Local brands in India are growing faster than national brands in the fast-moving consumer goods (FMCG) sector due to a slowdown in inflation. India s consumer demographics are also shifting, driving growth in the sector. A recent Redseer survey revealed a large proportion of Indian consumers are willing to buy unbranded products. The "mass" class, which is set to underpin India s retail industry, focuses on value for money, and is increasingly purchasing online.
Local Fast Moving Consumer Goods (FMCG) Brands in India are growing at a faster pace than large-scale brands across all categories with volumes rising to 28% in the moving annual total (MAT) of April 2023, according to a Kantar report. However, during inflation, local brands are unable to cope with pricing pressures and grow at a slower rate while national brands usually become consumers "go-to" choice.
In terms of valuations, Indian markets are not cheap. Once the Q1 results are out we will have a better idea about FY24 EPS estimates and the absolute and relative valuation of the Indian markets.
Originally founded in London in 2003, Astus is present in 20 countries with over 300 clients and trades over $400 million annually. It works with advertisers to enhance their media budget using their products or services. The company is present in FMCG, airlines, automotive, telecom, tourism sectors, among others.