper than branded alternatives, offering consumers affordable options. In 2022, consumer preferences for branded vs. off-brand groceries seem to be shifting in favor of off-brand products.

Data shared in early 2022 has shown that the share of own-label CPG products increased slightly from 52.4% to 53.2% compared to a year ago, while sales of similar branded products fell by 5.1%. Equally, grocery sales in supermarkets have fallen slightly. This suggests that consumers are shopping around more for their favorite brands or opting for the cheaper alternative.

With global inflation at a high, consumers are considering their purchases more carefully. Find out how to tackle this in our latest report on trends in the CPG industry.

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