Britannias Market Strategy and Competitive Strategy

Britannias Market Strategy and Competitive StrategyIn this document, an in-depth analysis on the Britannias Marketing Strategy and Competitive Strategy is illustrated. In detail this report contains the divers(prenominal) tradeing strategies adopted by Britannia to help them grow and succeed in the market. This paper covers umteen sections such as pest-G analysis, SWOT analysis, Growth strategy and Marketing Mix.In view of the fact that Britannia Industries Limited is a food ground organization which produces a massive variant of Biscuits, Diary products, rusk, cultivated cabbage and Cakes, it is evident that they have now excelled in their business. Within this document the evidence of companys actual property and success is at hand with a concentration on the marketing mix and the SWOT analysis of Britannia. In brief, we grab that Britannia Industries Limited, continues to improve the quality of their products to match the consumers take aims and prevail over the comp etitive edge.Britannia Biscuits was set up in 1892, in a very plain and ordinary house in Kolkata with the initial investments of Rs. 295. By 1978, Britannia biscuits had crossed 60% of the sh atomic number 18s of the firm, followed by renaming the company to Britannia Industries Limited(BIL) and in 1983 it crossed Rs 100 crores tax revenue margin. Then as we know, in 1992 it celebrated its Platinum Jubilee. Eat healthy, designate Better was revealed in 1997. It was gaining the status of quality and value and in 1999, the Britannia Khao, World transfuse Jao promotion make the consumers even much awargon then in advance which helped them even more prominent in the market. In the 21st century it came out as Indias largest and most famous brand of biscuit.Now Britannia is no more just another ordinary biscuit but it is one of the most renowned and well known biscuit in the world. From a small puff tale it reached new standards and from a small investment it has got a high margi n of profit which has been very positive for the company investors. They have a variety of biscuits even considering the health and economy to the life-style oriented types.THE MARKET ENVIRONMENTBusiness Sector And Geographical Market.Britannia Industries Limited is a public food industry, with its render located in vetoglore, well-known for its Britannia and Tiger biscuits. It now has around 300 stores spread, owned by Danone and Kalabakan Investments in India. As we know, they deal in Biscuits, Rusk, Diary products, Bread and Cakes.The company, in 2007 formed a Joint Venture with Khimji Ramdas Group to expand and sell biscuits to the marrow East countries, as its the most respected business and the come across district players in selling biscuits. It now provides a large range of commodities under the brand Nutro, which is the primary brand name in Middle East.PEST G AnalysisPolitical FactorsThe Food regulations were gravel into practice at the State Central level.Severe TA X rules had been started.Several other Government Regulations were put into action.Economic FactorsThe Gross Domestic overlaps started rising at 8-9%A raise in the disposable returns took place.Rupee Appreciation was a with child(p) concern.Social Factors70% inhabitants are lower than 35 years of age.Good knowledge among the individuals of various things.Technological FactorsProcess improvement and Product Innovation played a great role.Innovative techniques were thought to be adopted.THE COMPETITIONCompetitors Parle Glucose also known as Parle-G (G for Genius) is manufactured in India by the Parle Products which is one of the oldest brand names and the biggest selling biscuits in India.Market Share Parle-G has a market share of 70% in the biscuit industry in India followed by Britannia, Tiger with 17-18%, and Sunfeast of 8-9% share.Sales/Profit grade More than 50% of the companys turnover is estimated at around Rs 20 billion. It has started expanding to areas such as Western Europe, USA, UK, UAE and Canada.Target Market Parle has a target market which is foc employ in India, consisting of people of all category groups such as children, teenagers, family members and even old aged people as it is a popular biscuit eaten during Tea-time snack.THE go withMarket Share and Sales and Profit TrendBritannia market position is very high due to factors relating to its pricing strategies, distribution channels and variety of products. They lay out new products to satisfy the consumers needs giving them new and alternative products to choose, which in turn benefit the company by having more potency for growth. So we agnize that the company is not only growing, but also gaining profits. Their estimated market share is 38%. In the early years of the company, they received gross revenue at an yearly rate of 16% in market and their operational proceeds were nearly 18%. But now it has been increased to 27%, giving Britannia annual revenue of Rs 2,200 crore only fro m their biscuits. 10% is contributed by the diary products. They have an annual capacity of 433,000 tones of biscuits with sale while exporting up to $150.75 million.Swot AnalysisStrengthsWidely Distributed profit and accepted by all age groups.Innovative products interchangeable-Little Hearts, 50-50 Chakkar, and Nice Time.Celebrity endorsements Sachin Tendulkar, Aamir Khan.The Brand Slogan of Britannia Eat Healthy Think Better is the key plus of the firm.It is available in various different forms of packages.The variety of products is an added advantage as they not only focus on assorted biscuits but also cakes, breads, Rusk and diary products.WeaknessesFaces stiff competition from their rival Parle and Nestle on the basis of Price and Distribution channels.The industry and technology requires high investments.As too many different types of brands place the market, they might loose focus.Even though the prices are affordable, they might not be easily available to the lower inc ome groups.OpportunitiesPeople are willing to try newer variants and hence it satisfies the taste buds by its newer variants.It generates employment opportunities.As consumers are very concerned about their health, it helps them to strengthen brands NutriChoice, Milk Bikis, and Tiger biscuits. contestation increases.This helps to enhance mergers.ThreatsThey might sometimes be unable to utilize all the resources efficiently.They may provide poor quality of biscuits for more profits.As there are a number of biscuits in the existing market, they have large number of challengers.Consumer demands may alter impulsively.Government might come up with new restrictions without notices.THE COMPANYS trade STRATEGYMarketing Strategy let in anything from facts, events, procedures, values and personalities. Britannia nearly sells all their products all over India and even exports it other few countries. Their market rate unploughed growing every year in the Indian market. Therefore, BIL has impl emented a Diversification strategy, so that it becomes the market leader in the food and biscuits industry. But they made sure that when they diversify, they make similar kinds of products such as cheese, diary products and even more bakery items. So the company can realize their marketing strategies by underlining the opportunities in the market. There are a various different strategies they adopted.Segmentation They believed in the best quality of products for the consumers as they are health conscious and so they fulfil this need of the consumers.Targeting The Company focussed on building a good relationship with the customers as they are they play the most important social occasion in the sale of products. Not only did they keep up to the old customers expectation, but they also try to make new customers as their retention plays a major role for the growth of their business.Positioning While manufacturing new products, they dont fail to remember their competitors way of figh ting against them, instead they hire even more watchfulness to each and every step they take towards success as they want to be ahead of them and succeed.Growth Strategy Even though Britannia biscuits started off by selling their products in India, they slowly expanded and started to export it to other parts of the world. By doing so, they adapted to the different cultures of those countries and made plans for those neighbouring areas and researched and analyzed which product has more demand than the others and ways to improve their sales.Promoting their brands is a very essential idea for their marketing strategy as it helps conceive the consumers the variety of benefits they get while purchasing the product. They should push and publicize their message clearly stating the facts.Based on the marketing strategies, we understand that building a brand is an important part of the company. They understand how to increase sales and profits in a short span of time while continuing to promote its variety of brands to create loyal consumers.THE MARKETING MIXProductBritannia have a large variety of products to choose from, not only do they manufacture Biscuits, but they also make different types of Diary items, Breads and Rusk. They gear up products which in gets good returns for the company through building a good brand and quality products which are supplied across different countries.The main streamline of Britannia products includeBiscuits such asMarie GoldTreatMilk BikisTime PassTiger50-50NutriChoice also available for Diabetic people.Dairy Delights include few products likeCheeseMilkDahi (Yoghurt)GheeButterBread types haveSandwichesCoffeeConfectionaryAssorted BreadsBenefits of BrandingAs we all know, Britannia biscuits still have higher growth potential in the market as its one of the best-known brands in India and popular among other countries as well. Even though they have come up with new variety of biscuits, they still emphasis on their initial biscuit brands such as Tiger, Good Day, Marie, Treat and even more. Britannia has diversified by also do Breads, Cakes and other Diary products. Its brands are considered to be an excellent value by Indias price-conscious consumers. Tiger Biscuit is one of the most distinguished brands and is extremely popular among the country-style areas and consumers. Sports and sporting events also are a key channel for promotions. The companys Britannia khao, World Cup jao (Eat Britannia, travel to see the World Cup) campaign in 2003 was the most recognised sales promotion among all Cricket World Cup-related sales activity.PlaceBritannia had started selling products in India, but now it has expanded overseas to places like Middle East and Sri Lanka.They have even started to export their goods to places such asUSAGhanaSaudi ArabiaKuwaitBahrainQatarUAEOmanSeychellesSingaporePriceBritannia has adopted the Market acumen Method of pricing. It focuses on the quality of the products keeping in mind the pri cing strategy. This helps improve and generate large sale volume for their products. It aims at maximizing the market share and to produce new product lines. A few examples areVegetarian Cakes are available at Rs. 15/- for a 75 gm pack.Nutrichoice Health Starter Kit is for Rs 100.Britannia Tiger Banana packed with IRON ZOR priced at Rs.2, Rs.4 and Rs.10.PromotionsTo attract the consumers of Britannia, they very innovatively came up with ideas to promote their brand in numerous different ways, and now they have leveraged Indias two most successful passions of all timesCricketMoviesNearly every Indians dream was to be present at a stadium while India is playing cricket, during the World Cup, so Britannia created the Britannia Khao, World Cup Jao contest in 1999. They made it very simple for their target market to enter this contest, which was to purchase more products to win a scratch and win lucky card and winning an all expenses paid trip to England to watch the World Cup Match. The y held it again in 2002-2003 held in South Africa which successfully set a unique trend of their own. They even came up with another creative promotion of Britannia Khao, Cricketer Ban Jao that was fuelled by the need of every Indian to be a part of the passion called Cricket followed by a promotion called Britannia Lagaan Match in 2001 that rotate around a movie called Lagaan was based on a cricket match. This promotion gave the consumers a chance to interact with the film stars and also get to pay cricket with them. The match had over 40,000 spectators and made the headlines of leading newspapers and news channels and was found to be the most unbeaten promotional act of that year. So we understand that sports and the sporting events are the key promotional tools of Britannia.Therefore we now know that Britannia promotes their products through various medias such as Events, Television, Magazines and Sales Promotions too.EVALUATION OF THE COMPANYS STRATEGIES AND TACTICSCompanys cur rent position/successBritannia Company releases on November 10th, 2010 that BIL obtained sales of Rs 10,948 MM with growth of 27.5% which shows an increase.The company also releases that they received sales worth of Rs 9,128 MM during the year end, with a growth of 24.8% followed by a boost of 20% in the volume.ConclusionNow that we have an in-depth view of the companys profile, marketing strategy and marketing mix, it shows the different methods used to adapt to promote and publicize their products across India and other countries. Based on the information researched, we find that they focus on consumer needs to a very large extent. This is shown by the fact that, since consumers are more health conscious nowadays, they have introduced NutriChoice Diabetic Biscuits. It is also proven by their tagline, Eat Healthy, Think Better. In conclusion, we see that how a small sized company has grown to be one of the largest biscuit selling brands across India and many other countries world-w ide.