FMCG Sector Analysis, Tata Global Beverages Company Beverages SWOT Analysis, Product Portfolio, Sales Forecast, Factor analysis for Consumer Buying behavior, STP OF Himalaya Water

2. FINAL PROJECT :
SEMESTER 2
TATA GLOBAL BEVERAGES-
HIMALAYA WATER
PREPARED BY: RINSHI SINGH
DIVISON: PGDM 4
BATCH: 2017- 2019
PRN: DM17D38
SEMESTER 2

3. FMCG SECTOR
• FAST-MOVING CONSUMER GOODS (FMCG) SECTOR IS THE 4TH LARGEST SECTOR
IN INDIAN ECONOMY WITH HOUSEHOLD & PERSONAL CARE CONTRIBUTING 50 %
OF FMCG SALES IN INDIA.
31.6 33.3 35.7 38.8
43.1
49
57.4
68.4
83.3
103.7
2011 2012 2013 2014 2015 2016 2017 2018F 2019F 2020F
Trends in FMCG Revenue over the years
(US$ billion)
REVENUE
60%
40%
MARKET SHARE
URBAN
RURAL
23%
19%
15%
7%
5%
6%
16%
9%
Revenue share
Haircare
Foods
Oral care
Digestives
Skin care
Home care
Healthcare Supplements
OTC & Ethicals

4. GROWTH DRIVERS
FMCG GOWTH
FACTORS
GROWING
DEMAND
STRONG
DISTRIBUTION
CHANNEL
ATTRACTIVE
OPPORTUNITY
GROWING
RURAL
MARKET
POLICY
SUPPORT
EVOLVING
CONSUMER
LIFESTYLE
Competitive
Rivalry
HIGH
Buyer's
Power
HIGH
Supplier's
power
LOW
Threat of
substitute
HIGH
Threat of
New
Entrants
MEDIUM
POSITIVE IMPACT
NEGATIVE IMPACT
NEUTRAL IMPACT
PORTERSFIVE FORCES MODEL

5. COMPANYSNAPSHOT

6. PRODUCT PORTFOLIO
TEA
COFFEE

7. WATER

8. STRENGTH
Massive Distribution Network
Strong Financial Performance
Brand& Regular Packaging Innovation
Market Penetration in India
Value Packs
WEAKNESS
Business in the Middle East
Poor penetration in Rural Market
Low Margin
Inability to Penetrate upmarket tea segment
OPPORTUNITY
Tea Pubs
Brand Extension
Value Added Products
Strong economic indicator
THREATS
Competition from unbranded & local products
Increased concerns for Health
SWOT ANALYSIS
TATA GLOBAL BEVERAGES- SWOT
ANALYSIS

9. PRODUCT
CATEGORY
MARKET LEADER OTHER LEADING PLAYERS
HAIR OIL 30% 19%
SHAMPOO 47% 27%
ORAL CARE 54.9% 60% 14%
SKIN CARE 64% 12% 3%
BEVERAGES 50% 40%
MARKETING MANAGEMENT- HIMALAYA WATER

10. MARKETING-STP OF ‘HIMALAYA WATER’
SEGMENTATION
GEOGRAPHIC
Available
throughout the
country(Tier
I&11 cities)
Both urban
and rural
areas.
DEMOGRAPHIC
Anyone who
needs water in
any location
PYSCHOGRAPHIC
Filter &
Clean
Water
BEHAVIORAL
Quality,
Economy
Loyal towards
the brand
TARGETING
• Health Conscious people
• Tier I cities & Tier II cities
• Premium Segment with likeness for
supreme quality of Water
POSITIONING
• Point of Parity(PoP)
• Point of Differentiation (PoD)
• High Quality natural water
• Premium Imagery

11. Strengths
1. The brand is the perfect beverage of choice
Among wellness seekers
2. Himalayan stands out as an authentic
Brand in its category
3.The presence of natural minerals
differentiates Himalayan from other
bottled water brands
Weaknesses
1.Company competing on quality in a price
sensitive Indian mineral water segment
2.Target customer are
Low & geographically scattered making
Distribution network complex & less
profitable
Opportunities
1.Ability of International & Iconic Brand
2. It can leverage supreme
Distribution network of parent
Company Tata to expand its markets
Threats
1.Intense competition from other major
Players in mineral water segment &
increasing capacity of competitor bottlers
2.Excessive premium for high quality
May hamper the brand.
SWOT analysis of
HIMALAYA WATER
SWOT ANALYSIS- “HIMALAYA WATER”

12. INTRODUCTI
ON
GROWT
H
MATURIT
Y
DECLIN
E
Himalay
a Water
MARKETING- PRODUCT LIFE CYLCE
(HIMALAYA WATER)

13. MARKETING MIX ( 4P’S)
Source: PHILIP KOTLER and mbaskool.com
PRODUCT PRICE
PLACE PROMOTION
• Available in 6 pack sizes- 2 Ltr.,1.5 Ltr.,1
Ltr.,750 ml.,500ml.,200 ml.
• The water was sourced from large pristine
& protected acquifer-Process take period of
20 years
• Brand mythology captured eloquently on
every bottle of Himalayan natural mineral
water.
VARIANTS PRICE
200ml ₹ 18
500 ml ₹ 35
750 ml
₹ 25 (retail
market) &
₹45
1 ltr. ₹ 60
1.5 Ltr. ₹69
2 Ltr. ₹ 80
• “Premium Pricing” Strategy.
• Higher than other normal
bottled water which come at
price Rs.10-15 but its price
was very much competitive• TATA beverages division has entered
into a 50:50 joint venture with
PepsiCo. for Handling marketing, sales
& distribution of PepsiCo throughout
world
• Distributing the product through:
5StarHotel
• TV
• Radio
• ‘Live Natural’ aptly captures
this brands credo
• Brand is promoted by
highlighting fact that it is
untouched &
unprocessed, with unique
taste acquired over
20years of percolation

14. DISTRIBUTION CHANNEL OF HIMALAYA WATER
• They are using indirect channel distribution as they have to sell in larger geographical area- prefer
3-level/2-level channel of distribution.
Manufacturer
• This channel is also known as the traditional channel & best suited for FMCG Products.
Wholesaler Retailer Customer

15. Manufacturer Customer
Today’s using 1 level channel distributional so through ecommerce
platform like-Amazon, Flipkart, Big-Basket, Grofers etc. &it is quite
important in today’s world where everyone is tech-savvy.

16. DIGITAL MARKETING STRATEGY
• India: Tata Global Beverages, company famous for memorable
advertising campaigns like Jaago Re has come up with new advertising
campaign for Tata Coffee brand-new instant coffee
• Bran Campaign include Marketing Mix-
A series of disruptive web films that launch a mission to ‘Kill Bad
Coffee’
An edgy, disruptive & young-at-heart television commercial
Digital activation across social media platforms
Media & PR integration & activations
A 360-degree virtual reality tour of Tata Coffee Plantations in South
India–viewed 23 on Social Media or on Google Cardboard via mobile

17. • Brand includes communication mix:-
At the heart of this communication mix is “The Granny-The Agent of Change”
She’s a trend Setter who is sure to connect with audiences of all ages thanks to her ‘swag’ & the
way she communicates: Rap Music.
New television commercial for this Campaign is fun & quirky & sure to keep audience hooked.
The way it should be-Conceptualized by Mullen Lintas, the campaign will be supported by an
extensive Social Media Plan & Media integrations

19. SALES FORECAST FOR HIMALYA WATER
Sales
(2014)
Sales
(2015)
Sales
(2016)
Sales
(2017)
Sales
2018
(Forecaste
d) by
Moving
Average
Sales
2018
(Forecasted)
Sales
2018
(Forecasted) by
Exponential
Soothing
Method
Q1 605.53 649.14 676.75 697 674.15 643.81 654.36
Q2 707.53 783.82 804.10 859 815.79 765.15 784.01
Q3 681.9 722.55 736.85 795 751.40 713.77 729.97
Q4 759.14 744.38 769.92 848 787.58 757.81 775.94
• Forecasted Sales for the year = Actual Sales* L + (1-L)*Forecasted Sales of Current Year
• Assume=L as 0.2

20. KMO and Bartlett's Test
Kaiser-Meyer-Olkin Measure of Sampling Adequacy. .716
Bartlett's Test of Sphericity Approx. Chi-Square 152.769
df 91
Sig. .002
FACTOR ANALYSIS
• PRICE
• AVAILAVBILITY
• PACKAGING
• QUALITY
• TASTE
• BRAND
• OFFERS