Latest news with #RooseveltDsouza
Hans India
14-08-2025
- Business
- Hans India
Rural demand remains robust in India in April-June, outlook optimistic: Report
New Delhi: Easing inflation and favourable monsoon boosted rural demand in India in the April-June period this year, outpacing urban consumption once again, according to a new report. According to the report by global research firm NielsenIQ, rural markets and small manufacturers propelled the packaged consumer goods sector in Q2 2025. Rural markets grew twice as fast as cities, as urban areas showed signs of recovery, particularly in smaller towns. According to the report, e-commerce also rose significantly, led by increased shopper penetration and spending, especially in home and personal care. Home and personal care (HPC) volume growth continues to grow faster than food categories and small players are expanding faster than FMCG consumption. Sharang Pant, head of FMCG customer success at NielsenIQ, said that with inflation easing and a favourable monsoon forecast, the outlook for consumption remains optimistic. While urban recovery is gaining traction, particularly in smaller towns, rural demand remains the cornerstone of volume expansion, he added. Sales in Q2 2025 grew 13.9 per cent by value from a year earlier, up from 11 per cent in the previous quarter. In Q1 2025 (January-March period), the Indian FMCG industry achieved a 11 percent year-on-year growth. Consumption-driven demand was attributed to a 5.1 per cent rise in volume with a 5.6 per cent increase in prices. A higher unit growth than volume growth indicates preference shift towards smaller packs in consumers. 'Interestingly, small players are gaining more ground due to a low base and changing market dynamics, though their long-term momentum remains to be seen,' Roosevelt Dsouza, APAC Head of Customer Success – FMCG, NielsenIQ India, had said. According to the Reserve Bank of India (RBI), private consumption, aided by rural demand, and fixed investment, supported by buoyant government capex, continue to boost economic activity. 'The above normal southwest monsoon, lower inflation, rising capacity utilisation and congenial financial conditions continue to support domestic economic activity. The supportive monetary, regulatory and fiscal policies including robust government capital expenditure should also boost demand,' said RBI Governor Sanjay Malhotra after the MPC meeting last week.
Mint
26-06-2025
- Business
- Mint
Finger on the Pulse: How a word-of-mouth candy brand made a ₹750-crore dent in the market
New Delhi: A decade-old hard-boiled candy brand has crossed ₹750 crore in annual revenue, making it the best-selling candy brand in India, its parent company said on Thursday. Pulse, a tangy candy, was launched in 2015 by Noida-based Dharampal Satyapal Group (DS Group). Demand for the ₹1 sweet spread like wildfire in the early days as word-of-mouth kicked in. In FY25, 7.5 billion of the candies were sold, bringing in ₹750 crore of revenue, DS Group said. Pulse currently holds a 19% share of India's ₹4,000-crore hard-boiled candy market, according to DS Group. It competes with the likes of Perfetti Van Melle's Alpenliebe and ITC's Candyman brands of confectionery, apart from Parle Products' candy brands such as Melody, and those sold by Mondelez. 'Over the past three fiscal years, Pulse has registered an impressive compound annual growth rate (CAGR) of 15% against a CAGR of 9% in the hard-boiled candy segment. This consistent growth in revenue highlights the brand's strong pull across both urban and rural markets, especially when the broader market dynamics have not been as buoyant," the company said. India's overall confectionery market was worth worth ₹14,800-crore as of May, according to data from NIQ. The category posted 8% value growth in FY25, signalling continued resilience and consumer demand, NIQ said. "This growth has been predominantly driven by increased consumption, with medium and large manufacturers playing a significant role. Hard boiled candies (HBC) and toffees remains the dominant segment with a double-digit growth," said Roosevelt Dsouza, head of customer success, India, NielsenIQ. Going viral Pulse is sold at 35 lakh outlets across India. The candy, initially launched in raw mango flavour, appeals to people across age groups. Its taste is suited to Indian palates, and it's one of many similar products that use Indian flavours such as jeera, tamarind, local spices, and mango. Over the years, it has been launched in more flavours as guava, orange, pineapple and litchi, and new formats such as 'shots' in the original raw-mango flavour. In the initial years after its launch, Pulse candy prioritised a robust distribution thrust, focusing on both expansion and deeper market penetration. 'Advertising has played a very little role for the brand. We are only doing activities that connect with our consumers. The typical role of marketing is not required," Rajiv Kumar, vice chairman, DS Group, said in an interview with Mint. The DS Group also sells brands such as Catch spices and Chingles candy, apart from Pass Pass and Rajnigandh mouth fresheners. Two years ago it acquired the LuvIt brand of chocolates and confectionery. The company aims to achieve ₹5,000 crore in revenue for its confectionery segment by 2029. It crossed ₹1,000 crore in FY25, Kumar said. What's next for Pulse? The company will continue to expand the Pulse brand to other categories and formats, Kumar said. It recently launched a sugar-free variant and a tamarind flavour under the brand. It already sells formats such as jelly and soft chews. The company briefly launched tangy beverages under the Pulse brand but rolled it back, citing a lack of product-market fit. 'It is among the most distributed brands in India. We continue to grow, as India has 1.5 crore outlets, giving us a large headroom. It is a category based on distribution. We did not advertise but promoted the product at retail stores. Word of mouth has given us mileage," he said. The brand is also distributed in select overseas markets. Citing high raw-material prices that make it hard for candy-makers to sustain the ₹1 price, Jain said the company was working towards upgrading consumers to ₹5. 'It's a price-up strategy—we are trying migrate customer from ₹1 to ₹5 and Rs10 multi-packs. ₹1 still remains a dominant part of the sale of the brand," he said.
Time of India
08-05-2025
- Business
- Time of India
Rural India's consumer demand outpaces urban areas for fifth straight quarter, NielsenIQ says
HighlightsIndia's consumer goods sector experienced an 11 percent growth in value in the March quarter, with rural areas outpacing urban growth for the fifth consecutive quarter, according to market research firm NielsenIQ. Rural consumption growth, although slowing to 8.4 percent in the March quarter, still surpassed urban demand growth, which was recorded at 2.6 percent. Consumer goods manufacturer Marico reported fourth-quarter profits exceeding analysts' expectations, driven by improved rural demand and price increases, while larger companies like Hindustan Unilever and Nestle India faced weaker profits. India's consumer goods sector reported an 11 per cent growth in value in the March quarter, as rural growth outpaced that in urban areas for the fifth straight quarter, market research firm NielsenIQ said on Thursday. Rural areas - which account for just over a third of overall consumer goods sales - have become a bright spot for an industry that is struggling with higher living costs and slow wage growth in large cities. "Rural markets continue to drive growth, whereas urban metros continue to see a shift toward E-commerce," Roosevelt Dsouza, head of customer success for consumer goods at NielsenIQ, said. Although rural consumption growth slowed in the March quarter, with volumes rising 8.4 per cent compared to 9.2 per cent in the previous three months, it still outpaced urban demand, where growth decelerated to 2.6 per cent from 4.2 per cent . Price increases also contributed to the overall value growth, with the cost of staples such as edible oil rising 5.6 per cent during the quarter, compared with just 0.3 per cent in the same period a year ago. Low base, rural growth, and easing inflation are helping smaller players, which saw 17.8 per cent growth in value, outpacing the broader FMCG market, the report said. Indian consumer goods maker Marico reported fourth-quarter profit above analysts' expectations, boosted by improving rural demand and price increases for its key packaged oil brands-underscoring the strength of non-urban markets. The company also said it plans to expand its presence in villages across India. Smaller manufacturers are driving consumption compared to larger players, whose volume growth has halved compared to the December quarter, NielsenIQ said. Hindustan Unilever and Nestle India reported weaker fourth-quarter profits, with Hindustan Unilever cutting its margin forecast amid high commodity costs and sluggish urban demand. Going ahead, NielsenIQ said revised tax slabs and a favorable monsoon forecast could further lift consumption in the coming quarters.
Mint
08-05-2025
- Business
- Mint
India's FMCG industry clocks 11% growth in March quarter on higher edible oil prices
The Indian fast-moving consumer goods (FMCG) industry reported 11% year-on-year value growth in the March quarter, driven by a 5.1% volume increase and a 5.6% price hike, according to NielsenIQ. While overall inflation is easing, high edible oil prices are keeping the basket of staples expensive, resulting in higher value growth. But higher unit growth compared to volume growth suggests consumers are choosing smaller pack sizes. "The FMCG sector is showing mixed signals—while volume growth is slowing across categories, non-food segments are still outpacing food. Inflation is easing overall, but high edible oil prices are keeping staples expensive,' said Roosevelt Dsouza, head of customer success, FMCG, NielsenIQ India. Rural markets continue to drive growth, while metros continue to see a shift toward e-commerce, with higher shopper engagement. Dsouza said with a favourable monsoon forecast and revised tax slabs, consumption is likely to pick up in the upcoming quarters. Interestingly, small players are gaining ground owing to a low base and changing market dynamics, though their long-term momentum remains to be seen, he added. NIQ follows a January-to-December year. Although rural demand growth slowed slightly in the March quarter compared to the previous one, it still significantly outpaced urban demand, expanding four times faster. Urban market growth decelerated in the March quarter. Rural markets saw an 8.4% volume increase, a slight dip from the December quarter. In contrast, urban market volume growth slumped to 2.6% year-on-year, declining both sequentially and annually. Across most of India, rural markets continued to perform better than their urban counterparts. Large consumer goods companies, which act like proxies for household consumption, have shared similar views in recent earnings calls. Last week Hindustan Unilever Ltd (HUL) pointed to a recovery in rural markets. These markets have been 'resilient and robust' over the last few quarters, Rohit Jawa, CEO and managing director, HUL, said after the company's earnings call last week. 'Monsoons have been good, projections have been decent, reservoirs are full, and agri output is strong. We believe this will be an important trigger, given companies like ours have a large rural portfolio. Urban demand has been subdued in recent quarters, but macro tailwinds are building,' he added. NIQ data revealed that food consumption growth slowed to 4.9% in Q1 2025 from 6% in Q4 2024, primarily due to decreased volumes in staple categories such as edible oils and palm oil, which saw prices increase. The home and personal care (HPC) category saw consumption growth of 5.7% in Q1 2025, with higher demand in rural areas, NIQ noted. Meanwhile, small manufacturers are leading the way in driving consumption, supported by steady volume growth in both the food and HPC categories. In contrast, larger players are seeing slower volume growth, which has halved from the December quarter of 2024. A low base, rural growth, and easing inflation are helping small players outpace overall FMCG growth, NIQ said. The popularity of e-commerce, including quick commerce, was felt across trade channels during the March quarter, with both modern trade and traditional trade reporting a sequential slump in volumes. Traditional trade volumes increased to 6.2% in Q1 2025 from 5% in Q1 2024, but declined versus the December quarter. Modern trade volumes were down 3.3% year-on-year. E-commerce continues to strengthen its presence significantly in eight metros, hitting the share of offline channels. Both modern and traditional trade saw their share decline in the March quarter. Traditional trade reported a 1.5% year-on-year decline in overall share of FMCG trade to 62.5%, while the share of modern trade slumped 2.8% from a year ago. This growth was on account of increasing online shopper penetration, more purchase occasions, and increasing basket sizes (more units purchased per shopper), NIQ said. E-commerce is increasingly contributing to the revenue of major FMCG companies, with this trend accelerating each quarter. For Nestle India, e-commerce, largely driven by quick commerce, constituted 8.5% of its domestic sales for the financial year ending 31 March 2025.
Reuters
08-05-2025
- Business
- Reuters
Rural India's consumer demand outpaces urban areas for fifth straight quarter, NielsenIQ says
May 8 (Reuters) - India's consumer goods sector reported an 11% growth in value in the March quarter, as rural growth outpaced that in urban areas for the fifth straight quarter, market research firm NielsenIQ said on Thursday. Rural areas - which account for just over a third of overall consumer goods sales - have become a bright spot for an industry that is struggling with higher living costs and slow wage growth in large cities. "Rural markets continue to drive growth, whereas urban metros continue to see a shift toward E-commerce," Roosevelt Dsouza, head of customer success for consumer goods at NielsenIQ, said. Although rural consumption growth slowed in the March quarter, with volumes rising 8.4% compared to 9.2% in the previous three months, it still outpaced urban demand, where growth decelerated to 2.6% from 4.2%. Price increases also contributed to the overall value growth, with the cost of staples such as edible oil rising 5.6% during the quarter, compared with just 0.3% in the same period a year ago. Low base, rural growth, and easing inflation are helping smaller players, which saw 17.8% growth in value, outpacing the broader FMCG market, the report said. Indian consumer goods maker Marico ( opens new tab reported fourth-quarter profit above analysts' expectations, boosted by improving rural demand and price increases for its key packaged oil brands—underscoring the strength of non-urban markets. The company also said it plans to expand its presence in villages across India. Smaller manufacturers are driving consumption compared to larger players, whose volume growth has halved compared to the December quarter, NielsenIQ said. Hindustan Unilever ( opens new tab and Nestle India ( opens new tab reported weaker fourth-quarter profits, with Hindustan Unilever cutting its margin forecast amid high commodity costs and sluggish urban demand. Going ahead, NielsenIQ said revised tax slabs and a favorable monsoon forecast could further lift consumption in the coming quarters.
