Marketing strategies used by manufacturers of Fast Moving Consumer Goods (FMCGs) in Kenya

Abstract

The FMCG manufacturers are faced with intensified competition, consumers who are more value conscious and less brand loyal, dwindling product life cycles and increasingly powerful retailers; this mean that many new FMCG products fall by the wayside. Despite the critical nature of the product-launch process, very little is known about what makes a new products launch in the FMCG industry successful in Kenya. This study therefore needed to fill the gap by attempting to answer the question: What are the strategies used by manufacturers of FMCGs in Kenya when launching new products and to what extent do they use these strategies? The objectives of this study were to determine the strategies used by manufacturers of FMCGs in Kenya when launching new products, the extent to which the strategies are used and to determine which strategies are used for the different categories of products in the FMCG industry in Kenya. This was a descriptive survey aimed at determining the strategies adopted and used by FMCG manufacturers when launching new products into the market. Forty seven FMCG Companies constituted the population. A census study was conducted. Data was collected using semi-structured questionnaires. Data was analyzed using frequencies, percentages, mean scores and standard deviation The findings of this study, revealed that the manufacturers of Fast Moving Consumer Goods in Kenya extensively use the various New product Launch strategies such as market strategies, product strategies, promotion strategies, pricing strategies and distribution strategies. -- V111 Respondent apprehension was very high and it was difficult to get the responsible senior officials to accept to be interviewed. They viewed the exercise with a lot of suspicion due to the stiff competition in the FMCG sector. There is adequate opportunity for additional research on other aspects of new product launch strategies such as launching on the Internet. Other studies can explore the areas of the effectiveness of the various marketing strategies that are used for the product life cycle.