1. Aashirvaad: ITC launched Aashirvaad Atta on 27th May 2002 in Jaipur and Chandigarh.

Today, it is
available all over India and is the number one branded packaged Atta across the country. The focus
is kept on providing the best quality Atta using the most traditional yet cumbersome methods.
Through its PET poly packaging and E-choupal initiative, the freshness of the Atta is guaranteed
giving the consumers a confidence no other brand can comply. Happiness handpicked is the motto
of Aashirvaad Atta and to achieve this, ITC buys wheat straight from the farmers using the sourcing
strength of its e-Choupals. Aashirvaad Select Atta (5 kg pack) was awarded one of the most
prestigious awards in the world for Packaging the World Star Award for Excellence in Packaging in
the Consumer Pack Category. Aashirvaad Atta also created a first in packaging in the branded Atta
category. Its premium offering, i.e. the 5kg premi 131 The focus of ITC has always been on the
providing its customers with best the possible quality and in the case of Aashirvaad Atta also, they
have emphasized on the quality and freshness. To keep the taste of packaged Atta authentic with
respect to Chakki Atta, ITC follows traditional methods to produce it. It obtains the finest wheat
grains directly from the farmers and then the grains are grounded using modern 'Chakki - grinding'
process to produce genuine and authentic Atta. ITC also tries to ensure that Aashirvaad Atta
contains 100% Atta and no Maida. In addition, the quality is maintained such that the dough made
from Aashirvaad Atta absorbs more water making the Rotis softer. ITC has been able to successfully
use its E-choupals initiatives to obtain the finest wheat grains for the production of Atta directly
from farmers. This backward integration gives them two distinct advantages. The first being
reduction in the cost of wheat by around 2 percent as no middlemen is involved in the process. The
second advantage is of course quality since ITC does not have to rely upon the Mandi system where
the wheat grain can be of inferior quality. ITC offers a wide range of Aashirvaad Atta products cater
to the different consumers’ demands. Apart from the basic brands, there are two high-end brands
with some special ingredients. ITC has its own packaging business and it utilizes its packaging
business to come out with really superior and innovative packaging. The material used for packaging
the Aashirvaad Atta is “PET Poly” which keeps the Atta fresh. Further, it also offers carton packaging
and vacuum sealing for its premium packs. Although ITC already had excellent distribution network
for its cigarette products, it needed to develop the new and different distribution infrastructure for
its Aashirvaad Atta 132 product. However, in the last 8 years it had really developed its distribution
network and with its strong E-Choupal network it can competed with its competitors on the
distribution front. (ii) Weaknesses Aashirvaad Atta can be considered as a premium priced product,
as it is very costly when compared to unpackaged Atta sector. Currently, the focus of ITC is on urban
market with respect to packaged Atta sector and with packaged Atta sector still being less than 3%
of the total Atta market; ITC can be focused on rural market also to capture more of the unpackaged
Atta market. ITC has focused more on the retail shop based promotion strategy. However, to attract
more and more customers, ITC needs to promote it more using TV and other media promotion
strategies. (iii)Opportunities Food Industry is India’s sleeping giant. With the rise of modern retail
formats, increasing disposable incomes and healthy awareness, the category is undoubtedly
evolving. With the branded Atta market in India being very attractive in terms of size and
consumption patterns, growth has also picked up pace with the Government’s proactive approach
with the formulation of national food policy, reservation of select segments. Apart from North India,
which has always been very high in wheat consumption, ITC can concentrate in rice dominant
regions such as Andhra Pradesh. Atta is used for making puri, which is a popular breakfast item for
South Indians. 133 ITC can collaborate with fast food chains such as McDonalds, Pizza Hut and
Subway. This has been an untapped market until now and tying up with these chains as their main
flour suppliers can open up a new window for ITC. (iv) Threats Indian market is largely dominated by
innumerable local flourmills and ‘Chakki Atta’, which are the biggest threat to Aashirvaad Atta.
Chakki Atta is still perceived as the best quality Atta and it is cheaper as compared to branded
packaged Atta. Obvious threat is the domestic competition. Competitors such as Annapurna and
Pillsbury are doing their best to increase their market share. Until now, the competition is mainly
domestic. In future when Western companies will see India as an exciting opportunity for packaged
Atta, then the competition will get intense. Promotion Strategy: Aggressive Advertisements in
television targeting Indian Housewife. Exclusively Aashirvad Stores Tie up with Government to sell
Aashirvaad Atta at military canteen at a subsidized rate. Informative advertising will be used for new
variants are launching Newspapers would be the most effective media for targeting Industrial buyer
134 Sales Promotion: Free 1 Kg packs of Aashirvaad can be in regions where the penetration of
branded atta is low Free packs of Aashirvaad salt to be bundled with Aashirvaad 1 Kg atta Pack The
company can collaborate with all the fast food retailing chains can be given along with Aashirvaad
atta packs Free samples through distribution at posh public areas such as malls and multiplexes.
Cookery contest for Housewives. Kolam contest for Housewives.