Reliance has stepped up its efforts to establish a stronger presence in the FMCG sector, which has long been dominated by established companies like ITC and Hindustan Unilever. To achieve this, Reliance has extended the reach of its consumer packaged goods brand ‘Independence’ to North India.
Read: June 2023 Issue of Food InfoTech Magazine.
Reliance Consumer Products, a subsidiary of Reliance Retail Ventures Limited (RRVL), has revealed its plans to broaden the market reach of its brand, which offers a wide range of FMCG products including staples, processed foods, and daily essentials. The expansion will target highly populated regions such as Punjab, Haryana, Delhi NCR, Uttar Pradesh, Uttarakhand, and Bihar.
Reliance Retail’s FMCG division initially introduced the brand in Gujarat in December of the previous year. The company emphasizes its commitment to offering locally developed, high-quality products to Indian consumers at affordable prices.
Reliance stated that a considerable portion of the Indian population is actively seeking a reliable consumer goods brand that provides a diverse range of high-quality products at affordable prices.
Additionally, RCPL is forming partnerships with trade partners, which include manufacturers and kirana stores, with the aim of offering them enhanced business prospects. The company also has strategic plans to expand its distribution network through online and offline channels in the upcoming months, thereby reaching a wider consumer base throughout the country.
During Reliance’s 45th annual general meeting held in August of the previous year, Chairman Mukesh Ambani made a significant announcement regarding the company’s foray into the FMCG market. This move positions Reliance as a direct competitor to established companies such as Unilever and ITC.
Reliance has bolstered its efforts to secure a portion of the FMCG market in the most populous country globally. To achieve this, they have pursued strategic acquisitions of brands like Lotus Chocolate and formed partnerships, among other measures.
Last month, Reliance Consumer Products entered into a partnership with General Mills to venture into the western snacks category. Through this collaboration, Reliance will have the opportunity to introduce General Mills’ global corn chips brand, Alan’s Bugles, in India. This move also positions Reliance to compete with established brands like PepsiCo’s Lays, ITC’s Bingo, Balaji Wafers, and tap into the vast unorganized snacks market.
Reliance has recently introduced a range of new products in its FMCG portfolio. These include beverages like Campa, Sosyo, and Raskik drinks, daily essentials under the Independence brand, confectionery brand Toffeeman, Maliban biscuits, and home and personal care products under the Glimmer and Dozo brands.
As part of its strategy, the company aims to offer competitive pricing on entry-level packs in order to compete with established brands in these particular categories.