Tata Consumer Products is displaying its way to deal with twofold direct reach to clients, says CEO

NEW DELHI: Tata Consumer Products Ltd is redrawing its whole deals and dispersion framework to be more straightforward, dynamic and digitized. Plans to double its immediate reach in the following a year reacting to the difficulties of the coronavirus pandemic. The Tata group FMCG firm is moving its emphasis on development likewise and is focusing to double the commitment from new items. Besides, it is rebuilding its core business, creating capacity and is realising synergies. From the integration of its food and beverage businesses in India.

Under its development plans, Tata Consumer Products Ltd (TCPL), which recently bought out its JV partner PepsiCo. It is also exploring both natural and inorganic open doors in the fragment.

“Our growth plans for FY21 will focus on executing our strategic plans, which includes building on our core businesses. Jump shifting digital and innovation, realising synergies from the integration of our food & beverage businesses in India. Stepping up our capability building agenda, exploring new opportunities organic and inorganic,” TCPL Managing Director & CEO Sunil D’Souza told.

After merging consumer products business of Tata Chemicals with Tata Global Beverages, the company was renamed TCPL and now owns brands like TATA SALTS, TATA TEA, TETLEY, Eight O’ clock and Himalayan Water. It would up its digital quotient, which incorporates utilizing advanced innovation from the front-end beginning with the sales reps and stockists level.

Over expansion of sales network, D’Souza said it would work on its supply chain. It is scalable and can be leveraged for any new category or business.

“As part of the integration of the food and beverage businesses, we have initiated a sales and distribution re-design. This will result in a flatter, more agile structure leveraging digital technology. It will help us further expand our direct reach, leverage revenue and cost synergy and help us serve the end consumer better,” D’Souza added. Moreover, the organisation will also set up a customised approach dependent on the qualities of various channels. For example, discount, hot bistros, premium basic food item and so forth and have a committed group to serve them.

“There will be dedicated teams servicing alternative channels such as modern trade, e-commerce, institutions, food service and vending,” he said.

TCPL would also relook at the rural distribution model to strengthen it significantly. Likewise, it is growing faster than the urban after vastly recovering from coronavirus-related disruptions.

“We have a proven track record of creating category-defining brands in commodity spaces, like Tata Tea, Tata Salt and Tetley. We see similar opportunities in the staples and packaged food space too. Once we create the common platforms for execution, there are significant opportunities for us to move up the value chain into more value-added and premium products in the food and beverage space,” he said.

“It is important for us to strengthen and scale presence across all these channels. That’s one of the reasons why we are putting in place a customised approach in our sales. Distribution re-design with dedicated teams for different go to market channels. It is vital to stay close to the consumer so that we can quickly read consumer trends and changes in buying behaviour,” he added.

TCPL had a revenue of Rs 5,690.24 crore in FY2019-20.


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