Pyramid is changing into diamond; Make brands socially responsive

douglas_bailley_hllMr Douglas Baillie, Chief Executive Officer of the Rs.11,953 crore FMCG behemoth, Hindustan Lever requested companies to make their brands socially responsive and innovative as part of their growth strategies. He was speaking on the theme “India opportunity and the role of social innovation” at the IIMA Confluence 2006.

In the next 20 years, India’s pyramidal economy, with 75% of consumers in the bottom rung of a pyramid, will metamorphose into a diamond-shape, with 50% of consumers moving up from lower to middle- and upper-income levels, he said.

While, the top end of the segment of consumers would flaunt spending power and display consumer behaviour as witnessed in Europe, the new consumer would spend on those brands, which would make her express herself.

In the coming years, the current share of modern retailing at 3.9% would increase to 25% . There would be an explosion of choices for the consumer and that represents a huge opportunity for FMCG companies.

Advertisements

Leave a Reply

Fill in your details below or click an icon to log in:

WordPress.com Logo

You are commenting using your WordPress.com account. Log Out / Change )

Twitter picture

You are commenting using your Twitter account. Log Out / Change )

Facebook photo

You are commenting using your Facebook account. Log Out / Change )

Google+ photo

You are commenting using your Google+ account. Log Out / Change )

Connecting to %s