According to NielsenIQ, the jump is mainly attributed to the inflated prices, given the negative trend that is being observed in the demand for all major categories, according to NeilsenIQ.
With reference to the course of selected categories of fast moving consumer goods (FMCGs), the trend in value of +0.7% that they note is mainly driven by the categories of food & beverages, which also present the greatest inflationary pressures, at +4.2 %, resulting in sales volumes falling by -2.7%.
However, the individual categories show completely different dynamics. Indicatively, the categories of olive oil, packaged cheese, and flour are mentioned, the prices of which have increased on average by +22.7%, +9.6% & +9.1% respectively. According to NielsenIQ, the months of May and June have particularly contributed to this increase, which have shown significantly stronger appreciations, compared to the first quarter of the year.
The level of prices for the major categories of household care, as well as personal care, has also increased by +3.4% and +2.1% respectively, with the result that consumption has dropped significantly to a rate of -5.3% & -3.6%, also correspondingly. Among the categories that have seen the highest price appreciation are aluminum foil (+16.7%), but also diapers (+9.0%).
At the same time, in the context of inflationary pressures, consumers are trying to save money, increasingly choosing private label products, which are generally sold at lower prices than branded products. This, according to NielsenIQ, has led to an increase in their market share, compared to 2021, from +12.7 to +13.6%. Also, retailers and suppliers also seek to maintain or even increase their competitiveness by intensifying in-store promotional activity, which has reached +66.4% for all FMCGs.
