Q3 2026 · July Edition
Past Editions
Editor's Take

North America, Q3 2026: The volume story is now unmistakable. Circana’s mid-year read shows US food & beverage growth still running on price and mix — 2–4% in dollars while units slipped 2.8% in the latest four weeks. Yet shoppers keep trading into premium where quality and wellness justify it, and NIQ’s Omnishopper data shows household spend up across every major category, led by Health & Beauty at +8%. The winners aren’t discounting — they’re earning the premium.

North America · Q3 2026 · July Edition

Dollar growth is real. The volume underneath isn't.

Circana, NIQ, Bain, and McKinsey on the 1H-2026 signals that matter — the trust premium, GLP-1, and the AI margin prize — curated so you read one page instead of forty reports.

July 13, 2026 8 min read
This Issue — North America
1
Circana: US F&B growth still price-and-mix led — units slipped 2.8% in the latest four weeks as volume softness persists
2
NIQ Omnishopper: US household spend up across every major category — Health & Beauty +8%, Baby Care +7%, Food +4%
3
Bain: scaling AI could lift CPG operating margins 3–5 points — yet only 6% of firms have a plan to capture that value
4
Circana: tariff relief arrives, but rising packaged-goods supply costs keep price pressure alive into H2
5
NIQ: consumers now pay $106 for what cost $100 in 2023 — and 40% stay cautious even as inflation cools
Quarterly release · Next edition: October 2026
NielsenIQ · Omnishopper US 2026
+8%
US household spend growth in Health & Beauty — the fastest-growing major category
NIQ’s Expanded Omnishopper data shows US household spend up across every major category — Baby Care +7%, Food +4%, Pet Care +4%, Household Care +3%. Food & beverage still commands the most trips at 227 a year.
NIQ Expanded Omnishopper / Consumer Outlook (2026)
Circana · US F&B Mid-Year 2026
-2.8%
US unit sales in the latest four weeks — volume softness persists even as dollars grow 2–4%
Circana’s mid-year read shows growth still driven by price and mix while units stay under pressure. Volumes stabilised after early-2026 weather volatility, but the pullback that began in late 2025 continues among low- and middle-income shoppers.
Circana 2026 F&B Outlook / Demand Signals (2026)
Bain & Company · Consumer Products + AI 2026
3–5 pts
potential operating-margin gain from scaling AI — but only 6% of CPGs have a plan to capture it
Bain finds 90% of CPG leaders acknowledge AI’s importance, yet only 37% rank it a top-5 priority and just 6% have a concrete plan to create value with it. The margin prize is real; the execution gap is the story.
Bain: The Future of Consumer Products in the Age of AI (2026)
Featured This Month
Top Stories — North America
Circana + NielsenIQ

Growth Without Volume: US CPG's 2026 Reckoning Between Price, Trust, and AI

TL;DR
  • Circana's 2025 Growth Leaders finds winners compete where trust, value, and relevance meet — private label and sub-$1B challengers are taking share
  • Dollar growth is real (F&B +3%) but volume isn't — units slipped 2.8% in the latest four weeks
  • The margin unlock is AI: Bain sees 3–5 pts of operating-margin upside, yet only 6% of CPGs have a plan to capture it
Data Snapshot
  • US retail F&B sales +3% in 2025; non-food +2% (Circana Growth Leaders, Apr 2026)
  • Units −2.8% in the latest four weeks — volume softness persists even as dollars grow 2–4% (Circana)
  • Household spend up across every major category — Health & Beauty +8%, Baby +7%, Food +4% (NIQ Omnishopper)
  • GLP-1: ~1 in 6 US households have tried them; adopters cut grocery spend ~6% within six months (McKinsey)
  • AI margin upside 3–5 pts — but only 6% of CPGs have a plan to capture it (Bain)
Analyst Take

The headline that matters isn't growth — it's the composition of growth. F&B dollars are up ~3%, but that's price and mix; real units are still slipping. Circana's Growth Leaders makes the winning formula explicit: trust, value, and relevance, executed together.

Two forces decide 2026. GLP-1s are quietly resetting basket size and category mix for a sixth of US households. And AI is the margin lever — Bain's 3–5 points is enough to fund the value investments shoppers now demand, but only 6% of companies have an actual plan. The gap between intent and plan is the competitive opening.

What This Means
  • Private label and sub-$1B challengers are taking share on value and authenticity — the brand premium must be re-earned every quarter
  • Price-tier flexibility is survival: with units soft, growth comes from mix and trust, not list-price increases
  • Build a GLP-1 adjacency plan now — smaller portions, high-protein, functional formats — but don't over-rotate (34% of users lapse within six months)
  • Treat AI as a margin program, not a pilot — the 3–5 pt prize funds the value and innovation shoppers demand
What Most People Miss

Tariff relief has arrived, but packaged-goods input costs are still rising — the pricing-pressure valve hasn't fully opened. Brands banking on cost normalization to restore margin will likely be disappointed; the durable lever is productivity and AI, not a return to old input costs.

Read Full Report → Circana / McKinsey · 2026
McKinsey

GLP-1s Go Mainstream: 1 in 6 US Households Have Tried Them

TL;DR
  • ~1 in 6 US households have tried GLP-1s; ~25M Americans projected by 2030 (McKinsey)
  • Adopters cut grocery spend ~6% within six months — reshaping basket size and mix
  • Impact now spans snacks, beverages, supplements, beauty and wellness — not just food
What This Means
  • Portfolio adjacency is no longer optional — smaller portions, high-protein and functional formats need active investment
  • 34% of users stop within six months and resume prior spend — track the cohort, don't over-rotate
Read More →
Bain & Co

Scaling AI Could Add 3–5 Points of Operating Margin — but Only 6% Have a Plan

TL;DR
  • 90% of CPG leaders say AI matters; only 37% rank it a top-5 priority
  • Just 6% have a concrete plan to create value with it
  • The margin prize is 3–5 pts — enough to offset cost pressure and fund innovation
What This Means
  • Winners treat AI as an enterprise margin program, not a pilot
  • The gap between acknowledgment and execution is widening into a growth gap
Read More →
Consumer Behavior
How North American Shoppers Are Changing
Analyst Callout
The US consumer isn't retreating — they're reallocating. NIQ's Omnishopper data shows household spend rising across every major category, led by Health & Beauty (+8%), even as food units stay soft. Wellness is now a top priority for 84% of consumers (McKinsey). The money is moving toward health, quality, and trust — and away from undifferentiated middle-shelf brands.
Watch in your Circana/NIQ data: unit vs. dollar gap by category, private label share vs. branded by channel, and premium-tier velocity in health, beauty, and functional food.
Circana

Private Label & Sub-$1B Challengers Are Taking Share From Big CPG

Circana's 2025 Growth Leaders shows the fastest growth among smaller, authentic players and retailer own-brands — winning on value and relevance, not scale. Trust and authenticity are the through-line across every revenue tier.

CircanaRead →
McKinsey

84% of US Consumers Now Rank Wellness a Top Priority

McKinsey's State of the Consumer 2026 finds wellness spending reshaping food, beauty, and supplements. Health-positioned brands are outgrowing their categories as consumers reallocate discretionary dollars toward longevity, protein, and functional benefits.

McKinseyRead →
Risk

Tariff Relief Arrives — but Input Costs Keep Climbing

Some tariff pressure has eased, yet packaged-goods supply costs continue rising. Margin recovery depends on productivity and AI, not a return to old cost bases — and the consumer won't absorb another round of list-price increases.

CircanaRead →
Analyst Take — North America Edition

The winners are pairing trust with productivity

Analyst Take

Three 1H-2026 reads converge. Circana says growth accrues where trust, value, and relevance meet. McKinsey says wellness and GLP-1s are reshaping the basket. Bain says AI is the margin lever.

Put together: the brands that win in 2026 earn trust on the shelf and fund it with productivity behind the scenes.

What This Means
Volume is the honest metric. Dollar growth on price and mix flatters a soft-unit reality — read units first.
GLP-1 is a portfolio question now, not a curiosity — a sixth of US households are already in the cohort.
AI is a margin program worth 3–5 points — but only if it moves past pilots. The 6% with a plan are compounding an advantage.
Editor's Take

Europe, Q3 2026: Private label just crossed a threshold. Circana’s April read puts own-brand at a record 50% unit share across Europe’s six biggest grocery markets — 42% by value, worth €324bn. Spain (59%) and the Netherlands (56%) lead, and even the UK and Germany now sit at 52% of units. Persistent inflation and AI-driven, value-seeking shoppers are set to push the share higher still. Brands aren’t losing to a cheaper shelf — they’re losing to a better one.

Europe · Q3 2026 · July Edition

Europe's grocery reset: margins under pressure, models in motion.

McKinsey and Circana on what's really driving European FMCG in 2026 — record private label, the volume gap, and the shift to an AI-and-margin game.

July 13, 2026 8 min read
This Issue — Europe
1
Circana: private label hits a record 50% unit share across Europe’s six biggest grocery markets
2
Circana: own-brand now 42% of value — €324bn — and still climbing as inflation persists
3
Country split: Spain 59% and the Netherlands 56% of units lead; the UK and Germany reach 52%
4
Value share: Netherlands 55%, Spain 52%, Germany and the UK both 44% — the top of the market is converging
5
NIQ & Circana: AI-driven, value-seeking shoppers set to accelerate private-label gains through 2026
Quarterly release · Next edition: October 2026
Circana · Private Label Europe 2026
50%
private label’s record unit share across Europe’s six biggest grocery markets
Circana’s April 2026 report shows own-brand unit share has risen every year since 2021, up more than three points over the period. Persistent inflation and value-seeking, AI-assisted shoppers are expected to push it higher through 2026.
Circana Private Label Europe (Apr 2026)
Circana · EU6 Value Share 2026
€324bn
private label value across Europe’s six biggest markets — now 42% of all FMCG value
Value share stands at 55% in the Netherlands, 52% in Spain, and 44% in both Germany and the UK. Own-brand is no longer just the cheap option — it is the default across much of Western Europe.
Circana Private Label Europe (Apr 2026)
Circana · Country Detail 2026
59%
Spain’s private label unit share — the highest in Western Europe, with the Netherlands at 56%
Unit share reaches 52% in the UK and Germany, 46% in France, and 36% in Italy. The North–South gap that once defined European retail is narrowing as own-brand scales across every major market.
Circana Private Label Europe (Apr 2026)
Featured This Month
Top Stories — Europe
McKinsey + Circana

Margins Under Pressure, Models in Motion: Europe's Grocery Reset

TL;DR
  • McKinsey's State of Grocery Retail Europe 2026: 2025 grew +3.4%, but volume added just +0.6% — the rest was price
  • Private label just hit a record 50% of units / €324bn across the EU6 — the structural winner of the value era (Circana)
  • AI has moved from experiment to strategy: 47% of grocery CEOs now rank AI & automation a top-two priority, up four ranks from 2024
Data Snapshot
  • European grocery 2025: +3.4% value; price +2.9%, volume +0.6%, downtrading −0.1% (McKinsey)
  • Private label: record 50% unit share, €324bn, 42% of value across the EU6 (Circana, Apr 2026)
  • Country unit share: Spain 59%, Netherlands 56%, UK & Germany 52%, France 46%, Italy 36% (Circana)
  • 47% of grocery CEOs rank AI & automation a top-two priority — up four ranks from 2024 (McKinsey)
  • 64% of grocery CEOs expect 2026 to be similar or better than 2025 (McKinsey)
Analyst Take

Europe's topline looks fine and means little: +3.4% with volume adding only half a point. The real movement is structural. Private label crossing 50% of units isn't a recession reflex — it's retailers out-executing brands on value and relevance, and it doesn't reverse when inflation cools.

McKinsey's framing — margins under pressure, models in motion — captures the pivot: growth is coming from new pockets (private label, adjacencies, M&A, and AI), not from the base. The 47% of CEOs putting AI in their top two is the tell: this is a productivity race now.

What This Means
  • A single pan-European strategy is broken — income and generational divides are widening; low-income shoppers chase promotions while high-income trade up
  • Private label at 50% of units resets the competitive baseline — brands must justify the premium on more than habit
  • AI/automation is where margin is defended — the CEO agenda has already moved
  • Growth is in adjacencies, retail media, and M&A, not organic volume — plan portfolio moves accordingly
What Most People Miss

The private-label story is usually told as "cheap wins." The EU6 data says otherwise: own-brand is now the default across much of Western Europe (55% of value in the Netherlands, 52% in Spain). Shoppers aren't trading down to a worse product — they're choosing a better-value one. That's a brand-equity problem, not a price problem.

Read Full Report → McKinsey / Circana · 2026
Circana

Private Label Crosses 50% of Units in Europe's Six Biggest Markets

TL;DR
  • Record 50% unit share, €324bn, 42% of value across the EU6 (Circana)
  • Spain 59% and Netherlands 56% lead; even the UK and Germany sit at 52%
  • Own-brand share has risen every year since 2021 — this is structural
What This Means
  • The premium must be justified on more than habit — own-brand is now the default, not the fallback
  • Inflation and AI-assisted, value-seeking shoppers are set to push the share higher still
Read More →
McKinsey

47% of Grocery CEOs Now Put AI & Automation in Their Top Two

TL;DR
  • 47% of European grocery CEOs rank AI & automation a top-two priority — up four ranks from 2024
  • AI has moved from experimentation to strategic relevance as margins stay pressured
  • Renewed momentum is coming from private label, adjacencies, M&A, and AI
What This Means
  • The margin race is now the strategy — productivity is the competitive front line
  • Brands should expect a sharper, more data-driven retail counterpart at the negotiating table
Read More →
Consumer Behavior
How European Shoppers Are Changing
Analyst Callout
Europe's divides are widening, not closing. McKinsey finds price pressure easing on average — but low-income households chase ever more promotions while high-income households trade up. The "average European shopper" is now a statistical fiction; the winning strategies are built for the extremes, not the mean.
Watch in your EU data: private label share by market and category, promotion depth by income tier, and volume vs. value split to isolate real demand.
Circana

Own-Brand Is Now the Default: €324bn and 42% of Value Across the EU6

Private label unit share has risen every year since 2021, up more than three points over the period. Persistent inflation and AI-assisted, value-seeking shoppers are expected to push it higher through 2026 — this is a structural shift, not a cyclical one.

CircanaRead →
McKinsey

Growth Is Moving to New Pockets: Private Label, Adjacencies, M&A, AI

With base growth muted, McKinsey says renewed European momentum is coming from structural moves — retail media, adjacencies, consolidation, and automation — rather than organic volume. Grocers are reshaping their models, not just their prices.

McKinseyRead →
NIQ

Innovation Under Pressure: Weak Launches Are Ceding Ground to Retailers

NIQ's January 2026 report finds innovation sales falling in both value and units. Private label is filling the relevance gap that branded manufacturers leave open — the fix is resetting NPD around real consumer payoffs, not launch-calendar slots.

NielsenIQRead →
Analyst Take — Europe Edition

The margin race is the strategy now

Analyst Take

McKinsey and Circana are describing the same reset from two angles. Grocers face pressured margins and muted base growth, so they're moving models — into private label, adjacencies, retail media, M&A, and AI. For brands, the shelf is more competitive on value and the retailer is a sharper operator.

Winning requires resetting innovation around real consumer payoffs and treating AI as a margin program, not a pilot.

What This Means
Private label at 50% of units is structural, not cyclical — it won't unwind when inflation cools.
A single pan-European read hides everything — Spain, Germany, and France are three different briefs by income and format.
AI/automation is now a top-two CEO priority — the productivity gap is becoming a growth gap.
Editor's Take

Latin America, Q3 2026: Latin America is the world's fastest-growing FMCG value market — NIQ data shows the region driving +10.4% value sales growth, fuelled by persistent inflation that continues running well above the global average. Private label is surging at +14.2% value growth, nearly triple the global rate. The story here is resilience through volatility — consumers are adapting fast, and brands that don't are losing ground.

Latin America · Q3 2026 · July Edition

Latin America's growth is a mirage — and the volume proves it.

NIQ and Kantar on the region's standout topline — and the −1.7% consumption story underneath that shows where the real pressure lies.

📅 July 13, 2026 ⏱ 8 min read
This Issue — Latin America
1
NIQ: Latin America FMCG value grew +10.4% — the highest regional growth rate globally, driven by elevated inflation
2
NIQ: Private label growing +14.2% in value in Latin America — nearly triple the global +5.6% rate
3
NIQ: Monthly CPG prices in LatAm peaked at up to +9% YOY — inflation remains structurally higher than most regions
4
51% of Colombian consumers say they buy whatever brand is on promotion — deal-seeking is the primary shopping strategy
5
NIQ expanding Product Insights to Latin American markets through 2025–26 — granular attribute data coming to the region
Quarterly release · Next edition: October 2026
NielsenIQ · Global Strategic Planner 2025
+10.4%
Latin America FMCG value growth — the fastest of any region globally in 2025
NIQ's Global Strategic Planner (54 markets, 52 weeks ended June 2025) confirms Latin America is the only region sustaining double-digit FMCG value growth — but persistent structural inflation is the primary engine, not volume gains.
NIQ Consumer Outlook: Guide to 2026 (2025)
NielsenIQ · Private Label Study LatAm
+14.2%
Private label value growth in Latin America — vs. +5.6% globally
NIQ's Private Label Study (Consumer Panel Services Homescan) shows LatAm private label outpacing the global rate by 2.5x. Consumers in Chile, Colombia, and Brazil are actively switching to lower-priced options as their primary budget management strategy.
NIQ Private Label Study in Latin America (2025)
NIQ · Mid-Year Consumer Outlook
9%
Peak monthly CPG price growth in Latin America YOY — the highest inflation rate of any region tracked by NIQ
NIQ's Global Inflation Tracker across 58 countries shows Latin America running structurally hotter than any other region. This inflation premium shapes every aspect of consumer behavior — from brand switching to pack-size decisions to channel migration.
NIQ Mid-Year Consumer Outlook: Guide to 2025
Featured This Month
Top Stories — Latin America
NIQ + Kantar

Latin America's Growth Mirage: +10.4% in Value, −1.7% in Volume

TL;DR
  • NIQ: LatAm leads global FMCG value growth at +10.4% — but it's almost entirely inflation
  • Kantar: actual consumption fell −1.7% over the last 12 months as shoppers buy less and cheaper
  • The response is structural: private label +14.2% and a hard shift to discounters, cash & carry, and street markets
Data Snapshot
  • LatAm FMCG value growth: +10.4% — highest of any region (NIQ)
  • Real consumption: −1.7% over the last 12 months (Kantar)
  • Private label value growth: +14.2% — nearly triple the global rate (NIQ)
  • Regional inflation ~6.6% (mid-2025) — more than double the global average (NIQ)
  • Brazil: 44% of GLP-1-interested consumers would use them if prices fell (McKinsey)
Analyst Take

This is the cleanest example in the world of why you never read value alone. LatAm's +10.4% looks like the best growth on the planet; Kantar's −1.7% consumption says demand is actually shrinking. The gap is pure price.

Consumers aren't just switching to private label — they're changing where they shop, migrating to discounters, cash & carry, street markets, and bulk. That's a structural downgrade of the channel mix that compresses branded reach and margin at once.

What This Means
  • Decomposing value into price and volume is the single most important skill in LatAm right now
  • Private label +14.2% plus channel migration is a double hit — brands lose both shelf share and premium channels
  • Promotional dependency is a treadmill — it trains shoppers to wait and erodes base velocity
  • Brands that build a value tier and hard-discount presence now will defend reach as trade-down deepens
What Most People Miss

Everyone quotes LatAm's double-digit value growth as strength. The Kantar volume read reframes it as stress: households are buying fewer units, in cheaper formats, in cheaper channels. The topline is a thermometer for inflation, not a scoreboard for demand.

Read Full Report → NIQ / Kantar · 2026
Kantar

Consumption Fell −1.7% as Shoppers Trade Down on Brands and Channels

TL;DR
  • Real FMCG volume is declining across most LatAm markets (Kantar)
  • Growth is driven by preference for private label, mainstream brands, and discount channels
  • The shift is structural — cheaper brands, cheaper channels, smaller baskets
What This Means
  • The value topline hides a demand contraction — read units, not dollars
  • Channel migration into discounters and cash & carry compresses branded reach
Read More →
McKinsey

GLP-1 Enters LatAm on Price: 44% of Interested Brazilians Would Use If Cheaper

TL;DR
  • McKinsey's State of the Consumer 2026 surveyed Brazil among five markets
  • 44% of GLP-1-interested Brazilians would use them if prices fell; 35% cite price as the blocker
  • Affordability, not interest, is the gate — a price decline unlocks a large latent cohort
What This Means
  • Track GLP-1 as a medium-term category-mix force in LatAm — gated by pricing and access, not demand
Read More →
Consumer Behavior
How Latin American Shoppers Are Adapting
Analyst Callout
In Latin America the story underneath the topline is trade-down on every axis at once — cheaper brands, cheaper channels, smaller baskets. Kantar's −1.7% consumption confirms the pressure the +10.4% value figure hides. The brands that hold on are the ones with a credible value tier, not just a hero SKU.
Watch in your LatAm data: unit vs. value gap by market, private label share momentum, and channel migration into discounters and cash & carry.
NIQ

Private Label Up +14.2% — Nearly Triple the Global Rate

Deal-seeking is becoming the default shopping strategy across Chile, Colombia, and Brazil. Own-label is the primary budget lever, and its momentum is accelerating as inflation stays structurally high.

NielsenIQRead →
Kantar

The Channel Shift: Discounters, Cash & Carry and Street Markets Are Winning

Kantar attributes falling spend to a move toward more affordable brands and channels — discounters, cash & carry, bulk, and street markets. It's a structural reshaping of the route to the shopper, not a temporary blip.

KantarRead →
NIQ

Inflation Still Runs Double the Global Average

At ~6.6% in mid-2025, Latin America remains the hottest-inflation region NIQ tracks — the single force behind both the eye-catching value growth and the quiet volume decline underneath it.

NielsenIQRead →
Analyst Take — Latin America Edition

Read the volume, ignore the mirage

Analyst Take

LatAm is where the "never read one metric alone" rule earns its keep. Value says boom; volume says contraction; the truth is inflation. The job is to strip price out and watch units, private label share, and channel mix — the three signals that reveal what consumers are actually doing.

What This Means
+10.4% value with −1.7% volume is the definition of a price-driven topline — don't mistake it for demand.
Trade-down is now multi-dimensional — brand, channel, and basket size simultaneously.
A credible value tier and hard-discount presence are the defense — hero SKUs alone won't hold reach.
Editor's Take

Asia Pacific, Q3 2026: The biggest consumer market story of the decade is unfolding in Asia Pacific. Bain and NIQ's joint report projects APAC overtaking North America as the world's largest consumer market by 2035. FMCG grew +4% in the region in 2025 — with 2.8% coming from genuine volume growth, not just pricing. India is accelerating. China is rebounding online. And 39% of APAC consumers are already using generative AI to shop.

Asia Pacific · Q3 2026 · July Edition

APAC grows on real volume — but its markets have never been further apart.

Bain and NIQ on the forces reshaping Asia Pacific — India at +13.7%, China's online rebound, and 39% of shoppers already buying with AI.

📅 July 13, 2026 ⏱ 8 min read
This Issue — Asia Pacific
1
Bain + NIQ: APAC to overtake North America as the world's largest consumer market by 2035 — growing at 7% CAGR to $36 trillion
2
NIQ: APAC FMCG grew +4% in 2025, with 2.8% volume growth — a healthier balance than price-driven NA and Western Europe
3
NIQ: India accelerating sharply — value growth jumped from 7.2% in 2024 to 13.7% in H1 2025
4
NIQ: 39% of APAC consumers already use generative AI in online shopping — 40% more willing to adopt it
5
NIQ: E-commerce accounts for ~40% of FMCG sales in China and South Korea — social commerce and quick commerce expanding fast
Quarterly release · Next edition: October 2026
Bain + NIQ Joint Report · Dec 2025
$36T
APAC private consumption projected to reach $36 trillion by 2035 — overtaking North America as the world's largest consumer market
Bain and NIQ's joint December 2025 report projects 7% CAGR growth in APAC private consumption through 2035, as global private consumption nearly doubles from ~$65 trillion in 2025 to $110–120 trillion. The shift is already underway.
Bain + NIQ: Six Trends to Watch in 2026 (Dec 2025)
NielsenIQ · APAC FMCG Data 2025
+4%
APAC FMCG value growth in 2025 — with 2.8% coming from real volume gains, not just pricing
NIQ's moving annual total (ending June 2025) shows APAC's 4% value growth is structurally healthier than NA or Western Europe — because volume, not just price, is doing the work. India and China are the primary engines.
NIQ via Bain APAC Report (Jun 2025)
NIQ · India FMCG Growth
13.7%
India FMCG value growth in H1 2025 — accelerating sharply from 7.2% in full-year 2024
NIQ data shows India as APAC's fastest-accelerating major market. The H1 2025 figure of 13.7% represents a near-doubling of India's 2024 full-year growth rate — driven by rising real wages, expanding modern trade, and a rapidly growing middle class.
NIQ via Bain APAC Report (Jun 2025)
Featured This Month
Top Stories — Asia Pacific
Bain + NielsenIQ

APAC Is Growing on Volume, Not Price — and the Gap Between Its Markets Has Never Been Wider

TL;DR
  • APAC FMCG grew +4% with 2.8 pts from real volume — the healthiest growth composition of any region
  • India accelerated to +13.7% (H1 2025) while Southeast Asia cooled to ~+1.8% — one region, many economies
  • APAC is the most AI-ready consumer market on earth: 39% already use GenAI to shop, 40% more are ready
Data Snapshot
  • APAC FMCG +4% value; 2.8 pts volume, 1.2 pts price (NIQ, MAT Jun 2025)
  • India +13.7% (H1 2025) from 7.2% in 2024; China rebounding to +4.7%, online-led
  • APAC private consumption to $36T by 2035 at 7% CAGR — overtaking North America (Bain + NIQ)
  • E-commerce ~40% of FMCG in China and South Korea
  • 39% of APAC consumers use GenAI to shop; 40% more willing to adopt
Analyst Take

APAC is the mirror image of the West: here, volume — not price — is doing the work. That makes the growth more durable, but the regional average is the least useful number in the report. India at +13.7% and Southeast Asia at +1.8% aren't the same brief; they're not even the same decade of development.

Two structural forces define the region: channel (e-commerce is the baseline in China and Korea; quick and social commerce are exploding) and AI (discovery is being rewired faster here than anywhere). Bain's prescription holds — define each market's role before allocating a dollar.

What This Means
  • India is the single most important acceleration signal in global FMCG — an India-specific strategy is non-negotiable
  • Pricing strategy must localize: premiumization in India and Indonesia, polarization in China
  • Local challengers are outpacing multinationals on speed — localize or lose ground
  • AI-mediated shopping is reshaping discovery — first-party data and content structure are now demand inputs
What Most People Miss

The "APAC overtakes North America by 2035" headline is a slow story; the fast story is that discovery has already moved. With 39% using GenAI to shop, path-to-purchase models built for shelf-first markets are obsolete in the region's leading economies today — not in 2035.

Read Full Report → Bain + NIQ · 2026
NielsenIQ

India Is the World's Fastest-Accelerating Major Market at +13.7%

TL;DR
  • India FMCG value growth jumped to +13.7% in H1 2025, from 7.2% in 2024
  • Rising real wages, expanding modern trade, and a growing middle class are the drivers
  • It is the most significant single-market FMCG data point in the world right now
What This Means
  • Brands without an India-specific strategy are missing the fastest-growing major market globally
  • Premiumization is live in India — value and quality can grow together here
Read More →
NielsenIQ

39% of APAC Consumers Already Shop With Generative AI

TL;DR
  • 39% of APAC consumers already use GenAI to shop; 40% more are ready to adopt
  • APAC is the most AI-ready consumer market globally
  • Brand discovery, comparison, and consideration are being rewired in real time
What This Means
  • Brands relying on shelf placement and legacy search are losing ground to AI-mediated shopping
  • First-party data quality and content structure are now inputs to AI recommendation outputs
Read More →
Consumer Behavior
How APAC Shoppers Are Behaving Differently
Analyst Callout
APAC's health is in its composition: 2.8 of its 4 points of growth are real volume, not price. But "APAC" is a portfolio, not a market — India accelerating, China rebounding online, Southeast Asia cooling. The single biggest error is treating it as one story with one strategy.
Watch in your APAC data: volume vs. value by market, e-commerce share of category sales, and local vs. multinational share trends.
Bain + NIQ

China Rebounds to +4.7%, Led by Online

China showed early recovery signs, with FMCG growth rising from 2.8% in 2024 to 4.7% in H1 2025 — driven by e-commerce and the rapid expansion of social and quick commerce. The return to growth is a digital-first story.

Bain + NIQRead →
NIQ

E-Commerce Is the Baseline: ~40% of FMCG in China and South Korea

Online already dominates FMCG in China and South Korea. Social and quick commerce are expanding fast across Southeast Asia — online isn't a channel to add, it's the default channel mix, and it's reshaping discovery.

NielsenIQRead →
Bain + NIQ

Southeast Asia Cools to ~+1.8% as India Accelerates

SEA growth eased toward 1.8% even as India accelerated to 13.7%. The widening spread is the clearest argument against a single APAC strategy — this is a portfolio of very different opportunities that demand market-by-market plans.

Bain + NIQRead →
Analyst Take — Asia Pacific Edition

A portfolio mindset, not a regional strategy

Analyst Take

The Bain + NIQ read is unambiguous: define the role of each market before allocating resources. China is scale, India is acceleration, Southeast Asia is diversification, Korea is a digital testbed. The performance spread — India +13.7% vs. SEA +1.8% — has never made the case more clearly.

What This Means
India's jump from 7.2% to 13.7% is the most important single-market signal in global FMCG.
39% GenAI adoption means discovery is being disrupted here first — offline-first path-to-purchase models are already obsolete.
Volume-led growth makes APAC's expansion more durable than the West's price-led topline.
Editor's Take

Middle East & Africa, Q3 2026: The Middle East and North Africa is one of the brightest spots in global CPG — with UAE posting 6% volume growth and KSA close behind at 4%, both well above the 1.7% global average. NIQ data shows Ramadan alone contributes 19% of annual FMCG sales across the region. Bain projects the MENA CPG market to reach $650 billion by 2030. Discounters are surging. E-commerce is accelerating. And 77% of CPG executives in the region express a positive growth outlook.

Middle East & Africa · Q3 2026 · July Edition

Middle East & Africa: a $650bn ascent, led on volume.

Bain, NIQ, and McKinsey on the region's volume-led growth — Egypt overtaking Saudi Arabia, the Ramadan engine, and the discounter surge.

July 13, 2026 8 min read
This Issue — Middle East & Africa
1
Bain + NIQ: UAE FMCG volume growth at 6%, KSA at 4% — both well above the 1.7% global average
2
NIQ: Ramadan contributes 19% of annual FMCG sales across MENA — the region's most critical retail event
3
Bain: MENA CPG market projected to reach $650 billion by 2030 at 5% CAGR — 77% of execs are bullish
4
McKinsey: Discounters growing at 13% CAGR in Egypt, KSA, Morocco, UAE — vs. 6% industry average
5
NIQ South Africa: R683.3bn FMCG spend in 2025 — units up +6.7%, traditional trade (140,000+ outlets) outpacing modern trade
Quarterly release · Next edition: October 2026
Bain + NIQ · Middle East Consumer Products Report 2025
6%
UAE FMCG volume growth — well above the 1.7% global average, with KSA close behind at 4%
Bain's inaugural Middle East Consumer Products Report (2025) documents the UAE and KSA as standout volume growth markets in a world where most regions are flat or price-dependent. Both countries posted solid value growth alongside volume gains — a rare combination globally.
Bain Middle East Consumer Products Report 2025
NielsenIQ · MENA Ramadan 2026 Report
19%
of annual FMCG sales across MENA generated during Ramadan — the region's single most important retail period
NIQ's Ramadan Advent Calendar 2026 — covering UAE, Saudi Arabia, Türkiye, Kuwait, Oman, Qatar, Egypt, Jordan, Lebanon, and Morocco — documents Ramadan's outsized role in MENA retail. 75% of Ramadan FMCG sales come from Grocery, Beverages, Dairy, and Confectionery.
NIQ Ramadan Consumer Trends MENA (Feb 2026)
Bain & Company · MENA CPG Outlook
$650B
MENA CPG market projected value by 2030 — growing at 5% CAGR with 77% of regional executives expressing a positive outlook
Bain's Middle East Consumer Products Report projects the MENA market reaching up to $650 billion by 2030. Despite geopolitical headwinds and supply chain pressure from the Red Sea crisis, regional CPG leaders remain strongly optimistic — nearly a quarter describe their growth outlook as "extremely positive."
Bain Middle East Consumer Products Report 2025
Featured This Month
Top Stories — Middle East & Africa
Bain + NielsenIQ

MENA's $650bn Ascent: Volume-Led Growth, a Ramadan Engine, and a Discounter Surge

TL;DR
  • MENA CPG is heading from ~$450bn (2024) to $650bn by 2030 at ~5% CAGR — growing on volume, not just price
  • Egypt now leads at ~$67bn, just ahead of Saudi Arabia (~$65bn); UAE value rose +7.1% and KSA +3.3% (H1'24→H1'25)
  • Ramadan alone drives ~19% of annual FMCG sales — the single largest concentrated retail window
Data Snapshot
  • MENA CPG: ~$450bn (2024) → up to $650bn by 2030 at 5% CAGR (Bain)
  • Market leaders: Egypt ~$67bn, KSA ~$65bn (Bain)
  • Sales growth H1'24→H1'25: UAE +7.1%, KSA +3.3% (NIQ)
  • Ramadan: ~19% of annual FMCG sales; Grocery, Beverages, Dairy, Confectionery = 75% of Ramadan spend (NIQ, 10 markets)
  • South Africa: R683.3bn FMCG spend; units +6.7% in 2025 — real volume recovery (NIQ)
Analyst Take

MENA is one of the few regions where value and volume move together — growth here is spending power, not just inflation. But the region is really two: high-income, premiumization-ready GCC (UAE, KSA), and price-sensitive, discounter-driven North Africa and the Levant.

The structural forces are a young, digitally native consumer base, a Ramadan window that concentrates a fifth of annual sales, and a discounter surge reshaping the shelf from below. Bain's imperatives — rethink the growth algorithm, drive productivity against cost pressure, and redefine AI's role — are the playbook.

What This Means
  • GCC vs. North Africa/Levant are two different competitive briefs — premiumization and hard value coexist
  • A dedicated Ramadan commercial plan isn't optional — 19% of annual sales in one window demands its own playbook
  • Discounters are the key threat signal — branded manufacturers need a discount-channel strategy, not just modern trade
  • South Africa's +6.7% unit growth with 140,000+ traditional-trade outlets makes route-to-market as important as brand spend
What Most People Miss

The market-leadership shift is under-appreciated: Egypt has moved ahead of Saudi Arabia by CPG value after its macro rebound. Portfolio and investment maps built on a GCC-first view of MENA are already out of date.

Read Full Report → Bain + NIQ · 2026
NielsenIQ

Ramadan Drives ~19% of Annual FMCG Sales Across 10 MENA Markets

TL;DR
  • Ramadan generates ~19% of annual FMCG sales across MENA
  • Grocery, Beverages, Dairy, Confectionery = 75% of Ramadan spend
  • NIQ tracks daily data across 10 MENA markets during the period
What This Means
  • Ramadan category planning is a strategic commercial priority, not a cultural footnote
  • E-commerce is now a primary channel in the window — plan omnichannel, not offline-first
Read More →
Bain & Co

MENA Heads to $650bn by 2030 — With Egypt Now Leading

TL;DR
  • MENA CPG projected to reach $650bn by 2030 at 5% CAGR (Bain)
  • Egypt (~$67bn) now edges Saudi Arabia (~$65bn) as the largest market
  • 77% of regional executives are optimistic despite Red Sea and cost pressures
What This Means
  • Re-weight portfolio and investment maps — a GCC-first view of MENA is out of date
  • Productivity is the imperative as Red Sea disruption and commodity costs bite
Read More →
Consumer Behavior
How Shoppers Are Evolving Across the Region
Analyst Callout
MENA is one of the few regions where volume and value grow together — genuine spending power, not just inflation lifting the topline. But premiumization (GCC) and hard value-seeking (Egypt, Morocco, the Levant) coexist, and a discounter surge is reshaping the shelf across both.
Watch in your MENA data: Ramadan vs. non-Ramadan velocity, discounter share by market, e-commerce penetration, and premium-tier performance in GCC vs. North Africa.
NIQ

E-Commerce Hit 30% of Tech & Durables Revenue During Ramadan

NIQ's MENA Ramadan data shows e-commerce at 30% of tech & durables revenue during the period across MENA6 markets. Online is now a primary channel in the region's most important retail window — not a supplement.

NielsenIQRead →
Bain

Cost-Conscious, but Willing to Pay Up on Quality

GCC shoppers trade down on everyday staples while trading up on quality and occasion-driven categories — a dual dynamic unique to the region. The story here isn't trade-down; it's premiumization coexisting with value-seeking.

NIQ South Africa

South Africa: +6.7% Unit Growth Signals Real Volume Recovery

NIQ's State of the Retail Nation documents R683.3bn in FMCG spend with genuine unit growth — real wage gains lifting buying power. Traditional trade, at 140,000+ outlets, is outpacing modern trade and demands dedicated route-to-market.

NielsenIQRead →
Analyst Take — MENA Edition

One region, two playbooks, converging forces

Analyst Take

MENA rewards a two-speed strategy. The GCC is high-income and premiumization-ready; Egypt, Morocco, and the Levant are price-sensitive with fast-expanding discount retail. Both share a young digital consumer base, a Ramadan window worth ~19% of annual sales, and a discounter surge — the challenge is building for both worlds at once.

What This Means
UAE +7.1% and KSA +3.3% value growth make the GCC uniquely valuable for real, non-inflationary gains.
Ramadan at ~19% of annual FMCG sales is a planning imperative with its own commercial playbook.
Egypt overtaking Saudi Arabia by CPG value should reset how portfolios weight the region.
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