Because of COVID-19, many FMCG companies such as Dabur, Marico, Emami, ITC, and even new age brands are gradually focusing on selling Ayurveda-based and immunity-boosting products. These brands are incessantly growing their portfolio of immunity-boosting products in line with the accelerated consumer shift to healthy food and beverage options. Amid the pandemic, consumers are now demanding immunity boosters, and this trend is boosting FMCG immunity portfolio unit sales by 13.5 percent in 2020, up from 3.9 percent in 2019, confirmed market researcher Kantar.
According to Mohit Malhotra, Chief Executive Officer, Dabur India Ltd people have become more inclined to prophylactic health remedies, especially immunity boosting products. In view of this changing consumer behaviour, Dabur revamped its portfolio mix, with immunity-boosting healthcare gaining prominence. They have not only increased our R&D spending, but they have also ensured that innovations are targeted and brought to market quickly.
Within months of the COVID outbreak, Dabur rolled out 50-60 new products within months, ranging from products like Tulsi Drops, Haldi Drops, a range of health juices like Dabur Amla Juice, Dabur Giloy-Neem-Tulsi Juice, Dabur Giloy Ras, Dabur Aloe Vera Juice, Dabur Wheatgrass Juice, etc. “We will continue to add more products to our portfolio and offer age-old Ayurvedic remedies in convenient and modern formats,” Mohit Malhotra said.
Under its Zandu healthcare umbrella, Emami has launched immunity-boosting products under its Zandu healthcare umbrella, like Ayush Kwath Powder and tablets, Zandu Tulsi drops, Zandu Haldi drops, Zandu Jatiphalrasadi Churna (Health detox), etc. ITC, in order to jump on the opportunity, has partnered with direct selling company Amway India to distribute its new immunity beverage.
Marico launched immunity-boosting products under its Saffola brand. Not only that, but dairy companies like Mother Dairy and Amul have launched immunity-boosting products (with turmeric, tulsi, ginger, and so on).Similarly, new age brands such as OZiva, Upakarma Ayurveda, and others grew in popularity during the pandemic due to their focus on immunity-boosting products.
On Friday, India reported 13% fewer cases than the previous day, and the daily positivity rate dropped to the single digits after hovering at much higher levels in recent weeks.As per the daily bulletin by the health ministry, India has recorded 1,49,394 new COVID-19 cases in the last 24 hours.
FMCG firms are offering a series of immunity and nutrition-based food products and are betting on this portfolio to ‘make up for any losses in the discretionary products business’ in case the wave continues or worsens. Majors such as Dabur are not only increasing their R&D spending, but also ensuring that innovations are targeted and brought to market quickly.
With no evidence-based products or medicines to combat coronavirus infection, capitalizing on India’s Ayurveda lineage, people have increasingly turned towards Ayurveda-based solutions. From Ayurveda’s standpoint, commonly available natural herbs that are found in the kitchen like black pepper, tulsi, turmeric, jeera, fennel, and kesar can do wonders for our immunity. We offer products based on these ingredients, and they are doing extremely well with consumers. In the coming months, we are also launching our range of food products inspired by Ayurveda and fortified with nutrients under the brand name Mysca. “These are a range of cookies in four variants, all inspired by classical Ayurvedic formulas,” said Puneet Aggarwal, Director and CEO, Nirogam.
Meanwhile, according to Dabur’s quarterly results, its Ayurvedic Ethicals business continued to grow at over 8 percent in Q3 of 2021-22. Dabur’s share in the Chyawanprash category improved by 200 bps to 63.6 percent. In the honey market, Dabur reported a market share gain of 180 bps. We have now expanded this portfolio with the launch of new formats and products like Dabur Vita (a power format), Dabur Chyawanprash tablets, Chyawanprash SS and Honey Tasties to help increase consumption and penetration, “said Mohit Malhotra.
While there may or may not be further restrictions or curfews due to the pandemic, FMCG companies have become more agile with their supply chain and distribution strategies than ever and have learnt from the first two waves. “The industry has slowly and steadily adapted to the new normal.”
Furthermore, even as inflation and price hikes have been unprecedented in the third quarter of 2021-22, brands are handling it through calibrated price increases in addition to cost optimization to mitigate the impact.