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MARKET

RESEARCH
ASSIGNMEN

About
Number 1 Coffee brand in India
Unilever's only Coffee brand
Enjoys a rich heritage, came into existence in
1962 under the brand name Deluxe Green
Label
Consistently offering better and newer products
to the consumer through improved packaging
solutions and innovative product formats

HISTORY

PRODUCTS

BRU Gold

BRU Selec

BRU Instant

BRU Roast

BRU Exotica

BRU Gold

RU Roast & Ground

BRU Instant

BRU Select

BRU Exotica

SWOT
ANALYSIS
STRENGTHS

Strong brand name


Excellent Advertising and visibility
Good product distribution
Variety of products

OPPORTUNIT
Tie ups with corporates
IES

Sachets in rural India

WEAKNESS
ES
Health
conscious people avoid
coffee as it contains caffeine.

THREATS
Coffee outlets

Understanding the Target Market


One of the best advantages of marketing
Coffee is its universal appeal. This fact has
also been utilized and acknowledged by
Starbucks coffee chain.
However, segmentation of geography can
play an important role in a traditional context
wherein Coffee is extensively consumed in
the South India as opposed to the North
irrespective of the favorable weather
condition.

Understanding the Target Market


Geographic Profile : Urban expanses and
Metropolitan cities. (Insight Bru is preferred
and consumed more in South India)
Demographic Profile
Economic Status Middle and Upper-Middle
Class
Income Level 2 lacs to 5 lacs p.a. (or the
range that falls in above mentioned
economic status category)
Gender Equally consumed by both
(Insight : Coffee is the most universally

Understanding the Target Market


Occupation Ranging from independent
students wanting to prepare coffee on their
own to working women who can make coffee
instantly for their husbands before leaving for
work.
(Insight Introduction of Instant Coffee
concept was to save time in the emerging
workforce environment)
Family Life Cycle Stage Highest penetration
for Bru is in Stage 6 of life cycle Family with
Adolescents

Understanding the Target Market


Techno-Savyness Limited knowledge of the
conventional technique behind brewing and
preparing coffee (Instant is the order of the
day)
Purchase Behavior
Loyalty - Most coffee lovers dont like to
experiment and switch once theyve found
their perfect flavor. Hence, consumer loyalty
for Bru is on the higher side. However,
introduction of small sachets (even new
variants) by competing brands could give

Understanding the Target Market


Purchase Behavior (cont.)
Scale of Purchase Availability of BRU in
smaller sachets has decreased the scale of
purchase. Unless a heavy and regular drinker,
purchase are made in sachet forms than
glass jars (Light purchase)
Frequency Bru instant coffee is purchased
frequently to satisfy the compulsion of
consumption amongst coffee lover.

Coffee Story in India


Previously only a South-Indian drink
Confined to the Rich Brahmin class
The drink has now become more of a
concept
Image change towards a youthful & trendy
beverage
Caf bars have flocked like CCD, Barista, etc
Became famous and even 5 star hotels
started cashing on it.

Coffee VS Tea
1200000
1000000
800000

COFFEE

600000

TEA

400000
200000
0

2011

2012

2013

2014

2015

Coffee VS Tea
India is predominantly a tea drinking nation
Coffee consumption doubled between 1995 and
2000
Past ten years, per capita consumption of coffee
in India has increased 40%.
Growth of coffee beverage category in visibility,
interest and popularity
Expansion from the southern states to the
northeastern states

Coffee Production In India


The 6th largest producer of the coffee in the
world
Two commercially viable species of coffee
Arabica & Robusta
Major States of production Karnataka,
Kerala and Tamil Nadu
80% of India's coffee production is bound
for export purposes, with the main buyers

India Domestic Consumption

Per capita consumption of coffee is just 85 grams in


compare to other countries.

35% filter coffee

65% instant coffee

Approx. 75% of total consumption only in the southern India

Compet
ition
Analysi
s
Substit
ute

Existin
g
compet
itors

New
entran
t

Existing
competitor
Brands

Outlets

Substitutes
Habit - Tea

Regional Coffee
beans

SeasonalColdrinks

New Entrant

Market opportunities
Segmentation of geography can play an
important role in a traditional context.
Cheaper packets for rural areas
Tie up with corporates

Problems

Bru reduced its price to an extend which might


reduce its profit as well.
Coffee machines are missing from the market
Health conscious people avoid coffee

THANK
YOU

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