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FMCG Companies See Strong Growth Ahead in Emerging Channels

FMCG Companies See Strong Growth Ahead in Emerging Channels
FMCG players expect emerging distribution channels to post strong growth for Q2 FY27 · thehindubusinessline.com

FMCG companies sell everyday products such as food and personal-care items.

Several companies say online shopping and quick-delivery services are growing as places to sell these products.

AWL Agribusiness said its food and FMCG sales through e-commerce and quick commerce grew 40% compared with the same time a year earlier.

Dabur expects strong growth in online and quick-commerce sales, while saying modern trade is also growing.

Honasa Consumer said its online channel continued to grow and expects strong growth in stores too.

NielsenIQ estimated that e-commerce made up 7% of FMCG sales across India in the June quarter.

It also reported a 21% online share for the top eight metros and for the top 52 metros.

The companies point to channel investments and stronger offline distribution as part of their plans.

Key facts

AWL alternative channels
Modern trade, quick commerce and e-commerce; reported double-digit growth in Q2 FY27.
AWL online food and FMCG growth
40% year-on-year across e-commerce and quick commerce.
AWL category market shares
More than 10% in Atta, more than 25% in Besan, more than 40% in Soya Nuggets, and around 15–20% in Sugar, Suji and Poha.
Dabur channel update
Expected strong growth in emerging e-commerce and quick-commerce channels; modern trade continued to grow at double digits.
NielsenIQ pan-India estimate
E-commerce represented 7% of pan-India FMCG sales in the June quarter.
NielsenIQ metro estimates
The article gives an online share of 21% for both the top eight metros and the top 52 metros in the June quarter.

Quotes

AWL Agribusiness

FMCG and food company providing a quarterly update for Q2 FY27.

“Within food & FMCG, key categories continued to gain traction across e-commerce and quick commerce, collectively delivering 40 per cent year-on-year growth. AWL has established a meaningful presence across these channels, with average market shares of over 10 per cent in Atta, over 25 per cent in Besan, over 40 per cent in Soya Nuggets, and around 15–20 per cent across Sugar, Suji and Poha.”
thehindubusinessline.com

Sources

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