Before we proceed lets learn some thing interesting

about the history and origin of this wonderful herb

called tea. Story of tea began in ancient China over
5,000 years ago. According to legend, the Shen
Nong, an early emperor was a skilled ruler, creative
scientist, and patron of the arts. His far-sighted edicts
required, among other things, that all drinking water
be boiled as a hygienic precaution. One summer day
while visiting a distant region of his realm, he and the
court stopped to rest. In accordance with his ruling,
the servants began to boil water for the court to drink.
Dried leaves from the near by bush fell into the boiling
water, and a brown liquid was infused into the water.
As a scientist, the Emperor was interested in the new
liquid, drank some, and found it very refreshing.
Therefore, according to legend, tea was created.
breaks down into three basic types: Black, Green,
and Oolong.
 Picking only 2 Remove as much moisture as
leaves and a bud possible from the Tea

Plucking Withering
1 2

5 3 Put leaf info roller

Leaf is exposed to Drying Rolling machines which
hot air from air twist, turn & break it.
blowers

4
Oxidation
Leaf is oxidise by exposing it to
air in large tray till it eventually
turns Black
 Top Five Tea Producing Countries Top Five Tea Consuming Countries

India
Others
30%
25%
India
23%
Others
Indonesia 44%
5%
Kenya
10% Sri Lanka China China
9% 21% 16%
Japan UK Russia / CIS
5% 6% 6%

India is the largest tea producing and consuming country in the world.
Assam valley and Cachar
region in Assam; parts if the
states of Tripura, Arunachal
Pradesh, Sikkim, Meghalaya,
Mizoram, Nagaland, Manipur,
Orissa and Darjeeling,
Dooars, Terai regions of West
Bengal.

Kangra valley in Himachal

Pradesh, Dehradoon region
in Uttar Pradesh

The hilly regions and plains

(Annamalai) of Tamil Nadu,
parts of the states of Kerala
and Karnataka.
• Hindustan Lever Ltd.
• Tata Tea Ltd.
• Duncans Industries
• Wagh Bakri Ltd.
• Private Label
• Goodricke Group Ltd.
• Golden Tips Tea Pvt.
• Hasmukhrai & Co
• Girnar Food &
Beverages P ltd
• Sapat Packaging
Industries
• Tata has come out with an CSR (corporate social responsibility) in
Jaaga Raho……. Campaign.

• Sania Mirza drives double digit growth of Tata Tea

 ABOUT THE COMPANY

 Set up in 1964 as a joint venture with UK-based James Finlay.

 Now it is with UK-based Tetley Group.

 World's second largest global brand.

 Tata Tea is largest tea brand in India.

CONT’D

 Product and brand presence in 40 countries.

 Among India's first multinational companies

.
 Plantation activity in India and Sri Lanka.

 86% profit from branded tea sale.

 14 per cent comes from Bulk Tea, Coffee, and

Investment Income
CONT’D

 Tata Tea ranked the second most trusted beverage

brand in Brand Equity Survey

 Year to date brand volumes grow by 14% compared

to the corresponding period of the previous year
CONT’D

 Headquarter in Kolkata

 Owns 27 tea estates in

o Assam

o West Bengal

o Kerala

 Catering to all major consumer segments

CONT’D

 The company has five major brands in the Indian

market

o Tata Tea

o Tetley

o Kanan Devan

o Chakra Gold

o Gemini (Agni)
CONT’D

 Tata Tea brand is accorded “Super

Brand” recognition in the country.

o 38 C&F agents

o 2500 stockists

o over 1.7 million retail outlets

 SEGMENTING
 Demographics

o Income

 Psychographics

o Lifestyle

o Values

 Behavior Segmentation

o Usage

o Loyalties
 TARGETING

 Income (20,000<…)

 Energetic

 Knowledgeable

 Responsible

 Trendy

 Ambitious
 POSITIONING

 “Taste Kaamyabi Ka” was the old positioning statement "of

Tata Tea.

 Television commercial featured, tennis star “Sania Mirza” and

prominent playback singer “Sunidhi Chauhan”

 Now They are positioning themselves by the campaign

“Jaago Re”.

 “ Har subah sirf utho nahi Jaago Re ”

 No celebrity is used in this campaign, however they are

highlighting general issues.

 Taste basis
 PEST ANALYSIS

 Political Factors
o Not any political factor is effecting the Tata Tea.

 Economical Factor
o Budget
o Reduction in Custom Duty

 Social
o Not able to be sold in all regions because of taste preferences
and low income of people.

 Technological Factors
o Crop declines by 10% due to adverse weather conditions and old
farming Technologies.
SWOT ANALYSIS OF TATA TEA
STRENGTH
• MARKET LEADER
• BRAND LOYALTY
• DISTRIBUTION CHANNELS
• INNOVATIVE FLAVOURS FOR INDIAN TASTE BUDS
• ADVERTISING STRATEGY

WEAKNESS
• TECHNOLOGICAL EFFECTIVENESS
• COST CONTROL
• HEALTH RELATED ISSUES

OPPORUNITIES
• UNEXPLOITED RURAL MARKETS
• INCREASING NUMBER OF WORKING YOUTH WHO PREFER TEA
• NEED FOR TEA

THREATS
• STRONG PRESENCE OF REGIONAL COMPETITORS
• COMPETITIVE PRICING
 Threats
• Unilever (Brooke Bond and Lipton) is the clear leader
• Holding over 30% of the market share
• Competition from unpackaged tea – Babe Di Hatti
• Cha bars - out-of-home consumption
• More than 45,000 vending machines in India
• Sell Coffee and soft Drinks
• Malt-based beverages such as Horlicks (GlaxoSmithKline) and Bournvita
(Cadbury Schweppes), are the favourite type of hot drinks in the South .
• Soft drinks such as carbonates
• Persuading many young consumers to migrate from tea to soft drinks.
http://www.euromonitor.com/All_the_tea_in_India
 Counterattack
• Launched series of campaigns to promote tea as a health drink.
– Celebrities and Scientists invited to endorse the health benefits of tea
• Tata Tea have set up a fund of Rs 200 million to promote tea drinking.
• Tata Tea is the largest vertically integrated tea firm
• From its plantation activity to its packaging and marketing
initiatives.
• Acquisition of the global Tetley brand in 2000 effectively consolidated its
position in the international tea market.
• Company has been the star performer in the global tea industry in recent
years.
http://www.euromonitor.com/All_the_tea_in_India
 COMPETITIVE ANALYSIS

 Biggest competitors are local players and HLL (HUL).

 Tata is getting the highest growth in its segment.

 Use to change its positioning statement according the trends of the

market.

 Reliable brand.

 Customer retention
 COMPETITIVE ANALYSIS

TATA TEA HINUSTAN UNILEVER LTD.

• Tata Tea • 2 Brands under the main brand.
• 5 brands under the main brand o Lipton
• Positioning by “Jaago Re” to all o Brook Bond
the age groups • Positioning on youths
• Competing on taste and • Competing on taste and freshness
aspiration basis basis
• Fastest Growing • Highest market share
 Future Plans - Sangeeta Talwar (Executive
Director –TATA Tea)
• Tata Tea is eyeing a substantial growth in South Asia
– Bangladesh, Sri Lanka and Pakistan
• South Asia - opportunity lay not in tapping a new market but growing in
the existing ones.
• In Bangladesh, market share of Tata is less than five percent.
• In Pakistan, it is less than seven percent.
• The market size in Bangladesh is around 45 million kg and official market
in Pakistan is around 70 million kg.
• It will take us around two years to achieve 10 percent market share in these
two countries.
 Cause Based Marketing - Head
• Jaago Re Campaign !!!!!
• Tata Tea has joined hands with Janaagraha

– A Bangalore based not-for-profit organisation for this campaign.

• The social campaign is integrated with the main advertising
campaign.
• Objective of the partnership is to motivate Indian youth to
participate actively in the electoral process of the country.
• Campaign revolves around the issue of corruption with a new ad-
line;
• 'Ab Se Khilana Bandh, Pilana Shuru'.
 Cause Based Marketing - Tail
• Pedagogical Objectives
• To analyse, at what stage of brand life cycle company focuses
on intellectual and self-actualization issues.
– Tata Tea positioned itself as a catalyst for social-awakening
through its Jaago Re! campaign.
• To understand Social-Cause Marketing (SCM) and

– Establish the relationship between these initiatives and the

long-term branding initiatives of Tata Tea.
• To differentiate between SCM and CSR initiatives.
 Tata Tea's Rural Marketing Initiative in U.P.

• “Gaon Chalo” - A Rural Marketing Project

• Tata Tea for penetrating rural markets decided to partner with
NGOs.
• For Ashutosh Shukla, 32-year-old youth of Uttar Pradesh’s, was
unemployed, then he got an offer to join Tata Tea’s ‘Gaon Chalo’,
• Shukla struggled initially, but then used his extensive understanding
of the terrain and its people to good effect. Today, he sells as much
as 1,300 kg of packaged tea a month.
• Tata Tea’s Share rose from 18 per cent in January-March 2006 to
21.4 per cent in January-March 2008.
Business World
Whom do you buy Tea for? (Tick one)

0.79

0.21

Myself Family Children

How often do you have Tea?
What quantity do you usually prefer to buy?

57%

16 % 16%

11%

 100g  200-250g 500g 1kg

What's the maximum amount you would
spend for a tea (100g)

28% 28%

17% 16%

11%

0-10 Rs10-20 20-30 30-40 40-50

Have you ever purchased loose leaf tea?

68%

21%

11%

Yes N0 No but I've wanted to try some 

Which is your most preferred channel for purchasing tea?

90%

10%

Grocery Store/RETAIL STORE Super Market/Hyper Store

 Through which medium did you come to know about your preferred tea
brand?

53%

26%
21%

0% 0%
 Hoardings and banners  Newspaper and magazines  TV/radio   Word of mouth  others
Rank the Tea brands from 1 to ,7 with 1 being least preferred and 5
being most preferred:
How important are the following factors for
purchasing a tea?
Do the following reasons influence your
consumption of tea?