Kantar: Urban Consumption Up, But Listed FMCG Firms Lose Market Share to Smaller Players

• Kantar's K Ramakrishnan states that listed FMCG companies are losing urban market share to smaller, unbranded players despite overall urban consumption growth.
• Rural demand is showing improvement, driven by broader economic factors.
• Consumption sentiment in India improved in Q3, supported by government policies like tax and GST changes during the festive season.
• FMCG volumes, based on Kantar's household data, saw a quarterly pickup from September, with growth rising to 4.75–5% recently.
• Annualized growth is expected to surpass last year's levels, projected to reach over 5% in coming quarters as new pricing and pack sizes reach consumers.

Why It Matters: Urban consumption is growing, but listed FMCG companies are struggling against smaller, unbranded competitors.