Latest news with #YogaBar
Time of India
18 hours ago
- Business
- Time of India
ITC's growth recipe for food business is about strategic takeovers
Tired of too many ads? Remove Ads Tired of too many ads? Remove Ads After acquiring Yoga Bar and 24 Mantra Organic ITC Foods is now placing greater emphasis on strategic takeovers to speed up its expansion, enter fast-growing categories quickly, and cater to increasing consumer demand for healthier, more indulgent, convenient, and premium food options . Hemant Malik, executive director of ITC , told The Times of India that the approach is part of the company's broader 'ITC Next' strategy, which positions value-accretive acquisitions as a key driver of navigate the challenges posed by slow urban demand, weak household incomes, and high inflation, ITC plans to use both brownfield and greenfield investments. During the financial year, the company said it faced strong inflationary pressure on edible oil, wheat, maida, cocoa, and packaging materials. These pressures were partly handled through internal cost management, price adjustments, and a push towards selling more premium said he believes the premium category will grow at 'at least twice the pace of the overall FMCG business .' He said, 'We are creating offerings for the health-seeking new India, growing per capita India, Gen Z, as well as consumers seeking richer and new experiences. Many of them would have premium pricing. It's all about providing the right value to the consumers... Premium is not limited only to metros; there are premium customers across the country.'Currently, around 30% of ITC's food portfolio consists of premium products. The company's shift towards this higher-end segment appears to be working. In the financial year 2024-25, revenue from packaged foods rose by nearly 28% to ₹21,982 said health-focused products are emerging as the biggest growth driver. 'Health is the fastest growing segment for us, growing at 400 times that of the remaining foods business. We're also keeping a close watch on emerging consumer needs - whether it's health, nutrition, convenience, or indulgence. These trends shape how we evolve our portfolio and explore new categories. We are creating a lot of new products based on evolving consumer needs, for every life stage or cohort,' he to Malik, ITC sees significant scope for growth in the food segment, since a large portion of the market is still unbranded.
Time of India
a day ago
- Business
- Time of India
ITC bets on buyouts to grow food business
NEW DELHI: After the recent acquisitions of Yoga Bar and 24 Mantra Organic, ITC Foods is sharpening its focus on strategic takeovers to accelerate growth, gain rapid entry into high-potential categories, and align with consumer preferences for health, indulgence, convenience, and premium offerings. Tired of too many ads? go ad free now This move aligns with the 'ITC Next' strategy, which prioritises value-accretive acquisitions as a core expansion driver, Hemant Malik, executive director, ITC, told TOI. The company plans to drive growth through a combination of brownfield and greenfield investments, navigating challenges of subdued urban consumption amid weak household incomes and spiralling inflation. During the year, there was severe inflationary pressure in edible oil, wheat, maida, cocoa, and packaging inputs, which, the company said, was partially mitigated through cost management initiatives, calibrated pricing actions, and a strategic push towards premiumisation. Malik expects the premium category to grow at least twice the pace of the overall FMCG business. "We are creating offerings for the health-seeking new India, growing per capita India, Gen Z, as well as consumers seeking richer and new experiences. Many of them would have premium pricing. It's all about providing the right value to the consumers... Premium is not limited only to metros; there are premium customers across the country," he said. At present, around 30% of the ITC portfolio is premium products. The strategy seems to be paying off. ITC's revenue from packaged foods increased nearly 28% to Rs 21,982 crore in FY24-25. "Health is the fastest growing segment for us, growing at 400 times that of the remaining foods business. We're also keeping a close watch on emerging consumer needs - whether it's health, nutrition, convenience, or indulgence. These trends shape how we evolve our portfolio and explore new categories. We are creating a lot of new products based on evolving consumer needs, for every life stage or cohort," Malik said. The food category still has significant headroom for growth - especially since a large part of it remains unbranded, according to Malik.
