After coming up with a premium variant of its chocolate, Fabelle, which is now available across grocery stores as well as modern trade, ITC is aiming to considerably outpace the category growth of more than 10 per cent in the next two-three years.
“The chocolates category has been growing faster than 10 per cent in recent years and we expect to grow significantly faster than the category over the next few years,” said Anuj Rustagi, chief operating officer of chocolates, coffee and new categories at the food division of ITC.
The company decided to come up with this premium variant of Fabelle to reach a larger consumer base which in turn will help it improve sales volume. These premium chocolates, priced between Rs 70 and Rs 170, compete directly with Silk from the Mondelez stable and this price category has been growing faster than the overall growth rate in the chocolates industry.
In 2016, ITC had decided to first come up with a luxury range which was made available to consumers at its luxury hotels and boutiques. Thereafter, the firm took a call to launch bar variants of this brand at premium price points. This variant of Fabelle is available in top chocolate selling outlets across six metros, namely, Mumbai, Delhi, Kolkata, Hyderabad, Bengaluru and Chennai.
“We launched the Fabelle FMCG chocolates range in Bengaluru in October 2018 and have further expanded distribution in Delhi, Mumbai, Kolkata, Chennai and Hyderabad this year. The range is available in large outlets, including modern trade and premium grocery stores. We will continue to expand distribution in the near future and extend our presence to other relevant consumer touch points,” Rustagi said.
This FMCG chocolate range consists of two product formats — soft centres, which are a range of centre-filled chocolate bars, and the chocolate deck that is a range of multi-layered chocolate bars. Rustagi said these chocolates bring alive a unique dessert-like experience in the form of chocolate bars, giving consumers an indulgent chocolate experience.
After claiming to have received positive consumer response on its luxury range, ITC has also started retailing luxury chocolate bars at premium modern trade outlets in the six metros. This range includes eight dessert-inspired chocolate bars priced between Rs 350 and Rs 495.
On the other hand, ITC is also strengthening its assorted chocolates which are typically meant for gifting on special occasions like Diwali.
According to the company, chocolate gifting during the Diwali season is increasingly becoming popular and it has introduced a specially curated range of offerings suitable for gifting during the festive season. The Fabelle gift bouquets, meant for festive gifting, is priced between Rs 2,450 and Rs 13,750 and will be sold exclusively from the chocolate boutiques. This bouquet is an assortment of luxury chocolates like Elements, Dessert Collection and Gianduja.
“We have also introduced special assorted gift boxes at various price points – The Bars Quartet at Rs 1,450, the Bars Trilogy at Rs 1,100 and the Bars Treasury at Rs 350,” Rustagi added.
The Quartet is an assortment of four luxury chocolate bars, while the Trilogy is an assortment of three luxury bars and the Treasury an assortment of four bars.