Steady Growth Is the New Playbook: 92% of CPG Manufacturers Are Focused on Building, Not Buying
Keychain’s CPG Intelligence Report finds Operational Discipline, Customer Growth, and AI Adoption are Defining the Next Generation of CPG Winners
NEW YORK, May 13, 2026 – Consumer packaged goods (CPG) manufacturers are taking a more measured approach to growth in 2026. New research from Keychain, the AI-powered manufacturing platform for the CPG industry, reveals that as economic pressures persist and costs continue to rise, companies are pulling back from aggressive expansion and instead focusing on strengthening their existing operations.
The 2026 CPG Intelligence Report, based on a survey of more than 1,000 U.S.-based CPG manufacturers reveal an industry shift toward sustainable growth, operational efficiency, and technology-driven development.
Operational Expansion Is Outpacing External Growth
Manufacturers are taking a more cautious approach to expansion in 2026, prioritizing stability over quickly scaling. Nearly half (48.6%) of respondents are not entering new international markets and 65.6% don’t expect to open new production facilities. Instead, companies are investing in existing operations:
- 64.8% plan to expand into new channels
- 52% plan to open new production lines
M&A activity remains muted as well, signaling that manufacturers are focused on building long-term value internally rather than pursuing growth through acquisitions or preparing for an exit:
- 91.8% did not purchase any companies
- 91.8% are not planning to sell their company
- 69.3% do not plan to purchase any companies
Companies adding new lines are 2.1x more likely to expect 20%+ growth
Customer Expansion is Driving the Next Wave of Revenue Growth
After a relatively modest 2025, manufacturers are increasingly optimistic about the year ahead. While 21.5% of companies reported declining revenue and 72.8% saw revenue growth of 10% or less in 2025, outlooks for 2026 are more optimistic: 41.6% expec revenue to grow by more than 10%.
Companies are driving that growth through their customers, not outside capital. Nearly all respondents (94.2%) are prioritizing new customer acquisitions, and 71.9% are focused on expanding relationships with existing ones. To win new business, manufacturers are leaning on partnerships and referrals (66.7%), sales and marketing tactics (64.9%), and expanded capabilities (58.3%). More than half (55.6%) of companies don’t plan to raise capital this year, further signaling a shift toward organic, customer-led growth.
AI and Technology Adoption Are Becoming Competitive Necessities
Technology investment is rapidly separating industry leaders from the rest of the market. More than 70% of manufacturers have already deployed, are piloting, or plan to implement AI and advanced automation. Companies embracing these technologies are growing twice as fast as those that aren’t, and the gap is only getting wider.
Software adoption is already widespread, with 84.6% of companies using accounting platforms, 70.2% leveraging inventory management tools, and 58% relying on CRM systems. Looking ahead, more than half (58.5%) of respondents plan on purchasing new software in 2026, primarily to reduce errors (73.9%), lower costs (57.1%), and support compliance needs (50.5%).
Over 50% of manufacturers piloting or deploying AI are expecting greater returns than those who aren’t
Building on technology investments, manufacturers are also proactively trying to gian the competitive edge through certifications. Among the manufacturers adding and pursuing these accolades, 70% say the primary goal is to differentiate themselves from their competitors.
“Growth in the CPG industry is being redefined, and AI is driving the line between the winners and losers,” said Oisin Hanrahan, CEO and Co-Founder of Keychain. “It’s no longer about how quickly manufacturers can scale but instead how effectively they can innovate and optimize their resources.”
The research suggests that the CPG leaders in 2026 will be those who embrace operational stability while proactively pursuing the AI as the .
Methodology
Keychain conducted its 2026 CPG Intelligence Report to examine the strategies, challenges, and priorities shaping the U.S. manufacturing industry.
About Keychain
Keychain is an AI-powered platform for CPG manufacturing that works with brands and retailers to bring clarity and convenience to the process of creating products that consumers love. The company is backed by leading investment firms Lightspeed Venture Partners, BoxGroup, Wellington, SV Angel and industry leaders General Mills, The Hershey Company, Schreiber Foods, and Rich’s Food. Keychain has built a network of over 30,000 manufacturers and over 20,000 brands and retailers. The company’s proprietary, AI-powered platform helps brands quickly find the perfect manufacturing partners. Keychain is headquartered in New York, with offices in Austin, Delhi, and Ireland.
Media Contact
Devin Walsh
devin@haymaker.co
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