FMCG Cos on Buying Spree of Regional Brands
Two top FMCGs viz. Emami and Marico are gearing up to expand their product range by acquiring Kesh King, a top selling brand of ayurvedic hair oil in North India. On the other side, Wipro and other top FMCG majors are making round to purchase Indulekha brand of ayurvedic oil and soap of Monsoon Extracts, a Kerala based company in the South.
Punjab-based SBS Biotech, the owner of Kesh King Brand did assert the news but emphasized that they wish to further strengthen their brand by introducing more hair care products such hair colour, shampoos and oils.
On the other side, Marico is already ahead in the race by acquiring personal care range of Paras Pharmaceuticals a couple of years ago while its oil, Nihar Shanti Amla is doing quite well. On similar trends, Emami has acquired Rasoi brand of cooking oil and She Comfort brand in the feminine hygiene segment to diversify its regional presence.
Till the outcome of these talks get a definite shape, what can be understood that the FMCG industry is all out to expand regionally despite facing a slowdown. The FMCG companies are leaving no stone unturned to stay ahead of the rest by acquiring brands despite over valuations and uncertainties in commodities and their prices fluctuations.
Euronet India to Distribute Flipkart’s Digital Gift Codes
Flipkart has announced its decision to partner with Euronet India for distributing it digital gift codes across the country. These gift codes can be used to make purchases online at Flipkart and also for making payment as against the existing payment modes. Flipkart’s digital codes can be gifted or used personally as well.
Customers can purchase digital codes online from online banking portals and mobile applications of major Indian banks through Euronet. The digital codes so purchased will be delivered via an email or a text message through Euronet’s extremely secure electronic transaction processing service.
Through this initiative, Flipkart wishes to expand its customer base while offering an improvised ecommerce purchase experience.
FMCG companies on a buying spree of regional brands while Flipkart reaching out to more customers through digital gift codes reveal the optimism in the business industry. The growing young population with an increasing capacity to spend is what businesses are relying on for their growth in the future in India. They are banking on regional penetration for growth and profits.