The growing appetite for premium sweet biscuits and cookies in India

Candy biscuits and cookies are a well-established, indulgent snacking class in India. Not surprisingly, some shoppers are keen to pay a premium for elevated indulgence. On the similar time, a majority of them are additionally keen to pay extra for more healthy biscuits. 

The chai-biscuit ritual is taken into account a driving drive for candy biscuit/cookie consumption. It’s typically consumed as an accompaniment to sizzling drinks like chai, espresso, plain milk, malt drinks and inexperienced tea.

Due to this fact, the time is ripe for premiumisation. Higher-for-you (BFY) choices and elevated indulgence can each open shopper wallets. Specializing in sizzling beverage pairings may help drive utilization.

The rising prevalence of power illnesses related to disturbing city existence is probably going driving curiosity in wholesome snacking amongst city shoppers. An analogous pattern is seen in candy biscuits and cookies, the place 57% of metro dwellers (vs 53% in tier-3 and 54% in tier-2 cities) are keen to pay extra for more healthy than common biscuits and cookies.

It’s essential for biscuit/cookie manufacturers to know the various definitions of healthfulness, because it differs from shopper to shopper. For instance, options like decrease sugar and better protein and fibre content material resonate extra amongst upper-tier metropolis shoppers than lower-tier metropolis dwellers. Due to this fact, develop decrease sugar, excessive protein and fibre-rich biscuits/cookies and emphasise these options in advertising and marketing communications.

Candy biscuits get pleasure from mass enchantment in India. Even amongst financially struggling shoppers who’re usually extra price-sensitive, practically 57% of those that are presently in OK or a decent monetary state of affairs are keen to pay extra for more healthy biscuit/cookie variants. Which means even price-conscious shoppers are keen to spend additional in the event that they understand a transparent well being profit.

Due to this fact, positioning better-for-you biscuit choices in a mass-premium tier is a progress alternative. Emphasising value-for-money proposition to drive trials and adoption amongst price-conscious middle-class Indians is the important thing to getting forward.

Practically a 3rd (31%) of shoppers are keen to pay a premium for elevated indulgence in biscuits/cookies. This sentiment notably resonates higher with Gen Z dwelling in metro cities. It’s value noting that the demand for indulgence decreases as age progresses, making it essential for manufacturers to search out methods to ship added indulgence with new product choices to broaden their enchantment amongst Gen Z shoppers.

Flavour and texture will play a pivotal function in justifying premium pricing in candy biscuits/cookies. Due to this fact, manufacturers can ship a superior consumption expertise with novel and intense flavours with crunchy textures. As an illustration, the TURF evaluation states that Indian-mithai-flavour, crunchier in texture and smaller/munchable packs may help attain 69% of indulgence seekers in candy biscuits/cookies.

Premiumisation alternative lies in giving a desi twist to the mithai biscuits/cookies with mithai flavour. This could even assist manufacturers to interrupt into the festive celebrations and festive gifting. For instance, one in 4 shoppers discover candy biscuits perfect festive items. Due to this fact, make candy biscuits/cookies gift-friendly to faucet into this untapped market. 

Apart from mithai flavour, make the crunch rely. At present, crunchy texture leads in biscuit launches; stand out by delivering crunchier texture than rivals. 

 The potential exists for candy biscuits/cookies manufacturers to compete with different on-the-go classes by introducing smaller, munchable biscuits and handy pack sizes.

94% of biscuit/cookie shoppers have consumed biscuits/cookies with sizzling tea/inexperienced tea/sizzling espresso/black espresso/plain milk or malt drinks. Chai is the most well-liked beverage drink paired with biscuits/cookies and Marie is the most typical candy biscuit format consumed with chai.

Emphasising sizzling beverage pairings, particularly with chai, gives an avenue for manufacturers to boost the general consumption expertise. Apart from chai, inexperienced tea and low will also be strategically paired with biscuits/cookies, serving to candy biscuits/cookies to enchantment to totally different shopper segments. 

The time is ripe for premiumisation within the biscuit/cookie class.

BFY choices in candy biscuits/cookies are key to unlocking the potential for mass premiumisation by upgrading the mighty middle-class Indian shoppers. Enchantment to higher city-tier well being seekers with decrease sugar, larger protein and fibre content material. All-natural elements may help broaden the enchantment of BFY biscuits/cookies amongst health-seekers in Tier-2 cities.

Gen Z and metro dwellers make up the vast majority of the indulgence-seeking cohort. To win over indulgence seekers, ship a superior consumption expertise. Enchantment to them with mithai-flavoured biscuits/cookies which have crunchier and melt-in-the-mouth textures and can be found in munchable/smaller packs.

Enlargement alternative additionally lies in emphasising sizzling beverage pairings. The new-beverage-biscuit ritual drives biscuit consumption. Sizzling milk tea is the most well-liked beverage drunk alongside biscuits/cookies. Equally, encourage consumption by pairing biscuits/cookies with different sizzling drinks like inexperienced tea, sizzling milk espresso and plain milk/malt drinks.