PepsiCo India eyes revenue fizz from Nutrition portfolio

PepsiCo India Holdings Pvt Ltd aims at growing its Nutrition product portfolio revenues 2.5 times that of its core product portfolio revenues by the year-end, fuelled by demand from millennials for healthy and nutritious food options, said a top executive from the company.

“These new products are a part of our overall portfolio transformation agenda, which is to take our core product range and transform it, like reducing sugar levels in our carbonated soft drinks without compromising on the taste” said Deepika Warrier, Vice President, Nutrition Category – PepsiCo India. Pointing out that, while upma , idli , dosa , khichdi are well loved food options in Indian homes, they are often not whole grained, she said “Globally it is mandated that you should have 2 serves of whole grained foods in your diet to prevent lifestyle diseases. Our new Quaker Nutri Foods product range, including upma , idli , dosa and khichdi , which is being launched across the country since Friday, contains 40-60 per cent of whole grained oats, which provide protein, fibre and micro-nutrients like selenium which helps to build immunity. We have addressed the taste part by partnering with Chef Vikas Khanna who helps co-create these recipes to create winning products that outdid competition in blind tests on taste and ease of preparation.”

Pointing out that as per India’s Phytonutrient Report by ICRIER, the WHO recommends a daily intake of 400 gm or 5 daily servings at an average serving size of 80 gm of fruits and vegetables, excluding potatoes, cassava and other starchy tubers to prevent diet related chronic diseases and micronutrient deficiencies, she said: “The average intake in India is 3.5 servings per day and it goes down with the younger generation (students) to 2.94 servings per day. Fruit & Veggies, a 200 ml juice pack that is a combination of apple, beetroot and carrot juice under Tropicana Essentials, addresses this need.”

By the end of the year, the company will roll out regional variants in its Quaker Nutri Foods range including ragi-based foods for the South and bajra, broken-wheat based foods in the North, which are in development at present. The second product under Tropicana Essentials will be launched in April followed by two more products thereafter, which will provide solutions to anaemia, bone health and multi-vitamin deficiencies.

“With all these new products, we are expecting to grow Nutrition category revenues 2.5 times that of our core portfolio revenues by the year end,” said Warrier.

With the new range of healthy, nutritious food, PepsiCo is looking to garner a larger share of the ₹980 crore breakfast cereals market that is currently dominated by Kellogg’s.

Tropicana Essentials will take on Dabur which leads in the fruits and vegetable juice space. PepsiCo’s new range of 5 products under its two popular brands Quaker (oats) and Tropicana (fruit-based juices) will be launched in a phased manner, beginning with Delhi and Bengaluru and will cover the top 8 cities.

The products will be available online on Amazon, BigBasket, Grofers; traditional kirana stores and organised large- format retail chains. The new product portfolio under Quaker Nutri Foods are:Nutri Upma, Nutri Dosa, Nutri Idli and Nutri Khichdi. While the first three are available in multi-serve packs of 150 gm priced at ₹45, Khichdi and Upma are also available in single-serve 40 gm packs priced at ₹15. Tropicana Essentials offers one option -Fruits & Veggies, a 200 ml carton priced at ₹30.

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