Unilever CEO eyes more opportunities in India
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Unilever’s newly-appointed CEO Fernando Fernandez has voiced optimism about the Indian market, believing in its long-term growth potential despite quarterly revenue shortfall.
In an interview with Barclays earlier this month, Fernandez highlighted the brand’s long-term prospects in India, despite the country’s substantial food inflation.
He says India is unique since richer and poorer Indians dwell close together, resulting in a demand and supply of labour. That made quick commerce a logical channel to grow.
“Our position in India is exceptional. We have great brands; we have a great portfolio,” he said.
“The economic environment in India will get better in the second half of the year. There are significant changes in the channels in India. The rise of affluent India is very important. There are 60 million households of the 320 million households in India. They have serious money now.”
According to Unilever’s financial results for the fourth quarter and full year 2024, India rose 1.8 percent, with underlying volume growth of 2.4 percent. Home care and beauty and well-being were the primary drivers, while personal care declined.
Questions & Answers
Q.What is Unilever's overall sentiment regarding the Indian market, despite recent financial performance?
What is Unilever's overall sentiment regarding the Indian market, despite recent financial performance?
Unilever's newly-appointed CEO, Fernando Fernandez, has expressed optimism about the Indian market. He believes in its long-term growth potential, despite a recent quarterly revenue shortfall and substantial food inflation in the country.
Q.Which specific product categories drove growth for Unilever in India, and which one saw a decline?
Which specific product categories drove growth for Unilever in India, and which one saw a decline?
Home care and beauty and well-being were the primary drivers of growth for Unilever in India. In contrast, the personal care category experienced a decline during the same period, according to the financial results.
Q.What unique characteristics of the Indian market does the CEO highlight as opportunities for growth?
What unique characteristics of the Indian market does the CEO highlight as opportunities for growth?
The CEO notes that richer and poorer Indians live in close proximity, creating both demand and labour supply. This makes quick commerce a logical channel. He also highlights the rise of an affluent Indian segment with significant spending power.
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