Hanneke Faber

Death by a 1000 cuts is getting real now The latest NielsenIQ AMJ'25 quarter data just confirmed what we have been seeing on the ground for months. The David vs Goliath story in FMCG is not just a narrative anymore, it's cold, hard numbers. Small, nimble D2C players defeating the massive, seemingly unbeatable giant. In FMCG, this means ₹100Cr startups outmaneuvering ₹10,000Cr legacy companies and taking share from them. 1. Small players are not just surviving; they are winning big.  Companies with sales under ₹100Cr are posting double-digit volume growth while the giants are struggling to keep up. This is not about being scrappy or bootstrapped anymore. This is about speed, agility, and understanding what consumers actually want versus what marketing departments think they want. 2. The real action has moved away from metros. While metro cities have shown consumption slowdown for 5 straight quarters, TC2 + Rest of Urban markets are growing at 12% volume growth. Small players are specifically winning in these markets because we understand local preferences, can pivot quickly, and don't need three layers of approvals to launch a region-specific variant. 3. We are living in the age of democratized growth. Digital marketing means a ₹50Cr brand can reach the same audience as a ₹5000Cr brand. Efficient supply chains mean we can get products to Tier 2 cities as fast as the giants can. The traditional advantages of scale - distribution, marketing reach, supplier power, are becoming less relevant every quarter. 4. The giants are feeling the pressure. Large players saw their consumption growth improve from 1.8% in JFM'25 this quarter, but it was largely price-led growth. They are raising prices to maintain revenues while small players are gaining actual market share through volume growth and consumers’ love. This is not a temporary shift. Digital tools, efficient logistics, and changing consumer behavior have permanently altered the competitive landscape. Every quarter, the data shows the same story - small, focused, agile brands are taking market share from legacy giants. The death by a thousand cuts is real. Each small brand taking 0.1% market share, each local player winning in their region, each nimble company launching faster than established players. Together, we are rewriting the rules of FMCG. #Entrepreneurship #D2C #Startups

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We’re in the thick of earnings season, so it’s a good time to look at the scores on the doors. The chart below shows the year-over-year change for total sales. As usual, there are winners and losers. Here are some of the learnings so far… 📈 Q2 had momentum. Despite economic concerns and a skittish consumer, spending remained resilient. Yes, some of this is driven by inflation, but the growth is there for retailers to capitalize on. 👎🏼 Most players in decline have propositional problems: uninspiring assortments, lackluster brands, misaligned pricing, weak service, too much friction, and so forth. In other words, their value equations are broken; they can’t simply blame the economy. 💰 For retailers with weak value equations, the challenge is that consumers are now more attuned to value. The retail economy is chugging along, but underlying consumer behaviors continue to shift with shoppers taking a more considered approach to buying. If you’re not delivering value, you’re more likely to get punished. ⬇️ Retailers that help consumers save are performing well. Off-price and resale both feature strongly in the winners’ enclosure; Walmart had a great quarter. But their success isn’t simply about offering cheap stuff. It requires effort to create a compelling and desirable assortment. 👗 And value isn’t just about low price or saving. Brands like Ralph Lauren, Tapestry, and Revolve are performing well by offering accessible luxury that makes consumer feel good. They are also capturing a growing share of spend from younger consumers. 🛋️ Home-related sectors have seen a bounce back. Part of this reflects consumers pulling forward big-ticket purchases in anticipation of tariff-driven price hikes. Part of it is simply the purchase cycle rebounding from its nadir. More retail results to come in the coming weeks. But, all in all, Q2 looks to have been solid for retail. #retail #retailnews #earnings #economy #consumers #shopping #value

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How traditional retail and distribution fueled MDPH’s rise In my interview with BestMediaInfo.com, I talk about why conventional marketing strategies—rooted in local trust—still hold strong in today’s digital-first world. Our legacy in grassroots retail continues to guide us as we evolve across new consumer touchpoints. Read the full interview here:  https://lnkd.in/d8h6GgG9

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