Biscuit industry 3rd deliverable v3
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Biscuit industry 3rd deliverable v3

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  • 1. FMCG
    Biscuits
  • 2. PRICE POINT TABLE
    Source: Lit searches; Scribd
  • 3. ENERGY POINT TABLE
    Source: Lit searches; Scribd
  • 4. Distribution channel for biscuits
    Source: Lit searches; Scribd
  • 5. “The supply chain of products in the FMCG market in India is one of the longest supply chains an industry could really have. There are as many as 5 levels of intermediaries involved in the entire supply chain through which a product passes before reaching the end consumer.”
    Source: Bee Management Consultancy Services Pvt Ltd report on analysis and distribution channels on various sectors, 2005
  • 6. Parle
    Parle maintains 9 mother units and 70 contract manufacturing units across the country
    Distribution network (~ 5000 distributors)
    Distributors arrange their own transport
    Urban
    Rural
    Through the normal 5 layered distribution channel
    Directly from the company:
    Parle trucks deliver material
    600gm packs are delivered from the factory only
    ‘Dedicted Parle Shops’ which keep only Parle products
    Source: Factory visit
  • 7. Parle ~ Marketing history
  • 8. 1980's….
    Parle-G started being advertised
    Mainly through press ads
    The communication spoke about the basic benefits of energy and nutrition.
  • 9. 1989
    Parle-G released its Dadaji commercial, which went on to become one of the most popular commercials for Parle-G. The commercial was run for a period of 6 years.
  • 10. 2002
    Parle-G MeraSapnaSachHoga'
    Bringing the brand closer to the major consumer: Children
    Brand Ambassadors: Hrithik Roshan & Ricky Ponting
  • 11. 1997
    PARLE – G SPONSORED TELE-SERIES SHAKTIMAN
    Huge Success!!
    Parle extended this association with Shaktimaan and gave away a lotof merchandise of Shaktimaan
  • 12. 2002 – G MAN
    New ambassador for Parle-G
    Superhero who defeats evil
  • 13. 2005 : Golu Galata contest
  • 14. Brand positioning
    ‘G for Genius’ since 2004.
    2006-07: Changed to ‘Hindustan kiTaakat’, to assume a bigger platform as the biscuit that stands for strength (taakat) in and for India.
    But in early 2008, Parle-G reverted to its ‘G for Genius’ line with a little twist – ‘Do Genius EkTaakat’.
  • 15. ITC
    Uses FIFO method to reduce wastage of goods due to expiry
    Keep goods on constant move from low sales area to high sales area
    Company collects expired goods 4 times a year and destroys them
    ITC provides the retailers with racks, hangers, etc to display the products
    Source: http://www.itcportal.com/about-itc/newsroom/press-reports/PressReport.aspx?id=468&type=C&news=ITC%20foods%20growt
    h%20spawns%20Rs%20700%20crore%20brand
  • 16. Britannia
    Marketing strategy include
    Product and packaging innovations
    Appropriate pricing
    Strong distribution channel
  • 17. Britannia
    No major strategic innovations in distribution channels
    More than 600000 outlets across the country
    Britannia has maintained an excellent distribution channel in urban India
    But ~70% of the Indian population is in villages and Britannia needs to tap this market
    “We have good strong distribution channels 50 % of our revenue comes from
    rural markets “- Vinita Bali
    Source: http://www.paterson.co.in/downloads/Britannia%20Ind%20-%20Paterson.pdf
  • 18. Three manufaturing plants :
    Greater Noida
    Lucknow (U.P.)
    Surat (Gujarat)
    Concentrated mainly on Nothern and central part of the country.
    Distribution channel consist of super stockists and distributors.
    125 : Super stockists
    3500 : Distributors
    Greater availibilty in the Rural Market of the North.
    Provide biscuits to airlines,railways, food kiosks present at railway stations (300 railway stations)
    Priyagold
  • 19. Ways to improve distribution channel
    Partnering with Self Help Groups in Rural India.
    Internet based Rural Kiosks/Hubs
    Direct Selling
    Marketing and distribution model like ShaktiAmma by HUL
    Source: http://www.oppapers.com/essays/Innovative-Distribution-Channels-Fmcg-India/120552
  • 20. References
    http://www.businesseconomics.in/index.php?option=com_content&view=article&id=145&Itemid=6
    Enterpreneur issue september 2009
    http://knowledge.wharton.upenn.edu/india/article.cfm?articleid=4341
    http://www.managementparadise.com/articles.php
  • 21. Thank you