Table of Contents
Health and Wellness in India - Industry Overview
EXECUTIVE SUMMARY
Health and wellness grows on the back of expanded product ranges
Fortified/functional and naturally healthy food and beverages gain popularity
Small players dominate health and wellness food and beverages
Increasing popularity of supermarkets driving health and wellness
Healthy growth is expected
KEY TRENDS AND DEVELOPMENTS
New launches drive growth
Health and wellness grows on the back of supermarkets/hypermarkets’ development
Health consciousness remains limited to commodity products
Government becoming pro-active in setting health and wellness standards
Low-income groups becoming focus for major manufacturers
MARKET DATA
Table 1 Sales of Health and Wellness by Type: Value 2005-2010
Table 2 Sales of Health and Wellness by Type: % Value Growth 2005-2010
Table 3 Sales of Health and Wellness by Category: Value 2005-2010
Table 4 Sales of Health and Wellness by Category: % Value Growth 2005-2010
Table 5 Health and Wellness GBO Company Shares 2006-2010
Table 6 Health and Wellness NBO Company Shares 2006-2010
Table 7 Health and Wellness Brand Shares 2007-2010
Table 8 Forecast Sales of Health and Wellness by Type: Value 2010-2015
Table 9 Forecast Sales of Health and Wellness by Type: % Value Growth 2010-2015
Table 10 Forecast Sales of Health and Wellness by Category: Value 2010-2015
Table 11 Forecast Sales of Health and Wellness by Category: % Value Growth 2010-2015
APPENDIX
National legislation
DEFINITIONS
SOURCES
Summary 1 Research Sources
Health and Wellness in India - Company Profiles
Diat Foods India Ltd in Health and Wellness (India)
STRATEGIC DIRECTION
KEY FACTS
COMPANY BACKGROUND
COMPETITIVE POSITIONING
Summary 3 Diät Foods India Ltd: Competitive Position 2010
Narang Group, The in Health and Wellness (India)
STRATEGIC DIRECTION
KEY FACTS
COMPANY BACKGROUND
COMPETITIVE POSITIONING
Summary 5 The Narang Group: Competitive Position 2010
Better For You Beverages in India - Category Analysis
HEADLINES
TRENDS
Purchases of better for you beverages remained restricted to the urban elite in the major cities over the review period because most consumers remained unaware of their sugar consumption. However in 2010 companies increased their focus on better for you beverages by investing in new product launches and new advertising campaigns. The new launches in reduced sugar beverages created a buzz as consumers were introduced to exciting new flavours to trial. Up to 2008, reduced sugar beverages had been limited to cola carbonates, but in 2008 reduced sugar carbonates emerged in lemon and orange flavours. In 2010, Zydus Wellness Ltd launched a new TV advertising campaign to promote Sugar Free D’Lite as a healthier alternative to other soft drinks and also introduced reduced sugar carbonates in new flavours of apple and passion fruit, while a new company Aqua Montana India Pvt Ltd introduced juice-based reduced sugar carbonates in orange and mixed fruit flavours in addition to a natural clear lime flavour. The new variants created considerable excitement among consumers and expanded the market for reduced sugar beverages.
COMPETITIVE LANDSCAPE
Coca-Cola India Pvt Ltd’s Diet Coke has a 51% value share and PepsiCo India Holdings Pvt Ltd’ Diet Pepsi has a 43% value share in better for you beverages in 2010. Nestlé SA’s reduced caffeine coffee Nescafé Gold Decaffeinated is being imported by third party importers into India.
PROSPECTS
The new product launches in different flavours will drive the growth of better for you beverages. Consumers are looking for options other than simply reduced sugar cola carbonates, so products such as reduced sugar RTD tea and reduced sugar non-cola carbonates will drive growth in sales of better for you beverages.
CATEGORY DATA
Table 12 Sales of BFY Beverages by Category: Value 2005-2010
Table 13 Sales of BFY Beverages by Category: % Value Growth 2005-2010
Table 14 BFY Beverages Company Shares 2006-2010
Table 15 BFY Beverages Brand Shares 2007-2010
Table 16 Forecast Sales of BFY Beverages by Category: Value 2010-2015
Table 17 Forecast Sales of BFY Beverages by Category: % Value Growth 2010-2015
Better For You Packaged Food in India - Category Analysis
HEADLINES
TRENDS
Changing lifestyles are leaving women with less and less time to prepare milk-based products such as yoghurts, flavoured drinks etc at home. Therefore, demand for these products in packaged format is increasing. Since reduced fat milk is cheaper than full-fat milk in India, most companies use reduced fat milk to prepare yoghurts and flavoured milk drinks. Hence these products are naturally lower in fat and thus also satisfy the health concerns of Indian consumers. As a result, demand for these products is rising.
COMPETITIVE LANDSCAPE
Reduced fat milk is a highly fragmented market with numerous regional and national players. In reduced fat soup, Knorr held a 71% value share in 2010 and Maggi ranked second with 29%. In reduced sugar confectionery, Parle Lite Bonbons is the only significant brand and holds a 97% value share.
PROSPECTS
With Indians leading increasingly urban lifestyles many women prefer to buy packaged food such as yoghurt, cheese, soup etc rather than preparing such products at home. Increased media exposure has also increased health awareness among Indian people and they now choose to buy better for you foods. This trend will drive growth of better for you packaged food sales over the forecast period.
CATEGORY DATA
Table 18 Sales of BFY Packaged Food by Category: Value 2005-2010
Table 19 Sales of BFY Packaged Food by Category: % Value Growth 2005-2010
Table 20 BFY Packaged Food Company Shares 2006-2010
Table 21 BFY Packaged Food Brand Shares 2007-2010
Table 22 Forecast Sales of BFY Packaged Food by Category: Value 2010-2015
Table 23 Forecast Sales of BFY Packaged Food by Category: % Value Growth 2010-2015
Food Intolerance in India - Category Analysis
HEADLINES
TRENDS
At present, sales are dominated by food intolerance products for babies. Raptakos Brett & Co Ltd leads sales with the Lactodex brand, but other products are available. Concern over child health is strong amongst those consumers who can afford to buy such products, but demand remains marginal, despite growth.
COMPETITIVE LANDSCAPE
Food intolerance is led by Raptakos Brett & Co, with a 50% share via its Lactodex milk formula. Other brands are available, but none of these have a significant share, and the market remains underdeveloped.
PROSPECTS
Food intolerance (baby food) is likely to remain the only significant product type over the forecast period. Growth will be high (7% CAGR) but overall sales will remain comparatively low, with demand in India typically limited to the affluent middle classes – although it should be noted that this demographic continues to expand rapidly, which will directly benefit sales.
CATEGORY DATA
Table 24 Sales of Food Intolerance by Category: Value 2005-2010
Table 25 Sales of Food Intolerance by Category: % Value Growth 2005-2010
Table 26 Food Intolerance Company Shares 2006-2010
Table 27 Food Intolerance Brand Shares 2007-2010
Table 28 Forecast Sales of Food Intolerance by Category: Value 2010-2015
Table 29 Forecast Sales of Food Intolerance by Category: % Value Growth 2010-2015
Fortified/Functional Beverages in India - Category Analysis
HEADLINES
TRENDS
The need for extra nutrition among Indian consumers is increasing day by day. People in urban areas are concerned that they are not getting essential nutrients due to their erratic eating habits and schedules, and so they are looking for easy-to-consume fortified beverages which will provide them with those missing essential nutrients. Prior to the review period, fortified beverages were typically consumed only by children or teens, but since the start of the review period, adults have also begun consuming fortified beverages. The concern for and awareness of nutritional requirements is also increasing among lower-income groups. As a result, manufacturers have also launched products targeted towards lower-income groups.
COMPETITIVE LANDSCAPE
GlaxoSmithKline Consumer Healthcare Ltd is the leading company with a 72% value share in 2010 due to well-established trust among Indian consumers in its FF beverage brands, namely Horlicks and Boost.
PROSPECTS
While children and teens will continue to be the major consumer base for FF beverages, the adult consumer base for FF beverages, especially among women, will increase steadily. This is because women are now more conscious about their health, and because of the increase in the number of working women, more women are financially capable of taking care of themselves.
CATEGORY DATA
Table 30 Sales of Fortified/Functional Beverages by Category: Value 2005-2010
Table 31 Sales of Fortified/Functional Beverages by Category: % Value Growth 2005-2010
Table 32 Other Fortified/Functional Hot Drinks by Type: % Value Breakdown 2005-2010
Table 33 Fortified/Functional Beverages Company Shares 2006-2010
Table 34 Fortified/Functional Beverages Brand Shares 2007-2010
Table 35 Forecast Sales of Fortified/Functional Beverages by Category: Value 2010-2015
Table 36 Forecast Sales of Fortified/Functional Beverages by Category: % Value Growth 2010-2015
Fortified/Functional Packaged Food in India - Category Analysis
HEADLINES
TRENDS
Many manufacturers are adding extra functional ingredients to their products. As a result, the product portfolio and availability of fortified/functional food products has increased which has expanded the market. Now, even staples such as bread and biscuits are available with extra functional ingredients. Thus consumers have the choice of choosing extra nutrition products without compromising on taste. Increased awareness of health and nutrition has also helped increase sales.
COMPETITIVE LANDSCAPE
Britannia Industries Ltd leads FF biscuits with an 85% value share and FF bread with a 90% value share. Kellogg India Pvt Ltd is the leading player in FF breakfast cereals with an 87% value share. Functional gum is split between Wrigley India (49%) and Perfetti Van Melle (51%).Yakult Danone India Pvt Ltd led pro/pre biotic drinking yoghurt with a 78% value share.
PROSPECTS
Manufacturers will have to price fortified/functional foods in line with regular versions to attract the maximum consumer base. People in all income groups are attracted to fortified/functional foods as they believe that regular food products cannot fulfil their nutritional requirements. FF biscuits and FF bread contribute heavily to FF packaged food sales because of their economical pricing. Hence, economical to mid-market pricing will drive the growth of FF packaged food sales over the forecast period.
CATEGORY DATA
Table 37 Sales of Fortified/Functional Packaged Food by Category: Value 2005-2010
Table 38 Sales of Fortified/Functional Packaged Food by Category: % Value Growth 2005-2010
Table 39 Sugarised Vs Sugar-free Fortified/Functional Gum: % Breakdown 2009
Table 40 Sugarised Vs Sugar-free Fortified/Functional Sugar Confectionery: % Breakdown 2009
Table 41 Standard Fat Vs Reduced Fat Fortified/Functional Yoghurt: % Breakdown 2009
Table 42 Other Fortified/Functional Food by Type: % Value Breakdown 2005-2010
Table 43 Key Functional Ingredients in Fortified/Functional Biscuits: % Breakdown 2006-2010
Table 44 Key Functional Ingredients in Fortified/Functional Breakfast Cereals: % Breakdown 2006-2010
Table 45 Key Functional Ingredients in Fortified/Functional Bread: % Breakdown 2006-2010
Table 46 Key Functional Ingredients in Fortified/Functional Chocolate Confectionery: % Breakdown 2006-2010
Table 47 Key Functional Ingredients in Fortified/Functional Gum: % Breakdown 2006-2010
Table 48 Key Functional Ingredients in Fortified/Functional Sugar Confectionery: % Breakdown 2006-2010
Table 49 Key Functional Ingredients in Fortified/Functional Milk: % Breakdown 2006-2010
Table 50 Key Functional Ingredients in Fortified/Functional Yoghurt: % Breakdown 2006-2010
Table 51 Fortified/Functional Packaged Food Company Shares 2006-2010
Table 52 Fortified/Functional Packaged Food Brand Shares 2007-2010
Table 53 Fortified/Functional Bread Brand Shares 2007-2010
Table 54 Forecast Sales of Fortified/Functional Packaged Food by Category: Value 2010-2015
Table 55 Forecast Sales of Fortified/Functional Packaged Food by Category: % Value Growth 2010-2015
Naturally Healthy Beverages in India - Category Analysis
HEADLINES
TRENDS
Increased awareness of the health issues of high sugar, high caffeine carbonates prompted many Indians to shift towards naturally healthy beverages. There were also concerns about not getting essential nutrients through simple distilled bottled water and hence more people moved towards natural mineral water. Increased availability of natural mineral water brands such as Himalayan Mineral Water and Qua at all supermarkets also provided a boost to sales of naturally healthy beverages in 2010.
COMPETITIVE LANDSCAPE
Dabur India Ltd and PepsiCo India Holdings Pvt Ltd are the main players in 100% juices. Together they account for 91% of value sales of 100% juices. Himalayan Mineral Water and Qua are the leading brands in NH natural mineral water and together account for a 72% value share. Catch Natural Spring Water from DS Foods Ltd is the only NH spring water brand of significance in India.
PROSPECTS
The concern about essential minerals missing from distilled water is prompting many Indians to shift towards natural mineral water. This will continue to drive sales of natural mineral water over the forecast period. There is a gradual shift among people aged over 25 years from carbonates towards healthier beverages. This has boosted sales of 100% juices and juice drinks. With rising disposable incomes as well as increased awareness, people are now looking for 100% juices with no preservatives or sugar. This will provide an impetus to 100% juices sales.
CATEGORY DATA
Table 56 Sales of NH Beverages by Category: Value 2005-2010
Table 57 Sales of NH Beverages by Category: % Value Growth 2005-2010
Table 58 NH Beverages Company Shares 2006-2010
Table 59 NH Beverages Brand Shares 2007-2010
Table 60 Forecast Sales of NH Beverages by Category: Value 2010-2015
Table 61 Forecast Sales of NH Beverages by Category: % Value Growth 2010-2015
Naturally Healthy Packaged Food in India - Category Analysis
HEADLINES
TRENDS
Health awareness among Indians has increased because of greater media exposure and more health and wellness articles in newspapers and magazines. This increased awareness has encouraged Indians to move towards products with naturally beneficial ingredients which help people maintain their health in a natural way. Naturally healthy high fibre foods are also perceived more helpful in countering obesity and controlling weight because high fibre food is believed to burn more calories during digestion than low fibre food. As a result, more people have adopted products such as muesli, oats and whole wheat bread for breakfast, high fibre biscuits and noodles for snacking, and brown rice for lunch and dinner.
COMPETITIVE LANDSCAPE
ITC Ltd leads high fibre biscuits with a 35% value share. High fibre bread is a fragmented market with many regional players, but nationally Hindustan Lever Ltd’s Modern brand held a 29% value share in 2010 and Britannia Industries Ltd’s Britannia Whole Wheat Bread brand claimed second with a 16% share. In high fibre breakfast cereals, Frito-Lay India leads with a 36% share, followed by Bagrry’s India (32%). Nestlé India Ltd’s Maggi held a 99% value share in high fibre noodles in 2010. Dabur India Ltd enjoys a 71% value share in honey. Figaro has a 36% value share and Bertolli a 31% value share in olive oil. GlaxoSmithKline Consumer Healthcare Ltd’s Horlicks holds a 42% value share and Naturell India Pvt Ltd’s Rite Bite holds a 36% share in granola/muesli bars. Godrej Hershey Foods & Beverages Ltd’s Sofit held a 49% value share in soy milk in 2010. Haldiram Foods International Ltd held a 45% value share in nuts in 2010 with its Haldiram’s brand.
PROSPECTS
Increased concern about weight management and heart health will drive sales of naturally healthy packaged foods in India over the forecast period.
CATEGORY DATA
Table 62 Sales of NH Packaged Food by Category: Value 2005-2010
Table 63 Sales of NH Packaged Food by Category: % Value Growth 2005-2010
Table 64 NH Packaged Food Company Shares 2006-2010
Table 65 NH Packaged Food Brand Shares 2007-2010
Table 66 Forecast Sales of NH Packaged Food by Category: Value 2010-2015
Table 67 Forecast Sales of NH Packaged Food by Category: % Value Growth 2010-2015
Organic Beverages in India - Category Analysis
HEADLINES
TRENDS
The price of organic tea is almost three times that of non-organic tea. This is the main factor that has dissuaded Indian consumers from organic tea. Manufacturers are forced to maintain high prices as organic farming provides much lower yields than conventional farming and so manufacturers are unable to generate significant volume sales.
COMPETITIVE LANDSCAPE
Given that India still has a very small consumer base for organic beverages, none of the major multinationals have shown any interest in introducing an organic beverage into the country or in acquiring stakes in any organic beverage companies in India.
PROSPECTS
Increased awareness of the harmful effects of pesticides in farming is likely to encourage people to move towards products produced through organic farming methods, including tea.
CATEGORY DATA
Table 68 Sales of Organic Beverages by Category: Value 2005-2010
Table 69 Sales of Organic Beverages by Category: % Value Growth 2005-2010
Table 70 Organic Beverages Company Shares 2006-2010
Table 71 Organic Beverages Brand Shares 2007-2010
Table 72 Forecast Sales of Organic Beverages by Category: Value 2010-2015
Table 73 Forecast Sales of Organic Beverages by Category: % Value Growth 2010-2015
Organic Packaged Food in India - Category Analysis
HEADLINES
TRENDS
Due to the increase in number of health-related articles in newspapers and magazines as well as frequent reports on the misuse of pesticides in conventional farming, many Indian people have become aware of the harmful effects of pesticides in food. This has led to an increase in demand for organic packaged food.
COMPETITIVE LANDSCAPE
Organic packaged food is a fragmented market with regional players dominating their particular region. Nationally, Sresta Natural Bioproducts Pvt Ltd is the leading player, and has its own specialist organic food stores.
PROSPECTS
Increased awareness and availability through supermarkets will drive sales of organic packaged food over the forecast period.
CATEGORY DATA
Table 74 Sales of Organic Packaged Food by Category: Value 2005-2010
Table 75 Sales of Organic Packaged Food by Category: % Value Growth 2005-2010
Table 76 Organic Packaged Food Company Shares 2006-2010
Table 77 Organic Packaged Food Brand Shares 2007-2010
Table 78 Forecast Sales of Organic Packaged Food by Category: Value 2010-2015
Table 79 Forecast Sales of Organic Packaged Food by Category: % Value Growth 2010-2015