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Marketing Management of Britannia Biscuits Co LTD Marketing
Marketing Management of Britannia Biscuits Co LTD Marketing
PROJECT REPORT
ON
SUBMITTED BY,
EXTERNAL EXAMINER
PRINCIPAL
(DR. MRS ANITA MANNA)
GUIDE
(PROF.KIRAN GOMSE)
BMSCOORDINATOR
(PROF. SUJEET SINGH)
CHAPT
ER
PARTICULARS
PAGE.N
O
1.
INTRODUCTION
2-4
2.
5-8
3.
9 - 11
4.
12 15
5.
16 21
6.
7.
CONCLUSION
22- 33
34-35
QUESTIONNAIRE
36-38
DECLARATION
I, VIKAS FULCHANDRA MISHRA the student of K. M. AGRAWAL
COLLEGE, Kalyan studying in THIRD YEAR BACHELOR OF COMMERCE
3
Marketing
Place:
Date:
Signature of student
(VIKAS FULCHANDRA MISHRA)
ACKNOWLEDGEMENT
First, I would like to thank the K.M. AGRAWAL COLLEGE, KALYAN for
giving me the opportunity to make the project on subject Marketing
Management
I would like to thank Mrs. KIRAN GOMSE SIR for his valuable advice and support
in spite of his busy schedule, he was always there to give feedback and guidelines whenever
needed. Who have sincerely supported me with the valuable insights into the completion of
this project and without his active support and encouragement this project would not have
been possible
Thank you, Madam for mentoring and kind support for the accomplishment of the
project.
Hereby, I want to take the opportunity to thank all sources, people, guides who helped
me to get the required data.
I also express my gratitude to all those who have not been mentioned in this report
work but helped me in completing this report.
I am highly indebted to who provided me with the necessary information and also for
the support extended out to me in the completion of this project work and his valuable
suggestion and comments on bringing out this project report in the best way possible.
The production by organized players is estimated to be 1561, 000 tonnes, for the year 2005,
which means if we include the unorganized sector the total tonnage should be at least
2,600,000. The industry consists of 3 large-scale manufacturers, around 50 medium scale
brands and 2500 small-scale units in the country. The unorganized sector is estimated to have
approximately 30,000 small & tiny bakeries across the country.
The major brands are - Britannia, Parle, ITC, Priyagold, Cremica, Dukes, Anmol, Priya, etc
besides various regional and state brands. Biscuit industry, which was reserved in the smallscale industry sector, was unreserved in 1997-98, based on the recommendations of the Abid
Hussain Committee. (Biscuit Federation)
BRITANNIA
Britannia was incorporated in 1918 as Britannia Biscuits Co Ltd in Calcutta. Britannia strode
into the 21st Century as one of India's biggest brands and the pre-eminent food brand of the
country. It is equally recognised for its innovative approach to products and marketing.
Biscuits are the main revenue earners for BIL (about 85% of the total sales). Over the years,
BIL has been continuously expanding its product portfolio to achieve its vision of converting
every third Indian into its consumer. BIL's biscuit volume growth has outpaced the segment
driven by the various initiatives taken by the management. Tiger biscuits launch in July 1997
led Britannia's foray into the glucose category. Tiger now contributes about 40% to the
biscuits turnover and has been Britannia's biggest success. BIL has decided to focus on seven
core brands in the biscuits category. The brands include Good Day, Tiger, 50-50, Snax, and
the Cream Treat brands, among others. (Britannia)
According to Kotler, "Marketing is the social process by which individuals and groups obtain
what they need and want through creating & exchanging products and value with others."
These are the two definitions that talk about the marketing concepts and the customer
forefront. And, thus, helps in decisions making in order to maintain the maximum satisfaction
of the customers. (What is marketing?)
Introduction
Growth
Maturity
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Decline
Introduction Stage - This is a stage where the product is introduced. Here in this
the market size and growth is not much. Here in this stage, there comes a need for
substantial research and development costs to be calculated. Also, the product needs
to be promoted and a proper distribution channel needs to be designed.
Growth Stage - This is a stage where there happens rapid growth in terms of sales
and profits. Profits come up because of the increased output, which is known as
economies of scale and thereby some better prices.
Maturity Stage- This exists as the most common stage in all the markets. Here the
competition exists at the peak and all the companies in one industry fight in order to
maintain their share. The marketing and finance are the main key activities in this
stage. This is the stage where the maximum profits are earned by the market in total.
Decline Stage - Here, the market shrinks and keeps on shrinking, thereby reducing
the overall profit amount which is thus shared amongst the competitors. Thus, there
needs to be proper care taken of the product.
PRODUCT STRATEGIES
Guarantee
After Sales
Branding
Features
Core
Function
Level 1: Core Product: What is the core benefit your product offers?. Customers
who purchase a camera are buying more then just a camera they are purchasing
memories.
Level 2 Actual Product: All cameras capture memories. The aim is to ensure that your
potential customers purchase your one. The strategy at this level involves organisations
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Pricing: Using information collected in the above steps, select a pricing method,
develop the pricing structure, and define discounts. 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.
Place: Place simply refers to how one sells his products to the customers. Depending
on what it is that he is selling will directly influence how he distributes it, and it
affects mainly those businesses that are in production. There are six basic channel
decisions:-
Types of intermediary
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.
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Promotion: -The fourth part of the marketing mix refers to process of informing the
customers of company's products.
To make the customers aware that the products exist, there are a number of methods a
company may choose to use, they include:
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.
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 have its life cycle. The
product strategies are modified in different stages of product life cycle.
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 behaviour. The second part out lines the planned price, distribution
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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.
Strengths: The various attributes of any individual / company which can be helpful
in achieving the various objectives.
Weaknesses: The various attributes of any individual / company which might harm
in achieving the objectives.
Opportunities: The various external conditions which are helpful in the achievement
of the objectives.
Fulfil one of our Basic Requirement among Air , Water , Food, Shelter
Provide good Instant Remedy for hunger in the form of readymade food
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Preserves the non seasonal food and makes it available all throughout the year
Weakness
Decreases nutritional value
Opportunities
Increase economy of India
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Threats
Many companies are result oriented
Increase in pollution
Lack of technology
16
17
DATA COLLECTION
Analysis:
According to survey, most of the shopkeepers kept the product of Britannia and Parle more
than other products. According to above data we can analyse that 48% of stock is filled by the
Britannia products and 22% of stock is filled up by the Parle products and remaining 30% of
stock is kept sun feast, Priya gold and other local biscuits.
Analysis:
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According to survey out of 100 respondents, 46 supports for Britannia, 27 respondents go for
Parle and 20 told sun feast is mostly sold. It means that Britannia and Parle were more
demanded by the customer as compare to sun feast and other local products.
Analysis:
According to above pie chart shows that, it can be evaluated that most of the people i.e. 57%
of the people go for Britannia due to its flavour than 30% prefer Britannia due to its price and
rest of 15% due to its popularity and fame.
Analysis:
According to survey, consumption of Britannia products is more in the rainy and winter
season, as the consumption in summer seasons gets low.
Analysis:
According to survey, 49 respondents say that price of the product is reasonable and around 25
to 24 people says it price of Britannia product is high and low.
Analysis:
According to survey, most of the respondent say Parle product schemes is more profitable as
percentage of providing schemes by Parle is more as compared to other brands product like
Britannia, sun feast and Priya gold.
Analysis:
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The survey founded that shopkeepers are satisfied with the service provided by the Britannia.
Overall, the only thing is to say is that it is OK. Some of the places of shopkeeper responded
that the distributor doesn't give regular supply of product and also they were not responding
timely.
How do you rank the Britannia with the competitor in case of schemes?
Analysis:
On the basis of above data most of the shopkeepers view not supporting to the Britannia
product in relation to schemes because of improper supply of the products. These are the only
reason which makes shopkeeper rank Britannia products lower than the competitors.
Analysis:
On the basis of above data most of the peoples say that percentage of providing schemes is
very less as compared to other products brands. For e.g. If Britannia provide marigold
scheme, such as 50+2. The same Parle will provide 50+3. These are the difference. Very less
people say it is profitable only if they can buy in bulk.
Have you seen any promotion activity of the product through electronic media or print
media?
Analysis:
According to above survey, more than half of the customers said that they have
Not saw any promotion activity of the Britannia product through print media.
Suggestions.
To improve their service of the products.
Take corrective measures to overcome the problems of late or delay supply of products.
They should give the proper feedback to the shopkeepers on the time.
They should carryout promotional activities properly or effectively.
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Offers and freebies like extra biscuits in the pack are given to customers. Offered Mercedes
cars as the first prize for a contest titled PriyaGoldKhaaoAurKhelo.
Indulges in activities like sending vans carrying Priyagold biscuits to villages.
Promotes products by way of wall paintings, stalls in exhibitions and by financing prizes in
melas or during ramlila.
The company ensures distributors operate in clearly demarcated territories so they are able to
cover all retail outlets in their areas more efficiently. This allowed a faster inventory turnover.
They identified newer segments and flavours where there was virtually no competition, and
launched variants like Kesar Bite, Cheese Crackers and Cashew Chat Masala.
In order to emphasize the value-for-money proposition, it focused on economy packs.
Instead of reinventing some of the issues, theyve focused on value adding, such as putting
more sugar or making biscuits softer and crunchier.(Priya Gold)
CUSTOMER SEGMENTATION
SEGMENTATION BASES:
1) BENEFITS OF BRITANNIA BISCUITS:
Tiger
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Good day
50-50
Treat
23
Milk Bikis
Nutri choice
Little Hearts
Nice time
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Marie
Bourbon
Sweet biscuits: Target consumers include children, young and occasional eaters. The products
under this category include Good day, Tiger, Nice time, Tiger and Milk Bikis.
Less sweet: This category involves mainly the young people as well as the health conscious
people. The products in this category include Little Hearts and Nutri Choice.
Salted Biscuits: In this category the target consumers are those who generally use biscuits
with their morning and evening tea. It includes fitness-conscious people who prefer taking
salty biscuits to sweet ones. Also people suffering from diabetes and other health problems
would prefer taking salty biscuits. Britannia's 50-50 comes under this category.
1) ECONOMIC BENEFITS:
Britannia also aims at low price segment of customers through biscuits like Tiger, 50-50.
2) DEMOGRAPHIC
This is based on:AGE: The biscuits are targeted to the consumers on the basis of different age-groups. This
includes:
13-19 years- This segment prefers to take sweet biscuits preferably cream biscuits.
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27
Britannia has been one of the market share holder for many years in India. It has also
concluded some foreign deals, such as working with Peek, Frean and Company which is a
successful UK biscuit company, and also completed takeovers such as that of Parrys in 1975
which enabled the company to distribute its goods to more people. The company was built up
and was known for many years as the Biscuit King. Britannia currently has an estimated
38% of the market share.
The company has also invested in its dairy products, and in 2001 announced a joint venture
with the New Zealand Dairy, allowing it to produce cheese and butter amongst other things.
The company distributes its goods up and down the length and breadth of India. In 2007 BIL
agreed to a joint venture with the KhimjiRamdas Group, and acquired a 70% beneficial stake
in the Strategic Foods International Company based in Dubai. The company has been voted
one of Indias 100 most trusted companies, as listed in the Brands Trust Report.
For distribution, Britannia follows the FMCG channel of distribution wherein it appoints
distributors at select locations. These distributors are then responsible for handling dealers
and retail showrooms. Modern trade channels like Big bazaar and D mart as well as others
are handled directly by the company. The distribution channel follows breaking the bulk
where in large amounts are transferred from factory to C&F, from C&F to distributor and
then forward to retailers and dealers. The distribution in urban areas is fantastic with
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Britannia being present almost everywhere. However, the rural penetration of the company is
still less because of the challenges of distribution in rural area.
The strongest asset for the promotion of Britannia products is the product itself. The products
are tasty and people like it. Thus, a pull is created directly by the product. However, today, no
company can exist without promotions and advertising. Same is in the case of Britannia as
well. However, the advertising spends for Britannia are controlled because of the brand
equity of Britannia products and the presence of the brand for almost a century in the Indian
market.
The company uses most of the usual methods of advertising, including billboards, magazines,
tv ads and point of purchase advertising. In November 2012, BIL hired Salman Khan to
endorse its Tiger range of products. The popular Bollywood actor promotes the core values of
the Tiger brand range because of his own dashing style and personality. Britannia has high
advertising spends for products like Good day and Bourbon which are almost stars for the
Britannia brand. However, the investment for marketing of Dairy products is minimal
because a lot of expenses have to be done for the distribution of the products. Britannia has
enough brand and clout in the market, because of its constant presence in the last few
decades, that its product receive a natural pull from the market.
Competitive pricing is the sole pricing strategy which Britannia uses. Parle is one of the
major competitors of Britannia and in that, Parle G has remained unbeatable for decades. In
dairy, Amul is a strong competitor for Milk, Cheese and other dairy based products. In bakery
products, you will find local competition as well as Monginis and other veg cake makers who
have their own line of products. To stay above all of them, Britannia adopts a competitive
pricing strategy. Thus, Britannia products are much better in quality and are good in price as
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well. The pricing strategy along with distribution has been so strong, that people buy these
products even on Railway stations and while traveling , instead of buying local snacks.
PRODUCT
Tiger
Good Day
50-50
Marie gold
Treat
Milk Bikis
Nutri Choice
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 pistabadam, good day chocochips, 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 flavor.
MARIE GOLD
Marie gold is one of the Britannia's oldest brand 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
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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 jimjam 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.
NUTRI CHOICE
Britannia introduced Nutri Choice range of healthy biscuits in 1998. It is delightfully tasty
biscuits. The brand is targeted towards overall health and wellness for adults.
The range has 4 variants, namely NutriChoice Thin Arrowroot, NutriChoice Cream Cracker
and NutriChoice Digestive.
NutriChoiceSugarOut
NutriChoiceSugarOut is the most novel product range to have been introduced in the market.
It contains no added sugar. 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.
The new and improved NutriChoice Digestive Biscuitis made with 50% whole-wheat and
packed with added fibre (10% of our daily dietary needs).These delightfully tasty biscuits are
amongst healthiest bites of the day.
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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 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 50-50 Pepper Chakkar launch is truly a case of
leveraging the marketing mix to best advantage.
PRICE
The organised biscuit industry is dominated by Britannia and Parle which account for 70 per
cent of the industry's volumes. Success comes to those brands which offer the right price at a
value-for-money equation While Parle derives a large portion of its revenues from low-priced
biscuits; Britannia derives a fairly large share of their revenues from the medium- and
premium varieties. In fact, Britannia's market share in the medium and premium varieties is
significantly higher. For instance, cream biscuits from Britannia cost Rs 10 for 100 grams.
Parle, however, only charges Rs 5 for its cream variants. Britannia looks at a two-pronged
strategy. It goes for high margins in cream variants and volumes from the Marie and Glucose
segments because companies have little choice in terms of their pricing all the Glucose and
Marie variants that straddle between the range of Rs 4-6 (for 100 grams).
The rural penetration of the branded biscuits segment is also significant. Towns with
populations of less than a lakh contribute significantly to the industry's turnover, with some
estimates placing it at 40 per cent. However, rural markets largely consume lower-priced
varieties, and it is here that branded biscuits meet with stiff competition from the unorganised
sector. According to official statistics, the contribution of the unorganised sector, which sells
biscuits loose, could be as high as 50 per cent. While the presence of a large unorganised
segment could mean that a sizeable population can be converted into branded biscuits
consumers and, therefore, represent huge market potential for companies in the organised
sector and companies are tapping this by introducing pile packs, priced between Rs 3 and Rs
5, that prove to be a step-up between sachets (or tikki-packs as the company prefers to call
them). They currently include brands like Marie; Jam Treat, Bourbon and 50-50. Britannia
has been working hard at keeping costs down, therefore, most of these tikki packs do not ship
with the biscuit trays present in larger pack sizes. Tiger from Britannia is a very good
example of a brand providing value at the lower end of the market. Biscuits almost form a
part of the food consumption culture and Tiger provided an offering which effectively
competed with other offerings from the unorganised sector at an affordable price.
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The percentage of society that consumes some better value lines of brand Britannia is small.
Company caters to smaller multi-brand outlets with pile packs, Chutkule and Chota Tiger.
The company is ensuring that Tiger's own cream offerings don't cannibalise pile packs by
having no flavours in common. Company has very sensibly increased the prices by not going
for higher price levels but by decreasing the pack sizes. The 100 gm pack (sold at Rs 4) has
been reduced to 90 gm; the 75 gm pack (Rs 3) reduced to 67 gm and the 50 gm pack (Rs 2) to
45 gm. In spite of market forces affecting the pricing strategies, Britannia is trying to absorb
the cost pressures by implementing cost saving measures such as more efficient logistics and
factory systems.
It is a matter of concern that regional players such as Priyagold offer products at retail prices
that are almost half that of Britannia.
To cater to different market segments, Britannia has categorised its biscuits into 3 groups:-
LOWER SEGMENT
To target the price sensitive customers, the company has introduced biscuits that provide
them value for money and have nutritional value.
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.
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.
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Therefore, doing this has enabled Britannia to widen its customer base.
PLACE
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.
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. 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
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.
While the premium end of the market has seen a flood of new entrants, including several
multinational brands, Britannia, with its established distribution network, appears to be in a
better position to capitalise on the growth in the mass market. Apart from stockists and substockists, Britannia has used traditional haats and melas to promote the Tiger brand. It has
made the ongoing KumbhMela a major promotion and sales outlet to capture the rural
market. Whenever there is a major mela or haat, Britannia ensures that its brand is stocked in
large quantities.
PROMOTION
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. "SwasthKhao Tan Man Jagao" promises the new generation a healthy and
nutritious alternative-that is also delightful and tasty.
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Britannia is widely recognised as an innovative marketer. The brand's association with cricket
world cup schemes and the recent 'Kaun Banega Crorepati' and 'Lagaan' tie-ups stand
testimony to this. "Eat Britannia, Go for World Cup" 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. "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.
World Cup Promos:- Britannia India's Britannia khao, World Cup jao promotion emerged as
the most recalled sales promotion among all World Cup-related cricket sales promotion
activity, according to topline findings of market research agency NFO MBL.
The NFO study captured consumer response to all World Cup-related sales promotion
activity from 28,000 respondents, across 30 Indian towns and cities, from the period between
January and March 2003.
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).
Awareness of the promotions apart, 7.6 per cent of the respondents surveyed eventually
availed of any World Cup related sales promotion. In this category too, Britannia came out
tops, accounting for 77 per cent of all the promotions availed. Other significant promotions
most availed by the respondents were from Colgate, LG Electronics, Frito Lay, PepsiCo,
Lehar Kurkure and Samsung. Geographically, people of Chennai were the most inclined to
avail World Cup related promotions, scoring over the other metros. According to the NFO
findings, 11.8 per cent people from Chennai availed of the promotions.
Also, the proportion of women availing the promotions was marginally higher than men, at
8.9 per cent. The questions put to the respondents included ability to describe the promotion
and whether the promotion was availed of or not.
In fact, such schemes accounted for 62.2 per cent of the promotion descriptions recalled by
all the respondents.
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.
Britannia Lagaan Tie-up:- Under this scheme people who purchased a 95 to 100 gm. pack of
Tiger biscuits got a special 'Britannia Lagaan Booklet'. 10,000 early birds were supposed to
win a prize with the possibility of being selected in the team that would play against the
'Lagaan XI' team. Mr Sunil Alagh, MD and CEO of Britannia Industries at that time reported
that Britannia pumped in around Rs.2.5 crores to ensure the success of this promotional offer
that resulted in a growth of 20% for Tiger biscuits. The company's Britannia Lagaan Match
for the promotion of its Tiger brand met with a great success.
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So far, Britannia has been using SauravGanguly, Sachin Tendulkar and Rahul Dravid as its
brand ambassadors.
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.
It is observed that teens and young people (less than 26 years) prefer to have cream biscuits
over other biscuits and people of age group 27-36 prefer glucose as well as butter biscuits and
people from all other age group prefer to have glucose biscuits.
AWARNESS:
It is observed that there are high levels of awareness among the consumers of all age groups
regarding Britannia biscuits.
.
ATTRIBUTES:
It is observed that when people go to buy Britannia biscuits, it is because of the Brand Image
that Britannia has in the market, that attracts them the most. And then it is the quality that is
acting as a driving force for them.
PROMOTIONAL STRATEGIES:
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It is observed that combo offers excite people from all age groups to buy Britannia biscuits.
In addition to combo offer teens like to buy biscuit when free gifts are offered to them.
CAPTION:
It is evident from the survey that people from all age group like the caption "eat healthy, think
better.
PURCHASE:
It is clear from the chart that people from all age group buy their pack of Britannia biscuits
from the nearest grocery shop. Due to an increase in the 'mall culture', the next largest place
of purchase is the mall or hypermarket.
MODE OF ADVERTISEMENT:
It is evident from the above table that people from all age group feel T.V. is the most effective
medium of advertisement for Britannia.
HIGHEST DEMAND:
It is observed that 70% of the vendors feel that Britannia is most demanded brand over other
brands available and rest 30% feel that Parle is demanded most after that.
HIGHEST SELLING:
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It is evident from the above chart that 50% of the vendors feel that Cream Treat is the highest
selling biscuits under and 20% good day, 20% tiger and rest 10% feel 50-50 contributes to
their sale.
PROMOTIONAL STRATEGIES:
It is observed that the free gifts that affect the sales the most. 70% is contributed by Free
Gifts and rest 30% by Combo offers.
AFFORDABLE:
60% of the Venders feel that Priya Gold stands to be the most affordable brand and rest 40%
feel that Parle is most affordable.
MALL CULTURE:
90% of the Vendors feel that mall culture has not affected the sales of their grocery stores.
AWARENESS:
The survey shows that 70% of the people are aware of the advertisement of Britannia
specially those featuring celebrities according to the vendors.
COMPETITOR ANALYSIS
It is observed that mean rank of Britannia is highest amongst all. Therefore, Britannia is the
no#1 brand in terms of taste, brand, availability, packaging, and advertisement and Parle is
the second most preferred brand. Britannia is also preferred in terms of price after Parle over
other brands. Following are the details of the response obtained in the survey for the
preferences of the brands on the basis of various parameters:
It is evident from the above table that Britannia is the most preferred brand in terms of taste,
brand, availability, packaging and advertisement.
It is the second preferred brand in terms of price after ParleG.
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Table of Contents
Introduction 3Background 3Methodology
4FindingsInternal Environment 5External Environment 7Conclusion
9Limitation and future research 10RecommendationsInternal Environment 10E
xternal Environment 11References 133
Introduction
Britannia was a bakery manufacture in India. In 2009, the company had started
tosupply specially fortified biscuits to small groups of school-going children.
Themovement offered the company an awareness of the widespread national
problem of malnutrition and ambition to extend the brand.However, Vinita Bali,
chief executive officer, faced two challenges- how to scale upthe manufacture
and distribution of social products, and how to develop the social product into a
sustainable business. In order to overcome the difficulties, Bali madeseveral
important policies. The report analyses those main plans in finance,
marketing,competition and external environment factors.
Background
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Online journals
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and the cost on transportation will reduce obviously. As a result, all the cost
decrease,the profit will increase.Having addressed the financial issues, next
internal recommendation is about thesolution for the marketing issues. The core
of the marketing strategy is the skills on brand management. As known from the
research, the flavour of this kind of fortified biscuits is limited even though it is
really healthy and nutritious. As a consequence,the department of food
producing should explore and experiment new flavour for meeting the demand
of consumers. Except the repeat customers, it is still a large potential market in
the group of who has no recognition of the importance of fortified biscuits.
Therefore, this company should educate the public to know the malnutritionand
to trust the fact that this product is the solution of malnutrition. This educating
isa hard work for only a company due to the large scale and the long term.
However, itwould be a social campaign if both the government and the
company participate inthis educating. Then, there would be a number of
consumers to purchase these biscuits in a national-wide level.
External environment
As has been indicated in the finds, there are four main problems faced with
theBritannia Industry. It seems to be essential for the company to solve the
problems inorder to scale up the business and build the sustainable
development. Therecommendation, therefore, is to solve the external and
internal problems face withBritannia Industry.
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Initially, the company is likely to benefit greatly from the good relationship with
thestakeholders according to the theory of the stakeholder. The existing
cooperation withthe government like Integrated Child Development Service and
Midday Meal Schemeare aimed to provide nutritious food for young children
and lactating mothers. Thecompany can also strengthen the relationship with
community-oriented organizations.Furthermore, outsourcing may enlarge their
producing capacity immediately as wellas decrease the operational cost. These
two methods might be efficient to enable theimplementation to meet the need of
the national level.Then, it is vital for Britannia to gain competitive advantages.
There are three ways towin over the competitors. Firstly, improving quality of
the products is an effectiveway appeal to more consumers. For example, the
company can improve the taste of the biscuits or add more minerals into the
healthy food. Secondly, keep a balance of the low-price and high-price products.
It is shown in the figure 4 that the gross marginof high-price products is 20
times larger than that of the low-price, therefore, thecompany may gain more
profits by exploring high-price products. Meanwhile,appropriate amount of the
low-price products and satisfy the low-income consumers,which might also
make Britannia more competitive. Another way to beat thecompetitors is to gain
more support from the government by conducting projects. Itmay enhance the
reputation as well.
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CONCLUSIONS
Interpretation of the buying behaviour of customers has showed that people prefer Britannia
primarily because of the good brand image and then quality.
There is no interdependency between the buying behaviour of the customers and their age
groups.
There exists a high level of awareness among the people towards the brand Britannia. The
brand acts a synonym of biscuits for them.
The highest selling brand for vendors stands to be Britannia.
Britannia charges a premium for its biscuits because of its brand image, quality and taste.
Britannia is the largest player in the branded and organized biscuit industry with a value and
volume market share of 38% and 32% respectively.
Parle is acting as the biggest competitor for Britannia because of having a similar brand
equity and lower prices of its products..
TV advertisements influence the buying patterns of the customers.
Combo Offers act as the most efficient tool for making people prefer one brand over others.
In order to test our hypothesis wherein we had to study the dependency between age groups
and buying behaviour we undertook 3 factors namely, promotional strategies, consumption
time and preference for different varieties. We applied chi square test and found out that there
lies no dependency between various age groups and their buying patterns.
Our second hypothesis was finding the preference for Britannia over other brands by taking
into account parameters like quality, price, brand image, availability, etc. Therefore, we
calculated mean rank for Britannia and its major competitors which showed that Britannia got
the highest mean rank and is therefore preferred over other brands of its kinds.
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ANNEXURE
Questionnaire:What are all the biscuits that you stock in your shop?
Parle
Britannia
Sun feast
Priya gold
Other local biscuits.
Parle
Sun feast
Britannia
Other local
Price
Taste / Flavour
Popularity / Fame
Winter
Summer
Rainy
Low
Reasonable
High
No idea
Britannia
Parle
Sun feast
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Priya gold.
Satisfactory
Poor/ Bad
No comment
Lower
Good/Ok
Excellent
No comment
Have you seen any promotion activity of the products through electronic media or print
media?
Yes
No
Personal Information:
Name:
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Area/Place:
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