Consumer goods can be broadly categorized as durable or nondurable, and the overall consumer goods sector can be broken down across many different industries. While some product types, such as food, are necessary, others, such as automobiles, are considered luxury items. In general, when the economy is growing, consumer demand grows and the sector will see an increased demand for higher-end products.
Marketing, advertising, and brand differentiation are key considerations for companies in the consumer goods sector. Many consumer goods sector companies are faced with a range of close competitors, substitute goods, and potential rivals.
Technological advancement is at the heart of consumer goods sector industry trends. Technological advancement has revolutionized supply chains, marketing, and the products themselves in this sector.