How a ₹2,000 Cr Snacks Brand Stopped Paying for Its Rival’s Ads

THE PROBLEM

A ₹2,000 Cr ethnic snacks leader earned most of its revenue in one home state. Brands from neighbouring states were attacking that base through ₹5 and ₹10 packs, the price points that carry over 70% of category volume.

To grow, it entered a large new state the same way. A celebrity-led TV campaign with near-total share of voice, and a go-to-market built around ₹5 and ₹10 packs. Share of voice ran far ahead of share of market. Sales didn’t follow.

THE INSIGHT

Small packs are bought on the go, by children and men out and about. These buyers don’t care about brands. They ask for the one they eat at home and take whatever is there if it’s missing. Small packs build distribution. They don’t build brands.

Brands are born at home, chosen by the woman of the house. The ₹20 pack is her portion-control pack, and it’s where new brands get tried.

The advertising leaned on the category’s traditional codes. At home, those codes belonged to our client. In the new state, they belonged to the national leader. Respondents watched the ad three times and still named the competitor.

THE WORK

Our recommendations, built from consumer, trade and distributor immersion across both states.

Wait on a ₹5 and ₹10 ground war. Start with modern trade and premium grocers, and lead with ₹20-and-above packs.

Stop selling category codes and sell a habit instead. In the home state, namkeen runs through the whole day. It comes with morning chai, gets sprinkled over lunch and gets eaten during late-night TV. In the new state, it was confined to one evening chai window, with three or four varieties eaten at one sitting.

Reposition the brand as the woman’s way to turn everyday food into something her family looks forward to, taking the home-state habit into a new state.

THE OUTCOME

New-market offtake rose 34% in six months. Household penetration in pilot towns doubled, from 14% to 28%.