“Winning India’s biscuit market: Intelligent indulgence, niche innovation and attention to consumers”

India’s biscuit market is changing in noticeable ways. What was once a category defined by nostalgia, comfort, and routine tea-time moments is now being reshaped by health consciousness, digital-first consumers, rising premiumisation, and an appetite for “intelligent indulgence.” Few brands have had a front-row seat to this evolution quite like McVitie’s — a name woven into India’s snacking culture for decades.

In our latest IBT interaction, we spoke with Ritesh Gauba, Country General Manager, pladis Global, to understand how the company is navigating this fast-changing environment. From reimagining indulgence with healthier twists to tailoring flavours for India’s diverse palate and strengthening its omni-channel strategy, Gauba shares sharp insights on where the biscuit industry is headed and what it will take to win the next phase of growth in one of the world’s most dynamic snacking markets.

IBT: India’s snacking culture is shifting from traditional munchies to “small indulgences.” How has this evolution reshaped the biscuit category, and what key consumer trends are driving growth today?

Ritesh Gauba: Traditional Indian munchies like samosas, dhoklas, and gulab jamuns are indulgent treats – enjoyed occasionally for fun and flavor. In contrast, biscuits have evolved far beyond that. Today, they cater to multiple snacking moments and moods – healthy or indulgent, solo or social. A digestive pairs well with morning tea, oats biscuits follow a workout, cream biscuits delight kids, and cookies or butter biscuits are served to guests. Post-COVID, health consciousness has reshaped the category, but biscuits remain about joy. Brands are striking a balance – offering better-for-you options like digestives and multigrain variants while keeping taste intact. The result is “intelligent indulgence” – a category that fits every age, occasion, and craving, blending health, variety, and pleasure in the way modern India loves to snack. 

The biscuit market has become highly competitive with strong domestic and global players. How do you view the current competitive landscape, and where do you see opportunities for differentiation?

Ritesh Gauba: Yes, we do see the biscuit market becoming increasingly competitive. But it’s also a very large category – nearly a $5 billion industry in India. And as I always say, in India, niche is also mass. So the real opportunity lies in finding differentiation within those niches. For instance, while there’s a huge market for cookies and cream biscuits, there’s also significant demand for digestive and zero-sugar variants. Given the size and diversity of the market, there’s room for everyone – it’s about identifying the right space to play in. Where I see strong potential going forward is in the health segment, or what I like to call “indulgent health.” Biscuits are, after all, a fun snacking category – not a serious one. So the focus is on combining taste with better-for-you ingredients. That’s the space we’re working in and will continue to strengthen.

Biscuits are deeply linked to comfort and nostalgia. How are you balancing this emotional connect with the growing demand for healthier, functional, and mindful snacking options?

Ritesh Gauba: I’ll start with an example. A cream biscuit is fun, and a digestive is healthy. We recently launched a product that combines the best of both – a digestive cream biscuit. It’s essentially a cream filling sandwiched between two digestive biscuits. The idea came from a simple insight: consumers don’t always want a pure cream biscuit, but they also don’t want something too serious. Biscuits are meant to be fun. So, the goal is to bring fun and health together – what I call “indulgent health” or “healthier options” rather than just health. That’s the space we’re focused on. Another example is our Hobnobs Chocolate Chip variant. It’s an oats-based biscuit – almost 35–40% oats – but with added chocolate chips. So, you get the goodness of oats with the enjoyment of chocolate. The idea is all about balance – creating products that deliver health benefits without compromising on taste. That’s the direction we’re moving in and will continue to strengthen. 

Regional preferences across India vary widely – from sweet to spicy profiles. How do insights into these regional tastes influence your product innovation and portfolio strategy?

Ritesh Gauba: Let me start by giving this a more Indian context. Some biscuit categories – like Marie, cookies, and cream biscuits – truly cut across India. In fact, most large biscuit formats have national appeal. For McVitie’s, which is a global powerhouse in the biscuit space, our primary focus in India has been on local innovation. We have our own manufacturing facility here, and everything sold in India is made in India. We also ensure that a lot of our product innovations are designed specifically for Indian consumers. For example, we’ve launched our Tastees cookie range, along with variants like coconut and cashew biscuits – flavours that resonate strongly with Indian taste preferences. Alongside these, we continue to offer our global favourites like Digestives and Hobnobs. But at the first level, our focus remains clear – to create products for the Indian consumer, based on what he or she truly wants. At the next level, we also look at different consumer segments or “pop strata.” For instance, we have digestive biscuits available at just ₹5, which are literally small, pop-sized packs, as well as ₹10 digestives. This helps us reach across demographics and ensure accessibility without compromising on quality.

Affordability remains key, but premiumization is on the rise. How do you strike the right balance between accessibility, value, and premium positioning across different consumer segments?

Ritesh Gauba: Exactly – who would think of offering a digestive biscuit at ₹5 or ₹10? But we do. Of course, the size changes, but the quality remains the same. It’s about finding the right balance. We have very premium products like Hobnobs, and at the same time, we make products like Digestives more affordable by offering the right pack sizes. Going forward, we’ll continue to launch products that cater both to premium consumers and to those who are value-conscious. It’s about ensuring that everyone can enjoy McVitie’s quality, no matter their budget.

E-commerce, quick-commerce, and modern trade are redefining distribution. How are you adapting your go-to-market and retail strategies to stay relevant across both digital and traditional channels?

Ritesh Gauba: Let me start by saying that e-commerce, quick commerce, and modern trade are all integral parts of the ecosystem today. Omni-channel is a reality, and our strategy reflects that. At the very first level, we’re looking at our portfolio through a channel-fit lens – identifying which products and packs work best for each channel. For example, larger packs work well in modern trade, premium offerings and larger formats perform strongly on e-commerce, and value packs continue to drive traditional trade. Of course, there’s some overlap between channels, but these are our focus areas. We’ve also started investing significantly in quick commerce. For us, e-commerce isn’t just another sales channel – it’s a strategic advantage and even acts as a media platform at times, helping us engage directly with consumers. Broadly, we have a clear, well-defined channel strategy – across pack formats, product variants, pricing, and investments. Each channel has its own roadmap, ensuring that our products are presented and positioned in the most effective way possible.

As a heritage brand in a young, digital-first market, how do you keep your brand fresh and relatable for Gen Z and millennials while preserving your legacy?

Ritesh Gauba: We have products that you could call more “serious,” like Digestives or Zero Sugar variants, and at the same time, we have Hobnobs and Digestive Creams – products that are younger, peppier, and appeal to a more youthful audience. So, our focus is on maintaining a balanced portfolio that cuts across different generations and age groups, offering something for everyone to enjoy. At the same time, we follow a digital-first approach. We’re very active on digital platforms, and a good example of that is our IPL campaign, where our biscuits turn into fun “commentators” giving match analysis. It’s light-hearted, engaging, and resonates strongly with Gen Z and millennials – but it also appeals to anyone who enjoys cricket, which means it cuts across age groups. So overall, it’s a two-pronged approach: On one hand, creating products that appeal across generations – from the health-conscious to the indulgence-seekers; on the other, building content that connects with diverse audiences through fun, relatable, and inclusive storytelling. That’s how we’re ensuring the brand stays relevant to both the younger generation and the wider consumer base.

Sustainability is increasingly shaping purchase decisions. How are you integrating responsible sourcing, manufacturing, and packaging into your operations – and communicating that story to consumers?

Ritesh Gauba: Firstly, sustainability is no longer a hobby – it’s a reality for every organization. For us, it’s a clear priority. A good example is how we’re transitioning all our packaging to sustainable materials. By the end of this year or early next year, our entire portfolio will use sustainable packaging. It’s a conscious, organization-wide effort, not just a symbolic one. We’re also extending this commitment across our sourcing and manufacturing processes, ensuring sustainability is embedded at every level. Importantly, we’re not treating sustainability as a marketing tool – it’s a necessity. We truly believe it’s imperative for the planet, and that belief drives everything we’re doing in this space.

Looking ahead, what excites you most about the future of India’s biscuit industry, and what kind of innovation or leadership will define its next phase of growth?

Ritesh Gauba: Everything about India excites me – 1.4 billion people, a growing economy, a young and dynamic population – it’s an incredible market. When I think about what will shape the future, I wouldn’t narrow it down to just one thing like health trends. For me, the real driver of the future – and of the industry – is the ability to follow the trends. Today’s consumers are extremely aware; they’re clued into global developments, active on social media, and very clear about what they want. For any organization to succeed, this is the time to keep your ears to the ground and truly understand what the consumer is demanding. The companies that are agile and quick to adapt to these changing trends will be the ones that stand out. When it comes to leadership, I believe the next phase of growth will be defined by leaders who listen – leaders who are in tune with their consumers and willing to evolve with them. The ones who can say, “Yes, this is where the trend is moving, and we’re ready to follow it,” will lead the future. In a nutshell, these are very exciting times for India – a market full of aware consumers and immense opportunity. To win here, organizations must listen to their consumers like never before and keep evolving with them. Health is the current trend, but a year from now, it could be something entirely different – and that’s exactly what makes this market so exciting.

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FAQs:

1. Why are healthy biscuits becoming more popular in India?

Rising health awareness, demand for low-sugar or high-fibre options, and preference for whole grains are driving growth in improved-for-you biscuit formats.

2. What ingredients are biscuit makers using to make premium or healthier variants?

Brands are increasingly using multigrain, oats, nuts, and even traditional grains like millet to create biscuits that deliver both indulgence and nutrition.

3. Can Indian consumers be convinced to pay more for premium biscuits?

Yes — many shoppers, especially in urban areas, are willing to pay a premium for better-for-you biscuits or indulgent flavours, according to Mintel research.

4. Do “healthier” biscuits taste bland, and how are brands addressing this?

That’s a common perception, but brands are balancing health and taste by adding indulgent textures, on-pack flavour claims, and carefully crafted recipes.

5. How big is the healthy/premium biscuit market in India, and is it growing?

The health-conscious biscuit segment is expanding fast. Reports suggest that gluten-free, low-sugar, and fortified biscuits are gaining traction, and the overall market is projected to cross US$ 4 billion in the coming years.