Consumer Goods

Procurement and Supply Chain Consulting

The consumer goods sector faces increasing pressure to provide greater value while managing rising costs and evolving consumer demands. To achieve rapid, sustainable cost savings, companies need a strategic procurement plan that integrates tactical negotiation, demand optimization, and long-term category management strategies.

Essential strategies to drive value for consumer goods businesses

Maximize profitability and drive growth

Achieve quick cost reductions to improve profitability, reinvest in initiatives that drive growth, such as marketing, and fund large-scale transformation efforts like digitization.

Enhance product quality and champion sustainability

Procurement improves product quality, increases customer satisfaction, adheres to sustainability criteria, and provides high-quality, durable products.

Speed up delivery times and ensure stable supply chains

By creating a flexible supplier network, businesses can deliver products more quickly, adjust to evolving customer demands, and maintain strong sales in a market with shorter product lifecycles.

Master uncertainty with the KGM Strategy Volatility Manager

In today’s unpredictable market, ensuring product availability and pricing is crucial for a seamless customer experience. KGM Strategy Volatility Manager provides real-time insights and strategies to help you navigate market challenges, protect margins, and meet consumer demand with confidence.

How we support consumer goods brands?

In today’s fast-evolving consumer goods industry, businesses face mounting pressures from rising costs, supply chain disruptions, and increasing consumer demands for sustainability. To navigate these challenges, companies must rethink their strategies, and procurement—often an overlooked function—can be a key driver of both immediate savings and long-term success.

Strategic Cost Optimization

Boost Margins and Drive Growth

One of the most impactful areas for procurement is the management of external costs, which typically represent the largest expense for any organization. By focusing on this critical lever, businesses can generate rapid value through cost savings. These savings, in turn, allow companies to improve margins, reinvest in marketing efforts, and fund larger transformation initiatives, such as digitization.

Enhance Product Quality

Boosting Customer Satisfaction and Championing Sustainability

Beyond financial benefits, an efficient procurement strategy also enhances product quality and customer satisfaction, while aligning with sustainability goals by working closely with suppliers to reduce the overall carbon footprint.

Agile Procurement

Accelerate Innovation and Meet Demand

Moreover, in a competitive market where speed and innovation are vital, a well-structured procurement strategy ensures timely product delivery, helping brands keep pace with rapidly shifting consumer preferences and shortening product life cycles.

Close collaboration with suppliers can further spark innovation, enabling companies to stay ahead of emerging trends and meet evolving consumer expectations.

Build Supply Chain Resilience

Safeguard Margins and Strengthen Competitive Advantage

Finally, in a world where uncertainty and global risks increasingly threaten supply chains, procurement plays a critical role in building resilience. Companies that proactively manage supply risks and protect availability will not only safeguard their margins but also strengthen their competitive position.

In sum, by optimizing procurement, consumer goods companies can mitigate risks, improve operational efficiency, and unlock new opportunities for growth, innovation, and sustainability.

Discover our latest client cases

How we reduced CO2 emissions by 400 tonnes

Over the span of two years, the project delivered more than 20 million euros in cost savings and further significant CO2 reductions.

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Nearshoring in the consumer goods industry

We mitigated supply chain risks and slashed costs by implementing a nearshoring strategy that strategically relocated production to trusted regional suppliers.

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