Competition to Britannia

If a company wants to succeed by maximising market share and profit margins, it is critical to
have a thorough understanding of its competition. If the product fills a different niche in the
market, there will be other firms selling comparable items and using other techniques to meet
customer requirements.

Direct competition:

Direct rivals, also known as direct competitors, are companies who provide products or
services that are essentially similar to yours. When selecting where to buy anything,
customers will mostly evaluate variation of pricing labels, locations, service levels, and
product characteristics. You will face direct competition if you add a fresh twist to an existing
product or service that has been available for sometime. It's a good idea to keep an eye on
how they're doing and compare your results.

Indirect competition: Companies that offer relatively different items but target the same
group of clients with the objective of meeting the same demand are considered indirect rivals.
These are also referred to as replacements.

Apart from Sunfeast's dream cream and bounce and Parle's magic in the cream biscuit
category, Sunfeast's bourbon and hide n seek bourbon biscuits pose a challenge to Britannia.
DIRECT COMPETETION TO BRITANNIA
Category Britannia ITC Parle
Marie Biscuits Marie Gold Sunfeast Marie Marie buscuits

Salty Crackers 50-50 Maska Chaska Snacky Salted Krack Jack

Glucose Biscuits Tiger Glucose Sunfeast Glucose Parle G Glucose

Healthy Biscuits Cracker Farmlite Oats with Simply Good Honey

Raisins & Oats
Milk Biscuits Milk bikis cream Sunfeast Milky Milk Shakti Milky
Magic Magic

Market share value

The Parle-Britannia rivalry has been going on for decades. Until FY13, when Britannia
Industries overtook Parle Products thanks to its premiumization strategy and expanded
distribution network, the two companies had continuously sought to outdo one other. Despite
the fact that both biscuit giants successfully navigated the COVID-19 shutdown in FY21,
Parle Products has the upper hand. Parle has reduced the market share gap and is now neck-
and-neck with Britannia, according to a recent analysis by Edelweiss Research.
Parle's flagship brand, Parle-G, accounted for the majority of the company's growth in the
previous fiscal year. Over the previous year, there has been a lot of down-trading, which has
benefited Parle-G due of its low price of Rs 2. In reality, numerous government agencies and
non-governmental organisations (NGOs) purchased Parle-G in quantity to give to migrant
workers. Aside from its low cost, the demand for trusted brands during the epidemic offered
Parle-G a particular edge. According to the Edelweiss study, Parle acquired substantial
market share from smaller companies in FY21, helping to close the gap with Britannia.
Britannia had a 30.8 percent market share in FY18, while Parle and Britannia were tied at
29.1 percent. In FY20, Britannia increased the deficit by 5%.

Competitive advantage of Britannia

Strong Product Portfolio: The company's extensive presence in each product category,
supplemented by sub-brands, has enabled it capture the rural market, producing Rs. 1556 Crs
in Mar'17, a 22% increase over the previous Financial Year. Britannia Industries has more
than 300 SKUs on the market.
Distribution strategy

Britannia Industries sells its goods in over 70 countries across the world, and it has 81
production facilities in India, including 41 biscuit units, 13 dairy units, 12 bread units, 9 Rusk
units, and 6 cake units. Britannia produces 2.8 million packs per day at these facilities, which
are delivered to over 36 lakh outlets via 51 depots, 3700 stockists, and 900 trucks each day.

Brand image
 On Forbes magazine's list, Britannia Industries is placed 56th. As of May 2017, the brand
was valued at $6 billion (market capitalization valuation method), with $1.32 billion in
revenue.
The brand has received several awards and honours, including a special mention in the
Leading RE Investor category at the Renewable Energy India Awards 2016, Best Brand
Campaign at the Big Bang Awards 2013, and many others.

Positioning
This is the final phase of the process, in which the firm determines what sort of messaging or
position to take while marketing the product after determining the consumer it wants to
target.
Britannia has a lot of brands in its portfolio, and it knows how to use each one to position
itself in different markets. Take a look at how well they've positioned themselves:
 Tiger:- for kids
 Little Hearts:- for young people
 Good Day:- Positioning is similar to the everyday cookies that provide joy to
everyone's lives. Following up on our discussion of Britannia's marketing mix, we'll look at
the social media approach the company used to win over customers.