High-frequency users, who consume RTE meals at least several times a week, represent just around 12 per cent of addressable market, the report states
Emphasising that the rapid uptake of quick commerce in metro/ tier 1 cities, a report has stated that the addressable market for ready-to-eat (RTE) foods has grown to 70 to 80 million in 2025. However, high-frequency users, who consume RTE meals at least several times a week, represent just around 12 per cent of that market.
Redseer Strategy Consultants, in a report, noted that mid-frequency users clock in at around 45 per cent, while low-frequency buyers account for around 15 per cent. The remaining 29 per cent of the total addressable market rarely or never purchase these products, despite matching the demographic and lifestyle profile perfectly. This reveals a significant desirability misfit.
“Taste presents an equally considerable hurdle. Even mid-frequency users, that is, consumers who actively want convenience, report disappointing experiences. Value for money amplifies these concerns. When products fail to deliver on health or taste, price sensitivity intensifies,” the report pointed out.
Batters offer a compelling case study in getting convenient eating right. The category has scaled to approximately Rs 30 billion with a whopping 20 per cent quick commerce penetration. The report added that consumers have clear non-negotiables when it comes to switching to RTE/RTH foods. Regionally favoured cuisine is also an area where this category could grow. Offering a homestyle assortment of packaged foods could go a long way in forming a loyal consumer base for RTE brands.
85 per cent of addressable RTE/RTH food consumers remain unconverted. This represents one of India’s largest white space opportunities in fast-moving consumer goods (FMCG). Brands that win in this space will be the ones that decode the dichotomy of convenient, but nutritious and delicious foods for a highly discerning consumer base, the report added.
