Food and beverages major PepsiCo India is banking on regionalisation of its salty snacks portfolio to achieve higher sales.
The company, which derives half its Rs 8,130 crore sales from its food business, will have at least 20 new regional flavours of Kurkure, its flagship brand in traditional Indian snacks.
Traditional Indian snacks is a Rs 7,000 crore market. PepsiCo and ITC are the two major players in the category. PepsiCo serves western snacks through its brand Lays.
"Consumer preference for snacks is different in different regions of the country. We are focusing on bringing in new regional Kurkure variants to cater to different sets of consumers," said Partho Chakrabarti, vice-president, snacks, PepsiCo India.
The beverages market in India is facing subdued demand as consumers shift away from colas. Last year, beverage makers had to cut production during the peak April-July months because of low demand. However, the Indian snacks segment is growing with more consumers coming on board.
PepsiCo is banking on the Rs 1,000 crore Kurkure brand being perceived as an Indian snacks brand. Around 30 per cent of Kurkure sales comes from the rural market. PepsiCo recently launched Rs 2 Kurkure packs to increase consumption in rural and semi-urban markets.
