Bullish on the growth prospects, direct selling FMCG company Amway India today said it is targeting a revenue of Rs 6000 crore by 2025 and expects the country to feature among top 3 markets for Amway globally.
"We have registered a CAGR of 20 per cent over the last 20 years which is testimony to the robustness of our business model and importance of the Indian market, which ranks among the top markets for us. We are eyeing a three-fold growth in our business by 2025, fuelled by innovations and digital penetration along with our strong direct sellers network and focus on engaging young consumers," Amway India chief executive officer Anshu Budhraja said in a statement.
Globally, US-based Amway is over 59 years old, with a turnover of USD 8.6 billion.
Amway plans to invest around Rs 100 crore over the next 2-3 years in India, which includes Rs 70 crore investment in R&D, Rs 10 crore in manufacturing and Rs 20-30 crore in digital initiatives.
Amway has also invested Rs 600 crore in a manufacturing facility in Madurai, Tamil Nadu, as part of the Rs 1000 crore investment plan in India.
As part of its customer outreach and engagement plan, a significant portion of the investment is committed to launching Amway XPP stores in India. The company will be adding 25 more Xpress Pick and Pay (XPP) stores across India during 2018.
As per market estimates, the direct selling FMCG industry is expected to touch Rs 65,000 crore by 2025, clocking an almost six-fold growth from its current size.
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Betting on the nutraceutical industry, it aims to double the revenue of nutrition and wellness, the biggest revenue driver, by 2025.
It noted that with the increasing demand for the vitamins and dietary supplements, which has a current market size of Rs 8,400 crore, is poised to grow at 10 per cent in the next five years.
"Currently the Indian market only comprises of 2-3 per cent share of the global market which offers immense growth potential," it said.
The company plans to soon launch its latest innovations with the focus on herbal in the beauty and personal care category and is also foraying into consumer durables with plans to launch air purifiers.
Amway India sells more than 140 daily use products across categories like nutrition, beauty, personal care, home care and consumer durables.
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