mktg growth

8/8/2019 Mktg Growth

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INTRODUCTORY PRODUCT : INDIAN

PROBIOTIC FUNCTIONAL FOOD INDUSTRY


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Probiotic

Probiotics: Live microorganisms like yeast and some bacteria which when administered inadequate amounts confer a health benefit on the host

Global market of probiotic products- $14 billion

Indian probiotic market Rs 100 crore

F&S estimating its worth at a mere 20.6m Indian rupees (320,000) in 2009 report, but itshould push through the1m mark around 2013-2014 and be worth 1.3m in 2015.

India has a large growing middle class with increasing consciousness about health

Indian Probiotics market expected to grow at 22.6 % till2015

Growth: Branded milk drink market -14%, branded yoghurt market 33%

Challenges

33%ChallengesPoor cold chain and storage facilities

Complicated distribution channels

Low shelf life of products Slow development of probiotic application technology

[1]Proquest Document ID 1869376971,[2] Frost & Sullivan market researcher,[3]deccanherald website(25th August) [4] F& S report


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Products

Competition : Limited players in the segment

Amul, Mother Dairy, Nestle, Yakult Danone are major players

Products : Types of probiotic functional food products

Ice cream -First ever probiotic food product launched in India in 2007

Milk

Curd/Lassi

New products in the segment : poInnovative probiotic products like cereals, snackbars, soft drinks, chocolates, sweeteners, ready-to-eat cookies and jellies are either

evolving or available in markets outside India

Sources : [1]www.amul.com,[2]www.motherdairy.com,[3]www.nestle.in,[4]www.yakult.co.in

[5] Nutraceuticals Market India (Part I), July 2010, by research on India available at euromonitor


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Price

15-20%markup over normal products

No discounts and other schemes offered

Competitive pricing

Targeted at the urban health conscious segment

Sources:Frost & Sullivan Market Research

ISI Emerging Markets:Publication Business Line(23rd aug 2007)


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Promotion

Awareness : 48 per cent of consumers in Delhi were aware of Yakult, and37per cent in

Mumbai in AC Nielsen poll

Advertisement Target : Creating awareness is the fundamental target for probiotic

companies

Tag lines emphasizing health benefits of the products

Mother dairy

Leaflets and awareness programs by engaging doctors

BPOs and office space for promotions.

Sampling exercise in shopping malls and entertainment centers

Medical fraternity in the publicity and schools for promoting its product among the children

Yakult Danone

House to house sampling, seminars and research

Yakult ladies system - 140 ladies for home delivery and awareness about probiotic products across

major cities

Spending : Endorsement by celebrities for brand promotion and product awareness

YDI, Nestle

Sources : [1]www.dnaindia.com/money/report_mother-diary-to-launch-probiotic-curd-on-friday_1111996, AC Nilelsen polling


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Place

Premium products-Urban centric

Availability : Initially launched in metros then Slowly Spread to tier-I cities.

Targeting consumers through schools, offices and hospitals.

Innovative strategies : YDI-Sold at Retail outlets and through door-to-doorsales in metros

Current Status :

YDI Delhi-NCR, Pune. Mumbai, Bangalore

Sources: ISI Emerging Markets: Publication: Business Standard(Jan 29,2008)

Frost & Sullivan Market Research


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GROWTH STAGE: INDIANCAR INDUSTRY


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Car industry in India- overview

Passenger car market in India was dominated byMaruti-Suzuki till mid90s

Hyundai entered India in 1996. Tata launched

Indica in 1998, further adding to the competition. 15+ players in market

15 cars per 1000 people in 2010.

Sales in 2009-10 close to 20 lakh units.

12-13% growth rate projected for 2010-11 bySIAM.


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Overall growth in passenger car

production and market share

Source: Euromonitor

Industry sales by volume ( in 1000s of units)


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Growth of A few major players in the

car industry

Growth in sales by value ( in

crores)

Growth in sales by volume (in units)

Source: Euromonitor


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Increasing competition - reducing

profits per unit

Source: CapitalineDatabases


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Marketing Mix

Manufacturer Product Price Promotion Place

Maruti-Suzuki Alto 242000-

339000

Tagline Lets go Alto.

Promoted as being a fuel-

efficient car.

681 sales

outlets in 454

cities

Swift 437000-

558000

Tagline Youre the fuel. 681 sales

outlets in 454cities

SX4 728000-

904000

Tagline Men are back, 681 sales

outlets in 454

cities

Hyundai i10 360000-

580000

Tagline Catch the i.

Promoted as being thecountrys most fuel-efficient

car.

290 dealers

across the

country

Verna 688000-

967000

Tagline-Dynamic by DNA.

Promoted as being stylish,

sporty and powerful.

290 dealers

across the

country


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Marketing Mix

Manufacturer Product Price Promotion Place

Honda Civic 1281000-

1518000

Tagline It drives you.

Promoted as a stylish and

sporty car.

117 facilities in

70 cities

Mahindra Scorpio 725900-

1143400

Tagline Brawn to rule.

Promoted as being a strongand sturdy car suited for

Indian conditions.

101 dealers

across the

country

Mercedes Benz E

class

4155000-

6450000

Tagline Object of desire.

Luxury car targeted athigh-end customers.

24 dealers in

19 cities


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Thank You

mktg growth

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