Nestlé, a major player in the Indian chocolate confectionery market with 17% market share in 2014, have recently introduced Indian consumers to a premium variant of Kit Kat. Kit Kat Senses was launched in early 2015 to cater to consumers who value better quality chocolates.
According to the company, Kit Kat Senses is a crisp wafer chocolate that differentiates itself by claiming the chocolate is churned for more than 12 hours. This chocolate making ritual entices the best flavours and marks a perfect blend of an ancient art with a modern mind. Kit Kat Sense is priced at INR 50 for a pack of 4 fingers, in comparison the regular Kit Kat is available in India for INR 25 for 4 fingers.
To provide a buzz to the launch, Nestle showcased it with a vibrant ad film that focuses on reconnecting with the senses and rediscovering the nuances of life. It does not, however, deter too far away from the traditional tagline ‘Have a Break, Have a Kit Kat,’ as it focuses on the fact consumers are often unable to disconnect and make time for themselves. Kit Kat Senses therefore encourages consumers to ‘take a break.’
Chocolate consumption is constantly increasing in India and consumers are demanding differentiation. Higher priced chocolates are particularly in demand as the growing Indian middle and upper class are developing a taste for luxury goods. Hence, most of the big players in the chocolate market are constantly aiming at offering premium variants. The Indian chocolate confectionery market has room for anyone who offers innovative products, making it one of the fastest growing markets, with an average growth of 24% from 2010 to 2014 in value terms.
Moreover, according to Mintel Market Sizes, the market is forecasted to grow at a compounded annual growth rate of 25% till 2019. This opens up opportunities for new companies to venture into this category and also for existing players to expand their current portfolio in premium space.
