Breaking News
Home / Brand Watch / Parle-G banks on iconic brands
images (1)

Parle-G banks on iconic brands

With biscuits currently attracting a higher tax of 18% under GST compared with 12-14% earlier, Parle-G has decided to bank on the popularity of its iconic brands like Kisme and Poppins to grow its confectionary business, which accounts for 12% (Rs 1000 crore) of its revenue. The Rs 10,000 crore organised confectionary market, currently growing at 12%, has the potential to grow at 15-20% because the category remains under-penetrated,” said Krishna Rso, category head at Parle Products. While Parle was busy biting off a large chunk of the Rs 27,000 crore biscuits market, global confectionery giants, including Hershey, Perfetti Van Melle and Lotte have set up shop here to dominate the local market. Hershey and Lotte acquired local players Nutrine and Parry respectively , to get a stronger foothold in the domestic market. Although biscuits account for 85% of Parle’s revenues at present, Rao said the company plans to grow its confectionary business by not only targeting established players but also the hundreds of local B brands that have been selling rip-offs. “The total confectionery market is pegged at around Rs 30,000 crore if you include the unorganised players as well,” said Rao. “Our upcoming marketing activities will start off with educating customers about original and iconic Parle brands that have strong recall value in the minds of Indian consumers. The Brand has hit the rewind button. The company that was founded in Vile Parle, Mumbai in 1929, has firmed up plans to turn its focus back on confectionary as the future of its mainstay biscuits looks bleak. While Parle started operations in British India with confectionary products such as toffees, peppermints and rose mints, biscuits became its mainstay over the decades, thanks largely to Parle-G, which has become one of the largest-selling biscuit brands in the world.

About admin