Wednesday 23 July 2014
Bajaj Discover ‘Chalta Nhi Daudta Hain’ By Shivang Bhardwaj PGDMM01 (Roll no-13)
Bajaj Auto
Bajaj Auto Limited is an Indian largest
two-wheeler and three-wheeler manufacturing company. Bajaj Auto manufactures and sells
motorcycles, scooters and auto
rickshaws. Bajaj Auto is a part of the Bajaj Group.
It was founded by Jamnalal
Bajajin Rajasthan in the 1930s. It is based in Pune, Mumbai, with
plants in Chakan (Pune),
Waluj and Pantnagar in Uttarakhand.
The oldest plant at Akurdi (Pune) now houses the R&D centre
'Ahead'.
Bajaj Discover ‘Chalta Nhi Daudta Hain’
The first variant of Discover was launched in 2004.
The bike had an engine capacity of 125 cc. A 112 cc variant was launched
in December 2005. The bike was claimed to have a mileage of 101 km/l
(290 mpg-imp; 240 mpg-In
2007, a 135 cc variant was launched.
· Spoke
wheels, Drum brake, Kickstart,
Round Headlamp
USP of Bajaj -It brought high-end features to the mileage market with lower Prices
Marketing Mix
PRODUCT: BAJAJ has a very wide range of vehicles,Discover,Platina,pulsar, Rouser,Chetak.Ninja, Avenger
PRICE:
Pricing strategies:
· Penetration pricing
Bajaj Discover promote their products via Advetising and after
sales services.·Enough use of one of the most important element of promotion
mix, publicity reduces the necessity of other promotional devices for discover.
Britannia - A Treat for Everyone (By Vaibhav Sham Sutrave)
CASE STUDY ON MARKETING STRATEGY OF BRITANNIA BISCUITS
Introduction:
In
view of the fact that Britannia Industries Limited is a food based organization
which produces a large variety of Biscuits, Dairy products, Rusk, Bread and
Cakes, it is evident that they have now excelled in their business. Britannia
Industries Limited is a public food industry, with its headquarters located in
Bangalore, well-known for its Britannia and Tiger biscuits. It now has around
300 stores spread, owned by DANONE and KALABAKAN Investments in India. As we
know, they deal in Biscuits, Rusk, Dairy products, Bread and Cakes.
Within this document the evidence of company’s current position and success is at hand with a concentration on the marketing mix and the STP analysis of Britannia. In brief, we see that Britannia Industries Limited continues to improve the quality of their products to meet the consumer’s demands and prevail over the competitive edge.
Within this document the evidence of company’s current position and success is at hand with a concentration on the marketing mix and the STP analysis of Britannia. In brief, we see that Britannia Industries Limited continues to improve the quality of their products to meet the consumer’s demands and prevail over the competitive edge.
About Britannia biscuits:
Britannia Biscuits was set up in 1892, in a
very plain and ordinary house in Kolkata with the initial investments of Rs.
295. By 1978, Britannia biscuits had crossed 60% of the shares of the firm,
followed by renaming the company to Britannia Industries Limited(BIL) and in
1983 it crossed Rs 100 crores revenue margin. Then as we know, in 1992 it
celebrated its Platinum Jubilee. In
the 21st century it came out as India’s largest and most famous brand of
biscuit.
Now Britannia is no more just another
ordinary biscuit but it is one of the most renowned and well known biscuit in
the world. From a small fairy tale it reached new standards and from a small
investment it has got a high margin of profit which has been very positive for the
company investors.
They have a variety of biscuits even
considering the health and economy to the life-style oriented types. BIL has decided to focus on seven core
brands in the biscuits category. The brands include Good Day, Tiger, 50-50,
Snacks, and the Cream Treat, bourbon, marigold.
Success parameters:
·
Growth rate and profitability:
Even though Britannia biscuits started off by selling their
products in India, they slowly expanded and started to export it to other parts
of the world. By doing so, they adapted to the different cultures of those
countries and made plans for those neighbouring areas and researched and
analysed which product has more demand than the others and ways to improve
their sales.
Promoting their brands is a very essential idea for their
marketing strategy as it helps understand the consumers the variety of benefits
they get while purchasing the product. They should advertise and publicize
their message clearly stating the facts.
Based on the marketing strategies, we understand that building a
brand is an important part of the company. They understand how to increase
sales and profits in a short span of time while continuing to promote its
variety of brands to create loyal consumers.
Britannia consolidated net profit increases 52% for the year.
India’s leading food company, reported consolidated revenue growth if 11.3% for
the year at Rs. 6829 crores. Profit from operations and net profit increase by
56.6% and 52.3% at Rs. 544 crores and Rs. 395 crores respectively.
· Market
share:
The current market capitalisation stands at Rs
12,440.50 crore. The company has reported consolidated sales of Rs 1,777.28
crore and a Net Profit of Rs 108.12 crore for the quarter ended Mar 2014. With a market share of 38% and 27% y-o-y
growth .
Britannia
has been able to find itself at the top position in India in manufacturing and
sales of biscuit, bread, cake, dairy products and rusk. The net profit grew
significantly at 382% from Rs 396 MN in 1998-99 to Rs 1,910 MN in 2007-08,
giving a CAGR of 19.1%. As per latest financial reports, the issued and paid up
capital of Britannia amounts to 23, 890,163 equity shares having a nominal
value of Rs 10 each and the shareholder base is about 25,300 in number. Also it
features as one of the top 100 most trusted brands in the world. This enormous
success and huge brand value is the compounded result of its excellent marketing strategy and efficient
distribution network.
·
Brand image:
Britannia has got very good image among its customer
base in terms of reliability and quality of products. The quality perception of
the brand among customers is positive and very strong; it appears in saying
“Britannia can’t compromise with its quality of products”. Almost every
customer able to recall its brand logo and more than one product name which
shows consumer is highly aware of brand Britannia. The customer those have been
consuming this brand from very long time they rarely make any shift or even try
any different brand.
Britannia
has been able to find itself at the top position in India in manufacturing and
sales of biscuit, bread, cake, dairy products and rusk. The net profit grew
significantly at 382% from Rs 396 MN in 1998-99 to Rs 1,910 MN in 2007-08,
giving a CAGR of 19.1%. As per latest financial reports, the issued and paid up
capital of Britannia amounts to 23, 890,163 equity shares having a nominal
value of Rs 10 each and the shareholder base is about 25,300 in number. Also it
features as one of the top 100 most trusted brands in the world. This enormous
success and huge brand value is the compounded result of its excellent marketing strategy and efficient
distribution network.
·
Brand image:
Britannia has got very good image among its customer
base in terms of reliability and quality of products. The quality perception of
the brand among customers is positive and very strong; it appears in saying
“Britannia can’t compromise with its quality of products”. Almost every
customer able to recall its brand logo and more than one product name which
shows consumer is highly aware of brand Britannia. The customer those have been
consuming this brand from very long time they rarely make any shift or even try
any different brand.
Marketing strategies:
Marketing
Strategy include anything from facts, events, procedures, values and
personalities. Britannia nearly sells all their products all over India and
even exports it other few countries. Their market rate kept growing every year
in the Indian market. Therefore, BIL has implemented a Diversification
strategy, so that it becomes the market leader in the food and biscuits
industry. But they made sure that when they diversify, they make similar kinds
of products such as cheese, dairy products and even more bakery items. So the
company can realize their marketing strategies by underlining the opportunities
in the market. There are a various different strategies they adopted. The main
marketing strategies followed by them are-
·
Product strategy.
·
Reduced losses by way of elimination of
losses.
· Target customers to capture growth in each category
by segmenting the market both along conventional lines and through segmentation.
·
Look beyond the product, at the customer. And use
knowledge to reposition the brand.
·
High class R&D and recently enhanced testing
and evaluation facilities.
·
A corporate image of quality.
Marketing mix:
· Product:
As
we all know, Britannia biscuits still have higher growth potential in the
market as its one of the best-known brands in India and popular among other
countries as well. Even though they have come up with new variety of biscuits,
they still emphasis on their initial biscuit brands such as Tiger, Good Day,
Marie, Treat and even more.
·
Tiger: Tiger, launched in 1997, became the largest
brand in Britannia's portfolio in the very first year of its launch and
continues to be so till today. Tiger is described as “nutri-glucose” biscuits
and comes with the added goodness of wheat and milk.
·
Good
day: It is one of the fastest growing brands under
Britannia and is a leader with almost 2/3 share of market. It is a real butter
biscuit and infuses happiness into people daily lives. It is available in good
day pista badam, good day Choco chips, and good day coconut
·
50-50:
Britannia 50-50 is considered as the “very very tasty tasty” snack. With the
success of 50-50, another variant was launched named Maska Chaska which is a
thin and crispy snack with peppery flavour.
·
Marie
gold: it is one of the Britannia’s oldest brands and
is the #1 in its category since a long time. It is crispy, light, healthy and
delicious. It is a must for every tea break
·
Cream
treat: Treat is a range of delicious cream biscuits with
yummy treasures within the biscuit shells. It offers a wide variety of
flavours, such as Bourbon & Elaichi, fruit flavoured cream such as mango,
orange, pineapple and jimjams range.
·
Milk
bikis: Milk cream is a variant launched under Milk
Bikis. These are round biscuits with smiley faces, full of milk cream, making
it popular among children.
·
Nutrichoice:
Britannia introduced NutriChoice range of healthy biscuits in 1998. It is
delightfully tasty biscuits. The brand is targeted towards overall health and
wellness for adults.
· Price:
Ø LOWER SEGMENT: To target the price
sensitive customers, the company has introduced biscuits that provide them
value for money and have nutritional value
Tiger
(100gms) – Rs. 5
Milk Bikis (100gms) – Rs. 7
.
Ø MIDDLE SEGMENT: The Company has a
range of biscuits that lie in the mid-segment that are light and include both
sweet and salty variety.
50-50
(135gms) – Rs.10
Marie
Gold (100gms) – Rs.13
Time
Pass (75gms) – Rs.15
Little
Hearts (67gms) – Rs. 10
Nice time
(100 gms)-Rs.10
Ø PREMIUM SEGMENT: The premium segment
offers biscuits that have more to them in addition to the taste and value for
money. They offer a wide assortment of biscuits with dry fruits and different
cream flavours.
Good Day (100gms) – Rs. 12
Treat (100gms) – Rs. 9 to Rs. 12
Bourbon (100gms)- Rs.10
NutriChoice Digestive (100gms) – Rs. 12
Therefore, doing this has enabled Britannia to widen its customer
base.
· Place:
Ø
For FMCG products, distribution channels are very
important. For biscuits, distribution and visibility are extremely important as
it's partly an impulse purchase product. And in biscuits, setting up a
distribution channel is anything but easy.
Ø
Britannia Industries Ltd. is one of India's leading
producers of biscuits and other bakery products. The company is partially owned
by the French company Group DANONE, one of the world’s largest food products
company. BIL has a widespread retail distribution network that services 400,000
retail outlets in 2,200 towns with the help of 2,500 distributors.
Ø
In addition to this, the company is constantly expanding
its product portfolio and retail network. Britannia's managers are constantly
on the move, given this breadth and depth of its business and the geographic
spread.
Ø
The company’s plants are located in India’s four major
metropolitan cities- Kolkata in eastern India, Chennai in southern India and
Delhi and Uttaranchal in northern
India. Combined, these facilities employ more than 4,300 people and yet only make 30% of the
company’s products. Sixty-one other
contracted factories produce the remaining 70% of Britannia’s product line.
· Promotion:
Ø
Eat Healthy, Think Better! - This tag line is something
that has changed the face of Britannia completely. This logo encapsulates the
core essence of Britannia-healthy, nutritious, optimistic-and combines it with
a delightful product range to offer variety and choice to customers.
Ø
”Swasth Khao Tan Man Jagao” promises the new generation a
healthy and nutritious alternative-that is also delightful and tasty.
Ø
"BRITTANIA KHAO, WORLD CUP JAO" was the theme
adopted in 1999. People bought the biscuit packs and searched for the lucky
scratch for flying to England to see world Cup Cricket match. The sales bounced
37% high on account of this strategy. The scheme came alive again during the world
Cup Match in 2002-2003 in South Africa.
Ø
"Lagan - the super hit movie” brought fame to
Britannia Biscuits also as 40000 buyers of Britannia Biscuit packs were invited
to see and a small lucky group to play the game with the movie Stars of Lagan.
It proved to be a novel way to promote a product - a perception in correct
proportion indeed!! Britannia spends approx. 10 % of its sales on marketing.
Ø
Interestingly, biscuits captured the No.1 slot among all
the categories surveyed, with 21 per cent respondents claiming to have seen or
heard a biscuit-category related promotion. This was followed by corporate
promotions (11.5 per cent) and televisions (4.8 per cent). Britannia had the
highest promotion recall level among all brands (20.2 per cent), followed by LG
Electronics (9.2 per cent), Samsung (3.6 per cent) and Pepsi (2.5 per cent).
Ø
Contests in the form of gift offers, slogans, scratch
cards and related items were played back by 14 per cent of the respondents
interviewed, according to the NFO findings.
Ø
Britannia has been using Saurav Ganguly, Sachin Tendulkar
and Rahul Dravid as its brand ambassadors.
Ø
In addition to that Britannia makes continuous efforts to
come forward with newer and innovative promotional campaigns like when TIGER
brand was introduced in the market, Britannia supplied Note Books, Scales, and
Pencils to Children in the name of its new brand free of cost.
INTERNAL MARKETING:
With an internal marketing
strategy, employees are treated as “internal customers” who must be convinced
of a company's vision and worth just as aggressively as “external customers.”
The goal of internal marketing is to align every aspect of a company’s internal
operations to ensure they are as capable as possible of providing value to
customers. If a company can operate in a coordinated and standardized way, that
company can provide a more consistent experience to their customers.
At Britannia they believe in creating
growth opportunities by encouraging “idea leadership” and taking responsibility
for decision making. their work culture can be characterized by strong
performance focus coupled with high result orientation. However Britannia
is incomplete without an essential ingredient…FUN!!! Every new joinee finds a
friend and a mentor in every Britannian he or she encounters during his/her
tenure in this organization. The Family like culture of this 100 year young
organization fuels the life-blood of every Britannian and has helped
strengthened bonds manifold across almost a century. This strategy of the
company helps to make their internal marketing strong.
EXTERNAL
MARKETING:
External marketing is done by the
companies to attract the customers by giving
promises. Britannia does their external marketing with help of advertisements
in newspaper, TV, radio etc. Britannia gives promises of quality, health and
tastes to the customer.
Ads from newspaper
and magazines
Commercials on TV
Ø Commercial of good-day:
http://www.youtube.com/watch?v=zYrH6BUOhFI
Ø Commercial of tiger:
Ø Commercial of 50-50:
Ø Commercial of little
heart:
Ø Commercial of bourbon:
Unique selling proposition
Unique selling proposition of Britannia biscuits is brand
loyalty due to its high quality well packaged products.
Differentiation:
Ø
Large variety and range of products.
Ø
Most intensive distribution coverage.
Ø
Britannia has image that generates fun
along with the belief of good quality.
Ø
Plays perfectly around its tag line “eat
healthy ,think better”
Customer attraction,
retention and satisfaction:
The company's strategy is designed to attract
new consumer segments and widen its consumer base with its well packaged low
priced offerings. Britannia’s success has also come from its formidable.
Britannia got success in retention of its product due to brand loyalty. Brand
loyalty is more based on taste, flavours and quality of products. Britannia
provides that taste, variety and
quality which helps to attract and retain its customers. In addition to this
company has been using stars to promote their products that they can attract
the customers. Britannia makes continuous efforts to come forward with
newer and innovative promotional campaigns like when TIGER brand was introduced
in the market, Britannia supplied Note Books, Scales, and Pencils to Children
in the name of its new brand free of cost so that customers get attract towards
them.
Values:
Values
define the business in terms of the principles and values that the business
leaders will follow. They provide the bounds or limits of how the business
leaders will conduct their activities while carrying out the vision and
mission. Britannia’s Core Values:
·
Provide economically sound business opportunities
for our members.
·
Practice high ethical business standards.
·
Respect and protect the environment.
·
Produce high quality products that are safe for
consumers.
·
Meet the changing needs and desires of consumers.
Swot analysis:
Segmentation:
·
Age
group: Different products for different age groups for example tiger
and treat for kids, little hearts for youths and good-day for elders.
·
Occasions:
Britannia’s shubhkaamnaaye is for special occasions like Diwali.
· Benefits: products like milk bikis, nutrichoice, Britannia tiger are
healthy and nutricious.
Targeting:
·
Rural and urban coverage through strong distribution
channels.
·
Target all age group through variety of products i.e. age wise segmented marketing.
·
Britannia follows full market coverage pattern of target
market selection.it has differentiated target market pattern i.e. it operates
in several market segments and design different product for each.
Positioning:
·
Full
market positioning: Britannia is market leader in cookies segments.
·
Use
positioning: Nutrichoice products for diabetic people.
·
Benefit
positioning: with eat healthy think better, Britannia positions
itself as healthy and nutritious alternative.
Conclusion:
Now that we have an in-depth view of the
company’s profile, marketing strategy and marketing mix, it shows the different
methods used to adapt to promote and publicize their products across India and
other countries. Based on the information researched, we find that they focus
on consumer needs to a very large extent. This is shown by the fact that, since
consumers are more health conscious nowadays, they have introduced NutriChoice
Diabetic Biscuits. It is also proven by their tagline, “Eat Healthy, Think
Better”. In conclusion, we see that how a small sized company has grown to be
one of the largest biscuit selling brands across India and many other countries
world-wide.
Submitted by-
Vaibhav sutrave
MM01
ROLL NO.1404014
Subscribe to:
Posts (Atom)