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Consumer and Retail Dealtracker: Q1 2024

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Investor confidence in the Indian market continues to grow on the back of a resilient consumer base and stabilising economic indicators. Positive factors include manageable inflation and healthy industrial growth. Therefore, opportunities for investment are ripe, particularly in the F&B, FMCG, retail and digital growth sectors. This edition highlights a rise in deal activity and pinpoints specific trends within each industry that position them for strong performance.

Key insights from the Consumer and Retail Dealtracker Q1 2024

F&B and snacking industry: Fueled by a growing healthy food market in India (expected to reach USD 30 billion by 2026), established players actively seek acquisitions of niche brands catering to specific dietary needs (gluten free, vegan) or premiumisation trends (organic products). The Food and beverage (F&B) industry is also anticipating an enhanced demand due to the upcoming vacation season in India, traditionally a time for increased snack consumption. 

FMCG and retail: Inflation stability, as highlighted by recent Government efforts, is keeping prices in check, further boosting consumer sentiment. Leading FMCG players are emphasising on value-added products and rural market penetration. Retail companies are also prioritising private label brands and omnichannel retail experiences as a multi-pronged approach, catering to diverse consumer needs. 

Digital growth companies: The industry is expected to be dynamic with a major push coming from quick commerce resurgence. There is an increased focus on new product catalogues, now encompassing a wide range of categories, such as clothing, household items, gifting items, electronics, and stationery and office supplies. Companies are also targeting new markets in smaller cities, adding local stores and using tech for better logistics to solidify their positions and attract a larger customer base.

Consumer and Retail Dealtracker: Q1 2024

Consumer and Retail Dealtracker: Q1 2024

Providing M&A and PE deal insights
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