Quickbite
The Strategist
Business Standard
December 6, 2006

Ever wondered why popular food brands such as Annapoorna or Saffola, which are present in categories ranging from salt to atta, do not lend their name to sugar. One explanation is that there are various government policy reasons not to be there. Sugar is a controlled commodity, government quotas dictate how much companies can sell every month, a certain percentage of inventory needs to be kept in government warehouses and most consumers buy sugar through the public distribution system. But despite all these, consultants say that sugar marketers can still make a mark. And how? Rajeshwari Sheth, a senior Mumbai-based marketing professional says, “When customers are not interested in the basic commodity, fortification makes sense.” In other words, brands must have a strong enough selling proposition. Take the example of Captain Cook in wheat flour (atta) and salt. In wheat flour, Captain cook was projected as being made out of grains that were of a gold standard, while in salt, it differentiated itself on the “free-flow” superiority. Similarly, catch, another brand of salt, differentiated itself on the basis of its packaging – it was packed in the form of a dispenser. Classic marketing wisdom says that fortification or unique propositions give brands a definite hook. “To remember the brands, customers need a hook. When they have to choose a brand from the rack, they are more likely to remember brands that said something positive,” says Sheth. A Mumbai-based commodities expert adds, “The hope is that India’s retail boom will boost all branded products, including sugar.” And while choosing in a large-format retail store, customers looking at Kissan Annapoorna think fortified atta, right? Surely, sugar could pick up some cues.