Parle had recorded a surge in share price up to 5%, which was accounted maximum because of Parle-G that had achieved commendable progress in the competitive biscuit segment. Parle was reluctant in revealing the total sales of the product however, Mayank Shah; Parle Products Senior Category Head stated some of the details.
About the astounding increase in sale of Parle-G biscuits:-
Mayank Shah, Parle Products Senior Category Head, had stated that the overall market share of Parle has surged to 5%. He further stated that the Parle-G accounts 80-90% behind this unprecedented growth. The months for the Parle-G have been observed as the best for the product, compared to the past eight decades.
Mayank Shah had also mentioned that as soon as the lockdown was declared within two days several of its factories got permission from the Government. He had also conveyed that within a week’s time 80% of its working resumed along with factories.
It was also ensured that the supply chain including raw material procurement along with the process of packaging were on heels too. He had also mentioned that the share price of the company surged by 500bps along with the growth which was better than expected from March to May month.
The reason behind the increase in sales of Parle-G:-
Mayank Shah had also mentioned various reasons which had led to growth in sales of Parle-G. Parle-G coming under the ‘below-Rs100 per kg’ category had become an affordable snack to munch on. He stated that many of the Indian households had hoarded Parle-G while during the lockdown people staying indoors, led to an increase of its consumption.
He had also mentioned many of the people making new dishes had also led to an increase in demand for Parle-G. He further mentioned the affordable Rs.5 packet Parle-G is the best comfort food for someone not able to afford bread.
This has also led to many migrant workers purchasing it, on their way back home, while many NGOs and State Governments brought it in large quantities. This was to distribute among the needy because of the long life of the product and affordable pricing and the same reason had also led to pantry loading. Mr. Shah had also stated that the product sales have been going up during times of uncertainties as seen during Tsunamis and earthquakes. He stated that this is the kind of trust the people are having on the company.