The annual rankings by the research firm are based on Consumer Reach Points (CRPs), which are an outcome of the number of households buying a brand and the number of times (frequency) they bought it. Photo: Reuters
The annual rankings by the research firm are based on Consumer Reach Points (CRPs), which are an outcome of the number of households buying a brand and the number of times (frequency) they bought it. Photo: Reuters

Lay's and Nestle Sunrise enter Kantar's brand footprint for the first time

  • Nestle and Lay’s entered the rankings on the back of better distribution
  • Ayurveda goods firm Patanjali slowed down in its reach among Indian households

NEW DELHI : Nestle’s Sunrise coffee and PepsiCo-owned Lay’s chips entered consumer research firm Kantar’s brand footprint ranking for the first time in 2018 backed by better distribution and higher frequency of consumption among households. The findings of the research firm were released recently. The annual rankings by the research firm are based on Consumer Reach Points (CRPs), which are an outcome of the number of households buying a brand and the number of times (frequency) they bought it.

Kantar noted that its 2018 rankings—that are largely dominated by home-grown brands—saw an uptick in the frequency of purchase of local-origin (brands marketed by a foreign manufacturer, but originated in India) and foreign brands. In 2018, the rankings had 14 global brands, however, seven of these brands saw their rankings improve by 2 percentage points at least. "This suggests that there is a minor shift towards global brands among consumers," Kantar noted.

Parle continued to be the leading brand in Kantar’s rankings for fast moving consumer goods, and the most frequently bought across Indian households, followed by Amul, and hair care brand Clinic Plus and Britannia.

Nestle and Lay’s entered the rankings on the back of better distribution.

“Lay’s did it on the back of strong penetration growth, while Sunrise managed to do it on the back of growing frequency," Kantar noted.

However, in the year that saw some brands increase their household reach, Ayurveda goods firm Patanjali slowed down in its reach among Indian households.

The Baba-Ramdev backed firm that clocked a stupendous reach among Indian households since it first entered Kantar's rankings in 2016, touching 45% penetration rate in 2017 or reaching out to half the households in India. By 2018, however, Patnajali’s penetration among Indian households stood at 49%. Kantar defines penetration as the percentage of households buying a brand at least once.

"Panatjali’s CRP, slowed from its break neck speed in 2018," Kantar said. In fact, in 2018, Patanjali also lost its spot as the top growing brand in terms of reach to households, the research firm added.

“It is a base effect. They are still growing, but the growth percentage is not as high because the base is big," said K Ramakrishnan, managing director and country head at Kantar India. While it reached more households, there was only a marginal increase in the frequency in 2018, he added.

However, Patanjali still managed to add more households in the given year, coming in at number 20 in Kantar's rankings for 2018.

As of 2018, Patanjali’s CRP stands at 915 million, and Kantar estimates that brand could reach the one-billion-mark by next year, if it continues to grow at the same pace.

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