Professional Documents
Culture Documents
ON
Indu Linggi
Danish Khan
Vineet Daftari
Samarjeet Chauhan
Dhruv Sehrawat
FW 08-10/ FD-2
CONTENTS
• Acknowledgement
• Preface
• Executive Summary
• Objective of the project
• Research Methodology.
• Literature Review
• Company Profile
• Trade Profile
• Marketing Plan
• Management Hierarchy
• Comparison with other business
• Govt. policies related to business
• About the topic (Market Potential)
• Findings And Analysis
• Limitation
• Summary/conclusion
• Suggestions/Recommendations
• Bibliography
• Annexure
• Word of Thanks
• Questionnaire
ACKNOWLEDGEMENT
Last but not the least, we would like to forward our gratitude to our friends &
other faculty members who always endured us and stood by us and without
whom we could not have envisaged the completion of our project.
PREFACE
To start any business the success entirely depends on the marketing research
done about the particular and the consumer attitude towards the product.
Marketing research plays a vital role in a business to make it success.
We have tried to put our best effort to complete this task on the basis of skill that
we have achieved during our studies in the institute.
We have tried to put our maximum effort to get the accurate statistical data.
However we would appreciate if any mistakes are brought to us by the reader.
EXECUTIVE SUMMARY
After going thick on the things, now time is to make a complete picture. While
making a product a SKU (stock keeping unit) of the shop retailers think about the
GMROI (gross margin return on investment) and they promote the brand which
provides them highest. They expect return in the form of profit margin, company
schemes, window display and reference of the shop. Among these, company
schemes make the difference and are the highest sources of motivation after
profit margin. Retailing demands a constant push from the company.
Marketer needs to use advertising and brand building strategies to address the
discerning buyers and retail push to in different buyers. The manufacturer should
understand consumer behavior because retailers can’t help quality and price. It is
only up to manufacturers to deliver what consumer wants. I need to stress on it
because 58% retailers said that it is demand why they sell Britannia. 61% agree
that at retail shop it is brand popularity, which determine the purchase of biscuit.
Understanding the buying behavior of the target market is the essential task of
marketing management under marketing concept. The consumer market consists
of all the individuals and households who buy or acquire good and services for
personal consumptions. The buying behavior tries to find out the answers for the
questions, who buys? How do they buy? Where do they buy? Do they buy?
There are four major factors that influence the buying behavior such as cultural
factors, social factors, personal factors, and psychological factors.
I. BUYING ROLE
The buying role could be classified into four parts. These are initiator, influencer,
decider and buyer.
Consumer decision taking varies with the type of buying decision. There are four
types buying behavior such as Complex buying behavior, Habitual buying
behavior, Variety seeking buying behavior.
Here are five stages in buying decision process namely problem recognition
search, evaluation of alternatives purchase decision and past purchase behavior.
NEED RECOGNITION
The buying process starts with the buyer’s recognition of a problem of need. The
buyer senses a difference between his actual state and desired state.
INFORMATION SEARCH
There are different sources from where a consumer can gather information like
personal sources commercial sources, experimental sources.
EVALUATION OF ALTERNATIVES
After gathering information about different products the customer will be in a fuss
as to choose which product among the mainly alternatives consumer usually
evaluate the alternatives on traditional basis, on the basis of utility function etc.
from the many alternative consumers at last choose the best one for him.
PURCHASE DECISION
After purchasing the product and services the consumer will experience some
level of satisfaction or dissatisfaction with the product and services that will
influence subsequent behavior. If consumer is satisfied he may show the
probability of buying the product the next time, satisfied customer will say good
thing about the product, proving the statement that "satisfied customer is the best
advertisement.” A dissatisfied customer may take some action against it. They
may try to reduce the dissonance by abandoning returning the product.
Marketing
Marketing is a societal process by which individuals and groups obtain what they
need and want through creating, offering and freely exchanging products and
services of value with others or other wise it is the process of planning and
executing the conception, pricing, promotion and distribution of ideas, goods,
services to create exchanges that satisfy individual and organizational goals.
Marketing Strategy
Marketing strategy is a set of objectives, policies and rules that leads the
company's marketing efforts. It is the marketing approach to accomplish the
bread objective of the marketing approach to accomplish the bread objective of
the marketing plan. The various process of marketing strategy are given below.
2. Positioning
3. Product
4. Price
5. Place
6. Promotion
8. Marketing research
Market segmentation and selecting target market
3. Product:- A product is any offering that can satisfy a need or want. The major
types of basic offerings are goods, services, experiences, events, places,
properties, organizations, information and ideas. The company gives more
importance in quality, packaging, services etc. to satisfy the customers. The
products has it's life cycle. The product strategies are modified in different stages
of product life cycle.
4. Price:- It is the most important aspect in company's point of view. Price of the
product will be decided by the company according to the competitor's price.
5. Place:- This plays a major role in the entire marketing system. the company
emphasis on it's distribution network. Proper distribution network gives proper
availability of the product.
7. Research and Development:- after testing, the new product manager must
develop a preliminary marketing strategy plan for introducing the new product in
to the market. The plan consists of three parts. The first part describes the target
market's size, structure and behavior. The second part out lines the planned
price, distribution strategy and marketing budget for the first year. The third part
of the development describes the long run sales and profit goals and marketing
mix strategy over time.
MARKETING MIX
Target Market
Packaging Transport
Sizes
Services
Warranties
returns
HISTORY OF BISCUITS
Sweet or salty. Soft or crunchy. Simple or exotic. Everybody loves munching on biscuits,
but do they know how biscuits began?
The history of biscuits can be traced back to a recipe created by the Roman chef Apicius,
in which "a thick paste of fine wheat flour was boiled and spread out on a plate. When it
had dried and hardened it was cut up and then fried until crisp, then served with honey
and pepper."
The word 'Biscuit' is derived from the Latin words 'Bis' (meaning 'twice') and 'Coctus'
(meaning cooked or baked). The word 'Biscotti' is also the generic term for cookies in
Italian. Back then, biscuits were unleavened, hard and thin wafers which, because of
their low water content, were ideal food to store.
As people started to explore the globe, biscuits became the ideal travelling food since
they stayed fresh for long periods. The seafaring age, thus, witnessed the boom of
biscuits when these were sealed in airtight containers to last for months at a time. Hard
track biscuits (earliest version of the biscotti and present-day crackers) were part of the
staple diet of English and American sailors for many centuries. In fact, the countries
which led this seafaring charge, such as those in Western Europe, are the ones where
biscuits are most popular even today. Biscotti is said to have been a favorite of
Christopher Columbus who discovered America!
Making good biscuits is quite an art, and history bears testimony to that. During the 17th
and 18th Centuries in Europe, baking was a carefully controlled profession, managed
through a series of 'guilds' or professional associations. To become a baker, one had to
complete years of apprenticeship - working through the ranks of apprentice, journeyman,
and finally master baker. Not only this, the amount and quality of biscuits baked were
also carefully monitored.
The English, Scotch and Dutch immigrants originally brought the first cookies to the
United States and they were called teacakes. They were often flavored with nothing
more than the finest butter, sometimes with the addition of a few drops of rose water.
Cookies in America were also called by such names as "jumbles", "plunkets" and "cry
babies".
As technology improved during the Industrial Revolution in the 19th century, the price of
sugar and flour dropped. Chemical leavening agents, such as baking soda, became
available and a profusion of cookie recipes occurred. This led to the development of
manufactured cookies.
Interestingly, as time has passed and despite more varieties becoming available, the
essential ingredients of biscuits haven't changed - like 'soft' wheat flour (which contains
less protein than the flour used to bake bread) sugar, and fats, such as butter and oil.
Today, though they are known by different names the world over, people agree on one
thing - nothing beats the biscuit!
The macaroon - a small round cookie with crisp crust and a soft interior - seems to have
originated in an Italian monastery in 1792 during the French Revolution.
SPRING-uhr-lee, have been traditional Christmas cookies in Austria and Bavaria for
centuries. They are made from a simple egg, flour and sugar dough and are usually
rectangular in shape. These cookies are made with a leavening agent called ammonium
carbonate and baking ammonia.
The inspiration for fortune cookies dates back to the 12th and 13th Centuries, when
Chinese soldiers slipped rice paper messages into moon cakes to help co-ordinate their
defence against Mongolian invaders.
Britannia
The story of one of India's favorite brands reads almost like a fairy tale. Once upon
a time, in 1892 to be precise, a biscuit company was started in a nondescript
house in Calcutta (now Kolkata) with an initial investment of Rs. 295. The company
we all know as Britannia today.
The beginnings might have been humble-the dreams were anything but. By 1910,
with the advent of electricity, Britannia mechanized its operations, and in 1921, it
became the first company east of the Suez Canal to use imported gas ovens.
Britannia's business was flourishing. But, more importantly, Britannia was acquiring
a reputation for quality and value. As a result, during the tragic World War II, the
Government reposed its trust in Britannia by contracting it to supply large
quantities of "service biscuits" to the armed forces.
As time moved on, the biscuit market continued to grow… and Britannia grew
along with it. In 1975, the Britannia Biscuit Company took over the distribution of
biscuits from Parry's who till now distributed Britannia biscuits in India. In the
subsequent public issue of 1978, Indian shareholding crossed 60%, firmly
establishing the Indianness of the firm. The following year, Britannia Biscuit
Company was re-christened Britannia Industries Limited (BIL). Four years later in
1983, it crossed the Rs. 100 crores revenue mark.
On the operations front, the company was making equally dynamic strides. In
1992, it celebrated its Platinum Jubilee. In 1997, the company unveiled its new
corporate identity - "Eat Healthy, Think Better" - and made its first foray into the
dairy products market. In 1999, the "Britannia Khao, World Cup Jao" promotion
further fortified the affinity consumers had with 'Brand Britannia'.
Britannia strode into the 21st Century as one of India's biggest brands and the pre-
eminent food brand of the country. It was equally recognized for its innovative
approach to products and marketing: the Lagaan Match was voted India's most
successful promotional activity of the year 2001 while the delicious Britannia 50-50
Maska-Chaska became India's most successful product launch. In 2002,
Britannia's New Business Division formed a joint venture with Fonterra, the world's
second largest Dairy Company, and Britannia New Zealand Foods Pvt. Ltd. was
born. In recognition of its vision and accelerating graph, Forbes Global rated
Britannia 'One amongst the Top 200 Small Companies of the World', and The
Economic Times pegged Britannia India's 2nd Most Trusted Brand.
Today, more than a century after those tentative first steps, Britannia's fairy tale is
not only going strong but blazing new standards, and that miniscule initial
investment has grown by leaps and bounds to crores of rupees in wealth for
Britannia's shareholders. The company's offerings are spread across the spectrum
with products ranging from the healthy and economical Tiger biscuits to the more
lifestyle-oriented Milkman Cheese. Having succeeded in garnering the trust of
almost one-third of India's one billion population and a strong management at the
helm means Britannia will continue to dream big on its path of innovation and
quality.
PRODUCTS
Tiger Banana
IRON ZOR helps make mind sharper and body stronger. A Rs.4 pack has as
much IRON ZOR as that in 1 kg of Banana.
R&D in Britannia has spent considerable time to develop this nutritious and
delightful snack for children.
Britannia Tiger Banana packed with IRON ZOR and goodness of Banana is
accessible to all, being available in convenient packs priced at Rs.2, Rs.4 and
Rs.10.
NutriChoice SugarOut
Sounds like yesterday when people commented that healthy foods meant
"compromising on the taste." NutriChoice SugarOut is the most novel product
range to have been introduced in the market. The product is not just sweet but
tastes great, and yet contains no added sugar.
This is because NutriChoice SugarOut is sweetened with "Sucralose," derived
from sugar, which provides the same sweetness as any other biscuit, without the
added calories of sugar.
At least with the new and improved NutriChoice Digestive Biscuit, we have one
less thing to worry about. Made with 50% whole-wheat
and packed with added fibre (10% of our daily dietary
needs), these delightfully tasty biscuits are amongst
your healthiest bites of the day.
In your next visit to a shop just look out for its Golden-
green international carton pack.
Try one and you'll know that you've made one smart
choice - NutriChoice.
Treat Fruit Rollz
All kids who have relished the yummy creamy treasures of Britannia Treat in
exciting flavors, have yet another reason to celebrate! Britannia Treat launches
the amazingly yummy Treat Fruit Rollz!! These tasty soft rolls are filled with real
fruits and provide a healthy yet mouth-watering treat to the kids. Fruit Rollz
comes in four masti fruit flavours - Juicy Apple, Strawberry Surprise, Tangy
Orange and Delicious Dates!
Want to know a little secret? They make the best tiffin treats! So during snack
time what better than to munch on the delicious and healthy Fruit Rollz and
discover the yummy fruit flavor from within the shells. Keeping up with Britannia's
platform of 'taste bhi, health bhi', Fruit Rollz is indeed a yummy snacking option
for kids, while keeping the Moms assured about the goodness provided by the
fruit filling.
So go on and treat yourself to the lip-smacking snack!
New Britannia Milk Bikis
Milk Bikis, the favourite growth partner of Kids, now brings greater value and
delight to all with its new product and pack design. Recently re-launched in its
existing Southern & Eastern markets, and extended across India, the new Milk
Bikis is all set to add excitement and appeal to ‘nutritious’ food. Whoever said
that ‘good food’ needs to look ‘dull and boring’, will just have to take a look at Milk
Bikis.
With a unique and attractive honeycomb design and an
enhanced product experience, the new biscuit prompts
the ‘Kid’s will love it’ reaction amongst mothers. The milk
goodness in the recipe is now enhanced with SMART
NUTRIENTS – 4 vital vitamins, iron and iodine, proven
to aid mental and physical development in growing kids.
The premium packaging, besides appealing to kids, also ensures that the biscuits
remain fresh and crisp.
So, whether its breakfast time or snack time at school, rest assured that kids will
look forward to munching these crunchy, milky biscuits which even helps in their
development. And yes, adults won’t be far behind in reaching out for a pack
Financial Analysis
Britannia's gross sales turnover increased to Rs 18,179 mn in 2005-06 from Rs
16,154 mn in the previous year, registering a growth of 13%. Operating profit at
Rs 1,763 mn increased by 7%, profit before tax and exceptional items at Rs.
1,958 mn declined by 19% against 2004-05 , impacted by the profit on sale of
long term investments that accrued to 'other income' last year.
The Company achieved these results despite significant increases in input cost,
particularly sugar, fuel and oils, coupled with aggressive pricing in the industry.
Your Company's focused initiatives on commercialising market place
opportunities, supply chain efficiencies and overall cost management resulted in
its top line growth and profitability. Operating margin at 10.3% in 2005-06
compared with 10.9% in the previous year was impacted by the inflation in input
costs.
Despite stiff competition, your Company stabilised and held its overall market
share at 31.7% in volume and 38.8% in value for the last year.
Exports turnover during the year was Rs 111.71 mn against Rs 71.65 mn in
2004-05, a growth of 56%
[Fig 2.2: Earning per Share of Britannia]
1550
1500
1450 28-o1
1400 29-01
30-01
1350
31-01
1300
01-02
1250
1200
Opening High of the Day Low of the Day Closing
Biscuits derive its name from a French word meaning twice backed bread;
Biscuits in general have a good shelf life, which is higher than all other snack
items available in the market.
India is the second largest producer of biscuits in the world after the U.S.A. but
still the per capita consumption is only 2.3 kg/year of developed countries. As per
the latest survey done by N.C.A.E.R., 49 biscuits are consumed in rural areas.
The penetration of biscuits into households stands at an average of 83.2% with
the rural penetration at 77% and urban penetration at 88%. Biscuits are reserved
for the small scale sector but there are strong possibilities of the industry being
deserved in line with the government policy of liberalization. The net effect thus
would be greater choice for the consumer as well as a check on the costs.
The country production of the biscuits during 2004-05 was 18.6 Lac tons of which
1/2 were manufactured by the organized sector. The industry turn over was
5322.7 Crores of which organized sector contributed 2519.3 crores.
The low priced brand claims to have a 15 per cent market share in the North and
is aggressively eyeing a bigger bite of the Rs. 2,500 crore biscuit industry. The
brand plans to gain a 40 per cent market share in the North by the year of.
The company's strategy has been 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.
In this project the various branding strategies adopted by the company has been
studied and compared on the basis of current market scenario. It gives the idea
about the market share enjoyed by the different companies in the Biscuit
Industry. It provides the adequate coverage of many issues related to biscuit
industry. The objective of this report is to give the market share of Britannia
biscuits in the Indian capital (New Delhi). It has been made possible by knowing
the consumer's behaviour and by studying the patterns adopted by the retailers.
It gives us very precise view about the existing demand of Britannia biscuits and
demand of their products as compared to other competitors. It also highlights the
changing market trends and consumer preferences, why they have shifted from
finally pack to pouch pack. The annual growth rate of the industry is about
12.5%. However, the growth of cream biscuits, assorted or special variety is the
range of 30-40%.
The organized sector consists of large, medium and small scale biscuit
manufacturers who produce packed biscuits. The major players in this sector are
Britannia, Bakeman’s, and Parle, etc. the unorganized sector comprises of small
bakery units, cottage and household type manufacturing plants. These units
distribute their biscuits in the surrounding vicinity of their manufacturing locations
of say 20-50 kms. The country production of biscuits during 2005-06 is estimated
to be about 19.5 lack tons. Out of which 1/2 again is expected from unorganized
sector.
MARKETING STRATEGY
The market process is applicable to more than goods and services. Anything
related to market including ideas, events, policies, prices and personalities
comes under market strategy. However it is important to emphasize opportunity
in the market through market strategy.
Nowadays a good relation with customer is very important for organization. Sale
is totally depending on the relation with the customers. Customer's retention is
also a major aspect for growing business. It means keep the old customer and
try to make new customer.
Every organization should must be careful about it's competitors step, because
they can disturb the growing sales process of the organization.
A growing emphasis on global thinking and local marketing planning:
Companies are increasing by pursuing market beyond their borders. When they
enter other countries they must follow the tradition of that country and also they
make plan for local market that which type of product has more demand and how
can it run in the market.
Promotional Strategy
BRITANNIA 48%
PRIYAGOLD 20%
PARLE-G 16%
PURE FOOD 8%
OTHERS 8%
When we compared with other businesses then we follow the quality, price,
distribution system, promotional strategy etc. of the competitors Britannia in this
area is doing well.
So this is the comparison with other biscuits brands. According to our findings we
found that BRITANNIA is the market leader followed by BRITANNIA biscuits.
These two biscuits companies the lion's share in the 2,200 crore biscuits industry.
MARKET POTENTIAL
Market potential of the BRITANNIA is much positive in competitive era and will
sure cover the maximum market share of biscuit product. Potentiality of any
product depends upon the futuristic performance of the product. it depends that
how much retailers have potentiality to be permanent seller of BRITANNIA.
For great potentiality it is necessary to improve those factors which are going to
effect retailers. In my study I found some factors which can help to cover great
potentiality.
• Some places distributors not able to cover his particular area. That should be
improved.
These factors are very important for the organization. If company is able to
improve these all factors then definitely its market share will more increase.
Retailers will take more interest to sell Britannia biscuit and customer will also
enjoy for it.
Strength Weakness
• Fulfill one of our Basic • Decreases nutritional value
Requirement among Air , Water • Increases the cost of food
, Food, Shelter product
• Widely accepted in all • Industry and technology
Generations requires high investment
• Easily available in various forms • Regular usage of processed
• Provide good Instant Remedy food can cause alteration in
for hunger in the form of health
readymade food
• Preserves the non seasonal
food and makes it available all
throughout the year
Opportunities Threats
• Increase economy of India • Many companies are result
• Generate employment oriented
opportunity • Increase in pollution
• Good quality of Goods • Sometimes provide poor quality
• Provide competition to foreign of product for more profit
companies • Lack of technology
• Improve living standard • Unable to utilize all the
• Provide goods to nation at resources efficiently
cheaper rate
• Inflow of foreign reserve and
funds for the govt.(taxes)
CONCLUSION
After going thick on the thing, now time is to make a complete picture. While
making a product a SKU (Stock Keeping Unit) of the shop retailers think about
the GMROI (Gross Margin Return On Investment) and they promote the brand
which provide them highest. They expect return in the form of profit margin,
company schemes, window display and references of the shop. Among these,
company schemes make the differences and are the highest source of motivation
after profit margin. Retailing demands a constant push from the company.
Marketer needs to use advertising and brand building strategies to address the
discerning buyers and retail push to in different buyers. The manufacturer should
understand consumer behavior because retailers can't help quality and price. It is
only up to dealers said it is demand they sell Britannia 42% agree that at retail
shop it is brand popularity, which determine the purchase of biscuit.
BOOKS
NEW DELHI
MAGAZINE
TITLE ANALYST
INTERNET