NEW DELHI/ MUMBAI/ BENGALURU – April 24, 2025 – India is quickly shedding its reputation as a daunting emerging market and is delivering superior returns to winning global consumer products companies, Bain & Company finds.

In a new report LEAP to Win: A Playbook for Consumer Products Multinational Corporations in India launched today, Bain profiled 30 top consumer products multinational companies (MNCs) with Indian operations and found that two-thirds of the companies (19) experienced higher-than-industry (India FMCG) growth between 2018 and 2023.

For some leading MNCs, India affiliates deliver total shareholder return of between two and six times that of their global parents. When looking at those with Indian revenue contribution of at least $100 million, the report found that 60% of the Indian affiliates’ revenues are growing at least double of their parent companies’ growth rate.

“Companies already investing in India are benefiting from accelerated growth, higher shareholder returns, and opportunities to shape globally relevant products, said Ravi Swarup, head of Bain’s Consumer Products practice in India. “MNCs that have not entered the market must act now—or risk missing out on a vital growth engine and long-term strategic advantage.”

India is the third-largest contributor to consumer products growth among emerging markets over the past decade. In the next 5-6 years, it will see the highest increase in working-age population globally and the fastest growth for income per capita among the top five consumer products emerging markets, which also include China, Brazil, Mexico, and Russia.

While India has traditionally been considered a difficult market for MNCs, it has made tremendous improvements to barriers. Rapid digital adoption and widespread smartphone and internet penetration have enabled companies to effectively reach India’s diverse population. E-commerce and quick commerce have grown 2–3 times faster in value than traditional and modern trade channels, diminishing the need for an extensive traditional trade network to enter the market. Digital payments are also gaining popularity, with 45% of Internet users adopting them for transactions.

However, the consumer landscape in India will change rapidly in India, and the playbook from other emerging markets will not necessarily apply here.

“Despite recent improvements, India remains a complex market,” said Nikhil Ojha, head of Bain’s Strategy practice in the Asia-Pacific region. “What we are seeing is a market where both legacy players and new entrants can win, but only if they rewire their approach to be truly India-centric.”

Bain’s playbook introduces the LEAP framework—a structured approach tailored to the Indian market:

1. Lead in Core: Establish category leadership and build a strong and fast-growing core business, as demonstrated by Hindustan Unilever and Nestlé, which hold leadership positions in most categories they compete in, meanwhile, also growing disproportionately in demand spaces of tomorrow.

2. Expand Portfolios: Unlock growth by addressing both premium and mainstream demand and bring the best offerings from their global portfolio to India.

3. Adapt the 4Ps: Tailor Product, Price, Place, and Promotion strategies to India’s hyper-local nuances—across languages, affordability levels, states and cities, and purchase behavior, to win in many Indias and many channels.

4. Perform at Peak Levels: Manage India as a long-term portfolio investment and build assets that lead to long-term returns. Successful firms have achieved profitability in a short span of time by tailoring the product, adopting a selective distribution footprint, and managing advertising expenditures prudently. Meanwhile invest in local talent and digital capabilities.  

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Media contact: Ann Lee - ann.lee@bain.com

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