Effective GTM Strategies to Gain Market Share in India’s Food Industry

India’s food industry, valued at over $900 billion including agriculture, is a powerhouse contributing roughly 10% to the nation’s GDP. Spanning agri-processing, packaged food, quick-service restaurants (QSRs), beverages, food delivery, and cold chain logistics, the sector offers immense opportunities for businesses to expand market share. However, intense food industry competition, evolving consumer preferences, and operational challenges make capturing market share complex. As a senior hybrid consultant with expertise in management, finance, legal, and technology, I outline effective GTM strategies to help senior leaders and decision-makers strengthen brand positioning, drive consumer acquisition, and optimise sales channels for sustainable growth in India’s saturated food landscape.

Industry Overview: Navigating a Saturated Market

India’s food industry thrives across diverse verticals. Agri-processing adds value to raw produce, while packaged food, QSRs, beverages, and food delivery cater to urban and rural consumers. Cold chain logistics supports perishable categories like dairy, snacks, and ready-to-eat meals. Expanding market share in these segments is challenging due to high food industry competition, product proliferation, and low consumer attention spans. Price wars, distribution bottlenecks, and regulatory complexities further complicate GTM strategy execution.

Consumer trends are reshaping market share dynamics. Health-conscious consumers demand plant-based, clean-label, and premium products. Urban markets favor functional foods, while Tier 2 and 3 cities drive demand for affordable, localised offerings. These trends require GTM strategies to align with preferences for health, sustainability, and convenience, enabling businesses to capture and retain market share.

1. Recent Developments Shaping Market Share (June 2025)

As of June 2025, several developments influence GTM strategies in India’s food industry:

• PLI 2.0 Scheme for Food Processing: The Production Linked Incentive (PLI) 2.0 scheme incentivises innovation, scalability, and exports in food processing. By reducing production costs, it enables competitive pricing and faster market entry, critical for gaining market share.
• Rising QSR and Packaged Food Demand: Tier 2 and 3 cities are fueling growth in QSRs and packaged foods, driven by rising incomes and urbanisation. This shift demands agile sales channels to capture market share in emerging markets.
• FSSAI Compliance Digitisation: The Food Safety and Standards Authority of India (FSSAI) has digitised compliance processes, streamlining product approvals. This accelerates speed to market but requires businesses to adapt swiftly to regulatory changes.
• Consumer Preference for Health and Local Offerings: Demand for clean-label, plant-based, and locally sourced products is surging. Brands aligning with these preferences through transparent brand positioning strengthen consumer acquisition and market share.

2. Key GTM Challenges in a Saturated Market

Gaining market share in India’s food industry faces several hurdles:

• High Product Proliferation: A crowded market with numerous products reduces consumer attention spans, making brand positioning critical.
• Price Wars and Promotional Fatigue: Aggressive pricing and discounts erode margins, challenging sustainable profitability.
• Distribution Bottlenecks: Rural markets and cold-chain-dependent categories face logistical constraints, limiting sales channels efficiency.
• Regulatory Hurdles: Novel or premium food categories encounter stringent FSSAI regulations, delaying market entry.
• Trust Deficit: Misleading claims and inconsistent quality undermine consumer trust, hindering long-term market share growth.

3. Strategic GTM Approaches to Gain Market Share

• Brand Positioning & Differentiation

Effective GTM strategies prioritise brand positioning to stand out. Emphasise unique value propositions like health benefits, farm-to-pack traceability, or local sourcing. Craft culturally resonant campaigns to build brand affinity, fostering emotional connections with consumers. For example, highlighting sustainable practices or regional ingredients can differentiate brands in competitive categories like snacks or beverages, driving market share growth.

• Sales & Distribution Strategy

Adopt an omni-channel GTM strategy to maximise reach. Combine modern trade, e-grocery platforms, kirana-tech initiatives, and direct-to-consumer (D2C) models to access diverse sales channels. Conduct regional market pilots to test product-market fit, minimising risks before scaling. For perishable segments like dairy or ready-to-eat meals, forge cold-chain and last-mile partnerships to ensure product freshness and availability, directly impacting market share.

• Product & Pricing Strategy

Diversify product offerings to cater to varied consumer segments. Offer small SKU formats for affordability in mass markets, appealing to price-sensitive consumers. Introduce premium, functional SKUs targeting urban health-conscious buyers. Implement bundling, subscription models, and loyalty programs to defend market share and encourage repeat purchases. Strategic pricing, supported by PLI 2.0 incentives, enhances competitiveness in saturated categories.

• Consumer Acquisition & Retention

Drive consumer acquisition through digital sampling, influencer marketing, and targeted promotions to create buzz and encourage trials. Use data-driven segmentation to deliver personalised offers, resonating with specific consumer groups. Build technology-enabled loyalty ecosystems across online and offline touchpoints to foster long-term relationships, ensuring sustained market share. For instance, app-based rewards or subscription discounts can enhance retention in QSRs and packaged foods.

Illustrative Examples

A millet snack brand exemplifies successful market share growth in the health snacking category. By leveraging farm-to-pack traceability, the brand built consumer trust. PLI-linked pricing enabled competitive rates, while urban influencer campaigns amplified reach, capturing significant market share among health-conscious consumers.

Similarly, a QSR chain gained market share in Tier 2 cities through a regional GTM strategy. They localised menus to reflect regional tastes, established cloud kitchens for efficient delivery, and implemented an app-based loyalty program to drive repeat business, strengthening their position in a competitive market.

Conclusion

In India’s saturated food industry, integrated GTM strategies are critical for gaining sustainable market share. By combining astute brand positioning, diversified product offerings, agile sales channels, and technology-driven consumer acquisition, businesses can thrive in this dynamic landscape. Leveraging trends like health-focused products, PLI 2.0 incentives, and digitised compliance, companies can overcome challenges and carve out a significant presence. With strategic execution, senior leaders can transform food industry competition into opportunities for lasting growth.

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