Low Barriers of Entry are Over in the Functional CPG Industry

Remember all those low barriers of entry that disrupted the functional CPG industry…well let’s just say things are becoming just a tad bit different now. The functional CPG space is incredibly competitive and very low switching costs at the consumer-level. That makes being a success story in the functional CPG market tough enough, but I do have some additional bad news. The way entrepreneurs historically did business pre-pandemic is over. Stop trying to hang on to the past, especially when you consider a scenario that few are talking about and that’s an elongated "COVID-19 Effect" situation. The quicker you learn to adapt/evolve, the more likely you’ll limit your business continuity risk. So, what am I talking about? The often-cited low barriers of entry within the functional CPG industry are starting to disappear, as the cost of starting a brand, growing a brand, and sustaining market share have increased substantially over the last two years. This episode of the podcast will focus on five major themes of change: Customer Acquisition Pricing Inventory Management Capitalization Corporate Communications While these might seem like distinct business concentrations, they are more interconnected than ever in today’s market. The functional CPG industry is entering a new era. One that will likely have higher barriers of entry. For functional CPG brands to prosper in the 2020s, they must embrace this new way of doing business or face higher business continuity risk going forward. FOLLOW ME ON MY SOCIAL MEDIA ACCOUNTS LINKEDIN - https://www.linkedin.com/in/joshuaschallmba TWITTER - https://www.twitter.com/joshua_schall INSTAGRAM - https://www.instagram.com/joshua_schall FACEBOOK - https://www.facebook.com/jschallconsulting MEDIUM - https://www.medium.com/@joshuaschall