In Conversation with Mohit Khattar, CEO, Graviss Foods Pvt. Ltd. – Baskin Robbins on how ice cream demands and market trends have evolved over the years.
What is the current trajectory and performance of the Frozen Foods category in terms of demand and growth?
In the ice cream market today, consumer preferences are evolving rapidly. Initially centered on traditional flavors, there’s now a demand for diverse and indulgent experiences, driven by evolving customer preferences, newer flavors and international influences. More and more brands are hopping onto this bandwagon and several local players are also playing their part in this journey. The ice cream market has been growing at approx. 15% annually. Going forward, we expect this trend to continue to shape our approach and our product strategy
Which particular product lines or segments within the Frozen Foods category exhibit the most promising growth potential?
Over the years, as consumers lives have become more hectic, the need for convenience has seen a significant rise. Consumers want products not just closer to where they are but also want it quicker. Additionally, products that offer the convenience of being consumed with a single hand are preferred by consumers whose one hand is perpetually busy with their mobile phones. This is resulting in increased demand for products like cones, sticks, sandwiches and even single bite- sized products.
What are the key category consumption trends in the Frozen segment?
We have observed several changes in the consumption patterns of consumers. Today snacking is emerging as one of the biggest consumption drivers in the lives of consumers. From mid-day snacking, to early evening snacking or even late night snacking, there are multiple day parts where consumers are opting for snacking alternatives. The ice cream industry in general has been so far content with serving the category in cups, sticks or cones for many decades now. We think it’s time to offer true innovation in this segment, to try and make a place for the category as a snacking option. Towards this end, we have introduced a whole series of products and are working on more options as well. Also, over time consumers have become more open to the idea of consuming frozen products across different categories. This is resulting in higher demand for larger refrigerators as also improved availability of frozen products in the retail stores.
How are you innovating and developing strategies to comply with new consumption trends?
We have built a sizable portfolio of products that appeal to today’s consumers and go beyond traditional ice cream offerings. This includes new age ice cream flavors like Lotus Biscoff , brown biscuit boba and blueberry n white chocolate and many others. Also, we have gone beyond offering traditional cups, sticks and take home packs. Our offering includes ice cream cakes, ice cream sandwiches, ice cream based milkshakes and ice cream based fruit shakes (called fruitinis) as well as bite- sized ice cream rocks, multi layered doublet bars and various such options that enable a consumer to savor the category in myriad ways.
Which are the segments or sub-segments where you see consumer shifts happening most?
I believe that the maximum shifts are happening in the affordable premium space in the ice cream industry. It is here that we find customers to be the most aware, the most demanding and also the most eager to try new concepts and new products. This is not restricted to metro or tier I cities alone. In fact, these green shoots are visible even in smaller cities.
What is the percentage of shelf space that is allotted by Modern Trade Retailers for Frozen Food? Also, what percentage of the overall sales comes from this category?
Typically, less than 10% of floor space is allocated by Modern Trade to frozen foods and ice creams as a category has to contend with frozen snacks, frozen vegetables, non-veg products, etc.
Can you provide examples of how innovations in product formats, packaging, or pricing have sparked enthusiasm within this category?
We recently launched “stickless” ice cream bars, called the Doublet Bars; they’re indulgent, convenient and absolutely delicious. As of now, these are available in two flavors. We have introduced new flavors in categories that the consumers loved last season, and created a range in each of our bite-sized Ice Cream Rocks and Ice Cream Funwich! They both were very well received by consumers and the new flavors can’t be skipped!
