Act 2 Scene ?
How did a simple 2 min snack and a pressure cooker created a 100 Cr brand
What do theaters, TV shows, movie nights, and cozy evenings at home all have in common? 🤔
Yup, it is a a bag of popcorn! 🍿
But popcorn wasn't even a thing in Indian households. In fact, when you think of popcorn, the images that come to mind are theaters, the interval, a big popcorn machine. In India, where snacks are synonymous with authentic Indian stuff from namkeen to samosa, Act II popcorn changed this trend and became a popular snack.
ACT II today is the undisputed king of the popcorn market in India, boasting a remarkable 90% market share in the home popcorn category and achieving a brand value of 100 Cr!
But how exactly did they manage to turn something completely new into a trend and a household favorite?
The Failed Attempt to Enter the Indian Market
When the brand first emerged as Act(I), it introduced microwave popcorn that required refrigeration for storage. This instant popcorn variant was revolutionary, allowing consumers to make popcorn at home. However, there was a significant limitation: the popcorn could only be made using a microwave oven.
As a result, the product was primarily accessible to only the upper-class urban households in India, i.e. a very small share of the actual market.
The magic of Act 2 - The pressure cooker effect
In 1984, Act II was launched, which was a revolutionary shelf storage product that did not need refrigeration.
Later, the brand launched Act II, which could be prepared using a pressure cooker or even a frying pan.
Given that microwaves were still uncommon in Indian households, but pressure cookers were ubiquitous, this pressure-cooker-friendly popcorn opened up a new category of snack foods for Indian households.
Through this innovation, the company penetrated the actual large market: the middle class.
Now, with factors like urbanization, increased disposable income, and the rise of streaming services like Netflix and Amazon Prime, the market for popcorns is experiencing significant growth. But there's more to the story.
What did Act II do to become an Indian staple snack?
Targeting Indian Flavors
Act II tapped into the Indian market by introducing flavors tailored to local preferences.
They offered familiar options like Classic Salted, Butter Pepper, Golden Sizzle, and Chilly Surprise, resonating well with Indian consumers.
Smart Advertising
Besides these product-centric developments, the brand is also engaged in aggressive promotion. The brand is famous for running a campaign to highlight the "ease of preparation" of its product.
This was centered around the theme of 'Even Papa Can Cook,' which conveys the message that Act II can be prepared in just three minutes.
Clever Pricing
ACT II has cleverly targeted Indian consumers by offering a Rs 10 packet, making it an affordable choice. This packet, despite its low price, provides a satisfying portion of popcorn, giving customers good value for their money.
They've hit the sweet spot with the right amount and price, making it an attractive option for buyers.
The healthy way
The snack's ability to be guilt-free due to its health appeal has garnered it many fans. And it is this health quotient that brands are latching onto. The snack industry has seen massive growth and an upshift in its consumption patterns.
There is an overall demand for ready-to-eat and on-the-go foods. However, popcorn, being a totally natural product, is a much healthier option than most things available.
It is whole grain, gluten-free, full of fiber, and packed with antioxidants.
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