Kellogg aims to double its India business in the next 4-5 years
Company focusing on strengthening the breakfast cereals category presence in not just the metros, but smaller towns and cities too.
Packaged food major Kellogg India aims to double its business in the next four-five years. The company said it is focusing on strengthening the breakfast cereals category presence in not just the metros, but smaller towns and cities too.
Prashant Peres, MD, Kellogg South Asia, told BusinessLine, “India is going through a very interesting inflection point as far as consumers are concerned, as the awareness and need for nutrition and nourishment is at heightened levels especially due to the pandemic. So our vision is to convert the strong equity that we have as a brand to double the size of the India business in the next four-five years. We want to do this by making the breakfast cereals and breakfast offerings the fastest-growing packaged food category in India.”
Peres took over the role of MD for India and South Asia markets at Kellogg in February and has been tasked with steering the company’s future growth.
Responding to a query on the expansion opportunities in the country, he said, ”The category has really been more urban and metro-centric. So our focus is definitely to expand the category in smaller towns and cities beyond the urban regions. At the same time, we are also tapping into growth opportunities within metros and urban regions to get more consumers to the category’s fold.”
The company, which is known for products such as Kellogg’s Corn Flakes, Muesli and Choco Fills, has also been experimenting in the Indian breakfast space in recent times with Kellogg’s Upma in Andhra Pradesh and Telangana. Last year, it also expanded its India portfolio with the addition of its global brand Froot Loops.
“Our core categories will continue to be the key growth-drivers for us in India for the foreseeable future. At the same time, we see growth opportunities in the savoury and the Indian breakfast space as well. We have been getting great feedback for our Upma product. We will continue to test and experiment to keep ourselves ready to enter new spaces,” he added.
Responding to a query on the impact of inflationary pressure, he said that inflationary pressure is visible across the board from freight to raw materials and packaging costs. “We have tightened our belt across the supply chain to optimise costs. We have been taking price hikes in smaller tranches to ensure consumers are not burdened. At the same time, we have kept prices of our smaller packs at ₹10 and ₹20 untouched.”