Tata Consumer Products Unleashes AI Power: Brewing the Next Big Leap in FMCG Value Creation

Tata Consumer Products Limited (TCPL) is changing, with artificial intelligence (AI) and digital innovation forming its core driving its next wave of value creation. CFO P B Balaji, during the company's 62nd Annual General Meeting, noted that AI is at the heart of every function of the fast-moving consumer goods (FMCG) sector, right from demand forecasting and inventory optimization to pricing intelligence and hyper-personalized marketing.

 

Key Highlights

AI at its Core: TCPL is deeply integrating AI into its operations with the aim of higher accuracy, speed, and efficiency in all business processes.

 

Digital Ecosystem Investments: The firm is investing significantly in digital infrastructure and human capital to build a future-proof FMCG giant.

 

Innovation Drive: TCPL launched 41 products in FY25—launching a product every nine days—placing emphasis on health, convenience, and premiumization.

 

Financial Performance: FY25 posted revenue growth of 16% to ₹17,618 crore, EBITDA 8%, and net profit 6% to ₹1,287 crore, driven through amid inflationary conditions.

 

Growth Businesses Double: Growth segments such as Tata Sampann, RTD, Tata Soulfull, Capital Foods, and Organic India now account for 28% of India business, while revenue from e-commerce grew 57%.

 

Consumer Trends: The company is benefiting from growing demand for organic, healthy, and convenient foods, especially among Gen Z and millennials.

 

No Dairy or Biscuit Diversification: The company will focus on its independent core food and beverages business with "bolt-on" acquisitions to fill gaps in portfolios.

 

AI-Enabled Marketing: The newest AI-enabled campaign for Tata Gluco+ is a reflection of TCPL's focus on digital-first, innovative brand creation.

 

Values and Resilience: The AGM honored the victims of the Ahmedabad plane crash and Ratan Tata, highlighting the company's and human beings' values.

 

Source: The Economic Times, Financial Express, Business Today, Impact on Net, CIO Economic Times