Perspectives on retail and consumer goods Number 4, Autumn 2015 Perspectives on retail and Editor McKinsey Practice consumer goods is written by Monica Toriello Publications experts and practitioners in McKinsey & Company’s Retail Contributing Editor Editor-in-Chief and Consumer Packaged Caitlin Gallagher Lucia Rahilly Goods practices, along with other McKinsey colleagues. Art Direction and Design Executive Editors Hil Albuquerque, Nicole Michael T. Borruso, Allan Gold, To send comments or request Esquerre Bill Javetski, Mark Staples copies, e-mail us: Consumer_
[email protected] Editorial Production Copyright © 2015 McKinsey & Runa Arora, Elizabeth Company. All rights reserved. Editorial Board Brown, Heather Byer, Klaus Behrenbeck, Peter Torea Frey, Heather Gross, This publication is not intended Breuer, Peter Child, Sandrine Katya Petriwsky, John C. to be used as the basis for Devillard, Dennis Martinis, Sanchez, Dana Sand, trading in the shares of any Jørgen Rugholm, Frank Sneha Vats company or for undertaking Sänger, Tobias Wachinger, any other complex or significant Anja Weissgerber Managing Editors financial transaction without Michael T. Borruso, Venetia consulting appropriate Senior Content Manager Simcock professional advisers. Tobias Wachinger Cover Illustration No part of this publication may Project and Content Keiko Morimoto be copied or redistributed Manager in any form without the prior Anja Weissgerber written consent of McKinsey & Company. Table of contents 4 12 16 28 Modern grocery and Amazon China’s president Winning in Africa’s Becoming a regional the emerging-market on ‘transformative’ consumer market powerhouse in food consumer: A complicated technologies For consumer-goods retailing courtship Doug Gurr reflects on how companies, Africa holds Croatian conglomerate In some emerging markets, China differs from Western much promise—but also Agrokor is the top grocery the response to modern markets and what role data many pitfalls.