FMCG INDUSTRY OVERVIEW WITH PRODUCT EVOLUTION

1. EXPLORING BREAKTHROUGH INNOVATION
IN CONSUMER PRODUCTS
वाणिज्य/
AIMIT BAZAAR

2. WHAT CONSTITUTES CONSUMER PRODUCTS
INDUSTRY
HAIR CARE – Shampoo, Hair Oil etc
 SKIN CARE – Cosmetics
 BODY CARE – Body Lotions, Deodrants etc
 ORAL CARE – Toothpaste, Brush, Mouthwash
etc
 FABRIC WASH
 PERSONAL WASH – Soaps
 HOUSEHOLD CARE
 HOME CARE – Sanitzer, Phenoyl
 F & B (PACKAGED FOODS)


3. MAJOR SEGMENTS IN INDIAN CONSUMER
PRODUCTS SPACE

4. (Source:- ibef.org)
INTRODUCTION TO CONSUMER PRODUCT
INDUSTRY (……………..1)

5. INTRODUCTION TO CONSUMER PRODUCT (Source:- ibef.org)
INDUSTRY (………………2)

6. CONSUMER PRODUCTS INDUSTRY & RURAL
INDIA (CONTD………)
Rural India accounts for close to 1/3rd of the total
consumption pie.
 The penetration of companies into rural north
india increased from 9.5 p.c in 2000 to 46 p.c in
2008.
 Most of the companies derive a significant
proportion of their overal sales from outside the
top few 100 towns & cities, which reflects the
growing economic importance of India’s rural
consumer base.
 HUL & ITC have close to 50% of rural market share


7. CONSUMER PRODUCTS LAUNCHED FOR RURAL
INDIA

8. EXCLUSIVE MARKETING STRATEGIES FOR RURAL
MARKET

9. CONSUMER PRODUCTS INDUSTRY & RURAL
INDIA

Consumer Products will be witnessing more
than 50% of growth in its rural and semi-urban
segments by 2012 which in totality is projected
to grow at a CAGR of 10% to carry forward its
market size to over Rs 1,06300 crore from the
present level of Rs 87,900 crore, according to
an analysis carried out by the Associated
Chambers of Commerce and Industry of India
(ASSOCHAM).

10. KEY PLAYERS

11. KEY PLAYERS

12. KEY PLAYERS

13. UNDERSTANDING MARKET BREAKTHROUGH &
TECHNOLOGICAL BREAKTHROUGH (FEW
EXAMPLES)
Newness of
Technology
Low
High
Customer Need Fulfillment
per dollar on the product
Low
High
IN C R E M E N T M A R K E T
AL
BR E AKT H R O
IN N O V AT IO N U G H
T E C H N O LO G I R A D IC A L
IN N O V A T IO N
C AL
BR E A K T H R O U
GH

14. EXPLORING MARKET BREAKTHROUGHS IN
CONSUMER INDUSTRY (EXAMPLES)
Shaving Lather

15. EVOLUTION OF SHAVING LATHER

Oilve Oil=> Soap =>
Cream => Gel => Foam

16. EXPLORING MARKET BREAKTHROUGH IN
CONSUMER PRODUCTS INDUSTRY
(EXAMPLE 2)
TOOTH BRUSH

17. EXPLORING TECHNOLOGICAL BREAKTHROUGH
IN CONSUMER PRODUCTS INDUSTRY
(FEW EXAMPLES)
Twig => Tooth Brush=> Electric Tooth Brush

18. EXPLORING TECHNOLOGICAL BREAKTHROUGH
IN CONSUMER INDUSTRY (EXAMPLES)
READY TO EAT (RTE) FOOD

19. EXPLORING TECHNOLOGICAL BREAKTHROUGH
IN CONSUMER INDUSTRY (RTE)
In normal practice, the ready-to-eat food are consumed
in a short span of time, but with the advancement in
packaging technology, it is now possible to produce these
items commercially and to extend the shelf-life up to a
few years.
READY TO EAT (RTE) FOOD

20. EXPLORING TECHNOLOGICAL BREAKTHROUGH
IN CONSUMER INDUSTRY (RTE)
Packaged/convenience food products sector has been
slow in penetrating the large potential presented by
Indian 250 million strong middle class. But due to
growing urbanisation and changing food habits, the
demand has been rising at a good pace and there is
enough latent market potential waiting to be exploited
through developmental efforts.
The convenience food could be basically classified into
two categories:
• Shelf – stable convenience food
• Frozen convenience food
READY TO EAT (RTE) FOOD

21. EXPLORING TECHNOLOGICAL BREAKTHROUGH
IN CONSUMER INDUSTRY (RTE)
Shelf-stable convenience food are further classified as:
• Ready-to-Eat (RTE) and Ready-To-Serve (RTS) food - e.g.
Idlis, dosas, pav bhaji, meat products like pre-cooked
sausages, ham, chicken products, curries, chapattis,
rice, vegetables like aloo chole, navratan kurma, channa
masala etc.
• Ready-to-Cook food – e.g. instant mixes like cake
mixes, gulab-jamun mix, falooda mix, icecream mix, jelly
mix, pudding mix etc., pasta products like noodles,
macaroni, vermicelli etc.
READY TO EAT (RTE) FOOD

22. EXPLORING TECHNOLOGICAL BREAKTHROUGH
IN CONSUMER INDUSTRY (RTE)
Indian food like palak paneer, dal fry, curry rice, upma, vegetables
biryani etc. are retort processed hence their packaging requirements
are different. These products are retort processed because they are
low acid food with moderate to large size particles; hence it is easy to
remove oxygen from the head-space by gas flushing.
Retort pouch is a special package in which the perishable food items
are preserved by physical, and/or chemical means.
Ready-to-use retort pouches are flexible packages made from
multilayer plastic films with or without aluminium foil as one of the
layers. Unlike the usual flexible packages, they are made of heat
resistant plastics, thus making them suitable for processing in retort
at a temperature of around 121°C. These retort pouches posses
toughness and puncture resistance normally required for any flexible
READY TO EAT (RTE) FOOD
packaging.

23. UNDERSTANDING CATALYTICAL INNOVATION
Catalytic Innovations share 5 qualities
 They create systemic social change through
scaling & replication
 Meet a need that is neither observed or served
 Offer products & services that are simpler, less
costly than existing alternatives
 Often ignored, disparaged by existing player
 Generate resources such as donations, grants,
volunteer labor or intellectual captial, in ways
that are initially unattractive to incumbent
competititors

24. EXPLORING CATALYTICAL INNOVATION IN
CONSUMER PRODUCTS INDUSTRY
Evolution of tooth paste

25. EVOLUTION OF TOOTHPASTE
Tree Bark Powder => Tooth Powder =>
Bone Powder,
Charcoal
Toothpaste

26. EXPLORING CATALYTIC INNOVATION IN
CONSUMER PRODUCTS INDUSTRY
Evolution of Shaving Razors

27. EVOLUTION OF SHAVING RAZORS
Brass/Copper Tool=>
Shaving Blade =>
Safety Blade =>
Safety Razor

28. EXPLORING CATALYTIC INNOVATION IN CONSUMER
PRODUCTS INDUSTRY
Evolution of Instant Noodles

29. Evolution of Instant Noodles

30. CATALYTICAL INNOVATION IN CONSUMER
PRODUCTS
EVOLUTION OF FABRIC WASH

31. EVOLUTION OF FABRIC WASH
ASH USED FOR
WASHING
CLOTHES
SAPOLINA
SEEDS
WASHING
SODA

32. EVOLUTION OF FABRIC WASH
Animal fat used for making detergent

33. EVOLUTION OF FABRIC WASH
Soap => Detergents =>
Liquid

34. EXPLORING CATALYTICAL INNOVATION IN
CONSUMER PRODUCTS
Evolution of bathing solutions

35. EVOLUTION OF BATHING SOLUTIONS
The ancient Greeks “washed”
themselves with lumps of clay,
had steam baths and rubbed
their skin with oil, such as olive
oil, which they then scraped off
with an instrument called a
“strigil”, along with any dirt. The
use of soap for bathing was
reported as early as 1500 B.C
by the ancient Egyptians.

36. EVOLUTION OF BATHING SOLUTIONS
OIL
was also
used
for
bathing
Herbs used in India and
some other countries
for bathing
Hand made
soaps

37. EXAMPLES
MARKET
BREAKTHROUGH
TECHNOLOGICAL
BREAKTHROUGH
CATALYTIC
INNOVATION