Next-Generation Commerce: 75 Startups Reshaping How And Where We Buy Consumer Goods

E-commerce represents just 7% of retail sales in the US market, but it has grown consistently, and it’s just one of many new points of product distribution that consumer packaged goods companies need to be considering. Others include concierge and on-demand delivery services, home automation platforms, point-of-sale marketing, and more. In some cases, the individual consumer is giving up control of the ultimate brand selection to these services, in favor of convenience. This dynamic challenges CPG companies accustomed to traditional retail partners and in-store marketing.

We used CB Insights data to map out the many different companies that are reshaping the future of distribution, consumer decision-making, and buying behavior around consumer packaged goods. For an explanation of each category, see below. 

Areas Within CPG Distribution

• E-Commerce Distribution – Typical web and mobile platforms that allow users to create shopping carts and buy goods. As of Q4’15, e-commerce represents 7.5% of total retail sales in the US market.
• Retail Experience – Startups that are working with traditional retailers to interact with customers while they’re in the store. Some companies push relevant coupons at the point-of-sale, others use technology to track and analyze user behavior within the store.
• Influencer Networks – Thanks to social media, more and more people are developing followings with people who trust their recommendations. These startups connect brands with relevant influencers targeting demographics that they care about across a variety of social platforms (like Snapchat, Vine, Instagram, Youtube, etc.)
• Promotions – Deals and coupon sites that allow people to buy goods at cheaper prices
• Subscription – Companies that ship products directly to consumers at regular time intervals. They avoid retail networks, highly curated selections, and have predictable revenue and demand.
• Office 2.0 – Companies that help offices managers while controlling both inventory and cleaning as well as wholesale distribution to businesses. These services could control which snacks and cleaning products go to offices.
• On-Demand Cleaning – Outsourced cleaners, which could determine which home care and cleaning products are used as more people outsource this task
• Connected At Home – Companies that make your home smarter, which often create devices that are a point-of-sale in and of themselves. In the future, you can interact with your smart home to reorder materials as you realize that supply is low.
• Concierge Services/Programmatic Commerce – Companies that outsource shopping and tasks using virtual and human assistants. These companies separate the buyer from the end consumer.

A full list of the startups can be found below: 

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