The 10 biggest FMCG companies in the world are integral to the economy of the world, earning revenues totaling hundreds of billions of dollars while also providing employment opportunities to millions of people.
An FMCG company refers to companies which deal in fast moving consumer goods. What are fast moving consumer goods you wonder? Well, this term is used to refer to goods which are generally sold immediately instead of being stored and are also sold at low costs as well. Generally, such goods include items which are perishable by nature, such as fresh foods and drink, while also dealing with goods which are nondurable by nature such as toiletries and drugs. These goods can be compared with goods of a more permanent nature such as furniture and fittings, which can be kept for a long while before being sold.
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As mentioned earlier, fast moving consumer goods are generally sold immediately instead of being kept either because they are perishable by nature or due to extremely high demand by consumers. This is why toiletries and alcohol, both items which are not necessary to consume immediately, are also counted in fast moving consumer goods. There is little profit to be made on the sale of a fast moving consumer good as margins are often tight. However, because such goods are usually sold in bulk, due to the high volume sales, huge profits are there to be made, a fact which has been recognized and used by the 11 biggest FMCG companies in the world.
These companies are giants in the truest sense of the word, towering above the rest. Their turnover would put many countries to shame, with tens of billions of dollars being child’s play for them. The total number of people they hire is greater than the population of some tiny countries. These are the companies which are household names. It is the dream of millions of people to work for these companies. They are often ranked amongst the top employers in the world as they can very well afford to provide extra benefits to their employees.
To rank the biggest FMCG companies, we considered the primary source of information that denotes how a company is doing, i.e. their revenue. A company’s revenue goes a long way towards indicating its strength in the industry. Furthermore, we also considered the total number of employees hired by each company. We traced the revenue from a report prepared by OC&C Strategy Consultants while Forbes helped us to determine the number of employees hired by each company. For more information on some of the hot FMCG companies, you can visit 5 FMCG stocks to buy now.
Of course, revenue is a far more important indicator of the size of a company, which is why we assigned it 70% weight while determining our rankings with the remaining 30% being allocated to the number of employees.
10. Archer Daniels Midland
Total annual sales in 2014 (in millions): $31,456
Total employees: 33,900
Archer Daniels Midland is a commodities trading and a global food processing giant which boasts an astounding 270 plants in addition to an incredible 420 facilities for crop procurement, making products such as cocoa liquor, cocoa powder, and chocolates. The company has gained its admirers over the years, a fact supported by the Fortune magazine awarding the company the world’s most admired food company award for three straight years, from 2009-2011. In addition to the aforementioned services, it also provides storage for agricultural crops.
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9. Mondelez International
Total annual sales in 2014 (in millions): $34,244
Total employees: 100,000
The company is located in the United States and is responsible for the sale of food, beverages and confectionery. The company, which was established in 2012, is the successor the much beloved and famous Kraft Foods company, whose employees came up with name Mondelez, which is actually a combination of words delicious and the world in the Romance languages. The products produced by the company include but are not limited to biscuits, gum, confectionery, chocolates, and coffee. It has acquired or produced over the years some of the most valuable brands in the food business such as Cadbury and the most popular biscuits in the world, Oreo in addition to Trident Gum and Toblerone chocolate. We’re sure you recognize some if not all of these names. You may even have a few of these items in your house right now as well!
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8. Tyson Foods
Total annual sales in 2014 (in millions): $37,580
Total employees: 124,000
Another US-based fast moving consumer goods company, the company has been operating for over 80 years building its brand slowly but surely. You can gauge the strength of the company by the fact that it is the largest processor as well as a marketer of not just pork but beef and chicken as well, in the entire world, not just the country.
The company has 123 food processing plants, producing a variety of different products such as buffalo wings, chicken tenders, and nuggets. It provides meat to some of the largest food chains in the country, such as Taco Bell, McDonalds, KFC and Wendy’s not to mention Burger King as well.
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7. Coca-Cola
Total annual sales in 2014 (in millions): $45,998
Total employees: 129,200
You may be recognizing a theme to the 11 biggest FMCG companies in the world. These are all companies you have heard of a lot and know about. Coca-Cola is one of the largest beverage companies in the world, as well as one of the oldest, having been established in 1892, based on its flagship drink, the Coca-Cola. The figures regarding this company are astounding, to say the least. It employs over 90,000 people and around 1.6 billion servings of Coke are provided each day. The company is established in nearly every country in the world while providing over 350 different brands. It is also famous for its creative and innovative ads, which should come as no surprise considering the company spends billions on just advertising alone.
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6. Anheuser-Busch InBev
Total annual sales in 2014 (in millions): $47,063
Total employees: 154,029
The world’s largest brewery had to have a position in this ranking, what with holding a 25% global market share. Three international brewing groups, from the United States, Belgium and Brazil combined to form this company, whose headquarters are located in Belgium. The company has over 200 brands, with 16 of these brands, including the likes of Budweiser, earn over $1 billion each themselves. It has the highest market share in 7 countries, namely Canada, Brazil, Mexico, Argentina, United States, South Korea and Belgium.
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5. JBS
Total annual sales in 2014 (in millions): $49,102
Total employees: 216,693
One of the few companies on this list not based in the United States, this Brazilian company was named after its founder, Jose Batista Sobrinho. The main business of this company is to process meat, which it practices in its 150 industrial plants scattered around the globe.
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4. Unilever
Total annual sales in 2014 (in millions): $66,135
Total employees: 173,000
A brand that has been revered for decades, Unilever is an Anglo-Dutch company which deals in consumer goods internationally. Like most conglomerates, Unilever has hundreds of brands, though it has ensured its focus remains on its 14 brands which earn over 1 billion Euros each year. It has 4 research and development facilities globally where new products are researched and current products are improved even further.
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3. Procter & Gamble
Total annual sales in 2014 (in millions): $83,062
Total employees: 118,000
Another renowned brand throughout the globe, Procter & Gamble is a consumer goods company which is based in the United States. While the company also had hundreds of brands initially, it recently announced plans to drop most of the brands and focus on the 65 brands which manage to generate around 95% of the company’s revenue. It is one of the most selective companies in the world, which hires around 1% of its total applicants.
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2. PepsiCo
Total annual sales in 2014 (in millions): $66,683
Total employees: 271,000
Founded right around the time when Coca-Cola was emerging as the king of beverages. The legendary rivalry has spanned over a century and has seen Pepsi launch dozens of brands, of which 22 brands generate over $1 billion each. A quarter of a million employees are required to generate the massive revenue for the company.
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1. Nestle
Total annual sales in 2014 (in millions): $93,570
Total employees: 339,000
Located in Switzerland, Nestle is the largest food company in the entire world, producing some of the most famous brands in the world, such as Kitkat, Nescafe, and Maggi. Of course, it has been the course of several major controversies such as child labor in developing nations but it has still earned its place in the 11 biggest FMCG companies in the world.
