Oats in India is a growing segment but is not considered very palatable by many consumers in comparison to tastier options such as idlis and paranthas. The challenge is to overcome the taste barrier and enter more households by increasing the proportion of oats in the Indian diet. Aditya Bagri, GM- Marketing at Bagrry’s India, states the company’s objective to take the upcoming segment in the country to the next level without altering consumption habits.
What is your assessment of oats consumption trend in India?
The market for oat-based products is definitely on the rise, as oats are perceived as being synonymous with health, and are now available in biscuits, noodles, breads, etc. However, the oat content in these products is very little; it generally ranges between 1-10 percent. According to a recent report, around 26 percent of the Rs 720 crore Indian breakfast cereal market constitutes of oats. Breakfast cereal is a fast growing segment. in a market which is evolving, and becoming more and more health conscious.
What factors have marked the shift towards increased consumption of oats?
We were the first brand to see potential in this grain, which we have been manufacturing and marketing for almost 20 years. The shift came in the wake of lifestyle-related ailments such as heart disease, diabetes and hypertension. Oats comes as a natural boon as it helps reduce cholesterol, manage weight, and even reduce risk of high blood pressure. Also, with increasing awareness, and accessibility of healthy food options, oats are increasingly finding their way into urban kitchens. Our target consumer are homemakers and working women in the age group of 25-40 years, residing in towns with over 5 lakh population, and who lead an active lifestyle and believe in fitness, exercise and in eating right.
What are Bagrry’s oat-based products?
Our product range offers oats as a staple from which consumers can prepare other Indian dishes. Our oats can be used in the form of rice, poha and suji, to prepare pulao, upma, uttapam, and idli. It is the perfect way to add oats to one’s diet in every meal. All our products essentially provide 100 percent wholegrain oats. We follow strong quality standards for which we source some of the finest ingredients from around the world. We are more competitively priced as compared to the imported variety, plus we have an edge over foreign brands as we understand the Indian taste palate better, and customise our products accordingly.
Which retail format generates more sales revenue for Bagrry’s oats?
Bagrry’s Oats is available in all modern retail format stores. Modern retail definitely has a strong role to play in our category, especially since our products cater to SEC A and B. It is a very good platform for consumers to interact with our products and try out something new. We also have a strong network in the traditional retail outlets, which stock and sell our products. So, for us, both the formats are equally lucrative, with modern trade and traditional retail accounting for an equal ~50 percent of the revenue from our oats. In fact, we have been doing a lot of wet sampling at all our retailers.
What are the growth challenges in this segment?
Oats in India is a growing segment but is not considered very palatable by many consumers in comparison to tastier options such as idlis and paranthas. The challenge is to overcome the taste barrier and enter more households by increasing the proportion of oats in the Indian diet. Our objective is to drive oats as the third staple grain of India and take it to the next level by offering unique ways of consuming them without altering consumption habits. Our Oats for India range that offers healthy staple options from 100 percent oats, is a step in that direction.