Coca-Cola to Apple: Global firms bank on India amid market slowdown

As global demand slows, top multinationals see India as a key growth driver, ramping up investments across sectors from beverages and tech to retail and luxury goods

Top executives from major multinational consumer companies, including Coca-Cola, Harley-Davidson, Philip Morris International, Yum! Brands, Carlsberg Group, Pernod Ricard, Apple, Beiersdorf, and Skechers, have highlighted India as a significant growth market. 

 

As global demand slows, India has stood out as a strong performer in their recent earnings calls, particularly for the December quarter and the 2024 financial year, according to a report by The Economic Times.

 

Many of these corporations cater to mid- to high-income consumers, focusing on discretionary spending. However, brands like Coca-Cola, Diageo, and Colgate also have a strong foothold in the mass market, which has recently experienced an urban slowdown. Despite these challenges, their leadership remains optimistic about India’s potential.  

 

 

Coca-Cola bets big on India  

 

The Economic Times report quoted Coca-Cola’s Chief Financial Officer, John Murphy saying that India is a market with “tremendous runway ahead” and a “vibrant” business environment. 

 

He said a “significant portion” of the company’s capital investment in 2025 will be directed toward India and Africa. In a notable achievement, Coca-Cola’s fruit drink brand Maaza became its 30th billion-dollar brand last quarter, driven by strong volume growth.  

 

India outshines China for Beiersdorf  

 

Vincent Warnery, CEO of German skincare company Beiersdorf, emphasised India’s growing importance, even surpassing China. He pointed out India’s ‘booming’ market and significant opportunities in untapped categories like face care, the report said.

 

Apple, Skechers, and AO Smith post strong growth  

 

Apple, Skechers, and AO Smith reported robust growth in India during the October-December quarter. Apple achieved record sales, with the iPhone emerging as the top-selling smartphone in the country.  

 

Alcohol giants Pernod Ricard and Carlsberg credited India for their regional growth despite subdued demand for spirits globally. Carlsberg CEO Jacob Aarup-Andersen acknowledged India’s complexity as a market but confirmed plans to increase investments in 2025, focusing on expanding capacity for the 2026 season and strengthening sales and marketing efforts.

 

Pernod Ricard, which holds a leadership position in India, recorded 6 per cent growth between June and December, making the country its second-largest market.  

 

India remains a key tobacco market

 

Philip Morris International also saw steady cigarette sales in India. The Economic Times quoted CFO Emmanuel Babeau as saying that global cigarette shipments increased by 0.6 per cent in 2024, primarily driven by markets where smoke-free products are restricted, including India, Turkey, and Brazil.  

 

Despite global economic uncertainties, multinational corporations continue to view India as a critical market. Increased investments and expansion plans signal long-term confidence in the country’s growth trajectory, positioning it as a key driver for global consumer businesses.