INSTAFLAKE
S
Guided by :
Prof. Sachin Lele
Presentation by:
Sakshi Pandey
(18340)
Sergi Patrick
(18341)
Shreya Chatterjee
(18344)
Tushar Ranjan
(18442)
SMART
BREAKFAST
 Product : Cornflakes
 Category : Break fast
cereal
 Sector : Food and
Beverages
 Tagline : “SMART
BREAKFAST”
PRODUCT OVERVIEW
WHY ?
 Rising Disposable Income:
India is an unsaturated and attractive market. It is one of the fastest
budding economies in the world. The economy is expected to grow at
the rate of 9-9.5 percent during 2012-2017.
 Emerging Middle Class:
Economic growth has given rise to an emerging middle class .They will
be a primarily responsible for rise in consumer spending and will
account for 59 percent of the country’s total consumption by 2025.
 Rising Health Awareness:
People are moving towards balanced and healthy diet to keep control on
life style diseases. Better health awareness, higher sales of breakfast
cereals like cornflakes.
MARKET SHARE ,SIZE AND
COMPETITING BRANDS
 India’s cornflakes market is worth USD 157 million in 2015 and with a
CAGR of 22.07 %.
(http://www.businesswire.com/news/home/20160314006188/en/India-
Breakfast-Cereal-Market-Overview-2016-)
 Cornflake is the valuable product in the breakfast category with a
market share of 70% as per 2017. The second largest category in the
breakfast cereal market is oats.
COMPETITING BRANDS:
COMPETITORS
RICE KRISPIES OATS CHOCOS
CORE ATTRIBUTES
 Weight and Hunger
Eating cereal in the morning makes us less likely to experience cravings
for unhealthy, high-calorie and high-fat foods later in the day.
 Nutrition
One cup of dry bran cereal offers nearly 4 grams of protein and 7 grams
of dietary fiber with less than 7 grams of sugar.
 Health Benefits
The benefits of eating nutritious cereal for breakfast go beyond staying
full and avoiding obesity.
 Practical Benefits
As a nonperishable food, it’s economical, easy to store, easy to prepare
and easy to transport
SURVEY RESPONSE
MARKET SEGMENTING
DEMOGRAPHIC
Kids & Adults- Plain cornflakes are actually targeted to children.
PSYCHOGRAPHIC
Health Conscious Public- Cornflakes has a proper image of very
healthy and nutritious food makers in market.
BEHAVIORAL
Usage Rate- Cornflakes targets people that frequently buy the
product.
TARGET MARKET
AGE 8-11
YEARS
HEALTH CONCIOUS
WOMEN
OLD PEOPLE
OFFICE GOERS
HEALTH CONCIOUS
PEOPLE
MARKET POSITIONING
Positioning as complete health
beneficial product.
Product which goes in phase
with busy generation.
Instant and time saving during
breakfast.
PESTEL ANALYSIS
 POLITICAL ENVIRONMENT- In India, Government supports the
product related to healthy and also as a breakfast staple.
 ECONOMIC ENVIRONMENT- Cornflakes has such high demand in
the market that its sales are not much affected when recession
occurs.
 SOCIAL ENVIRONMENT- People are very conscious about their
health nowadays and that is why cornflakes is very popular and it
has also very high demand.
 TECHNOLOGICAL ENVIRONMENT- Technological aspect is very
high as continuous research and for further development of the
product.
 LEGAL ENVIRONMENT- Legal aspect of cornflakes is quite
supportive as the product is very healthy and nutritious.
 ENVIRONMENTAL- These factors are related to climate and
weather conditions in a country.
PORTOR’S FIVE FORCE MODEL
 SUPPLIER POWER- CORNFLAKES BASED COMPANIES HAVE
MEDIUM POWER WHEN BUYING FROM SUPPLIERS.
 BUYER POWER- BUYERS OF CORNFLAKES ARE MAINLY
SUPERMARKETS AND GROCERY STORES. THEY HOLD THE POWER
BECAUSE THEY SET THE PRICE.
 SUBSTITUTE- THERE ARE A LOT OF SUBSTITUTES TO
CORNFLAKES . THIS INCLUDES FRUITS, BARS, DOUGNUTS, AND
TOASTS INCLUDING INDIAN BREAKFAST.
 BARIERS TO ENTRY- THE BARRIERS TO ENTER INTO THE
BREAKFAST CEREAL IS MEDIUM. WHILE A STARTING COMPANY
WOULD FIND IT DIFFICULT GETTING IN, THERE ARE
COMPANIES THAT CAN STRIKE AND TAKE AWAY A LARGE
AMOUNT OF MARKET SHARE.
SWOT ANALYSIS
STRENGHTS
 Instant breakfast.
 Nutritional breakfast.
 Fat and cholesterol free.
 Available in different flavors.
WEAKNESS
 As a daily breakfast meal can be little
monotonous.
 Expensive for many rural and sub-urban
customers.
OPPURTUNITIES
 Increase in income is leading to increase in size
of readymade food market.
 Change in lifestyle.
 Can be launched into various local flavors.
THREATS
 Food and safety regulations by government.
MARKETING MIX
 Product: Introduction of the our product is based on the
diversified packing type. Our product name would be
“INSTAFLAKES”.
 Price: As usually the the price of the cornflakes is bit costly.
We will be coming up with reasonable rate of Rs50. We are
priced as per competition so that customer will switch easily
from the existing brand.
 Place: Initially concentrating on the main metro cities like
Hyderabad, Bangalore , Mumbai, Delhi, Kolkata.
 Promotion: The promotion of the product will be through the
distribution channels as airlines and modern retail markets in
the selected metro cities.
CONSUMER BEHAVIOUR
 Consumers are preferring the breakfast
options that are easy to cook and
healthy.
 Convenience seeking consumers like to
have breakfast on the way to their
destination.
 Consumers who would love to look out for
new variants.
DISTRIBUTION LINE
USP
Instant segment in
cornflakes .
Multigrain as new
flavour.
Differential
packing.
INGREDIENTS OF
MULTIGRAIN
• Wheat
• Millet
• Raagi
• Soya bean
• Barley
• Bajra
• Corn
• Chickpeas
PRICING
Price of competitors- Nestle Cuppa Noodles comes in 50gm pack for
45rupess.
Therefore, InstaFlakes will be priced as:
CORNFLAKES 50GM- 20RUPESS (250GM COSTS 94 RUPEES
APPROX)
POWDERED SUGAR- 1 RUPEE
POWEDERED MILK 10GM- 5 RUPEES (200GM COSTS 88 RUPEES)
PLASTIC SPOON - 2 RUPEES
PLASTIC CONTAINER - 15 RUPEES
TOTAL COST - 43 RUPEES
PROFIT - 7 RUPEES (16.27% ON COST)
TOTAL SELLING PRICE - 50 RUPEES
THANK Q…..

Cornflakes (innovative packing)

  • 1.
    INSTAFLAKE S Guided by : Prof.Sachin Lele Presentation by: Sakshi Pandey (18340) Sergi Patrick (18341) Shreya Chatterjee (18344) Tushar Ranjan (18442) SMART BREAKFAST
  • 2.
     Product :Cornflakes  Category : Break fast cereal  Sector : Food and Beverages  Tagline : “SMART BREAKFAST” PRODUCT OVERVIEW
  • 3.
    WHY ?  RisingDisposable Income: India is an unsaturated and attractive market. It is one of the fastest budding economies in the world. The economy is expected to grow at the rate of 9-9.5 percent during 2012-2017.  Emerging Middle Class: Economic growth has given rise to an emerging middle class .They will be a primarily responsible for rise in consumer spending and will account for 59 percent of the country’s total consumption by 2025.  Rising Health Awareness: People are moving towards balanced and healthy diet to keep control on life style diseases. Better health awareness, higher sales of breakfast cereals like cornflakes.
  • 4.
    MARKET SHARE ,SIZEAND COMPETITING BRANDS  India’s cornflakes market is worth USD 157 million in 2015 and with a CAGR of 22.07 %. (http://www.businesswire.com/news/home/20160314006188/en/India- Breakfast-Cereal-Market-Overview-2016-)  Cornflake is the valuable product in the breakfast category with a market share of 70% as per 2017. The second largest category in the breakfast cereal market is oats. COMPETITING BRANDS:
  • 5.
  • 6.
    CORE ATTRIBUTES  Weightand Hunger Eating cereal in the morning makes us less likely to experience cravings for unhealthy, high-calorie and high-fat foods later in the day.  Nutrition One cup of dry bran cereal offers nearly 4 grams of protein and 7 grams of dietary fiber with less than 7 grams of sugar.  Health Benefits The benefits of eating nutritious cereal for breakfast go beyond staying full and avoiding obesity.  Practical Benefits As a nonperishable food, it’s economical, easy to store, easy to prepare and easy to transport
  • 7.
  • 8.
    MARKET SEGMENTING DEMOGRAPHIC Kids &Adults- Plain cornflakes are actually targeted to children. PSYCHOGRAPHIC Health Conscious Public- Cornflakes has a proper image of very healthy and nutritious food makers in market. BEHAVIORAL Usage Rate- Cornflakes targets people that frequently buy the product.
  • 9.
    TARGET MARKET AGE 8-11 YEARS HEALTHCONCIOUS WOMEN OLD PEOPLE OFFICE GOERS HEALTH CONCIOUS PEOPLE
  • 10.
    MARKET POSITIONING Positioning ascomplete health beneficial product. Product which goes in phase with busy generation. Instant and time saving during breakfast.
  • 11.
  • 12.
     POLITICAL ENVIRONMENT-In India, Government supports the product related to healthy and also as a breakfast staple.  ECONOMIC ENVIRONMENT- Cornflakes has such high demand in the market that its sales are not much affected when recession occurs.  SOCIAL ENVIRONMENT- People are very conscious about their health nowadays and that is why cornflakes is very popular and it has also very high demand.  TECHNOLOGICAL ENVIRONMENT- Technological aspect is very high as continuous research and for further development of the product.  LEGAL ENVIRONMENT- Legal aspect of cornflakes is quite supportive as the product is very healthy and nutritious.  ENVIRONMENTAL- These factors are related to climate and weather conditions in a country.
  • 13.
  • 14.
     SUPPLIER POWER-CORNFLAKES BASED COMPANIES HAVE MEDIUM POWER WHEN BUYING FROM SUPPLIERS.  BUYER POWER- BUYERS OF CORNFLAKES ARE MAINLY SUPERMARKETS AND GROCERY STORES. THEY HOLD THE POWER BECAUSE THEY SET THE PRICE.  SUBSTITUTE- THERE ARE A LOT OF SUBSTITUTES TO CORNFLAKES . THIS INCLUDES FRUITS, BARS, DOUGNUTS, AND TOASTS INCLUDING INDIAN BREAKFAST.  BARIERS TO ENTRY- THE BARRIERS TO ENTER INTO THE BREAKFAST CEREAL IS MEDIUM. WHILE A STARTING COMPANY WOULD FIND IT DIFFICULT GETTING IN, THERE ARE COMPANIES THAT CAN STRIKE AND TAKE AWAY A LARGE AMOUNT OF MARKET SHARE.
  • 15.
    SWOT ANALYSIS STRENGHTS  Instantbreakfast.  Nutritional breakfast.  Fat and cholesterol free.  Available in different flavors. WEAKNESS  As a daily breakfast meal can be little monotonous.  Expensive for many rural and sub-urban customers.
  • 16.
    OPPURTUNITIES  Increase inincome is leading to increase in size of readymade food market.  Change in lifestyle.  Can be launched into various local flavors. THREATS  Food and safety regulations by government.
  • 17.
    MARKETING MIX  Product:Introduction of the our product is based on the diversified packing type. Our product name would be “INSTAFLAKES”.  Price: As usually the the price of the cornflakes is bit costly. We will be coming up with reasonable rate of Rs50. We are priced as per competition so that customer will switch easily from the existing brand.  Place: Initially concentrating on the main metro cities like Hyderabad, Bangalore , Mumbai, Delhi, Kolkata.  Promotion: The promotion of the product will be through the distribution channels as airlines and modern retail markets in the selected metro cities.
  • 18.
    CONSUMER BEHAVIOUR  Consumersare preferring the breakfast options that are easy to cook and healthy.  Convenience seeking consumers like to have breakfast on the way to their destination.  Consumers who would love to look out for new variants.
  • 19.
  • 20.
    USP Instant segment in cornflakes. Multigrain as new flavour. Differential packing.
  • 21.
    INGREDIENTS OF MULTIGRAIN • Wheat •Millet • Raagi • Soya bean • Barley • Bajra • Corn • Chickpeas
  • 23.
    PRICING Price of competitors-Nestle Cuppa Noodles comes in 50gm pack for 45rupess. Therefore, InstaFlakes will be priced as: CORNFLAKES 50GM- 20RUPESS (250GM COSTS 94 RUPEES APPROX) POWDERED SUGAR- 1 RUPEE POWEDERED MILK 10GM- 5 RUPEES (200GM COSTS 88 RUPEES) PLASTIC SPOON - 2 RUPEES PLASTIC CONTAINER - 15 RUPEES TOTAL COST - 43 RUPEES PROFIT - 7 RUPEES (16.27% ON COST) TOTAL SELLING PRICE - 50 RUPEES
  • 24.