CONNECT WITH US
eCommerce

eCommerce

Global FMCG giants find an Indian answer to their Western slowdown

ET Retail – Ecommerce logo

Published on

Add as a preferred source on Google
Global FMCG giants find an Indian answer to their Western slowdown

Global consumer giants including PepsiCo, Nestle, Unilever, Pernod Ricard and Coca-Cola are increasingly looking to India for growth as demand slows in the US and Europe. Companies are betting on premiumisation, wider distribution and fast-growing channels such as ecommerce and quick commerce, with several reporting stronger momentum in India than in developed markets.

Share Icon Copy Link Share on Whatsapp Share on Linkedin Share on X Share on Telegram Share on Facebook

New Delhi | Mumbai: More than a dozen global consumer chiefs including those of Coca-Cola, L'Oreal and Pernod Ricard have called out India as a crucial growth market to push expansion and investments at a time when home markets of the US and Europe underperform.

In their earnings calls for the July-September quarter, Nestle, Unilever, Reckitt, PepsiCo, Danone and Heineken among others said they are looking to capitalise on demand for premium products, expand distribution and tap emerging sales channels, including ecommerce and quick commerce, in India.

The optimism comes despite recent headwinds such as inflation-led slowing of sales across various consumer categories.

New York-based PepsiCo highlighted its India unit's performance across convenient foods and beverages during the quarter, even as it lagged in its home market of North America.

Chairman Ramon Laguarta said the quarter marked "a strategic shift towards international markets and faster-growing parts of the company's portfolio."

While acknowledging that the maker of Pepsi cola and Lay's chips "still has work to do in North America" as it lowered its earnings outlook, Laguarta said: "We are encouraged by the trajectory of our international business and its long runway for growth."


Source link
Related Topics:eCommerce

Disclaimer

We strive to uphold the highest ethical standards in all of our reporting and coverage. We TheMorningPulse.fyi want to be transparent with our readers about any potential conflicts of interest that may arise in our work. It's possible that some of the investors we feature may have connections to other businesses, including competitors or companies we write about. However, we want to assure our readers that this will not have any impact on the integrity or impartiality of our reporting. We are committed to delivering accurate, unbiased news and information to our audience, and we will continue to uphold our ethics and principles in all of our work. Thank you for your trust and support.