The Federal Ministry of Food and Agriculture (BMEL) publishes a study by Dr. Wamser + Batra GmbH and AFC Public Services GmbH on the market potential of German confectionery in India.
“One of the opportunities of the Indian confectionery market lies in the numerous holidays on which the eating and gifting of confectionery is a traditional custom. While Europe is particularly characterized by Christmas and Easter, the number of 'special occasions' in India is many times higher," says Dr. Johannes Wamser, managing director of Dr. Wamser + Batra GmbH. Confectionery and snacks not only play a culturally important role in India, but they are also one of India's fastest growing markets. In addition to locally produced items, foreign goods are seen as luxury goods and are often given away on special occasions - an opportunity for German confectionery exporters.
Against this background, Dr. Wamser + Batra GmbH, together with AFC Public Services GmbH, was commissioned by the BMEL to summarize essential information about the confectionery market in India and to present the German confectionery manufacturer with targeted, practical information on sales opportunities as well as challenges when entering the market.
“A challenge is certainly to implement a 'good' marketing strategy,” says Mike D. Batra, co-managing director of Dr. Wamser + Batra GmbH and head of the “WB market solutions ®” department, “Brand is important and you cannot assume that German brands are known in India from the start. So you have to introduce your own brand into the market and make it known. This can be achieved even as a small manufacturer if I concentrate on the right occasions, the right target group and the right sales channels.” In addition, the inadequate distribution network is a problem, particularly for chocolate and ice cream products, as continuous cooling cannot yet be guaranteed everywhere.
The study is aimed primarily at small and medium-sized enterprises (SMEs) in the German confectionery industry. Empirical surveys were used to investigate whether the origin of products from Germany increases sales opportunities and whether Indian consumers associate positive characteristics with German origin. In addition, different market segments were examined in terms of size, price index, consumer preferences (taste preferences) and the image of the manufacturer. The results of the study are incorporated into the BMEL's export promotion program.
“German products enjoy a very high reputation in India. “Consumers appreciate the high quality, the ‘better’ or ‘exceptional’ taste from an Indian perspective and the food safety,” says Batra.
WB market solutions ® – the specialist department of Dr. Wamser + Batra GmbH, which combines expertise and experience in the Indian sales market.
