Mid-Year 2025 Food & CPG Outlook

TL;DR: 2025 sales forecasts have been lowered to +1.2% under worsening consumer sentiment, with eCommerce expected to drive all of the industry’s growth. Brands are working to offset tariff costs via alternative sourcing and supply chain productivity first, before considering price increases. Despite muted growth and incremental tariff-related costs, brands remain committed to investments into advertising and innovation.

3 minute read

Log in to download Stratably’s Food & CPG outlook report linked at the bottom

We analyzed recent financial results and management commentary of 30 CPG companies including their revenue growth and profit trends, as well as what they said about elevated tariffs, the consumer backdrop, promotional intensity, marketing spend plans, and innovation. In addition, we developed a CPG Index model that estimates future growth, including comparisons between physical and digital channels.

These 30 CPG companies include representation across packaged foods, beauty, everyday essentials, health and wellness, and pet food. Combined, we estimate these companies will generate over $680 billion in global sales this year, providing us robust insight into the strategies and tactics CPG companies are leveraging and what to expect in the future.

The report is designed to inform those working in the CPG industry by sharing:

• 7 Key Takeaways
• Capabilities Checklist
• 1Q25 Performance Review
• Updated 2025 and 2026 Outlook
• Tariff Impacts on Consumer Behavior, Pricing Plans, and CPG Profitability
• Brand Investments and Strategies with Innovation, Advertising, and Promotions
• Digital Penetration and Digital’s Contribution to Growth

It's a must-read for retail leaders in the Food & CPG space looking for a research-backed, outside review of today’s dynamic landscape and insights into what it will take to outperform in 2025 and beyond.