Posted in Marketing and Strategy Terms, Total Reads: 354
Definition: Packaged Good
Packaged goods can be considered as non-durable items or products sold in the market at a relatively low per unit price. For example, food, beverages, toiletries etc. can be considered as packaged goods. The market for packaged goods is highly competitive and saturated. Packaged goods these days are vying for a larger share of the consumer’s pocket. The companies realise the importance of packaged goods because of the change in lifestyle of consumers from the past. Thus, every effort is made by the companies to make their product more attractive and meaningful for the customer.
Packaged goods are types of goods that are consumed by the consumer at a daily basis. The manufacturers of packaged goods face immense competition from their competitors as they are easily substituted. They have to come out with many different advertisements and marketing techniques to attract and retain their customers. These companies invest heavily in promotion to stay ahead in the competition.
Most of the sales of these goods takes place through retail stores. As these are non-durable items, their availability is of utmost importance. Also, inventory management plays an important role in keeping these products alive and meet customer needs. The transportation, storing and disposal of these goods is important. Though there are firms who are trying to take these products online and sell these through the internet but their market largely depends on the physical stores (For e.g. Walmart is trying to sell its products through physical as well as through online portals). A lot of planning goes into these goods for the companies to make profit out of it.