Consumer packaged goods (CPG) companies are facing a unique set of circumstances in the current inflationary environment. Inflation has a larger impact for the CPG industry compared to other industries given the reliance on numerous commodities (like corn and soybeans) that have seen prices increase dramatically over the past year.
The inflationary pressure on inputs means that margin pressure for CPG companies looks likely. Most CPG companies have announced some price increases, and the rise in lower-priced private label alternatives that will limit the amount of the rising input costs that can be offset. Saving on freight spend is one way to alleviate some of the margin pressure CPG companies are facing since costs can’t be directly passed through to consumers.
The free white paper, Mo’ inflation, mo’ problems for CPG companies, shows how FreightWaves’ SONAR and SONAR Supply Chain Intelligence platforms assist CPG companies to save money on transportation spend, de-risk from market conditions and benchmark against the competition. Data sets within the platforms allow CPG companies to:
- Use data from electronic tenders and carrier surveys to assist in negotiations with carriers and 3PLs
- Benchmark contract rates against the overall market as well as industry peers
- Understand where intermodal conversion makes sense as well as saves money compared to truckload
Download the free white paper to understand how FreightWaves’ SONAR and SONAR Supply Chain Intelligence platforms will increase freight market knowledge and allow for lower freight costs across CPG supply chains.