BRAND MANAGEMENT

SUBMITTED BY:DEEPAK KUMAR SINGH

ROLL NO.43434

OVERVIEW

Biscuit industry contribute Rs 8,000 crore to the FMCG industry and provide a vast opportunity for growth, as the per capita consumption of biscuits is less than 2.1 kg in our country. India It is classified under two sectors: organized and unorganized.

Apart from Big 3( Britannia , Parle , ITC ) there are around 150 medium to small biscuit factory in India .

The Industry is now facing problem from increase of raw material price. With Government VAT up to 12.5% has added to their woes .

The Federation of Biscuit Manufacturers of India (FBMI) has confirmed a bright future of India Biscuits Industry. According to FBMI, a steady growth of 15 percent per annum in the next 10 years will be achieved by the biscuit industry of India. Besides, the export of biscuits will also surpass the target and hit the global market successfully.

LIST OF THE PLAYERS IN THE INDUSTRY

The major Brands of biscuits are - Brittania, Parle Bakeman, Priya Gold,Elite,Cremica, Dukes, Anupam, Horlicks, Craze, Nezone, besides various regional/State brands.

COMPETITIVE BRANDS: Britannia , Parle , ITC foods , Surya Foods others

MAJOR PLAYERS IN THE BISCUIT INDUSTRY

Regional bakery brands:

A few regional players have made a mark in their respective zone.

HARVEST GOLD CREMICA PRIYA GOLD DUKES COOKIE MAN ANMOL MONGINIS BONN BISK FARM ELITE ANUPAM MODERN SABISCO CHAMPION VEERMANI

FOREIGN PLAYERS

Foreign players like United Biscuits and McVities have also entered the fray. However, these players have concentrated themselves in the super-premium and premium segments.

COMPANY PROFILE

BRITANIA INDUSTRIES LIMITED

Britannia Industries Limited is an Indian company based in Kolkata that is famous for its Britannia and Tiger brands of biscuit, which are highly recognized throughout the country. Britannia is one of India’s leading biscuit firms, with an estimated 38% market share. Once upon a time, in 1892 to be precise, a biscuit company was started in a nondescript house in Calcutta (now Kolkata) with an initial investment of Rs. 295. The company we all know as Britannia today. 

On the operations front, the company was making equally dynamic strides. In 1992, it celebrated its Platinum Jubilee. In 1997, the company unveiled its new corporate identity - "Eat Healthy, Think Better" - and made its first foray into the dairy products market. Britannia strode into the 21st Century as one of India's biggest brands and the pre-eminent food brand of the country. It was equally recognised for its innovative approach to products and marketing.

Main products produced by Britannia industries are Good Day,Tiger,Marie Gold,50- 50,Choco -chips,Choco - nuts,Little

Heart,Nutri Choice,Bourbon, NiceTime, Pure Magic, Milk Bikis,Jim -Jam,Cream Treats,Time Pass, Digestive, etc.

PARLE COMPANY

In 1929 a small company by the name of Parle products emerged in British dominated India. The intent was to spread joy and cheer to children and adults alike, all over the country with its sweets and candies. Parle Products has been India's largest manufacturer of biscuits and confectionery, for almost 80 years. Makers of the world's largest selling biscuit, Parle-G, and a host of other very popular brands, the Parle name symbolizes quality, nutrition and great taste. With a reach spanning even the remotest villages of India , the company has definitely come a very long way since its inception. 

Many of the Parle products - biscuits or confectioneries, are market leaders in their category and have won acclaim at the Monde Selection, since 1971. With a 40% share of the total biscuit market and a 15% share of the total confectionary market in India , Parle has grown to become a multi-million dollar company. While to consumers it's a beacon of faith and trust, competitors look upon Parle as an example of marketing brilliance. 

Parle biscuits are indeed much more than a tea- time snack, they are considered by many to be an important part of their daily food. Parle can treat you with a basket of biscuits which are not only satisfying but are also of good and reliable quality. Parle biscuits cater to all tastes from kids to senior citizens. They have found their way into the Indian hearts and homes.

Major products are Parle - G ,Hide and Seek, Krackjack, Hide & Seek, Milano, Magix, Digestive, Marie

Monaco Parle Marie, Kreams, Milk Shakti, Parle 20-20 Cookies ,Nimkin, etc.

ITC LIMITED

ITC was incorporated on August 24, 1910 under the name Imperial Tobacco Company of India Limited. TC'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. 2003 witnessed the introduction of Sun feast as the Company entered the biscuits segment.

 Leadership in the Foods business requires a keen understanding of the supply chain for agricultural produce. ITC has over the last 90 years established a very close business relationship with the farming community in India and is currently in the process of enhancing the Indian farmer's ability to link to global markets, through the E-Choupal initiative, and produce the quality demanded by its customers. This long-standing relationship is being leveraged in sourcing best quality agricultural produce for ITC's Foods Division. 

Major products by ITC are: Milky magic, Marie, Golden Bakery, Dark Fantasy, Glucose, Dream Cream,

Snack, Sweet n Salt, Nice, Vita, Special, etc.

SURYA FOODS & AGRO LIMITED

Surya Food & Agro Ltd. was incorporated in November 1992 and commenced its commercial operations of manufacturing & selling of biscuits under brand “Priyagold” in October 1993. Over a period, It established strong manufacturing capabilities and have invested substantially in developing consumer preference for products. Its trademarks / brands “Haq Se Maango” & “Priyagold” have emerged as one of the most powerful brands in the FMCG sector. The company is committed to invest in brands, manufacturing capabilities, deliverables and distribution strength.

Its strategy of strengthening the brands especially the umbrella brand “Priyagold” has resulted in creating immense brand recall value.  The company is continuing with its effort of strengthening the brand with a scientific approach, which will result in growth of customer base, price premium, consumer loyalty which is expected to result in increased earning and ultimately enhancing enterprise value of the company. 

Major products produced by the company are Butter Bite, Classic cream, Kids Cream, Bourbon, Marie Lite, Big Boss ,Magic

Gold, CNC, Cheese Cracker, Snacks Zig Zag, Don, Coconut Crunch, Cheez Bit, Chat Patta, and etc.

CATEGERISATION OF PLAYERS IN THE INDUSTRY

Britannia and Parle the two food majors of India in the field of biscuits. In the last years it was market segments which both have dominated and not much was seen to disturb that arrangement. Parle with its Parle G , Krackjack and Manaco where as Britannia has Good day , Marie gold , Creams.

Britannia dominated the premium segment of biscuits where as Parle dominated the mass ,low premium biscuits ,things were pretty predictable but for the entry of new players have changed that status. Now that ITC and Priya gold are trying to break into their market and have established themselves as important players in biscuit market . These two major biscuit producers has are now forced to innovate products by the consumers to create brands which could be differentiated.

Both are trusted brand are ranked in top brands for biscuit, both have a long history of brands . The Major difference though is that where Britannia is revenues from bakery products is around 90 % ,share of biscuit sales is around –80% for Parle.

PARLE V/S BRITANNIA

Description Britannia Parle

Established 1896 1929

Nature of business Public ltd Family run business

No of manufacturing

units

5 own ,40CMU 8 own units ,60 CMU

Market share ( value) 32.80% 32.94%

Ads Major methods Cricket events and

players

Celebrities endorse

ment

New areas of promotion Environment Health and wellness

IMPORTANT BRANDS PITCHED AGAINST EACH OTHER

Category Britannia Parle Leader

Glucose Tiger Parle -G Parle-G

Marie Marie Gold Parle Marie Marie Gold

Salty snacks 50-50 Krack Jack Krack Jack

Choco chips Good day Hide n seek Good day

Milk Milk bikis Milk sakhti Milk bikis

Bourbon Bourbon Hide n Seek Bourbon

Nice Nice ------ Britannia Nice

Multi grain Nutri choice ----- Nutri choice

Cream Cream Treat Kreams Cream treats

Cookie Good day 20-20 Good day

Market share data for Indian biscuit industry

Here are market share data for biscuit industry from report s available at IBMA ( Indian Biscuit Manufacturers Association) .

Market share- Brands wise PARLE 40%

BRITANNIA 38%

PRIYA GOLD 15%

ITC 11%

REST 6%

CONCLUSION

In Indian BISCUIT Industry even the small companies are able to make profits.

Indian biscuit Industry has a continuous growth and will not be hindered due to external factors. Biscuit Industry has flourished in India enormously over the years and is still growing phenomenally

Entrepreneurs or businessmen who are in process of buying , installation of new biscuit line should keep following points in mind ,apart from legal requirement of industrial licenses , pollution clearance's and of course finances.

THANK YOU