Gujarat market clocks over 50% increase in sales of WAI WAI noodles in the last 2 months
CG Foods which supplies “Wai – Wai” ready to eat noodles variants and conventional (instant) noodles under it’s brand extension “Wai – Wai Xpress” in the state ramps up operations to 90% capacity utilization in its 10th manufacturing line in Ajmer that caters to the consumers in Gujarat.
The brand has recorded an increase of 25% over average consumption of WAI WAI products in Gujarat.
The COVID pandemic and lockdown have changed the business ecosystems and the consumer behaviour. The consumer trend that has prominently impacted the FMCG business is the growing demand for convenience food. It is expected that this trend will sustain with WFM becoming the new way of life and eating out options being impacted. WAI WAI noodles the ‘Ready to Eat’ noodle of the country has clocked record sales in Gujarat, as it perfectly fits the requirement for consumers at home today who are increasingly looking at easier snacking/meal options.
CG Foods capitalized on this growing demand in Gujarat by ensuring uninterrupted supply of WAI WAI products by re-starting the production and ensuring supply chain kick-started at the earliest possible day. Gujarat as a market has responded very well to the brand in the last few years and post the lockdown, CG Foods has aggressively focussed on expanding its distribution networks which has helped in registering first time consumers.
It is expected for the new consumers’ preference towards the brand to continue even after the increased availability of other noodle brands. Furthermore, recognizing the need for no-contact door step delivery for consumers, the brand has collaborated with popular e-commerce platforms such as Swiggy, Grofers Bigbasket & Flipkart, to ensure easy access for consumers.
Varun Chaudhary, Executive Director, CG Corp Global stated, “We believe that the new habits being formed now will endure beyond crisis, permanently changing the lens through which consumers view products and brands. With convenience foods increasingly becoming a way of the new lifestyle, we as a company will eye a larger slice of the market and focus on riding on innovation to provide more suitable offerings” he said.
He added saying “ We are putting a lot of emphasis on distribution expansion in Gujarat and it has already started paying good dividends. While in March and April, we could hardly clock 50% of our average sales, we have been able to clock 120% of our average in May”.
Varun Chaudhary also said that “Most importantly, as a brand we are excited to see our consumer base increase as this period has brought to us many first time buyers in Gujarat. Gujarat has clocked over 50% increase in our sales in last 2 months and we believe we will see a substantially high -new normal when it comes to consumption of Wai Wai noodles in Gujarat.”
Another interesting purchasing trend that the pandemic has caused is that the consumers are up-stocking their kitchen with larger family packs against the usual purchase of smaller packs, especially in the metros. On the other hand, there are many occasional users and first time consumers eyeing the smaller packs.
With the market for convenience foods set for a healthy growth, Noodles as a market has been growing in double digits and it is expected to continue the same. It is expected that the penetration of the category will increase faster across stratums and CG foods is working towards playing a key role in it.