Q&A

How does distribution work in FMCG?

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How does distribution work in FMCG?

How does the FMCG Distribution Network work? The network is headed by big companies that manufacture fast-moving consumer goods — for example, Dabur, Bikano, Jockey, etc. Now the distributor sells these goods to different retailers who further sell them to end consumers.

How can I become a product distributor in UAE?

Commercial agents must be registered with the U.A.E. Ministry of Economy and Commerce to engage in commercial agency activities; iii. The agency agreement must be registered in order for the agent to avail himself of the protections afforded under the law and to have the agency relationship recognized under U.A.E.

What is KPI in FMCG?

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A FMCG KPI or metric is a measurable value that helps to monitor and accomplish pre-defined organizational goals. Key performance indicators for the FMCG industry consider branch-specific characteristics such as its fast-moving nature, high consumer demands and short sales cycles.

Can I sell products in Dubai?

The trade license in Dubai must be sanctioned by the Department of Economic Development (DED) and the National Media Council (NMC). The activities include selling of commodities and services or otherwise commercial use of any other online platform.

What is 2 step distribution model?

Two-step distributors buy products from the manufacturers and then sell the product to independent dealer businesses. The dealers, in turn, sell it to the end user, thereby earning the two-step definition.

What are the challenges FMCG sector in UAE facing?

FMCG Sector in UAE is facing a challenging environment with recent changes in the market including implementation of VAT (Value Added Tax) and excise progressive pricing.

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What is the business model of FMCG companies in India?

Most businesses in India are built on this model. Some of the FMCG companies such as Starbucks, Chai point and other food and beverage companies operate on this model for their B2B channel distribution. However]

What is FMCG (fast moving consumer goods)?

The FMCG (Fast Moving Consumer Goods) / Consumer Packed Goods (CPG) represents one of the largest industries worldwide. Companies involved in FMCG sector supply low-cost products that are in high demand. The sector is characterized by low margin & high volume.