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LOGO
Introduction
Suresh Venkataraman a successful marketer in Southern part of India. He was Fascinated by the power of consumer products in Rural Market. He decided to launch a new cosmetic product with a brand named Super Shampoo He wanted to make this brand successful but with limited fund.
Personal Care
Oral care(tooth paste/tooth powder & tooth brushes), Hair Care(hair oil, Shampoo)etc.
Food & Beverages Cereals, Bakery products, tea, coffee, dairy products.
Source: www.ibef.org
Bharat Vs India
Emerging INDIA Mission 101.1 Target low to reach on top. Still deprived of luxury goods. First BHARAT then INDIA. Want less for more.
Income Per Year Households (in Millions)
101.1
91.3 10.8 2.4 1.2
Power of S
Invention of sachets revolutionized the FMCG market. It opened B2C untapped market in rural areas. Unaffordable products became affordable for common people. Luxury comes in Sachets. Reduced overall cost.
Brands Used
Other 1%
Chik 31%
Affecting Factors
POLITICAL 1. Transportation and infrastructure development in rural areas helps in distribution network. 2. SEZ policies in rural areas ECONOMICAL 1. The FMCG sector is a 4th largest sector of Indian
PEST
SOCIAL 1. Rural employment 2. Volume-driven growth in rural market. 3. Major young population can increase revenue . TECHNOLOGICAL 1. Technology has been simplified and available in the industry. 2. Foreign players helps in high technological development.
Analysis
STRENGHTS
1. Low operational costs 2. Established distribution networks in both urban and rural areas. 3. Presence of well-known brands in FMCG sector.
WEAKNESS
1. Lower scope of investing in technology and achieving economies of scale. 2. Low exports levels 3. Counterfeit Products.
SWOT
OPPORTUNITIES 1. Untapped rural market 2. Rising income levels 3. Large domestic market-. 4. High consumer goods spending THREATS 1. Slowdown in rural demand 2. Tax and regulatory structure
Analysis of 4Ps
Product
Price Promotion
Place
Packaging
Continue..
Place Untapped rural market. 160million households. Major player of economic growth. Business of around US$ 425 million. Promotion Super the name itself. Retailers are the biggest promoters Following Word-OfMouth Strategy. Indirect Advertisement by others.
5th P- Packaging
Costly bottles. Help in reducing cost. Attractive Packaging. Easy recognition. Easy to carry & transport.
Conclusion
Value for Money proposition Supported by distribution penetration Word-of Mouth publicity. More for less strategy. Win-Win situation.
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