Will e-commerce route help reach wider customer base to Mother's Recipe?
Will e-commerce route help reach wider customer base to Mother's Recipe?

With the fast growing e-commerce space and the increasing shift of grocery shopping to the e-platform, Mother’s Recipe (A part of Desai Brother’s Ltd. - food division) has launched their E-Store - http://shop.mothersrecipe.com/.

Making shopping easy

The website will enable customers to choose and shop from the entire product range of Mother’s Recipe across categories including Pickle, Papad, Paste, Ready to Cook spice gravy mixes, Ready to Eat Meals, Chutneys & Instant Mixes.

“We wanted to provide our consumer with easy access to our entire product rangeand with the growing acceptance of e-commerce platform to shop for daily needs, entering into this space was indeed the natural progression for our existing business,” shared Sanjay Desai, Executive Director, Desai Brothers Ltd.

Targeting the regions

The new digital platform will offer our customers an enhanced buying experience that combines the speed and convenience of e-commerce transactions with the trust and reliability of the Mother’s Recipe brand.

“From the company’s perspective this venture will enable us reach out to a wider segment of consumers,” added Desai.

One of the key aspects of the portal is that it will allow consumers access to Mother’s Recipe’s basket of  region specific products from all over India such as pickles, ready to cook spice gravy mixes, instant mixes of breakfast and snacks, spice powders and other traditional cuisine products.

Like region specific RTC gravy mixes or pickle delicacies - Kerala’s Kaduku Mango, Madras thokku or Andhra’s tomato/ Gongura, Chettinad Chicken, Malabar Fish Curry, Kerala Roast Chicken, Nawabi Chicken can be ordered easily online across the country, which may or maybe not available in grocery/modern retail stores in that particular city / region. Products will be available in spill proof, easy to carry pouches ensuring ease in transportation and delivery. The company which will use a centralized warehouse in Pune will deliver the ordered products via FedEx courier within 5-7 working days.

Where does industry sits today?

A recent report by Internet & Mobile Association of India (IAMAI) and KPMG found that, as of June 2015, internet users in India stood at over 350 million. With internet penetration still at 19 per cent, which is only one-third of that in other BRIC nations, it is expected to grow at a CAGR of 61.3 per cent from 2013 – 17.

India’s internet growth story is strongly driven by the rapid growth of rural mobile internet users, which grew from 0.4 per cent in 2012 to 4.4 per cent today. The E-retail or eTail, (online retail and online marketplaces) which is pegged at $6 billion in 2015, emerged as the fastest growing segment in the industry with a CAGR of around 56% in the period of 2009 – 2014. In 2014, online retail had a miniscule share of 0.4 per cent in Indian Retail and is expected to take a share of 3 per cent by 2020.

“On the online space we are currently selling our products through18 E-Grocers such as Big Basket, Grofers, Amazon¬¬.in, Aaramshop, Farm2kitchen, MyGrahak, Callandorder, FreshnDaily etc., and have witnessed substantial growth. Wesee our foray into the online spaces another important way to connect with our customers. This development will indeed help the company create a newengagement channel with brand loyalists and at the same time will be an attractive choice for new customers who are yet to experience the brand,” Desai added further.

Though at present online contribution is just a very small portion of total sales of the company's revenue coming from online sales. However, the avenue holds huge business potential and Mother’s Recipe anticipate this pie to surely grow exponentially in the coming few years.

Projecting bigger growth

Desai Brothers Limited, which diversified into Food business in 2002 under the brand name 'Mother's Recipe' has witnessed exponential growth, CAGR of over 25% and has a strong presence across India and the global arena especially in the Middle East, Australia, UK, Europe, US, Canada and Africa, being one of the largest providers of traditional & authentic Indian taste exported to more than 40 countries in the world. The current product portfolio in India consists of Pickles, Condiments Pastes, Blended Spices, Ethnic Chutneys, Papad, Ready to Cook Spice Mixes and Instant Mixes.

The Mother’s Recipe brand with a robust distribution network across the country caters to diverse formats ranging from mom &pop stores, modern trade outlets, multi-functional outlets, e-commerce, Defense and to Hotel Restaurants & Cafes (HORECA) / Food Service outlets.

With the recent acquisition of Kolkata based ELMAC brand and company’s foray into the online space, it is eyeing a growth of 30% in the current financial year against a turnover of over INR 200Crore in 2014-15.

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