St.

Xavier’s College,
Kolkata

A PROJECT ON
SALES PROMOTION OF ITC CLASSMATE
STATIONERIES

Submitted by: Mayukh

Naskar
Ro
ll No: 721

1
 Internal Guide Professor: Mr.
Tridib Sengupta
Project completed in: ITC Ltd, Kolkata

CONTENTS

 ACKNOWLEDGEMENT
 INTRODUCTION
 HISTORY OF ITC
 COMPANY PROFILE
 PRODUCTS OF ITC
 EDUCATION AND STATIONERY
 WHAT CLASSMATE IS ALL ABOUT
 PRODUCTS RELATED TO MY PROJECT
 COMPETITORS IN THE MARKET
 “IDEAS FOR INDIA” CAMPAIGN
 RESEARCH METHODOLOGY

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 PURPOSE OR OBJECTIVES
 REACTIONS FROM THE RESPONDENTS
 FINDINGS
 SUGGESTIONS
 ANNEXURE

ACKNOWLEDGEMENT

 I, Mayukh Naskar want to express gratitude to my

Head Of the Department and my guide professor,
Mr. Tridib Sengupta for his constant support,
guidance and hard work. This project has been a
fruitful and enriching experience, which is extremely
important for the students in order to get practical
exposure and gain knowledge in the process. I also
want to thank my mentor sir, Mr. Subhasis Dutta,

3
 for his guidance and for providing me this
opportunity to work under the esteemed banner of
ITC.

INTRODUCTION

 Institutions visited for the promotion of ITC

Classmate copies and Classmate Ideas for India,
an ITC Centenary Initiative. A lucrative offer was
put forward to the schools for customization of the
copies, at a subsidized rate. Surveys were also
conducted in schools and trade, regarding the

4
 popularity and further improvement of the ITC
Classmate copies.

ITC is one of India's foremost private sector companies

with a market capitalisation of over US $ 30 billion and a
turnover of US $ 6 billion.* ITC is rated among the
World's Best Big Companies, Asia's Fab 50' and the
World's Most Reputable Companies by Forbes
magazine, among India's Most Respected Companies
by BusinessWorld and among India's Most Valuable
Companies by Business Today. ITC ranks among India'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 compiled by Business Week.

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 HISTORY OF ITC

ITC was incorporated on August 24, 1910 under the

name Imperial Tobacco Company of India Limited. As
the Company's ownership progressively Indianised, the
name of the Company was changed from Imperial
Tobacco Company of India Limited to India Tobacco
Company Limited in 1970 and then toI.T.C. Limited in

6
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 - the full stops in the
Company's name were removed effective September 18,
2001. The Company now stands rechristened 'ITC
Limited'.

The Company’s beginnings were humble. A leased office

on Radha Bazar Lane, 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.

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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 a 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 a 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-Welcomgroup 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 a
position of leadership, with over 100 owned and
managed properties spread across India.

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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 the best 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.

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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 4 million farmers. ITC's first rural
mall, christened 'Choupal Saagar' was inaugurated in
August 2004 at Sehore. On the rural retail front, 24
'Choupal Saagars' are now operational 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 “Paperkraft”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- 2009 saw the launch of

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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 “Paperkraft” Brand. “Paperkraft” offers a diverse
portfolio in the premium executive stationery and office
consumables segment. Paperkraft entered new
categories in the office consumable segment with the
launch of Textliners, Permanent Ink Markers and White
Board Markers in 2009.

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 matchesbrands like iKno,
Mangaldeep, Aim, Aim Mega and Aim Metro.

ITC's foray into the marketing of Agarbattis (incense

sticks) in 2003 marked the manifestation of its
partnership with the cottage sector. ITC's popular

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agarbattis brands
include Spriha and Mangaldeepacross a range of
fragrances like Rose, Jasmine, Bouquet, Sandalwood,
Madhur, Sambrani and Nagchampa.

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 COMPANY PROFILE

ITC has a diversified presence in Cigarettes, Hotels,

Paperboards & Specialty Papers, Packaging, Agri-
Business, Packaged Foods & 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 Cigarettes, Hotels,
Paperboards, Packaging and Agri-Exports, it is rapidly
gaining market share even in its nascent businesses of
Packaged Foods & Confectionery, Branded Apparel,
Personal Care and Stationery.

As one of India's most valuable and respected

corporations, ITC is widely perceived to be dedicatedly
nation-oriented. Chairman Y C Deveshwar calls this
source of inspiration "a commitment beyond the market".
In his own words: "ITC believes that its aspiration to
create enduring value for the nation provides the motive

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force to sustain growing shareholder value. ITC practices
this philosophy by not only driving each of its 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 drivers of growth
anchored on its 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.

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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.

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ITC employs over 26,000 people at more than 60
locations across India. The Company continuously
endeavors to enhance its wealth generating capabilities
in a globalising environment to consistently reward more
than 4,14,000 shareholders, fulfill the aspirations of its
stakeholders and meet societal expectations. This over-
arching vision of the company is expressively captured in
its corporate positioning statement: "Enduring Value. For
the Nation. For the Shareholder."

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 PRODUCTS OF ITC

Cigarettes

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ITC is the market leader in cigarettes in India. With its
wide range of invaluable brands, it has a leadership
position in every segment of the market. It's highly
popular portfolio of brands includes Insignia, India
Kings, Classic, Gold Flake, Silk Cut, Navy Cut,
Scissors, Capstan, Berkeley, Bristol and Flake.

The Company has been able to

build on its leadership position because of its single
minded focus on value creation for the consumer
through significant investments in product design,
innovation, manufacturing technology, quality, marketing
and distribution.

All initiatives are therefore worked upon with the intent to

fortify market standing in the long term. This in turns aids
in designing products which are contemporary and
relevant to the changing attitudes and evolving socio
economic profile of the country. This strategic focus on
the consumer has paid ITC handsome dividends.

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 ITC's pursuit of international competitiveness is reflected
in its initiatives in the overseas markets. In the extremely
competitive US market, ITC offers high-quality, value-
priced cigarettes and Roll-your-own solutions. In West
Asia, ITC has become a key player in the GCC markets
through growing volumes of its brands.

ITC's cigarettes are produced in its state-of-the-art

factories at Bengaluru, Munger, Saharanpur and
Kolkata. These factories are known for their high levels
of quality, contemporary technology and work
environment.

Foods

ITC made its entry into the branded & packaged Foods
business in August 2001 with the launch of the Kitchens
of India brand. A more broad-based entry has been
made since June 2002 with brand launches in the
Confectionery, Staples and Snack Foods segments.

The packaged foods business is an ideal avenue to

leverage ITC's proven strengths in the areas of

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hospitality and branded cuisine, contemporary packaging
and sourcing of agricultural commodities. ITC's world
famous restaurants like the Bukhara and the Dum
Pukht, nurtured by the Company's Hotels business,
demonstrate that ITC has a deep understanding of the
Indian palate and the expertise required to translate this
knowledge into delightful dining experiences for the
consumer. ITC has stood for quality products for over
100 years to the Indian consumer and several of its
brands are today internationally benchmarked for quality.

The Foods business carries forward this proud tradition

to deliver quality food products to the consumer. All
products of ITC's Foods business available in the market
today have been crafted based on consumer insights
developed through extensive market research. Apart
from the current portfolio of products, several new and
innovative products are under development in ITC's
state-of-the-art Product Development facility located at
Bengaluru.

Leadership in the Foods business requires a keen

understanding of the supply chain for agricultural

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produce. ITC has over the last 100 years established a
very close business relationship with the farming
community in India and is currently in the process of
enhancing the Indian farmer's ability to link to global
markets, through the e-Choupal initiative, and produce
the quality demanded by its customers. This long-
standing relationship is being leveraged in sourcing best
quality agricultural produce for ITC's Foods business.

The Foods business is today represented in 4 categories

in the market. These are:

• Ready To Eat Foods

• Staples
• Confectionery
• Snack Foods

In order to assure consumers of the highest standards of

food safety and hygiene, ITC is engaged in assisting
outsourced manufacturers in implementing world-class
hygiene standards through HACCP certification. The
unwavering commitment to internationally benchmarked
quality standards enabled ITC to rapidly gain market
standing in all its 6 brands:

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 Lifestyle
Retailing

ITC's Lifestyle Retailing Business Division has

established a nationwide retailing presence through its
Wills Lifestyle chain of exclusive specialty stores. Wills
Lifestyle, the fashion destination, offers a tempting
choice of Wills Classic work wear, Wills Sport relaxed
wear, Wills Clublife evening wear, fashion accessories
and Essenza Di Wills - an exclusive range of fine
fragrances and bath & body care products and Fiama Di
Wills - a range of premium shampoos and shower gels.

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 Wills Lifestyle has also introduced Wills Signature
designer wear, designed by the leading designers of the
country.

With a distinctive presence across segments at the

premium end, ITC has also established John Players as
a brand that offers a complete fashion wardrobe to the
male youth of today.

In line with
ITC's
aspiration to
be India's
premier
onal Care FMCG
company,
recognised
for its world-
class quality
and enduring

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consumer
trust, ITC
forayed into
the Personal
Care
business in
July 2005. In
the short
period since
its entry, ITC
has already
launched an
array of
brands, each
of which
offers a
unique and
superior value
proposition to
discerning
consumers.
Anchored on

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extensive
consumer
research and
product
development,
ITC's
personal care
portfolio
brings world-
class
products with
clearly
differentiated
benefits to
quality-
seeking
consumers.

ITC's
Personal
Care portfolio
under the
'Essenza Di

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Wills', 'Fiama
Di Wills',
'Vivel Di
Wills' 'Vivel
UltraPro',
'Vivel' and
'Superia'
brands has
received
encouraging
consumer
response and
is being
progressively
extended
nationally.

ITC's state-of-
the-art
manufacturin
g facility
meets

26
stringent
requirements
of hygiene
and
benchmarked
manufacturin
g practices.
Contemporar
y technology
and the latest
manufacturin
g processes
have
combined to
produce
distinctly
superior
products
which rank
high on
quality and
consumer

27
appeal.

Extensive
insights
gained by ITC
through its
numerous
consumer
engagements
have provided
the platform
for its R&D
and Product
Development
teams to
develop
superior,
differentiated
products that
meet the
consumer's
stated and

28
innate needs.
The product
formulations
use
internationally
recognised
safe
ingredients,
subjected to
the highest
standards of
safety and
performance.

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 Links to Press Releases :- ITC's Fiama Di Wills unveils
the new Anti Hair Fall ShampooSep 29, 2010 ITC Forays
into the Fairness Creams SegmentJun 11, 2010 Vivel
Launches Deo Spirit to turn the heat on!May 10, 2010
Fiama Di Wills is Associate Sponsor of the Wills Lifestyle
India Fashion WeekMar 17, 2010 Fiama Di Wills
expands Range with Transparent Gel Bathing BarsOct
09, 2009 Fiama Di Wills is Associate Sponsor of the
Wills Lifestyle India Fashion WeekOct 09, 2009 ITC
launches Vivel Ultra Pro anti-dandruff shampoo in
KolkataApr 15, 2009 Fiama Di Wills is Associate
Sponsor of the Wills Lifestyle India Fashion WeekMar
21, 2009 ITC Personal Care launches the Di Wills Series
Book- Essence of HairMar 21, 2009 ITC - Essenza Di
Wills launches Mikkel - A Men's Prestige FragranceMar
19, 2009 Fiama Di Wills announces winner of the Fiama

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Di Wills Beautiful Face 2008 HuntOct 16, 2008 Fiama Di
Wills launches the Fiama Di Wills Beautiful Face Hunt
'08Sep 12, 2008 ITC expands Personal Care portfolio
with Vivel shampoosJun 25, 2008 Fiama Di Wills is the
associate sponsor of the WLIFW Mar 03, 2008 ITC
expands Personal Care product rangeFeb 14, 2008 ITC
launches Fiama Di Wills Soaps Dec 20, 2007 ITC
launches new range of Personal Care products Oct 15,
2007 ITC launches Fiama Di Wills range of shampoos
Sep 15, 2007 ITC launches Essenza Di Wills line of
prestige fragrances and personal care products

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A ITC’S CLASSMATE “IDEAS FOR INDIA”
s
CHALLENGE
p
a THE TIMES OF INDIA, AUGUST 24, 2010
r
t

o
f Kolkata: As part of ITC’s centenary initiative, its
education & stationery products brand,
i
t Classmate, has launched a unique programme —
s ‘Classmate Ideas for India challenge’. The

s nation-wide programme invites the ideas of the

t
youth, which have the potential to transform
r
a their India of tomorrow. Classmate Ideas for
t
e India challenge will reach out to 25 lakh students
g across 30 cities, 500 schools & 200 colleges.
i
c
With programme partners like the CII-ITC Centre
i of Excellence for Sustainable Development,
n
i WWF-India, Tony Blair Faith Foundation,
t Janaagraha, Akshaya Patra Foundation and
i
a many other organisations, the programme will
t
encourage the finalists with an internship with
i
v relevant programme partners, besides cash
e
prizes & other rewards. Additionally, the top 5
t winners will be sent to a 1-week international
o
study tour.Classmate is a leading player in the
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c 6000 crore market for stationery products
r
e comprising notebooks, pens, pencils &
a
33