This document provides information about ITC Limited and its Sunfeast Yippee instant noodles brand. It discusses ITC's history and expansion into the foods business. It then focuses on the instant noodles market in India, describing Sunfeast Yippee's launch and positioning in comparison to market leader Maggi. Various aspects of Sunfeast Yippee's marketing mix, consumer behavior, distribution, and retailer survey findings are analyzed. Suggestions are made to help increase Sunfeast Yippee's market share.

1. A
COMPARATIVE ANALYSIS OF
SUNFEAST YIPPEE
IN
COMPARISON TO OTHER NOODLES
BY
MAZHAR HUSAIN RIZVI
13-MBAW-29
GE-9066
MBA (FINA1 L)

2. ABOUT ITC
• ITC was incorporated on August 24, 1910 under the name Imperial Tobacco
Company of India Limited.
• As the Company's ownership progressively Indianised, the name of the
Company was changed from Imperial Tobacco Company of India Limited
to India Tobacco Company Limited in 1970 and then to I.T.C. Limited in
1974.
• In recognition of the Company's multi-business portfolio encompassing a
wide range of businesses - Cigarettes & Tobacco, Hotels, Information
Technology, Packaging, Paperboards & Specialty Papers, Agri-business,
Foods, Lifestyle Retailing, Education & Stationery and Personal Care etc.
• The Company now stands rechristened 'ITC Limited'.
2

3. Y C DEVESHWAR is the chairman
of ITC
ITC Vision
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
ITC Mission
To enhance the wealth generating capability of the enterprise
in a globalizing environment, delivering superior and
sustainable stakeholder value
3

4. ITC FOOD INDUSTRY
• ITC's foray into the Foods business is an outstanding example of successfully
blending multiple internal competencies to create a new driver of business
growth.
• It began in August 2001 with the introduction of 'Kitchens of India' ready-to-
eat Indian gourmet dishes.
• In 2002, ITC entered the confectionery and staples segments with the launch
of the brands mint-o and Candy man confectionery and Aashirvaad atta
(wheat flour).
4

5. Continue….
• 2003 witnessed the introduction of Sunfeast as the Company entered the
biscuits segment.
• ITC's entered the fast growing branded snacks category with Bingo! in 2007.
• In eight years, the Foods business has grown to a significant size with over
200 differentiated products under six distinctive brands, with an enviable
distribution reach, a rapidly growing market share and a solid market
standing.
5

6. 6

7. SUNFEAST YIPPEE
• In September 2010 , the brand launched its noodles brand extension- Sunfeast
Yippee.
• Indian noodles segment has now become a huge market worth Rs 1300 crore
(approx.)
• Maggi is the market leader with a whopping 70% market share
• A huge market with one major market leader is definitely an attractive one.
• That is one of the reason why so many players have recently launched their
brand in this segment.
• Sunfeast ( ITC) is a worthy player to take on the might of Maggi. ITC is a
company that is not averse to taking risk and have a huge cash reserve to fight
a marketing war with Nestle.
7

8. Continue….
• ITC product portfolio has been further expanded with Sunfeast Yippee!
Instant noodles.
• Three years of exhaustive developmental work has gone into the creation
of Sunfeast Yippee!
• The product has two intrinsic components - the noodle block and the
masala mix.
• Wheat is a key ingredient of the noodle block.
• The sourcing and blending expertise that has made Aashirvaad India's No 1
branded Atta has been leveraged to make a truly delightful noodle block.
Sun feast Yippee noodles do not lump even 30 minutes after cooking.
• At present, Sunfeast Yippee is available in three lip smacking variants -
Classic Masala, Chinese Masala and Magic Masala
8

9. INDIAN NOODLE MARKET
• In India the instant noodles market is worth Rs. 1300 Cr. (approx.).
• In this Nestle’s Maggi is in top capturing 70% market share.
• After this ITC Sunfeast Yippee capturing 18% market share.
• Others brand like HUL’s Knorr Soupy noodles, GSK’s Horlicks Foodles,
Indo-Nissan’s Top Ramen etc. are capturing 12% market share.
INDIAN NOODLE MARKET
70%
18%
12%
NESTLE'S MAGGI
ITC'S YIPPEE
OTHERS
9

10. STP for SUNFEAST YIPPEE!
• Segment
 Segmented for youngsters mainly.
 Also segmented for school kids.
• Target
 Mainly targeted towards working individuals.
 Mothers as they purchase and wants healthy food for their children.
• Positioning
 The biggest problem with cooked Maggie is that it is to be eaten when freshly cooked.
Get sticky becomes inedible. Yippee promises that Yippee noodles can be eaten even
after some time.
 Maggie comes in rectangular shape and while cooking it is broken into two pieces. On
the contrary Yippee comes in round shape and can easily fits into round vessel with no
breaking .
10

11. MARKETING MIX
Product
• Different
package
• Round Cake
• 3 Variants
Price
• At Rs 10 to
match
competitors.
• Also in Rs.5
• Available in
Rs. 20 and
Rs. 40 also.
Place
• Urban
Market
• Rural Market
penetration
due to ITC
distribution
channel.
Promotion
• Advantages
over maggi as
competitor.
• Ads mostly
shown on
particular
channels & time.
11

12. CONSUMER BEHAVIOUR
• The competitive scenario in this industry is getting more
intense as the customers habits are changing and they now
want more options in anything and everything that they
consume.
• The entry of these variants has provided the customers with a
lot of options.
• It now needs to be seen how Sunfeast Yippee Noodles from
ITC is able to make a dent in stronghold of Maggie and how it
is able to come out on top in this battle of FMCG giants.
12

13. SWOT ANALYSIS
13

14. OBJECTIVE OF THE STUDY
• To study distribution practices of the ITC’s YIPPEE & Contrast
with Nestle’s Maggi and other companies
• To identify factors influencing retailers brand choice.
• To examine comparative service quality across retailer base.
• To ensure availability and visibility of ITC’s Noodles at Retail
outlets.
• To offer suggestions for increasing market-share of ITC in
Noodles Industry
14

15. RESEARCH METHODOLOGY
• Research Design: Descriptive Research
• Source of Data: Primary Data
• Method of Data Collection: Structured Questionnaire & Personal
Interview conducted with retailers.
• Sample Area: retail outlets of Lucknow [Gomti Nagar, Indra
Nagar, Kapporthala, Nerala Nagar, Nishantganj, Vikas Nagar and
Aliganj]
• Sample Size: 200 retail outlets.
• Sampling Technique: Convenience Sampling
15

16. Which Noodles company do you stock?
28
42
118
12
140
120
100
80
60
40
20
0
HUL ITC Nestle GSK
Knorr
Yippee
Maggi
Foodles
It is found that out of sample study 118 retailers stock Maggi , 42
Yippee, 28 Knorr and 12 stock Foodles.
16

17. Which is your most favored company?
32
46
112
10
120
100
80
60
40
20
0
HUL ITC Nestle GSK
Knorr
Yippee
Maggi
Foodles
It is found that 112 retailers favored company product is Nestle Maggi, 46 retailers
favored brand is Yippee, 32 retailers favoring Knorr and 10 retailers favoring Foodles.
17

18. How often does the DS visits you in a week?
2
3
2
1
3.5
3
2.5
2
1.5
1
0.5
0
HUL ITC Nestle GSK
Knorr
Yippee
Maggi
Foodles
It is found that Sunfeast Yippee’s DS visits retailers thrice in a week
meanwhile Maggi and Knorr’s DS visits twice and Foodles’s DS visits
once in a week.
18

19. Is the DS knowledgeable? And able to answer all your query.
60%
44%
50%
68%
40%
56%
50%
32%
80%
70%
60%
50%
40%
30%
20%
10%
0%
HUL ITC Nestle GSK
No
Yes
It is found that ITC’s DS more Knowledgeable in comparison to other
companies’ DS.
19

20. Does DS Redress your grievances satisfactorily?
45%
36%
42%
48%
55%
64%
58%
52%
70%
60%
50%
40%
30%
20%
10%
0%
HUL ITC Nestle GSK
No
Yes
It is found that ITC’s DS are more capable of redressing retailers grievance
in comparison to others.
20

21. How is the order delivered to you?
12% 11% 10%
70%
88% 89% 90%
30%
100%
90%
80%
70%
60%
50%
40%
30%
20%
10%
0%
HUL ITC Nestle GSK
Hawker
Delivery Van
It is found that in delivering order ITC used 89% its delivery van and rest of
delivery is done by hawkers, meanwhile in Nestle 90% delivery is done by
delivery van and rest by hawkers , in HUL and GSK 88% and 30% respectively.
21

22. Are your order always received on time?
17% 15% 12%
22%
83% 85% 88%
78%
100%
90%
80%
70%
60%
50%
40%
30%
20%
10%
0%
HUL ITC Nestle GSK
No
Yes
It is found that nestle deliver order 88% on time, ITC deliver 85%, HUL
deliver 83% and GSK deliver 78% on time.
22

23. What are the payment terms?
20%
14%
10% 9%
70%
78% 80%
71%
10% 8% 10% 10%
90%
80%
70%
60%
50%
40%
30%
20%
10%
0%
HUL ITC Nestle GSK
Cash
Credit
Credit and Cash
It is found that Nestle sold its Product 80% in credit, 10% in cash and 10%
in both. ITC sold 78% in credit, 14% in cash and 8% in both. HUL sold 70%
in credit, 20% in cash and 10% both. GSK sold 71% in credit , 9% in cash
and 10% in both. 23

24. How long does your stock last?
2
Weeks
1 1
2
2.5
2
1.5
1
0.5
0
HUL ITC Nestle GSK
Weeks
The stock of both Nestle Maggi and ITC Yippee last for a week at
most of the retail stores where as HUL and GSK last for 2 weeks
24

25. Do the companies do any stock replacement?
62%
35% 34%
56%
38%
65% 66%
44%
70%
60%
50%
40%
30%
20%
10%
0%
HUL ITC Nestle GSK
No
Yes
It is found that in terms of D&D (Damage and Destroy) Nestle replaced 66%,
ITC replaced 65% , GSK replaced 44% and HUL replaced 38%.
25

26. FINDINGS
• During the project, it was found most of the retailers were complaining
against the supply of the expired stock by ITC WD’s.
• In the area I visited the market share of nestle is four times more than ITC.
• During the survey it was found that as compared to the Payment Term of ITC
and Nestle are more efficient in terms of Cash Discount.
• However the salesman of ITC is knowledgeable in comparison to others
companies, according to the response of the retailers.
26

27. SUGGESTIONS
• ITC can put some small toys into Yippee to attract children.
• ITC should distribute free cooked Yippee noodles it will give correct
feedback from market.
• ITC can launch other flavours of Yippee.
• Focus more on advertisement as some consumers are not aware of the
product.
• Opt for a differentiation strategy because even if people buy yippee, they
demand it as “Maggi dena”.
• Change its packaging style as it’s similar to Maggi.
• Schools can also be targeted for making awareness among the kids because
they are the major consumer.
27

28. LIMITATION OF THE STUDY
• Non response:
– Out of the total respondent surveyed some of them were
not cooperative due to which accurate prediction was not
possible
• Confined Study:
– The study was confined to the Lucknow city only.
• Biased Response:
– The responses given by the respondent are assumed to be
true however chance of getting false and biased
information can’t be look fully.
28

29. CONCLUSION
• Lot to be done for Yippee.
• The biggest advantage for Maggie is its taste and first mover advantage in the
instant noodle market.
• Become generic and mere advertising is not going to do any harm to Maggie.
• Key to success for Yippee will be the taste and targeted promotional activities
and good distribution channel with ITC’s reach.
• Top Roman and Foodles failed. Maggie with 80% market share is being
targeted by ITC’s Yippee noodles with a slight different and a well thought
out strategy and with a huge cash reserve to fight a marketing war with
Nestle.
• Noodle brands mainly target children only. India is vastly consumed by
Young population also, then why not target this group and segment the
market. ”Divide and Conquer”. 29

30. THANK
YOU!!!
30