Our annual Global 50 report reveals the big themes shaping the industry. Now in its 15th year, it assesses the performance of the world’s 50 largest FMCG businesses
In 2016 FMCG M&A plummeted, down $176bn on the previous year, as political uncertainty depressed deal-making in the sector. Overall revenue growth for the Global 50 turned negative for the first time in 13 years (-0.7%). Underlying organic volume growth also remained at near record lows, at just 0.7%, up slightly from 2015’s 0.5%, but still below global population growth of 1.1%. And this at a time when there is increasing pressure from activist investors to boost margins.Read publication
Kill or cure
As the saying goes, be careful what you wish for. UK food and drink producers under siege from stagnant growth, falling prices and tightening margins have been desperate for these grim market fundamentals to change
New balls please
Can the FMCG giants handle Brexit shock? The Brexit decision has stunned already struggling global markets, with the weakest post-recession growth for the OC&C Global 50.
The sustained slowdown being experienced by the Global 50 FMCG giants is partly a reflection of cyclical exchange rate and commodity effects but also more concerning structural growth challenges as some of the old scale advantages erode and smaller nimbler competitors are better able to target specific consumer segments, aided by digital technologies