Legacy FMCG Companies Leverage Quick Commerce and AI for Growth
Indian giants Hindustan Unilever, Nestle India, and Marico are increasingly relying on quick commerce for market expansion and premiumization, while integrating AI across their operations.
Major fast-moving consumer goods (FMCG) companies, including Hindustan Unilever, Nestle India, and Marico, are identifying quick commerce as a significant growth channel. Their recent Q1 FY27 earnings calls revealed a strategic shift towards utilizing quick commerce not just as an additional sales avenue, but as a key driver for market expansion and product premiumization.
Alongside the focus on quick commerce, artificial intelligence (AI) is emerging as another critical area of investment. These companies are embedding AI across their entire value chain, aiming to enhance online brand visibility, gain actionable consumer insights, and optimize inventory management.
Hindustan Unilever is actively designing price packs and product assortments specifically tailored for the quick commerce format. CEO Priya Nair stated that this channel allows for better consumer segmentation and the creation of niche market opportunities that are challenging to access through traditional retail.
Marico's CEO, Saugata Gupta, highlighted the company's strategy of testing new products exclusively for quick commerce sales to prevent cannibalization of their existing product lines. Marico views quick commerce as a unique and rapidly growing channel in India, justifying significant investment.
Nestle India is positioning quick commerce as a launchpad for innovation and the development of "fit-for-purpose product portfolios." The company believes these channels are crucial for acquiring new customers, driving premiumization, and accelerating product launches.