Indian food retail chains are exploring new business models after witnessing a paradigm shift, with food aggregators reaching out to the homes of consumers leading to a disruption.
Speaking out on the issues confronting the food and beverage retail business, Rahul Singh, Founder, Beer Café & President NRAI said, "We do have enough capital backing or bandwidth, but the paradox says that we do not have enough quality space. Another challenge on the F&B player side is that capital dump food aggregators are crating cloud kitchens on their own and they are offering deeply discounted products,which are being delivered to the consumer's doorstep, especially since people are watching Netflix at home and they are not going out as often."
These among other issues will be deliberated when retail ninjas and honchos converge in Mumbai at the India Food Forum in its 12th year. The forum has been instrumental in shaping up the industry and this year, will engage through its first 'Food Phygital Conclave' with a view to bring in a very relative Omnichannel aspect.
"Many pundits predict that there are immense opportunities and potential in the food and grocery business, yet entrepreneurs are still researching the right format for organized food retailing in this country. As a regional player, to meet this challenge and competition it is important to exploit the prospects and push ideas to provide quality management with a commitment to delight consumers and shed the fear of disturbance," said C. Gopalkrishnan, Founder, N. Supermarkets, who is scheduled to speak on the grocery sector at the forum."Keeping in mind, the Make in India initiative, we in the food industry should now take it upon ourselves to imbibe global best practices, innovation and bold initiatives to facilitate the evolution of India into a world-class food market. At the forum, 'Food Phygital' will be my key point of discussion engaging all the main players in the business with a view to bring in a very relevant Omnichannel aspect," said Krish Iyer, President and CEO, Walmart India & Chairman of the India Food Forum.
"Modern retail, inherently through its design and its theatre of choice puts consumers in a mood to try new things. At this age of the marketibilation, it is smarter to treat modern retailer as the first mile of the demand chain rather than last mile of supply chain," stated Damodar Mall, CEO, Reliance Retail (SupermarketWala).
"The food and beverage industry, which contributes 2 percent of India's GDP, encompasses not just the brands we see on the street but also includes those who supply to them - from farmers to aggregators and to mandis and logistics service providers who ensure that cold and warm chains remain reliable across the breadth and width of this country and under different temperature conditions. Supporting these are warehouses, software and software providers technology services, digital marketing and loyalty service agencies. And finally, there are the affiliate marketers and online reviewers who need to be taken into account," concluded Bijou Kurien, Member-Strategic Advisory Board, L Capital Asia.