5 Ingredient Sourcing Challenges CPG Brands Face

5 Ingredient Sourcing Challenges for CPG Brands

Small Consumer Packaged Goods (CPG) companies, particularly those earning under $1 million in annual revenue, face significantly greater hurdles in sourcing ingredients compared to their larger counterparts. Research indicates that these smaller brands are three times more likely to express difficulty in locating ingredients that align with their specifications.

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The challenge of securing tasty and cost-effective ingredients becomes even more pronounced for small brands when striving for certifications or seeking sustainable, environmentally-friendly options. Typically, these smaller entities do not have dedicated internal resources for sourcing and may struggle to fulfill minimum order quantities.

ALLYMERIT strives for quality across various industries worldwide. Our mission is to deliver high-value products to our customers and foster a collaborative pathway to a sustainable future.

Despite the sourcing hurdles, smaller CPG brands enjoy a level of agility not often seen in larger companies. This flexibility allows them to establish unique partnerships with food producers or swiftly adapt their ingredient sources as needed.

Implications for Consumer Research: Insights such as these have provided organizations like Planet FWD with essential knowledge about potential consumer targets, enhancing their understanding of the challenges these brands face and their growth trajectories.

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