And What It Means for Australia’s Next Wave of Executive Hires
A Leadership Shake-Up
The average tenure of a CEO in Australia’s FMCG sector is falling, and fast. Most local CEOs expect to stay in their role for five years or less, and 37% have been in their position for under two years
(Source: PwC Australia CEO Survey, https://www.pwc.com.au/ceo-agenda/ceo-survey.html).
The story is even starker for CFOs in consumer goods, who now average just 3.9 years in role
(Source: Spencer Stuart,
https://www.spencerstuart.com/research-and-insight/ascending-to-the-top-more-australian-cfos-becoming-ceo).
Pressure Builds, Margins Thin
Australia’s consumer goods retailing sector is feeling the pinch. While total revenue reached $247 billion in 2023, growth has slowed to a compound annual rate of just 2.9%
(Source: Consult Group, https://consultgroup.co/top-fmcg-statistics-you-need-to-know-for-2025/).
Woolworths recently reported a 21% drop in net profit — down to $739 million — citing inflation and labour disruptions as key culprits (Source: The Guardian, https://www.theguardian.com/business/2025/feb/26/woolworths-profit-slumps-as-cost-of-living-drives-shoppers-elsewhere).
AI Isn’t the Future, It’s Now
Australian retail and FMCG businesses are embracing AI to survive and differentiate.
91% of businesses across Australia and New Zealand are actively investing in generative AI to improve efficiency and customer engagement
(Source: Retail Doctor Group, https://www.retaildoctor.com.au/rdg-blog/ai-in-australian-retail-2024-sentiment/).
Yet, only 35% of SMEs have adopted it, leaving a large gap in capability and readiness
(Source: Department of Industry, https://www.industry.gov.au/news/exploring-ai-adoption-australian-businesses).
The Pricing Game Has Changed
Australian consumers are demanding value. 95% are open to buying private-label products, with 68% citing cost as the deciding factor
(Source: Shop Association Australia, https://www.shopassociation.org.au/news/research-reveals-rise-private-labels-amid-shifting-consumer-priorities).
In the UK, 66% of consumers say store-brand products meet their needs as well as branded ones, and 38% plan to never switch back
(Source: EY Future Consumer Index, https://www.ey.com/en_gl/newsroom/2024/07/ey-future-consumer-index-consumers-return-to-physical-stores-for-personal-service-even-as-ai-and-tech-revolutionize-online-shopping).
Supply Chain: Still the Weak Link
Digital transformation and localisation have become boardroom priorities.
But a shortage of skilled supply chain professionals is limiting how fast FMCG companies can adopt AI and digital tools
(Source: AFGC, https://afgc.org.au/wp-content/uploads/2025/02/AFGC-x-Argon-Co-Supply-Chain-Survey-Report-2025.pdf).
What It Means for Hiring
Boards aren’t just hiring marketers. They’re hiring tacticians who can play chess with pricing, supply chain risk, and digital transformation.
Executive roles now demand AI fluency, commercial agility, and a readiness to lead through volatility.
The brief has changed: it’s no longer about who can run the business, it’s about who can rebuild it while running it.
