Sales and Distribution

1. Prestige Institute of
Management and Research,
Indore

2. ITC Limited
•ITC is one of the India’s foremost private sector companies with a market
capitalization of nearly US $ 19 billion and a turnover of over US $ 5 billion.
•ITC is has a diversified presence in Hotels, Paperboards & specialty &
Confectionery, Information Technology, Branded Apparel, Personal care,
Stationery, Safety Matches and other FMCG products.
•ITC’s diversified status originates from its corporate strategy aimed at
creating multiple drivers of growth anchored on its time-tested core
competencies:
•Unmatched distribution reach, superior brand-building capabilities, effective
supply chain management and acknowledged service skills in hoteliering

3. The Product Mix
•FMCG
 Foods
 Lifestyle retailing
 Personal care
 Stationery
 Safety Matches
 Agarbatti
•Hotels
•Agri-business
•Paperboard and Packaging
•Information Technology

4. The composition
•Manufacturing Unit:
Separate for each product line
Backward Integration
Contract Manufacturing
E- Chaupal
•Storage Hubs:
Stores all the products

5. Cont…
•Distributors
Exclusive based on population
Needs to stock all FMCG products(Except Stationery)
•Wholesalers
•Retailers
•Paanwalas
Deepest penetration possible

6. Channel Type
 3-Level Distribution Channel:
Wholesale
Distributor
WholesaleCompany Retailers Consumer
•2- Level Distribution Channel:
consumerRetailersWholesalerDistributor

8. Aashirvaad Atta (Staples)
•ITC entered the branded Atta market with the launch of Aashirvaad Atta in
Jaipur and Chandigarh on 26 May 2002.
•The product is now available all over India.
•The Aashirvaad Atta is made from Sharbati wheat which comes from Madhya
Pradesh. Aashirvaad select Atta (5 kg pack) was awarded the World Star Award
for Excellence in Packaging in the Consumer Pack Category.

9. Yippee Noodles
Introduction:
•ITC has launched noodles brand Sunfeast Yippee in the year 2010 in the Indian
market.
•Indian noodles segment has mow become a huge market worth Rs1200crore.
Product Attributes:-
•Wheat is the Key ingredient.
•No lumping even 30mins after cooking.
•Available in round cake.
•Available in two variants:
Classic & Magic Masala

10. Segment & Target
Segment
•Segmented for Youngsters mainly.
Target
•Mainly targeted towards working individuals.
•Mothers as they purchase and wants healthy food for their children.

11. Distribution Network

12. Sunfeast Biscuits
•Launched in July, 2003
•Growth rate of 53%
•Turnover of over 1000 crore
•Wide categorization
Products:
GLUCOSE
MARIE
BUTTERBITE AND CREAM

13. Distribution Network
•ITC uses FIFO method to reduce the wastage of goods due to expiry.
•They also keep the good on constant move from low sales area to high sales area.
•The company collects all the expired goods four times a year, and destroys them.
•Retailers must return expired or damaged products within six months after the
date of expire.

14. Bingo
•Bingo positioned itself as chips with an Indian twist. The 16 flavors were
introduced at launch were carefully developed through R&D.
• The initial offerings were a mix off potato chips and finger snacks.
•The Potato chips segment includes variants like masala , salted, tomato inspired
by the snacking habits of the Indian consumer.
•The offerings under finger Snacks include the pakoda inspired ‘Live Wires’ and
Khakra inspired ‘Mad Angles’
•These offerings were further differentiated by providing SKU’s at Rs5. Rs.10 and
Rs.20

15. Distribution Network
ITC already had a well-established distribution network through its
permanently offerings which was leveraged in case of Bingo.
Further, the company distributed 4 lakh racks across all retailers to display the
brand at all Points-of –sale.
Within 6 months, Bingo was available across 2,50,000 retailers across the
country.
A crucial alliance with Future group which lead to all future group retail outlets
like Big Bazaar, Food Bazaar stocking only ITC’s Bingo.

16. Thank You