Empathy, trust, fortified proposition - how branded atta is thriving during the pandemic

The humble, daily staple of Indian households – atta or wheat flour – has undergone a lot of changes, with increasing brand push and introduction of new product variants. From the chakki and the neighbourhood kirana store to its packaged avatar in swanky supermarkets – atta has traversed a long journey. In keeping with growing awareness of health and nutrition, multi-grains such as millets, soyabeans, oats, etc., are also being added to the wheat flour to fortify it with added nutrients.

Interestingly, while there are quite a few national brands and an even larger number of local brands available today, there is also a huge chunk of the population that prefers to have their atta the traditional way – purchase the wheat themselves, along with any grains that they want to add to it and get it it all ground together in the local chakki or mill. Some supermarkets, such as, Big Bazaar also offer this facility, where one can buy the grains and get it ground as per one’s preference.

Recently, there was some flutter in the branded wheat flour market, when Parle Products launched ‘chakki atta’ under its Parle G brand. By tapping into the flour category, the company aims to capture urban and rural markets with 100% wheat atta. Branded wheat flour consumption has been largely an urban phenomenon, however, the pandemic has spurred the demand for hygienically ground wheat flour and an assurance of trusted brand among consumers in the Tier 2 and 3 cities, which is making them switch to branded atta.

According to a report by Ikon Marketing Consultants, the packaged wheat flour market in India was pegged at Rs 20,000 crore by the end of FY2020-21, growing at a CAGR of almost 21%. As per various industry reports, the branded wheat flour market is currently dominated by Aashirvaad atta from ITC. The other national brands include Nature Fresh, Pilsbury, Annapurna, Shakti Bhog, Patanjali, and Fortune, among others.

With growing competition in the branded wheat flour space, brands are looking at introducing fortified versions, innovative product packaging as well as catering to regional tastes with different variants. Along with this, advertising also plays a major role in bringing that product differentiation highlighting the right value proposition.

The Adani Wilmar Group had entered into the branded atta market with the Fortune Chakki Fresh Atta brand. Speaking to Adgully, Ajay Motwani, Chief Marketing Officer, Adani Wilmar, said, “The biggest issue with the wheat flour segment is that it is dominated by neighbourhood chakki mills, which leave scope for contamination and inferior quality of atta. However, our in-house team ensures the procurement of only the best quality wheat. The processing of the wheat grains and packaging takes place in our ultra-modern facilities under hygienic conditions. It passes through a thorough disinfection process to keep it free from insect contamination. Our quality rigor, promise of soft rotis and authenticity assurance of 100% Atta, 0% Maida has helped in making us a preferred choice of consumers.”

Motwani further said, “Fortune Atta was test marketed in a select geography, and post meeting internal metrics, was rolled out nationally. Our single-minded focus on the ‘Chakki Atta’ sub-segment, which contributes to a dominant 90% share of the overall ‘Atta’ category, as well as focus on the ‘Unbranded Atta’ user, has paid off. A large chunk of Unbranded Atta users moved to packaged Atta, driven by the concerns around authenticity/ purity. This segment needs the reassurance of a trusted brand, which our flagship brand Fortune very well delivers with its age-old legacy.”

Mayank Shah, Senior Category Head, Parle Products, noted, “With the lockdown restrictions, there arose a need among the consumers for convenience and hygiene of food products. Not only is ‘Parle G’ a household name, it is a trusted brand, which over the years has earned a good share of consumer confidence. In addition to this, in view of the current situation, it provides convenience and hygienic factors to remotest areas with branded atta and breaking the age-old traditions. With a customer-first strategy, we want to cater to their needs by delivering products that are authentic, 100% atta, healthy and nutritional. The product is tasty and healthy roti with the assurance of 6 hours softness and competitive pricing will generate steady demand and penetrate the flour market.”

Shah further remarked, “The changing consumer behaviour has forced us to relook at our product portfolios and marketing strategies in today’s environment. We were mindful enough to not push the positioning too directly. It is essential that we also keep in mind the economic and social conditions of our consumers and with our messaging, we aim to be empathetic and position ‘trust’ as a major factor for our product. This approach has led to a positive response from our audience as well. Currently, we have launched the brand in the northern and western areas of the country and as we see the overall situation of the pandemic lightening, we shall diversify our engagement efforts. At the core, being a pioneer in the food business, Parle always strives to provide nutritional, credible and quality products to our customers.”

(Edited and additional inputs by Shanta Saikia.)