Nestle shifts focus, bets big on rural as urban growth dwindles

Company aims to reach 120,000 villages in three years, says FMCG market to double with in the decade

The country's largest food company, Nestle India, is aggressively looking to expand its rural network to insulate itself from the subdued growth observed in the urban markets of late. The firm, typically known for its urban centric business model, is aiming to reach an unprecedented 120,000 villages by 2024 with new offerings, targeted messaging and higher penetration.

While it began to focus on the rural market in 2018, in the aftermath of the pandemic its bet on the uncharted territories is significantly higher. From 1,000-odd villages in 2017, Nestle grew its presence to 89,000 by 2019. During the period, the