From Parle Products to Dabur, consumer firms load up for festival blitz

Mobilise production, inventory to ride seasonal wave

Consumer companies are ramping up production while retailers are increasing stock orders compared to last year as the festival season gains momentum across various regions of the country.

Firms in fast-moving consumer goods (FMCG), consumer durables, and retail sectors are responding to a spike in demand, buoyed up by the festive atmosphere.

Biscuit maker Parle Products has boosted production by 10-15 per cent year-on-year, up from the 5-7 per cent hike during the same period last year.

“We’ve already noticed a strong rise in demand since the onset of the festival season with Raksha Bandhan,” said Mayank Shah, vice-president (V-P) at Parle Products. “We foresee even greater demand compared to last year.”

Consumer durables are seeing similar trends.

Super Plastronics, which manufactures for brands like Kodak, Thomson, Blaupunkt, and Westinghouse, is operating at full capacity. “We’ve increased production by 30-40 per cent and are running at 100 per cent capacity,” said CEO Avneet Marwah. “While the television industry may grow 15-20 per cent overall, we’re expecting around 30 per cent growth during the festival season.”

In the retail sector, Lifestyle, a fashion and apparel multi-brand chain, has expanded its inventory by double digits, preparing for an anticipated surge in sales. “This year, we’re bracing for stronger demand, driven by an uptick in weddings and the festival season, so our stock levels have been adjusted accordingly,” said Lifestyle CEO Devarajan Iyer.

Coca-Cola India is also riding a wave of festival consumption.

“We’re noticing a trend towards festival consumption and gifting,” said Sundeep Bajoria, V-P of India operations at Coca-Cola. “By prioritising value and accessibility, we’re ensuring 24/7 availability for retailers, helping them stay ahead of demand.”

He added that Coca-Cola India is strategically positioned to capture market opportunities in both traditional and emerging channels, with a tailored pricing approach designed to meet diverse consumer needs.

“This festival season, we’re focused on enhancing convenience and delighting consumers with our refreshing products and innovative marketing campaigns,” Bajoria said.

Bisleri, a major player in the water and carbonated drinks market, is also scaling up its production capacity to meet the projected increase in demand. While the company has not disclosed exact figures, a spokesperson said, “With the festival season coinciding with a rise in travel and frequency of dining out, consumption levels have notably increased. We are proactively expanding capacity across our owned and co-packer facilities across water, soda, and carbonated soft drink categories to ensure adequate stock replenishment at key locations.”

Dabur India is preparing for the season with product rollouts and variants, including Diwali gift packs.

“Though it’s still early to predict outcomes, we expect demand to pick up gradually as consumer sentiment improves, particularly in rural areas,” said Ankush Jain, chief financial officer of Dabur India.

Jain said that the October-December quarter is critical due to heightened demand for winter-specific products.

“We’re rolling out a range of products and Diwali gift packs, catering to both mainstream and premium consumers,” he said.

This year, Dabur is also focusing on experiential marketing and consumer engagement through events like melas, haats, festival gatherings, and trade activations.

“Each festival season offers unique opportunities, and this year we see great potential in quick commerce and other new-age business drivers,” Jain noted. “Our supply chain is fully prepared for the expected uptick in demand.”

At Full Tilt
 

·         Parle Products has ramped up production by 10-15%

·         Lifestyle, the chain of retail stores, has increased its orders by double digits

·         Super Plastronics is operating at full capacity

·         Coca-Cola India is already experiencing a rise in sales

·         Dabur India will focus on launching products and variants