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A PROJECT REPORT ON

An overview of ITC product in OMFED outlets and various


steps to increase the sales
CONTENTS
Chapter 1
 Acknowledgement

 Executive Summary of the project

 Preface

 Background

 Introduction FMCG product characteristics

 Project description

 Objective of the project

Chapter-2
 Company profile

 History, evaluation and overview

 ITC Mision,Vision and core value

 Business portfolio

 Marketing & Price Strategy

 ITC working structure

 Working of a branch

 GR1,2,3 &4

 Distribution Channel

Chapter-3
 Top 10 FMCG Company

 Competitors Analysis

 Project Objectives

 Methodology

 Brand wise Categorization


 Market & Competition

 Ready to Eat

 Confectionary

 Staples

 Biscuits

 Snacks

 Data Analysis

 Data Sheet

Chapter-5
 Finding Evaluation

 SWOT Analysis

 BCG Matrix

Chapter-6
 Suggestion &Recommendation

 Learning from the project

 Limitation and bibliography


DECLARATION

I SATYABRATA GHOSH,hereby declare that the project on COMPETITION PAID PRACTICE


WITH REFERENCE TO THE HOW TO IMPROVE BETTER SERVICE OMFED OUTLET AND ITC
FMCG PRODUCT ITC LTD.is written by me under the guidance of Prof L N DASH. The
empirical conclusion &findings in the project are based on the data collected by me and
my friends entire project work is not a reproduction of any other sources . Like how to
better service in the omfed outlet of total whole bbsr imrove selling of ITC FMCG
product.

• Signature

• Name-SATYABRATA GHOSH
INTRODUCTION
• ITC India Limited

• Type Public(BSE:ITC)

• Founded August 24,1910

• Radha bazar lne,Kolkata,India

• Headquaters Virginia House ,Kolkata,India

• Key People Y C Deveshwar, ChairmanK Vaidyanath, Director, CFO: Partho Chatterjee

• Industry Tobacco, Foods, Hotels

• Products Consumer goods, Cigarettes, Packaged Food,Agri business,

• Hotels, Apparel

• Revenu 60,493crores INR $9.0 billion USD (2017)

• Employees 25,564 (2012)

• Website http://www.itcportal.com/


Acknowledgement
• Before starting a reach out to the innards of the project work, as a partof my
Appreciativeness-interlaid, I would like to highlight the names of certain people, who
not only lent a helping hand in attaining a pluralityof practical exposure, but bailed
me out of hardship as and when Iencountered it.I would like to thank

• Mr. Sashi kuma area manager (BBSR)ITC Limited, for explaining me each and every
aspect of Marketing Research in a lucid and practical way and for giving me the
opportunity to work on this project. I am also thankful to Mr. Subrt Choudhury area
executive (BBSR) ITC and making me aware regarding the field and helping me to
complete this summer training project. I fell highly delighted in mentioning the name
of my friends and last but
not the least thanking to my parents for providing me the entire emotional and
moral backup without support and encouragement of them this project would have
not been completed. I hope that the project would be a great event to boost the
hierarchy of my academic career.
PREFACE
• Research is the feedback, which any organization sought for the purpose of effective
policy making. It is the systematic problem Analysis, model building and fact finding
for the purpose of important decision -making and control in the marketing of all
goods and services . Every research is aimed to achieve certain solution to research
problems. If there is no problem then, the meaning of the research becomes vague.
The research problem that I was supposed to deal with was,
brand wise comparison of FMCG products and their loyalty schemes given by the
companies in Bhubaneswar market. The study was done on the basis of parameter
like price paid for annual the display, service, and promotional schemes etc. The
different comparative companies
of FMCG products were Hindustan unlevel, P&G, Marico, Dabur .The sample unit
was the retailer of BBSR .With a well define research problem, a study was started
two ascertain the variations and conditions of the existing sales of personal care
products .The overall objective of the study was to analyze the annual display outlets
of the company and judge is it a wrong or a write outlet for display.

• To start a business the success depends upon the research done about the particular
& consumer attitude the product. Marketing research plays a vital role in a business
to make it successful. Itried to put my best effort to complete the task on the basis of
skills. I am having this study doneabout the flour sales & distribution in the city of
different companies. In order to know about theopportunities in the mareket.Inthe
study, an attempt is made to cover every expect of theseobjectives to find out
solutions for the company.
Company Profile
ITC is one of India's foremost private sector companies with a
market c a p i t a l i s a t i o n o f o v e r U S $ 2 2 b i l l i o n a n d a
t u r n o v e r o f o v e r U S $ 5 billion.* ITC is rated among the World's
Best Big Companies, Asia's 'Fab5 0 ' a n d t h e W o r l d ' s M o s t
R e p u t a b l e C o m p a n i e s b y F o r b e s m a g a z i n e , among India's Most
Respected Companies by Business World and among India’s Most
Valuable Companies by Business Today. ITC ranks amongIndia's
`10 Most Valuable (Company) Brands', in a study conducted by
Brand Finance and published by the Economic Times. ITC
also ranks among Asia’s 50 best performing companies
complied by Business week.

ITC has a diversified presence in Cigarettes, Hotels, Paperb


oards & S p e c i a l t y P a p e r s , P a c k a g i n g , A g r i -
B u s i n e s s , P a c k a g e d F o o d s & Confectionery, Information
Technology, Branded Apparel, Personal Care , Stationery, Safety
Matches and other FMCG products. While ITC is an
outstanding market leader in its traditional businesses of C
i g a r e t t e s , Hotels, Paperboards, Packaging and Agri-Exports, it is
rapidly
gainingm a r k e t s h a r e e v e n i n i t s n a s c e n t b u s i n e s s e s o f
P a c k a g e d F o o d s & Confectionery, Branded Apparel, Personal Care
and Stationery.

As one of India's most valuable and respected corporations, ITC is


widelyperceived to be dedicatedly nation -oriented. Chairman Y C
Deveshwarcalls this source of inspiration "a commitment beyond
the market". Inhis own words: "ITC believes that its aspiration to create
enduring valuefor the nation provides the motive force to sus tain
growing shareholder value. I T C p r a c t i c e s t h i s p h i l o s o p h y
b y n o t o n l y d r i v i n g e a c h o f i t s businesses towards
international competitiveness but by also consciously contributing to
enhancing the competitiveness of the larger value chain of which
it is a part ITC's diversified status originates from its corporate
Strategy aimed at creating multiple divers of growth
anchored on it’s time tested core competencies: unmatched
distribution reach, superior brand -building capabilities,
effective supply chain management and acknowledged
service skills in hoteliering. Over time, the strategic forays
into new businesses are expected to garner a significant
share of these emerging high -growth markets in India.

ITC's Agri-Business is one of India's largest exporters of agricultural products. ITC is


one of the country's biggest foreign exchange earners(US $ 3.2 billion in the last
decade). The Company's 'e-Choupal 'initiative is enabling Indian agriculture
significantly enhance its competitiveness by empowering Indian farmers through the
power of the Internet. This transformational strategy, which has already become the
subject matter of a case study at Harvard Business School, is expected to
progressively create for ITC a huge rural distribution infrastructure, significantly
enhancing the Company's marketing reach.

ITC's wholly owned Information Technology subsidiary, ITC InfoTech India Ltd,
provides IT services and solutions to leading global customers.ITC InfoTech has
carved a niche for itself by addressing customer challenges through innovative IT
solutions.

ITC's production facilities and hotels have won numerous national and international
awards for quality, productivity, safety and environment management systems. ITC
was the first company in India to voluntarily seek a corporate governance rating.

ITC's production facilities and hotels have won numerous national and international
awards for quality, productivity, safety and environment management systems. ITC
was the first company in India to voluntarilyseek a corporate governance rating.

History Evolution and Overview


ITC was incorporated on August 24, 1910 under the name ImperialTobacco
Company of India Limited. As the Company's ownership progressively Indianite,
the name of the Company was changed from Imperial Tobacco Company of
India Limited to India Tobacco Company Limited in 1970 and then to I.T.C.
Limited in 1974 . In recognition of the Company's multi-business portfolio
encompassing a wide range of businesses - Cigarettes & Tobacco, Hotels,
Information Technology, Packaging, Paperboards & Specialty Papers, Agri-
business, Foods, Lifestyle Retailing, Education & Stationery and Personal Care-
he full stops in the Company's name were removed effective September18,
2001. The Company now stands rechristened 'ITC Limited'.

The Company’s beginnings were humble. A leased office on Radha BazarLane ,


Kolkata, was the centre of the Company's existence. The Company celebrated
its 16th birthday on August 24, 1926, by purchasing the plot of land situated at
37, Chowringhee , (now renamed J.L. Nehru Road)Kolkata, for the sum of Rs
310,000. This decision of the Company was historic in more ways than one. It
was to mark the beginning of a long and eventful journey into India's future.
The Company's headquarter building, 'Virginia House', which came up on that
plot of land two years later, would go on to become one of Kolkata's most
venerated landmarks.

Though the first six decades of the Company's existence were primarily
devoted to the growth and consolidation of the Cigarettes and Leaf Tobacco
businesses, the Seventies witnessed the beginnings of corporate transformation
that would usher in momentous changes in the life of the Company.

ITC's Packaging & Printing Business was set up in 1925 as strategic backward
integration for ITC's Cigarettes business. It is today India’s most sophisticated
packaging house.

In 1975 the Company launched its Hotels business with the acquisition of a
hotel in Chennai which was rechristened 'ITC-Welcome group Hotel Chola'. The
objective of ITC's entry into the hotels business was rooted in the concept of
creating value for the nation. ITC chose the hotels business for its potential to
earn high levels of foreign exchange, create tourism infrastructure and
generate large scale direct and indirect employment. Since then ITC's Hotels
business has grown to occupy apposition of leadership, with over 100 owned
and managed properties spread across India.

In 1979, ITC entered the Paperboards business by promoting ITC Bhadrachalam


Paperboards Limited, which today has become the market leader in India.
Bhadrachalam Paperboards amalgamated with the Company effective March
13, 2002 and became a Division of the Company, Bhadrachalam Paperboards
Division. In November 2002, this division merged with the Company's Tribeni
Tissues Division to form the Paperboards & Specialty Papers Division. ITC's
paperboards' technology ,productivity, quality and manufacturing processes
are comparable to thebest in the world. It has also made an immense
contribution to the development of Sarapaka, an economically backward area
in the state of Andhra Pradesh. It is directly involved in education,
environmental protection and community development. In 2004, ITC acquired
the paperboard manufacturing facility of BILT Industrial Packaging Co.
Ltd(BIPCO), near Coimbatore, Tamil Nadu. The Kovai Unit allows ITC to improve
customer service with reduced lead time and a wider product range.

In 1985, ITC set up Surya Tobacco Co. in Nepal as an Indo-Nepal and British
joint venture. Since inception, its shares have been held by ITC ,British
American Tobacco and various independent shareholders in Nepal. In August
2002, Surya Tobacco became a subsidiary of ITC Limited and its name was
changed to Surya Nepal Private Limited (Surya Nepal).

In 1990, ITC acquired Tribeni Tissues Limited, a Specialty paper manufacturing


company and a major supplier of tissue paper to the cigarette industry. The
merged entity was named the Tribeni Tissues Division (TTD). To harness
strategic and operational synergies, TTD was merged with the Bhadrachalam
Paperboards Division to form the Paperboards & Specialty Papers Division in
November 2002.

Also in 1990, leveraging its agri-sourcing competency, ITC set up the Agri-
Business Division for export of agri-commodities. The Division is today one of
India's largest exporters. ITC's unique and now widely acknowledged e-Choupal
initiative began in 2000 with soya farmers in Madhya Pradesh. Now it extends
to 10 states covering over 4million farmers. ITC's first rural mall, christened
'Choupal Sager' was inaugurated in August 2004 at Sehore. On the rural retail
front, 24'Choupal Saagars' are now operatonal in the 3 states of Madhya
Pradesh, Maharashtra and Uttar Pradesh.

In 2000, ITC forayed into the Greeting, Gifting and Stationery products business
with the launch of Expressions range of greeting cards. A line of premium range
of notebooks under brand “Paper craft” was launched in 2002. To augment its
offering and to reach a wider student population, the popular range of
notebooks was launched under brand “Classmate” in 2003. “Classmate” over
the years has grown to become India’s largest notebook brand and has also
increased its portfolio to occupy a greater share of the school bag. Years 2007-
2009saw the launch of Children Books, Slam Books, Geometry Boxes, Pens and
Pencils under the “Classmate” brand. In 2008, ITC repositioned the business as
the Education and Stationery Products Business and launched India's first
environment friendly premium business paper under the “Paper craft” Brand.
“Paper craft” offers a diverse portfolio in the premium executive stationery and
office consumables segment. Paper craft entered new categories in the office
consumable segment with the launch of Text liners, Permanent Ink Markers and
White Board Markers in 2009.

ITC also entered the Lifestyle Retailing business with the Wills Sport range of
international quality relaxed wear for men and women in2000. The Wills
Lifestyle chain of exclusive stores later expanded its range to include Wills
Classic formal wear (2002) and Wills Club life evening wear (2003). ITC also
initiated a foray into the popular segment with its men's wear brand, John
Players , in 2002. In 2006,Wills Lifestyle became title partner of the country's
most premier fashion event - Wills Lifestyle India Fashion Week - that has
gained recognition from buyers and retailers as the single largest B-2-B
platform for the Fashion Design industry. To mark the occasion, ITC launched a
special 'Celebration Series', taking the event forward to consumers.

In 2000, ITC spun off its information technology business into a wholly owned
subsidiary, ITC InfoTech India Limited, to more aggressively pursue emerging
opportunities in this area. Today ITC InfoTech is one of India’s fastest growing
global IT and IT-enabled services companies and has established itself as a key
player in offshore outsourcing, providing outsourced IT solutions and services
to leading global customers across key focus verticals - Manufacturing, BFSI
(Banking, Financial Services & Insurance), CPG&R (Consumer Packaged Goods
& Retail), THT (Travel ,Hospitality and Transportation) and Media &
Entertainment.

ITC's foray into the Foods business is an outstanding example of successfully


blending multiple internal competencies to create a new driver of business
growth. It began in August 2001 with the introduction of 'Kitchens of India'
ready-to-eat Indian gourmet dishes. In 2002,ITC entered the confectionery and
staples segments with the launch of the brands mint-o and Candy man
confectionery and Aashirvaad atta (wheat flour). 2003 witnessed the
introduction of Sunfeast as the Company entered the biscuits segment. ITC'
sintered the fast growing branded snacks category with Bingo! in 2007.In eight
years, the Foods business has grown to a significant size with over 200
differentiated products under six distinctive brands, with unenviable
distribution reach, a rapidly growing market share and a solid market standing.
In 2002, ITC's philosophy of contributing to enhancing the competitiveness of
the entire value chain found yet another expression in the Safety Matches
initiative. ITC now markets popular safety matches brands like iKno,
Mangaldeep, Aim, Aim Mega and AimMetro. ITC's foray into the marketing of
Agarbattis (incense sticks) in 2003marked the manifestation of its partnership
with the cottage sector .ITC's popular agarbattis brands include Spriha and
Mangaldeep across a range of fragrances like Rose, Jasmine, Bouquet,
Sandalwood, Madhur , Sambrani and Nagchampa.

ITC introduced Essenza Di Wills , an exclusive range of fine fragrances and bath
& body care products for men and women in July2005. Inizio, the signature
range under Essenza Di Wills provides acomprehensive grooming regimen with
distinct lines for men ( Inizio Home ) and women ( Inizio Femme ). Continuing
with its tradition of bringing world class products to Indian consumers the
Company launched ' Fiama Di Wills ', a premium range of Shampoos, Shower
Gels and Soaps in September, October and December 2007 respectively.
TheCompany also launched the ' Superia ' range of Soaps and Shampoos inthe
mass-market segment at select markets in October 2007 and VivelDe Wills &
Vivel range of soaps in February and Vivel range of shampoos in June 2008.

In 2010, ITC launched its hand rolled cigar, Armentieres, in the Indian market.
Armentieres cigars are available exclusively at tobacco selling outlets in select
hotels, fine dining restaurants and exclusive clubs.

Vision of the company

Sustain ITC’s position as one of India’s most valuable corporation


through world class performance, creating growing values for the
Indian economy and the company’s stakeholders.

Mission of the company

To enhance the wealth generating capabilities of the enterprise in a


globalizing environment, delivering superior and sustainable
stakeholder value.

Business Portfolio
HOTELS

FMCG
CIGARATES
& OTHERS ITC PAPERBOARD
& PACKAGING

AGRI-BUSINESS

ITC Working Structure


FMCG Divisions
 Cigarettes and Cigars
 Foods
 Lifestyle Retailing
 Personal Care
 Educational and Stationery
 Agarbattis and Dhoop
 Safety Matches

List of products and Brands


In FMCG , ITC has a strong presence in

Cigarettes
 Gold Flake Kings
 Gold Flake Premium
 W.D & H.O Wills
 Navy Cut
 Insignia
 India Kings
 Classic
 Verve
 Menthol
 Menthol Rush
 Regular Citric Twist
 Tangy double blst
 No smell
 Regular
 Mild and ultra mild
 Benson & Hedge
 555
 Silk Cut
 Scissors
 Capstan
 Berkley
 Bristol
 Lucky Strike
 Players
 Flake

Foods
 Ashirwad
 Minto
 Sunfeast
 Candyman
 Bingo
 Yippee

Apparel
 Wills Life Style
 John Players

Personal Care
 Fiama Di Wills
 Vivel
 Essenza Di Wills
 Superia
 Vivel Di Wills in perfume , skin care and hair care

Stationery
 Classmate
 PaperKraft
 Safety Matches and Agarbattis
 I Kno
 Mangaldeep
 Aim Brand

DISTRIBUTOR CHANNEL OF ITC


Oreo Distribution Channel-
Sunfeast is also relying on strong distribution push to make its presence felt in India
under ITC. The brand is focusing both on modern and retail trade. As we know that
the various levels of marketing Channels for any product which can be zero, one,
two, three depending upon how the product flows from manufacturer to consumer.

Oreo in this case uses a hybrid of level 1 and 3 for consumer marketing channels.

PRODUCER —–> RETAILER —-> CONSUMER (LEVEL1)

PRODUCER —–>DISTRIBUTOR—-> RETAILER —-> CONSUMER (LEVEL3)

ITC the manufacturer of Sunfeast in India, produces it and then directly send it to
the retailers like the Super marts, departmental stores etc. Also in places where
there is heavy distributorship, ITC involves two level channel system which goes
through a wholesaler and a retailer. This is the most commonly used in consumer
markets. Like for example Sunfeast will send its stock to a wholesalers in Chennai
who will in turn sell it to a retailer lets say OMFED OUTLET, Hyper city or a
departmental store.

Sunfeast’s reach since its been only 3 years in the Indian market has been found to
be low when compared to that of its competitors and these gaps found in the process
of distribution of Sunfeast need to be identified. Sunfeast distribution can be
increased and bring it in-par to its competitors and thus increase the sales of
Sunfeast by identifying potential areas and store types especially in the Tier2 and
Tier3 cities.
SALES –

A SALE is the pinnacle activity involved in selling products or services in return for
money or other compensation. It is an act of completion of a commercial activity.

Sales management is attainment of an organization’s sales goals in an effective


& efficient manner through planning, staffing, training, leading & controlling
organizational resources. Revenue, sales, and sources of funds fuel organizations
and the management.

ITC India’s sales grew 40%, thanks to the successful launch of world’s largest selling
cookie Sunfeast in March as well as double digit growth of most existing ITC
brands. Sales of its peers including HUL, CADBURY, BRITANNIA have grown
between 15%-20% during the same period. The SALES depends upon the pricing
strategy the marketing communications efforts, product, brand and the Distribution
network which ITC has all in place and have elevated the sales to a high.

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