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Basically the ice-cream business comes under FMCG sector. It refers to the Fast Moving Consumer Goods which are non-durable and daily use products.It is also called as consumer packed goods industry. It deals in five segments, Personal care, Household care, Food & Beverage, Stationary and Oral care. FMCG sector is an evergreen sector and there is no chance of downfall or huge recession in this sector. Vast rural market, consumer’s increasing spending power, increasing of population and entrance of MNC’s in FMCG sector are indicate the upcoming great opportunity in this sector. In India, the condition of FMCG sector is very well and challenging. India is an important market for FMCG players. The Indian FMCG sector is the fourth largest sector in the economy with a total market size of around US$ 18.1 bn. Penetration level as well as per capita consumption in most product categories like jams, toothpaste, skin care, hair wash etc in India is low indicating the untapped market potential. Burgeoning Indian population, particularly the middle class and the rural segments, presents an opportunity to makers of branded products to convert consumers to branded products. Growth is also likely to come from consumer 'upgrading' in the matured product categories. With 200 million people expected to shift to processed and packaged food by 2010, India needs around US$ 28 billion of investment in the food-processing industry. Around 70 per cent of the total households in India (188 million) reside in the rural areas. The total number of rural households is expected to rise from 135

Transcript of Basically the ice

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Basically the ice-cream business comes under FMCG sector. It refers to theFast Moving Consumer Goods which are non-durable and daily use products.It is alsocalled as consumer packed goods industry. It deals in five segments, Personal care,Household care, Food & Beverage, Stationary and Oral care. FMCG sector is anevergreen sector and there is no chance of downfall or huge recession in this sector. Vastrural market, consumer’s increasing spending power, increasing of population andentrance of MNC’s in FMCG sector are indicate the upcoming great opportunity in thissector.

In India, the condition of FMCG sector is very well and challenging. India isan important market for FMCG players. The Indian FMCG sector is the fourth largestsector in the economy with a total market size of around US$ 18.1 bn. Penetration levelas well as per capita consumption in most product categories like jams, toothpaste, skincare, hair wash etc in India is low indicating the untapped market potential. BurgeoningIndian population, particularly the middle class and the rural segments, presents anopportunity to makers of branded products to convert consumers to branded products.Growth is also likely to come from consumer 'upgrading' in the matured productcategories. With 200 million people expected to shift to processed and packaged food by2010, India needs around US$ 28 billion of investment in the food-processing industry.Around 70 per cent of the total households in India (188 million) reside in the rural areas.The total number of rural households is expected to rise from 135 million in 2001-02 to153 million in 2009-10.

Ice-Cream segment of FMCG:- Ice-cream is one of the most important part of FMCG sector. It comes under

Food and Beverage segment. The total market value of Ice-cream trade in India is morethan Rs.20000 crore. It is increasing day per day. During the year of 2002-02, there wasvery little demand of Ice-cream in India but as the time passed away, the demand of Ice-cream is also increasing in India. Now a days, there are six national level companiesengaged in dealing with Ice-cream including two MNCs. The demand of Ice-cream isalso increases in India.

As the demand of Ice-cream is increasing in India but the market of Ice-creamis not as much as it’s share in US and some other foreign countries. According to thesurvey of Motilal Oshwal, In the present time, the per capita consumption of Ice-cream inindia is US $0.2 which is US $49 in USA and US $33 in Germany. We can see it in thefollowing table:-

TABLE 1:- PER CAPITA CONSUMPTION OF ICE-CREAM( IN US $

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We can get all the datas regarding the per capita incoma of india from the following table:- TABLE 2:- PER CAPITA INCOME OF INDIA SINCE 2000

arket.2. Least no. of competition.3. Increase in consumption level of people.4. Favorable climate for ice-cream in India.5. GDP growth and growth in per capita income.

We can get all the datas regarding the per capita incoma of india from the following table:- TABLE 2:- PER CAPITA INCOME OF INDIA SINCE 2000

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As given in the above table, the per capita consumption of Ice-cream inIndia is only US $0.2 which is much smaller than the same in USA, But the main thing isthe increasing opportunities for Ice-cream trade.

MAJOR FACTORS:-

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1. The broad market of semi urban market.2. Least no. of competition.3. Increase in consumption level of people.4. Favorable climate for ice-cream in India.5. GDP growth and growth in per capita income.

We can get all the datas regarding the per capita incoma of india from the following table:- TABLE 2:- PER CAPITA INCOME OF INDIA SINCE 2000

Asgiven in the table, the GDP of India is increasing in the last 5 years.

It has brought a remarkable change in the spending habits of consumers, It has move theconsumers preferences from economic to premium products. In those days, peopleunhasitantly wants to spend money on good and quality products. It has been a gain forfood and beverage industry. As the result the ice cream industry is also improving and itdevelops at an increasing rate.

MAJOR PLAYERS OF ICE-CREAM IN INDIA:-

At the present time, there are six major companies are working in this trade at the national level, including two MNC . Except of it there are many other local companies are engaged in dealing with ice-cream in different states of India. The details of these companies are given as follows:-

1.Hindustan Unilever Ltd. (Kwality Walls) CEO- Nitin Pranjape Major brand- Kwality. .Net Turnover (march 2009)- Rs.-(250) lac. 2. Amul.

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CEO- Partho Bhatoli.Major Brand- Stamina.Net Turnover-Rs.78 cr.

3. Mother Dairy. Major Brand- Mother Dairy. Net Turnover (march 2009)-105 cr. 4. Devyani Foods Pvt. Ltd

CEO- Kapil Agarwal Major Brand- Cream Bell. Net Turnover ( 2008)-80 cr. 5. Others.-There are some other companies in this trade which are Vadilal, Appu, Big once etc. NEED OF THE STUDY:-

The ice-cream is a product which comes under super non-durablegoods. It takes much care and precaution in delivery from the center of manufacturing tothe home of the consumers. Before some years ago, the trend of ice-cream is only limitedto consumer of some special society and ages and parties. But as the time pass away,there is a good revaluation took place in this sector. Now days, each and every personwants to take a ice-cream. Improved quality, diversity, taste and entry of big companies inthis trade make this business a challenging business and creat a good and brightopportunity in it.The need of my study can be given as follows:-

1.To know about the increasing demand of ice-cream among people.2.For determining the future position of Cream Bell in India.3. To know about the current market capitalization of Cream Bell inIndia.4. To determine about the consumers perception about the products ofCream Bell.

5. To know about the consumer’s behavior upon Cream Bell. DEFINITION OF THE PROBLEM:-

Opportunities of Cream Bell in Indian ice-cream sector refers to thecurrent demand and future growing possibilities of Cream Bell ice-cream in India. Likeother countries e.g.- USA, UK, France etc. in India, the demand of ice-cream is also

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increasing day per day. So, for this purpose, many national and international companieshas been started their business in this sector (ex- Amul, Mother Dairy, HUL etc.).

Cream Bell is a ice-cream brand of Devyani food industries India. Ltd. Itis a one of the major brand in the field of the ice-cream business. Present time, it occupies4th position in market with a market share of more than 15%. Day per day, it’s progress isincreasing and it is on the way to capture a good position in the market.

In my study, I have captured all major surveys, data collection, tests,requirements and demands of both consumers and vendors, and at last I have came to aposition to give my report on the future opportunities of cream bell in India.

SCOPE OF THE STUDY

With a population of 1 bn people, India is a big market for FMCG companies and now a day’s specially, the ice-cream industry is very wide and challenging there is a lot of opportunities in this sector for any company.

This study captures all the information’s and data’s regarding the present market scenario of ice-cream industry of India as well as the condition of Cream Bell in this scenario. This report provides the major suggestions regarding the improvement and growth of the company. The major scopes of this study can be given as follows:-

1. Vast semi –urban market :- Semi urban area is a new and most important market for ice-cream trade. 2. Increasing trend of ice-cream in India:- In India, the trend of ice- cream is increasing day per day. Every people likes to prefer ice-cream as a breakfast, food after lunch and as a mean for changing of teaste. 3. Good Market :- In india, there is a good market for ice-cream which is benefit for any growing company. 4. Competition :-There are very few competitors in this segment which is good for entrance of new and unknown company in the market. OBJECTIVES OF STUDY : 1. To know the actual market position of Cream Bell ice-cream. 2. To know awareness of people towards Cream Bell. 3. To know in which segment ice-creams are mostly like/preferred. 4. To know which advertisement tool is mostly preferred by people. 5. To know the preference of Cream Bell ice-cream with comparison to Other competitive brands. 6. To know the factors which affects consumer’s buying behaviour to purchase ice-cream. INFORMATION REQUIRED :

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First, I had to know about all the competitors present in the ice-cream segment (Reputed and well established brands as well as Local brands). • Before going for the survey I had to know the comparative packs and prices of all the competitors existing in the market. •

Since ice-cream is a product that attracts children and youngsters hence I had to trace the market

and segment it, which mainly deals with people of various age groups.

As ice-cream is in different varities, the main information needed is the various types of ice-

cream available in the market, their calorific value and various other facts. They can be termed as

:

As Cream Bell ice-cream’s advertisements are mainly done through hoardings but on television the advertisement is being telecasted timely and on the proper time or not.

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DEVYANI FOOD INDUSTRIES PVT. LTD.:-

Devyani Food Industry is comes under RK Jaipuria group. It is generallyknown as RJ corporation. RJ Corp (India) started its dairy business in the year 2002 withpasteurized milk & ice cream under the headship of CEO, Mr Madhu Sudan Parikh..Being a well-diversified organization, RJ Corp is primarily engaged in breweries, realestate, hospitality, healthcare, education, dairy, food services and retail and in theproduction of Dairy Milk Products like Ultra Heat Treated Milk, soft beverages withannual turnover of about 15 billion.

The company has huge operations of Pepsi, Costa Coffee, Pizza Hut, Beer,Ice Cream, Dairy and others in various countries across the globe. With the emergence ofeconomic liberalization, Pepsi came to India in the year 1991 and with this Pepsi came tobe partnered by various companies in their beverage business. Mr .Ravi Kant Jaipuria,Pepsi king is a promoter of group and a well-known Pepsi King. Being a professionallymanaged enterprise possess the largest distribution networks in Nepal and India ofFMCG products. They also have various plants in countries like Africa and Asia.

Moreover, RJ Corp (India) is a jointure venture organization which isworking in conjunction with “Sameer Agriculture & Livestock Ltd”. Sameer Group is aleading economic force in East Africa, with major investments and successful operatingcompanies in all key business.

Vision

It have a vision to be the significant player in the global dairy industry. Thecompany focuses on Asian & African Markets and looks forward to expansion thesecountries.

Markets:- ASIA: Creambell Ice Cream have Plants located in North & West of India,

Creambell network Present in Jammu & Kashmir, Himachal Pradesh, Punjab, Uttaranchal, Uttrakhand, Uttar Pradesh, Rajasthan, Gujarat, Madhya Pradesh, Maharashtra, Bihar, Jharkhand, Andhra Pradesh, Karnataka, Goa, Delhi,

AFRICA: Creambell Dairy have Plants located in Kampala (Uganda) and

Nairobi (Kenya), Selling networks are present in Sri Lanka, Ethiopia, Uganda, Kenya,Central African Republic, Rwanda, Congo, Burundi, Tanzania, Angola, Zambia, Nigeria,Egypt, Sudan, Yemen, Oman, Saudi Arabia, Israel, Lebanon, Mauritius Countries.Largest Selling Fresh & UHT milk in Uganda & Significant share of the YoghurtBusiness. Whole Milk Powder & Skimmed Moreover, RJ Corp (India) is a jointureventure organization which is working in conjunction with “Sameer Agriculture &

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Livestock Ltd”. We entered in to an agreement with the Government of Uganda that cameinto effect from 1 August 2006 so as to lease the assets of Dairy Corporation, Kampala.Sameer Group is a leading economic force in East Africa, with major investments andsuccessful operating companies in all key business.

APPENDIX

QUESTIONNAIRE:-

NAME OF THE STORE:-NAME OF THE OWNER:-ADDRESS:-CONTRACT NO.:-

1. DO YOU KEEP THE ICE-CREAM OF CREAM BELL? A) YES__ B) NO__ C) CONFUSED__ D) NEVER__ E) FIRST TIME__. 2. WHICH IS YOUR LARGEST SELLING ICE-CREAM BRAND ? A) CREAM BELL__ B)KWALITY WALLS__ C)MOTHER DAIRY__ D)AMUL__. 3. WHICH CATEGORY OF ICE-CREAM PREFERS BY CONSUMERS? A) PREMIUM __ B) CONE__ C) CUP__ D) STICK__ E) OTHERS__. 4. WHICH COMPANY’S DEFREEZER YOU HAVE TAKEN? A) CREAM BELL__ B) AMUL__ C) K.W__ D) M.D__ E) OTHERS_

5.WHAT IS YOUR DAILY SALE OF ICE-CREAM? A)BELOW Rs.1000 __ B)Rs1000 TO 3000__ C)Rs.3000 TO Rs.5000__ D)Rs.5000 TO Rs.10000__

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E) ABOVE Rs.10000__. 6. WHAT IS YOUR DAILY SALE OF CREAM BELL ? A)BELOW Rs.1000 __ B)Rs1000 TO 3000__ C)Rs.3000 TO Rs.5000__ D)Rs.5000 TO Rs.10000__ E) ABOVE Rs.10000__. 7. DO YOU AWARE ABOUT CREAM BELL’S LETEST PRODUCTS? A) YES__ B)LITTLE BIT__ C) NOT MUCH__ D)NO__ E)NEVER__ 8. WHAT IS THE RESPONSE OF CONSUMER’S TOWARDS CB’S LETEST PRODUCTS? A)OUTSTANDING__ B)VERY GOOD__ C)GOOD__ D)AVERAGE__ E)BAD__ 9.WHAT IS CONSUMER SATISFACTION FROM CREAM BELL ? A)STRONGLY SATISFY__ B)SATISFY__ C)AVG. SATISFY__ D)LOWER SATISFY__ E) UNSATISFY_10. ARE YOU SATSFY WITH THE DELIVERY SYSTEM OF DISTRIBUTOR ? A)STRONGLY SATISFY__ B)SATISFY__ C)AVG. SATISFY__ D)LOWER SATISFY__ E) UNSATISFY__ 11. ARE YOU SATISFY WITH COMPANY’S POLICY ? A)STRONGLY SATISFY__ B)SATISFY__ C)AVG. SATISFY__ D)LOWER SATISFY__ E) UNSATISFY__ 12. How do you scale your ice-cream? ATTRIBUT E POOR AVERAG E GOOD EXCELLEN

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T

PRICE

SWEETNESS

PACKAGING

SOFTNESS

SCHEMES

AVAILABILIT

Y 13. SUGGESSIONS………………………LIMITATIONS Limited time available for interviewing the respondents. As a result of this it was not possible to gather full information about the respondents. When I interviewed children and teenagers, sometimes they use to give answers under the influence of their parents or elders. As summer training is going under summer season so sometime people are less interested in filling up questionnaire. Sometimes the problem which I face is language problem for which I have to make them understand. Non-cooperative approach and rude behavior of the respondents. If the respondents answer does not falls between amongst the options given then it will turn up to be a biased answer

MY FINDINGS During the survey it was found that still there are10% people who have not tasted Cream Bell ice-cream. Lake of Awareness in consumers. Many people are not know about Cream Bell Ice-cream specially children and teenagers. When I interviewed people then many of the people can not recall Cream Bell Ice-Cream’sadvertisement. It shows Lake of Advertisementor advertisement is not timely givenor advertisement is not given on right time. In its advertisement is not using any brand ambassador which attracts all age group people like Kwality walls. There is lake of Sales Promotional Activities i.e. free tattoo, extra weight, toys,

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quiz contest etc

SUGGESTIONS

1.INTRODUCTION OF SOME ATTRACTIVE SCHEMES;- It is a very popular policy to improve the sale. Here the attractive scheme refer to the schemes which are emotionally attract the consumers towards the products like, buy a Cassata chop and get a steel spoon free, buy a fantasia cone and get a mango stick free etc. The period of such type of schemes are very less(1 or two months), but they are very attractive and able to gain the interest of consumer.

2.INTRODUCTION OF Rs.10 CONE:-It is more important for us to introdus a cone of Rs. 10. Besause everyone giver preference to cones in the place of sticks. We have good varities in cones, but less number of varity in the segment of lower price. So we have to introduce it.

3.“JUST ONE CALL”- It is a major initiative. We must be provide our consumers and retailers a hot number on which they can call any time and give their demand. Our delivery person will provide them free delivery at their home but order should be more than Rs. 100.

4.PUBLICITY AT BUS STANDS AND BUSY MATRO STATIONS:- The boards and banners should be placed at major bus stands and vital matro stations of Delhi.

5.PROVIDING FULL INFORMATION AT WEBSITE:- Thefull informations about the company and it’s all products should be provided at the website of our company. 6.Company should use brand ambassador which attracts each age segment i.e. Saniya Mirza, Shaktimaan, Amitabh Bacchan, Superman, Krrish, Jadoo etc. 7.Company should launch chocolate in new attractive packing to change image of Cream Bell ice-cream in consumers mind. 8. Company should introduce sales promotion schemes like free weight, pranky, tattoo, contest, free gifts etc. 9. Advertisement can be done with the help of animations that attracts children and teenagers because ice-cream are consumed largely in this segment.

As we know that Devyani Foods Industry is very big organization and market leader in food products. It has maximum market share in ice-cream, which are its main/core products. With the help of research, company can find out its week points in ice-cream product and can increase its market share through rectify mistakes. People have believed in Cream Bell’s product and they will accept its ice-cream also if effective actions were taken.

The survey resulted into following conclusions : Cream Bell must come up with new promotional activities such that people

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become aware about Cream Bell’s Preamium like Ice-cream Cake, Tub, Premium brick etc.. Quality is the dominating aspect which influences consumer to purchase Cream Bell product, but prompt availability of other chocolate brands andaggressiv e promotional activities by others influences the consumer towards them and also leads to increase sales. In comparison to Cream Bell ice-cream, the other players such as Amul, Mother Dairy, and Kwality Wallsprovide a better availability and give competition to the hilt. People are mostlysatisfied with the overall quality of Cream Bell ice-cream, but for the existence in the local market Cream Bell must use aggressive selling techniquesPROBLEMS OF CREAM BELL:-

1.POOR DELIVERY SYSTEM :-It is a biggest problem of our company inthe concern area. More of the storekeepers are unsatisfy with the deliverysystem of our distributor in the area . Many retailers complain is that theypay the distributor all amount in advance but in spite of it he is not providethem products within time.As the result, many time they have face majorproblems. So, they are coppailed to give the product of other company.

2.AMUL’S 2 LITER PACK:- Amul’s 2 liter pack is a price winner for the company. It is a more popular in both sense, either party pack or personal use.

3.LIMITED NO. OF COMPANIES BANNERS AND HOARDINGS:-Our company’s publicity is also limited. Our letest products like Sachmuch aam,micky stick etc. have a good market demand but due tounawareness in the consumers, their selling is not increasing. The stores ofold Delhi, are in very conjusted areas, so there is a need of good publicityin the areas.Almost all the retailers demanded for the banners andhoardings of letest products.

4.LESS VARITY IN CONE :-Our company has very limited varity in the cone sagment. Minimum cost of cone of our company in Rs. 18 but at the same time our competitor provide, a cone at a price of Rs. 10 which is an advantage for them.

5.BEHAVIOUR OF OUR DISTRIBUTOR:- Most of the retailers of Old delhi is not satisfy with the behaviour of our dostributor. 6.LESS NUMBER OF SALES/DELIVERY PERSONS WITH DISTRIBUTOR:- Our distributor has very less number of delivery persons which is a turning point. Due to this, they are unable to fulfill the total demand of the retailers at the time.

7.OTHER PROBLEMS:- There are some other problems with ourcompany like- unavilability of cola flavor, taste of tripples, less number of

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nuts in the butter scoatch, Less promotion of new products including tubsand cakes.

LITERATURE REVIEW:-

Today Consumers have higher expectations than ever before. They wantproducts to match these expectations. They also want accurate, up-to-date and usefulinformation about what they buy and above all they need Quality

According to the report of Sumit Kukreja, a management trainee fromAmity University, food and beverages are the one of the largest growing trade in FMCGsector and ice-cream is the pathfinder of this trade. The continues grow in the demand ofice-cream in India is showing the great opportunity in future.

Motilal Oshwal, a marketing research company has been reported that the growth rate of ice-cream in India is steady but it increasing in the future.

Survey by A. C. Nielsen shows about 71 per cent of Indian take notice of pack-aged goods' labels containing nutritional, information compared to two years ago which was only 59 per cent.

India is the largest milk producer in the world, yet only around 15 per centof the milk is processed. The organized liquid milk business is in its infancy and also haslarge long-term growth potential. Even investment opportunities exist in value-addedproducts like desserts, puddings etc

According to CMIE Data, Aggregate sale of this industry is expected to increase by 19.2 per cent during the December 2009 quarter

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PRODUCTS INFORMATION :- The above are the latest products of company. Among them excluding ball top all the other products are running in the market with a good potentiality. There are some other products which can be given as follows:

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PARTY PACKS (357 +357 Grams)

S. N PARTICULARS QUANTI TY RETAIL PRICE MRP 1 Vanilla+Vanilla 2 82.65 95 2 Strawberry + Strawberry 2 87 100 3 P/Pista + P/Pista 2 87 100 4 Chocolate ripple 2 94.6 110 5 Saffron ripple 2 94.6 110 6 Strawberry ripple 2 94.6 110 7 Chocolate +Chocolate 2 102 120 8 T/Fruity + T/Fruity 2 102 120 9 Three in one +Three in one 2 102 120 10 Fruit Bonanza (1+1) 2 110.5 130 11 B/Scotch + B/Scotch 2 110.5 130 12 Kesar Badam +Kesar badam 2

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110.5 130 13 Vanilla chocochip + Vanilla chocochip 2 110.5 130 BULCK PACKS (4 LITER) 1 Vanilla 1 228 275 2 Strawberry 1 228 275 3 Chocolate 1 333 400 4 Chocolate ripple 1 333 400 5 Vanilla chocolate chip 1 333 400 6 Tutti fruity 1 333 400 7 Milky chocolate 1 333 400 8 Fresh pineapple 1 333 400 9 Black Currant 1 333 400 10 Orange Tang 1 333 400 11 Rum N Raisin 1 333 400 12 Kaju Kishmish 1 333

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400 13 Crunchy Butter Scoatch 1 333 400 14 Coffee 1 428 525 15 Chocolate choco chip 1 428 525 16 Rich Dark chocolate 1 428 525 17 Choco delic 1 428 525 18 Chocolate coffee almond fudge 1 428 525 19 Figs and honey 1 428 525 20 Lychee caramel 1 428 525 21 Farm Strawberry 1 428 525 22 King Alphonso 1 428 525

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