TARGETED STRATEGIC ANALYSIS OF AN

INDUSTRY
COMPONENT 3:
Market Research Report

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Sl no Contents Pg no

1 Executive summary 3

2 Research Objective 3

2.1 Research Methodology 3

3 Recent Development 4

4 Key Industry Players 9

5 Emerging regions 10

6 Data Analysis 12

7 Conclusion 22

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 Executive Summary

This study is conducted to have a better understanding of geographical sub markets

of FMCG Industry in India and also outlining the recent developments which includes
Merger and Acquisitions ,Collaboration, and new product launches and their effects

on market dynamics , Determine which key success factors, such as the ability to attract
new customers, ability to retain existing customers or a low cost production structure.

Analyzing the market size i.e. total addressable market of Key Industry Players and
analyzing market in emerging regions

2. Research Objective

To outline the recent developments in the FMCG Industry

To analyze the Key players in the Industry

To analyze the market in emerging regions

2.1 Research Methodology

• Research methodology consists of secondary research data i.e. data and statistics

obtained from secondary resources such as research papers, journals,

Euromonitor, Sage journals, etc.

• This research study is descriptive and exploratory research and data provided is

quantitative which mean research is generally followed by further exploratory

conclusive research

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3. Recent Developments in FMCG Industry 2020.

Sl.NO Major Company MERGER AND ACQUISITION

to acquire DEAL

1 HUL It acquired Wash brand from Acquisition of

Glenmark on 23 March 2020 as intellectual

Vwash is leading brand in female property rights

intimate hygiene segment, so it including

helps hul to go into this trademarks designs,

underpenetrated and quickly this deal is made

growing women beauty and because this

personal care intimate hygiene

business market is niche

market and

category
penetration is

giving huge profits,

so they want to

gain urban Indian

consumers who are

increasingly
purchasing hygiene

products

Patanjali It acquired bankrupt Ruchi soya Patanjali has won

2 Ayurveda ltd for Rs 4350 crore and this is first the bid to acquire

acquisition of Patanjali, and it is Ruchi soya and

acquired on 18 Dec 2019 acquisition will help
Patanjali acquire
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 edible oil plants as

also soybean oil

brands such as

Mahakosh and
Ruchi Gold

3 Modern Foods It acquired 75 % stake in This deal helps

Supreme Baker on 2 sep 2019 Modern Foods to

and supreme baker sells Citi fresh re-enter the

and topspin food bakery lucrative NCR

market

4 Haldiram Haldiram Bhujiawala has brought They acquired a

Bhujiawala The Coffee bean & Tea leaf india total of 89 outlets
franchise from private equity as part of his deal.

fund Ever stone Capital for 100

crores on 23 August 2019 and

this company is chain of 1000

outlets and they acquired these

outlet as it is under penetrated

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5 Nirma firm Nirma firm Nuvoco’s cement The deal was to

Nuvoco’s cement acquired Emami for an enterprise expand total

value of Rs 5500 crore on 6 cement capacity in

February 2020 eastern, northern

and western india

to 23.5 million
tones

6 Wipro Consumer It acquired South Africa based To enter south

care personal care Canway corp which Africa market into

market brand such as Oh so 58 million

heavenly, Iwori and IQ on consumer bases

4 Dec 2019, this acquisition gives

way to penetrate south Africa

market

7 Wipro consumer It acquires personal care firm To enter in

care Splash corp of phillipines on 30th Phillipines market

April 2019 with 100 million

consumer bases

8 Big basket It acquired micro delivery Firm The deal expands

Daily Ninja on 24 March 2020 BB expansion in

subscription
delivery

9 Silver push It has acquired recipe sharing To deep penetrate

platform better butter on sep 18 into fmcg industry

2019

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 10 Reliance It has acquired British toy It is cash deal to

Hamleys for Rs 620 core on July become global toy

18 2019 player

New product launches in FMCG Industry

• HUL launches laundry band after 30 years and this time it is launching vegan

based detergent liquid with the Future retail group so that it also can score on
environmentally and ecofriendly products

• HUL also launched premium LOVE&CARE detergent liquids for fabric

garments on Aug 26, 2019

• Mondelez india and hul india joint venture to launch premium frozen desserts
such as Oreo and gem burst on April 18,2019

• ITC launched 50 FMCG products in 2018-19, its highest ever in a single fiscal
• Nestle announced the newest Starbucks products hitting shelves in 2020,

including Cold Brew Concentrate, Fresh Brew Coffee, Starbucks Coffee with
Essential Vitamins, Starbucks Coffee with Golden Turmeric and Starbucks

Coffee with 2x the Caffeine

• Britannia’s plans to launch 50 products in diary, bakery and non-bakery areas

• Amul to launch new 40-60 dairy based products which include popular north
india sweet dish “peda”

Key success factors or successful strategies

• One of the key factor or strategy of FMCG is trying to attract consumers with
their unique Promotions and offers, ITC is offering less deals for consumers so

that they buy their products

• Joint ventures: Fonterra, New Zealand based firm joint venture with Future

Consumer JV launches value-added milk products

• Expansion: Dabur invests Rs 250-300 crore for capacity expansion

• Product launches: ITC to launch every year 40-50 products to target many
consumers and become top FMCG company
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• Product Expansion: Nestle has expanded product segment of pet care by

introducing different range of products for premium product of dog food i.e.
Purina

• Analytics: Hindustan Unilever implemented a transformational program

Connected 4 Growth

• Digital Marketing and Customization: Digital marketing and customization

opened many opportunities for companies to target consumers

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KEY INDUSTRY PLAYERS

TOP 10 KEY PLAYERS

ITC Marico

Nestle Glaxo Smith Kane

Hindustan Unilever ltd Colgate

Britannia Godrej

Dabur Emami

INDIA

Total Addressable market,

same for all key players
ifmc

Total Available Market, depends on

company

Target Market -Rural and Urban

Demand

To determine demand hard variables such as target markets, age, income, education
and soft variables such as purchasing behavior, attitudes, lifestyles etc. demographics

and psychographics are used. These are explained or interpreted in data analysis
section

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EMERGING REGIONS

GLOBALLY

Asia Pacific has highest FMCG growth and In Asia Pacific Vietnam and Phillipines are

growing in lead and has potential for future success and remaining are seeing
slightly growth in FMCG, remaining countries in Asia Pacific are

• China
• Japan

• India
• Southeast Asia

o Indonesia
o Thailand

o Malaysia

• North America

o US

o Canada

• Europe

o Germany

o UK

o France

o Italy

o Spain

o Russia

o Benelux

o Rest of Europe
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• Latin America

o Brazil

o Mexico

o Argentina

o Colombia

o Rest of Latin America

• Middle East & Africa (MEA)

o Saudi Arabia

o South Africa

o Turkey

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DATA ANALYSIS

FMCG INDUSTRY IN INDIA

Total Available Market:

Data Interpretation:

The companies share in the market is

ITC -12 %

HUL -10%

Nestle -3%

Britannia -3%

Dabur -2%

Godrej -2%

Marico-1%

Glaxo Smith Kane -1%

Godrej -1%

Emami 1%

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So as per 2018 statistics ITC has largest available market in FMCG Sector and Emami
has least available market in FMCG

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TOTAL ADDRESSABLE MARKET

Data Interpretation:

The world market share i.e. total addressable market of FMCG Industry is $288 .0
million worldwide and in india it is $46.6million and It is failed to dominate in

emerging economies

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Determining Demand

Demographics

Data Interpretation:

From the above statistics, the major target of FMCG in India is Urban constituting

60% and remaining 40% is rural so the major target market is urban, and India has
9% organized FMCG companies and 91% Unorganized

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Data Interpretation

In 2018 Food and Beverages is highly in demand and by forecast in 2020 and least

demand is Home care and it is forecasted to have least demand by 2020

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Data Interpretation:

By Globally Asia Pacific segment has high demand of fmcg and least is LAMEA

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Data Interpretation:

From above it is evident food market has proportion of spend which means it has

high demand.

Data Interpretation:

Above data shows detergents, Baby foods, Sanitary napkins and Shampoo have high
demand as they used in daily life and so GST is levied on them as they are highly

demandable and impacted by companies

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Data Interpretation

Above data shows households income segment where deprived has more proportion

in all the three years

Data Interpretation

From above data it is evident that Indian FMCG has highest demand offline by
95.10% and least demand by online 4.90%

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Data Interpretation:

From above data it is also evident that Food and grocery has high demand in retail

market by 68.00% and others have least 11% demand

Emerging Regions

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Data Interpretation:

From above data it is evident that Phillipines and Vietnam, the FMCG demand is
slowly growing.

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Conclusion:

The research study on geographical submarkets of FMCG Industry and market

research report on Recent developments, key success factors related to FMCG

industry, Key Industry Players and Emerging region have been achieved.

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