HALDIRAM’SHALDIRAM’S

GROUP 10GROUP 10

INTRODUCTIONINTRODUCTION Haldiram has been rightly termed as Taste of Haldiram has been rightly termed as Taste of

Tradition.Tradition. Known for its unbeatable taste in Mithais and Known for its unbeatable taste in Mithais and

Namkeen segment, Haldiram is an household Namkeen segment, Haldiram is an household name now.name now.

It was in year 1937 in Bikaner, when Ganga It was in year 1937 in Bikaner, when Ganga Bishen started selling Bhujia sev in Bikaner.Bishen started selling Bhujia sev in Bikaner.

Then in 1941, the name ‘Haldiram's Bhujiawala’ Then in 1941, the name ‘Haldiram's Bhujiawala’ was used for the first time. was used for the first time.

After they expanded business in Kolkata followed After they expanded business in Kolkata followed by another unit in Nagpur, and in 1983 first retail by another unit in Nagpur, and in 1983 first retail outlet was opened in Delhi. outlet was opened in Delhi.

CONTINUED..CONTINUED.. Haldiram has grown both in domestic and Haldiram has grown both in domestic and

international market.international market. In the early 1990s, because of the conflict In the early 1990s, because of the conflict

within the Aggarwal’s family, Haldiram's within the Aggarwal’s family, Haldiram's witnessed an informal split between its witnessed an informal split between its three units as they started operating three units as they started operating separately offering similar products and separately offering similar products and sharing the same brand name. sharing the same brand name.

In 1999, after a court verdict these units In 1999, after a court verdict these units started operating as three different started operating as three different companies with clearly defined territories. companies with clearly defined territories.

INDUSTRY STRUCTUREINDUSTRY STRUCTURE

India is the world's second largest India is the world's second largest producer of food next to China.producer of food next to China.

India is one of the world’s major India is one of the world’s major food producers but accounts for less food producers but accounts for less than 1.5 per cent of international than 1.5 per cent of international food trade.food trade.

This indicates vast scope for both This indicates vast scope for both investors and exporters.investors and exporters.

ENVIRONMENTENVIRONMENT

The chief competitors to Haldiram’s are – The chief competitors to Haldiram’s are – Bikanerwala and Nathu’s.Bikanerwala and Nathu’s.

Bikanerwala- BikanoBikanerwala- Bikano

Bikano chat caféBikano chat café

DISTRIBUTION DISTRIBUTION NETWORKNETWORK

Haldiram's developed a strong distribution Haldiram's developed a strong distribution network to ensure the widest possible reach network to ensure the widest possible reach for its products in India as well as overseas.for its products in India as well as overseas.

Manufacturing unit to carrying and Manufacturing unit to carrying and forwarding (C & F) agents to distributors to forwarding (C & F) agents to distributors to retail stores.retail stores.

While the Delhi unit of Haldiram's had 25 While the Delhi unit of Haldiram's had 25 C&F agents and 700 distributors in India, the C&F agents and 700 distributors in India, the Nagpur unit had 25 C&F agents and 375 Nagpur unit had 25 C&F agents and 375 distributors. distributors.

Haldiram's also had 35 sole distributors in the Haldiram's also had 35 sole distributors in the international market.international market.

CONTINUED…CONTINUED… C&F agents received a commission of around 5%.C&F agents received a commission of around 5%. Distributors earned margins ranging from 8% to Distributors earned margins ranging from 8% to

10%.10%. The retail outlets earned margins ranging from The retail outlets earned margins ranging from

14% to 30%.14% to 30%. Retailers earned more margins ranging from 25% Retailers earned more margins ranging from 25%

to 30% by selling 30 gms pouches (priced at Rs.5) to 30% by selling 30 gms pouches (priced at Rs.5) compared to the packs of higher weights.compared to the packs of higher weights.

The company offered its products through retail The company offered its products through retail outlets such as supermarkets, sweet shops, outlets such as supermarkets, sweet shops, provision stores, bakeries and ice cream parlors.provision stores, bakeries and ice cream parlors.

CONTINUED…CONTINUED…

The products were also available in public The products were also available in public places such as railway stations and bus places such as railway stations and bus stations.stations.

Haldiram’s also offered its products throuHaldiram’s also offered its products through the Internet.gh the Internet.

Region specific websites enabled people Region specific websites enabled people to send gifts to specified region.to send gifts to specified region.

PRICEPRICE

Haldiram's offered its products Haldiram's offered its products at competitive prices.at competitive prices.

Haldiram's launched namkeens in small Haldiram's launched namkeens in small packets of 30 grams, priced as low as packets of 30 grams, priced as low as Rs.5. Rs.5.

The prices also varied on the basis of the The prices also varied on the basis of the type of namkeens and the raw materials type of namkeens and the raw materials used to manufacture it. used to manufacture it.

PRODUCTSPRODUCTS Haldiram's offered a wide range of Haldiram's offered a wide range of

products to its customers.products to its customers. The product range included namkeens, The product range included namkeens,

sweets, sharbats , bakery items, dairy sweets, sharbats , bakery items, dairy products, papad and ice-creams. products, papad and ice-creams.

However, namkeens remained the main However, namkeens remained the main focus area for the group contributing close focus area for the group contributing close to 60% of its total revenues. to 60% of its total revenues.

Haldiram's sought to customize its Haldiram's sought to customize its products to suit the tastes and preferences products to suit the tastes and preferences of customers from different parts of India.of customers from different parts of India.

CONTINUED…CONTINUED…

For example, Murukkus and Chennai For example, Murukkus and Chennai mixture for south Indian customers, mixture for south Indian customers, Bhelpuri for western India.Bhelpuri for western India.

The company offered certain products The company offered certain products such as ' Nazarana,' 'Panchratan' and such as ' Nazarana,' 'Panchratan' and 'Premium' only during the festival season 'Premium' only during the festival season in gift packs.in gift packs.

CONTINUED…CONTINUED…

PROMOTIONPROMOTION

Haldiram's product promotion had been Haldiram's product promotion had been low key until competition intensified in the low key until competition intensified in the snack foods market.snack foods market.

The company tied with ‘Profile The company tied with ‘Profile Advertising’ for promoting its products. Advertising’ for promoting its products.

Consequently, attractive posters, brochures Consequently, attractive posters, brochures and mailers were designed to enhance the and mailers were designed to enhance the visibility of the Haldiram's brand.visibility of the Haldiram's brand.

The punch line for Haldiram's products The punch line for Haldiram's products was, 'Always in good taste.' was, 'Always in good taste.'

CONTINUED…CONTINUED… To increase the visibility of the Haldiram's To increase the visibility of the Haldiram's

brand, the company placed its hoardings in brand, the company placed its hoardings in high traffic areas such as train stations and high traffic areas such as train stations and bus stations. bus stations.

Posters were designed for display on public Posters were designed for display on public transport vehicles such as buses, and transport vehicles such as buses, and hoardings, focused on individual products hoardings, focused on individual products were developed. were developed.

Haldiram's also diversified into the restaurant Haldiram's also diversified into the restaurant business to cash in on its brand image. business to cash in on its brand image.

The company established restaurants in The company established restaurants in Nagpur and Delhi.Nagpur and Delhi.

CUSTOMER SURVEYCUSTOMER SURVEYHOW OFTEN THEY VISIT HALDIRAMS? BEST VEGETARIAN OUTLET

CONTINUED…CONTINUED…

SATISFACTION OF THE CONSUMERS QUALITY OF THE PRODUCT

CONCLUSIONCONCLUSION

High awareness level for different High awareness level for different Halidram’s Products.Halidram’s Products.

Market share of Haldiram namkeen is Market share of Haldiram namkeen is more than double of its competitors.more than double of its competitors.

Average annual sale come out to be Average annual sale come out to be highest for Haldiram’s namkeens.highest for Haldiram’s namkeens.

Significantly high brand loyalty for Significantly high brand loyalty for Haldiram’s products.Haldiram’s products.

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