2. MANAGING DIRECTOR-PERFETTI VAN MELLE
SAMEER SUNEJA
MANAGING DIRECTOR, PERFETTI VAN MELLE INDIA
Sameer Suneja, Managing Director, Perfetti Van Melle has been with the Indian
confectionery major for 15 years now. Accredited as among "India's Hottest Young
Marketers" in 2005 by Brand Equity and also one of "India's Hottest Young
Executives" in 2008 by Business Today, Sameer is largely responsible for building
the brands at PVM and creating some memorable and award winning advertising.
Sameer joined PVMI during its start up days and has played a key role in the
company's distinguished growth over the years. Perfetti Van Melle is the
undisputed leader in sugar confectionery today and most of its brands are market
leaders in their respective segments.
Sameer joined the company as a Brand Manager in 1997 and subsequently
moved to Milan for an International Marketing assignment where he spent a couple
of years. He returned to India in early 2002 and was the Head of Marketing and
subsequently became Head Sales and Marketing. He became the Managing
Director three years ago and is among the youngest Managing Directors in the
country running a company with a turnover of 1200 Crores. During his stint as a
Managing Director, the company has seen exponential top line and bottom line
growth.
An MBA from IIM Bangalore ('94 batch), he started his career at Colgate Palmolive.
From there he moved on to Frito-Lay before joining Perfetti Van Melle. Website:
http://www.perfettivanmelle.in
3. GLOBAL OVERVIEW OF PERFETTI VAN MELLE
Largest Manufacturer of Confectionary and
Chewing-gum products.
Two brothers Ambrogio and Egidio Perfetti founded
“Perfetti” in 1946.
Izaak Van Mella founded “Van Melle” in 1841.
“Perfetti” acquired “Van Melle” in Jan 2001 and
became “Perfetti Van Melle”.
4. PERFETTI „S BRANDS IN INDIA
Alpenliebe
Center Fruit
Chlormint
Chocoliebe
Creamfills
Mangofillz
Marbels
Mentos
Big Babol
Center Fresh
Happydent Wave
Happydent White
Sugar Free
Lollipops
Center Shock
Fruitella
5. STOP NOT
Perfetti van Melle, a leading confectionery maker,
forayed into the Rs 3,000 crore Indian packaged
snacks market with its own brand of snacks called
„Stop Not.‟
Launched in Dec‟11.
Currently available in “Golz”(ring shaped) category
with 4 exciting flavours.
6. THE INDIAN SNACKS MARKET
According to a study by McKinsey&Co, the Indian
food market will grow two fold by 2025 with the
rapidly growing Indian economy and improving
lifestyles of Indians contributing in a big way to this
growth.
The Indian snacks market is worth around US$ 3
billion.
The snacks Market in India is growing at a rate of
45 % every year.
Frito-Lays, Haldirams,etc are some of the dominant
players in the market.
8. SWOT ANALYSIS ON STOP NOT
Strengths
STRONG BRAND VALUE : The product comes with the “PERFETTI VAN MELLE” tag so its
needless to say it has a pretty strong brand value.
ATTRACTIVE PACKAGING: The management has given the product a very impressive
packaging, quite different from competitors‟.
STRONG DISTRIBUTION CHANNELS : As the company is already into dominant confectionary
business, it doesn‟t require to explore for the markets.
EXPERIENCED MANAGEMENT TEAM : The company is running by a quite experienced
management team operating in India for the last 16-17 years.
GOOD MARGIN FOR RETAILERS : The company is providing a good margin(substantially high
but yet attractive) to its retail counters, giving an edge over its competitors‟ product.
UNIQUE PRODUCT : The company launched its snacks product which is quite different from
what its competitors are selling.
STRONG FINANCIAL POSITION: Being a Rs.1200 crore company in India, it enjoys a strong
financial reputation.
9. WEAKNESS
LACKS IN TASTE : Unfortunately, the product has failed to impress
the masses due to its low masala content and spiciness. Therefore,
the product needs a review from its R&D team.
“SPICY SOUTH” SALE IS STAGNANT : The “Spicy South” flavour
is not doing good in the market as compared to its other flavours.
DISTRIBUTORS’ LACK OF INTEREST : It has been observed that
the distributors are not taking much interest in the snacks item as
they are considering it as an extra burden due to its space
consuming cartons.
PACKAGING LOOKS SMALL : The packaging looks small as
compared to the other snacks available in the market.
SHORTAGE OF STANDS : The Product‟s demand is favourably high
at the moment due to its intensive promotion through T.V.
advertisement, but shortage of stands for big packs at the retail
counters might pose a threat to its sale.
10. OPPORTUNITIES
STAGNANT SUPPLY OF “KURKURE” : Brand “Kurkure” is one of the major
threat to the product‟s sale. According to retailers the supply of “kurkure” is very
stagnant at the moment, so its an opportunity for the product to increase its sales
NEEDS A SEPARATE DISTRIBUTOR : The product requires separate sole snack
selling distributor due to the lack of interest of confectionary selling distributors.
The distributors are demanding extra carriage cost due to its space consuming
cartons. Otherwise the distributors might dump the whole snacks consignment into
the wholesale markets which might affect the sale of the product and its availability
in the retail market.
SMALL NET BAGS : The big packs of the product requires small net bags for the
retail counters who cannot afford to buy the quantity required for the stand and
also who buy in low quantities. This can increase the sale of the big packs.
REQUIRES A PRODUCT LINE : The product should be ready with a completely
new set of snacks which should be improvised with more masala content and
spiciness, else its brand might die.
11. THREATS
MARKET SHARE LEADERSHIP : The major
threat to the product is from the undisputed snacks
leader “Frito-lays”. We stand nowhere to its sales at
the moment, but surely we can give them a tough
competition in near future, if are able to improvise
on our product range.
COMPETITORS SELLING EXTRA: All the major
brands in the competition like Bingo, kurkure, parle,
oyes are giving some percent extra in their packs
resulting in large looking packaging of their product.
12. ADVERTISING
From “Dimaag ki batti jala de!” to Zubaan pe
Lagaam!”, Perfetti has done it all. A major chunk of
their funds is kept aside for advertising. Also PVM
has shown creativity in its packaging as well as
communications and promotions.
Keeping upto the expectations PVM came up with
another impressive commercial for “Stop Not”.
However, advertising has to be backed by
availability of the product, in order for the
advertising to deliver the desired results and
Perfetti has taken care to ensure the same.
14. PRODUCT STRATEGY
Perfetti has several mouth-watering and heavy-
selling candies as a part of their Product portfolio.
Launching a snacks product added one more star
to their credentials.
Launched in Dec‟2011, STOP NOT is a completely
indigenously developed snack, inspired from the
flavours of the Indian kitchen. Made hygienically,
using the best raw materials, Stop Not variants
have been developed by combining Indian food
preferences with the most modern food processing
technology.
Currently available in 4 flavors- Full Masala, Spicy
South, Tangy Tomato, and Khatti Metthi.
15. ANALYSIS OF THE PRODUCT STRATEGY
The Major components of Perfetti‟s Products, which
need to be analysed are:
Design
Packaging
Quality
16. DESIGN
Each of Perfetti‟s various brands and their variants have
distinct design features. “Stop Not” comes with a face
print on its packaging with different colors for each of its
flavours which makes them easily identifiable among the
other brands.
PACKAGING
With its attractive packaging, “Stop Not” has managed to
arouse interest in the consumer market.
QUALITY
Perfetti focusses greatly on the quality of their
products.They have 3 ISO22000 certified
manufacturing units located in Manesar, Chennai and
Rudrapur.
17. PRICE STRATEGY
For all we know, Perfetti has been following the
simplest of pricing strategies. It launched “Stop
Not” in 2 price segments viz.,a 5 rupee and a 10
rupee pack, keeping in line with its competitors‟.
ANALYSIS:
The company has been following an economic
pricing strategy right from the starting. For “Stop
Not”, it has been aiming at maximising its market
share by giving comparitavely higher margin and
promotional offers to the retailers as compared to
its competitors.
18. PLACE(DISTRIBUTION) STRATEGY
Perfetti Van Melle manufacturing units in India are
located in Manesar,Chennai and Rudrapur. From
these the distribution is done in four regions, and
has branch offices in Delhi, Mumbai, Kolkata and
Bangalore to manage sales in the region.
ANALYSIS:
With Distribution channels already been set for its
confectionary products, the company does not have
to explore for the markets for “Stop Not”.
19. PROMOTION STRATEGY
To consolidate its worldwide market presence,
Perfetti has always paid special attention to
advertising, in terms of investments and
creativity,as they both play a vital role in the
creation of the product‟s personality and market
positioning.
The promotion strategy adopted by Perfetti for
launching “Stop Not” are :
Advertising
Events and Experiences
