India’s FMCG Growth Curve
Q1. Could you start by giving us a brief overview of your professional background, particularly focusing on your expertise in the industry?
I’ve spent close to 15+ years in the FMCG sector, leading sales, marketing, and business transformation across multiple categories — Foods, Non-Foods, and OTC. My journey has been across leading Indian and multinational companies where I’ve had the opportunity to manage diverse portfolios, scale brands, and build high-performance teams across geographies.
Currently, at Patanjali Foods Limited, I lead Sales and Marketing for our Foods, Non-Foods, and OTC businesses, driving growth across general trade and retail channels. Over the years, my focus has consistently been on balancing brand building with execution —
ensuring we connect with consumers’ evolving needs while building scalable, profitable distribution systems.
What keeps me driven is the ability to look at business both from 30,000 feet and at the street level — understanding the pulse of our retailers, distributors, and consumers, and translating that insight into strategy and action.
Q2. How are evolving consumer preferences around health, sustainability, and authenticity shaping FMCG purchase decisions?
The Indian consumer today is far more aware, discerning, and experimental. Health and authenticity are no longer niche conversations — they’re mainstream purchase drivers. Post-pandemic, consumers read labels, question ingredients, and seek transparency in sourcing. They want “trust” more than “claims.”
For instance, in foods, the shift is clear — towards natural, traditional, and immunity-led categories. In personal care, “free-from” and ayurvedic products are outpacing synthetic ones. Sustainability is also gaining ground — from eco-friendly packaging to ethical sourcing.
As FMCG players, we must realign portfolios around “value with values.” It’s no longer enough to offer a good product — it has to reflect a purpose. At Patanjali, our core proposition of purity, swadeshi, and wellness aligns deeply with these evolving preferences.
The next decade will be about “conscious consumption” — where the emotional connect of brand trust will decide the winners.
Q3. How is technology transforming sales planning, demand forecasting, and channel partner engagement?
Technology has become the invisible backbone of FMCG sales. The shift from intuition-led to data-led decision-making is now irreversible. AI-driven demand forecasting, SFA (Sales Force Automation), and predictive analytics have made sales planning more precise and responsive.
For example, using real-time secondary sales data, we can now identify micro-markets with potential, optimize assortment by outlet, and significantly reduce stock-outs.
In terms of channel engagement, digital connect platforms and CRM tools are transforming how we interact with distributors and retailers. We’re no longer just selling to them; we’re co-creating growth through insights, incentives, and real-time communication.
E-commerce and D2C models have further forced traditional players to rethink channel architecture. The future belongs to those who integrate technology with human understanding — not replace one with the other.
Q4. How do you see the overall FMCG market in India evolving in size and value over the next few years? Which categories are expanding the fastest?
India’s FMCG story is an ever-evolving space. Over the next five years, the industry should comfortably grow in high single digits, driven by rising disposable incomes, rural consumption, and increasing urbanization.
In value terms, premiumization will accelerate, especially in foods, health-based products, and personal care. In volume, the rural and semi-urban markets will continue to drive the base.
Categories such as health foods, edible oils, immunity boosters, ayurvedic personal care, and functional beverages will grow faster than traditional segments. Consumers are upgrading — from loose to branded, from generic to specialized, from affordable to aspirational.
The real opportunity lies in creating “mass-premium” propositions that bridge Bharat and India — products that are aspirational yet accessible.
Q5. What’s the approximate share of e-commerce and modern trade in FMCG sales today, and how do you see that evolving?
Currently, modern trade and e-commerce together contribute around 15–20% of overall FMCG sales in India, with e-commerce accounting for roughly 6–8%. This share is likely to double over the next five years.
Modern trade is evolving beyond metros, and regional chains are getting stronger. E-commerce, on the other hand, has democratized access — even in Tier 3 towns, people now shop online. Quick commerce has further changed consumption behavior by adding convenience to immediacy.
However, traditional general trade will remain the backbone, contributing 70–75% of the business. The real challenge and opportunity lie in harmonizing all three — GT, MT, and E-commerce — through an omnichannel lens. FMCG leaders who can integrate physical and digital seamlessly will dominate the next growth curve.
Q6. Are there specific players that have managed to scale rapidly in rural markets or Tier 2/3 cities?
Yes, several Indian players have demonstrated that understanding Bharat deeply pays rich dividends. Brands like Patanjali, Dabur, Emami, and ITC have built extensive rural networks by combining strong distribution with local relevance.
The success formula in rural areas is not just availability — it’s accessibility, affordability, and acceptability. For instance, small packs, local-language communication, and trust-driven brand imagery go a long way.
Patanjali’s growth in Bharat markets is a case in point — we built deep distribution through sub-stockists, leveraged ayurvedic trust, and priced for inclusion. What differentiates the successful players is their consistency in rural investment, not opportunistic focus.
As rural incomes rise and digital penetration deepens, Tier 2 and 3 cities will become the new urban — not in size, but in aspiration.
Q7. If you were an investor looking at companies within the space, what critical question would you pose to their senior management?
I would ask one simple but fundamental question — “What’s your future readiness plan?”
Specifically:
• How are you embedding technology into your sales, supply chain, and consumer engagement?
• What’s your approach to sustainability and brand trust?
• Are your growth engines aligned with the next 100 million consumers—not just the current ones?
• How are you nurturing your people — because culture and capability determine longevity in FMCG?
In this industry, short-term spikes don’t impress me. Consistency does. The companies that will lead are those that combine innovation with execution, data with empathy, and purpose with performance.
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