siddhant brittania

8/7/2019 siddhant brittania

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PROJECTPROJECT

ONON

PROJECT GUIDE: SUBMITTED BY:PROJECT GUIDE: SUBMITTED BY:


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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


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Questionnaire

ACKNOWLEDGEMENT

A work is never a work of an individual. We owe a sense of gratitude to the

intelligence and co-operation of those people who had been so easy to let us

understand what we needed from time to time for completion of this exclusive

project.

We want to express our gratitude towards Mrs. Susheela Chamoli, Marketing

Faculty, IIPM Delhi for giving us an opportunity to do this project.

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.


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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.


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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 cant 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.

There is a greater need to understand the retailer behavior. Considering them as

a team, working for the company may help them to be attached to the company.

There should be a feeling of belonging to the company in inner of the retailers.

This can be done by setting values club for retailers so that they may exchange

views with the company and help in understanding consumer behavior.


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CONSUMER BUYING BEHAVIOR

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?

(A) FACTORS INFLUENCING CONSUMER BUYING BEHAVIOR

There are four major factors that influence the buying behavior such as cultural

factors, social factors, personal factors, and psychological factors.

i. CULTURAL FACTORS: Culture is the most fundamental determinant of a

person wants and behavior. Values, perceptions, preferences, and

behavior are the main variable under culture of an individual. Each culture

contains sub-culture like nationality, religious group, geographical area,

and linguistic divisions etc.

ii.SOCIAL FACTORS: A consumer behavior is also influenced by socialfactors such as the consumer reference group family and social roles and

status.

iii. PERSONAL FACTORS: A buyer decision is also influenced by his or

personal characteristics, notably the buyers age, lifestyle, occupation,

economic circumstances etc.

PSYCHOLOGICAL FACTORS: a person buying choice is also influenced by

four major psychological factors such as motivation, perception, learning belief

and attitudes.


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(B) BUYING DECISION PROCESS

It includes buying roles, types of buying and steps in buying process.

I. BUYING ROLE

The buying role could be classified into four parts. These are initiator, influencer,

decider and buyer.

II. TYPES OF BUYING BEHAVIOR

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.

III. STAGES IN BUYING DECISION PROCESS

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 buyers 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.


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PURCHASE DECISION

A consumer who decides to execute purchase intention will be making up to five

purchase decisions.

POST PURCHASE BEHAVIOR

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 goodthing 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.

Understanding consumer needs and buying process is the foundation of any

company. By understanding how buyers go through problem recognition,

information search evaluation of alternatives, the purchase decision and post

purchase behavior marketers can pick up many clues as to how to meet buyers

need.


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LITERATURE REVIEW

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.

1. Selecting largest markets segmentation

2. Positioning

3. Product

4. Price

5. Place

6. Promotion

7. Research and development

8. Marketing research


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Market segmentation and selecting target market

It is an effort to increase a company's precision marketing. The starting point of

any segmentation discussion is mass marketing. In mass marketing, the seller

engaged in the mass production, mass distribution and mass promotion of one

product for all buyers. Market segment consists of a large identifiable group

within a market with similar wants, purchasing power geographical location,

buying attitudes or buying habita. It is an approach midway between mass

marketing and individual marketing. Through this the choice of distribution

channels, and communicaton channels become much easier. The researchers

try to form segments by looking at consumer characteristics; geographic,

demographic, and psychographic. After segmenting the market then target

market selected.

2. Positioning:- The positioning is a creative exercise donw with an existing

product. the well known products generally hold a distinctive position in

consumer's minds. The positioning requires that every tangible aspect of product,

price, place and promotion must support the chosen positioning strategy.

Company should develop a unique selling proposition (USP) for each brand and

stick to it, PPL consistently promotes its DAP fertilizer by Higher yield at lower

cost. As companies increase the number of claims for their brand, they risk

disbelief and a loss of clear positioning. In general a company must avoid four

major positioning errors. Those are under positioning over positioning, confused

positioning and doubtful positioning.

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.


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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.

6. Promotion:- Promotion is the one of the major aspects in marketing

strategies. By adopting various promotional activities the company create strong

brand image. It also helps in increasing the brand awareness. It includes

advertising, sales promotioins and public relations etc.

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.


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MARKETING MIX

Target Market

Product Price Promotion Place

Product variety List price Sales promotion Channels

Quality Discounts Advertising Coverage

Design Allowances Sales forces Assortments

Features Payment period Public relation Locations

Brand name Credit terms Direct marketing Inventory

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?


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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


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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!

Some interesting facts on the origin of other forms of biscuits:

The recipe for oval shaped cookies (that are also known as boudoir biscuits, sponge

biscuits, sponge fingers, Naples biscuits and Savoy biscuits) has changed little in 900

years and dates back to the house of Savoy in the 11th century France. Peter the Great

of Russia seems to have enjoyed an oval-shaped cookie called "lady fingers" when

visiting Louis XV of France.

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 ammoniumcarbonate 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.


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Britannia


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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


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quality.

PRODUCTS

Tiger Banana

Britannia is committed to help secure every child's right

to Growth & Development through good food everyday.

Purposefully taking forward the credo of 'Eat Healthy,

Think Better', we have launched a new variant under

our power brand TIGER - TIGER BANANA - power

packed with IRON ZOR& and with the delightful taste of

banana.

IRON ZORhelps make mind sharper and body stronger. A Rs.4 pack has as

much IRON ZORas 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 ZORand goodness of Banana is

accessible to all, being available in convenient packs priced at Rs.2, Rs.4 andRs.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.


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This range is available in 3 delicious variants namely

Litetime, Chocolate cream, and Orange cream,

targeted towards all health sensitive people. It is also

relevant for consumers with sugar related ailments.

We are sure that you will be pleasantly delighted with its

great taste and equally surprised to know that it has no

added sugar.

Don't be taken for a ride when you read "Sugar Free" label on many biscuit

packs marketed in India or abroad. Even with 100% no-added sugar, wheat-

cereals in biscuits have their own natural sugar content. Britannia has chosen to

represent these biscuits with "No Added Sugar" claim, as there is no added

sugar in the processing of NutriChoice SugarOut.

Britannia 50-50 Pepper Chakkar

The launch of the latest 50-50 variant left everybody guessing "What it eez?"

From TV ads, radio, outdoor and in-store display materials to events, a website

and SMS and email blasts, traditional and new media were blended

synergistically to create excitement and curiosity about the unique taste of the

biscuit. The tangy and distinctive pepper flavoured biscuit, that's thin and crispy

and more like a snack, caught the imagination of a younger audience craving

something to nibble on. The 50-50 Pepper Chakkar launch is truly a case of

leveraging the marketing mix to best advantage.

NutriChoice Digestive Biscuit

Nothing can be more difficult than making small efforts in our daily life towards

healthy and active living. 24/7 we are engrossed in our

busy schedules; skipping meals, missing walks, along


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with inadequate sleep and frequently eating-out, all take a heavy toll on our

health.

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!


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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 Kids 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 wont be far behind in reaching out for a pack


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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.

[Fig- 2.1: Gross Sales of Britannia]

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%


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[Fig 2.2: Earning per Share of Britannia]

1200

1250

1300

1350

1400

1450

1500

1550

Opening High of the Day Low of the Day Closing

28-o1

29-01

30-01

31-01

01-02

[Fig 2.3: Graph of Share Movement of Britannia Industry on the BSE]


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THE INDUSTRY

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.

Britannia, makers of Britannia biscuits, doubled capacity from 25 tonnes a day to

50 tonnes and plans to be a national brand soon. In an aggressive mode, the

North dominated biscuit player has increased its ad budget to Rs. 5 crore this

year from Rs. 3 crore last year. Britannia has also recently invested about Rs. 5

crore in the modernization and expansion of its production and packing its

production capacity of 40 tonnes per day to 100 tonnes per day by next year. The

aim: to take the current turnover of Rs. 50 crore to Rs. 100 crore by the year.

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.


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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.

It gives me great pleasure to introduce the Summer Training Report. It is based

on the survey conducted in East Delhi region on Biscuit industry. The applicability

of various branding strategies play crucial role in marketing in product. the

applicability has grown due to the liberalization, competition and technological

changes taking place in corporate world.

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 ideaabout 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, Bakemans, 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.


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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


26/38

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

Britannia is committed to help secure every child's right

to Growth & Development through good food everyday.

Purposefully taking forward the credo of 'Eat Healthy,

Think Better', we have launched a new variant under

our power brand TIGER - TIGER BANANA - powerpacked with IRON ZOR& and with the delightful taste of

banana.

IRON ZORhelps make mind sharper and body stronger. A Rs.4 pack has as

much IRON ZORas 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 ZORand 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.


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This range is available in 3 delicious variants namely

Litetime, Chocolate cream, and Orange cream,

targeted towards all health sensitive people. It is also

relevant for consumers with sugar related ailments.

We are sure that you will be pleasantly delighted with its

great taste and equally surprised to know that it has no

added sugar.

Don't be taken for a ride when you read "Sugar Free" label on many biscuit

packs marketed in India or abroad. Even with 100% no-added sugar, wheat-

cereals in biscuits have their own natural sugar content. Britannia has chosen to

represent these biscuits with "No Added Sugar" claim, as there is no added

sugar in the processing of NutriChoice SugarOut.

Britannia 50-50 Pepper Chakkar

The launch of the latest 50-50 variant left everybody guessing "What it eez?"

From TV ads, radio, outdoor and in-store display materials to events, a website

and SMS and email blasts, traditional and new media were blended

synergistically to create excitement and curiosity about the unique taste of the

biscuit. The tangy and distinctive pepper flavoured biscuit, that's thin and crispy

and more like a snack, caught the imagination of a younger audience craving

something to nibble on. The 50-50 Pepper Chakkar launch is truly a case of

leveraging the marketing mix to best advantage.

NutriChoice Digestive Biscuit


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Nothing can be more difficult than making small efforts in our daily life towards

healthy and active living. 24/7 we are engrossed in our busy schedules; skipping

meals, missing walks, along with inadequate sleep and frequently eating-out, all

take a heavy toll on our health.

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 thefruit filling.

So go on and treat yourself to the lip-smacking snack!


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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 Kids 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 wont be far behind in reaching out for a pack


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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.

[Fig- 2.1: Gross Sales of Britannia]

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%


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[Fig 2.2: Earning per Share of Britannia]

1200

1250

1300

1350

1400

1450

1500

1550

Opening High of the Day Low of the Day Closing

28-o1

29-01

30-01

31-01

01-02

[Fig 2.3: Graph of Share Movement of Britannia Industry on the BSE]

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.


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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.

There is a greater need to understand the retailer behavior considering them as a

team working for the company may help them to be attached to the company.

There should be feeling of belonging to the company in inner of the retailers.

Setting values club for retailers so that they may exchange views with the

company and help in understanding consumer behavio

BIBLIOGRAPHY

BOOKS

AUTHOR PHILIP KOTLER

TITLE MARKETING MANAGEMENT

PLACE OF PUBLICATION PRENTICE HALL OF INDIA LTD.

NEW DELHI

DATE OF PUBLICATION SEPTEMBER

NUMBER OF PAGES 31-50

MAGAZINE

AUTHOR MURTHY E.N.

TITLE ANALYST


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The Marketing Mix and 4 Ps

Understanding how to position your market offering

Products at the right price in the right place! iStockphoto/Nikada

What is marketing? The definition that many marketers learn

as they start out in the industry is:

Putting the right product in the right place, at the right price,

at the right time.

It's simple! You just need to create a product that a

particularly group of people want, put it on sale some place

that those same people visit regularly, and price it at a level

which matches the value they feel they get out of it; and do

all that at a time they want to buy. Then you've got it made!

There's a lot of truth in this idea. However, a lot of hard work

needs to go into finding out what customers want, and

identifying where they do their shopping. Then you need to

figure out how to produce the item at a price that represents

value to them, and get it all to come together at the critical

time.


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But if you get just one element wrong, it can spell disaster.

You could be left promoting a car with amazing fuel-

economy in a country where fuel is very cheap; or publishing

a textbook after the start of the new school year, or sellingan item at a price that's too high or too low to attract the

people you're targeting.

The marketing mix is a good place to start when you are

thinking through your plans for a product or service, and it

helps you avoid these kinds of mistake.

Understanding the Tool

The marketing mix and the 4 Ps of marketing are often used

as synonyms for each other. In fact, they are not necessarily

the same thing.

"Marketing mix" is a general phrase used to describe the

different kinds of choices organizations have to make in the

whole process of bringing a product or service to market.

The 4 Ps is one way probably the best-known way of

defining the marketing mix, and was first expressed in 1960

by E J McCarthy.

The 4Ps are:

Product (or Service)

Place

Price

Promotion

A good way to understand the 4 Ps is by the questions that

you need to ask to define you marketing mix. Here are some

questions that will help you understand and define each of

the four elements:Product/Service

What does the customer want from the

product/service? What needs does it satisfy?

What features does it have to meet these needs?


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Are there any features you've missed out?

Are you including costly features that the

customer won't actually use?

How and where will the customer use it?

What does it look like? How will customers

experience it?

What size(s), color(s), and so on, should it be?

What is it to be called?

How is it branded?

How is it differentiated versus your competitors?

What is the most it can cost to provide, and still be

sold sufficiently profitably? (See also Price, below).

Place

Where do buyers look for your product or service?

If they look in a store, what kind? A specialist

boutique or in a supermarket, or both? Or online? Or

direct, via a catalogue?

How can you access the right distribution channels? Do you need to use a sales force? Or attend trade

fairs? Or make online submissions? Or send samples to

catalogue companies?

What do you competitors do, and how can you learn

from that and/or differentiate?

Price

What is the value of the product or service to the

buyer?

Are there established price points for products or

services in this area?

Is the customer price sensitive? Will a small decrease

in price gain you extra market share? Or will a small


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increase be indiscernible, and so gain you extra profit

margin?

What discounts should be offered to trade customers,

or to other specific segments of your market? How will your price compare with your competitors?

Promotion

Where and when can you get across your marketing

messages to your target market?

Will you reach your audience by advertising in the

press, or on TV, or radio, or on billboards? By using

direct marketing mailshot? Through PR? On the

Internet?

When is the best time to promote? Is there

seasonality in the market? Are there any wider

environmental issues that suggest or dictate the

timing of your market launch, or the timing of

subsequent promotions?

How do your competitors do their promotions? And

how does that influence your choice of promotionalactivity?

The 4Ps model is just one of many marketing mix lists that

have been developed over the years. And, whilst the

questions we have listed above are key, they are just a

subset of the detailed probing that may be required to

optimize your marketing mix.

Amongst the other marketing mix models have been

developed over the years is Boom and Bitner's 7Ps,sometimes called the extended marketing mix, which

include the first 4 Ps, plus people, processes and physical

layout decisions.

Another marketing mix approach is Lauterborn's 4Cs, which

presents the elements of the marketing mix from the


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buyer's, rather than the seller's, perspective. It is made up of

Customer needs and wants (the equivalent of product), Cost

(price), Convenience (place) and Communication

(promotion). In this article, we focus on the 4Ps model as it isthe most well-recognized, and contains the core elements of

a good marketing mix.

Using the 4Ps Marketing Mix Model

The marketing mix model can be used to help you decide

how to take a new offer to market. It can also be used to test

your existing marketing strategy. Whether you are

considering a new or existing offer, follow the steps below

help you define and improve your marketing mix.

1. Start by identifying the product or service that

you want to analyze.

2. Now go through and answers the 4Ps questions

as defined in detail above.

3.Try asking "why" and "what if" questions too, to

challenge your offer. For example, ask whyyour

target audience needs a particular feature. What if you

drop your price by 5%? What if you offer more colors?Why sell through wholesalers rather than direct

channels? What if you improve PR rather than rely on

TV advertising?

Tip:

Check through your answers to make sure they are based on

sound knowledge and facts. If there are doubts about your

assumptions, identify any market research, or facts and

figures that you may need to gather.

4. Once you have a well-defined marketing mix, try

"testing" the overall offer from the customer's

perspective, by asking customer focused questions:


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1. Does it meet their needs? (product)

2. Will they find it where they shop? (place)

3. Will they consider it's priced favorably?

(price)

4. And will the marketing communications reach

them? (promotion)

5. Keep on asking questions and making changes

to your mix until you are satisfied that you have

optimized your marketing mix, given the information

and facts and figures you have available.

6. Review you marketing mix regularly, as some

elements will need to change as the product or

service, and its market, grow, mature and adapt in an

ever-changing competitive environment.

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