A BIAS FOR ACTION SETS GROWTH LEADERS APART
AlixPartners @ The Consumer Goods Forum Global Summit
“The world keeps getting more complex. Disruptions arise, feed off one another, cascade around the world at an accelerated pace, upend our operations, and knock strategies off course. The business challenge is acute.
Those consumer products companies that stand out as growth leaders are performing better but still trying to do more, moving with both urgency and confidence.”
AlixPartners @ The Consumer Goods Forum Global Summit
“The world keeps getting more complex. Disruptions arise, feed off one another, cascade around the world at an accelerated pace, upend our operations, and knock strategies off course. The business challenge is acute.
Those consumer products companies that stand out as growth leaders are performing better but still trying to do more, moving with both urgency and confidence.”
DISRUPTION
Winning in the Age of Disruption
High inflation, slowing growth, shifting consumer preferences, and an increasingly uncertain environment have challenged consumer products companies over the past year. In the 4th Annual AlixPartners Disruption Index, the consumer products industry was only one of two industries (the other being energy) that reported higher levels of disruption for 2023. However, we found that those companies that are growth leaders in consumer products are doing more to respond to – and take advantage of – the forces buffeting their industry.
Click below to read more about what growth leaders are doing differently
RESEARCH
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More insights from our consumer products experts
Disruption Index 2023
The world keeps getting more complex. We all feel this every day. Myriad disruptions arise, feed off one another, cascade around the world at an accelerated pace, upend our operations, and knock strategies off course. The leadership challenge is unprecedented: Amid so many formidable issues but daunting long-term disruptions and difficult short-term demands—how should we focus our all-too-finite resources of capital and time?
In our 4th annual AlixPartners Disruption Index, business leaders cite this as the central dilemma, with 85% of CEOs telling us that it has become increasingly difficult to know what to prioritize.
Consumer Products Corner
Post-pandemic, slowing growth and the need to drive productivity to maintain profitability are top concerns. Ongoing supply chain and labor difficulties increase the challenges for leaders of consumer products businesses.
Consumers have, to a large degree, rallied through rising interest rates and surging inflation, yet their resilience is being severely tested, and a widespread spending pullback may materialize as many consumers begin to trade down.
Here we provide a rolling quarterly check on year-on-year changes in retail sales, consumer sentiment, company performance, inventory movement, and other supply chain health indicators.
The precarious state of consumer spending
The pandemic produced distinct winners and losers across consumer product categories as it upended the choreography of daily life. Overall consumer spending dipped 2-3% in 2020 after growing in 2019 and prior years. That decline, however, concealed windfall spending for goods consumed in and around the home, while travel-related categories were devastated. Government stimulus payments totaling more than $10,000 for many families left consumers flush with cash, boosting demand for goods that in many cases were supply chain constrained.
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