2 min read.Updated: 15 Jul 2021, 05:27 PM ISTLivemint
ITC rolled out over 120 new products in its FMCG-others portfolio last fiscal. Its over 25 consumer-facing brands in the segment represent annual consumer spends of over ₹22,000 crore
New Delhi: ITC Ltd that sells popular packaged consumer brands, such as Aashirvaad flour, Bingo! chips, YiPPee! noodles, Sunfeast biscuits and Savlon, saw its sales double via e-commerce in FY21 in its fast-moving consumer goods business, excluding cigarettes.
The pandemic has pushed large consumer goods companies that draw a majority of their business from local grocery stores to expand their reach online. It also helps that the e-commerce enablement ecosystems have developed over the last few years boosting the revenue of companies selling soaps, detergents and chips use delivery and warehousing services. Though the share of online sales is still in the mid-single digits.
“Anticipating the increase in consumer preference for ‘contactless shopping’ and home delivery, your company proactively engaged with e-commerce platforms and aligned the supply chain to deliver the right product assortment and SKUs. Sales through the e-commerce channel more than doubled during the year, taking its salience to over 5% of segment revenue (FMCG-others)," ITC Ltd., said in its annual report released earlier this week
ITC rolled out over 120 new products in its FMCG-others portfolio last fiscal. Its over 25 consumer-facing brands in the segment represent annual consumer spends of over ₹22,000 crore. ITC sells soaps, body wash, chocolates, juices, spices, flour, noodles, chips and several other products.
Meanwhile, the company stepped up other digital initiatives as the pandemic rendered closure of stores and crippled movement of goods. For instance, it scaled the reach of its direct-to-consumer channel— ITC e-store.
Launched prior to March 2020, when India moved into a lockdown, ITC e-store was extended to 11 cities during the year along with the introduction of several new features.
"Powered by state-of-the-art digital technologies and a robust fulfilment infrastructure, the platform offers consumers on-demand access to a wide range of your Company’s FMCG products under one roof. The initiative has been well received by consumers and plans are on the anvil to rapidly scale up the same in the ensuing months," the company said.
Then there were other tie-ups too, for instance, with hyperlocal delivery platforms that the company undertook last fiscal.
Product availability was also augmented through alternative channels in collaboration with new partners such as Dominos, Swiggy, Zomato and Dunzo. During the lockdown phase, in tune with the trends of increased ‘at-home’ consumption, need for sanitizing products in the ‘health & hygiene’ space and the consumer need for health & wellness content, purposeful communication sharply focused on these need spaces were rolled out, it added.
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