Trends shaping the consumer packaged goods industry in Switzerland

Posting date: 18 March 2024

From our favourite breakfast cereal to the latest cleaning product taking social media by storm, consumer packaged goods, or CPGs, form an ever-present part of everyday life. 

A truly global sector, the consumer packaged goods industry is an ever-changing, ever-evolving market. The market trends are impacted by global events, with everything from a growing interest in global warming to the rise of e-commerce impacting the sector.

The dynamic and growing CPG industry is one that reflects the trends of the modern world and one in which no two days are ever the same. 

Trends impacting the Swiss packaged goods industry

Like with any industry, there are driving trends that determine the direction of the consumer packaged goods sector. From changes in global markets and technology to shifting attitudes surrounding sustainability and healthcare, these trends are influenced by a range of internal and external factors that impact the overall industry. 

Operating across industries, Swisslinx has unique insight into factors as diverse as Switzerland's role in the technology landscape, to trends and breakthroughs in the healthcare sector. As a result, the organisation is poised to offer unique insights on the trends impacting CPG, trends which are directly influenced by changes in sectors such as technology and healthcare. 

The impacts of inflation on consumer packaged goods

Increasing cost of living prices driven by inflation is having a direct impact on consumer habits which are driving trends in the CPG industry. As consumers are becoming increasingly cash-strapped, less buying power at the consumer level puts pressure on CPG companies to price competitively and change operations to maintain profit margins. 

Skilled professionals across the Swiss CPG sector are implementing strategies across European CPG companies to remain competitive, including removing unnecessary product features and changing pricing strategies. One significant shift at the consumer level has been consumers downshifting to purchase from cheaper brands. Simply, if shoppers can no longer afford expensive toothpaste, they only fork out for the cheap toothpaste option.

Consumers are buying packaged goods online

E-commerce is a growing trend around the globe, and Switzerland is no exception. The Covid-19 pandemic only further spurred the growth of the e-commerce sector and it is projected to continue to grow in coming years. While the current Swiss e-commerce market is valued at USD16.5bn, by 2029 it is projected to nearly double to a value of USD 31.36bn. 

The growth of e-commerce directly impacts how CPG companies can reach target audiences and influences the way they sell to the consumer body. This shift in buying habits also influences the investments made in creating sales channels. If people are buying goods online, that becomes the best place to invest in selling them.

Healthier products are in greater demand 

Health is at the forefront of everyone’s minds, and as consumers adopt a more health-conscious approach, the producers of consumer packaged goods are forced to adapt to embrace these ideals to remain profitable and relevant in a shifting marketplace. 

Studies on Swiss eating habits found the majority of respondents claimed that they consistently and actively tried to maintain a healthy diet, while over 30% claimed to avoid artificial preservatives. As consumers opt for healthier products, consumer goods brands that excel in the marketplace take these consumer preferences into consideration to develop products that are better for body, mind and soul.

Sustainability is in demand for packaged goods 

A growing sustainable mindset is another factor influencing consumer habits both in Switzerland and around the world, and in turn, directly influencing the CPG sector. This trend needs to be particularly well-managed by those working in packaged foods. Surveys have found that avoiding food waste is a top sustainability priority for Swiss consumers, while concepts such as supporting biodiversity and reducing food miles are also ranked as top concerns. 

By adopting more sustainable approaches to business and production practices, CPG professionals are both driving and adapting to these shifting market trends. 

Increased demand for convenience products 

In an increasingly time-starved world, the demand for convenience products is more present than ever. This is particularly prominent in pre-packaged food goods which are seeing a growing consumer body of working professionals who are struggling with time-constrained lives. Packaged goods companies are responding to this trend by offering greater variation in the pre-packaged foods sector. 

In some cases, companies are taking an innovative approach, combining both healthy eating trends and the demand for convenience products. Swiss brand, Nestle, launched a FreshlyFit range in 2021, aiming to appeal to a growing health-conscious time-starved market by offering healthy pre-packaged convenience foods. 

Recruiting The best talent for the packaged goods industry 

Swisslinx has established expertise in the FMCG industry and it’s people like Yuliya who are supporting our candidates to find their next role. Whether that role is a data architect or microbiologist, our team knows how important it is to find the right company to work for and it’s why we take great pride in what we do.

If you’re thinking about making your next career move, but you’re not sure what that looks like yet, head to our FMCG page to learn a bit more about the roles we recruit for. If you want to speak to a member of the team, simply drop your details in our contact form and we’ll be in touch.