DRRK Foods is a company with a legacy in the rice industry that dates back to 1967.
Revenue: In the last fiscal year, the company’s revenue stood at Rs. 800.44 crores, reflecting their business model and market presence. Over the past few years, they have experienced a steady revenue increase, showcasing resilience in a competitive landscape.
Exports: With 80% of their production dedicated to exports, they serve over 35-40 countries. Their top markets include Iraq, Saudi Arabia, Jordan, UAE, and Yemen. The global demand for Basmati rice is rising, particularly in the Middle East and Western markets, presenting them with ample growth opportunities.
Production Capacity Expansion: They are currently investing in a new rice plant with a capacity of 20 TPH in Madhya Pradesh, set to enhance our production capabilities to meet increasing market demands. Their existing facility in Amritsar has a capacity of 144,000 MT.
Strategic Market Expansion: They are actively entering new international markets, including the USA, Europe, Australia, and Africa. and the next goal is to increase their shelf share and brand visibility in these regions.
Sales Channels Diversification: They are expanding their reach through e-commerce platforms such as Amazon and Flipkart, and quick commerce services like Blinkit and Swiggy Instamart, aiming to cater to the evolving consumer preferences for convenience.
Revenue Growth Targets: The company’s revenue targets are Rs. 850 crores in FY25, Rs. 920 crores in FY26, and Rs. 1,000 crores by FY27.
Consumer Trends and ESG Commitment: With rising health consciousness among consumers, Brand is focused on sustainable farming practices and educating farmers on minimal pesticide use. Their commitment to ESG compliance ensures that they contribute positively to the environment while meeting consumer demands for healthier options.
Medianews4u.com caught up with Vikram Marwaha, Joint Managing Director, DRRK Foods
Q. From a marketing perspective, what are going to be the priorities and goals for DRRK Foods in 2025?
In 2025, DRRK Foods will concentrate on building brand awareness and keeping it top of mind through multi-channel marketing. We will enhance both aided and unaided recall by using social media, press coverage, and strategic collaborations. Additionally, storytelling will remain central, focussing on the health benefits and premium quality of our products like Crown Diet Rice. Such expansion of our retail footprint and tailoring our campaigns to target the right regional audiences will allow us to connect profoundly with consumers.
With digital marketing, influencer partnerships, and performance-driven strategies integrated, we will make DRRK Foods a household name for health and taste with innovation in the food space. After all, it is to create significant consumer engagement while driving sustainable growth.
Q. In marketing activities in 2025, will the budget be spread evenly between traditional and digital media in India? Will ad spending for the company grow in 2025 given that it is looking at more markets like the US? Kindly elaborate.
Our marketing strategy will focus primarily on digital media to align with changing consumer preferences in 2025. While traditional media will not be a priority globally, we will continue leveraging it strategically in the Middle East, where it remains highly effective. To ensure tailored communication, we have established dedicated social media channels for the Middle East and North Africa (MENA) region and a separate one for India.
As we expand into new markets like the US, we anticipate an increase in ad spending to strengthen our digital presence and connect with diverse audiences. Our focus on digital platforms ensures that we adapt effectively to evolving market dynamics while fostering growth in both established and emerging regions.
Q. Could you shed light on marketing campaigns currently on and what one can expect in the coming months?
Currently, our marketing campaign on social media highlights the versatility of our rice, showcasing how it can be adapted to a wide range of dishes across different cuisines. On platforms like Instagram, we are featuring recipes such as Hyderabadi rice and Calcutta rice, demonstrating the flexibility of our product in various culinary traditions. This campaign focuses on connecting with food lovers and cooking enthusiasts by showcasing the diverse possibilities our rice offers.
Additionally, in the coming months, we plan to continue building on this theme, expanding our reach with more recipe-driven content. Our goal is to strengthen the perception of our rice as an essential ingredient for all types of meals, further driving consumer interest and engagement with our brand.
Q. When you look at markets like Iraq, Saudi Arabia, Jordan, UAE, and Yemen, what are the similarities and differences compared to India when it comes to Basmati rice consumption?
Basmati rice, with its distinctive long grain and unique aroma, is valued in both India and the Middle East. However, the key difference between the two regions lies in consumer preferences and price sensitivity. In India, consumers are generally more price-conscious, often seeking value for money when purchasing Basmati rice. This results in a higher demand for both head rice and broken rice, offering a wider variety for different budgets.
In contrast, markets in the Middle East, including Iraq, Saudi Arabia, Jordan, the UAE, and Yemen, primarily focus on high-quality head rice. These consumers place a strong emphasis on premium rice with consistent quality and long grains. While both markets appreciate the premium nature of Basmati, the Indian market demonstrates a more varied consumption pattern, driven by budget considerations. This difference in purchasing behaviour highlights the role of price sensitivity in shaping Basmati rice consumption in India versus the Middle East.
Q. How does the company tailor its marketing strategy based on the market? Any examples?
Our marketing strategy is highly adaptable, allowing us to cater to the unique preferences and cultural nuances of each market. For example, in the Middle East, we have dedicated social media channels for each country, such as Saudi Arabia, the UAE, and others. Through such channels, we are able to create content with custom-made region-specific visuals, messages, and stories that resonate better with a local consumer.
In addition, we implement culturally relevant programs, like special campaigns during Ramzan and other festivities, to ensure our communication is aligned with the key traditions and celebrations of the region. In India, we are unique with messaging and visuals reflecting local values and consumer behaviour. We can therefore ensure that our brand communicates in a way that feels personal and meaningful for stronger connections and engagement with diverse audiences across the globe.
Q. E-commerce or quick commerce? Which vehicle is expected to be more important for DRRK Foods in 2025 in India? What are the respective strengths of these modes of delivery?
In 2025, both e-commerce and quick commerce will be essential for DRRK Foods in India, each serving distinct consumer needs. Quick commerce will be particularly important for catering to last-minute, on-demand purchases. With a decision-making process that typically takes just 90-120 seconds, quick commerce platforms are ideal for consumers who prioritize speed and convenience, especially in metropolitan areas where fast delivery is a key expectation.
E-commerce, on the other hand, will continue to be valuable for more considered and planned purchases. It appeals to consumers seeking premium products or those who prefer a more thorough buying process, often with detailed product information and a wider selection. E-commerce is also suited for larger, bulk, or specialty items. In this context, quick commerce excels in immediacy, while e-commerce provides a more extensive and thoughtful shopping experience. By leveraging both channels, DRRK Foods can cater to a diverse range of consumer preferences, ensuring comprehensive market coverage.
Q. How is the company going to use AI in 2025 to innovate in today’s competitive landscape on all fronts from production to distribution and marketing?
In 2025, DRRK Foods plans to leverage AI across multiple fronts to drive innovation and stay competitive. In production and distribution, we are continuously refining our software to gather real-time data on sales, categorised by SKU and city. This will help us optimise supply chain efficiency and ensure the right products are available in the right locations at the right time.
In marketing, AI will play a crucial role in enhancing targetting precision. It will enable us to reach the most relevant audience with greater accuracy, ensuring our campaigns are highly effective.
For instance, in quick commerce, AI will help us identify which pincode areas are being served, allowing us to fine-tune our availability and service areas. By incorporating AI across these touchpoints, DRRK Foods will improve operational efficiency, enhance customer experience, and drive growth in an increasingly competitive market.
