Too Yumm!, a subsidiary of the RPSG group, has primarily focused on the western and healthy snacking sectors. However, the company is now expanding into the Indian snack market with the introduction of Too Yumm Namkeen. With the organized Indian snacks market valued at approximately INR 14,000-15,000 crore, the brand hopes to capture a portion of this lucrative market. Additionally, Too Yumm! is seeking to enhance its product range in the children’s category, an area where it recently made its debut.
According to Shashwat Goenka, the Head of the Retail and FMCG sector at RPSG group, the Indian snacks market has been experiencing a consistent CAGR of 14-15%. As a result, the company aims to achieve sales of around INR 100 crore in this segment over the next year. Additionally, RPSG group is considering venturing into adjacent markets beyond snacking to expand its food offerings within the next 12-18 months.
“We launched in 2017-18 and the idea was to get into healthy snacking market. We are well entrenched in the western snacks market and are now moving into the Indian ethnic snacks category,” Goenka said in a virtual press conference on Thursday.
As of December 31, 2022, Too Yumm achieved annual sales of approximately INR 480 crore. This translates to almost 7% of RPSG Ventures’ total turnover, which comes from its FMCG business.
Double-digit growth:
According to Shashwat Goenka, Too Yumm has been experiencing double-digit growth and intends to further strengthen its position in the western snacks and kids’ categories. The western snacks market is valued at approximately INR 26,000 crore, with unorganized players accounting for almost 45% of the segment.
The Indian snack products will first be offered at 100,000 touchpoints and will later be expanded to additional outlets.
At a consolidated level, the company already owns an Indian snacks business under the brand name of Evita. However, that is primarily targeted at the tier III, IV and beyond markets while Too Yumm is targeted at the tier I and II markets, he said. “For the next 12-18 months we will strongly focus on western and Indian snacks as there is lot of scope to grow; thereafter we will look at some adjacencies,” he said.
The company is also open to acquisitions and is exploring targets. However, any acquisition would be driven by long-term view and will be done only if it made a strategic fit, he said.
