It doesn’t matter whether it’s a hot summer or a chilly winter, a spoon of ice cream is something which can interest everyone making it a product most loved and welcomed. Ice creams were always in demand and because of the brands showing their interest towards this section, the growth of this desert has immensely increased nationally as well as internationally.
Earlier there were not many options when talking about the kind of ice cream someone desires. But with the evolving food industry, this segment is filled and occupied with variants of flavors which can satisfy an ice cream lover. It’s like a person just desires a kind of ice cream they want and the next moment it’s in front of them delighting them.
“India being one of the countries which is evolving rapidly in this particular segment, the figure of Indian ice cream market is expected to be nearly about 4000 crores and still witnessing a growth of 20-25% year by year, says Gaurav Wadhwa of Theos. Researchers have expected this figure to reach upto 7000 crores by the end of 2019 which is a huge market to go through. With the innovation of the cold chain infrastructure in the country, this sector is expected to witness more growth in the up coming time.
With time, our country has known players like Amul, Kwality Walls, Baskin Robbins etc investing in this industry. All the players are focusing on to maintain the interest of the customers in the ice cream providing them with something different which is always welcomed by us. Having the leading players like Vadilal and National Dairy Development Board already established in our country, it is expected to grow even more as the time goes by.
A lot of opportunities available
Sneha Singhi, owner of Paris café shares “ India has a lot of space for many other companies investing in this industry however the ice cream market here is been eyed by a lot of foreign ventures from a very long time which are slowly making their presence in the market.” Despite of so many competitions, domestic companies are putting everything providing what they expect from them. Companies like Mother Dairy and Amul are well established covering the market really well followed by Naturals and Gianis.
Challenges to deal with
As any market, this sector also has various types of challenges that they have to through. From the high value of raw materials to the foreign ventures trying to enter into the business, the companies have to go through a lot maintaining their presence in the market. Urban areas generally don’t have a lot of problems but when it’s about rural areas, lack of cold storage facilities challenges the companies a lot. Brands are now using glycol which is a kind of special freezers providing them with the required temperature for a longer period
Urban cities are the prime targets
With a lot of challenges being faced in the rural areas, companies puts more efforts towards the urban areas where they can meet the required sale they have planned. Less challenges in their list, urban cities have become the hub for ice cream companies making a great presence. The prime motive is changing with time in targeting the higher population who are more towards ice creams. Since most of the people are living and earning in urban areas, the interest for companies have drafted towards the urban areas growing their sales. Where on the other hand, settled ventures like Amul and Mother Dairy are still having their shops in the rural cities providing people with their favorite ice creams at a reasonable price.
Advancement in the technologies
Thanks to the globalization, technologies have grown as one would have never imagined. With such advancement, ice cream companies feel a lot more comfortable while connecting with cities delivering products from one place to another. The availability of cold storage almost at everywhere has made companies to sustain their sales without suffering loss. Also the betterment of the electricity situation in our country has provided companies a breath of relief.
So investing in the ice cream industry is one of those areas where there is a small amount of risks if you are aware about the pros and cons. With an expected growth of CAGR of 18% till 2021, this market has a lot to provide to people who want to invest and earn.