Unbranded products rise in urban, brand is strong in the countryside

Copyright © HT Digital Streams Limit all rights reserved. In urban areas, unlimited products had significant growth at 8.4% in the year. Summary untreated FMCG volumes increased by 6.1% in fiscal 2025, exceeding the trademark goods in urban markets. Rural markets have benefited established brands, with a growth of 5.1%. New categories such as wash fluids and food ready to cook have had significant growth, while wheat flakes struggled due to lack of innovation. New -delhi: Unrolutedly packaged consumer goods find more people in cities, while the countryside has an edge for brand goods, a Kantar study found. Sales volumes of Unlimited Fast Consumer Goods (FMCG) makers grew 6.1% in FY25 compared to a 5.1% growth in brands manufacturers. The research firm, which drills deeper, found that sales of unlimited products rose 8.4%in urban areas, which is better than those sold by large listed companies (2.1%) and other brand segments (3.8%). Meanwhile, brands sold by large listed companies grew in rural areas with a strong 5.1%, the rest of the brand market by 4%, and the un -operated segment grew by just 2.3%. Kantar has detected volumes of the top 22 listed companies, along with unmarked and other goods. Also read: For FMCG Inc. Is the Holy Grail of Volume Growth in sight “Although digital shopping has not yet moved the needle in a big way when it comes to stocks and volumes, the availability of brands and the distribution of advertising in mobile phones is the perceptions of packaging, prices and brand among the Urban-kicker. The customer is as a price, “according to the report. While rural buyers preferred brands that made direct distribution greater in rural markets, urban consumers, spoiled by larger choices online and offline, less judicious about brands. Buyer, which generally becomes more aspiring and mimics the urban copper. India and 4% are growing in rural India. Since FY’23. Currently with a penetration slightly above 20%, the category has a massive main space to grow. Perhaps one category that sees a large behavioral surface as more copper liquid products take on, “Kantar notes. The trend is in line with changing consumer preferences as it trades to more premium formats and upgrades to household products characterized by greater comfort. In addition, access to channels such as modern trade and fast trading also helps to upgrade consumers to better products. Meanwhile, companies such as Hindustan Unilever Ltd (their) have tried to utilize the trend and renew in liquid detergents over the past decade. In 2023, his brand for cleaning the material of dust cleaning made $ 1 billion worth of sales. The company has expanded Surf Excel from detergent powder format to now include detergent fluids, liquid capsules and sprays. It also sells brands like Wheel and Vim. Ready-to-cook versus ready-to-eat, meanwhile, ready-to-cook mixtures (such as Idli, dosa batter, curries, etc.) are the only category that doubles its volume over the past two years. This segment added as many as 18 million new households at that time, and buyer doubled their annual trips to buy these items. The growth is mainly driven by fighters and mixtures ready to be cooked, making it a high potential category for the next decade, Kantar said. Also read: edible oil coes have called on consumer service, but the related category, ready-to-eat food, quickly loses relevance. This category, which consists of products that can be served directly, is one of three categories that has lost half of the volumes over the past two years, according to Kantar. “Obviously, consumers are speeding, but also freshness and partial control over their meals, which drive this diverse behavior within the same space,” it says. The breakfast cereal trends have also seen a breakfast porridge and oats over the past two years. One important category within this space that has failed to see any traction over the past two years is wheat flakes – the loss of volume over the past two years. A lack of innovation and larger health benefits linked to the consumption of wheat flakes dragged the growth of the category, Kantar said. Meanwhile, more affluent urban consumers choose for premium breakfast offers such as granola, quinoa-based grain and high protein mixtures, which get traction. As a result, wheat flakes appear to be the first victim. Catch all the corporate news and updates on live currency. Download the Mint News app to get daily market updates and live business news. More Topics #FMCG Read Next Story