DEVAAYA PROJECT

BY Ashish Ranawat (Jaipuria Institute of Management)Suryansh Pundir (Asia-Pacific Institute)Chandan Kumar Singh(EMPI B-school)Yash Vardhan(EMPI B-school)Abhishek Kumar (IMS Ghaziabad)

COMPANY BACKGROUND• LT Foods Ltd was incorporated on October 16, 1990 as a

private limited company with the name LT Overseas Pvt Ltd. • Chairperson - Vijay Kumar Arora 

MD - Surinder Kumar Arora• Total Income - Rs. 2780 Million ( year ending Mar 2015) 

Net Profit - Rs. 309 Million ( year ending Mar 2015)

PRODUCT RANGE OF THE COMPANY INCLUDES• Daawat: LT Foods Ltd. is one of the country’s leading processor and

exporter of packaged rice and staple foods under the flagship brand Daawat. The Daawat brand has been a great success in international markets as well. Quality based procurement, state of the art milling plants, product quality and customer focus are a few things Daawat has always been known for.

• Heritage: Heritage Basmati as a brand already made its presence felt for more than a decade, its not just another product of LT Overseas Ltd. but is also one of the trusted brands in the industry since years.

• Orange: It is long grain rice which is suitable for the daily needs of households. This is very popular among the diverse population across India.

ABOUT THE DEVAAYADevaaya is a brand product of Lt Food Ltd. The company is engaged in the manufacturing and sales of various product under the brand DAAWAT. Their product is marketed in more than 50 countries. Launched brand Product ‘DAAWAT’ in Saudi Arabia, Mauritius, and New Zealand & also set up a new manufacturing facility at Haryana, Bahalgarh and in December they commenced in commercial production.

PRODUCT OF DEVAAYA• ATTA• DALIYA• POHA • BESAN• MAIDA• SUJI

OBJECTIVE OF THE PROJECT• To increase sales• To promote the brand Devaaya• To know about the problems in the distribution channel• To make the retailers aware of the schemes

COMPETITORS• Pillsbury• Ashirwaad Atta• Shakti Bhog • Nature fresh• Rajdhani

CHANNEL OPERATIONS OF DEVAAYA

Distribution channel as we observed

STP OF DEVAAYA ATTA:

• Segmentation: all chapatti-eating people• Target group: every household in general, specifically young

children and young mothers.• Positioning: top quality, customized micronutrient blend.

QUALITIES OF A SALES PERSON

• He should be convincing.• He should be modest but at the same time should be strong at his point.• He must know how to present his ideas effectively.• He should be manipulative in a positive way. • He must have complete knowledge of LT Foods products.• He should be able to explain the schemes to retailers in such a way so that

the retailers seem benefitted.

CHALLENGES FACED• Had to go to each and every outlet for research purposes.• Found difficulty while coordinating with sales person.• Retailers were not ready to give responses properly.• Only word of mouth was not sufficient to make the sales due to lack of

awareness.• The retailers trust the brand Ashirwaad more than Devaaya

Reasons For Delay In Delivery Of Orders Generated:

• Unavailability of the stock.• Fault in communication system.• No proper attention given by distributor

Reasons Of Product Returns: • Expired product delivery.• Lack of proper packing.• Pilling of stock.

FACTORS WHICH DRIVE CUSTOMER’S / RETAILER’S BUYING BEHAVIOR: -

• Initially Devaaya Atta was launched at a higher price than its rivals so the customers did not prefer it.

• People were not aware about Devaaya due to lack of enough advertising.

• Its rival (Ashirwad Atta) has made a significant place in the market, which is considered as tasty and healthy by the customers.

• People usually don’t want to switch to a new product.

RESPONSE OF THE CUSTOMERS

Devaaya Atta has not been able to meet its targeted customers due to lack of advertisement. When we asked the retailers the reasons for not keeping Devaaya Atta in their outlets, they said that the customers prefer Ashirvaad Atta more and most of the customers are not aware of Devaaya

But after the taste, there mindset regarding Devaaya really changed, and they demanded for more.

IDEAL CALL TO MAKE SALES: 1. Review plan• Outlet type• Name of the shop• Merchandise2. Greet the dealer- introduce yourself and your company.3. Stock check• Permission for stock check• Availability of products -Competitors stock -Substitute product4. Calculations and suggestions5. Detail the product6. Suggest order and closed the call

PITICHING• Sales pitch of seniors- “Devaaya atta is made of MP wheat of selected

regions and is free from pesticides and a lot of harmful chemicals. So, it is pure and safe to use”

• My pitch-“Sir, Devaaya atta is specifically tasted and free from over 500 impurities which is done and verified by German laboratories. So, it is healthy and safe.”

• My pitch when didn’t receive any order-“sir, this is a product of LT foods whose flagship product is Dawaat. So, you can trust the product”

Process of Trade Interventions to get Shelf Space:• To attract the retailers, there was a scheme for them. If they

purchase 1 katta (1 katta=50kgs) of worth 10kgs, they will get a relaxation of rs8 per packets. And if they purchase 1katta of 5kgs, they will get relaxation of Rs.4 per packets.

• The scheme was successful to some extent, as they were able to save cost. But still there were retailers who do not want to take the risk as they were well aware of customers preferences and have the fear what if they cannot sell the products to their customers.

CONCLUSIONThe products of Devaaya are not known to their customers. What we feel after so much of survey is that it needs advertising so that it could reach its customers. LT foods is a good company, it delivers good products. In fact people do not know LT Foods but they know it by Dawaat. So, Devaaya too needs good campaigns so that it become successful like Dawaat.