Online grocery: What brands need to know?

Online Grocery: What brands need to know? (September 2020 - COVID Impact Update)- Abridged Version
Online Grocery:
What brands need
to know?
September 2020 - COVID Impact Update
Actionable business intelligence
insights from the market
Abridged Version
A Joint initiative

FOREWORD
Indian grocery traditionally has been a primarily unorganized market, wherein more than
95% of the market is driven by traditional ‘kirana stores. However, in the past decade or
so, organized brick & mortar and online channels have gained prominence. Online grocery
has been boosted by covid-19 related tailwinds, with the GMV run-rates of major players
growing by 70%+ during the period. This has led to an increased focus on the sector by
large conglomerates as well as mature online players.
During Covid, while there were some challenges in the initial days of the lockdown, the
segment has grown signiﬁcantly. Most notably, fresh vegetables and fruits have seen 144%
growth, while FMCG products grew 150%. While a lot of this growth will normalize to some
extent as the COVID situation subsides, a signiﬁcant portion of new users will persist and
drive growth.
With the increasing demand and competition, it becomes imperative for brands to stay
ahead by making data-driven decisions. In order to equip the brands to win in the online
space, BigBasket Brand Intelligence and RedSeer have partnered for this report. The idea
here is to combine high-quality RedSeer IP and BigBasket’s grocery expertise to create a
ready-reckoner for brands, as they make strategic, product or channel-related decisions.
This report is an abridged version of the larger report which can be subscribed as per
need. Besides the key trends of the sector, customer insights etc., this report deep dives
on key categories such as Snacks & Packaged Foods, Beverages, Personal Care and Home
Utilities, we present the quarterly growth in sales in the past 5 quarters with various sub-
category splits.

Food & Grocery Market Overview
There is a clear trend of grocery moving towards organised channels – organised brick &
mortar and online. While Covid has driven adoption for online, there are systemic factors that
lead to the increasing prominence of organised B&M.
One of the more signiﬁcant factors is the FDI guideline allowing 100% FDI in food and retail
items produced, processed or manufactured in India. This in turn, has brought in capital into the
sector, and players have started expanding their presence into smaller towns.
These, among other factors, have led the growth of organised B&M and will continue to do so.
The growth in the India grocery market is led by
organized Brick & Mortar and online channels
Traditional Retail Modern Retail Online F&G Market Size (US$ Bn)
98.4% 95.7%
91.4%
57%
16%
5%
1.6% 4%
6.3%
0% 0.3%
2.3%
CAGR%
603
20192013
300 790
2024F

Food & Grocery Market – Growth drivers for Organized Sector
FDI guideline allowing 100% FDI in
food retail for items produced,
processed or manufactured in India
will facilitate the growth of
organized B&M share
Government Policies
Realignment of business
model including assortment
mix, space rationalization and
format consolidation has led to
growth of organized formats
Realignment of Business Model
High adoption of organized retail formats
from Tier 2+ cities is expected to boom
modern retail in India
Expansion of Players in Smaller Cities
Investment across the entire
ecosystem of food processing,
cold storage, logistics and product
development is driving growth
of organized B&M
Investment in InfrastructureGrowth
Drivers

Evolution of Online Grocery Market
eGrocery had started in the early 2010s but the models were still evolving. Most players worked
on an on-demand model (fulfilling orders through local retailers) and provided high discounts.
But this model soon gave way to the warehouse model, with some players like PepperTap
exiting.
The last 5 years have witnessed significant interest in the space with a lot of large players,
including eCommerce horizontals entering this space. Another innovation in this space was the
overnight delivery model, introduced by players like Milkbasket.
Covid-19 has provided significant tailwinds to the sector with a lot of users ordering online. It is
expected that a significant proportion of them will stick post the pandemic as well. This has led
to interest from large players like the Jio platforms, which solidifies the growth prospects of the
channel.
Significant flux in the space
in the near-term with the
entry of a large number of
smaller, online players
E-GrocerymarketinIndia
Infancy phase Acceleration PhaseInitial Growth Phase
~0.05Bn $1.9Bn
(Including Covid-19 effect)
2014 2019 20242011
CAGR
110%
CAGR
64%
• Entry of vertical players
at small scale in chosen
metro cities
• Low consumer adoption
and limited selection
• Breakout years for sec-
tor- receives majority of
$ 500 million funding
• Entry of horizontals and
expansion to non-metros
for verticals
• Stabilization of business
models
• Strong take-up in both
metros and smaller
cities driven by growing
selection, offers and
innovative business models
Market Size (USD $18.2 Bn)
CAGR
57%

2019
0.3%
xx%
US $1.9Bn0.3%
2.3%
US $18.2Bn% of overall
food & grocery market
CAGR 57%
2024F
Online Grocery Market Size
Indian Online Grocery Market Size USD Bn, 2019 and 2024F
During COVID, consumers have shown increased prospensity to order online. A lot of this
behaviour is likely to stick. Therefore, a lot of players, even traditional ones, ﬁgure that hyperlocal
is the way to go.
Among the most signiﬁcant among such players is Reliance. With its latest fundraise from
strategic partners like Facebook, its own physical assets pan-India and acquisition of Future
Retail, Jio’s intentions to expand and capture the eGrocery space is clear. Not to be left behind,
large online players like Flipkart, Amazon, Swiggy, Zomato, Dunzo etc. have all offered eGrocery
services.
With supply ramping up in time to match the surging demand, eGrocery will grow very fast to
be ~USD 18Bn by 2024.

Growth Drivers of Online Grocery Market
Entry of large players like Jio will drive
adoption among Tier-2+ cities (a large,
relatively untapped market).
Renewed interest from large horizontals
like Flipkart/Amazon, among other
online players will further
boost penetration.
Participation from large players
Due to Covid-19, consumers
have shown greater inclination
towards buying grocery online.
This change in behaviour is
likely to stick.
Changing consumer behaviour
Due to e-tailing, there’s greater
consumer trust to shop online.
Traditionally, women tend to buy
grocery, FMCG in the household.
Increasing smartphone access
to women is helping in
driving adoption.
Increasing comfort with e-tailing
Increasing availability of local prod-
ucts has drawn customers to shop at
online portals. E.g. Kokum in Mumbai.
Localisation of assortments
Growth
Drivers
Online grocery has had Covid-19 induced tailwinds, and coupled with
participation from large conglomerates and horizontals, the space is likely
to witness high growth

ONLINE
SHOPPER
SEGMENTS

Convenience
Seekers
These consumers are young working class married couples residing in metros and mini metros
looking for convenience of delivery at the doorstep. Wide variety of products available at the same
place is the primary driver to shift online. They also seek promotions and discounts, although not
the driving factor, on the portals they use. They buy majority of the packaged food, home and
personal care online, however still prefer to buy fresh and dairy items from offline channels (Orga-
nized B&M and Local Kirana).
Age | Household
Size
30 - 35 yrs,
2-4 Members
>20 LPA
City Type
Metro/Mini Metro
Monthly Frequency
Platform
Loyalty
Medium
AOV (INR)
Purchase Behaviour
Working class married couples looking
for convenience of delivery at home
Low (1) High (4+)
Low (<600) High (1500+)
Income (INR)

Young
Enthusiasts
Consumers in this segment are young bachelors living in small groups of 2-4, working in the
corporate sector. Their main driver to purchase grocery online is lack of time from daily schedules.
Timely delivery is very important to them, and therefore they stick to a platform with high delivery
adherence as well as express delivery options. Flexible payment options is also important because
of the tech-savvy nature, where household members use different payment methods such as credit
card, cash or UPI payments. These consumers buy most of their grocery needs from online channel,
and use offline mostly for buying fresh items.
Age | Household
Size
22-30 yrs,
2-4 Members
Income (INR)
15-30 LPA
City Type
Metro/Mini Metro
Monthly Frequency
Platform
Loyalty
High
AOV (INR)
Purchase Behaviour
Young single working class living in
groups of 2-4
Low (1) High (4+)
Low (<600) High (1500+)

Budding
Shoppers
These are shoppers who earlier used to purchase mostly from Local Kirana but have adopted
organized B&M and online in the last 1-2 years with increasing penetration of the latter in tier 1 cities.
These consumers have shifted a signiﬁcant portion of their monthly grocery purchase to online
channel in lesser span of time. However, they are averse to buying fresh products online due to lack
of trust in freshness of such items, which they prefer to buy from offline stores.
Age | Household
Size
30-40 yrs,
3-5 Members
>20 LPA
City Type
Tier 1
Monthly Frequency
Platform
Loyalty
High
AOV (INR)
Purchase Behaviour
People in smaller cities attracted by the
wide assortment of online grocery
Low (1) High (4+)
Low (<600) High (1500+)
Income (INR)

Urban
Mothers
This segment comprises mostly urban females, who order groceries for the entire family. They buy
most of their grocery needs online including fresh and dairy items from online and use offline
channels for reﬁlling stockouts. Wide assortment adds to the sticking to online platforms because
they tend to try newer brands and niche categories such as organic staples which are not readily
available on offline channels
Age | Household
Size
35+ yrs,
2-4 Members
>12 LPA
City Type
Metro/Mini Metro
Monthly Frequency
Platform
Loyalty
High
AOV (INR)
Purchase Behaviour
Females with children trying out
newer categories
Low (1) High (4+)
Low (<600) High (1500+)
Income (INR)

Online purchase behaviour of consumers
Urban Mothers tend to have a decently high frequency of purchase. Also, they tend to purchase
a variety of items, which drives up the sizes of their baskets. This makes them one of the leading
consumer cohorts in eGrocery. On the opposite side, there are Budding Shoppers, who are
trying out the channel and still depend on the local kirana for their needs. They purchase
smaller, lower value items infrequently, and they are likely to increase this as they start trusting
the platforms.
The Convenience Seekers order infrequently, but in bulk. Young Enthusiasts are the ones who
order small ticket items like breakfast items and vegetables but order frequently. The players
must look to increasing their wallet share of these customers through appropriate offerings/
incentivization.
Urban Mothers have emerged as the leading consumer segment
demonstrating high online AOV and purchase frequency
Convenience Seeker Budding Shopper Young Enthusiasts Urban Mothers
Size of Consumer Segment in 2019
Note* - N = 822, Bubble size denotes representative size of the segment
Size of Consumer Segment in 2020
Frequency of online purchase per month
OnlineAOV(INR)
0.0
800
1,150
1,500
3.0 6.0

COVID
IMPACT

eGrocery: Monthly GMV – Growth Recovery Curve (Indexed to 100)
eGrocery is one of the sectors which have seen significant growth in the lockdown. While there
were some challenges in the initial days of the lockdown, the category has grown 73% in the
period of lockdown. Most notably, fresh vegetables and fruits have seen 144% growth, while
FMCG products grew 150%. While a lot of this growth will normalize to some extent as the Covid
situation subsides, a significant portion of new users will persist and drive growth.
Driven by the significant rise in organic adoption during COVID, eGrocery
has been on a surge in the COVID period with ~1.7x GMV in June vs Jan
Overall
~$179.9 Mn
Jan (2020) Jun (2020)
FMCG and
Others
~$124 Mn
Fresh
~$9 Mn
Staples
~$46.9 Mn
Overall
~$311.2 Mn
FMCG and
Others
~$202Mn
Fresh
~$22 Mn
Staples
~$87.2 Mn
0
50
100
150
200
250
300
Apr’ 20Jan’ 20 Feb’ 20 May’ 20Mar’ 20
Partial Unlock
4th May-
Lockdown
(25thMarch)
Continued growth
recorded across all
key categories
including F&V and
meat
Jun’ 20
173
163
186
244
Note : Jan 2020 = 100, (1st Jan – 30th June’ 20)
Horizontals came to
the eGrocery party
in May/June
E-tailing horizontals have
been able to reach ~2x+
GMV in May-June compared
to Jan - led by increased
penetration in Tier 2+ cities
1.5-1.6x increase in eGrocery
households in May vs Jan,
most of which is organic
adoption especially April
onwards
JioMart’s popularity and
strong sales is Tier 2+
indication of sustained new
user growth
Packaged F&B (led by RTC/
RTE) continues to thrive,
driving higher AOV (1.2x - May
vs Jan) on eGrocery platforms
Verticals are becoming ‘full-
basket players’: used to be
stock-up only platforms pre-
COVID, but are now being
used for refills too
Rapid growth of
new consumers
Change in buying
trends
Highlights

eGrocery market trend – 2020
While the growth in eGrocery in the lockdown has been impressive, we expect to see steady
growth till the end of the year to exit with ~2.6x GMV run-rate. For all of 2020, the GMV will be
70%+ higher than 2019, which would indicate a fundamental shift in how eGrocery is perceived
as a business. With traditional players increasingly leveraging the local ecosystem in their
offerings, that could be the preferred way for players to scale beyond the top cities. This, and
more such innovation and partnerships, will be the way forward for Indian eGrocery.
We expect the growth of online to be steady for he rest of the year (2020)
to reach USD 3 Bn+
Pre
-
COVID
(As expected)
COVID Lockdown
(Mass acquisition)
New Normal
(Steady growth)
Post Lockdown
(Customer drop -offs)
0.10
0.15
0.20
0.25
0.30
0.35
eGrocerymarketsize(GMV,USDBn)
Jan Feb Mar Apr May Jul Sep Nov DecOctAugJun
$0.16 Bn
$0.4 Bn
100
102
173
166
226
256
Expected drop in
Feb because of
shorter month &
stock-ups in Jan
sales
April GMV didn’t see much increase despite
high consumer demand, due to logistics
challenges in the ﬁrst half of the month
eGrocery GMV saw
signiﬁcant surge in
May-June as platforms
capitalize on
increased demand
Slight drop in the
eGrocery GMV, as
certain households
drop out and return to
traditional purchase
Steady growth in
eGrocery GMV
towards end of the
year, once drop off
period is over.
Majority of growth in
metros
2020 GMV
$3 Bn+
2019 GMV
$1.9 Bn

Key Themes around Top-Seller in Big Basket (Q2’20, by units sold)
Top-sellers on BigBasket for Q2’20 –Demand for comfort foods like noodles and cookies,
immunity boosters like lemon and hygiene products like sanitizers has picked up like never
before, while essentials remained strong
• 11 units of instant noodles were sold every minute
Maggi’s 70g pouch was the highest selling SKU
• More units of Maggi noodles were sold than that of
onions or potatoes
• Britannia’s Little Hearts cookies were the fourth
highest selling SKU in Q2’20 (from 28th in 2019)
• Cadbury Oreo and Sunfeast’s Dark Fantasy ﬁgured
among the top selling products as well
Comfort foods
ruled supreme
during lockdown –
instant noodles and
biscuits were sold
like never before
• Dettol has emerged as the dark horse in this quarter.
Demand for Dettol’s liquid handwash has propelled
the brand to the 3rd position, while it was not even
among the top 20 brands in 2019
Units sold for
hand wash and
sanitization
products were
2.3x+ of previous
quarters
• Onion and Potato led units sold by category – 22
units (1 Kg) of onion/potato were sold per minute
• Amul’s 1L milk cartons and cheese products held
fort to be maintain Amul among the top selling brands
Fresh and Dairy
essentials held on
strong
• Household penetration for citrus fruits saw twice the
growth when compared to the regular staple fruits &
vegetables like onions, tomatoes and Potatoes
• Demand for lemons has surpassed all expectations
(11th most sold in Q2’20, from 37th most sold item in
2019)
• Watermelon, another summer fruit, was popular (6th
best selling product)
Demand for healthy
and immunity
boosting fruits
broke all records

SNACKS &
BRANDED
FOODS

Snacks & Branded Foods Revenue and Growth – Q1CY19 - Q2CY20
Note : % represents CQGR (Cumulative Quarterly Growth Rate)
Snacks and branded foods have witnessed signiﬁcant jump of ~75% in sales in the lockdown.
This happened as people stocked-up on comfort foods for the entire family, in the face of
lockdown.
4.8%
75.2%
Q1’19 Q2’19 Q3’19 Q4’19
Q1’20 Q2’20
Snacks & Branded Foods grew by ~5% quarterly pre-Covid,
however growth jumped to ~75% in Q2’20; Biscuits & Cookies was
the largest sub-category and grew the most (last quarter)

Cumulative Quarterly growth of Snacks & Branded Foods
Q1CY’19 - Q1CY’20, Q1CY’20 - Q2CY’20
Categories like biscuits & cookies, and chocolates & candies recorded doubling of sales from
previous quarters. The sales for snacks & namkeens and noodles, pasta & vermicelli grew by
70%+.
Contrast this to the ‘business-as-usual’ growth during CY19, where all the categories grew by
~4%, with snacks & namkeens and noodle, pasta & vermicelli growing marginally faster at 6%
and 8% respectively.
6.3% 3.2%
45.9%
7.8%
78%
3.2%
103.8%
4%
104.2%
73.2%
Biscuits and Cookies Breakfast and Cereal
Noodles, Pasta, Vermicilli
Snacks and Namkeen
Chocolates and Candies
Q1CY’19 -Q1CY’20 Q1CY’19 -Q2CY’20
Biscuits & Cookies was not only
the largest sub-category but
also grew the most in the last
quarter
Note:xx%indicatesCQGR(CumulativeQuarterlyGrowthRate)
Largest Category

MetroMini Metro Tier 1
Q1CY’19 -Q1CY’20 Q1CY’19 -Q2CY’20
Q1’19 Q2’19 Q3’19 Q4’19 Q1’20 Q2’20
73.1%
94%
84.5%
5.3%
4.7%
3.7%
Cumulative Quarterly growth by City Type
Q1CY’19 - Q1CY’20, Q1CY’20 - Q2CY’20
Mini Metros were the largest market, however, metros and Tier 1
markets grew faster; Growth rate jumped 15-30x across city tiers
Mini Metros were the largest market, however, metros and Tier 1 markets grew faster; Growth
rate jumped 15-30x across city tiers during COVID. High growth during lockdown was observed
across city tiers with mini-metros and metros growing by ~73% and ~85% respectively. The highest
growth was recorded in Tier-1 cities, which is an encouraging signal. In CY19, the metros had
grown fastest at ~5%, while Tier-1 had grown the slowest with ~4%.
Revenue

Quarterly Growh of Snacks & Branded Foods by City Type –
Q1CY’20 - Q2CY’20
Biscuits & Cookies was the largest sub-category and it grew the most
across city tiers
Across city types, biscuits & cookies grew the most (more than doubled in the metros and
almost doubled in mini-metros), followed by chocolate and candies.
Biscuits and
Cookies
Breakfast and
Cereal
Noodles, Pasta,
Vermicilli
Snacks and
Namkeen
Chocolates and
Candies
113%
128%
98%
84%
70%
57%
44%
41%
80%
92%
70%
57%
98%
104%
117%
Biscuits and
Cookies
Breakfast and
Cereal
Noodles, Pasta,
Vermicilli
Snacks and
Namkeen
Chocolates and
Candies
113%
128%
98%
84%
70%
57%
44%
41%
80%
92%
70%
57%
98%
104%
117%
Metro Mini Metro Tier 1

Biscuits & Cookies Revenue and Growth – Q1CY19 - Q2CY20
4%
104.2%
Q1’19 Q2’19 Q3’19 Q4’19
Q1’20 Q2’20
Biscuits & Cookies grew by 4% quarterly pre-Covid, however growth
jumped to ~104% in Q2’20; Cream Biscuits & Wafers was the largest sub-
category and grew the most (last quarter)
Biscuits and Cookies is the largest category among snacks & branded foods by revenue, with
cookies and cream biscuits & wafers being the two largest sub-categories. Marie, health and
digestive was the third largest sub-category, but possessed the slowest growth rate at 23%. In
fact, the category had de-grown from Q1’19 to Q1’20. This is a counter-intuitive detail as early
expectations were that people would buy more of healthy snacking options.

a
Cumulative Quarterly growth of Biscuits & Cookies
Q1CY’19 - Q1CY’20, Q1CY’20 - Q2CY’20
1% -0.5%
23%
3.4%
128.5%
3.4%
128%
162.6%
Q1CY’19 -Q1CY’20 Q1CY’19 -Q2CY’20
Cream Biscuits & Wafers
was not only the largest
sub-category but also grew
the most in the last quarter
The highest growth rates were seen for cream biscuits & wafers, cookies and others as all of
them more than doubled their Q1’20 sales numbers. Comfort foods deﬁned the growth narrative
for the snacks and brands foods category in BigBasket, as people looked at convenient food
options to feed their families during the uncertain times of the lockdown. And the fact that cream
biscuits and wafers sold more than 2x compared to marie, health and digestive is quite telling.
Marie, Health & DigestiveCream Biscuits & WafersCookies Others(salted biscuits, packaged puffs etc.)
Largest Category

BEVERAGES

Beverages Revenue and Growth – Q1CY19 - Q2CY20
2.1%
49.5%
Q1’19 Q2’19 Q3’19 Q4’19
Q1’20 Q2’20
Beverages grew by ~2% quarterly pre-Covid, however growth jumped to
~50% in Q2’20 due to Covid; Tea was the largest sub-category, however
Fruit Juices & Drinks grew the most (last qrtr)
Beverages have witnessed signiﬁcant jump of ~50% in sales in the lockdown. This happened
as people stocked-up on comfort drinks for the entire family, in the face of lockdown.

a
Cumulative Quarterly growth of Beverages
Q1CY’19 - Q1CY’20, Q1CY’20 - Q2CY’20
Categories like energy & soft drinks and fruit juices and drinks recorded doubling of sales from
previous quarters. Previously larger categories – tea and health drink/supplements – recorded
the least amount of growth.
Contrast this to the ‘business-as-usual’ growth during CY19, where all the categories grew by
~2%, with most categories growing only marginally at 1-3%, and health drinks/supplements de-
growing marginally.
-0.5% 1%
162.6%
3.4%
128.5%
2.5%
20.2% 23%
Q1CY’19 -Q1CY’20 Q1CY’19 -Q2CY’20
Though Tea was the largest
sub-category, Fruit Juices &
Drinks grew the most in the
last quarter
Largest Category
Tea Fruit Juice & DrinksHealth Drinks & Su lementspp Ener & Soft drinksgy

Q1CY’19 - Q1CY’20, Q1CY’20 - Q2CY’20
markets grew faster; Growth rate jumped 20x+ across city tiers
Q1’19 Q2’19 Q3’19 Q4’19 Q1’20 Q2’20
42%
88.2%
68%
2.8%
1.7%
-2.7%
Q1CY’19 -Q1CY’20 Q1CY’19 -Q2CY’20
Revenue
High growth during lockdown was observed across city tiers with mini-metros and metros
growing by ~42% and ~68% respectively. The highest growth was recorded in Tier-1 cities at
88%, which is an encouraging signal. In CY19, the metros grew fastest at ~5%, while Tier-1 had
de-grown by ~3%.

Quarterly Growh of Beverages by City Type –
Q1CY’20 - Q2CY’20
While Tea was the largest sub-category, Fruit Juices & Drinks grew the
most across city tiers
Across city-tiers, fruit juices & drinks have seen the highest jump in sales – 3x+ in metros,
2x+ in mini metros and ~4x in Tier-1. The second highest growing sub-category was energy
& soft drinks. Tea, while still contributing most to the sales, lost share within the category of
beverages across city-tiers.
Energy & Soft
Drinks
Health Drink,
Supplement
TeaFruit Juices
& Drinks
150% 152%
110%
223%
112%
297%
22% 17%
55%
13% 16%
52%

Tea Revenue and Growth – Q1CY19 - Q2CY20
2.5%
20.2%
Q1’19 Q2’19 Q3’19 Q4’19
Q1’20 Q2’20
Tea grew by 2.5% quarterly pre-Covid and 20.2% in Q2’20 (demand surge
post Covid-19 lockdown)
Tea is the largest category within beverages, and leaf and dust tea is the largest category tea
by revenue, with green tea and others comprising the rest of the market. Growth for all the
sub-categories have been moderate (relatively, compared to the Covid-induced growth seen
across other categories)

Cumulative Quarterly growth of Tea
Q1CY’19 - Q1CY’20, Q1CY’20 - Q2CY’20
The trend – of fruit juices, soft drinks etc. growing more than tea - coupled with observations from
snacks and branded foods – where cream biscuits sold and grew more than healthier options –
suggests that a lot of the growth is likely to have been driven by the younger consumer cohorts
like students, young working professionals etc.
10.9%
5% 6.6%5.8%
17.7%
43.5%
Q1CY’19 -Q1CY’20 Q1CY’19 -Q2CY’20
Tea grew by ~3% quarterly pre-
Covid, however growth jumped
to ~20% in Q2’20 due to Covid;
Leaf & Dust Tea was the largest
sub-category, however Green
Tea grew the most (last qrtr)
Largest Category
Leaf & Dust Tea OthersGreen Tea (Organic tea)

PERSONAL
CARE

Personal Care Revenue and Growth – Q1CY19 - Q2CY20
5% 24.1%
Q1’19 Q2’19 Q3’19 Q4’19 Q1’20 Q2’20
Personal Care grew by 5% quarterly pre-Covid, however growth jumped to
~24% in Q2’20 due to Covid; Bath, Face & Hand Wash was the largest sub-
category and grew the most (last qrtr)

a
Cumulative Quarterly growth of Personal Care
Q1CY’19 - Q1CY’20, Q1CY’20 - Q2CY’20
Personal care grew by 24% during the lockdown, compared to 5% quarterly in CY19. Growth for
the categories was driven by a signiﬁcant jump in sales for bath, face and handwash, while the
second highest growth was by oral care.
Curiously, hair care and skin care grew the least. In fact, skin care de-grew. Most likely reason
this is that during the lockdown, since people didn’t venture out, skin care and hair care to
some extent lost their utility. However, handwash was in demand as people stocked them up to
be protected from the virus.
3.1% 4.6%
24%
5.1%
-29%
7.3%
20.2%
7.6%
Q1CY’19 -Q1CY’20 Q1CY’19 -Q2CY’20
Bath, Face & Hand Wash
was not only the largest
sub-category but also grew
the most in the last quarter,
while Skin Care de-grew
Bath, Face & Hand Wash Oral CareHair Care Skin Care
Largest Category

Q1CY’19 - Q1CY’20, Q1CY’20 - Q2CY’20
Q1’19 Q2’19 Q3’19 Q4’19 Q1’20 Q2’20
16.4%
56.3%
29.5%
7.3%
4.9%
1.8%
Q1CY’19 -Q1CY’20 Q1CY’19 -Q2CY’20
Revenue
Tier-1 cities showed highest growth during the lockdown (reversing the trend through CY19,
where they grew the slowest). Metros and mini-metros had been growing decently fast in
CY19 and they proportionately increased the growth during the lockdown.
markets grew faster; Growth rate jumped 3x+ for Metros and Mini
Metros and 30x+ for Tier 1

Quarterly Growh of Personal Care by City Type –
Q1CY’20 - Q2CY’20
In terms of sub-categories, the growth trends across city tiers mirror the national trend – wherein
bath, face and handwash have growth the fastest (in spite of being the largest category any
way), while skin care de-grew across city tiers.
Bath, face &
Hand wash
Oral
Care
Skin
Care
Hair
Care
81%
121%
64%
11%
0%
34%
25% 17%
53%
-24%-34%-17%
Bath, Face & Hand Wash was the largest sub-category and it
grew the most across city tiers; Skin Care de-grew across city tiers

Bath, Face & Handwash Revenue and Growth – Q1CY19 - Q2CY20
7.3%
76.4%
Q1’19 Q2’19 Q3’19 Q4’19
Q1’20 Q2’20
Bath, Face & Hand Wash grew by ~7% quarterly pre-Covid, however growth
jumped to ~76% in Q2’20 due to Covid; Growth was driven by Hand Wash &
Sanitizers, which were the highest selling and fastest growing sub-category
in last 2 quarters
The largest sub-category in personal care – bath, face and handwash, grew 76% in the lockdown,
compared to ~7% quarterly in CY19. In CY19, bathing bars & soaps used to be the largest
category, however, post the pandemic, hand wash and sanitizers have grown signiﬁcantly -
~35% q-o-q in Q1 20 vs. Q1 19 and 127.5% during the lockdown – to become the highest selling
sub-category in the lockdown.

a
Cumulative Quarterly growth of Bath, Face and Handwash
Q1CY’19 - Q1CY’20, Q1CY’20 - Q2CY’20
As already shown in the key themes during the lockdown, Dettol handwash drove the growth
here and has emerged among the top selling products (11th most) across categories, compared
to not being among the top 30 selling products in CY19. This pandemic has forced people to
re-look their hand sanitization habits, resulting in their sales sky-rocketing.
35%
12.8%
25.6%
17.4%
4.7%11.8%
51.1%
127.5%
Q1CY’19 -Q1CY’20 Q1CY’19 -Q2CY’20
Bathing Bars & Soaps was
the largest sub-category
pre-Covid, but in the last 2
quarters, demand jumped
for Hand Wash & Sanitizers
to make it the largest sub-
category
Bathing Bars & Soaps Handwash & Sanitizer
Shower Gel & Body Wash Others (Face scrubs, paper soaps)
Largest Category

HOME
UTILITIES

This category is among the slowest to grow across the top 4 packaged goods categories in
BigBasket – that of snacks & branded foods, home beverages, personal care and itself. It grew
10.5%, a decent jump from the quarterly jumps observed in CY19, however, much lower than the
stratospheric growth seen in categories like snacks & branded foods and beverages. And this
makes sense as well, as home utilities were not something that are severely affected by the
pandemic. While marginal increments are a given, but people still clean their homes the same
amount of times and was dishes once a day.
Home Utilities Revenue and Growth – Q1CY19 - Q2CY20
5.5% 10.5%
Q1’19 Q2’19 Q3’19 Q4’19 Q1’20 Q2’20
Home Utilities grew by ~6% quarterly pre-Covid, jump due to Covid was
relatively tepid compared to other categories at ~11% in Q2’20; Detergents
& Dishwash were the largest sub-category but grew
the least in last quarter

a
Cumulative Quarterly growth of Home Utilities
Q1CY’19 - Q1CY’20, Q1CY’20 - Q2CY’20
8.3%
2.9%
26.1%
4.2%
0.8%
23.2%
Q1CY’19 -Q1CY’20 Q1CY’19 -Q2CY’20
Detergents & Dishwash was the
largest sub-category, however
it grew the least in the last
quarter (All Purpose Cleaners,
Fresheners & Repellents grew
at similar rates)
Detergents & Dish Wash Fresheners & RepellentsAll Purpose Cleaners
Among the sub-categories, detergents & dishwash has been the largest growing category but
it has grown minimally – in fact, the growth during the pandemic is even lower than the q-o-q
growth witnessed for q1 of 2019 and 2020 – most probably due to the above reason. Fresheners
& Repellents and all purpose cleaners grew 26% and 23% resp.
Largest Category

Q1CY’19 - Q1CY’20, Q1CY’20 - Q2CY’20
Mini Metros were the largest market, however, growth there was
tepid; Metros and Tier 1 grew much faster in the last quarter
Q1’19 Q2’19 Q3’19 Q4’19 Q1’20 Q2’20
0.4%
42.5%
17.6%5.5%
5.4%
3.6%
Q1CY’19 -Q1CY’20 Q1CY’19 -Q2CY’20
Revenue
While the same trend as other categories is seen – with Tier-1 showing higher growth, followed
by metros and mini metros – the growth in Tier-1 was lower than quarterly growth in CY19
(Detergents & dishwash – the largest sub-category - de-grew in mini metros during the
lockdown). IN CY19, most city tiers growth between 3-5%

Quarterly Growh of Home Utilities by City Type –
Q1CY’20 - Q2CY’20
Detergents & Dishwash grew the least across city tiers (de-growth
observed in Mini Metros); Other categories grew comparably
In mini metros, all fresheners & repellents grew the fastest, followed by all purpose cleaners,
and the reverse trend was seen in metros. The growth rate was equal for both in Tier-1 cities.
All Purpose
Cleaners
Freshners &
Repellents
Detergents &
Dishwash
45%
52%
8%
2% -8%
34%
29%
20%
53%

Detergents & Dishwash Revenue and Growth – Q1CY19 - Q2CY20
4.2% 0.8%
Q1’19 Q2’19 Q3’19 Q4’19 Q1’20 Q2’20
Detergents & Dishwash grew by ~4% quarterly pre-Covd, growth
dampened in the last quarter to ~1%; Detergents Bars and others grew the
most in the last quarter
Detergents & dishwash, witnessed lower growth during the lockdown than the quarterly growth
observed in CY19.

a
Cumulative Quarterly growth of Detergents & Dishwash
Q1CY’19 - Q1CY’20, Q1CY’20 - Q2CY’20
The largest sub-category within – detergent powder & liquid de-grew by ~8% during the
lockdown. Fabric (pre and post) wash grew by 5% during the lockdown, but the growth was
lower than previous growth rates.
This trend is telling, as far as lockdown induced consumer behaviour is concerned – as people
stayed at home, while their spends on maintaining their homes remained the same, the need
for food in the uncertain times took centre stage as people stocked-up, especially on comfort
foods for their families. This also reinforces the idea that a lot of customers ordering online
during the pandemic were young students or working professionals who ordered things they
wanted on the online platforms.
11.3%
3.8%
15.3%
22.7%
8.7%
1.5%
-7.7%
5.1%
Q1CY’19 -Q1CY’20 Q1CY’19 -Q2CY’20
Detergent Powder+Liquid
was the largest sub-
category, however it
de-grew last quarter;
Detergent Bars and Others
grew the most
Largest Category
Detergents Powder+Liquid Detergent Bars OthersFabric Pre+Post Wash (Fabric softeners)

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