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Pilot Study for M Industries Pvt Ltd

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201This document contains details of the Background (Client and Agency), Factors,

Circumstances, Preliminary Analysis, Methods Overview for Future Actions; plotted for

Melam Industries as per brief from its ……………………..on…………………

Comprehensive Summary of Details

by Jyothy G Krishnan

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A combination of personal alacrity and tenderness for fellow beings sowed the foundation for a beautifully equipped thought – Melam, in the year

1992 .The brand initiated as a path breaker, by formulating dried curry powder as opposed to the trend of plain powdered spices market of the time.

The pivotal role of a legend in Indian Culinary Art- Mrs. Thankam Philip; along with the business acumen of the founder Dr. Kurien John

Melamparambil, saw the rise of a new empire.

Melam brand was unique for the position it envisioned of the society. More than a corporate venture, it took the shape of a money churner for the

much needed fellow beings and hence while CSR activities now a days is used to promote brand; this brand stood for selfless activities never

promoted explicitly; deeply respecting the values it stood for. From a meager 10% of his income, today more than 50% of the profit of Melam, is

used through an effectively conceptualized process towards financial assistance to counter the growing expenses of medical treatment.

The void formed by the sudden demise of his father led Mr. Kurien John, to think on the profound effect of diseases on lives, and sooner he acted for

the benefit of lakhs of patients struggling to meet the rising expense of treatment through his Charitable Foundation in the name of his Late Father,

from whom he learned the worthiness of compassion. In his search for funds for the many in distress, he left the comforts of a prestigious job in a

leading daily and started Melam Industries. Today through the elected representatives of the state, he reaches out to lakhs of ailing people through

associations with almost 1000 hospitals.

For his relentless social commitment the Government of India awarded Padmasri in the year 2000. Dr. John Melamparambil, devoid of the nitty

gritties of a business persona, remain in the hearts of the many whose life took positive turn due to his services. His motto being – “the most

important need for any man is physical and mental health; food, shelter and water would follow...”

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Today Melam & Dr. John Kurien has reached a stage where their necessity to grow together, is facing a tough challenge from the competitive market

place, as well as from the ever rising requirements of the needy. The market place has become extremely competitive with new entrants and global

companies vying for a pie of the growing market. Similarly, as costs rise and awareness about his acts of kindness spread, the pull for the

concentrated time & efforts of Dr. John Kurien also has increased manifold. He has reached the stage where he wants to turn himself to societal

needs and desire to serve them better.

In an era of degrading human values, brands like Melam and people like Dr. Kurien John would sustain values and be symbolic representatives for

the coming generation. Dr. John Kurien wishes that the brand Melam and his Charitable Foundation be nimble, and adapt to the new realities of the

market and the society at large. The broad set of objectives that emerged out of a discussion with Dr. Kurien John is listed below

This report looks into the prospects of reinstating Brand „Melam” as a market leader in condiments‟ industry- Focus Kerala

As the first company to introduce powdered curry combinations in Kerala market; it peaked sales chart till year 2011. Increased competition

and multiple internal reasons saw decline in brand popularity

The company was known for its product inventions, quality and market strategies' and alliances during its heydays

Interestingly even with least marketing activities, the recall value of Brand remains concrete among consumers, even under stiff competition

and hence current revival activities a timely interference towards regaining brand identity and sales

The study thus looks at the existing market condition and outlines the overall activity list as well as details on the initial phase of this

multistage activity

The entire gamut of activities to revive and restructure brand can only be effectively sketched in multiple stages as research feedback from

initial phase is highly essential to strategize future game plan

The project aims at a comprehensive restructuring of Brand Melam, its product line, distribution channel, employee sensitivities,

organizational culture and should sketch in detail its brand promotion and launch nationally as well as improve global usage patterns. The

emphasis should be given to its image vîs-á-vîs CSR activities and also promote the activities of Dr. Kurien John to facilitate higher return for

his social commitments.

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Despite a decline in the total export of the country, Indian spices export have been able to record overwhelming gains in both volume and value in

Rupee terms. It created a record growth of 22%, registering an annual average growth rate of 21% in value and 10% in volume in last five years,

commanding a formidable position in world spice trade list.

During year 2012-2013, a total of 6,99,170 tons of spices and related products valued at Rs.11171.16 Cr has been exported from India accounting for

22% growth in volume and 14% growth in rupee value compared to previous year. As compared to the expected target during the period, spice export

accounted for 124% increase in quantity, 136% in Rupee value and 134% in Dollar value maintaining the country as foremost player in the spices

market.

The prospects of food processing industry is growing exponentially due to changing lifestyle requirements. The demands of modern living

puts intense pressure on women to multitask. Juggling with her home and work duties see her depending on easier ways of handling cooking

and home management.

Increased disposable income as both partners work, create ample space for consuming quality, high end product by a educated, health

conscious mother

Division of duties among both partners put easy mixes, masala‟s, paste‟s , sauce/jam, pickles in forefront of buying basket to create

convenience for men who cook

A growing middleclass with exposure to international brands and foods open avenues for trial of sauces, salads, dressings and condiments

market

Education also have created awareness among consumers about the trends and facts of quality, organic farming etc. and premium pricing and

high quality products are in demand

While the higher income spectrum is demanding quality, the lower income sessions in society is price sensitive however open to experiments

for new and varied taste buds, as shown by the increasing presence of international brands and foods

As more and more family get into working space to sustain increasing demands, the need for ready to eat food additions in their shopping list

is in leap

A growing population of bachelors and single males who take up to self cooking also opens new consumer niches

Easy, tasty, time saving, high quality, Organic, innovative foods are the mantra of educated working class, while experimentation and optimal

pricing‟s, the buzz of low income trend setters

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Melam was the market leader and to great extent lone player during its inception in the year 1992

However the prospects of the industry attracted many and soon the market was crowded with small to large players of which Eastern was the

prominent name

Today the market witness sporadic growth of new/existing players like Nirapara, Eastern, Kaula, Brahmins, Double Horse, Devon (Regional

Players) Everest, MTR, Catch, Badshah, ITC (National Players), Knorr, Maggi (International Players)

The experiments with various categories and length and depth of product varieties is phenomenal, catering to every possible consumer

requirement

Sustainability equations in current competitive and highly lucrative market would depend on adherence to quality, high investment on R&D,

new products for niche markets, high brand recall, visibility and pricing strategy

The trends in market is pushing competitors hard to innovate and bring on board distinct product categories and varied taste offers. The product

segments are being experimented on and new additions introduced frequently to claim consumer attention. Broadly the main segments are

Plain Spice/Grain/Cereal Powders - Chilly, Coriander, Atta, Rice, Ragi etc.

Masala Mixes (Veg/Non veg) - Tandoori, Fish, Biryani, Chena, Chole, Pickle etc.

Ready to Eat - Payasam, Gulab Jamun, Paneer Palak etc.

Pastes - Ginger, Garlic, Chilly etc.

Pickles - Fish, Prawns, Chilly, Mango, Lime etc.

Sauces/Soups - Tomato, Chilly, Oyster, Chicken Soup, Veg Soups etc.

Jam/Fruit Base - Mixed Fruit, Strawberry, Jellies etc.

Instant/Easy Mix - Coffee, Desserts etc.

Snacks/Fried - Wafers, Potato, Chips etc.

Frozen - Potato, Cutlets, Dairy Supplements etc.

To name a few, and multitude of variants and sub segments for each of these making this industry hugely consumer centric, innovative, niche/mass

players.

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Given the holistic nature of the project, it has been divided into multiple phases, each complete in itself, and with a set of deliverables which would

flow into the subsequent stages. This also gives the client the flexibility to customize the study as we go along, basis the results that each stage throws

up.

To cover the entire spectrum, the project has been divided into multiple buckets. Each of these buckets aim to fulfill a targeted requirement of the

promoter, and contains a mix of Market Research as well as significant strategic inputs.

Each of the subdivisions have specific research modalities which attempts to unravel specific questions. These modalities that are followed for each

of subdivisions are detailed in the next slide. The final report would also have the major learning‟s, as well as the key recommendations from the

learning‟s of the research and from external resources.

All these activities would incorporate optimally the existing platform and revamp it to suit the brand image and organizational

restructuring and culture being developed. Existing platforms especially online media – websites, FB pages,

twitter/instagram/pininterest/YouTube activities would be changed to suit the company profile. Existing product designs, organizational culture,

policies, etc. should be appropriately changed.

Employee & HR study

Distributors & Stakeholders in

Distribution

Organisation

Breadth, Relevance,

Quality

New Product Development

Product

Brand Evaluation

Brand Promotion

Brand

Systems Evaluation

Social Returns Assessment

CSR

Brand Rub off

PR

Promoter

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Learning current organizational

structure, employee sensitivity,

road map for future, initiate

employee recruitment

Research on current employees,

prospective employees, plan and execute

HR policies

Research- mix, projectives, FGI‟s,DI‟s; and strategy

formulation

Learn current network scenario,

competitor observation, market

feedback

Redress and formulate new strategies,

policies where needed basis company

policies

Research – quali/quant; and strategy formulation

Learn the depth and breadth of

product, product suitability to

various markets, discuss expansion

options, devise R&D requirements

Research on current product

acceptance/image among consumers,

channel partners; learn taste preferences,

connect with new generation

Research – mix, consumer, channel partner researches

basis taste tests, product feedback tests, gauge

packaging dynamics, design entry strategy. Use expert

panels and reviews from experts for augmenting

product value

Develop new combinations for

better market penetration, learn on

market dynamics and promotion of

existing products

Basis previous research base

conceptualize methods for promoting

existing product and initialize new

product development for national launch

basis national researches

This stage would have extensive taste tests and package

dynamics analysis and research and design followed by

pilot test in selected locations. Expert panels and

consumer panels would be set to monitor and suggest

appropriations

Brand equity study and developing

promotional plan

Evaluate brand attributes with various

stakeholders and analyze the same with

competitor platforms

As part of previous researches conclusions on brand

derived would be plotted to get insights on brand value

brand image

Devise promotion plans and

utilization of various

communication platforms

Sketch activities to plan and execute

promotional plans through selected

platform basis future brand projection

strategies‟

This stage includes developing

ads/banners/promos/PR/online initiation and at each

stage would categorically use research support for

market feedback to reduce errors

Outline current CSR activities,

literature review, PR for

fund/activity mobilization

Focus on promoting positively the CSR

efforts to build brand image

This stage would define CSR objectives, orient events

and activities to promote higher reach vis-à-vis Brand

Persona of Dr. Kurien John

Define his stand, social

commitment responsibility and

execute

Focus on promoting his works, creating

identity and enhancing mobilization

efforts

Literature/work reviews; presentation, background

smoothening, creating platforms

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The project would be phased across the 5 key buckets on a milestone linked manner.

The activity specifics proposed for Phase 1 is given in the next page. After this stage the schedule and time span would greatly depend on the

strategies plotted after initial two phases – employee, channel partners and consumers, experts. The field work and activities in both phases can be

conducted concurrently employing more resources for results to be of shorter span basis client discussion. Construed on the findings of these initial

researches further decision should be formulated on

Product strategy/creating newer additions

Packaging Strategy/evolution of new models

Consumer Engagement/Communication Modes

Positioning Exercises

Branding Diligence

CSR interface and optimization

1.1 Organisation

1.2 Distribution

2.1 Product Portfolio

2.2 New Product Development

3.1 Brand Evaluation

4.1 CSR - Systems

3.2 Brand Promotion

4.2 CSR - Returns Assessment

5.1, 5.2 - Promoter - Brand Rub off & PR

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Respondent Profile Activity Specifics Total Number Remarks

Sales and Marketing

Employees

Focus Group 1 Gauge Perception, to include cross sectional age and position

and region

Finance/HR Focus Group 1 Gauge Perception/policies/across section

Production Focus Group 1 Workers/laborers from various units

Senior Professional

from various

departments

Depth Interview 10 Either direct/telephonic to gauge response

Respondent Profile Activity Specifics Total Number Remarks

Distributors Depth Interview 5 Gauge field reaction across high-medium-low sale areas

Distributor Salesmen Depth Interview 5 Gauge concerns and practices

Retailers Observation and Depth

Interview

9 Cross sectional Supermarket, Wholesaler, General Store across

three sale spectrum

Respondent Profile Activity Specifics Total Number Center Remarks

House wives & working

women married (25-45yrs)

Focus Group 3 Attingal, Kottayam, Kannur Gauge perceptions across high-

medium-low sale belts

Bachelor men and working

women unmarried (25-

35yrs)

Focus Group 1 Kochi Gauge trends

High, low, medium income

couple (25-45yrs)

Depth Interview 6 Trivandrum, Mavelikara,

Cherthala, Palghat, Kasargode

Gauge buying/decision behavior

within family

**The consumer pool to have equal representation of various religion for uniform response.

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Snapshot of various activities across above mentioned specifics and approximate time span for completion of first two phases, that should lay the

foundation for further strategic contemplation is given below. The use of external resources and out sourcing in some key areas could mark deviation

in expected outcome period.

*Pre Research Activity – include designing of research pool, identifying groups, developing and finalizing questionnaire basis research

modalities, scheduling meet ups and conduct of activities to record responses, background field activities like venue booking, recording, gifts and

hampers, invites, travel and stay arrangement of company and consultancy representatives etc., employee skilled labours for translation,

moderation where required etc.

**Research day activities – include field activities to ensure attendance of respondents, complete recording of entire activities, managing venue,

transportation of company and consultancy representatives, conduct of activity (interviews, tests etc.), dispersing respondents and ensuring pay,

closing activities, distributing post works like transcription of data for analysis etc.

***Post Research Activities – include transcription, collection, pooling and labeling of data; dispersing data for respective analysis, analysis

sessions, preparing presentation, and scheduling presentation of findings

****Post Findings – post findings the consultancy would mark way forward and during presentation this would go for consent to the company

representatives. On acceptance of consent further schematics would be sketched

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SERIAL

NUMBE

R

(SN)

ACTIVITY

ORDER

OUTCOME EXPECTED APPROXI – TIME SPAN IN WEEKS SCHEDULE REMARKS

1 2 3 4 5 6 7 8 9 10 11 12

1 *Pre research

activity

Recruit respondents

Annex -1

Start Date – within week

of signing contract after

proposal acceptance

2 **Research

Activity -

Employees

Observing & capturing

employee perceptions.

Annex -1

Immediately on

completion of SN-1

3 Research -

Distribution

Capture logistics

perspective, Annex-1

Concurrently or later as

per field schedule to SN-

2

4 ***Analysis Strategic Points, Annex-1 Post field pack up

5 ****Presentation Comprehensive

presentation with

findings

Date fixed basis client

consent

Total Expected Time 3 months The period for be adjusted basis field efficacy in scheduling respondent time.

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SERIAL

NUMBE

R

(SN)

ACTIVITY

ORDER

OUTCOME EXPECTED APPROXI – TIME SPAN IN WEEKS SCHEDULE REMARKS

1 2 3 4 5 6 7 8 9 10 11 12

1 Pre research

activity

Recruit Respondents, Prepare

research design/questions Annex -1

Start Date – on

acceptance of Phase I

PPT.

2 Research

Activity -

Consumer

Observing & capturing perceptions.

Annex -1

** Immediately on

completion of SN-1.

3 Research –

Experts (Delphi

Method)

Capture product specifics, Annex-1 ** Concurrently or later as

per field schedule to SN-

2

4 Analysis Strategic Points, Annex-1 Post field pack up

5 Presentation Comprehensive presentation

inclusive of findings

Date fixed basis client

consent

Total Expected Time 3 months The period for be adjusted basis field efficacy in scheduling respondent time.

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