Kissan: Breakfast Behaviour Insight for Product Extensions

Executive Summary

Kissan, a brand owned by Hindustan Unilever Limited (HUL), has been a significant player in India's processed food category since its acquisition in 1993. Originally known for jams and ketchups, the brand has attempted several product extensions over the decades to capitalize on evolving Indian breakfast consumption patterns. This case study examines Kissan's approach to understanding breakfast behaviour and translating those insights into product innovation, based solely on verified public information.

Company Background

Kissan was acquired by HUL (then Hindustan Lever Limited) from the UB Group in 1993, according to HUL's corporate historical records. The brand entered HUL's foods portfolio alongside other established names and became part of what HUL categorizes as its "Foods & Refreshment" division. In HUL's Annual Report 2022-23, the company stated that its Foods & Refreshment segment includes products across tea, coffee, ketchups, jams, and other food categories, though specific brand-level revenue figures for Kissan are not publicly disclosed by HUL. Kissan's core products have traditionally been fruit jams and tomato ketchup. According to a 2019 Economic Times article titled "How HUL is trying to make Kissan relevant again," the brand had faced declining relevance in urban markets and was repositioning itself for growth in smaller towns and rural areas.

Market Context: Indian Breakfast Consumption

India's breakfast market has undergone significant transformation over the past two decades. According to a Nielsen India report cited in a 2018 Business Standard article, breakfast remained the most important meal for 87% of Indian households, but the composition of what Indians eat for breakfast was evolving, particularly in urban centers. A 2021 report by RedSeer Consulting on India's food consumption trends, cited in The Hindu BusinessLine, noted that convenience and health were becoming dual priorities for Indian consumers in breakfast choices. The same report indicated that working professionals and nuclear families were increasingly seeking breakfast solutions that required minimal preparation time while still meeting nutritional expectations. HUL's Annual Report 2021-22 acknowledged shifting consumer preferences in the foods category, stating: "We are building our Foods & Refreshment portfolio around health, wellness, and convenience formats to capture emerging consumption occasions." However, the report did not provide Kissan-specific strategies or performance metrics.

Kissan's Product Extension Strategy

Early Extensions: Jams and Spreads

Kissan's initial product range focused on fruit jams in various flavors (mixed fruit, mango, pineapple) and tomato ketchup. According to a 2015 interview with an HUL Foods executive published in CNBC-TV18, Kissan held a leadership position in the organized jam category in India, though specific market share figures were not disclosed in that interview. The brand introduced peanut butter under the Kissan label, as mentioned in a 2017 Live Mint article titled "HUL's Kissan enters peanut butter market." The article quoted HUL's then-Executive Director Foods, Sudhir Sitapati, saying: "Peanut butter is consumed as a spread in breakfast... We see this as a natural extension for Kissan as it is a trusted breakfast brand." However, no verified public information is available regarding the performance or market reception of Kissan peanut butter post-launch.

Tomato Ketchup: Beyond Traditional Usage

According to a 2016 Economic Times article, Kissan attempted to position its tomato ketchup beyond the traditional accompaniment role (with snacks like samosas and pakoras) and promoted it as a breakfast table condiment. The article mentioned HUL's advertising campaigns showing ketchup being consumed with breakfast items like parathas and dosas. However, no publicly available data confirms the success or failure of this positioning strategy.

Breakfast Behaviour Insights (Based on Public Sources)

Consumer Research Approach

An interview with HUL executives published in a 2019 Fortune India article mentioned that the company conducted extensive consumer research across tier 2 and tier 3 cities to understand breakfast habits. The executives stated that Kissan's team focused on observing actual breakfast preparation and consumption patterns in households, but the specific methodologies, sample sizes, or detailed findings from this research have not been publicly disclosed. In HUL's 2020-21 Annual Report, the company stated: "Consumer centricity is at the heart of our innovation agenda. We deploy digital tools and traditional research methods to gain deep consumer insights." This was a company-wide statement and did not specifically address Kissan's research initiatives.

Identified Breakfast Trends (From Industry Reports)

A 2020 report by the Indian Council for Research on International Economic Relations (ICRIER) on "Dietary Transition in India" noted several trends affecting breakfast consumption:

• Increasing preference for protein-rich breakfast options

• Growing acceptance of Western breakfast formats (bread, spreads) in urban India

• Time constraints leading to demand for quick-preparation breakfast items

• Rising health consciousness influencing choice of breakfast ingredients

A 2022 Nielsen IQ report cited in The Economic Times indicated that the spreads category (jams, honey, peanut butter, chocolate spreads) in India was growing at approximately 8-10% annually, driven by penetration in smaller towns. The report did not provide brand-specific data for Kissan.

Product Extensions Based on Breakfast Insights

Kissan Pro Health Variants

In 2018, Kissan introduced what it termed "no added sugar" variants of its jams, according to a press release reported in The Hindu BusinessLine. The product was positioned as a healthier alternative for breakfast, leveraging growing health consciousness among consumers. The press report quoted HUL stating that the product contained 70% less sugar than regular jams, with sweetness derived from fruit concentrates. No verified information is publicly available regarding sales performance, distribution reach, or market share gains from these health-focused variants.

Breakfast Sachets

According to a 2017 article in The Economic Times, HUL introduced smaller, single-serve sachets of Kissan jam targeted at smaller households and budget-conscious consumers. The article mentioned that these sachets were priced at ₹5 and were intended to increase penetration in rural and semi-urban markets where large jar formats might be unaffordable or impractical. An HUL executive was quoted in the same article saying: "Sachets democratize consumption and allow consumers to try the product without significant investment." However, no publicly disclosed data exists on the volume or value contribution of sachets to Kissan's overall business.

Attempted Extensions Beyond Core Categories

A 2019 Economic Times report mentioned that HUL was exploring opportunities to extend Kissan into other breakfast-related categories but did not specify which categories or provide details on any launched products beyond those already mentioned. The report indicated that HUL viewed breakfast as a "strategic consumption occasion" for the brand but provided no concrete evidence of new product launches resulting from this strategy.

Distribution and Marketing Approach

Distribution Strategy

HUL's Annual Report 2022-23 stated that the company operated through a distribution network covering over 9 million retail outlets across India. The report noted: "Our Foods & Refreshment products are available in both modern trade and traditional retail, with increasing emphasis on e-commerce channels." However, Kissan-specific distribution numbers or channel-wise sales splits are not publicly available. A 2020 interview with HUL's Chief Executive Officer, Sanjiv Mehta, published in Business Today, mentioned that HUL was focusing on strengthening its presence in "emerging channels" including small-town retailers and online platforms for its foods portfolio, though Kissan was not specifically named.

Marketing Communications

According to publicly available information from advertising tracking by industry publications, Kissan's marketing campaigns in the 2015-2020 period focused on positioning the brand as part of a "complete breakfast." A 2018 Campaign India article analyzing Kissan's advertising noted that the brand's television commercials depicted families consuming jam with bread or parathas at breakfast, emphasizing nutritional value and taste. An interview with HUL's Marketing Director published in a 2019 exchange4media article stated: "For Kissan, we are focused on building relevance at the breakfast table, which means understanding what families are eating, when they're eating it, and how our products can fit naturally into those moments." Specific media spending figures or campaign effectiveness metrics for Kissan have not been publicly disclosed by HUL.

Competitive Landscape

Organized Players

The Indian jams and spreads market includes several organized players. According to a 2021 Market Research Future report cited in Business Wire, key competitors in India's jams and spreads segment include:

• Kissan (HUL)

• Maggi/Nestlé India (in select spreads categories)

• MapleLife (focused on peanut butter and health spreads)

• Dr. Oetker FunFoods

• Sundrop (in peanut butter segment)

The same report estimated that the organized jams and spreads market in India was valued at approximately $180-200 million as of 2020, but did not provide brand-wise market share data. Nestlé India's Annual Report 2021-22 mentioned its presence in the breakfast and spreads category but did not disclose specific product lines or performance metrics that would directly indicate competition with Kissan.

Unorganized Competition

A 2019 article in The Hindu BusinessLine noted that the Indian jams and spreads category faces significant competition from unorganized local brands and homemade alternatives, particularly in smaller towns and rural areas. The article cited industry estimates suggesting that the unorganized segment accounted for 40-50% of total jam consumption in India, though these figures could not be independently verified from primary sources.

Challenges and Market Realities

Limited Public Performance Data

A fundamental limitation in analyzing Kissan's breakfast-focused product extensions is the absence of brand-specific performance data. HUL does not disclose revenue, volume, market share, or profitability figures for individual brands within its Foods & Refreshment portfolio in its annual reports or investor presentations. HUL's Annual Report 2022-23 stated that the Foods & Refreshment segment achieved "mid-single digit growth" but did not attribute performance to specific brands or product lines. No verified public information is available on whether Kissan's product extensions contributed positively or negatively to this growth.

Market Penetration Challenges

A 2019 Economic Times article titled "Why HUL's Kissan is struggling to find its mojo" reported that the brand faced challenges in competing with both newer health-focused brands and traditional homemade alternatives. The article cited unnamed "industry sources" suggesting Kissan's market share in jams had declined, but these claims could not be verified through official HUL disclosures or independent market research reports available in the public domain. The same article quoted Abneesh Roy, Executive Vice President at Edelweiss Securities, saying: "Kissan is an old brand in a category that hasn't excited consumers in India for a long time. The breakfast table is fragmenting, and jams aren't necessarily winning." However, this represents analyst opinion rather than verified performance data.

Breakfast Habits and Cultural Factors

Research published in the Indian Journal of Community Medicine in 2020, titled "Breakfast habits and their associated factors among school-going adolescents of North India," indicated that traditional Indian breakfast items (parathas, idli, poha, upma) remained dominant, with bread-based breakfasts more common in urban households with higher socioeconomic status. This academic research suggests that the addressable market for Western-style spreads and jams may be more limited than the total breakfast-consuming population. A 2021 report by the National Institute of Nutrition cited in The Hindu noted that bread consumption in India remained concentrated in urban areas and accounted for a relatively small portion of total cereal consumption compared to traditional staples like rice and wheat rotis.

Strategic Decisions: What Can Be Verified

Product Portfolio Decisions

Based on publicly available product listings on e-commerce platforms and HUL's official Kissan brand website (accessed in 2023), the following can be verified:

• Kissan maintains multiple jam flavors (mixed fruit, mango, pineapple, strawberry)

• The brand offers tomato ketchup in various sizes

• Health-focused variants (reduced sugar options) exist in the product lineup

• Multiple pack sizes are available, including small jars and larger family packs

However, no verified information exists in public sources regarding:

• Which products are growing versus declining in sales

• Regional variations in product availability or performance

• Consumer trial versus repeat purchase rates

• The relative success of health-focused variants versus traditional offerings

Investment in Innovation

HUL's Annual Reports from 2018-2023 consistently mention investment in innovation across the foods portfolio but do not provide specific figures or initiatives related to Kissan. The 2021-22 Annual Report stated: "We invested in renovating our core brands and launched innovations to meet evolving consumer needs in health and wellness." Kissan is not specifically mentioned in this context, making it impossible to determine what percentage of foods innovation budget, if any, was allocated to the brand.

Organizational Decisions

No verified public information is available regarding:

• Size of the Kissan brand team within HUL

• Dedicated research and development resources for the brand

• Decision-making processes for product extensions

• Internal performance metrics or targets for the brand

Broader HUL Foods Strategy Context

Foods Portfolio Performance

HUL's Annual Report 2022-23 provided limited segment-level information: "Foods & Refreshment delivered competitive growth, with strong performance in Tea. Other categories within Foods faced headwinds from inflation and competitive intensity." This statement suggests challenges in the foods categories beyond tea, which would include Kissan's product lines, but does not specify the nature or magnitude of these challenges.

Strategic Priorities

In HUL's FY 2021-22 Annual Report, Chairman and Managing Director Sanjiv Mehta stated: "We are sharpening our focus on fewer, bigger, better innovations with a higher success rate." This company-wide strategic direction may have implications for Kissan's product extension strategy, but no verified information exists on how this philosophy specifically influenced decisions about Kissan's breakfast portfolio. An investor presentation by HUL in November 2022 (available on the company's investor relations website) mentioned "premiumization" and "health and wellness" as key growth drivers for the Foods segment but did not provide brand-specific strategies or examples.

Limitations

The following critical aspects of Kissan's breakfast behaviour insights and product extension strategy cannot be addressed due to lack of publicly available, verifiable information:

1. Consumer Research Findings: While HUL executives have mentioned conducting consumer research for Kissan, the actual insights, methodologies, sample sizes, and specific findings have not been publicly disclosed.

2. Financial Performance: No brand-level revenue, profit, volume, or market share data for Kissan has been published by HUL in annual reports, investor presentations, or official press releases.

3. Product Extension ROI: No verified information exists regarding the success or failure of specific product extensions, including whether they met internal targets or contributed to brand growth.

4. Internal Decision-Making: The processes by which breakfast insights were translated into product decisions, including who was involved, what trade-offs were considered, and what alternatives were rejected, remain undisclosed.

5. Channel Performance: While HUL mentions multi-channel distribution, no verified data exists on which channels (modern trade, traditional trade, e-commerce) perform better for Kissan or how breakfast products specifically perform across channels.

6. Consumer Metrics: No publicly available information exists regarding trial rates, repeat purchase rates, brand awareness, consideration, or preference metrics for Kissan or its product extensions.

Key Lessons

Based on the limited verified information available, several observations can be made about Kissan's approach to breakfast behaviour insights and product extensions:

The Challenge of Category Relevance: Multiple media reports and analyst observations suggest that Kissan has faced challenges in maintaining relevance in a category where traditional Indian breakfast habits dominate and the total addressable market for jams and spreads remains limited. The brand's attempts to position itself as a breakfast essential appear to face structural headwinds from consumer preferences for traditional breakfast formats.

Health Positioning Without Verified Impact: Kissan introduced health-focused variants (reduced sugar jams) in response to broader consumer wellness trends. However, the absence of publicly disclosed performance data makes it impossible to determine whether this positioning resonated with consumers or translated into market share gains. This highlights a broader challenge in evaluating FMCG innovations where companies rarely disclose brand-level success metrics.

Distribution as a Silent Factor: While HUL possesses one of India's most extensive distribution networks, no verified information exists on whether Kissan's breakfast products successfully leveraged this advantage or whether distribution strength alone can overcome fundamental questions about category relevance and product-market fit.

The Gap Between Stated Strategy and Measurable Outcomes: HUL executives have publicly articulated a strategy of understanding breakfast behaviour and extending Kissan into breakfast occasions. However, the lack of disclosed outcomes, metrics, or learnings from these extensions makes it impossible for external observers to assess execution effectiveness or learn from the brand's experience.

Transparency Limitations in Consumer Insights: While HUL has mentioned conducting consumer research for Kissan, the lack of publicly shared insights limits the ability of the broader business community to learn from or build upon the company's understanding of Indian breakfast behaviour. This represents a broader pattern in Indian FMCG where consumer insights remain closely guarded rather than contributing to industry knowledge.

Conclusion

Kissan's approach to leveraging breakfast behaviour insights for product extensions represents an attempt by a legacy FMCG brand to maintain relevance in a changing consumer landscape. The verified public information confirms that the brand has introduced variants (health-focused options, different pack sizes) and attempted positioning adjustments (ketchup at breakfast, jam as nutritious) in response to evolving consumption patterns. However, the absence of disclosed performance metrics, consumer research findings, or strategic learnings makes it impossible to assess whether these moves successfully addressed the brand's challenges or created sustainable growth. This case study thus illustrates a common limitation in analyzing Indian FMCG strategy: the gap between stated strategic intent (captured in executive interviews and company communications) and verifiable outcomes (rarely disclosed at brand level). What remains clear from publicly available information is that Kissan operates in a category with structural challenges in India—limited penetration of Western breakfast formats, strong preference for traditional alternatives, and significant unorganized competition. Whether the brand's breakfast behaviour insights have successfully navigated these challenges cannot be determined from available public sources.

Discussion Questions

Question 1: Market Research Translation: Given that HUL executives have stated that Kissan conducted consumer research on breakfast habits, but no specific findings have been publicly disclosed, how should managers at FMCG companies decide when and how to translate consumer insights into product extensions? What frameworks might help distinguish between interesting consumer observations and commercially viable product opportunities, particularly in categories where traditional habits remain dominant? How might Kissan's team have validated that observed breakfast behaviour changes were substantial enough to justify new product development?

Question 2: Category Growth Versus Brand Extension: Industry reports suggest the spreads category in India is growing at 8-10% annually, yet Kissan has reportedly faced relevance challenges according to media articles. This raises questions about whether the right strategy is to ride category growth with core products, extend into adjacent categories, or fundamentally reposition the brand. What analytical approach would you use to determine whether Kissan should focus on deepening penetration of existing products (jams, ketchup) versus extending into new breakfast-related categories? How would you balance the risk of diluting a brand's core identity against the potential of capturing new consumption occasions?

Question 3: Performance Measurement in Absence of Public Data: HUL does not disclose brand-level performance metrics for Kissan, making it impossible for external observers to evaluate the success of its breakfast-focused strategy. From an internal management perspective, what specific metrics should the Kissan brand team track to assess whether breakfast behaviour insights have successfully translated into business outcomes? How should a company weight quantitative metrics (sales, market share) versus qualitative indicators (brand perception, consumer feedback) when evaluating product extensions in a category with modest growth potential?