Inflation’s Impact on Revenue Growth Management
Hosted by Promotion Optimization Institute, sponsored by PwC
With supply chain backups, increasing demand for goods and rising inflation, it’s been a challenging year for consumer packaged goods (CPG) companies, to say the least. Inflation, in particular, has been causing CPG companies plenty of headaches. Everything from labor costs and commodity prices have climbed, which is putting enormous pressure on margins and profits.
At the same time, consumers are becoming more cost-conscious, which makes it difficult for CPG businesses to simply pass down additional expenses. Inflation will likely get worse before it gets better. Some of the more upstream costs, such as climbing commodity and labor prices, haven’t yet been reflected on store shelves – but it’s coming.
In the coming weeks and months, CPG companies will need to think even more carefully about how to respond to inflation’s impacts on their net sales and profitability, relying even more heavily on their RGM experts and their supporting analytical systems. They’ll need to consider everything from how much of a price increase consumers can withstand to how best to handle promotions to how to navigate the retailer relationship, given that many retailers are pushing back on price increases.
This webinar, which will feature K.B. Clausen – Partner and Alexandra Hallas Button – Partner, will do a deep dive into inflation and the impact it’s having on the practice of revenue growth management (RGM). It will also offer advice on how CPG companies should handle their, and their customers’, increasing costs.
In this webinar, we’ll examine:
- Reasons why inflation continues to rise
- Ways in which consumers are responding to climbing prices
- Impact of commodity prices and labor costs on CPG companies
- Retailer reaction to rising prices
- Advice for CPG companies around assessing and adapting their RGM programs
- Tools, such as Performance Analyzer, that can help CPG teams make the best marketing and merchandising decisions