“We had launched baked snacks under Saffola. We believed there was an opportunity for a healthier snack and, given Saffola’s association with health, it seemed like a good fit,” he wrote.
The product, however, did not succeed. Looking back at the reasons behind the failure, the company realised it had placed too much emphasis on Saffola’s health positioning and not enough on taste.
“When we went back to understand why, we realised we had focused too much on health because it was under brand ‘Saffola’ as it stands good for health and not enough on taste,” he said.
“In a category like snacking, consumers may appreciate the health proposition, but they will come back only if they enjoy the product,” he added.
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How the lesson shaped Saffola Masala Oats
Marico remembered this learning when it entered the oats category.
Oats were considered healthy, but the way they were consumed globally was largely sweet. The company’s research showed that Indian consumers preferred savoury breakfasts.
The research also found that tastes differed considerably across the country. In Tamil Nadu, for example, the company developed a Pongal variant, while consumers in other markets wanted something spicier.
“In Tamil Nadu, for example, we developed a Pongal variant. In other markets, consumers wanted something spicier,” he said.
That understanding eventually led to Saffola Masala Oats and multiple flavours designed around Indian tastes.
“New Category of masala oats with an 80% of market share, our combined strength in both plain and masala oats gives market leadership,” he said.
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The lesson for business leaders
The experience also shaped a broader lesson about experimentation, according to the Marico chairman.
“For leaders, the challenge is to give teams the freedom to experiment while maintaining rigour,” he said.
He said a failed experiment does not necessarily mean the idea or process was flawed, while poor execution is a separate issue.
“A well thought through experiment may still fail. Poor execution is a different matter,” he said.
“Knowing the difference allows an organisation to keep experimenting without becoming careless,” he added.