Nestle Professional to expand B2B food products range

At a time when consumers are increasingly opting for doorstep delivery due to the pandemic, Nestle Professional is fast-tracking the launch of a range of food solutions for restaurants and cloud kitchens to enable them to sell their products through food delivery channels.

The company has also begun offering contactless technology solutions for vending machines used to dispense tea and coffee to commercial and institutional establishments.

Nestle Professional, a division of the Swiss packaged food major, focusses on offering food and beverage solutions for the out-of-home channel.

Sushrut Nallulwar, Director, Nestle Professional at Nestle India, told BusinessLine : “We believe the food delivery channel will not merely complement the current business model of food services industry but also become a prominent pillar for their future growth, as the pandemic has led to a shift to in-home consumption from out-of-home consumption occasions.”

He pointed out that food when prepared for doorstep delivery needs to have a turnaround time of 6-7 minutes and should be able to withstand the 40-45 minutes of delivery time, in terms of flavours and texture.

“Food solutions need to be designed differently for food delivery applications. In view of the accelerated growth of the food delivery ecosystem, we are fast-tracking the launch of a range of products which are tailor-made for food delivery purposes and are targeted at the food services industry. We are also strengthening our B2B product portfolio across a wider set of applications and cuisines,” Nallulwar added.

Currently, the Nestle Professional product range includes Maggi Professional Thai curry pastes, bulk packs of Maggi noodles and coconut milk powder, Maggi liquid seasoning and spices.

Besides offering doorstep delivery, the restaurant industry has also been experimenting with ready-to-cook offerings and do-it-yourself meal kits. Nestle India believes it is well positioned to offer food solutions to the restaurant industry to meet these evolving consumer needs.

Contactless vending

Since July, the company has also begun offering contactless technology solutions for vending machines to both existing and new customers. “We had to ensure that this solution can be retro-fitted on existing vending machines and is offered at affordable cost-structures,” said Nallulwar. Since the pandemic hit India, the company has taken several measures to help its food services industry partners to restart their business, such as credit period extensions and rental fee waivers on vending machines.

Replying to a query on the impact of the pandemic on the Nestle Professional division, Nallulwar said: “In April, we were at roughly one-third of the pre-Covid levels in terms of sales. But we are witnessing steady and gradual recovery and have reached at about half of the pre-Covid levels.”

Despite the adverse impact on the out-of-home food channel, the Swiss packaged food major believes there is potential to expand its retail kiosk business run by its franchise partners under various brands such as Nescafé Corner and Maggi Hotspot.

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