FMCG major Nestle has said that its India business growth has been driven by getting the pricing right for 1,2,4 finger bars chocolates, and expanding product distribution to small shops in the nook and corner of the country. Nestle said in its Annual Report 2022 that its ‘popular and affordable’ Munch chocolate has continued to attract new consumers through affordable ‘price point management’ and an interactive digital campaign with the IPL. Further, the annual report mentioned Nestle’s Kitkat chocolate saying that it is continuously attracting new consumers by appealing to local needs and tastes. Nestle sold over 5 billion Kitkat bars globally in 2022, and has 85+ countries with direct sales.
Nestle – the manufacturer and distributor of Nescafe coffee and Maggi noodles – also talked about its R&D centres in India, China, Africa, and SouthEast Asia markets, which gives its agility to innovate close to the consumers. “To go from idea to shop in six months – with new sites in Chile, China, India and Arlington, Virginia in the United States – we now have 14 R&D accelerators,” it added. Nestle also talked about its healthy range and its new launches across regions. It added, “To meet toddlers’ unique traditional needs, we introduced Gerber Powerblend cereals in China and India.”
Earlier in February, Nestle India reported a sharp 66 per cent year-on-year increase in its net profit to Rs 628 crore for the quarter ended December, supported by volume and mix-led growth. “I am delighted to share that we delivered our highest double-digit growth in a decade led by sustained volume and mix-led growth, leading to a strong value growth. In 2022, total sales grew by 14.5 per cent and domestic sales increased by 14.8 per cent, with broad-based performance across all categories,” Suresh Narayanan, chairman and managing director, Nestle India, had said in a statement.
The FMCG firm’s India unit hopes for a better performance in 2023. In an earlier interaction with Financial Express on the sidelines of CII Marketing Leadership Summit, Suresh Narayanan had said, “One is seeing mixed signals for 2023, some commodities are cooling down, while some continue to be bullish. So it will be difficult to say whether we will be equal to, better off or worse off than 2022.”
