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Cornitos: India’s Leading Nachos Brand

Started by Vikram Agarwal in 2009, Cornitos grew into India’s biggest nachos brand by market share. By 2019, it had captured 60 percent of India’s nachos market, and exported to the US, Australia, China, Singapore, UAE, and elsewhere. Vikram took a business trip to the US in 2008 where he discovered tortilla chips and decided to create a nachos brand for India with Mexican flavors and an Indian twist. He established Green Dot Health Foods in 2009 and began manufacturing Cornitos nacho crisps at a fully automated plant in Roorkee. Over the next ten years, Cornitos grew to become the largest nachos brand in India's market.

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37 views4 pages

Cornitos: India’s Leading Nachos Brand

Started by Vikram Agarwal in 2009, Cornitos grew into India’s biggest nachos brand by market share. By 2019, it had captured 60 percent of India’s nachos market, and exported to the US, Australia, China, Singapore, UAE, and elsewhere. Vikram took a business trip to the US in 2008 where he discovered tortilla chips and decided to create a nachos brand for India with Mexican flavors and an Indian twist. He established Green Dot Health Foods in 2009 and began manufacturing Cornitos nacho crisps at a fully automated plant in Roorkee. Over the next ten years, Cornitos grew to become the largest nachos brand in India's market.

Uploaded by

aakanksha prasad
Copyright
© All Rights Reserved
We take content rights seriously. If you suspect this is your content, claim it here.
Available Formats
Download as DOCX, PDF, TXT or read online on Scribd

Started by Vikram Agarwal in 2009,

Cornitos grew into India’s biggest nachos brand by market share.


By 2019, it had captured 60 percent of India’s nachos market, and exported to the US,
Australia, China, Singapore, UAE, and elsewhere.

The Background

After completing his Commerce degree at Shaheed Bhagat Singh College,Vikram had
joined the family business—the Rs100 crore Globe Group, worked for 20 years.
Globe Capacitors manufactured and exported film capacitors. 

In June 2008, he took a business trip to the US, not knowing that it would change his
life forever.

During the trip, he tasted Tortilla chips,and fell in love with [Link] to create a
nachos brand that offered Mexican flavours with an Indian twist.

Tortilla chips are also commonly called Nacho crisps, or just Nachos.

He walked out of the plant and finalized a deal with local manufacturers to ship crisp-
making equipment to New Delhi, 8,000 miles away. His aim was to give well-travelled
Indians a Mexican snack with an Indian twist. Nine flavours that suit the Indian palate
very well:

 Barbeque,

 Wasabi,

 Tikka Masala,

 Thai Sweet,

 Chili,

 Sea Salt,

 Tomato Mexicana,

 Lime; Mint,

 Cheese and Herbs,

 Sizzling Jalapeno.

Cornitos product range -- priced between Rs 15 (30 gms) and Rs 85 (150gms) -- also
includes delectable salsa n cheese dips gherkins, jalapeno and relish for toppings.
emerging and growing category for nachos.
The company has established a foothold in India’s Rs15,000 crore snacking market.
The brown and yellow packs are ubiquitous on shop shelves across major food and
grocery stores in over 200 cities. Green Dot clocked revenue of Rs24 crore in the
year ended 31 March 2014.

Taking the leap

Vikram shared his idea with his father, who acknowledged the idea and encouraged
him to start a tortilla chips and nacho crisps brand.

In 2009, he established Green Dot Health Foods in Faridabad, and began making


nacho crisps under his new brand- Cornitos.

Set up a fully-automated manufacturing plant in Roorkee, obtaining the technical


know-how from a California-based equipment maker.

First company to launch Nacho Crisps (Tortilla) in Indian branded snack food market.
GHFPL,(Greendot Health Foods Pvt Ltd) had fully automated, state-of-the-art food
manufacturing plantat state-of-the-art food manufacturing facilities at Roorkee,
Uttarakhand, [Link] a growing FMCG company and part of the well-known Globe
Group, a 30million US$ venture. It entered into Indian snacks market in 2009 with its
brand Cornitos -Nacho Crisps,A perfect in-between-meals snack.

USP:

It combines the health benefits of Cornin Exotic flavours.

Crisps are Gluten Free. Cooked in Corn Oil , with Zero Trans-fat,

Zero Cholesterol Healthy Snack.

GHFPL honors quality in every aspect and is professionally managed. Manufacturing


is done in environmental friendly premises and hygienic conditions.

GHFPL is an ISO-22000, Halal and BRC certified company with FSSAI and US

FDA registration.

Over the next ten years, Cornitos grew into India’s biggest nachos brand by
market share. By 2019, it had captured 60 percent of India’s nachos market, and
also exported to the US, Australia, China, Singapore, UAE, and elsewhere.
THE INITIAL DAYS
Vikram faced several hiccups during the early years of Cornitos. Choosing the correct
variety of corn kernels took some amount of trial and error to solve. 

Took him a year to narrow down on the right type of corn for his nacho crisps

Vikram also didn’t find it easy to set up a production unit that met international
standards of production.

Gaining customer approval and acceptance was another big challenge for the brand.
Nachos was not a booming or established snack category when Cornitos first
launched.

Due to low penetration in the market and low per capita consumption of nachos in
India, the category took a while to grow and scale-up. Despite hefty investments and
top-notch technology

During those early years, sales stagnated and the brand was becoming confusing or
less attractive to consumers.

Product Revamp:

change our packaging

logo and colour scheme (brown and yellow),

modified the font, and

removed the product image from the packaging. international brand,” Vikram says.

The fresh approach to packaging worked. As sales picked up, Cornitos distinguished
itself as the market leader in an spends 10 to 15 per cent of the sales on advertising
the product. Though tortilla chips are a product of the western markets, the company
has launched nine flavours, more than

any other chips brand,

At present, Vikram and Cornitos face operational challenges on multiple fronts due to
the COVID-19 pandemic and lockdown. Expectedly, the brand has seen a dip in
sales. It is now preparing for a post-lockdown revival where home deliveries of
groceries and snacks, including Cornitos’ products, will see an increase.

“The main challenge after lockdown will be addressing the broken supply chain
to procure raw material.
production unit will have to bring process efficiency at a micro-level through
cost control on consumables, as well as control process waste, process
automation, ensure breakdown prevention, and increase production efficiency

Common questions

Powered by AI

Several factors contributed to Cornitos' market dominance, capturing 60% of India's nachos market by 2019. Firstly, the company's strategic introduction of Indian-inspired flavors appealed to local tastes, distinguishing it from other international brands . Additionally, Cornitos invested in high-quality production practices adhering to international standards, which were key in building consumer trust and acceptance . Effective branding and marketing strategies, including frequent advertising and an overhaul of packaging to improve visual appeal, further secured its market leadership . Finally, leveraging international trade experience, Cornitos expanded its footprint, enhancing its brand's prestige and reach .

Cornitos faced significant operational challenges in its initial stages, primarily in identifying the correct variety of corn suitable for nacho crisps, which required a year of trial and error . Additionally, setting up a production unit that adhered to international standards was not an easy task. Cornitos also had to invest heavily in marketing and adapt its packaging to enhance consumer appeal . These efforts, combined with strategic market positioning through diverse flavor offerings and maintaining high manufacturing standards, enabled Cornitos to overcome the initial setbacks and achieve a 60% market share in India's nachos market by 2019 .

Vikram Agarwal employed several strategic approaches to establish Cornitos in India's nascent nachos market. Initially, he leveraged his business acumen from working in the family business to develop and introduce a diverse range of flavors tailored to the Indian palate, such as Tikka Masala and Thai Sweet Chili, which distinguished Cornitos from international brands . Recognizing the low market penetration, Vikram focused on gradually building customer acceptance through trial and error in selecting the right corn type and setting up production units compliant with international standards . Furthermore, he revamped the product packaging and branding to increase consumer appeal . These strategies, combined with a robust marketing effort, allowed Cornitos to capture 60% of the market by 2019 .

Cultural adaptation was central to Cornitos' market strategy, as evidenced by its introduction of nacho crisps with Indian-inspired flavors. Vikram Agarwal recognized the need to align with local tastes, leading to the creation of flavors like Tikka Masala and Wasabi, which were designed to resonate with Indian consumers . This strategy helped Cornitos to differentiate itself from other snack brands and cater to the diverse taste preferences in India. By localizing the product offerings, Cornitos successfully captured a significant market share and established a strong brand presence in an emerging snack category .

Cornitos revamped its branding and packaging by changing the packaging logo, color scheme to brown and yellow, modifying the font, and removing the product image from the packaging . These changes were critical in refreshing its market image and aligning better with consumer preferences, leading to increased sales and reinforcing its position as a market leader in the nacho crisps category . The refreshed branding helped Cornitos differentiate itself from competitors and become more attractive and recognizable on store shelves.

Cornitos diversified its product offerings by developing multiple flavors beyond traditional nachos, catering specifically to Indian tastes, such as Tikka Masala and Thai Sweet Chili . The brand also expanded its range to include salsa and cheese dips, gherkins, jalapenos, and relishes, providing comprehensive snack solutions . This diversification enabled Cornitos to tap into various consumer preferences, enhance customer loyalty, and solidify its presence across different market segments, thereby supporting its growth in the snack food industry.

Vikram Agarwal's previous experience at Globe Group influenced the development of Cornitos by equipping him with crucial manufacturing and business acumen. At Globe Group, which specialized in manufacturing and exporting film capacitors, Vikram gained insight into international market dynamics and high-efficiency manufacturing processes. This knowledge was pivotal in setting up a fully-automated production plant for Cornitos that adhered to stringent international standards . His familiarity with global trade and export markets acquired from his tenure at Globe Group also facilitated Cornitos' entry into international markets such as the US, Australia, and UAE .

Cornitos emphasized the health benefits of their nacho crisps by making them gluten-free and cooking them in corn oil, which offers zero trans-fat and zero cholesterol . To assure quality and health standards, Cornitos obtained various certifications, such as ISO-22000, Halal, and BRC certification, along with FSSAI and US FDA registration . These measures ensured that Cornitos products not only appealed to health-conscious consumers but also met high international standards.

Vikram Agarwal's visit to the US in 2008 was pivotal in the inception of Cornitos, as it was during this trip that he tasted tortilla chips and became inspired to replicate the experience in India . Observing the popularity and flavors of tortilla chips abroad, Vikram decided to create a nacho brand with a Mexican flavor profile adapted to Indian tastes. This experience influenced the product development by emphasizing unique, localized flavors and setting up a fully automated manufacturing plant with technical know-how sourced from a California-based equipment maker, aligning it with international quality standards .

The COVID-19 pandemic impacted Cornitos by causing operational challenges and a dip in sales due to disrupted supply chains and lockdown measures . In response, the company planned to focus on process efficiency in the production unit, controlling costs of consumables, reducing process waste, enhancing process automation, preventing breakdowns, and increasing production efficiency . Cornitos also anticipated an increase in home deliveries of groceries and snacks as part of their recovery strategy .

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