There are three key trends that have developed, as a result of Covid-19, impacting and changing the shape of the FMCG industry into 2021, according to Jet Technologies.
There were a number of shifts in the market including changes in demand and challenges in the supply chain, Jet Technologies director, Jack Malki said.
“2020 was a challenging year for many businesses but with a vaccine starting to roll out, this year brings a more positive outlook. However, we expect many of the changes to continue into the future.”
- Just in time (JIT) in FMCG escalates
Having just the right amount of stock to fulfil orders is not a new trend; however, throughout the pandemic, FMCG brands have been forced to optimise their operations and JIT because of unprecedented spikes in demand. Therefore, FMCG brands are working within drastically smaller planning windows so they need to work closely with suppliers to maintain the required production and supply levels.
2. Global supply chain constraints
Supply chain challenges are ongoing due to delays and sharp cost increases in receiving supplies from overseas as a result of reduced international movement of goods. These constraints have led to a rise in recalibration and looking to onshore supply chains. This means local suppliers have seen rising demand with many FMCG brands switching their label, packaging and ingredient needs to local suppliers where possible.
3. Digital printing
Digital printing has grown exponentially and is set to continue into the future as it is more flexible with a higher productivity rate to turn around printing jobs faster, particularly when it comes to labels. Jet Technologies’ supply volumes to inkjet customers more than doubled over the past year.
Written by Emily Bencic