PepsiCo's Regional Taste Strategy: Catering to 'Multiple Indias'

PepsiCo is advancing its presence in India's packed food segment, adopting a strategy to cater to diverse regional tastes. By segmenting India into nine clusters, the company aims to provide tailored products. With a strong focus on innovation and premiumisation, PepsiCo plans to expand its snack offerings targeting robust growth.

PepsiCo is set to amplify its engagement in India's packed food sector, tapping into the country's diverse palate. The company aims to sustain its double-digit growth trajectory by embracing innovation and premiumisation to cater to the different preferences across what it terms as 'multiple Indias'. Jagrut Kotecha, PepsiCo's CEO for India & South Asia, shared insights on this strategy.

Acknowledging the comparatively low snack consumption in India, Kotecha emphasized the potential for expansion amid urbanisation and economic growth. PepsiCo divides the Indian market into nine clusters, aiming to align with regional taste profiles. This consumer-centric approach involves customizing products to cater to local preferences, addressing nutrition and wellness trends.

Investing significantly in understanding regional demands, PepsiCo enhances its manufacturing footprint with plants in states like Uttar Pradesh, Punjab, Maharashtra, and West Bengal, while planning further expansions. Brands such as Lays, Kurkure, Doritos, and Quaker, comprising 80% of its revenues, play a central role in this growth strategy.

(With inputs from agencies.)