Quick commerce, while relatively new, has already proven to be a disruptive force in the retail landscape. This channel has generated significant buzz and is transforming the way consumers shop. It opens up new avenues for distribution while simultaneously driving increased consumption frequency.

Lotte Choco Pie is leveraging this momentum, with its products now available across all major quick commerce platforms such as Swiggy InstaMart, Zepto, Blinkit, and Dunzo Daily. The company is witnessing notable growth in this segment, emphasizing accessibility and convenience. "Our products are now just a click away, delivered to customers within minutes," said Milan Wahi, Managing Director of Lotte India, underscoring the brand’s focus on meeting the expectations of digital-first consumers.

“Quick commerce now contributes to an impressive 70 percent of our e-commerce sales, underscoring its growing importance. While we are still in the early stages of e-commerce, the rapid pace of quick commerce adoption highlights its potential. Its current penetration is primarily in major cities, but as shared micro-fulfillment center (SMC) infrastructure expands and digital penetration deepens, the platform is poised for significant growth," Wahi explained.

In terms of geographical reach, Lotte Choco Pie already enjoys extensive distribution across a wide network of towns and cities. While there hasn’t been a significant expansion in physical reach, the company has strategically aligned itself with quick commerce to tap into households and consumers rapidly adopting this channel. "We’re ensuring we don’t miss out on any purchase opportunities as this platform enhances convenience and expands our customer base," highlighted Wahi.

"Quick commerce is no longer a passing trend but a vital channel for brands to stay relevant and meet the evolving needs of today's consumers," he added. "As consumer adoption of this platform grows, we are committed to ensuring the availability and discoverability of our product range on these platforms."

Tailored Strategies for Retail

The market dynamics of quick commerce highlight its distinct role compared to other retail channels. "Consumers often turn to traditional stores, modern trade, or grocery e-commerce for bulk or planned purchases," Wahi noted. "Quick commerce, however, caters to top-up and impulse purchases where immediate delivery is critical."

This differentiation has created room for various platforms to coexist. "Traditional Kirana stores offer credit, a tactile shopping experience, and personal connections, while e-commerce provides discounts and convenience. Each platform fulfills specific consumer needs," he observed.

Lotte Choco Pie’s product strategy reflects this understanding. "We focus on bigger, value-added, and combo packs for e-commerce, while mono and trial packs are tailored for quick commerce and retail channels," Wahi explained. The company avoids traditional trade SKUs on e-commerce platforms to maintain market dynamics related to pricing, penetration, and consumer segmentation.

Expanding Snacking Horizons

The brand currently offers its classic Lotte Choco Pie along with new variants like Orange Pie and Choco Burst, both of which have received highly positive responses from consumers. As it continues to grow, Lotte Choco Pie remains committed to expanding its product portfolio by identifying market opportunities and addressing gaps. “Additionally, we keep a close eye on emerging flavor trends to introduce innovative options that resonate with our audience,” stated Wahi.

Consumers are increasingly seeking diverse snacking options at affordable prices. “While the Rs 10 price point remains a popular choice, we are also observing growing interest in the Rs 20 segment. Although inflation has led to subdued demand in recent quarters, we are optimistic about a strong rebound in category growth in the months ahead,” he further added.

Strengthening Rural Presence

Over the past few years, Lotte Choco Pie has focused on expanding its reach beyond Tier II and III cities into rural markets as well. Its product’s unique appeal, exceptional value for money, and ability to resonate with all age groups make it an instant favorite wherever it is introduced. 

“Currently, our products are available in 0.6 million outlets, and we are striving to expand this footprint to 1 million in the near future,” asserted Wahi.

In addition to strengthening its distribution network, the brand actively engages with consumers through various initiatives, including school outreach programs and rural van campaigns. These efforts not only generate demand but also help it establish a strong and lasting presence in the new markets it enters.

Driving E-Commerce Growth

E-commerce has been a key driver of growth for the brand since 2020, particularly as it caters to the impulse category. “We’ve found strong synergies with quick commerce platforms, which align well with the growing shift of younger consumers towards these channels. To ensure maximum reach, we’ve made our products available across all major quick commerce platforms,” he said.

Lotte Choco Pie actively runs campaigns on these platforms to build awareness and drive conversions. Additionally, through targeted social media initiatives, it leverages deep links to encourage purchases and direct traffic to its online stores. This approach is an ongoing process of learning, optimizing, and refining its strategy as the brand continues to tap into these emerging growth channels.

Bolstering Pie Leadership

Over the past few years, the brand has experienced strong performance and identified significant growth opportunities in both urban and rural markets across India. While consumers are still becoming familiar with the concept of "Pie," its penetration remains relatively limited. Lotte Choco Pie’s goal is to maintain leadership in the Pie category by closely tracking consumer preferences and introducing new products to drive further growth.

“We are focused on expanding our distribution network and executing brand awareness campaigns to connect with consumers more effectively and make our products easily accessible. Through these initiatives, we aim to position ourselves as the preferred snacking brand for our customers, concluded Wahi.