In order to curb the slowdown, FMCG prime Britania Industries aims to increase prices marginally, in the third quarter of the ongoing fiscal year. In addition to this, the company official stated, on Thursday, that their company’s growth had taken a toll on the sales in terms of value and figures. He further mentioned that the slowdown had been observed sharply in the last five to six months and the length of time till January would "not be easy."
Vinay Subramanyam, Marketing Head of Britania Industries reported "In the third quarter, slight increase in prices will happen."
A food product like biscuit is considered to be price elastic and therefore is bought by each and every customer across the country. Adhering to this, he commented that the growth in sales of the company had halved in terms of value as a result of the slowdown.
"We have started seeing the slowdown five to six months back. The next five to six months are not going to be easy and there is lack of optimism", Subramanyam said.
He said the company is "watching the situation very closely and expecting a positive impact of the monsoon".
Apart from marginal price increase, the company would opt for cost optimisation, he said.
"We have to be more efficient in operations including reduction in logistics expenses. Despite the slowdown, the company had been gaining market share and will continue to focus on major brands," he said.
Subramanyam stated Britannia's market share across the country was estimated to be 33 per cent, placing it in the leadership position and the eastern India is "an important market for the company".