ITC PVT (I) LTD.
Project Title
:
Repo Report rt on Mark Market et
research on biscuit Industries .
Proposed By
: Abhishek Mittal B.Com, PP!"M#
Marketin$
Institute
: Indira "chool o% career
studies &aked, pune Maharastra Maharast ra
Project uide "ubmitted
By
Project Mr.
Ramesh
Mala'
Abhishek Mittal
ACKNOWLEDGEMENT
I would sincerely like to thank Mr. Mr. Rames Ramesh h
mala' for his immense contribution & support to execution of my project In ITC P't.(I) *td.
I would also like to thank
Mr. "uresh (+") -ayapura, ota &
Mr. Manish (+") -ayapura, ota
My apprec appreciat iation ion to the Fami Family ly of ITC P't.(I) Ltd would be incomplete if I don’t thank
Mr. Mahesh makhija (+istributer, TA) & their sales team.
2
Project uide "ubmitted
By
Project Mr.
Ramesh
Mala'
Abhishek Mittal
ACKNOWLEDGEMENT
I would sincerely like to thank Mr. Mr. Rames Ramesh h
mala' for his immense contribution & support to execution of my project In ITC P't.(I) *td.
I would also like to thank
Mr. "uresh (+") -ayapura, ota &
Mr. Manish (+") -ayapura, ota
My apprec appreciat iation ion to the Fami Family ly of ITC P't.(I) Ltd would be incomplete if I don’t thank
Mr. Mahesh makhija (+istributer, TA) & their sales team.
2
[Type text]
DECLARATION
I Abhishek mittal hereby declare that this project report is done by me as per my skills and my knowlede durin academic year !"#"$ #!. %his project is not published preiously or written by any other person to substantial extend has been accepted for the award of any other deree or diploma of any other institute except where due acknowlede has been made in the text. MI%%AL
A'(I)(*+
,ate-$ lace-$
3
INDEX Sr.No.
Topic
Page No.
#. !. 2. 3.
Introduction (istory *xecutie )ummary Major player of biscuit
/$0 1$#" ## #!$#2
/. 0.
company roduct detail of I%4 6oute wise detail
1. 5. 7.
%abular Form 8uestionnaire 6ecommendation 'iblioraphy
#3$!5 in 23$27 3" $ 35 37 /"
INTRODUCTION
4
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About ITC :/ I%4 I%4 is one one of Indi India9s a9s fore foremo most st pria priate te sect sector or comp compan anie ies s with with a market capitalisation of oer :) ; 22 billion and a turnoer of :) ; 1 bill billio ion. n. I%4 I%4 is rated rated amon amon the the
i maa>ine= ne= amon amon India9 India9s s Most Most 6espec 6espected ted 4ompani 4ompanies es by 'usine 'usiness ss
5
I%49s diersiCed status oriinates from its corporate stratey aimed at creatin multiple driers of rowth anchored on its time$tested core competencies- unmatched distribution reach= superior brand$ buildin capabilities= eGectie supply chain manaement and acknowleded serice skills in hotelierin. Her time= the strateic forays into new businesses are expected to arner a siniCcant share of these emerin hih$rowth markets in India. I%49s
Ari$'usiness
is
one
of
India9s
larest
exporters
of
aricultural products. I%4 is one of the country9s biest forein exchane earners :) ; 2.! billion in the last decadeB. %he 4ompany9s 9e$4houpal9 initiatie is enablin Indian ariculture siniCcantly enhance its competitieness by empowerin Indian farmers throuh the power of the Internet. %his transformational stratey= which has already become the subject matter of a case study at (arard 'usiness )chool= is expected to proressiely create for I%4 a hue rural distribution infrastructure= siniCcantly enhancin the 4ompany9s marketin reach. I%49s
wholly owned
Information
%echnoloy
subsidiary=
I%4
Infotech India Ltd= proides I% serices and solutions to leadin lobal customers. I%4 Infotech has cared a niche for itself by addressin customer challenes throuh innoatie I% solutions. I%49s production facilities and hotels hae won numerous national and international awards for uality= productiity= safety and enironment manaement systems. I%4 was the Crst company in India to oluntarily seek a corporate oernance ratin. I%4 employs oer !3=""" people at more than 0" locations across India. %he 4ompany continuously endeaors to enhance its wealth eneratin capabilities in a lobalisin enironment to consistently reward more than 3= "/=""" shareholders= fulCll the aspirations of its stakeholders and meet societal expectations. %his oer$archin
6
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ision of the company is expressiely captured in its corporate positionin statement- *ndurin ?alue. For the Jation. For the )hareholder. 'iscuit industry contribute 6s 5=""" crore to the FM4D industry and proide a ast opportunity for rowth= as the per capita consumption of biscuits is less than !.# k in our country. India It is classiCed under two sectors- orani>ed and unorani>ed. Apart from 'i 2'ritannia= arle= I%4B there are around #/" medium to small biscuit factory in India. %he Industry is now facin problem from increase of raw material price.
0istory :/ I%4 was incorporated on Auust !3= #7#" under the name Imperial %obacco 4ompany of India Limited. As the 4ompany9s ownership proressiely
Indianite=
the
name
of
the
4ompany
was
chaned %rom Imperial Tobacco Company o% India *imited to
India Tobacco Company *imited in 1234 and then to ITC. *imited in 1235. In reconition of the 4ompany9s multi$business portfolio encompassin a wide rane of businesses $ 4iarettes & %obacco= (otels= Information %echnoloy= ackain= aperboards & )pecialty apers= Ari$business= Foods= Lifestyle 6etailin= *ducation & )tationery and ersonal 4are $ the full stops in the 4ompany9s name were remoed eGectie )eptember #5= !""#. The
Company no6 stands rechristened 7ITC *imited7. %he 4ompany’s beinnins were humble. A leased oGice on 6adha 'a>aar Lane= +olkata= was the centre of the 4ompany9s existence.
7
%he 4ompany celebrated its #0th birthday on Auust !3= #7!0= by purchasin the plot of land situated at 21= 4howrinhee= now renamed .L. Jehru 6oadB +olkata= for the sum of 6s 2#"=""". %his decision of the 4ompany was historic in more ways than one. It was to mark the beinnin of a lon and eentful journey into India9s future. %he 4ompany9s headuarter buildin= 9?irinia (ouse9= which came up on that plot of land two years later= would o on to become one of +olkata9s most enerated landmarks. %houh the Crst six decades of the 4ompany9s existence were primarily
deoted
to
the
rowth
and
consolidation
of
the Ci$arettes and *ea% Tobacco businesses = the )eenties witnessed the beinnins of a corporate transformation that would usher in momentous chanes in the life of the 4ompany. I%49s Packa$in$ 8 Printin$ Business was set up in #7!/ as a strateic backward interation for I%49s 4iarettes business. It is today India9s most sophisticated packain house. In #71/ the 4ompany launched its 0otels business with the acuisition of a hotel in 4hennai which was rechristened 7ITC/
&elcom$roup 0otel Chola7 . %he objectie of I%49s entry into the hotels business was rooted in the concept of creatin alue for the nation. I%4 chose the hotels business for its potential to earn hih leels of forein exchane= create tourism infrastructure and enerate lare scale direct and indirect employment. )ince then I%49s (otels business has rown to occupy a position of leadership= with oer #"" owned and manaed properties spread across India. In #717= I%4 entered the Paperboards business by promotin I%4 'hadrachalam aperboards Limited= which today has become the market leader in India. 'hadrachalam aperboards amalamated with the 4ompany eGectie March #2= !""! and became a ,iision of the 4ompany= 'hadrachalam aperboards ,iision. In Joember
8
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!""!= this diision mered with the 4ompany9s %ribeni %issues ,iision to form the aperboards & )pecialty apers ,iision. I%49s paperboards9 technoloy= productiity= uality and manufacturin processes are comparable to the best in the world. It has also made an immense contribution to the deelopment of )arapaka= an economically backward area in the state of Andhra radesh. It is directly inoled in education= enironmental protection and community deelopment. In !""3= I%4 acuired the paperboard manufacturin facility of 'IL% Industrial ackain 4o. Ltd 'I4HB= near 4oimbatore= %amil Jadu. %he +oai :nit allows I%4 to improe customer serice with reduced lead time and a wider product rane. In #75/= I%4 set up )urya %obacco 4o. in Jepal as an Indo$Jepal and 'ritish joint enture. )ince inception= its shares hae been held by I%4= 'ritish American %obacco and arious independent shareholders in Jepal. In Auust !""!= )urya %obacco became a subsidiary of I%4 Limited and its name was chaned to "urya
-epal Pri'ate *imited )urya JepalB. In #77"= I%4 acuired %ribeni %issues Limited= a )pecialty paper manufacturin company and a major supplier of tissue paper to the ciarette industry. %he mered entity was named the %ribeni %issues ,iision %%,B. %o harness strateic and operational syneries= %%, was mered with the 'hadrachalam aperboards ,iision to form the Paperboards 8 "pecialty Papers +i'ision in Joember !""!. Also in #77"= leerain its ari$sourcin competency= I%4 set up the A$ri Business +i'ision for export of ari$commodities. %he ,iision is today one of India9s larest exporters. I%49s uniue and now widely acknowleded e$4houpal initiatie bean in !""" with soya farmers in Madhya radesh. Jow it extends to #" states coerin oer 3 million farmers. I%49s Crst rural mall= christened
9
94houpal )aaar9 was inauurated in Auust !""3 at )ehore. Hn the rural retail front= !3 94houpal )aaars9 are now operational in the 2 states of Madhya radesh= Maharashtra and :ttar radesh. In !"""= I%4 forayed into the Dreetin= Diftin and )tationery products business with the launch of *xpressions rane of reetin cards.
A
line
of
premium
rane
of
notebooks
under
brand 9Paperkra%t was launched in !""!. %o aument its oGerin and to reach a wider student population= the popular rane of notebooks
was
launched
under
brand 9Classmate in
!""2. 9Classmate oer the years has rown to become India;s
lar$est notebook brand and has also increased its portfolio to occupy a reater share of the school ba. Eears !""1$ !""7 saw the launch of 4hildren 'ooks= )lam 'ooks= Deometry 'oxes= ens and encils under the 9Classmate brand. In !""5= I%4 repositioned the business as the *ducation and )tationery roducts 'usiness and launched India7s
business
paper under
the 9Paperkra%t 'rand. 9Paperkra%t oGers a dierse portfolio in the premium executie stationery and oGice consumables sement. aperkraft entered new cateories in the oGice consumable sement with the launch of %extliners= ermanent Ink Markers and
"port rane of international uality relaxed wear for men and women in !""". %he
>ashion &eek $ that has ained reconition from buyers and retailers as the sinle larest '$!$' platform for the Fashion ,esin
10
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industry. %o mark the occasion= I%4 launched a special 94elebration )eries9= takin the eent forward to consumers. In !"""= I%4 spun oG its information technoloy business into a wholly owned subsidiary= ITC In%otech India *imited = to more aressiely pursue emerin opportunities in this area. %oday I%4 Infotech is one of India’s fastest rowin lobal I% and I%$enabled serices companies and has established itself as a key player in oGshore outsourcin= proidin outsourced I% solutions and serices to leadin lobal customers across key focus erticals $ Manufacturin= 'F)I 'ankin= Financial )erices & InsuranceB= 4D&6 4onsumer ackaed Doods & 6etailB= %(% %rael= (ospitality and %ransportationB and Media & *ntertainment. I%49s foray into the Foods business is an outstandin example of successfully blendin multiple internal competencies to create a new drier of business rowth. It bean in Auust !""# with the introduction of 7itchens o% India7 ready$to$eat Indian ourmet dishes. In !""!= I%4 entered the confectionery and staples sements
with
the
launch
of
the
brands mint/
o and Candyman confectionery and Aashir'aadatta wheat ourB. !""2 witnessed the introduction of "un%east as the 4ompany entered the biscuits sement. I%49s entered the fast rowin branded snacks cateory with Bin$o? in !""1. In eiht years= the Foods business has rown to a siniCcant si>e with oer !"" diGerentiated products under six distinctie brands= with an eniable distribution reach= a rapidly rowin market share and a solid market standin. In !""!= I%49s philosophy of contributin to enhancin the competitieness of the entire alue chain found yet another expression in the "a%ety Matches initiatie. I%4 now markets popular sa%ety matchesbrands like ino, Man$aldeep, Aim,
Aim Me$a and Aim Metro.
11
I%49s foray into the marketin of A$arbattis (incense sticks) in !""2 marked the manifestation of its partnership with the cottae sector.
I%49s
popular
aarbattis
brands
include "priha and Man$aldeepacross a rane of frarances like 6ose= asmine= 'ouuet= )andalwood= Madhur= )ambrani and Jachampa. I%4 introduced @ssena +i &ills= an exclusie rane of Cne frarances and bath & body care products for men and women in uly
!""/.
Ini>io=
the
sinature
under @ssena
rane
+i
&ills proides a comprehensie roomin reimen with distinct lines for men (Iniio
0omme) and women (Iniio >emme).
4ontinuin with its tradition of brinin world class products to Indian consumers the 4ompany launched 7>iama +i &ills7 = a premium
rane
)eptember= 4ompany
of
Hctober also
)hampoos= and
launched
)hower
,ecember
Dels
!""1
and
)oaps
respectiely.
the 7"uperia7 rane
of
)oaps
in %he and
)hampoos in the mass$market sement at select markets in Hctober !""1 and i'el +e &ills 8 i'elrane of soaps in February and i'el rane of shampoos in une !""5.
C0AIRMA-
12
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E 4 ,eeshwar
*N*4:%I?* ,I6*4%H6) Jakul Anand
? ,hobale
+ J Drant
JHJ$*N*4:%I?* ,I6*4%H6) A 'aijal
) 'anerjee
A? Dirija +umar
) ( +han
) ' Mathur
, + Mehrotra
( D owell
' 6amanujam Anthony 6uys
'asudeb )en
+ ?aidyanath
' ?ijayarahaan
I%4 ?ision )ustain I%49s position as one of
India9s most aluable
corporations throuh world class performance= creatin rowin alue for the Indian economy and the 4ompany’s stakeholders
I%4 Mission )ustain I%49s position as one of
India9s most aluable
corporations
13
throuh world class performance= creatin rowin alue for the Indian economy and the 4ompany’s stakeholders *I"T > T0@ P*A@R" I- T0@ I-+#"TR %he major 'rands of biscuits are $ 'ritania= arle 'akeman= riya Dold=*lite= 4remica= ,ukes= Anupam= (orlicks= 4ra>e= Je>one= besides arious reionalO)tate brands.
CMP@TITI@ BRA-+"- 'ritannia= arle= I%4 foods= )urya Foods others MA=R P*A@R" I- T0@ BI"C#IT I-+#"TR 6eional bakery brands A few reional players hae made a mark in their respectie >one. (A6?*)% DHL, 46*MI4A 6IEA DHL, ,:+*) 4HH+I* MAJ AJMHL MHJDIJI)
'HJJ
'I)+
FA6M
*LI%*
AJ:AM
MH,*6J
)A'I)4H 4(AMIHJ ?**6MAJI FH6*IDJ LAE*6) Forein players like :nited 'iscuits and Mc?ities hae also entered the fray. (oweer= these players hae concentrated themseles in the super$premium and premium sements
PAR*@ CMPA- In #7!7 a small company by the name of arle products emered in 'ritish dominated India. %he intent was to spread joy and cheer to children and adults alike= all oer the country with its sweets and candies. arle roducts has been India9s larest manufacturer of biscuits and confectionery= for almost 5" years. Makers of the world9s larest sellin biscuit= arle$D= and a host of other ery popular brands= the arle name symboli>es uality= nutrition and reat taste.
14
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India = the company has deCnitely come a ery lon way since its inception. Many of the arle products $ biscuits or confectioneries= are market leaders in their cateory and hae won acclaim at the Monde )election= since #71#.
BRANDS
15
!""2=
I%4 forayin into the sement= a lot of that chanin ed.
'efore enterin the sement= I%4 du into market research. 6esearch reealed that the cateory had aps which I%4 could settle into. Findins reealed that consumers wished to taste new and innovative products.
16
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"ome other ran$e o% sun %east biscuit "un %east olden Bakery
)un feast Dolden 'akery is a premium cookie on an innoatie and diGerentiated platform
Launched nationally in March !""5
%hese cookies are made from the recipes crafted by the
= master bakers of I%4 (otels and are slowly baked in the traditional way till they are olden brown and deelop the crispy broken crust texture.
"un %east Milky Ma$ic
acked with oodness of milk these deliciously nutritious crisp and crunchy biscuits are a faorite amon mothers and kids.
Milky maic has the PMaic of !’ $ A perfect balance of enery that aids physical strenth and mental ability .
"tra6berry 8chocolate Cream
17
%he Crst of its kind cream biscuit with special strawberry aor crystals that will keep the creamy aor liner on
A special deliht for all those chocolate loers
*ist o% product and brand
Ci$arettes-
&. +. 8 0. . &ills
<., & (.H.
Increasin$ competition %he #7/"s were to be one of the most successful decades in the company’s history and it enjoyed a peak of 52 per cent market share in #7/3. 'ut this was also a period of increased competition as hillip Morris and 6othmans entered the Australian tobacco market.
Tou$her times
18
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'y #71!= increased competition meant that the company’s market share had slipped to 27K. 'y the time tobacco adertisin was banned on Australian radio and teleision in #710=
-e6 be$innin$s
In #75/
The bi$ chan$e In #777 the company faced its most historic eent to date when majority shareholder 'ritish American %obacco mered with lobal competitor 6othmans International. 6othmans in Australia and
%o satisfy reulatory reuirements at the time= some #0 per cent market share was diested by way of a sale of trademarks to Imperial %obacco Australia. %he merer left 'ritish American %obacco Australia= hillip Morris and Imperial %obacco Australia as the three players in the Australian tobacco market. 'ritish American %obacco Australia is still the market leader= with 3/.5 per cent market share as at ,ecember !"#". ark factory in +ensinton= )ydney. At the time= the 2/ acre site was considered to be uite
old >lake in$s,
19
old >lake is
a widely$sold ciarette brand in India and
akistan. It is sold in arious arieties= includin Dold Flake +ins 53 mmB= Dold Flake +ins Mild 53mmB= Dold Flake +ins Lihts 53mmB and Dold Flake. It is a well$positioned brand in India . %his brand is owned= manufactured and marketed by I%4 Limited= the leadin ciarette maker in India.
Hther
popular
ciarette
brands
owned
by
I%4
are
old >lake Premium,
Ination is comin down but it’s not comin down if you are smoker. 4iarette manufacturer= I%4 has hiked prices of Dold Flake
remium
inMaharashtra=
reports Jews
correspondent Manuja andey.
I%4 has hiked Dold Flake remium price by 6s # to 6s !5 per pack of #" ciarettes. %he company hiked prices a couple of days
back.
20
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It had last hiked price of Dold Flake remium in )eptember
last year. %he brand contributes around #3$#/K to the company’s olume sales. 'y alue= it is around !"K.
-a'y Cut, %he term 9Jay 4ut9 refers to how 6J sailors Q4#7th and 4!"th to #7/2R would wind twine around rolls of tobacco leaes allowin them to mature under compression= and then slice oG the end shreddin the tobacco. ohn layer & )ons= Ltd of Jottinham put toether loos for an aderti>in campain ca #57#= and trademarked the results in #572. %his was a combination of two earlier trademarks $ the
liferin bearin the words layer9s Jay 4ut datin from #555 and the bearded sailor $ oriinally an artist9s conception for a campain reistered around #57# for the ack Dlory brand by
>oods:
(itchens o% IndiaD Ashir'aadD
At I%4 Aashiraad= extra care is taken to keep thins as natural as possible. %he way Mother Jature intended for them to be. %hatSs why youSll see that a lot of traditional= sometimes een cumbersome methods that the world has lon left behind are adopted= so that you can hae a taste of the authentic. In our uest to proide you wholesome
21
oodness= the Cnest of inredients are sourced= directly from the
farmers
throuh
our
e$choupals.
I%4Ss
e$choupal
initiatie= aims to confer the power of expert knowlede on een the smallest indiidual farmer. %hus enhancin his competitieness in the lobal market. A walk throuh our rane our products miht well seem like a journey throuh the ood old world. A world that found happiness in harmonisin with nature.
Aashiraad Atta was launched on !1th May !""! and within a short span of 1 years has become the number one in branded packaed atta across the country. Aashiraad Atta is made from the choicest rains $ heay on the palm= olden amber in colour and hard in bite. It is carefully round usin modern 9chakki $ rindin9 process for the perfect balance of colour= taste and nutrition which also ensures that Aashiraad atta contains "K Maida and is #""K )ampoorna Atta. %he douh made from Aashiraad Atta absorbs more water= hence rotis remain soft loner. %he wheat for Aashiraad Atta is sourced directly from farmers throuh I%49s e$choupals.
"elect
/
144E
MP
"harbati
atta
Aashiraad )elect #""K M )harbati atta comes from the plush= fertile soil of Madhya radesh= tended by the riht amounts of sunshine and rainfall. %he land here truly sprouts old. %he old that we call TsharbatiT. %he TsharbatiS wheat is sourced directly from farmers throuh I%4Ss e$choupals and
22
[Type text]
then blended usin the traditional Tchakki$rindinS method to ie you that superior= discernin taste that you well desere.
&hole &heat Atta / 4E maida and 144E Atta: Aashiraad
Aashir'aad Atta 6ith Multi$rains : From the stable of India’s most trusted Atta brand comes a new and improed ariety U Aashiraad Atta with Multirains. %his all$new ariant is desined to proide nourishment for people of all aes and is an interated mix of six diGerent rains U wheat= soya= channa= oat= mai>e & psyllium husk U which ies a better and healthier option for the consumers. Aashiraad Atta with Multirains is an excellent source of itamins which is ital in strenthenin immunity and Vextra protein content to improe body strenth. %he extra Cbre makes your food easier to diestV low content of saturated fat keeps your heart smilin all throuh the day and aboe all=
23
still
retainin
the
same
reat
tasteWW
%he product is aailable in select cities
CandymanD I%4 launched the 7Candyman7 rane of confectioneries in Auust !""!. Led by the 7Candyman >ruitee >un7 rane of assorted fruit aours
7&ild
Banana7,
7Pineapple
Punch7,
7ran$e
=osh7 and 7Man$o +elite7B= the 7Candyman7 portfolio now includes deposited
candy
like 7Candyman
products
Butterscotch
*icks7 and 7Candyman Fclairs7 4hoco aoured as well as ?anilla 4ream centre inside a 'utterscotch outer shellB. %he coGee toGee sement also saw the successful launch of 7Candyman Co
-atkhat Man$o7 and 7Candyman Maha Man$o7 . In line with the stratey
to
proide
consumers=Candyman !""1= Candyman
innoatie
Man$o
*acto
aours
*icks was
Creme
and
formats
launched
Centre in
in
une
to une
!""5
andCandyman ToGichoo "tra6berry in early !""7. Candyman
*acto Creme Center is the only Lacto with a yummy cream Clled center= and Candyman ToGichoo is a luscious fruit aored soft and chewy toGee. %he 7Candyman7 rane of confectionery is tareted at Pfun$Clled= nauhty kids’ who seek a delihtful candy experience throuh a rane of candy types and aours. www.mycandymanclub.com was launched in uly !""3 and now has a loyal= youn user$base. %areted
at
youn
children=
the
website
is
populated with ames= ui>>es= downloads and other fun actiities.
24
[Type text]
Bin$oD I%4 Limited $ Foods ,iision today announced the launch of its new snacks brand 'ino= which marks the company9s foray into the fast rowin branded snacks sement. %he launch of 'ino represents I%4 Foods9 Cfth major line of foods business after the hihly successful
)taples=
'iscuits=
6eady$to$*at
and
4onfectionery
businesses. 'ino is strateically timed around the
25
sement. %he otato 4hips oGerins comprise of 3 innoatie ariants inspired by the snackin habits of diGerent parts of the country
as
well
as
Masalas=
)alted
and
%omato
aours.
Additionally a south$inspired dairy option has also been introduced under the potato chips oGerin. %he oGerins under the Finer )nacks sement are eually uniue presentations with innoatie Cner foods like the pakoda inspired Lie
+i'isional Chie% @Hecuti'e, ITC *imited / >oods +i'ision said= %his is an excitin and fast rowin cateory with a bi untapped market.
Mr. (emant Malik= (ead $ Marketin= I%4 Limited $ Foods ,iision talkin about marketin plans for the product= said %he new brand will leerae the retail and marketin expertise of I%4 Foods to establish reach across the taret
26
[Type text]
markets. %he communication stratey encompasses a multi$ media campain for the entire product rane includin the use of new media for enhanced isibility. A spate of on$round promotions distinctly communicatin the product attributes and
brand
essence
will
further
supplement
'ino9s
communication stratey.
ippee=
I%4 has launched noodles under its )unfeast brand in 4hennai= 4oimbatore and +erala. Hf late= FM4D compnaies like Dlaxo)mith+line and (industan :nileer and priate labels like 'i
'a>aar9s
%asty
%reat
hae
entered
this
sement.
4hitranjan ,ar= diisonal chief executie= I%4 Foods. said-
and
is
seein
a
#/$!"K
rowth
year$on$year.
4learly= the hue market opportunity is a bi pull for players like I%4. Joodles is a bi rowth market that has a limited competitie
set
at
the
moment.
I%4 is plannin a national rollout of )unfeast EippeeW soon. %he company is also plannin to introduce more aours in noodles within the next 5$#" months= says ,ar.
)unfeast asta brands in 6eady to *at= )taples= 'iscuits= 4onfectionery= Joodles and )nack FoodsBV
27
Apparel:
( &ills
*i%estyle and =ohn
Players brands)D
I%49s Lifestyle 6etailin 'usiness ,iision has established a nationwide
retailin
presence
throuh
its &ills
*i%estyle chain of exclusie specialty stores. &ills *i%estyle = the fashion destination= oGers a temptin choice of &ills
Classic work
wear= &ills
"port relaxed
wear= &ills
Clubli%e eenin wear= fashion accessories and @ssena +i &ills $ an exclusie rane of Cne frarances and bath & body care products and >iama +i &ills $ a rane of premium shampoos
and
shower
els. &ills
*i%estyle has
also
introduced &ills "i$nature desiner wear= desined by the leadin desiners of the country.
Personal careV In line with I%49s aspiration to be India9s premier FM4D company= reconised for its world$class uality and endurin consumer trust= I%4 forayed into the ersonal 4are business in uly !""/. In the short period since its entry= I%4 has already launched an array of brands= each of which oGers a uniue and superior alue
28
[Type text]
proposition to discernin consumers. Anchored on extensie consumer research and product deelopment= I%49s personal care portfolio brins world$class products with clearly diGerentiated beneCts to uality$seekin consumers. I%49s ersonal 4are portfolio under the 7@ssena +i &ills7, 7>iama
+i &ills7, 7i'el #ltraPro7, 7i'el7 and7"uperia7 brands has receied
encourain
consumer
response
and
is
bein
proressiely extended nationally. I%49s
state$of$the$art
reuirements
of
manufacturin
hyiene
and
facility
meets
benchmarked
strinent
manufacturin
practices. 4ontemporary technoloy and the latest manufacturin processes hae combined to produce distinctly superior products which rank hih on uality and consumer appeal. *xtensie insihts ained by I%4 throuh its numerous consumer enaements hae proided the platform for its 6&, and roduct ,eelopment teams to deelop superior= diGerentiated products that meet the consumer9s stated and innate needs. %he product formulations use
internationally
reconised safe inredients=
subjected to the hihest standards of safety and performance.
"tationery:
(Classmate and Paperkra%t brands)
29
I%4 made its entry to the education and stationery business with its aperkraft brand in the premium sement in !""!V and later expanded into the popular sement with its 4lassmate brand in !""2. 'y !""1= 4lassmate became the larest Jotebook brand in the country. %oether= 4lassmate and aperkraft oGer a rane of products in the *ducation & )tationery space to the discernin consumer= proidin unrialled alue in terms of product & price. 4lassmate and aperkraft hae become a natural extension of the consumer. Meticulous understandin of consumer needs helped creatin a releant and comprehensie portfolio satisfyin the needs of diGerent sets of consumers. I%4 is the manufacturer of India9s Crst H>one treated enironment friendly
*lemental
4hlorine
Free
*4FB
pulp=
paper
and
paperboard. It blends its knowlede of imae processin= printin and conersion arnered from ackain & rintin 'usiness with its brand buildin and trade marketin & distribution strenths resident in its FM4D business to oGer superior alue products to consumers. aperkraft 'usiness paper and the papers used in 4lassmate and aperkraft notebooks are superior in uality and enironment$ friendly. Hther oGerins aailable in education and )tationery rane are safe and certiCed non$toxic.
30
[Type text]
"a%ety
Matches
and
A$arbattis:
"hip (throu$h
o6nership
o% &IMC)D inoD Man$aldeepD Aim brands J
As part of I%49s business stratey of creatin multiple driers of rowth in the FM4D sector= the 4ompany commenced marketin Aarbattis Incense )ticksB sourced from small$ scale and cottae units in !""2. %his 'usiness leeraes the core strenths of I%4 in nation$wide distribution and marketin=
brand
buildin=
supply
chain
manaement=
manufacture of hih uality paperboards and the creation of innoatie packain solutions to oGer Indian consumers hih uality Aarbattis.
Manaldeep Aarbattis are
aailable in a wide rane of frarances like 6ose= asmine= 'ouuet= )andalwood= Madhur= ,urbar= Anushri and Mora. Jew launches include Frarance of %emple= 4hampa and %aranini in an attractie pouch format.
31
%he pouch format of packain is increasinly becomin popular. Manaldeep has launched three ariants U 4hampa= %aranini & Malliai in the pouch format caterin to arious market needs. %he products hae receied encourain response from consumers.
>ra$rance o% Temple is a aship sub brand in the Manaldeep portfolio with )uperior frarance and hih uality sticks in an industry$Crst canister pack. %he canister pack also contains a metal aarbatti stand which has been hihly appreciated by consumers.
Manaldeep
,hoop=
made
with
Jatural Inredients= is aailable in speciCc markets and is fast creatin a key presence in Jorth India. Jew launches include )andal & Mora ariants as well as 2$in$# oGerin in a sinle pack.
In line with I%49s %riple 'ottom Line philosophy of contributin
to
the
Jation9s
economic=
enironmental and social capital= Manaldeep aarbattis are manufactured by small scale and cottae units= proidin lielihood opportunities for more than #!=""" people. )ix out of #1 Manaldeep Aarbatti manufacturin units are I)H 7""" certiCed. Manaldeep A)(A Assistance in )ocial (abilitation throuh AarbattisB is an I%4 initiatie to improe the uality of raw aarbatti production and proide better alue reali>ation for women rollers. :nder the project= I%4 has extended support to JDHs in 'ihar= %ripura
32
[Type text]
and %amil Jadu= to set up aarbatti units= trainin illae women in rollin aarbattis and employin them in these units. In the latest initiatie= I%4 sined a Mo: with the Hrissa
Doernment$run Hrissa
6ural
,eelopment
and
Marketin )ociety H6MA)B for marketin raw incense sticks in the state $ a moe that is expected to proide employment opportunities to oer 2""" rural women.
Promotion at the launchin$ time %he brand is supported with %eleision campains across Jational and ?ernacular media beinnin Auust !""2 U that is distinct= hihlihtin the product attributes= uality and the new U Crst time in the market oGerins from )unfeast. ,urin the launch phase= 4onsumer promotions will be conducted across retail outlets U for eery purchase of )unfeast Marie & )unfeast 4ream 'iscuits 1/ms of Dlucose 'iscuits F6**.
Promotion by ad'ertisement diGerentiated
adertisements=
some
which
showed
a
complete cream world with cream riers= cream mountains and cream trees= were tareted at kids watchin cartoon channels. In April !""/= %he company says the brand is now aailable in nearly #.5 million outlets
33
Pricin$
models
as
compare
to
its
competitorsKKKK.. *ssentially= arle plays a hih olume= low marin ame. 'ut )unfeast look at a two$proned stratey= (ih marins in cream ariants and olumes from the Marie and Dlucose sements. For instance= cream biscuits from )unfeast cost 6s #" for
#"" rams. arle= howeer= only chares 6s / for its cream ariants. *xcept for (ide & )eek= all of arle9s products lie in the price rane between 6s 3 and 6s 0 for #"" ram packs.
Market "hare o% sun%east )ays Mr
Ravi
Naware chief executie
of itc
foods =
"e'en per cent in less than three years is somethin$
that 6e could ha'e only dreamt about .Accordin to the A4 Jielsen retail sales audit in March !""0= both 'ritannia and arle hae lost olumes. 'ritannia9s shares hae dropped from 2/.5 per cent in !""3$"/ to 2"./ per cent in May !""0 olumesB. arle9s shares hae also dropped from 3!.! to 25.3 per cent in the same period. *en riya Dold has seen a minor dip from 0.3 per cent to / per cent. I%49s )unfeast has been a bi ainer with its share increasin from !.1 to 0.1 per cent .
STRATEGIES Itc campaign to school….. IJ a bid to reinforce its brand on kids= I%4 Foods Ltd will soon
coer
more
than
#""" schools across the country as part of its )unfeast school
34
[Type text]
proramme. )unfeast learnins corroborate the fact that brands reister better
amon
kids
compared
to
adults.
%he objectie was to build salience for the brand and familiarise the kids with the )unfeast brand world and the )unfeast mascot. %his mascot has been successful with kids since
they
all
enjoy
interaction
with
the
mascot.
%he )unfeast school proramme focuses on buildin the children9s creatiity throuh an opportunity to paint and win pri>es. %he interest in such prorammes are introduced by leerain the )unfeast mascot and by conductin maic shows. %he )unfeast mascot is an animated Cure of the )un suestin contentment= satisfaction and pleasure one would derie from the biscuits.
35
IMPRTA-T >ACTR":/
36
[Type text]
+I"TRIB#TI- C0A--@* :/
37
Objectives of the poject %he objectie of this project is to Cnd out the coerae of )un feast 4ookies in the I,4 markets and its competitors arle !"$!" . Alon this we also hae to Cnd out the ways to increase the sales of cookies in +ota reions.
!ET"ODOLO#$
•
Personal site 'isits
)uGicient amount of time was spent at selected retailers to Cnd out consumers response towards itc’s brands is$X$is competitors brands.
Also to assist the current salesmen in these routes to incite sales.
•
Personal inter'ie6
%alks were initiated with the retailers about which of the itc’s brands are performin & which are under performin & the reasons for them & their iews if any.
38
[Type text]
Nee% &'% Si'ic&'ce
•
%he need to conduct the aboe study arised when a drop in sales of 'ino & 4ookies was reported in +ota.
.
Route 6ise detail and obser'ations:/
Report on I+C routes o% -ayapura (+istrict:/ota) ,istributor- $
MOs %ulsi )ales Aencies..
Aerae )ale- $ #= 1/=""" per monthB
6oute wise ,etail-$ 6oute #-$ )akatpura = kunhadi = 6oute in +.M.-$ 2" +.M. %otal )ale- $ 6s.!#= """ retail- $ 6s./= 2""=
39
lacement of 'ino on- $
!" shops
lacement of 4ookies on- $ #5 shops lacement of 4andyman on- $ #! shops lacement of minto on- $ #/ shops Hbseration-$ #B 'ino is stroner then cookies on this route. !B candy man is present but its presence is neliible on this route= candy man is
sellin on this route but it is not fast moin compare to
our other products= demand of minto is more as compared to candy man on this route.
•
6oute !-$ ladpura = rampura 6oute in +.M.-$ 2" +.M. %otal )ale- $ 6s. #/""" retail- $ 6s./"""=
!" shops
lacement of cookies on- $ #/ shops
40
[Type text]
lacement of candyman on- $ #" shops lacement of minto on- $ #" shops Hbseration-$ #B lacement of bino is more then cookies. !B 4hlormint is present but its sale is less compare to our other product. Minto$fresh is present only on some pan shops because distributor of I%4 pushed them with ciarettes but its demand is ery less in the market= demand of minto$fresh is more compare to chlormint.
6oute 2-$ patanpole= chawni. 6oute in +.M.-$ 2" +.M. only patanpole is bi area on this routeB %otal )ale- $
6s.!!= """ retail- $ 6s.7= 7""=
#""B
Jo. of shops coer- $ 1" lacement of 'ino on- $
!/ shops
lacement of 4ookies on- $ #/ shops lacement of 4andyman on- $ #5 shops lacement of Minto$fresh on-$ #! shops
Hbseration-$
41
#B Like other routes 'ino is present in more in number on this route also. !B resence of 4hlormint is neliible on this route.
•
.
6oute 3-$ Dumanpura = bajarn naar 6oute in +.M.-$ 2" +.M. %otal )ale- $ 6s.!#= """ retail- $ 6s.##= !""=
!" shops
lacement of 4ookies on- $ #/ shops lacement of 4andyman on- $ #" shops lacement of Minto$fresh on- $ #/ shops Hbseration-$ #B lacement of minto$fresh is more compare to candyman on this route. !B
Minto$fresh candy is also not sale more on this route but its
placement is more compare to 4hlormint.
6oute /-$ )taion raod
42
[Type text]
6oute in +.M.-$ !/ +.M. %otal )ale- $ 6s.!"= """ retail- $ 6s.3= 7""=
3/ hilly area= mostly shopkeepers are semi
wholesalersB
lacement of 'ino on- $
#5 shops
lacement of 4ookies on- $ #! shops lacement of 4andyman on- $ / shops lacement of Minto$fresh on- $ #" shops
Analysis For -AAP#RA , TA Jo. of shops coer- $ 2"" lacement of 'ino on- $
#!" shops
lacement of 4ookies on- $ 1" shops lacement of Minto$ fresh on -$ /" shops
43
MARKET SURVEY Area-kota
#.)akatpura %otal shop $3/ !.+unadi %otal shop$ 27 2. 6ampura %otal shop$ 2/ 3. Dumanpura %otal shop U 2" /. bajran naar %otal shop$ 21 0. station road %otal shop$ 3/ 1$atan pole %otal shop$ 2" 5. ladpura %otal shop U 2/ 7. chawni %otal shop$ 3"
Reason behind the Success of 20-20 of Parle and Sun feast Cookies. •
arle’s !"$!" does not properly depict the oriin brand in comparison to the cookies which represent sun feast in much better way.
•
And %aste of )un feast’s 4ookies is much better than arle !"$!".
•
arley’s brand name and alue in much more helpful in the sell of !"$!" than )un feast’s 4ookies.
44
[Type text]
•
arle 4ompany has leadership in FM4D in market= which ies it an ede oer other competin companies performin in the same area. followin raph justiCes the aboe contention B
•
Accordin to the surey conducted by me= arle in much more familiar brand with the local consumer in comparison to )unfeast .
•
arle has lare share of consumer form *conomic 4lass= and in country like India= this economic class is the key factor to naiate any product in either directions of sale.
•
Accordin to my surey the Jame of !"$!" is on the tonue of eery Indian and this ies an easy connection between the product and the ame.
%he arle has a ood deliery mechanism in to order to make its product for aailability een in remote part of existin Market
45
QUESTIO!IRE
#.
46
[Type text]
bjecti'e :- %o know the taste preference of diGerent samples .
L. &hat is more important %or the sale o% a product A/ Brand name B/ Product name
47
Objective:- To know about the reasons of effective saes!
".
marketY A$arle '$I%4
48
[Type text]
4$H%(*6 Objective: - To know about better saes of biscuit co#$an%
&!
A$A6L* '$I%4
49
Objective: - To know about the consu#er awareness of the bran'
(! )hich t%$e of cate*or% consu#es +,-+, are the #ost. A-ow cass /-econo#ic cass 50
[Type text]
0-hi*h cass
Objective: - To know about the which cate*or% is consu#e +,-+, are !
1!!"$!" cricket loos is helpful l in sales of arle
!"$!" biscuit A$E*) '$ JH 51
Hbjectie- $ %o know about the consumer mantality
2!
aailability in marketY A$I%4
52
[Type text]
'$A6L* Hbjectie : %o know about the market approach of the product.
Recommendations It is I%49s strateic intent to secure lon$term rowth by synerisin and blendin the dierse pool of competencies residin
53
in its arious businesses to exploit emerin opportunities in the FM4D sector. %he 4ompany’s institutional strenths U deep understandin of the Indian consumer= stron trademarks= deep and wide distribution network= ari$sourcin skills= packain know$how and cuisine expertise U continue to be eGectiely leeraed to rapidly row the new FM4D businesses. Her the last few years= I%4 has rapidly scaled up presence in its newer FM4D businesses comprisin 'randed ackaed Foods= Lifestyle 6etailin= *ducation and )tationery products= ersonal 4are products= )afety Matches and Incense )ticks AarbattiB with )ement 6eenues rowin at an impressie compound annual rowth rate of 25K durin the last / years. %he 4ompany’s unwaerin focus on uality= innoation and diGerentiation backed by deep consumer insihts= world$class 6&, and an eGicient and responsie supply chain will further strenthen its leadership position in the Indian FM4D industry. •
4ompany must focus on rural areasso that theycan increase their sales.
•
roducts hae to be essentially aailable in market at all ien points of time.
•
I%4
must
also
be
aware
of
new
entrants
like
D)+=epsi4o=:+=)hakti 'hoj in FM4D sement. •
Marins for retailers must be increased.
My other obser'ations:/ #B.
In order to increase sale in biscuit Market the
company should focus on rural area= and I%4 will ie touh competition in next ! years.
54
