TATA GLOBAL BEVERAGES A global business on a mission to lead the world in ‘good for you’ beverages..
Presented By: --Group 2 Aaushy Sangai 11HR-002 Anirudh Lanka 11DM-061 Megha Madan 11DM-071 Sachin Pal 11FN-85 Sahil Gandhi 11FN-86 Sumeet Joon 11DM-162
Tata Global Beverages • • • •
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Part of the Tata Group of Companies, Companies , one of the largest and most respected business houses of India Headquartered at Bangalore It is the second largest manufacturer and distributor of tea It manufactures 70 million kilograms of tea in India, controls 54 tea estates, ten tea blending and packaging factories and employs around 59,000 people The company is the largest manufacturer of Assam tea and Darjeeling tea and the second-largest manufacturer of Ceylon tea.
History •
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The company was setup in 1962 as Tata Finlay a joint venture between Tata Sons & the UK based tea plantation company –James Finlay & Company In 1983, Tata Group bought the stake belonging to the James Finlay group to form the individual entity Tata Tea In the same year, the company decided to move from the commodities business to consumer branding. The first brand Tata Tea was introduced In 1987, Tata Tea set up a fully owned subsidiary, Tata Tea Inc., in the USA. In the 1990s, Tata Tea decided to take its brands into the global markets. It formed an export joint venture with Britain's Tetley Tea in 1992 Other new enterprises included a majority interest in Consolidated Coffee Ltd In 1993, they entered into a joint venture with Allied Lyons PLC in the UK to form Estate Tata Tetley. The company was rechristened as Tata Global Beverages in 2010 to include the range of health and nutritional beverages it wants to enter into via subsidiary companies
Vision & Mission Statement of the Company
Vision To be India’s foremost tea based Beverage Company.
Mission Achieve market & thought leadership for branded tea in India. Be recognized as the foremost innovator in tea & tea based beverage solutions.
Product Mix
Number of Product Lines : 3 Length of Product Mix : 12 Width of Product Mix : 3 Depth Of Product Mix : 180 Consistency : The company Tata Global Beverages is committed to providing only Health drinks and is consistent in that. All new product launches and acquisitions have been in similar products or product lines
TATA TEA
Product Life Cycle Tata Tea
Stage 1: Introduction Stage • Product
• Place
• Price
TATA TEA PREMIUM NO VARIANTS
Rs.65 for 250 gm
Outsourced Distribution to save costs and invested those costs for brand building
Campaign talks about 1.Freshness of Tea 2.Backward Integration
• Promotion
Cont’d • • • •
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Market Penetration Strategy Revolutionized Tea Packaging In India by introducing Polypacking Backward Integration :Controlling the entire value chain to ensure Quality It devoted its investment efforts to expanding its manufacturing facilities in India and Sri Lanka, and establishing subsidiaries in US and UK Portrayed Tea as an Energy Booster and Refresher Used Taglines like “Asli Tazgi” , “Bagano ki Tazgi” & “Naa Kahoge to Pachtaoge ”
Outsourced Distribution to save costs and invested those costs for brand building :The distribution network was mainly limited to Northern India and metropolitian cities
Stage 2 : Growth Stage
Product Tata Tea Premium 3 New regional variants introduced : 1.Gemini 2.Kanan Devan 3.Chakra Gold
Price* Gemini: Rs 67 Kannan Devan: Rs 36 Chakra Gold:Rs 88
All prices are for 250 gm packs
Place 1.Distribution channels widened to South Indiaprimarily to launch the local brands
Promotion 1.Chakra Gold promoted as Premium Dust Tea for South India 2.Tata Tea Premium – brand image shift. Associating the tea with Success
Cont’d •Focus on Diversification •Diversifying into South India Markets with products favourable to those markets
Gemini :Dust Tea Launched in AP,MP,TN Kannan Devan :Tea from fertile Western Ghats Launched in Kerela,TN,Karnataka Chakra Gold :Premium Dust Tea Launched in South India
Cont’d • • • • •
Consumer Communication of Chakra Gold : Golden moments in consumer’s life After having established the brand Tata Tea Premium, shift in Brand Image -trying to associate it with Success Tried to sell a dream through its tagline “ Taste Kamyaabi Ka ” It was further epitomised by brand Icons Like Sania Mirza,Sunidhi Chauhan Promotion based on a Simple thought :Everything is possible
Stage 3 : Maturity Stage Product : Along with Tata Tea Premium and regional variants introduced 3 new variants catering to different Economic Groups.Variants: Agni , Temptation, Tata Tea Gold Price Agni : Rs 41 for 250 gm Temptation : Rs 72 for 250 gm Tata Tea Gold : Rs 55 for 250 gm Place Tata Tea Rural Initiative – Gaon Chalo For Urban Distribution --Supply to Distributors & then wholesalers ,retailers
Promotion Jaago Re!! Campaign Chai Unchai Outlets
Cont’d •Focus on Market Development •Target Segment : Retaining the present customer base & also targeting the youth of the country •Launching new Products into the market to cater to different segments of the Economy. -Agni :Launched for the Economy Segment -Tata Tea Gold : Premium Segment Tea -Tata Tea Life :Black Tea with flavours of Herbs and spices. Launched for Health conscious
Jaago Re !! Campaign •
A Social Marketing campaign promoting all the products under the Tata Tea umbrella.
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An initiative carried between the Tata Tea company and a Bangalore based NGO – Janagraha
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The objective of this campaign was to transform tea from a medium of mere physical and mental rejuvenation to a medium of social awakening.
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Jaago re campaign was started in the year 2007.
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The campaign aims at not just creating awareness about corruption but communicating to the people that ‘You should be the change you seek’
Jaago Re!! •
Keeping the need to address the problem of corruption in mind the Jaago Re campaign has been recreated to create widespread awareness on the issue of corruption.
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Tata tea has really taken cause related marketing and corporate social responsibility to another level with Jaago re campaign and is really trying to connect with people
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It is a campaign not just against corruption but also to encourage aspiring sports star
Jaago Re!! One billion Votes • • • • •
All the initiatives of this campaign dealt with awakening and enabling the citizens of India, especially the youth. One such initiative was to register for voting. It sounded as a wake call for billion people of India to unite and bring about change in the form of change in Governance Online Voting Registration @ jaagore.com Simplified the process of registration for voting
Chai Un-Chai Concept of beverage retailingupmarket, trendy, ’ chai-ka-adda’ • Aims to contemporise tea and make it the beverage of the country • Outlets are in the following formats 1. Kiosks 2. High Street Cafes 3. Combined Outlets with bookstores & malls •
SWOT Analysis
Porters Five Force Model Competition : High Threat of New Entrants : High Bargaining Power of Suppliers : Low Bargaining Power of Buyers : High Threat of Substitute Products : Moderate
Recommendations & Suggestions • Tata Tea Premium is priced at Rs 65 for 250 gm & Tata Tea Gold is priced at Rs 72 for 250 gm. By launching Tata Tea Gold, the company is cannibalizing the market for Tata Tea Premium. • Should diversify and launch New Variants for Herbal Teas & Wellness Teas • Customer Relationship Management