ITC Classmate - IMC project
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The document discusses Classmate stationery brand in India. Some key points: - Classmate was launched in 2003 by ITC and has grown its revenue four-fold in 3-5 years, now holding a 12% market share. - The stationery market in India is worth Rs. 10,000 crores and is projected to grow to Rs. 1,000 crores for Classmate by 2015. - To achieve further growth, Classmate plans to target schools in Bangalore, Mumbai and Chennai to increase its market share by 15%.
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ITC Classmate is the leading stationery brand in India with a 20% market share. It entered the stationery market in 2002 through its Paperkraft brand and launched Classmate in 2003. Classmate targets students, educational institutes, and corporate employees across rural and urban India. Its marketing positions Classmate as recognizing and celebrating the uniqueness of every child. While Navneet and Bilt are its main competitors, Classmate differentiates through durable, high-quality products and cover designs. It promotes individuality through the tagline "You are one of a kind."
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2. ITC has diversified into several business segments including FMCG, hotels, paperboards, agriculture, and IT, and is a market leader in many areas.
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- Cigarettes have been ITC's core business since 1910 and account for 70% market share, though they make up only 15% of tobacco consumed in India.
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- ITC first launched food brands like Kitchens of India and staples brands like Aashirvaad Atta in the early 2000s.
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ITC Classmate - IMC project
- 1. Group 4 Ajay.B.S |Anil Kumar| Tanvi raj | Y Gunasekar
- 2. Classmate and Stationery market in India • The stationery market in India is worth 10,000 crores which includes 4000 crores notebook market • Just 25% of this market is under organized, branded players • Classmate was born in the year 2003 under ITC • The FMCG major had a four-fold increase in revenue from its Classmate and Paperkraft brands in 3-5 years. • 75,000 direct stationery outlets in the country by leveraging the mainstream channel network of ITC
- 4. Cognitive process behind the decision • The projected growth in 2015 is 1000 crores in the domestic market • The current position in the market is with 12% market share (Source: ITC portal) • Leveraging the supply chain of the home brand helped classmate to grow to this position. • Improving in the consumer market demands huge investments in mass media, retail stores and supply chain.
- 5. Cognitive process behind the decision • So the better was to choose the business to business segment. • Targeting businesses was already a strategy used by classmate (TCS, WIPRO and HDFC) • In order to achieve the proposed target with the least spending's possible.
- 6. Objective and reason • To improve the market share by 15%. • Total market 10,000, current market share is 12%. • 12+15 = 27%, It will be 2,700 crore revenue. • Success of this campaign will give out almost 450 crore profit by itself. • Though the upcoming campaign is only for Bangalore, Mumbai and Chennai. The overall plan is to implement the same in a nation scale.
- 7. Target market • General Market for Classmate: Students and Corporate employees • Market for the current campaign: Schools in Bangalore, Mumbai and Chennai. • They are the most receptive market for the brand since its inception, with the highest market share of 23% on an average. • According to the VALS: Thinkers, Achievers, Experiencers and Believers.