32

“To Develop the business of DT & TS using new launches”

SUBMITTED IN PARTIAL FULFILLMENT OF THE REQUIREMENTS OF THE

DEGREE OF POST GRADUATE DIPLOMA IN MANAGEMENT AT

CHANDRAGUPT INSTITUTE OF MANAGEMENT PATNA

BY

HARS

150024

PGDM 2022-24

CHANDRAGUPT INSTITUTE OF MANAGEMENT PATNA

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 SYNOPSIS

I had the privilege of undergoing a summer training program at ITC Ltd., a renowned

company with diversified business areas such as FMCG, Agribusiness, IT services, and

Hotels. During my training, I specifically worked in the PCP division of the non-

tobacco segment, which encompasses Food, Personal Care Products (PCP), and Dairy.

My internship project at ITC Ltd. in Hajipur, Bihar focused on "Developing the market

for DT & TS through new product launches." This project was undertaken as part of

my PGDM program, and I dedicated two months to this valuable experience.

Throughout my internship, I was involved in various key areas, including:

● Addition of new outlets

● Coverage of chemist outlets

● Identification and mapping correction of ISS outlets

● Benchmarking competition categories

● Identifying top outlets for loyalty programs, considering competition displays and

payouts

● Driving the launch of new products such as Engage Intense Deodorant, Savlon Cool,

Fiama Sandal, and Fiama Men

● Emphasizing the promotion of products such as Savlon TS and Fiama TS

● Reporting on Displays and Demos (D&D) at the outlet level

In summary, my summer training at ITC Ltd. in the PCP division allowed me to

contribute to the market development of DT & TS through new product launches. I

engaged in a range of tasks related to outlet management, competition analysis, and

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 product promotion, providing me with valuable insights into the FMCG

industry. These viewpoints push my sales in a better way.

The areas I Covered with my DS (Mr. Vijay) were: -

• Cinema Road

• Station Road

• Nakhas Chowk

• Katra

• Paswan Chowk

• Gudri

During my field visits, I covered approximately 200 shops, including ISS outlets,

wholesalers, chemists, and grocery stores. These shops were already geo-tagged but

were not stocking the complete range of Savlon, Fiama, and Engage products. To

address this, I focused on persuading the shopkeepers to prominently display Engage

Deodorant, which proved successful in increasing visibility and generating bulk orders

for Savlon Soap, Fiama Soap, and Engage products. Additionally, I introduced Savlon

10 rupees Soap in nearly all the shops, including chemists, grocery stores, and ISS

counters.

To ensure a well-organized approach, I followed a planned methodology. Initially, I

collected the Monthly Activity Report (MAR) sheet, which provided information on the

number of outlets to be visited on each day. Additionally, I carried a sheet detailing the

schemes for that particular month, allowing me to stay informed about ongoing
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 promotional offers related to specific products. Accompanied by my assigned

Distribution Supervisor (DS), I visited the shops within the designated beat. During

these visits, I paid close attention to various aspects, such as competitor products,

ongoing schemes, visibility, and Displays and Demos (D&D). Through market

analysis, I aimed to identify the areas where our products were lacking and determine

the competitive advantages of companies like HUL, Reckitt Benckiser, and the

emerging player Godrej, as they held larger market shares. I also observed whether

Unilever on the Back (UOB) products were present in the shops and made efforts to

persuade the shopkeepers to stock and sell them if they were not already doing so.

In summary, my visits to the 200 geo-tagged shops focused on addressing the issue of

incomplete SKUs for Savlon, Fiama, and Engage products. By strategically promoting

Engage Deodorant and introducing Savlon 10 rupees Soap, I successfully enhanced

visibility and received significant bulk orders. I implemented a systematic approach,

collecting necessary reports and schemes, visiting shops with my DS, and analysing

competitor products and market dynamics. Engaging with retailers allowed me to

gather valuable insights on our product gaps and competitors' strengths. Additionally, I

emphasized the placement of UOB products, further enhancing our sales efforts.

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 Table of Contents
SYNOPSIS...........................................................................................................................................2
CHAPTER-ONE....................................................................................................................................13
INTRODUCTION.................................................................................................................................13
...................................................................................................................................................... 13
Introduction:...................................................................................................................................14
Action plan to achieve those activities...............................................................................................16
CHAPTER- TWO..................................................................................................................................17
ABOUT THE ORGANISATION..........................................................................................................17
ITC History and Diversification and different Portfolios..................................................................18
Packaging, Printing & Paperboard Business.....................................................................................20
Hotels.................................................................................................................................................21
.......................................................................................................................................................... 22
Specialty Papers.................................................................................................................................23
Stationary:..........................................................................................................................................23
Lifestyle Retailing..............................................................................................................................24
Information Technology....................................................................................................................25
Branded Packaged Foods...................................................................................................................26
Safety Matches........................................................................................................................28
Agarbatti (Incense sticks)..................................................................................................................28
Personal Care Products......................................................................................................................29
E-Chaupaal.........................................................................................................................................30
CHAPTER-THREE...............................................................................................................................31
LEARNINGS.........................................................................................................................................31
Distribution channel used by ITC for PCP & AGMT products:.......................................................32
An in-depth observation of Satyam enterprise’s Distribution chain..................................................33
Goals of TM&D, and Types of Planning used in the TM&D of ITC Ltd at Satyam Enterprises: - .34
Market Coverage Planning
............................................................................................................................................................
35
Delivery infrastructure and manpower planning...............................................................................36
Types of the Reports and Planners being used for/while the working of DS....................................37
CHAPTER – FOUR...............................................................................................................................42
LITERATURE REVIEW......................................................................................................................42
SWOT Analysis of ITC Ltd. At Satyam Enterprises:........................................................................43
BCG Matrix of ITC Ltd at Satyam Enterprises.................................................................................44
CHAPTER – FIVE................................................................................................................................45

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RESEARCH METHODOLOGY...........................................................................................................45
Research Methodology:.....................................................................................................................46
CHAPTER: - SIX..................................................................................................................................48
DATA ANALYSIS & INTERPRETATION.........................................................................................48
CHAPTER – SEVEN............................................................................................................................62
FINDINGS & SUGGESTIONS............................................................................................................62
CHAPTER - EIGHT OBSERVATIONS & SUGGESTIONS..................................................65
CHAPTER - NINE................................................................................................................................69
CONCLUSION......................................................................................................................................69
REFRENCES.........................................................................................................................................72

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 DECLARATION

I hereby declare that the summer internship project entitled "To develop the Market of

DT & TS using new launches", has been submitted to Chandragupt Institute of

Management Patna to partially complete my Post Graduate Diploma in Management

requirement was my original work and was prepared by me under the general

supervision of my Industry Advisor, Mr. Pushan Ghosh (Area Sales Manager) and

Faculty Supervisor Professor Sudeep Rohit. I did not submit the work earlier to any

other institute or university for the award of a degree, diploma or certificate. I followed

the CIMP guidelines for the preparation of the report. I have also acknowledged the

data sources, theoretical analyses, texts and other documents by citing in the text of the

report and giving details in the reference section.

Place: Patna
Date: Harsh
150024

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 CERTIFICATE

This is to certify that the work incorporated in this Summer Internship Project entitled

“To develop market of DT & TS using new launches” by Mr. Harsh bearing Roll no

150024 comprises the results of his/her independent and original investigations carried

out under my supervision and guidance in partial fulfillment of the requirements for the

award of Post Graduate Diploma in Management. To the best of my knowledge, the

work has not been submitted earlier, either to any other Institute or University for the

award of any diploma, degree or certificate.

Place: Patna (Signature of the Faculty

Guide) Date: (Prof. Sudeep Rohit)

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 CERTIFICATE

This is to certify that the work incorporated in this Summer Internship Project entitled “To

develop the Business of DT & TS using new launches” by Mr. Harsh bearing Roll no

150024 comprises the results of his/her independent and original investigations carried out

under my supervision and guidance in partial fulfillment of the requirements for the award of

Post Graduate Diploma in Management. To the best of my knowledge, the work has not been

submitted earlier, either to any other Institute or University for the award of any diploma,

degree or certificate.

Place: Hajipur (Signature of the Industry

mentor) Date: (Mr. Pushan Ghosh)

(Area Sales Manager ITC Ltd.)

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 ACKNOWLEDGEMENT

Internship program is a very important and necessary way to acquire practical

knowledge because the student's knowledge is not met until he has acquired theoretical

and practical knowledge both. For the completion of my research, I cannot deserve all

the praise. Many people have helped me to provide valuable information, advice and

guidance to complete this report on time. I want to show my gratitude to my institute

CIMP for giving me the opportunity to utilize my classroom learning in to a real

business scenario.

I am most grateful to Mr. Pushan Ghose (ASM) & Mr. Aadarsh Kumar who was

my project guide, for believing in me, guiding me and giving his full support for

carrying out the project which I intended to do. I am thankful to my project mentor

Prof. Sudeep Rohit for his guidance and invaluable suggestions throughout the course

of the project. I would also like to thank Mr. Vijay (DS) who taught me about the

market at the ground level and helped in making the data collection process convenient

for me with inspiring suggestions. I would not forget to show my gratitude to all the

Satyam Enterprises (Hajipur) Distributer team who put their hard work along with

me on-field in the market and helped me to understand the small nuances and their

applicability to Marketing and Sales in their respective beats.

Last but not the least I am deeply thankful to ITC for giving me this wonderful

opportunity (as an intern) to be a part of their organization.

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 COMMON ABBREVIATIONS USED IN FMCG INDUSTRY: -

During the first two weeks, I studied some of the lingo used in the personal care industry: -

● WD Point - The place where the products (PCP) are distributed from the

stockroom wholesaler point.

● DS (Distributor Salesman) - The person who works as a medium to distribute the

products to the retail outlets.

● TL (Team leader) - the group's founder who resembles a manager with whom the DS

collaborates.

● Beat – Salesman one day is called beat. The location that DS has to cover in an area.

● Sify operator – The distributor has this Sify operator which includes every data

regarding sales, stocks, bills, etc. They are the representor of whole WD.

● DSPM – It stands for Distributor sale productivity measure. It is a measure used to

check the productivity of the sale of WOD.

● UOB – It stands for Unique outlet billing. It represents a unique bill for each single outlet.

● Threshold billing – It is the minimum amount that a DS has to make a bill for each day.

● Vajra – It is an application for salesperson which provides all the data related to outlet

name, product detail, target, etc. This application helps the DS in taking orders from

outlets.

● Merchandiser - a worker who ensures that our products are displayed properly, mainly

assigned only to FC stores and supermarkets. They also maintain track of the inventory

and alert the store's salespeople to collect orders.

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● Gate meeting: Weekly meetings organized by the Area executives to keep track of how

the salespeople are performing and to provide updates on new schemes, products, and

product adjustments (improved packaging, introduction of new flavors, etc.).

● SKU- Stock Keeping Unit

● CFC- Corrugated Fiber Container

● POSM – Point of Sales Material

● DS- Distribution Salesperson

● AE - Area Executive

● PCP : Personal Care Product

● DS : Daily Salesman

● PTR : Price to Retail

● WD : Wholesale Distributor

● MAR : Market Accompaniment, Report

● SKU’s : Stock keeping unit

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 CHAPTER-ONE

INTRODUCTION

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 Introduction: -

When developing or maintaining a product in the market, the goal of conducting market studies

is to identify customer gaps or unmet needs. This enables revenue growth by analyzing various

purchase patterns, preferences, and expectations of customers, as well as their reactions to new

product releases. By comparing the company's revenue with appropriate adjustments and

improvements, it becomes possible to gauge the effectiveness of promotional measures.

Additionally, distributing product samples or trial packs to potential customers serves as an

incentive for them to try our offerings, fostering trust and generating positive word-of-mouth

referrals. Furthermore, an extensive market presence is established by launching the product

across multiple outlets, ensuring widespread visibility and easy accessibility for customers.

Objective of the study: -

• Launching new products in the Engage & Fiama portfolio and identifying the challenges

hindering their sales.

• Exploring the responsibilities of sales personnel within the organization and evaluating their

effectiveness in interactions with distributors, wholesalers, and retailers.

• Understanding and analyzing the various factors that influence the purchasing decisions of

customers and consumers.

• Developing on-field sales strategies and enhancing sales for both newly launched and

existing brands of ITC Ltd.

• Providing ITC Ltd with comprehensive analysis, conclusions, and recommendations based

on the study's findings.

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 The main objective of this internship is to provide us with a comprehensive understanding of

the Distributor Salesman's (DS) role and their effectiveness in navigating a competitive and

ever- changing market while interacting with retailers and wholesalers. Although the salesman

serves as the company's front-line representative, directly engaging with customers and

consumers, their contribution throughout the distribution channel is vital.

Another goal of this internship is to gain hands-on experience in implementing sales strategies

at the grassroots level. We will actively participate in sales activities, meeting with retailers and

addressing any concerns they may have, including issues related to delayed or incomplete

deliveries, expired stock, and discrepancies in promotional schemes.

Throughout the internship, we will assume both salesman and manager roles to identify gaps,

understand their underlying causes, and work towards resolving them. The ultimate aim is to

align current performance with desired outcomes and develop a model that specifically

addresses the challenges faced by the company's products, especially in comparison to other

offerings in the market.

Moreover, two smaller projects focusing on Engage Intense and the new line up of Fiama

products will provide us with valuable insights into the opportunities and obstacles associated

with launching new products in a phased approach.

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 Action plan to achieve those activities :-

● Collaborating with the Distributor Salesman (DS) to understand their interactions with various

entities.

● Participating in and supporting the DS in actively selling products from PCP (Personal Care

Product) category while identifying the strategies employed to drive sales growth.

● Conducting physical store visits for surveys, actively observing, asking questions, and taking

notes on the responses obtained.

● Recognizing competitors and analysing their market presence and strategies.

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 CHAPTER- TWO

ABOUT THE

ORGANISATION

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 ITC History and Diversification and different Portfolios

ITC was founded on August 24, 1910 as the Imperial Tobacco Company of India. Since the

property of the company was gradually nationalized, the company's name was changed by the

Imperial Tobacco of India, which was limited in 1970 to Indian Tobacco Company Limited,

and then to I.T.C. Limited in 1974. The company is now known as "ITC Limited", where

"ITC" no more acronym or a formal abbreviation is more.

Later on, in due course of time the company diversified into 5 major divisions which are as

follows:

● FMCG (foods, personal care, cigarettes, branded apparel, education and stationery products,

safety matches and incense sticks)

● Paperboards and Specialty Papers

● Packaging

● Agri-Business and Information Technology

● Hotels

Started off as a small business in a leased property in Radha Bazaar Lane in the city of Kolkata

in 1910, where till the coming 16 years the company continued to exist in the same property

until in 1926, they purchased a plot in J.L Nehru Road and built their headquarters with a very

little idea of how important a landmark it will become in future in the city of Kolkata, the

landmark is the “Virginia House”.

Currently, after more than 115 years of existence, ITC Ltd is still India’s leading cigarette

manufacturer and early after crossing the century line, ITC clocked an annual turnover of $8.1

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 billion in the year 2012-13 and its vision for 2030 is to reach 1 lakh crores, where they aim at

earning ₹65000 crores from the foods division.

ITC has more than 195 manufacturing units. ITC’s 47% of total energy comes from renewable

sources. They have 35 powerful brands covering all segments, with leading market positions in

most. Together, these lively and admired brands currently represent an annual consumer spend

of nearly ₹13850 - ₹14000 crores in aggregate. Reaching millions of households, supporting

and satisfying around 6 million livelihoods across the nation, ITC’s unparalleled brands

support the competitiveness of domestic value chains of which they are a part, ensuring

creation and maintenance of larger value within the country. ITC serves around 20 lakh retail

outlets directly.

Along with ITC’s successful FMCG brands, in the services sector arena, ITC’s hotels business

has built prevailing hospitality brands. ITC has more than 100 hotels in over 70 locations

spread across the nation.

ITC is one of India's leading multi-business enterprises with a market capitalization of around

US$ 50 billion and an income of US$ 8 billion. ITC is ranked among the World's Best Big

Companies, World's Most Reputable Companies by Forbes magazine and the Asia's 'Fab 50'

and as 'India's Most Admired Company' in a survey conducted by Fortune India magazine and

Hay Group.

Vision

Sustain ITC's position as one of India's most valuable corporations through world class

performance, creating growing value for the Indian economy and the Company's stakeholders

Mission

To enhance the wealth-generating capability of the enterprise in a globalizing environment,

delivering superior and sustainable stakeholder value.

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 Packaging, Printing & Paperboard Business

ITC`s Packaging and Printing business was established in 1925 as a strategic upstream integration for

ITC`s Cigarette business. It is now India`s largest state packer. In 1979, ITC established Paper

boards trading company by selling ITC Bhadrachalam Paper boards Limited. Bhadrachalam Paper

boards merged with the mighty company on 13 March 2002 and became a division of the company,

Bhadrachalam Paper boards Division. In November 2002, the division merged with the Company`s

Tribeni Fabrics Division to form the Cardboard & Specialized Paper Division. ITC`s technology,

productivity, first class carton manufacturing strategy and technology match the best in the world.

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 Hotels

The 1970s marked a significant turning point for the Company, bringing about substantial

transformations that set its course in a new direction. In 1975, ITC made a foray into the Hotels

business by acquiring a hotel in Chennai, which was later renamed 'ITC-Welcom group Hotel

Chola' and is currently known as Welcom hotel by ITC Hotels, situated on Cathedral Road in

Chennai. The Company's decision to enter the hotels industry stemmed from its vision of

contributing value to the nation.

ITC recognized the Hotels business as a promising avenue for generating foreign exchange

earnings, fostering tourism infrastructure development, and creating numerous direct and

indirect employment opportunities. This strategic move reflects the company's commitment to

fueling the growth and prosperity of the country. Since its inception, ITC's Hotels business has

witnessed remarkable growth, establishing itself as a leader in the industry.

At present, the Hotels business of ITC boasts a diverse portfolio of over 115 owned and

managed properties across India, operating under six distinctive brands: ITC Hotels,

Mementos, Welcom hotel, Storii, Fortune Hotels, and Welcom Heritage. Through its hotels

business, ITC has played a pivotal role in shaping India's hospitality industry, making

substantial contributions to the economy, promoting tourism, and delivering exceptional guest

experiences through its diverse range of brands.

Recently, ITC Hotels embarked on its first international expansion with the upcoming launch

of a super-premium luxury hotel in Colombo, Sri Lanka. This move signifies ITC's ambition to

extend its renowned hospitality offerings beyond national borders and cater to a global

audience.

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22 | P a g e
 Agri Business :-
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. Also, through

the 'Choupal Pradarshan Khet' initiative, the Agri services vertical has been focusing on

improving productivity of crops while deepening the relationship with the farming community.

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 Specialty Papers :-

ITC purchased Tribeni Tissues Limited in 1990, a notable manufacturer of specialty paper and

a significant supplier of tissue paper to the tobacco industry. Following the merger, the

combined entity was designated as the Tribeni Tissues Division (TTD). Recognizing the

potential for strategic and operational synergies, TTD was later merged with the Bhadrachalam

Paperboards Division in November 2002, resulting in the establishment of the Paperboards &

Specialty Papers Division.

Stationary: -

In 2002, ITC introduced a premium line of notebooks under the brand name Paperkraft. This

launch aimed to enhance their product offerings and cater to a broader student demographic.

The following year, in 2003, ITC expanded its range with the introduction of Classmate

notebooks, targeting the student market. Over time, Classmate has grown to become India's

largest notebook brand, expanding its portfolio to include various school essentials.

Between 2007 and 2009, ITC further expanded the Classmate brand to include Practical

Books, Drawing Books, Geometry Boxes, Pens, and Pencils. These additions allowed

Classmate to occupy a more significant space in students' school bags, offering a

comprehensive range of products.

In addition to the Classmate brand, ITC's Paperkraft line offers a diverse portfolio of premium

executive stationery and office consumables, catering to the needs of professionals in various

industries.

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 Lifestyle Retailing

ITC also entered the lifestyle retail industry with the Wills Sports line of comfortable women's

and men’s clothing worldwide in 2000. The Wills Lifestyle store chain subsequently enhanced

its product line to including Wills Classic (2002) vintage clothing and Wills Club nightshift

(2003). ITC also embarked on a period of popularity with its menswear brand, John Players, in

2002. In 2006, Wills Lifestyle became a partner of the country's most prestigious style event,

Wills Lifestyle India. Fashion Week.

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 Information Technology

In 2000, ITC transformed its profile manufacturing business into a wholly owned subsidiary,

ITC InfoTech India Limited, in order to actively pursue growth opportunities in this area.

Today, ITC InfoTech is one of the fastest growing international IT and IT service provision

groups in India and has established itself as a major player in overseas outsourcing, providing

IT services. outsourced and responses to key international clients in key verticals Financial

Services Banking & Insurance (BFSI), Consumer Packaged Goods (CPG), Retail,

Manufacturing, Engineering Services, Media & Entertainment, Tourism, Hospitality, life

sciences and transport and logistics.

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 Branded Packaged Foods

In 2002, ITC entered the confectionery and commodities segment with the exit of

confectioners Minto and Candyman and Aashirvaad Atta (wheat flour). The year 2003 saw the

birth of Sunfeast as the Company entered the cookie business. ITC has joined the rapidly

growing branded snack class with Bingo! 2007. In 2010, ITC released Sunfeast Yippee! India's

contribution to the instant noodle market. In September 2014, ITC released GumOn Chewing

Gum, marking the accessibility of chewing gum. The company entered the fully fruit-based

juices and liquids market with the launch of Natural Fruit liquid B in January 2015. ITC broke

into the dairy segment with the launch of Aashirvaad Svasti Ghee in November 2015

Launched in April 2016, Fabelle candy is ITC's most profitable sourcing of luxury chocolate.

ITC entered the branded espresso segment in July 2016 with the launch of Sunbean Gourmet

Coffee. In February 2017, ITC launched ITC Master Chef Superior Safety Condiment, the first

style condiment launched in India, providing export safe spices highly satisfying to consumers.

ITC MasterChef Shrimp was launched in June 2017 as the company entered the frozen

ingredients segment. ITC’s first foray into fresh vegetables was marked by the release of

Farmland Potatoes in November 2017.

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 ITC's foray into the food business is a prime example of effectively combining several intrinsic

competencies to create an entirely new impetus for business growth. It all started in August

2001 with the creation of 'Kitchens of India', gourmet Indian instant dishes. In 2002, ITC

entered the confectionery and merchandise segment with the departure of confectioners Minto,

Candyman and Aashirvaad atta (wheat flour). 2003 saw the birth of Sunfeast as the Company

entered the biscuit segment. ITC has joined the rapidly growing branded snack class with

Bingo! in 2007. In 2010, ITC released Sunfeast Yippee! enter the Indian noodle market.

28 | P a g e
 Safety Matches

In 2002, the ITC philosophy of helping to improve the competitiveness of the entire price chain

was observed, but all other manifestations in the Safe Match initiative. ITC currently markets

reputational protections tailored to manufacturers such as Mangal deep and Aim.

Agarbatti (Incense sticks)

ITC's foray into advertising Agarbatti (incense) in 2003 marked the expression of its

partnership with the craft sector. Mangaldeep is quite a nationally associated symbol and

should be used in many different fragrances such as Rose, Jasmine, Bouquet, Sandalwood and

'Scent of the Temple'. They have further launched Mangaldeep 3 in 1, Mangaldeep Aqua &

Woody in the subsequent years.

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 Personal Care Products

Since 2005, ITC has ventured into the personal care industry, witnessing remarkable growth

over the past eight years through its brands "Essenza Di Wills," "Fiama," "Vivel," and

"Superia." These brands have gained widespread popularity across the country. In May 2013,

the company expanded its product range by introducing Engage, which was one of India's

pioneering "few deodorants." In 2010, ITC introduced Armenteros, a hand-rolled cigar, to the

Indian market. These exclusive cigars can only be obtained from select tobacco retail outlets

located in prestigious hotels, upscale restaurants, and exclusive clubs.

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 E-Chaupaal

ITC's Agribusiness division, a prominent exporter of agricultural products in India, has

developed e-Chaupaal as an extensive eco-friendly supply chain. Its primary objective is to

provide sustainable compensation to customers. e-Chaupaal is specifically designed to address

the challenges presented by the precise requirements of Indian agriculture, which is

characterized by small-scale farms, vulnerable infrastructure, and the involvement of numerous

intermediaries, among other factors.

31 | P a g e
 CHAPTER-THREE

LEARNINGS

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 Distribution channel used by ITC for PCP & AGMT products: -

33 | P a g e
 An in-depth observation of Satyam enterprise’s Distribution chain :-

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 Goals of TM&D, and Types of Planning used in the TM&D of ITC Ltd
at Satyam Enterprises: -

➢ There are two divisions in ITC Ltd.

● Indian Tobacco Division (ITD)

● Non-Tobacco Division (NTD)

➢ PCP comes under the Non-Tobacco Division. of FMCG (Fast Moving Consumer

Goods)

➢ The channel of the project was Trade Marketing and Distribution (TM&D). Trade

Marketing is further classified as Sales and Distribution.

➢ Trade Marketing and Distribution channel have goals to achieve, they are:

● Achieving Sales and distribution goals

❖ To achieve the sales goals, sales planning is done on an annual, quarterly, monthly, and weekly

basis. This fosters the company to be on right track and helps in maintaining steady sales

growth figures.

❖ Distribution goals are directly interlinked with the sales goals, having a good distribution
network will lead to a presence in a wider market which will finally lead to good sales.

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 ● To provide enhanced focus to the FMCG Categories.

❖ Category selling is a thumb rule for the TM&D.

● To support business growth and profitability.

● To be eyes and ears for all businesses

Market Coverage Planning

● The market that qualifies for coverage under norms is called the target market.

● ITC Ltd. distributes the right product in the right market based on the market potential for the

product category.

● Coverage planning is done on the basis of the outlet classification system, competition

coverage, and frequency of the coverage.

❖ Factors that influence the market coverage plans of ITC Ltd. are shown in the following diagram

Market representation

● Presence of a firm in a market by purchasing stocks directly or indirectly from ITC Ltd. to

redistribute it for a profit.

● In market representation, the Wholesaler Distributor (WD) plays an important role.

36 | P a g e
 Delivery infrastructure and manpower planning

● It is the practice of planning out and allocating routes, logistics, and people to deliver products

to the billed outlets in a bounded period of time.

● It has two key imperatives:

❖ Cost-effectiveness

❖ WD Profitability

At Satyam Enterprises, the manpower consists of two kinds of staff, they are: Backend staff their

remuneration is given by Satyam Enterprises.

E.g.: Operator, Godown in charge /manager, Accountant. & Front-end staff: their remuneration

is given by ITC Ltd. E.g.: Driver, Delivery boy, Salesman

❖ Factors that influence the delivery infrastructure and manpower planning of ITC Ltd. are
shown in the following diagram.

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 Routing and Zoning

Types of the Reports and Planners being used for/while the working of
DS: -

● Market Planner: -

The market planner gives detailed information about the outlets of a particular beat on a

particular date in alphabetical order.

Terminologies in this report: -

➔ Loyalty program: -

A loyalty program is a marketing strategy implemented by businesses to encourage customer

loyalty and repeat purchases.

➔ Last month’s sale: -

As the name suggests it gives the sales amount on a particular outlet in the last month.

● Market Accompaniment Report:

38 | P a g e
 As the name suggests, this report is helpful for the DS and the person who accompanies the DS

while having observations at all the outlets in the particular beat, this report helps to note down

the AV analysis and competitor’s activities.

● Trade Marketing & Distribution Report

To know the sales done of all categories in a particular time frame, this report is needed. It

gives a brief idea of which category is sold on which outlet at what amount.

● Available Stock Report:

This report is needed to know the total available stocks in the WD godown, this report can be

also used to know the saleable stock and unsaleable stock, which can be further used to give

clarity to DS to strategize his daily sales.

● Distributor salesman performance metrics Report:

To keep a track of the work done by the DS, this report is required, it shows the total target and

actual target completed.

Apart from this it also shows the completion of the variable targets.

Planning of a New Product Launch at ITC Ltd. :-

For the launch of Engage Chhota pocket deodorant and Mangaldeep dhoop, a phase-wise plan

was made so that maximum availability and visibility can be ensured with the maximum

rotation of the product in the outlets.

These are classified into 3 phases:

● Pre-Launch

● During the Launch

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● Post Launch

Pre-Launch :-

● Knowledge of their Brand, Category, Sub Category, and SKU

● Pricing of the products

● Profit Margin

● Packaging quality

● Consumer profile (Buying Capacity, Age group)

● Coverage frequency

● Sale volume in a particular category

● Target Market (POP group)

● Target Outlets

● Various schemes (Trade schemes and Consumer schemes)

● Merchandising Activity

● Promotional Activities (Roadshow, Spot selling, In shopping, etc.)

● Unique selling point

During the Launch: -

● Place our brand as per plan (Right outlets, Right Place, Right Time, and Right condition.)

● Placing display at the hot spot of the outlets.

● Sampling our product to the consumer and take their opinion.

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● Provide some special schemes during the launching period.

● Provide some special activities if required.

● Day wise launching feedback to the company.

● Explain our USP to the retailers to convince the consumer.

Post Launch: -

● Market feedback (Quality, Pricing, Packaging)

● Verifying retail offtake and ensuring blanks fill up on a regular basis.

● Competitors' activities (new schemes, new packaging, Pricing)

● Share proper knowledge about the products to the retailers to avoid miss-communication and

grow awareness.

● Some demand creation activities, (In shopping activities may be organized)

Availability and Visibility Norms of ITC Ltd. :-

Availability norms :-

Availability norms help to ensure the availability of the product in the right outlet. Brand

availability is decided on the basis of

● Consumer traffic and profile including competition and own sales.

● Benchmark from competitors.

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 Visibility norms :-

● Brand Blocks: This creates a space that visually represents only one brand (SKU or Portfolio)

● Face on Display: Products are stocked in such a manner that the front of products faces the

consumer.

● Planogramming: Arrangement of products on the retail shelves to attract consumers’ attention

and motivate them to buy. Premium products are placed on the above shelves and Common

SKUs are on the below shelves. Consumers generally look for the products in the front then

above, below, right, and left. ITC Ltd. taps the attention of the consumer by placing the

products in such a manner.

● Merchandising: It is done with the help of a salesman and the PPMS team which provides

merchandising service using POSM

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 CHAPTER – FOUR

LITERATURE

REVIEW

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 SWOT Analysis of ITC Ltd. At Satyam Enterprises: -

● This analysis demonstrates the internal attributes of the organization Satyam Enterprises,
Hajipur by showing its strengths and weaknesses and external attributes with the help of
opportunities and threats.

● This SWOT analysis is limited to the markets of Cinema Road, Station Road, Nakhas Chowk,
Katra, Paswan Chowk & Gudri for the PCP products.

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 BCG Matrix of ITC Ltd at Satyam Enterprises :-

● The BCG matrix, also referred to as the Boston Consulting Group matrix, is a valuable
strategic tool utilized for portfolio analysis and strategic planning purposes.

● This BCG Matrix is limited to the markets of Cinema Road, Station Road, Nakhas Chowk,
Katra, Paswan Chowk & Gudri for the PCP products.

● There are four quadrants in the BCG Matrix:

➔ Stars - High-growth, high-market-share products

➔ Cash Cows - Low-growth, high-market-share products

➔ Question Marks (or Problem Children) - High-growth, low-market-share products

➔ Dogs - Low-growth, low-market-share products

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 CHAPTER – FIVE

RESEARCH

METHODOLOGY

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 Research Methodology: -

➔ Type of research

● Descriptive Research: The research design of the project is Descriptive as it describes data

and characteristics associated with the company. Descriptive research is used to obtain

information concerning the current status of the phenomenon to describe “what exists” with

respect to variables in a given situation.

➔ Sampling Techniques used:

● The study is based on Non- probability Sampling to draw samples from the assigned area,

● The method used under Non- Probability Sampling is Quota Sampling, In Quota sampling, the

number of participants is pre-planned under specified categories The sample will be selected

from the population using quota sampling Non-Probability Sampling.

➔ Types of Data

● Primary Data: Data gathered from first-hand observation or experience. The primary data has

been collected through a survey with the use of two questionnaires that will be included in the

report. The data would also be collected from interacting with and observing the customers.

● Secondary data: The secondary data would be the data of the past and the present sales of

PCP and AGMT. Historic data provided by the company about the sales, market trends and

past performance of the DS will be used to reach the interpretation in the further reports.

➔ Number of respondents: - 142 for Consumers and 51 for Retailers

➔ Survey Instrument: The instrument used in the survey is a questionnaire and interviews with
some Customers.

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➔ Data Analysis technique:

● Qualitative Technique- This describes the characteristics and does not involve numbers.

Observations or Interviews are types of qualitative research. In this project Observations, the

qualitative technique was used.

● Quantitative Technique- It focuses on numbers and is all about quantity. Experiments and

Surveys are kinds of quantitative techniques. In this project Survey as the qualitative technique

was used.

● The scope of this study is limited to Hajipur; markets of Cinema Road, Station Road, Nakhas

Chowk, Katra, Paswan Chowk & Gudri.

● The target population for the research is the customers (retailers and wholesalers) of PCP and

AGMT products in the assigned area of Satyam Enterprises.

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 CHAPTER: - SIX

DATA ANALYSIS & INTERPRETATION

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The study relies primarily on a qualitative methodology, and my work consisted primarily of

visiting different outlets with my DS. During my daily assigned beat, I am required to carry a

Market Accompaniment Report (MAR) sheet on which I must record data after visiting stores. Data

include paid invisibility, complaint, feedback, bill cut, line cut, D&D products discovered in outlet,

competitor activities, and stock rotation within outlets. We must submit it at the end of the day to

the reporting manager.

In addition to tasks, I must launch Savlon cool and Fiama soap with Engage deo, and I must send the

launch photo to the company's CIMP ITC Daily report group. Additionally, I work to increase DS

sales. Daily, I must provide the reporting manager with information on the addition of new retail

locations.

In my internship, I was not only responsible for launching the product, but also for listening to

their product-related issues, assuring them of good service, and finding alternative solutions to their

problems.

On my assigned route, there are numerous delivery issues. There are one week's worth of delivery

issues in my beat. But I resolve the delivery issue and assist DS in meeting its monthly quota.

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CONSUMER ANALYSIS
Ques. 1) Do you use perfume or deodorant?

Interpretation: - From the above pie chart we can see that after doing the survey of 142
consumers, 97.2% of them use perfume or deodorant and rest 2.8% of people they are not in
favour of using deodorant or perfume.

Ques. 2) How often do you purchase deodorant or perfume in a month?

Interpretation: - From the above pie chart we can see that 57% of consumers purchase

deodorant or perfume once in a month and 38% of them purchase twice a month and rest 5%

purchase it more than two times a month.

Ques. 3) What kind of fragrance do you prefer while purchasing deodorant?

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 Interpretation: - From the above pie chart we can see that 48.6% of people love to have

Aquatic fragrance in their deodorant and 32.4% of people would like to have Citrus fragrance

in their deodorant and 9.2% would like to have Musk or woody fragrance and rest 9.9% will

like another fragrance. So, ITC should try to launch a new variant of deodorant in Aquatic

fragrance.

Ques. 4) Which deodorant brand do you normally Purchase?

Interpretation: - From the above pie chart we can see that 31% of people like Fogg deodorant

and it is the main competitor of Engage deo and 7% of people like Kama Sutra deo and 48.6%

of people like other deodorant.

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 Ques. 5) How much do you spend on deodorant?

Interpretation: - From the above pie chart we can see that 40.8% of people spend between

Rs150 to 300 and 47.9% people are paying Rs 300 to 500 for their deodorant

Ques. 6) Which soap brand do you prefer?

Interpretation: - From the above graph we can see that Dettol is the soap which is much

higher in demand with 25.4% followed by Pears which is 24.6% then there is Dove with 19%

in demand.

Ques. 7) Does your bathing soap contain any fragrances?

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 Interpretation: - From the above pie chart we can say that 94.4% of people use the soap

which contains fragrance as they say that it is the most required ingredients of their soap.

Ques. 8) From where do you buy your bathing soaps?

Interpretation: - From the above pie chart we can say that 87.3% of people prefer to buy their

soap from the Super market as the main reason for purchasing soap from there is the offers

given by them. 12% of people prefer local shop and 0.7% of people prefer online market.

Ques. 9) Which ingredients do you like on your bathing soap?

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 Interpretation: - From the above pie chart we can say that 72.5% of people like to have

Glycerine in their soap and 17.6% want their soap to be Herbal in nature and 5.6% want their

soap to be cool in nature as they like Menthol quality and rest 4.3 % want some other

ingredients in their soap. So, Savlon cool can have good demand in market as it has menthol.

Ques. 10) Would you like to try a new soap which will stand on all these parameters?

Interpretation: - From the above pie chart we can say that 88.7% of people will definitely try

a new soap if the new soap fulfill all the above ingredients but 9.9% of people says that they

don’t want to try a new soap as the old one used by them is good for them and rest 1.4% of

people says that they can try if it is good.

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 RETALIER ANALYSIS

Retailer analysis is done basically through primary data on the market survey on the retailer

outlets and I collected the data through it and put together it to find the finding in Hajipur

market.

Ques. 11) Do you sell ITC Soaps?

Interpretation: - From the above pie chart we can see that 60.8% of shopkeepers sells ITC

soaps whereas 39.2% of them don’t sell it due to less margin from company or due to less

demand and the main reason for less demand is lack of advertisement done by ITC.

Ques. 12) Which soap of ITC is sold more in your outlet?

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 Interpretation: - From the above pie chart we can say that 64.5% of total outlet sells Savlon

soap more as it is more in demand and 35.5% of outlet sells Fiama soap more and the major

sell of Savlon is in Rural market and the Fiama is mostly sold in Malls, and urban market.

Ques. 13) Which soap company gives you more margin?

Interpretation: - From the above pie chart we can say that 78.4% of Retailers gets more

margin from HUL so they like to sell it more and and 21.6% of Retailers gets more margin

from P&G. so, ITC should give some more margin to Retailers to increase their soap market.

Ques. 14) Do different age group of consumers prefer different soaps?

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 Interpretation: - From the above pie chart we can say that according to Retailers 98% of

consumers of different age group prefer different soaps and 2% are not sure so ITC can target

the customers with their new strategy as launching new soaps and making advertisement which

target different age group for e.g., Fiama can be a huge market in age group of 18- 30.

Ques. 15) If ITC launch a new soap, will it be successful?

Interpretation: - From the above pie chart we can say that 60.8% of Retailers are not sure that

if ITC launch a new soap, it will be successful or not as it can goes both ways according to

them and 39.2% of Retailers are sure that it will be successful.

Ques. 16) Which Deodorant brand is usually asked for more by customers?

Interpretation: - From the above pie chart we can see that 60.8% of customers demand for

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 Wildstone deo and 25.5% customers asks for Fogg and the main reason for their demand

according to retailer is advertisement done by both of them which attracts the customers to

purchase. 7.8% of people prefer Engage and 2 % retailers says that consumers ask for

Kamasutra and rest go for another deo.

Ques. 17) Which size of deodorant is preferred more by customers?

Interpretation: - From the above pie chart we can see that according to Retailers 64.7% of

customers prefer pocket deo as it is bit popular in teenager said by them. 21.6% of Retailers

says that Can deo is sold more in their soap and these Retailers are mainly a super mart or mall

owner. 11.8% of Retailers says that mini can are sold more in their shops.

Ques. 18) Does the discounts provided by malls, marts on deo attract consumers more

rather than purchasing from local shops?

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 Interpretation: - From the above pie chart we can see that 74.5% of Retailers says that

discounts provided by malls, marts attract consumers more which shopkeepers are not able to

provide due to which consumers prefer these markets more for purchasing deo rather than from

their shops. 15.7% of Retailers says that it can be one of the reasons and 9.8% says no it is not

the reason as Consumers come to their shops for purchasing deo.

Ques. 19) Consumers listen to you when you suggest them to purchase any deo?

Interpretation: - From the given pie chart we can see that 29.4% of Retailers agree the

consumers to purchase the new deo suggested by them and 56.9% of Retailers says that

sometimes consumers agree to them and purchase the deo suggested by them so if ITC give

them good margins and build some racks for keeping the deo then it is sure that more

consumers will buy ITC deo as Retailers will suggest them to buy this company deo as it is

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 good but 13.7% of

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 Retailers says that consumers don’t agree to them as they come to shop and tells the brand

which they want to buy.

Ques. 20) If ITC launches new deo will it be successful?

Interpretation: - From the given pie chart we can see that 41.2% Retailers says that it will be

successful if ITC launches new deo and 41.2 % of Retailers says that they are not sure as it can

be successful or it can’t be it depends on the quality and price and the main reason would be

advertisement as how good they can do the marketing of their deo. 17.6% of Retailers says that

it won’t be successful as there are main companies in the market who are selling deo and their

product are ruling the market so ITC new deo will not be able to survive the deo market.

Limitation of the study: -

● This study focuses exclusively on ITC's personal care products and is applicable only

during the present period. It is not applicable to other divisions within ITC Ltd.

● The study is limited to the Hajipur region and includes only clients (retailers and

wholesalers) within the designated areas.

● The timeframe of the study is relatively constrained, which may result in the collected

data becoming outdated or insufficient due to potential changes in the product's

surrounding
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 environment. Additionally, it is crucial to acknowledge the potential for responder errors,

such as incomplete questionnaires or inaccurate data provided.

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 CHAPTER – SEVEN

FINDINGS &

SUGGESTIONS

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Area of Findings
Availability and Visibility
Delivery time
SKU shortage problems
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Findings
AGMT products are easily
available and visible but in PCP
products, Engage, Fiama, and Vivel
have less Availability and Visibility
as compared to the competitors.
Most of the retailers said that they
get their delivery on T+1 days,
Rest of the percentage denotes the
delivery issue.
Major reason found:
● Absenteeism of delivery
boy
● Vehicles not in good
condition or
available,
● Stock Out in Godown
Most of the total retailers do not
face any SKU shortage problem.
Only few of them face this issue
in some way.
Major reasons were found:
● Untimely purchase
of Stocks by WD
● Excessive sale of that
SKU by other DS in that
particular time frame
Suggestions
● Focus on the selling
of length and depth of
products should be
considered.
● Competitors' schemes
and promotional
incentives should be
tracked.
● Luring with better
incentives and
gifts.
● Marketing campaigns
within the Hajipur region
for brand awareness can
be run.
● A proper, accountable, and
transparent communication
mechanism between WD,
Godown, and the salesman
can remove the friction in
the delivery of the
product.
● Pre-Planned purchase of
the saleable stocks
according to the previous
and current market trends.
 D&D Policy Most of the outlets responded ● Training the DS to
that the D&D policy is not pick up the D&D
good, while only few of with the help of
outlets were satisfied with Vajra.
the service provided by the
WD.

Reasons found for the gap:

● Long and
tiring process
for DS.
● Untrained to
pick D&D
through Vajra
Credit Only Few of retailers ● A proper credit
responded that they get credit period as per the
for 7-15 days, and most of company norms can
customers were those who provide a solution,
felt the pressure of clearing also identifying the
the credit within 7 days of outlets based on the
past clearance and
the purchase.
sales, and

Margin offered The reason which I observed ● They should

from the feedback provided provide better
by the retailers for not selling margin to the
ITC products was because of retailers.
less margin provided to
retailers. As per them HUL
& P&G provide better
margins to retailers.

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 CHAPTER - EIGHT

OBSERVATIONS &

SUGGESTIONS

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Market Level :-

● The dominance of one or two stores in the matchstick category has led to discontent among

other outlets and presents challenges for DS during negotiations. It is crucial to monitor

these stores and utilize batch codes to track products, gathering insights that enable

appropriate actions based on the findings.

● The pricing of deodorants is a major concern in this market. Infiltration from regions outside

Bihar has resulted in significant price discrepancies, leading to decreased sales revenue due

to underbilling of products.

● To address this issue, DS can implement enhanced services such as regular visits, a wider

product range, reliable credit options, and assurances of timely delivery and pickup.

These measures can effectively resolve the problem by improving customer satisfaction

and minimizing the impact of outside infiltration on the market.

● Outlet owners are facing a substantial threat from digital e-commerce platforms like

Flipkart Super Mart and UDAAN, which negatively affect their profit margins and the

schemes offered to them.

● By closely monitoring the activities of these platforms and tracking the prices they

offer, strategic sales approaches can be developed to effectively target specific markets.

WD Level :-

❖ Due to a lack of organization, DS frequently faces confusion regarding the

appropriate individuals or entities to approach in various situations.

❖ There is a significant level of interference observed in the billing process.

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 ❖ All observations can be solved by implementing better practices and accountability to

the allotted entities so that friction can be removed in communication within hierarchies

DS Level :-

❖ DS commonly begins their product pitch by asking, "Kuchh order lagega?" With

adequate training and guidance, DS can adapt and modify this ingrained pitching habit

that has developed over time.

❖ By fostering flexibility in the working style of DS and providing timely

motivation, burnout among DS can be minimized, while simultaneously boosting

morale and productivity levels

Value addition to the company: -

● A mystery shopping exercise was conducted within the designated W.D. point market area to

monitor consumer behaviour, assess the presence of DS, evaluate the positioning of key

competitors, and gauge the effectiveness of promotional schemes.

● The special market survey conducted in the assigned area of Satyam Enterprises successfully

identified and addressed all the loopholes within the W.D. point.

● Various promotional schemes focusing on personal care products were demonstrated and

explained to retailers.

● Retailers were actively encouraged to prioritize and improve the shelf visibility of ITC

products.

● The shelf arrangement within outlets was reorganized to enhance the visibility of products.

● Salespersons were provided guidance to develop friendly relationships with outlet retailers,

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 aiming to foster mutual trust and increase order numbers.

● The launch of new products was initiated, and all necessary sell-out activities were undertaken.

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 CHAPTER - NINE

CONCLUSION

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Conclusion :-

Comprehensive research and industry analysis consistently emphasize the pivotal role of exceptional

salespeople, efficient stocking practices, and effective market promotions and product releases in

the success of FMCG companies. During the initial two weeks of the market tour, it became evident

that salespersons need to possess extensive product knowledge and be willing to patiently explain

the benefits and promotional schemes to consumers.

It is widely acknowledged that not all products exhibit equal performance in the market. For

example, while cigarettes experience rapid growth for Itc, Personal Care Products (PCP) may not

see the same level of growth. Recognizing this, it is crucial to develop customized strategies for each

product category. In the observed geographical area, Itc has achieved good visibility, following

closely behind Unilever, with Itc products available in almost all outlets.

To further enhance its market position, the company should focus on key factors. Emphasizing

promotional activities will play a critical role in raising awareness of the Itc personal care portfolio

among a broader audience, leading to increased sales growth. Direct interactions at the grassroots

level in the market have enabled the identification of crucial areas requiring attention, both at the

company level and within its distribution channels. The study primarily revolves around conducting

customer and consumer surveys, utilizing questionnaires to collect data for evaluating the prevailing

market conditions.

Key market gaps identified include:

1. Inadequate communication channels

2. Restrictive damage policy

3. Insufficient stock supply

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4. Inconsistent performance of DS

5. Insufficient promotional activities from the company

6. Margin issues in specific products

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 REFRENCES

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References: -
● https://www.itcportal.com/
● https://www.itcportal.com/businesses/fmcg/index.aspx
● https://www.itchotels.com/in/en
● https://www.itcportal.com/about-itc/shareholder-value/annual-reports/itc-annual-report-
2023/pdf/ITC-Report-and-Accounts-2023.pdf
● https://www.itcportal.com/investor/pdf/ITC-Quarterly-Result-Presentation-Q4-FY2023.pdf
● https://www.itcportal.com/about-itc/index.aspx
● https://en.wikipedia.org/wiki/ITC_Limited
● https://www.itcpspd.com/

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