The consumer packaged goods (CPG) industry is always evolving, and Kickfurther’s 2025 CPG Annual Report provides a snapshot of where things stand and where they’re headed in 2025. While we don’t want to spoil all the surprises (you’ll want to dive into the full report for that), here’s an overview of the key highlights, emerging trends, and practical tips for navigating the ever-changing CPG landscape.
Let’s dive into the highlights.
2024 Industry Trends and Challenges: Are You Ready to Tackle What’s Next?
In 2024, the CPG industry continued to grapple with inflation, labor shortages, and evolving consumer expectations. However, it wasn’t all doom and gloom. Brands that embraced innovation, sustainability, and data-driven strategies flourished, setting the stage for a promising future.
Key Achievements in CPG:
- Growth Milestones: From revenue increases to market expansions, brands showcased resilience.
- Innovation: Forward-thinking CPGs leveraged AI and data analytics to streamline operations and understand their customers better.
- Sustainability: ESG (Environmental, Social, and Governance) claims became a driving factor for consumer choices, with products featuring these claims growing faster than those without.
Top Trends to Watch
- Shifting Consumer Loyalties: Private-label products are gaining momentum as consumers look for value without compromising quality.
- Funding Innovation: Brands are moving away from traditional loans and exploring options like revenue-based financing and inventory financing to support their growth.
- AI and Automation: From inventory management to customer insights, technology is playing a pivotal role in reducing costs and improving efficiency.
- Sustainability as a Strategy: Consumers are increasingly drawn to brands that reflect their values, with clean-label and eco-conscious products leading the way.
Challenges (and How to Tackle Them)
Here’s a look at 2024’s biggest challenges:
- Inflation Pressures: Price sensitivity among consumers has forced brands to rethink their pricing strategies.
- Labor Shortages: Many companies are addressing workforce challenges by investing in automation.
- Regulatory Hurdles: New FDA regulations and sustainability expectations mean staying compliant is more important—and complex—than ever.
Opportunities on the Horizon: What’s Next for 2025
Are you prepared for growth opportunities in 2025?
- Innovation and New Product Launches: Don’t just innovate—be bold! Consumers are eager for genuinely new offerings that solve problems or add value.
- Sustainability Leadership: Go beyond buzzwords. Authentic ESG initiatives resonate with today’s savvy shoppers.
- Data-Driven Decision Making: With the rise of AI tools, even smaller brands can harness analytics to optimize margins and drive growth.
Partners in Growth: Collaboration as a Catalyst
Why go it alone when partnerships can scale your brand to new heights? Our 2025 report showcases real-world examples of brands that leveraged strategic collaborations to overcome challenges and achieve rapid growth as well as the service partners you need to add to your stack in 2025.
These stories highlight how aligning with the right partners—whether for funding, operations, or inventory management—can transform your brand’s growth journey.
Conclusion
Our 2025 CPG Annual Report is more than a snapshot of the CPG industry. It’s a guide for navigating its complexities and capitalizing on its opportunities. With insights on industry trends, case studies of successful brands, and strategies for growth, this report is an essential tool for CPG businesses looking to innovate, adapt, and succeed in 2025.
Ready to learn more? Download the full 2025 CPG Annual Report and equip yourself with the insights to make 2025 your year of growth and innovation.
