India Emerges as a Destination for Advanced Supply Chain Capabilities, Says P&G India CEO

India is becoming a hub for advanced supply chain capabilities, according to Procter & Gamble India CEO Kumar Venkatasubramanian. He noted that these capabilities not only ensure product availability but also meet changing consumer demands. Digital advancements play a crucial role in shaping this future supply chain by optimising costs, ensuring smooth data flows, enhancing predictability, reducing carbon footprints, and providing excellent service.

Representative image

Venkatasubramanian highlighted the impact of digital transformation on e-commerce and quick commerce, which has led to market growth. Companies like P&G are investing in understanding unique consumer behaviours. "By learning and understanding our consumers, enabled by the power of digital transformation, we will be able to stimulate performance and unleash results. I think the opportunity has never been greater than this. The playing field has never been greener than this," he stated.

Consumer Aspirations and Economic Growth

During a keynote speech at a FICCI event, Venkatasubramanian discussed the rapid evolution of consumer aspirations in India. This shift is driven by rising disposable incomes and increased access to information. Consumers are now more value-conscious, willing to pay for products that meet their sophisticated needs and make informed choices about superior offerings.

Internet access has expanded significantly, with nearly two-thirds of India's population now online. This has democratized information and experiences. Studies predict India will experience the highest per-capita income growth globally at 5.4% annually from 2024 to 2033. Factors such as urbanisation, technological advancements in production, rising incomes, and other macroeconomic elements contribute to this growth.

The Rise of E-commerce and Quick Commerce

The convenience of fast product and service delivery is increasingly appealing to consumers, as time is a valuable resource. This trend is evident in the expansion of e-commerce and quick commerce markets. Venkatasubramanian cited a Deloitte report predicting over 500 million online shoppers in India by FY30. Additionally, more than 30% of urban Indians now rely on quick commerce for their primary grocery shopping.

P&G owns several well-known brands such as Ariel, Tide, Whisper, Gillette, AmbiPur, Pampers, Pantene, Oral-B, and Head & Shoulders. In India, it operates through four entities: P&G Hygiene Health Care, Gillette India, P&G Health, and P&G Home Products.

Venkatasubramanian emphasised that understanding consumer behaviour through digital transformation can drive performance improvements. He believes the current opportunities are unparalleled in terms of potential growth and innovation within the industry.