Cigarettes Brands In India


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About the Cigarettes industries & Cigarettes brands in India, pricing & target market strategies.

  • Malbro is Not an ITC brand.. it is a phillip Morris brand & GPI has the rights now to distribute the products & cigratee
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  • i like black
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  • According to 2009 sales data, Marlboro is the most popular cigarette brand in the United States, with sales greater than the five leading competitors combined:

    Brand Market %
    Marlboro 39.9%
    Winston 9.9%
    Camel 6.4%
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  • Awesome Stuff.. I wonder from where you extracted all this info..

    btw what does it mean.. advertised in highter SES ?
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  • thnks dude
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Cigarettes Brands In India

  1. 1. CIGARETTE Analysis IN INDIA<br />Reviewed by:-<br />LALIT SONI (A-73)<br />
  2. 2. THE INDUSTRY IN SPECIFIC <br /><ul><li>The cigarette industry is one of the oldest industries in India.
  3. 3. It is an important AGRO based Industry.
  4. 4. It is highly labor intensive & provides livelihood to about 5 million people directly and indirectly.
  5. 5. Cigarette is an item falling under the First Schedule to the Industries (Development & Regulation) Act, 1951 and requires an industrial license.
  6. 6. India is the second largest producer of tobacco in the world.
  7. 7. It exports a good amount of cigarette in various countries, which generates a handsome amount of revenue for the company.</li></li></ul><li><ul><li>Cigarette exports during 2007-08 increased by 11 % in volume terms over the exports of previous year.
  8. 8. Major markets for cigarettes are UAE and USA, Romania, Saudi Arabia and Iraq where the demand for generic low cost cigarettes is growing.</li></ul>THE INDUSTRY IN SPECIFIC <br />
  9. 9. Cigarettes: Growth potential<br /><ul><li>Cigarettes account for only 15% of tobacco consumed in India unlike world pattern of 85% due to prolonged punitive taxation
  10. 10. Cigarettes (15% of tobacco consumption) contribute nearly 85% of Revenue to the Exchequer from tobacco sector
  11. 11. Of the 58% of adult Indian males who consume tobacco, barely 15% can afford cigarettes
  12. 12. Biri : Cigarettes ratio = 10 : 1
  13. 13. Annual per capita adult cigarette consumption in India is appx. one tenth world average : 85
  14. 14. Future growth depends on relative rates of growth of per capita income and moderation in taxes</li></li></ul><li>Cigarettes: Growth potential<br />15 % cigarettes<br />
  15. 15. Surveyed as per March-2009<br />
  16. 16. LIST OF MAJOR PLAYERS IN INDIAN CIGRATTE INDUSTRY<br /><ul><li>Godfrey Phillips (India) Ltd.
  17. 17. V.S.T. Industries Ltd.
  18. 18. ITC Limited
  19. 19. G.T.C. Industries Ltd.</li></li></ul><li>Market share<br />GTC 8%<br />GPI 12%<br />ITC 72 % <br />
  20. 20. BCG Matrix<br />?<br />Market attractiveness & Competitive strength is also important.<br />
  21. 21. ITCONE OF INDIA’S MOST VALUABLE CORPORATIONS<br /><ul><li>One of India’s premier private limited groups with over 99 years.
  22. 22. Large & established Distribution Networks.
  23. 23. Annually turnover of the co. is RS 2888 Crore 
  24. 24. It is one of the eight Indian companies to feature in Forbes A-list in 2004.
  25. 25. It has more then 21,000 employees at more then 60 location across India with 4,86,000 shareholders.
  26. 26. Ranks No. 4 among Indian listed Private Sector Companies bymarket cap. (@ April 09)
  27. 27. Rated as- one of India’s Most Respected Companies(IMRB-Business world Survey 2006)</li></li></ul><li>ITCHISTORY OF THE COMPANY<br /><ul><li>On 24th Aug. 1910 the company was incorporated as a private company under the name, Imperial Tobacco Co. of India ltd.
  28. 28. On 27th Oct. 1954 the company was converted into a public limited company.
  29. 29. The name of the company was changed from the ImperialTobacco co. of India ltd., to India Tobacco co. ltd. In May 1970.
  30. 30. On Oct. 1972 company entered into Hotel business.
  31. 31. On 2000 company has launched a project “ e- choupal” in Bhopal to Web-enable farmers to make a beginning in Agriculture e-trade.
  32. 32. During the same year ITC has launched Wills sport, a full range of internationally styled premium wear for Men & Women.</li></li></ul><li>Vision and Mission<br /><ul><li>Vision</li></ul>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.<br /><ul><li>Mission</li></ul>To enhance the wealth generating capability of the enterprise in a globalizing environment, delivering superior and sustainable stakeholder value.<br />
  33. 33. <ul><li>They have a DIFFERANTIAL MARKETING STRATEGY type.
  34. 34. Cigarette companies manipulate menthol levels to lure young smokers
  35. 35. Major brands and their advertising campaigns
  36. 36. Always use their existing channels.
  37. 37. Utilizing nominal resources related with the brand
  38. 38. Brand Ambassador are selected according to the brands and mostly are YOUTH ICONS
  39. 39. They emphasize on going with the FLOW and making their Followers . </li></ul>MARKETING STRATEGY<br />
  40. 40.
  41. 41. FMCG- CIGARETTES<br />
  42. 42. ITC’SCIGARETTE BUSINESS<br /><ul><li>Market leader in India.
  43. 43. Powerful Brands across segments.
  44. 44. Leadership in all segments - geographic & price.
  45. 45. Extensive FMCG distribution network.</li></ul> Direct servicing of 1,00,000 markets & nearly 2 million Retail outlets.<br /><ul><li>Exciting long term growth potential.
  46. 46. World-class state-of-the-art technology and products.</li></ul>Investment - Rs.10 billion in six years<br /><ul><li>About 71% of the Total Turnover depends upon this Business.</li></li></ul><li>CIGARETTE PRODUCTS <br /><ul><li> Super Premium Products
  47. 47. Insignia</li></ul>ITC Insignia. 97 mm.<br />Cost: Rs 130 for 20<br /> ‘‘Where quality touches infinity’’, ‘‘redefine perfection’’<br /> Advertised in Higher SES area<br /><ul><li>555</li></ul>ITC 555 premium filter: regular 84 mm.<br />Cost: Rs 100 for 20<br />Advertised in Higher SES<br />
  48. 48. <ul><li>India King</li></ul>ITC India King. 84 mm.<br />Cost: Rs 100 for 20<br />“Rule your World”<br />Advertised in Higher SES area<br /><ul><li>Wills Silk Cut(king size)</li></ul> ITC Wills Silk Cut Filter: 84 mm.<br /> Cost: Rs 88 for 20<br /> ‘‘A blend so right a filter so fine’’<br /> Advertised in Higher SES<br />
  49. 49. <ul><li> Premium Products
  50. 50. Wills Classic/Mild/Regular/Menthol / Ultra Mild</li></ul>ITC Wills Classic/Mild Filter: King<br /> 84 mm. Cost: Rs 94 for 20<br /> ‘‘Discover a passion’’<br /> Advertised in Higher SES<br /><ul><li>Wills Navy Cut(Filter Tipped)</li></ul>ITC Wills Navy Cut Filter: ,74 mm.<br /> Cost: Rs 68 for 20<br /> ‘‘Made for each other’’<br /> Advertised in Higher SES<br />
  51. 51. <ul><li>Wills Navy Cut(Duotec)</li></ul>ITC Wills Navy Cut Filter: ,84 mm. <br />Cost Rs 80 for 20<br />Advertised in Higher SES<br /><ul><li>Navy Cut(Regular Size)</li></ul>ITC Wills Navy Cut Filter: ,69 mm.<br />Cost Rs 48 for 20 <br />Advertised in Higher and Lower SES. <br />
  52. 52. <ul><li>Gold Flake(Premium)</li></ul> ITC Gold Flake Premium: Regular 69 mm. <br /> Cost: Rs 58 for 20<br /> ‘‘It’s Honeydew Smooth’’, Smooth, exquisite,<br /> timeless. But then, all art is’’<br /> Advertised in Higher and lower SES<br /><ul><li>Gold Flake King/Lights/Ultra Light Filter</li></ul> ITC Gold Flake King/Light: Regular 84 mm.<br />Cost: Rs 88 for 20<br />“Now in a Bevelled Edge pack”<br /> Advertised in Higher and lower SES<br />
  53. 53. <ul><li>benson & hedges(light & hard)
  54. 54. B & H under ITC Regular Size 84mm.
  55. 55. Cost : Rs 100 for 20
  56. 56. Advertised in Higher and Lower SES
  57. 57. Marlboro (light & hard)
  58. 58. Phillip Morris under ITC Regular Size 84 mm.
  59. 59. Cost : Rs 100 for 20
  60. 60. Advertised in Higher and Lower SES</li></li></ul><li><ul><li>Bingo Products
  61. 61. Wills Flake
  62. 62. ITC Wills Flake Filter Regular Size 69mm.
  63. 63. Cost : Rs 58 for 20
  64. 64. Advertised in Higher and Lower SES
  65. 65. Bristol
  66. 66. ITC Bristol Regular Size 69 mm.
  67. 67. Cost : Rs 32 for 20
  68. 68. ‘‘Rise to the taste’’
  69. 69. Advertised in Higher and Lower SES</li></li></ul><li>SWOT Analysis<br /><ul><li> Strength</li></ul>Biggest and the largest player in the Indian tobacco market with a market share of 80%.<br />Its Gold Flake tobacco brand is the largest FMCG brand in India - and this single brand alone holds 70% of the tobacco market.<br /><ul><li>Weakness</li></ul>It still has to consolidate its foot in the cigar market largely dominated by Godfrey Philips.<br />
  70. 70. SWOT Analysis<br /><ul><li> Opportunities</li></ul>ITC is moving into new and emerging markets like developing countries of Eastern Europe, Africa etc.<br /><ul><li>Threats</li></ul>The obvious threat is from competition, both domestic and international.<br />Health hazard<br />Increasing tax in Cigarettes<br />
  71. 71. <ul><li> Entry Barrier ANALYSIS
  72. 72. Supplier Bargaining Power
  73. 73. Buyer's Bargaining Power
  74. 74. Industry Rivalry
  75. 75. Substitutes</li></ul>Porter’s Five Forces analysis<br />
  76. 76. Summary on ITC’s SBUs<br />
  77. 77. GPI- Cigarettes<br />
  78. 78. <ul><li>The second largest player in the Indian cigarette industry.
  79. 79. Annual turnover exceeds INR 1800 crore (approx. US $369.6 million)
  80. 80. Has two major stakeholders, one of India's leading industrial houses - the K. K. Modi Group and one of the world's largest tobacco companies, Philip Morris.</li></ul>Godfrey Phillips India ltd.<br />
  81. 81. GPIHISTORY OF THE COMPANY<br />Incorporated in India in 1936, the Company established its own manufacturing facilities in 1944<br />On 1946 GODFREY PHILLIPS became a Public Ltd. Co. with its manufacturing operations in Mumbai <br />Its products are distributed through an extensive India wide network comprising 484 exclusive distributors and over 800,000 retail outlets<br />
  82. 82. Vision and Mission<br /><ul><li> Vision</li></ul>To become a leading tobacco player in India and beyond.<br /><ul><li>Mission</li></ul>empowers all its people to think and act radically, stretch relentlessly and generate path breaking ideas and strategies to propel the Company. This helps to create and build powerful brands with unmatched service and world class processes.<br />
  83. 83. MAJOR Brands<br /><ul><li> Four Square Filter</li></ul>GPI Four Square Filter: Regular.69 mm <br /> Cost: Rs 48 for 20<br /> ‘‘Man with the smooth edge’’<br /> Advertised in Higher and Lower SES<br /><ul><li>Stellar</li></ul>GPI Stellar Slims Cost: Rs76 for 20<br /> “Low nicotine, High Satisfaction”<br /> Advertised in Higher SES area<br />
  84. 84. <ul><li>GPI Red and White
  85. 85. GPI Red & White flake
  86. 86. Text in Hindi ‘‘Hum red and white </li></ul>peenewalonkibaat hi kuchaurhai’’<br /><ul><li> Cost: Rs 48 for 20</li></ul> Advertised in Higher and Lower SES<br /><ul><li>I-Gen
  87. 87. GPI Red & White Regular .
  88. 88. Introduced India’s 1st King size 5’s pack
  89. 89. India’s 1st Euro Norm 10-1-10 cigarette holds the promise </li></ul> of an advanced cigarette quality and immense style.<br /><ul><li>Advertised in Higher and Lower SES</li></li></ul><li><ul><li>jaisalmer
  90. 90. GPI Jaisalmer Premium king size .
  91. 91. It is a luxurious blend of finest sun dried </li></ul> Virginia tobaccos which deliver a smooth <br /> mellow flavor.<br /><ul><li>Advertised in Higher and Lower SES
  92. 92. north pole
  93. 93. GPI North Pole menthol
  94. 94. largest selling menthol cigarette in India
  95. 95. Advertised in Higher and Lower SES</li></li></ul><li><ul><li>cavanders
  96. 96. GPI’s Oldest & most trusted brand.
  97. 97. providing superb value and satisfaction
  98. 98. Cost:Rs 68 for 20
  99. 99. Advertised in Higher and Lower SES
  100. 100. tipper
  101. 101. Phillip Morris Tipper
  102. 102. The fastest growing micro segment brand
  103. 103. Advertised in Higher and Lower SES</li></li></ul><li>SWOT Analysis<br /><ul><li>Strength</li></ul>The second biggest tobacco company in India<br />The first and only tobacco company to organize the fragmented cigar market in India and secure its position as the market leader in the cigar distribution.<br />Partnering with some of the top most players in the international tobacco industry.<br /><ul><li> Weakness</li></ul>low popularity of most of its products<br /> No sole authority<br />
  104. 104. SWOT Analysis<br /><ul><li>Opportunities</li></ul>Already present in the Middle East, West Africa, South East Africa and South East Asia, GPI can strengthen its position as an international player by entering new markets.<br />Even expanding market share in the Indian tobacco market is an opportunity<br /><ul><li>Threats</li></ul>ITC getting into the cigar market<br />It has a mere 12% in market share<br />
  105. 105. <ul><li>New Entries:
  106. 106. Buyers bargaining powers:</li></ul>Oligopoly market situation.<br />➢ Suppliers bargaining power:<br />Fragmentation, consolidation & integration.<br />Low switching costs<br />➢ Threat of substitutes:<br />Depends on buyer to buyer. Some are Brand Loyalists.<br />➢ Competitive rivalry:<br />New innovative products by rivals.<br />Porter’s Five Forces analysis<br />
  107. 107. Golden tobacco ltd.<br />
  108. 108. GOLDEN TOBACCO LIMITEDProfile<br /><ul><li>GPC is a professionally managed organization in the field of tobacco and tobacco related products.
  109. 109. Established in the year 1930 by the late ShriNarseeMonjee.
  110. 110. GTC is the first wholly owned company specializes in manufacturing & exporting an exclusive range of Cigarettes, Flavor Cigar & Non Tobacco smoking product.
  111. 111. GTC has manpower strength of 2000 employees spread across manufacturing.
  112. 112. The Company has two major production facilities in Mumbai as well as Baroda.</li></li></ul><li>Vision and Mission<br /><ul><li>Vision
  113. 113. To be a largest, Human sensitive , Global Tobacco Company.
  114. 114. Mission
  115. 115. Constant R & D to develop the finest blends guided by relentless focus to deliver world class packaging, with the aim to exceed expectations of our consumers both in India and around the globe . All of our long-term strategies & short-term will be bound by the finest standards of professionalism and dedication.</li></li></ul><li>MARKETING STRATEGY<br /><ul><li>We work with commitment , dedication & Integrity towards a common goal.
  116. 116. We are an equal opportunity Employer.
  117. 117. We believe that learning is a life long process & provide an environment attuned to growth.
  118. 118. We are a balance of the boldness, energy and courage of youth, sharpened by the experience, foresightedness and wisdom of veterans.</li></li></ul><li>Major brands<br /><ul><li>PANAMA
  119. 119. A Legendry brand of GTC.
  120. 120. The company has launched several variants in the Panama portfolio.
  121. 121. Some of these are:
  122. 122. Panama Virginia Regular
  123. 123. Panama Filter
  124. 124. Panama Gold
  125. 125. Panama Premium Filter
  126. 126. Panama Delight
  127. 127. Panama Menthol
  128. 128. Panama Mini Kings</li></li></ul><li><ul><li>chancellor
  129. 129. The Chancellor name is given to Golden Tobacco’s Finest Blends.
  130. 130. Chancellor as a symbol of quality cigarettes.
  131. 131. Chancellor Browns:
  132. 132. A unique Premium blend in the king size segment
  133. 133. It is a sophisticated & stylish product.
  134. 134. Chancellor Royale:
  135. 135. Which appeals to the modern age consumers who have royal tastes & hearts of Gold.
  136. 136. Chancellor Exclusive:
  137. 137. Unique Brown Cigarettes in Regular size with Distinctive Flavor.
  138. 138. Chancellor Harvard Luxury:
  139. 139. A Consumer’s Favorite since ages.
  140. 140. Chancellor Lights:
  141. 141. A mind blend of finest tobacco, in a style White pack.</li></li></ul><li><ul><li>Golden
  142. 142. Carving a niche for itself in the crowded marketplace is the Golden’s Brand.
  143. 143. An assurance of quality, for the value conscious smoker.
  144. 144. Golden’s Gold Flake
  145. 145. A strong blend.
  146. 146. Which allows the smoker to derive</li></ul> immense pleasure.<br /><ul><li>Golden’s Major
  147. 147. A tribute to the Macho, Courageous and Bold personalities.
  148. 148. The packaging of Golden major has been inspired from the Defense fraternity.</li></li></ul><li><ul><li>taj chap
  149. 149. A heritage brand of Golden Tobacco
  150. 150. Market for more than 35 years.
  151. 151. The only Premium brown cigarette in the</li></ul> non filter segment.<br /><ul><li>style mini kings
  152. 152. Launch more than 25 years ago
  153. 153. To cater to the changing youth of the country,</li></ul> The name STYLE says it all.<br /><ul><li>A distinctive blend , which was very well accepted by the Indian Youth.</li></li></ul><li><ul><li> steel(Regular & king size)
  154. 154. Steel-” It Separates Men From Boys”.
  155. 155. Targeted at the youthful Rich & smooth smoker,</li></ul> With new look packaging & style.<br /><ul><li>Regular size of Steel has been a huge success.
  156. 156. June(Light & menthol Flavors)
  157. 157. Premium quality Virginia blend producing </li></ul> rich & pleasant characteristics.<br /><ul><li>June Slim has been designed meticulously to </li></ul> suit the life styles of those who like to carry themselves.<br />
  158. 158. <ul><li> just black
  159. 159. A Flavored Filter Cigar
  160. 160. Flavors: Full flavor, mild, menthol, cherry,</li></ul> Chocolate vanilla, peach, rum, raspberry,<br /> Sour apple, strawberry & grapes. <br /><ul><li>lips
  161. 161. Lips flavored cigars(in tube pack)have a sweet</li></ul> filtered tip and are loaded with flavor.<br /><ul><li>Each cigar is packed in its own individual plastic tube.
  162. 162. An ideal product to carry around in your pocket.</li></li></ul><li>Vazir sultan Tobacco Industries ltd.<br />
  163. 163. Vst ltd.Profile<br /><ul><li>The company was incorporated in 1930 at Hyderabad .
  164. 164. The third largest player of Cigarette industry in India.
  165. 165. In 1984 the name of the Company was changed from The Vazir Sultan Tobacco Co. Ltd. to VST Industries Ltd.
  166. 166. The Company embarked upon a major modernization program designed to improve its competitive ability in domestic and international markets.
  167. 167. The company recorded revenues of INR3,401.7 million (approximately $84.5 million) in the fiscal year ended March 2008.
  168. 168. The Company manufactures and distributes Cigarettes The products are sold under the trade names `Charminar Specials', `Shah-I-Deccan', `Qila', `High Court', `Vazir' and `Ambassador'.</li></li></ul><li><ul><li>chArms
  169. 169. A Legendry brand of VST.
  170. 170. ‘‘The taste that sets you free’’
  171. 171. Advertised in Lower SES</li></ul>Major brands<br />
  172. 172. <ul><li>Charminar
  173. 173. A Legendry brand of VST.
  174. 174. The company has launched several variants in the Charminar portfolio.
  175. 175. Some of these are:
  176. 176. Charminar Special Filter
  177. 177. Charminar Plain
  178. 178. Charminar Standard.
  179. 179. Advertised in Lower & High SES</li></ul> Area.<br />
  180. 180. Thank you<br />
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