Mondelez launches accelerator programme for startups in snacking space

For the chocolate firm, India is the first market outside the US for the initiative, a collaboration with early-stage startups in the snacking segment. The maker of Dairy Milk and Oreo said it will help companies explore, identify and participate in high-growth snacking trends while building and leveraging the category.

“A fertile startup ecosystem supported with a millennial consumer base is leading to a plethora of direct-to-consumer brands across several emerging snacking trends,” Deepak Iyer, president-India at Mondelez International, told ET. “It is aimed at creating a platform to attract relevant startups in the snacking space while catering to the evolving snacking preferences of consumers.”

The CoLab accelerator programme, which was first launched in the US in 2021, will include up to seven Indian startups. The initiative will be a 12-week programme and startups will be provided expert mentoring, workshops, access to Mondelēz leadership, and its partner network, and also receive a $20,000 grant.

“We realise that there are pockets of innovation and excellence in our market, fuelled by a growing and fertile startup ecosystem. As an established leader in the snacking space, we feel it is only right for us to lend our experience, our expertise and our network, and partner together to deliver consumer-centric innovation,” added Iyer.

India accounts for about $1.2 billion of revenue for parent Mondelēz with the local unit controlling nearly two-thirds of the country’s chocolate market. Over the past few years, the company entered into several snacking segments including cookies and cereals.

Discover the stories of your interest

Experts feel D2C companies are quickly able to tap into the consumption behaviour of millennials and Gen Z through innovation and iteration compared to mainstream established firms.”The direct connect with consumers allows rapid pivoting, leading to scaling up with quick product market fit that large legacy companies lack. More companies not only in the consumer food space but across segments should take a cue from Mondelezto fuel innovation for deserving startups focused on sustainability, health and future,” said Dhianu Das, cofounder, Agility Ventures.

Last month, ITC invested in Sproutlife Foods (SFPL), which makes Yoga Bar, while Hindustan Unilever Limited (HUL) invested in Zywie Ventures, which sells plant-based supplement brand Oziva, and Nutritionalab, which owns nutritional products under Wellbeing in December

In May last year, Marico picked up a 54% stake in HW Wellness Solutions, which owns healthy breakfast and snacks brand True Elements.

Over a year ago, Tata Consumer acquired a 100% stake in Kottaram AgroFoods, the maker of the Soulfull brand of breakfast cereals and millet-based snacks.