BritanniaBritannia

By Chirag Ahuja 52Rajat Nagar 26Rishikesh 27Satish Kumar 32Shubhankar

Britannia’s ProfileBritannia’s Profile

  1892 in Calcutta (now Kolkata) with an initial investment of Rs. 295.1892 in Calcutta (now Kolkata) with an initial investment of Rs. 295. 1979 Britannia Biscuit Company was re-christened Britannia 1979 Britannia Biscuit Company was re-christened Britannia Industries Limited (BIL). Four years later in 1983, it crossed the Rs. Industries Limited (BIL). Four years later in 1983, it crossed the Rs. 100 crores revenue mark.  100 crores revenue mark.      In 1997, the company unveiled its new corporate identity - "Eat In 1997, the company unveiled its new corporate identity - "Eat Healthy, Think Better" - and made its first foray into the dairy Healthy, Think Better" - and made its first foray into the dairy products market.  products market. 

Today largest Biscuits Bakery company-sales turnover of Rs 8478 Today largest Biscuits Bakery company-sales turnover of Rs 8478 million.million.

Indian biscuit market-61%Indian biscuit market-61%

Market leadership in an organized sector-48%Market leadership in an organized sector-48%

introduction

It brought the health dimension to an industry that was traditionally driven by taste alone. This is reflected in Britannia’s brand slogan, introduced in 1997 that exhorted consumers to ‘Eat Healthy, Think Better’. This was quickly embraced by the entire industry to come up with similar promotional campaigns showing biscuits to be an epitome of a healthy, happy diet.

COMPETITORSCOMPETITORS Generally all organizations have competitors in the market. A Generally all organizations have competitors in the market. A

particular organization always comprises with other same particular organization always comprises with other same business and according to market share we clarify the brand of business and according to market share we clarify the brand of product is giving more challenge to my product.product is giving more challenge to my product.

it was found that main competitor of BRITANNIA it was found that main competitor of BRITANNIA is PRIYAGOLD is PRIYAGOLD biscuits. BRITANNIA WORKS as the market leader.biscuits. BRITANNIA WORKS as the market leader.

In my provided area the share of the market is as follows.In my provided area the share of the market is as follows. BRITANNIA 48%BRITANNIA 48% PRIYAGOLD 20%PRIYAGOLD 20% PARLE-G 16%PARLE-G 16% PURE FOOD 8%PURE FOOD 8% OTHERS 8%OTHERS 8%

When we compared with other businesses then we follow the When we compared with other businesses then we follow the quality, price , distribution system, promotional strategy etc. of quality, price , distribution system, promotional strategy etc. of the competitors Britannia in is doing well.the competitors Britannia in is doing well.

Financial AnalysisFinancial Analysis

The Company witnessed all round growth in key categories with Biscuits recording sales of Rs. 23,299 Mn. Bread, Cake and Rusk business crossed the Rs. 2,700 Mn mark during 2007-08. This business has doubled in two years with 20% excess growth in Good Day and Tiger

Market segmentation and Market segmentation and selecting target marketselecting target market

The starting point of any segmentation discussion is mass The starting point of any segmentation discussion is mass marketing. In mass marketing, marketing. In mass marketing,

The seller engaged in the mass production, mass distribution and The seller engaged in the mass production, mass distribution and mass promotion of one product for all buyers. mass promotion of one product for all buyers.

Market segment consists of a large identifiable group within a Market segment consists of a large identifiable group within a market with similar wants, purchasing power geographical market with similar wants, purchasing power geographical location, buying attitudes or buying habita. location, buying attitudes or buying habita.

It is an approach midway between mass marketing and individual It is an approach midway between mass marketing and individual marketing.marketing.

We have try to form segments by looking at consumer We have try to form segments by looking at consumer characteristics; geographic, demographic, and psychographic. characteristics; geographic, demographic, and psychographic. After segmenting the market then target market selected.After segmenting the market then target market selected.

MARKETING STRATEGYMARKETING STRATEGY The market process is applicable to more than goods and services. The market process is applicable to more than goods and services.

Anything related to market including ideas, events, policies, prices Anything related to market including ideas, events, policies, prices and personalities comes under market strategy. However it is and personalities comes under market strategy. However it is important to emphasize opportunity in the market through market important to emphasize opportunity in the market through market strategy.strategy.

Following strategies adopted by the organization.Following strategies adopted by the organization.

A strong quality of the product and customer satisfaction.A strong quality of the product and customer satisfaction.

A growing relationship with customer and customer A growing relationship with customer and customer retention.retention.

Focus on competitors activity.Focus on competitors activity.

A growing emphasis on global thinking and local marketing A growing emphasis on global thinking and local marketing planning.planning.

Promotional Strategy.Promotional Strategy.

7 P’s OF BRITANNIA 7 P’s OF BRITANNIA INDUSTRIES LTD.INDUSTRIES LTD.

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ProductsProducts

Bakery Products

90% of business revenues (biscuits, bread, cake)

Dairy products

10% of Britannia annual turnover Rs 13.38bn

Product Range Includes : Product Range Includes :   

Britannia 50-50 Britannia 50-50 Britannia Good Day Britannia Good Day Britannia Bournbon Britannia Bournbon Britannia TigerBritannia Tiger Britannia Marie GoldBritannia Marie Gold Britannia TreatBritannia Treat Britannia Milk Bikis Britannia Milk Bikis Britannia Nutri ChoiceBritannia Nutri Choice Britannia Time PassBritannia Time Pass Britannia Little Hearts Britannia Little Hearts Britannia Nice Time Britannia Nice Time Britannia Cakes Britannia Cakes

Highlighted products are the power brands contribute 80% of total sales. Tiger, Good Day, Marie are worth Rs 300 crore, Milk Bikis and 50-50 worth Rs 200 crore whereas Treat is worth Rs 100 crore

• Became the largest brand in Britannia's portfolio in the very first year of its launch and continues to be so till today.

• Volume and value with sales of Rs 100 crore in the first year of launch(1997)

• Today Tiger is the healthiest brand in Britannia’s business portfolio bringing in annual sales of about Rs 400 crore within five years.

Tiger has 28% shares in market except the Glucose Market segment why?

PricingPricing

Market- Penetration pricing for the product like Market- Penetration pricing for the product like Tiger.(50% sales from rural market) Tiger.(50% sales from rural market)

Product-Quality leadership for the products like Product-Quality leadership for the products like Good Day (2/3 share of market) and Tiger Good Day (2/3 share of market) and Tiger ( crossed Rs 1 billion sales)( crossed Rs 1 billion sales)

Special Event Pricing in festival seasons (Cookie Special Event Pricing in festival seasons (Cookie hampers include flavors such as cranberry, butter hampers include flavors such as cranberry, butter scotch, honey raisin, treat and jam. Price started scotch, honey raisin, treat and jam. Price started Rs. 50/- to 350/-.)Rs. 50/- to 350/-.)

Indirect price hike –reduced 100gm packet to Indirect price hike –reduced 100gm packet to 90gm- maintaining the same price (customer 90gm- maintaining the same price (customer didn’t felt price hike)didn’t felt price hike)

PromotionPromotionADVERTISEMENTADVERTISEMENT- television, newspaper, magazines, - television, newspaper, magazines, radio, hoardings.radio, hoardings.

SALES PROMOTIONSALES PROMOTION – small pack of 50-50 with good day, free gift pack in festive – small pack of 50-50 with good day, free gift pack in festive season, rural marketing fair etc.season, rural marketing fair etc.

EVENTSEVENTS - britannia khao world cup jao in 1999,(37% profit in 2003) - britannia khao world cup jao in 1999,(37% profit in 2003)

- the lagaan cricket in 2003( Rs 10-15 crore –> 20% growth in tiger - the lagaan cricket in 2003( Rs 10-15 crore –> 20% growth in tiger biscuits)biscuits) - advertisement through the bats of- advertisement through the bats of cricket player in 2003.cricket player in 2003.

OCCASIONSOCCASIONS - Britannia’s “SHUBH KAAMNAYEIN” for special festivals like Diwali, - Britannia’s “SHUBH KAAMNAYEIN” for special festivals like Diwali, Holi, Raksha-badhan, etc. (Rs 220 per pack)Holi, Raksha-badhan, etc. (Rs 220 per pack)

placeplace 2 million outlets 2 million outlets

100 stock-keeping units, 3,000 employees, 100 stock-keeping units, 3,000 employees, over 1,500 authorized whole sellers, 53 over 1,500 authorized whole sellers, 53 depots and 46 factories. depots and 46 factories.

Acquiring the 49% stake of joint venture Acquiring the 49% stake of joint venture partner Fonterra in the dairy business. partner Fonterra in the dairy business.

Through a joint venture with the Khimji Through a joint venture with the Khimji Ramdas - acquired 70% beneficial state in Ramdas - acquired 70% beneficial state in Dubai based.Dubai based.

people people

3,000 employees, over 1,500 3,000 employees, over 1,500 authorized whole sellers. authorized whole sellers.

There are very efficeint and trained There are very efficeint and trained people working for this co. also the people working for this co. also the R& D work is done by scientists.R& D work is done by scientists.

positioning positioning The positioning is a creative exercise down with an existing product. the well known products generally hold a product. the well known products generally hold a

distinctive position indistinctive position inconsumer's minds. The positioning requires that every consumer's minds. The positioning requires that every tangible aspect of product,tangible aspect of product,price, place and promotion must support the chosen price, place and promotion must support the chosen positioning strategy.positioning strategy.Company should develop a unique selling proposition (USP) Company should develop a unique selling proposition (USP) for each brand and stick to it, for each brand and stick to it, As companies increase the number of claims for their As companies increase the number of claims for their brand, they riskbrand, they riskdisbelief and a loss of clear positioning. In general a disbelief and a loss of clear positioning. In general a company must avoid fourcompany must avoid fourmajor positioning errors. Those are under positioning over major positioning errors. Those are under positioning over positioning, confusedpositioning, confusedpositioning and doubtful positioning.positioning and doubtful positioning.

process process

Manufacture –east ,west south , nrth Manufacture –east ,west south , nrth zonezone

DistributorsDistributors Whole sellersWhole sellers RetailersRetailers consumerconsumer

RecommendationRecommendation

Marketer needs to use advertising and brand building Marketer needs to use advertising and brand building strategies to address the discerning buyers and retail push to strategies to address the discerning buyers and retail push to in different buyers.in different buyers.

The manufacturer should understand consumer behavior The manufacturer should understand consumer behavior because retailers can't help quality and price. because retailers can't help quality and price.

It is only up to dealers, it is demand they sell Britannia 42% It is only up to dealers, it is demand they sell Britannia 42% agree that at retail shop it is brand popularity, which agree that at retail shop it is brand popularity, which determine the purchase of biscuit.determine the purchase of biscuit.

There is a greater need to understand the retailer behavior There is a greater need to understand the retailer behavior considering them as a team working for the company may considering them as a team working for the company may help them to be attached to the company.help them to be attached to the company.

There should be feeling of belonging to the company in inner There should be feeling of belonging to the company in inner of the retailers. of the retailers.

Setting values club for retailers so that they may exchange Setting values club for retailers so that they may exchange views with the company and help in understanding consumer views with the company and help in understanding consumer behavior.behavior.

REFRENCES:REFRENCES:

WWW.BRITANNAICO.IN WWW.SEARCHINDIADAT.COM ECONOMICTIMES ARTICLE DATED ECONOMICTIMES ARTICLE DATED

23/5/1023/5/10

Thank You.