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EquityWireAI Deployment: Tata Consumer to leverage AI for pdt development, predict consumer trend
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Tata Consumer to leverage AI for pdt development, predict consumer trend

This story was originally published at 13:13 IST on 10 June 2026
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Informist, Wednesday, Jun. 10, 2026

 

By Avishek Rakshit

 

KOLKATA – Tata Consumer Products Ltd. is banking on digital technology while focussing on emerging product categories and new-age trade channels to fuel its growth in days ahead, Chairman N. Chandrasekaran said Wednesday.

 

"Tata Consumer is focussing on digital transformation by embedding a lot of digital capabilities across all the functions and the value chain of the company." Chandrasekaran told the company's shareholders at its 63rd Annual General Meeting. "The company is also investing to leverage AI (artificial intelligence) both in product development cycles as well as in forecasting and predicting consumer trends and marketing and optimising the overall operations." 

 

While the use of AI is predominant in e-commerce and quick commerce, the company is leveraging technology in traditional sales channels like kirana stores as well. According to the company's annual report for 2025-26 (Apr-Mar), AI powered solutions accounted for 6% of the company's sales from general trade channels in the last financial year. 

 

Tata Consumer is looking forward to leverage the consumer data bank at the group level as a connected knowledge layer to build industry specific AI solutions at scale. It encompasses building capabilities to anticipate and serve evolving consumer needs. The digital push also includes hyper personalised shopping agents across emerging channels, ensuring readiness to engage seamlessly in new consumption ecosystems. 

 

In FY26, Tata Consumer deployed AI to capture micro trends and compress product development cycles, commercialised multiple agentic models across functions and put several more in advanced field testing. Early deployments have driven tangible productivity gains improving frontline effectiveness, according to the company's annual report. 

 

Advanced analytics is also enabling the company to formulate a more scientific approach to outlet expansion and strengthening last mile reach in high potential micro markets. Chandrasekaran said that new-age sales channels, led by the rapid expansion of quick commerce continue to outpace the traditional retail with the new channels now contributing over 35% of the company's business in India. 

 

"Lifestyles are changing, new retail formats are emerging, digital commerce and particularly quick commerce is changing the way the consumers consume, eat, drink and shop," he said. 

 

Later, Managing Director and Chief Executive Officer Sunil D'Souza said that in FY26, sales through modern trade channels, which accounts for 15% of the company's annual sales, grew by 20% on year. Sales growth from quick commerce, which accounts for 19% of the annual sales, however, grew by a whopping 62% on year. Apart from retailing packaged and branded commodities and food products, Tata Consumer also gets revenue from non-consumer goods businesses like plantations and solubles business verticals. 

 

"At the same time, the traditional retail remains the backbone to our go-to-market efforts," the chairman said. 

 

Tata Consumer Products is also diversifying its portfolio in foods to open new revenue streams and especially strengthen the non-tea and non-salt portfolio which comprises branded commodities and packaged foods. 

 

"The core businesses of tea and salt continue to provide stability and scale while the growth businesses continue to build the momentum," Chandrasekaran said. "Categories such as packaged foods, pantry staples and ready-to-drink beverages continue to grow. The growth businesses now account for 30% of the India portfolio up from the 26% last year."

 

During the March quarter, Tata Consumer reported around 18% on-year consolidated top line growth to over INR 54 billion and over 21% on-year rise in bottom line to INR 4.2 billion. At 1131 IST, shares of the company were up 0.8% at INR 1,115.00 on the National Stock Exchange. End

 

IST, or Indian Standard Time, is five-and-a-half hours ahead of GMT

 

Edited by Akul Nishant Akhoury

 

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