Over the past three years, the FMCG segment of the diversified conglomerate ITC has seen substantial growth, with a compounded annual growth rate of 14 percent. Additionally, the Aashirvaad brand, within this business, has achieved consumer spends totaling INR 8,000 crores, as highlighted in a company presentation.
ITC is “one of the fastest growing FMCG Businesses in India” with rapid scale in revenues, which is largely “driven by brands developed in-house”, ITC in an investor presentation released on Tuesday.
ITC reported that its FMCG products now have a presence in three out of every four households in India.
The foods business of the company has maintained a compounded annual growth rate (CAGR) of 13 percent over the past decade, experiencing a threefold increase in the last ten years.
ITC announced that the Sunfeast brand has surpassed INR 5,000 crores in terms of consumer expenditures.
Furthermore, the snacks brand Bingo, instant noodles under the Yipee label, Agarbatti brand Mangaldeep, stationery brand Classmate, and spice brand Sunrise have all crossed INR 1,000 crore in terms of consumer spends.
The company calculates annual consumer spend by combining the consumer expenditures on its goods. This includes the net sales turnover of the brands, along with channel margins and taxes.
ITC has expressed its commitment to enhancing Aashirvaad’s presence in the kitchen through adjacent offerings. Presently, the brand offers a variety of products, including atta, ghee, salt, spices, and instant mixes.
The company is currently elevating consumer choices by introducing additional products, thereby creating new avenues for value addition.
Launched by ITC in May 2002, the brand has since risen to become the leading choice for branded packaged atta nationwide.
With a portfolio boasting more than 25 world-class mother brands in the FMCG segment, the company has achieved a consumer spend of INR 29,000 crore in FY 23.
Over the past three years, ITC introduced 300 products in the FMCG segment.
Its overall reach now spans 7 million outlets, with a direct outreach to 2.6 million households.
The company is expanding the MasterChef brand and nurturing the development of chocolates.
In the personal wash category, ITC mentioned that it is a INR 24,000 crore industry with the presence of 3,000 brands.
The Fiama brand is heavily represented in modern distribution channels. Additionally, Savlon, the hygiene brand acquired in 2015, has witnessed nearly a tenfold growth in the past six years.