Warc, 2 August 2013
NEW DELHI: Chocolate consumption is rising dramatically in
India, a shift benefiting brand owners like Mars and retailers such as Food
Bazaar and Spencer's Retail.
Figures from Mars International India show 29% of people
eating chocolate in the country are 13-19 year olds, while 23% were 20-25 years
old, a total hitting 19% for 26-30 year olds and 30% for 30-40 year olds.
The company's research also found that 24% ate a bar of
chocolate for relaxation. Hunger posted 23% on this measure, the same score as
sharing, and ahead of rejuvenation on 14% and indulgence on 11%.
"Over the years, change in consumers' preferences,
eating habits and their global exposure has given a boost to the chocolate
industry," MV Natarajan, managing director, chocolate, Mars International
India, told the Economic Times.
"Chocolates are now considered a fun-to-eat snack
rather than occasional luxuries and an important item in consumers' grocery
baskets."
Wider developments in the market are also making an impact.
Spencer's Retail, the general merchandise chain, derives almost 20% of
chocolate sales from adults, and believes this trend should gain further ground
in future.
More broadly, Mohit Kampani, the firm's president and chief
executive, expects per capita consumption could rise from 40g per person in
2005 to 120g in 2013.
TechSci Research, the insights provider, has predicted that
India's chocolate category will record a compound annual growth rate of 21%
from 2013 to 2018, when its value is pegged to surpass $3.2bn.
Devendra Chawla, president of Food Bazaar, a unit of Future
Group, reported that dark chocolate is the market segment enjoying the
strongest uptick in demand, doubling the overall growth rate in the last six
months.
"Actually, a reverse category creation is happening
with more Indians eating out where they complete their meal with a
dessert," he added. "Several Indian homes now have chocolates as
dessert which increases the frequency of consumption."
Parle recently relaunched its Kismi toffee line based around
the theme of romance, and Nestle introduced a dark chocolate offering designed
for India.
Mondelez International also rolled out Toblerone and Lindt
in India in 2012. Ferrero Rocher is the market leader, and is - like most major
players - seeking to expand its reach into kiranas, or neighbourhood retail
store.
ITC's Minto Ultramintz shows the broader snack sector is
seeing a similar transition, as this brand is primarily aimed at older buyers.
"While we try to deliver a universal taste for the
candies, the success of our Mint-o range has made us focus more on
adult-specific products," Chitranjan Dar, ITC's divisional chief executive
for foods, said.
Data sourced from Economic Times; additional content by Warc
staff
No comments:
Post a Comment