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It’s 2026, and it’s time for a big

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conversation about what’s really going on in the

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consumer products industry.

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Change is coming fast, right?

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Major shifts like de-globalization and AI, they’re

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hitting the industry at speed.

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And once-accepted truths like the need for

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breadth, scale, and optimization are being overcome by

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the increased need for focus, speed, and agility.

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To get this big conversation started, we combined

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Deloitte experience with a survey of 300 executives

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from top brands in food and beverages, household

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goods, beauty, and personal care.

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The result?

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Seven provocative ideas for where the industry is

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headed next.

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Number one, consumers had better see more value.

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Many consumers just don’t feel like they’re getting

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enough value for the prices they pay, creating

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a headwind for the industry.

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Deloitte research shows when consumers perceive brands falling

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short on delivering the value they expect, they

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shift their spending to those providing more value

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for price, or as we call them, MVP

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brands.

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Most of the executives we surveyed think this

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value-seeking behavior is here to stay.

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And 77% of respondents say their 2026

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innovation investments will primarily focus on products that

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appeal to value-seeking consumers.

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Number two, in a less stable world, nimble

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beats optimal.

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Most consumer packaged goods companies were built for

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steady times when globalization meant growth.

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Now, they may be feeling strained from deglobalization.

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All of the executives in our survey say

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they are taking at least one adaptive action

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to navigate the evolving trade landscape.

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They’re doing things like making more products domestically

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and adjusting their product mix to reduce exposure

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to policy-affected inputs.

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The nimble ones, those companies that can shift

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quickly, even if imperfectly, may have the upper

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hand.

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Number three, focus looks better than breadth.

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Going forward, the executives we surveyed essentially say

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that aisle-spanning conglomerates are out and more

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focused companies are in.

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In fact, 85% of the executives we

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surveyed think the most successful CPG companies will

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be those with more focused portfolios.

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Leading CPGs appear to be creating value through

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divestment and doubling down on high-growth categories.

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Why?

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For most, it’s about making things simpler and

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more efficient with faster innovation cycles.

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Number four, structures will simplify.

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Seventy-four percent of the executives we surveyed said

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they are looking to simplify their organizational structures.

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Today’s silos, whether by function or region, can

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add complexity.

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These executives indicate that AI may be able

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to help organizations reduce management layers and boost

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speed and agility.

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And as it turns out, organizational simplicity may

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be required for AI to get the centralized

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data and process integration it needs to fuel

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its insights.

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Number five, growth is decoupling from hiring.

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It appears investors no longer see job cuts

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as a red flag or hiring as a

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sign of growth.

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Instead, the expectation is for digital-driven productivity.

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Boosting productivity doesn’t have to mean layoffs, though.

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In fact, in our survey, those expecting the

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biggest productivity gains in 2026 were least likely

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to expect layoffs.

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As AI takes over routine tasks, it may

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free people to become the source of creativity,

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judgment, and accountable risk-taking in their new

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roles, providing those companies with the highest productivity

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and value by keeping them around.

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Number six, value chains are up for renegotiation.

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Three out of 4 executives we surveyed say

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the relationship between consumer brands and retailers is

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really shifting.

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Seventy-nine percent of respondents expect retailers to gain

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more power over the next few years, as

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some retailers do things like expand their private

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labels and utilize their position in the value

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chain to capture consumer data.

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The good news?

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Most CPGs say they are finding success in

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the retailer collaborations they do have, like those

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involving data-sharing, joint innovation, or joint business

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planning.

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They just likely need to find even more

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new and better ways of working together.

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And finally, number seven, agentic supply will confront

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agentic demand.

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Ninety-two percent of the executives we surveyed said

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they plan to deploy AI agents or autonomous

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systems to execute key processes in the next

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12 months.

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AI is helping these CPG companies launch products

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and market them faster than ever.

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But guess what?

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Shoppers are using AI too, flipping the script

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on how products are discovered and purchased.

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The agentic commerce race is on to be

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the brands that stand out for both humans

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and the bots shopping right alongside of them.

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Use these seven provocations to get the big

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conversation started at your company and learn more

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about each of them by reading our 2026

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Consumer Products Industry Global Outlook on Deloitte Insights.