5

IIM INDORE
Team – “Pirates of
Belapur”
Rachit Pradhan P Mathan Anto Soumya
pm13pradhanr@iimi Marshine Choudhary
dr.ac.in pm13pmathan@iimipm13soumyac@iimi
9619196072 dr.ac.in dr.ac.in
7506201026 9930176568
 primary and secondary research to understand the
drivers to engage consumers that can lead to a larger
customer base
EXPLORATORY RESEARCH
SECONDARY RESEARCH
• Market research reports on the Indian
MARKET Confectionery market sector
• Analyzed the Donut varieties of different
RESEARCH parts of the world
• Analyzed the traditional Indian sweet
varieties, shape and size similar to
donut
• Followed Facebook page of DD,MOD
and KK
PRIMARY RESEARCH
• Went to MOD Outlets in Mumbai to
collect first hand information on current
Donut Trends
• Collected survey responses from 80
people - Mostly people in the age
group of 19 to 34 years to understand
the viewpoint and preferences of the
Doughnut buyers.
RESEARCH FRAMEWORK FOLLOWED
CONCLUSIVE RESEARCH
• Frequency test to identify recall ability
of various parameters to identify the
most common ones
RESEARCH METHODOLOGY
• Ran a regression analysis to identify
the most valued parameters by the
buyers
• Correlation testing between buyer’s
perception of donuts,Frequnecy of
Purchase and occasion of Purchase
So What are the Key points for the Donut customers while
Purchasing for Donuts?
Main Points Details Level
• Menu is a key preference - A broad menu consisting of Sandwhiches,muffins,cookies,donuts & Beverages was

PRIMARY RESEARCH INSIGHTS

1. Menu highly appreciated
• In terms of Menu,Dunkin Donuts and Krispy Kreme had a top 2 box responses in the rage of 48-50% as
compared to MOD which scored 13%
• Taste scored 1st rank in Attributes with respect to the doughnuts and Nutrition ranked last as per the online
survey study.
2. Taste • Undisputed 41% of the crowd said MOD scored high as compared to Dunkin Donuts and Krispy Kreme that
scored in the range of 25-28%

• Ranked 3rd most important attribute with respect to the doughnuts.

3. Service • Krispy Kreme was the undisputed service winner scoring 74.74% as compared to Dunkin Donuts and MOD
that scored in the range of 53-66%
• We Found Doughnut outlets offering attracting offers on the eve of Children’s day ,Christmas, New year &
Diwali (Buy 2 Get 1 free by MOD)
4. Occasions • Hangout with Friends was seen as the best likely setup for doughnut consumption apart from social parties,
office discussion, Normal meal or festive.
• We asked people how they perceived Doughnuts as –there were responses like Snack,Dessert,gift,calories
5. Perception & Breakfast option.61% were for Snack followed by 29.35% for Dessert.,57% of the crowd found evening as
the most preferable time to consume Doughnut.

As per the Online Survey : • Sample Size of the Study : 80

Taste>Texture>Service>Ambien • Medium of Survey : Online

• Number of Outlets Visited : 5
range of 25-35 years working a tier 1 city having an
average family size of 3-5 members who regularly visit
mallsSegmentation
with their
– Income Band
(Population of India)
kids. Segmentation – Family Size
(Population of India)
Attractiveness
• The sheer volume of target
customers as per
segmentation is in itself a very

SEGMENT, TARGET, POSITION

attractive proposition
• The main opportunity could be
Urban Business Urban Middle Urban Lower & Up to 2 3–5 6 or more a concept of new Donut
Class Class Rural Class Members Members Members variants to target this segment
TARGET TARGET N/A TARGET TARGET N/A • Some pattern we found,
Segmentation – Location Segmentation – Age Middle/Old age father came
(Population of India) (Population of India) with their kids purchased
donuts for their kids and they
left without eating. That hints
at something to us

Challenges
Tier 1 Cities Tier 2 & 3 cities Rural Areas 18 – 25 Years 25-34 Years > 35 Years
• Convincing customers about
TARGET FUTURE TARGET N/A TARGET TARGET TARGET the donuts as a healthy quick
Segmentation - Gender Segmentation – Employment Sector breakfast option .
(Population of India) (Population of India) • Operational challenge of
offering new variants

Positioning
Position as a premium donut
Private Sector Private Sector Public Sector maker charging the customer as
Male Female (White Collar) Mid-Salary Employee per the value and experience
TARGET TARGET TARGET TARGET TARGET provided
 Organized players owing to their value added offers,
services and Social Media promotion are growing in size
Donut Market
and numbers.
Organized Segment

Customer Segment
• Dunkin Donuts, an American • Started in 1937,as secret • First mover of Donut market

MARKET PLAYER ANALYSIS

Working coffee and food chain present in yeast-raised donut recipe in India.
Professio 30 countries. • Started off selling to groceries • 48 Outlets & 73 Product
nal; • Present in 10000 locations, in 1937 to franchisees in Varieties
26.42% serving 900M & 1.5B cups of 1982. • Target: SEC A&B, School &
Student; coffee. • Plans to open in premium College students
73.58% • QSR with no-frills environment locations in Mumbai & 80-100 • Products: Eggless, Variety &
• Target: 18-45 yrs affluent working outlets in south & west India. Exclusive names
professionals & children • Core product: Eggless • Very popular campaigns &
• Recently positioned itself as donut & category specialist. Very active and strong
healthy snack • Position: Hang out zone for promotion strategies in
• No option to suggest flavor on young social media
website. But Customers are • No option to suggest flavor • Customers can suggest
Great shown in themes during on website their flavor
Ambience; Price; 4.35% promotions
Quick Service; 2.90%
5.80% Unorganized Segment
Texture(Softnes • Small bakeries selling donuts present in • Small & big bakeries selling donuts
s); 13.04%
TIER 2 CITIES

TIER 1 CITIES
every city present in these cities
Nutrition; Taste; 71.01% • No assurance of quality • Area of operation is limited to the city
2.90% • Usually they don’t have websites, they • Quality and good service is sometimes
just promote in social media’s. provided by some big players
Factor Influencing Donut Purchases
• They don’t have strong pan India • Usually they don’t have branding or
presence, they cater to specific regions. focused target group sale.
A set of 7 prime promotion channels will ensure that MOD gets
enough visibility in B2C space. The objective at this stage is to
constantly bring in more traffic and increase the hold up of
Channel Implementation Modes customer. Impact
It creates imagery of Donut being a replacement for traditional snacks
Ads campaign & Campaigns on Family celebrating
adhirasam & Balushaihi, creates a possibility for increasing consumption
Diwali & Holi with MOD Donut instead
YouTube among section B&C.

PROMOTIONAL STRATEGIES
of Balushaihi
Reward best customer testimonials with
Customer This will create network effects and sense of belongingness and loyalty
hash tags on Face book & twitter
adding to the MOD customer base
testimonials #whyiamMOD
Introduce new variants based on
Face book & facebook poll. This will increase the bulk consumption of donuts. Also, frequent polls will
Twitter Introduce party offers for min 15 people give us idea on change in customer preference towards various variants of
who post & tag the party photos with Donuts.
MOD Donuts in MOD face book page.
Design mobile apps & apps on Donut Ease of service i.e customer can perform all functions they do in websites.
and it also brings MOD much closer with customer in terms of access to
Mobile Apps related games. Reward top scorer at
stores and promotion offers.
stage with different MOD donut variety
to increase customer hold up

Themes & Create monthly themes, celebrate more This will increase the consumption through out the period. Also it bases
Festivals regional and popular festivals donut as food item in festivals and functions

MOD Introduce accessories like Wrist band, This will spread awareness and increase the sense of association among
Accessories Stationeries(Students), Key rings etc the fans

Partner with Associate with popular schools by Since students being a main target segment, it will be a more focussed
associating with the popular festivals option to reach out to students through stalls and outlets
Schools
 two r
a
IMAGE BASED MARKETING Anu
ra
Exch dha,
a
his ldiz Stud nge
a s & Bo (STRATEGIC)
Core I have ent
Indo tried the
– II M
m nt & st Belief: Pdonut
re
ll Ta li e , i s hilip , here. I
a p s ed r Excellence tried itpin
Ru ns B uda g o r v ou inePuerto
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so m B n
a , se n , s d d & Elegance Princesa City.
L
fro “ lty io an se to be They do use
sa on m, ppo ng highlighted
ith rea , o bei ove in all the coconut a lot
w c se k l Operation
e e Word of communica here. Tender
e a W
ch to f et. t”
n
Mouth is Build thetions
s:
coconut is called
i Excellence
sw
e biggest
media
brand in service & Buko and its a
avoid very popular
Avoid & Focus on anything in flavor here.
Negative bad taste Coconut oil is
WOM Developing used for frying
Mkt. just like in
distinctiveAimed to
Comm: Sell Kerala. I'm a
image across
the
experience
create a
common
huge fan of
s& all outlets “Look donuts and
being south
benefits Touch &
very Feel” via Indian I'm also
tastefully & all fond of coconuts
carefully promotiona so I loved the
 MARKET
•Existing Market(Current target):
• SEC A&B, Students and Kinder
garden Kids
•Potential New Market(New target):
• Diabetic/People who refrain from
eating sugar. I.e. Close to 3
million diabetic patients
belonging to SEC A&B. Product:
Donut variant from Hungary
“Langos” which is not sweet &
other sugar free variants.
Langos Coco-Donut
Desi variant of Donut:
• Product: Donut variant from
Philippines with coconut.
• Product: Rabadi Donut variant
MISSION
• To increase the market share by
increasing customer base
• To target unexplored potential
segments
• To perform modular innovation of
developing new Donut variants like
non-sweet, Sugar free variants &
Desi Sweets in the existing market
• To adopt product development
strategy
• To be a first mover in all innovative
products
 MESSAGE
• Premium Donut Makers of
India
• Catering to every taste of
India
• To make Indians MAD OVER
DONUTS
• Is really Donut new to India?
Wikipedia: India - Vadai are
savoury rings of dough made
from lentils that are popular in
Tamil cuisine. Varieties of
sweet doughnut-like pastries
includes "badushah" or
Balushahi. Adhirasam are a
Tamil sweet doughnut with a
long history.
MEDIA
•Mobile Apps:
• Introduce new mobile apps
& games software
•Face book & Twitter
• Create frequent Polls to
capture change in
customer preferences
towards variants
•Ad campaigns & YouTube:
• Create funny viral
campaigns to position
Donut in traditional sweet
segment.
MONEY ENT
•Mobile Apps:
• No of registrations
•Face book & Twitter:
• No of
Impressions/Likes/Shares/Social
Traffic/Sentiment Ratio
•Ad campaigns & YouTube:
• No of Views/LinkedIn
impressions.
•Print Media & Food Magazines
• No of Coupons availed/Market
Research
Implementation and Rollout
Plan How to execute this roll out plan Phase wise?

Timeline Phase 00
Phase Phase 11
Phase Phase 22
Phase Phase 33
Phase

Appoint external
agency to estimate
Launch market potential on
Desi & non- non-sweet & Desi
sweet Variants like Coco-
Design newlyvariants Donut, Rabadi Donuts
& langos
suggested
promotional
1)Set up a brainstorming
session with operational
leads, nutrionist & chefs.
2) Analyze the 1) Outsource mobile apps &
operational capabilities game development
in handling the new 2) Outsource ad design & new
variants. promotional ad’s on placing
3) Remove the bottle
necks
Donut as supplement to Desi
sweets.

customer on Desi sweets

Strategies &

each outlet and find out

Based on the

collect feedback from

Check for

Perform analytics on
Perform analytics on
consumer insights

Inform all outlets to

mobile platforms &

financial launch coco-donut

MOD Accessories
they like the most

promotion using
effectiveness on
Analyze thefeasibility as regional variant

non-performing
operational feasibility initially and India
wide for non-
sweet, sugar free

variants
& Desi sweet
variant
Estimation of
market
potential for Pre-phase Operations Promotions Finance
newly
suggested
Appendix – Financials

According to National
Survey of India people
suffering from
diabetics in following
cities are as follows
11.6 per cent in New
Delhi ,9.3 per cent in
Mumbai & 12.4 per
cent Bangalore .
Appendix – Perceptual Maps
Perceptual Maps for Service & Menu Perceptual Map for Ambience & Menu
6 Ambience
6
Service
5 5

4
4
Menu 3
3
0 0.5 1 1.5 2 22.5 3 3.5 4 4.5 5
0 1 2 2 3 4 5 6
1
Menu
1 0

Perceptual Map for Ambience and Price Perceptual Maps for Service and Ambience
Ambience
6 6
Ambience
5 5

4 4

3 Service 3

Price 0 1 2 2 3 4 5 6 0 0.5 1 1.5 2 22.5 3 3.5 4 4.5 5

1 1

0 0