Slide 1: Future Consumer
/ FUTURE CONSUMER”:
Slide 2: India is an ancient food culture with deeply entrenched habits and preferences
India is an ancient food culture with deeply entrenched habits and preferences India West
Slide 3: India interacts with food in an unstructured, multi-sensory, multi-textured way
India interacts with food in an unstructured, multi- sensory, multi-textured way. We are circular eaters vs.
Slide 4: Indian homes and personal care regimes are influenced by ancient cultures and beliefs
Indian homes and personal care regimes are heavily influenced by cultures and beliefs that go back thousands of years
Slide 5: Palates, foods, and eating habits are hard to understand and shape
Palates, foods, and eating habits are hard to understand, and even harder to shape. We encompass over 3000 castes, 6 major religions, 21 spoken languages and 6 climatic zones. With 189 fasting days in a year on an average, India needs to be understood on its own terms
Slide 6: The Consumer Shastra informs our thinking
Our deep understanding of evolving Indian consumers, The Consumer Shastra, informs our thinking TYPE OF CLASS STAGE IN FAMILY LIFE TYPE STAGES ASTHADISHA OF TYPE OF OF TECH INDIAN LIFE PROFESSION ADOPTION TYPE OF CULTURAL NATIVITY AFFILIATION INDIAN ETHNICITY
Slide 7: A customer and culture led organization
A customer and culture led organization, we study India obsessively - its consumers and changing landscape
Slide 8: It takes an Indian company to serve Indian kitchens
We believe it takes an Indian company to best understand and serve Indian kitchens, homes, and aspirations
Slide 9: A new India has emerged within a generation
A new India has emerged within a generation: From an era of scarcity to one of opportunity and abundance
Slide 10: Over 670 million Indians born in the post-liberalisation era
More than 670 million Indians today have been born in the post-liberalisation era (1990 onwards)
Slide 11: India is still an under-branded economy
India is still an under-branded economy - with 1.3 billion people who are only just beginning to consume
Slide 12: Patanjali, Epigamia, Paper Boat: new age FMCG brands
Patanjali, Epigamia, Paper Boat – Are new age FMCG brands
Slide 13: The Indian kitchen has changed significantly
The Indian kitchen has changed significantly. New technologies, gadgets, diets, fads, have had an impact. The kitchen is a space not only for chores but also for display.
Slide 14: New influencers, bloggers and chefs speak a new language
New influencers, food bloggers, gourmet chefs, YouTube celebrities, avant-grade restaurants speak a new language…
Slide 15: Roles and responsibilities are evolving across society
Across all sections of society, roles and responsibilities are evolving, negative labour is being eliminated. Women are no longer chained entirely to domesticity
Slide 16: Other FMCG companies were created for a different India
Other FMCG companies were created in a different era for a different India. We understand the NEW India, and the NEW Fast Moving Consumer Generation - FMCG 2.0
Slide 17: A new benchmark can be created with FMCG 2.0
We believe that a new benchmark can be created to succeed in a new India, with FMCG 2.0 We need to rewrite rules but retain values to win
Slide 18: Modern retail is the fastest growing distribution channel
Importantly, modern retail is the fastest growing distribution channel, catering to a new generation of consumers
Slide 19: Presenting FMCG 2.0
Presenting FMCG 2.0 For the Fast Moving Consumer Generation
Slide 20: Future Consumer
/ FUTURE CONSUMER”:
Slide 21: A new age Food and FMCG company for a new era
Future Consumer Limited (FCL): A new age Food and FMCG company for a new era
Slide 22: Building brands to acquire lifetime value of the consumer generation
We are building brands to acquire the lifetime value of today’s Fast Moving Consumer Generation
Slide 23: Brand portfolio
Celebrating the undying love & The belief in doing and proactive Nurturing the foundations with love unabashed pleasure pursuits of tasty choice-making that leads to positive that is infused in every home cooked food approach to living meal Welcome to the Sunkist Life of fresh Bringing the goodness
Slide 24: Brand portfolio
The latest, lightest, flakiest, airiest Wholesome daily essentials with Happy endings for a sumptuous meal snack known to mankind untouched goodness of nature Savour the goodness of Dairy & Bakery You've never experienced vegetables Discover the master chef in you with products that are made not lik
Slide 25: Brand portfolio
Stay beautiful on the go with Kara's Beauty brand with unique fusion of Grooming gear to glam yourself up refreshing, skin care & beauty wipes exotic Swiss ingredients & Indian everyday botanical extracts Soap's Time Is Up. Don't think soap, Cleaning is not about waging a war Infuse specialness in t
Slide 26: Desi Atta Company
Desi Atta Company A core ingredient in Indian cooking With over 50 types of authentic atta’s and ready mixes, made from various regional millets, pulses and grains, the brand makes ancient grain wisdom and its health benefits, relevant to today’s lifestyle. From single grain flours, to ready mixes-
Slide 27: Tasty Treat
Tasty Treat For mindless snacking, munching and sipping. From biscuits to namkeens, from juices to sherbets, from cutting edge bhujiya’s to new age snacking. Tasty Treat has innovative solutions for all Wafer biscuits are distributed in general trade, using the Indo-Nissin network Digestive biscuits
Slide 28: Karmiq
Karmiq A health and wellness brand for new India. India’s first national dry fruit brand Dry fruits today are being purchased at an impulse, for healthy snacking and munching. A range of dry-fruits, from Cashews, walnuts, Pistachio’s to berries and also India’s most favorite Mamra Almonds India has
Slide 29: Sangi's Kitchen
Sangi’s Kitchen For new gen customers who needs more than just ketchup A brand of chutney’s, dips, sauces, condiments and spices
Slide 30: Kosh
Kosh Flavoured Oats and Oats Atta Building Oats as the third grain of India, by bringing it into the center of plate with a multigrain flour. Building a health snacking option through sweet and savoury options of flavoured oats.
Slide 31: Fresh and Pure Tea
Fresh and Pure Tea Fresh & Pure’s Kadak chai has been inspired by the chai consumption patterns of the mass –a strong blend made with premium quality leaves- with minimal processing In a competitive tea category, Fresh & Pure’s Kadak chai has a market share of 15%* *Represents share in FRL Stores
Slide 32: Nilgiri's
Nilgiri’s Flavoured Milk and Cold Coffee Nilgiri’s is a heritage brand that renews itself to connect with a new generation of customers. With flavoured milk and cold coffee, this South Indian brand is ready to conquer the nation
Slide 33: Shubhra
Shubhra Sona Masoori- the healthier rice Branding Sona-masoori, the most consumed rice variant in India. Shubhra Sona Masoori is 99.5% fat free and easy to digest, making it ideal for regular, everyday consumption.
Slide 34: Kara
Kara From Refreshing Wipes & Skincare Wipes to Sheet Face Masks And Nail polish removers
Slide 35: The KARA story
The KARA story New Contemporary Packaging Sales (In Rs Cr) 30 21 9 Pre Acquisition FY17 FY18 A brand acquired in 2015 and scaled through New Category Expansion the insights of evolving woman and there need for on-the go solutions. Retail Expansion: • From 10,000 GT outlets in FY16 to 30,000 GT outle
Slide 36: The KARA story
The KARA story Extensive single sachet sales at across industries • Entertainment: Carnival Cinema, Insignia Launch TVC for Summer 2017 • Travel & Hospitality APSRTC, TSRTC, Air Asia, Vistara, Taj Leela, Lalit • Beauty Services: Tony & Guy Spalon, Enrich, Naturals etc. GT Execution Digital Expansion
Slide 37: Thinkskin
Thinkskin 250ml | 100ml ActiveSports | WildRose | LemonFresh | AquaSplash | Sandal Upgrading Soap users to Body wash with a disruptive price proposition
Slide 38: FCL owns a wide portfolio of Food and FMCG brands
FCL owns a wide portfolio of Food and FMCG brands for every household need - allowing for a rich multi-pronged engagement with our consumers An year of interesting new challenges Tasty Treat mega (re)launch Food and Groceries New ideas in food Lombard’s fresh take on Indian formal fashion Exciting n
Slide 39: Organization design to innovate, incubate and accelerate
Our unique organization design allows us to innovate, incubate and accelerate - all at the same time
Slide 40: We've moved from Hierarchy Structure to Holacracy
We’ve moved from Hierarchy Structure Holacracy Holacracy helps us do multiple things simultaneously, bringing together wisdom and energy Flexible Organization New Meeting Formats More autonomy to Unique Decision Design – Action Oriented teams & individuals Making Process
Slide 41: Integrated Organization Design at FCL
Integrated Organization Design at FCL allows us to operate with speed and efficiency and operate in multiple categories simultaneously.
Slide 42: Integrated Organization Design: Zero to 1 and 1 to 100
Integrated Organization Design at FCL includes both: Zero to 1 and 1 to 100 Sampling/ Marketing & SCM Others NPD activation Design, Launch & Franchise Marketing Business Procurement/ Sales Intelligence GT Sourcing/ & and Commercial Distribution Strategy Sourcing MT COE – Brand Manufacturing Aadhaar
Slide 43: Owning the value chain brings multiple benefits
And by owning the value chain- from sourcing, manufacturing to distribution we see multiple benefits
Slide 44: Strong back end infrastructure and manufacturing capabilities
FCL has invested deeply in strong back end infrastructure and manufacturing capabilities We have: • Sourcing capacity of 1.5 lakh tons agri produce • 71 sourcing hubs across the country, • APMC licenses in 26 states, • 50+ warehousing and processing centers, • 110 acres of food parks which help prov
Slide 45: Our cost of doing business is considerably lower
Our cost of doing business is considerably lower. Being modern retail backed, our distribution costs is at 17% vis-à-vis established FMCG companies which are at 27% Additionally, our marketing costs are significantly lower. As we build brands largely in stores and on digital platforms.
Slide 46: Controlled distribution network enables superior demand forecasting
The controlled distribution network allows us to respond in real time with superior demand forecasting capability Production Supply based on real time evolving Demand Forecast Speedier and localized lifecycle management to stay on forecasted sell through Customized product offering for relevan
Slide 47: Future Group has the largest scale and coverage in India
Future Group has the largest scale and coverage in India 255+ unique towns 5,500+ Present in every state Rural distribution centers 1,600+ Stores 22mm+ sq. ft. Retail space Over 55% zip code 400mm+ coverage Customer footfalls annually A large store in over 8,000 of c.14,000(1) pin codes 47 (1) Civil
Slide 48: FCL engages directly with consumers without distribution layers
FCL is able to therefore engage directly with consumers - without distribution layers in between. Other Large Format Small Format Channels, 24% Heritage, Channel 1% Big Bazaar, Wise Sales 50% Mix (Q3) Aadhar, 5% Nilgiris, 8% Easy Day, 12%
Slide 49: Modern retail led distribution model
FCL’s modern retail led distribution model encompasses not just our own network but also other modern retail and GT General Trade Other Modern Trade: 233 98 37 35 31,000 27 15 10 30,000 6 2 1 5,500
Slide 50: Digital wholesale cash and carry model
And further we will add distribution might through our digital wholesale cash and carry model - our answer to the General Trade Network (as Alibaba has done with Ling Shou Tong in China)
Slide 51: Aadhaar Wholesale Centres as a digital distribution highway
Aadhaar Wholesale Centres will build a digital distribution highway for FCL brands
Slide 52: Aadhaar Wholesale Centres will serve
Aadhaar Wholesale Centres will serve: • Any retailer/ store front owner • Eateries/ Dhabas/ Restaurant owners • Any service provider, institution, • Anyone with a Shops & Establishment number or GSTN no. • The PDS network • By appointing members it will build relationship, provide services, and buil
Slide 53: Aadhaar Wholesale Centres bring modern analytics and operations
Aadhaar Wholesale Centres will bring modern analytics and operations to a business (GT and informal) that has long been run by intuition
Slide 54: Business grown over 40% year-over-year, aiming for 70%+
We have grown the business year-over-year by over 40 % and are aiming for 70%+ growth in the next year
Slide 55: Our new category and brand launches
Our new category and brand launches include: Breakfast Cereals Extruded Snacks and Namkeens Total Market Size: Total Market Size: 6700 cr 16,000 Cr. 100% fresh juices, sherbets with a twist and concentrates Total Market Size: 550 cr
Slide 56: Our new category and brand launches
Our new category and brand launches include: Air fresheners and car fresheners Fabric Care Total Market Size: Total Market Size: 500 Cr. 16,000 Cr. Shampoos and Conditioners Baby Accessories and Grooming Total Market Size: Total Market Size: Entire range of disposable 5,500 Cr. Surrogate is infant p
Slide 57: The opportunity to be India's foremost FMCG company
We have the opportunity to be India’s foremost FMCG company.
Slide 58: Group food and FMCG business estimated to reach 50,000 crores
And we believe this can be made possible The group’s food and FMCG business is estimated to reach 50,000 crores (US$ 8 billion) And FCL brands aspire to have a 70% share in our own network
Slide 59: Reaching 5,000+ small stores through Future Group network
Through the Future Group network alone, we will reach 5,000+ small stores and within a 2 km radius of every consuming Indian.
Slide 60: 15 to 20 million active paid members by 2021
With 15 to 20 million active paid members by 2021, Future Group will also grow its store network Large Format Small Format ~5,000 stores ~450 stores
Slide 61: FCL to be 3 billion USD and 15%+ EBITDA company
We believe FCL will be 3 billion USD (Rs. 20,000 crore) and a 15%+ EBITDA company built for a new India, serving the Fast Moving Consumer Generation
Slide 62: FCL 9M FY18 Performance Snapshot
FCL 9M FY18 Performance Snapshot: Standalone and Consolidated Standalone Summary Top Line Growth EBITDA Improvement PAT of ₹216 mn Cash Profitability 17,781 474 216 398 45% 12,300 2.2x 3.2x 220 125 (23) 9M FY17 9M FY18 9M FY17 9M FY18 9M FY17 9M FY18 9M FY17 9M FY18 Consolidated Summary Top Line Gro
Slide 63: Thank You
Thank You