As fast-moving consumer goods (FMCG) companies introduce new stock-keeping units (SKUs) with lower prices for the rural market, the All India Consumer Products Distributors Federation (AICPDF) has urged companies to categorise products and standardise packaging to make it easier for retailers to manage inventories and for consumers to get clear information on pricing.
“The difference in per-gram pricing among the numerous SKUs within the same price bracket leads to consumer confusion. The rapid launch of new SKUs by companies has made inventory management a challenge, with limited storage space available, and retailers are showing reluctance to keep an added number of SKUs due to the increased complexity and potential confusion among consumers,” said Dhairyashil Patil, National President of AICPDF.
The federation wants companies to categorise products as entry packs, small packs, and medium and large packs for easier distribution.
“AICPDF strongly advocates mandatory adoption of these standards by all companies. The standardised packaging sizes are expected to simplify inventory management, reduce complexity for retailers, and eliminate consumer confusion arising from multiple SKUs within the same price range under a single brand,” Patil said.