Practical thinking on margin recovery, pricing intelligence, and commercial strategy for businesses navigating inflationary markets.
How Nigerian FMCG operators should think about price elasticity in an inflationary market - what it actually measures, why most companies guess wrong, and how to build a working elasticity view of your portfolio without a six-month consulting engagement.
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Most FMCG companies know their margins are under pressure. Fewer can name exactly where the leakage is happening. These five diagnostic signals separate companies that are managing inflation from companies that are absorbing it.
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Trade credit looks free on the invoice. It isn't. Learn how to calculate the true financing cost of your distributor payment terms and find the channels quietly destroying your margin.
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Most businesses absorb more inflation than they recover. Learn how to calculate your cost pass-through rate, benchmark it against industry leaders, and identify which products are bleeding your portfolio.
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Nigerian FMCG companies are defending prices set in a different cost environment. An RRP floor gives you a defensible minimum price for every SKU - grounded in costs, calibrated against competitors, and tested against what consumers will actually pay.
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Most Nigerian FMCG companies recover only 35-45% of input cost inflation through pricing. The benchmark among market leaders is 70-75%. The gap is recoverable - but only with SKU-level visibility.
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