GGSIPU

PROJECT REPORT ON
BRITANNIA BISCUITS-A MARKETING STRATEGY

SUBMITTED IN PARTIAL FULFILLMENT OF THE

REQURITMENTS FOR THE AWARD OF THE
DEGREE OF BACHELORS OF BUSINESS
ADMINISTRATION (BBA)
TO
GURU GOBIND SINGH INDRAPRASTHA UNIVERSITY,
DELHI
MENTOR SUBMITTED BY:
Mrs.VANDANA ARORA NITIN KUMAR SOLANKI
ENROLLMENT NO.
09814217088
BBA-3

JAGANNATH INTERNATIONAL MANAGEMENT SCHOOL

VASANT KUNJ-70

1
2
 CERTIFICATE

This is to certify that NITIN KUMAR SOLANKI of BBA-III,

batch 2008-11, enrolment no. – 0981421708 have undertaken a
minor report on “BRITANNIA BISCUITS-MARKETING
STRATEGY” and have completed the project under my
supervision. I am satisfied with the project report submitted.

(Internal Guide)

Mrs. Vandana Arora

Lecturer, JIMS

3
 DECLARATION

I hereby declare that this project work titled “BRITANNIA

BISCUITS-MARKETING STRATEGY” is my own work and
no part of this project has been submitted for any other degree
purpose or published in any other film till date.

NITIN KUMAR SOLANKI

ENROLLMENT NO. 0981421708

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I would profusely like to thank my faculty and mentors at
JIMS VK especially Mrs. Vandana Arora, for their
immense help and support throughout the making of this
project. I would also like to thank my parents and friends
for their encouragement and help, without which the
project would’ve been incomplete.

Thanking you,
Nitin Kumar Solanki
BBA 3
0981421708

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1. Executive Summary 7
2. Introduction 8-11
3. Research Methodology 12-16
4. History 17-24
5. Market & Marketing Strategy 25-30
6. Product Line 31-45
7. Conceptual Framework 46-52
8. Data Analysis and Findings 53-58
9. Conclusion 59
10 Suggestions 60
.
11 Bibliography 61
.

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 EXECUTIVE SUMMARY

After going thick on the things, now time is to make a complete picture. While making a
product a SKU (stock keeping unit) of the shop retailers think about the GMROI (gross
margin return on investment) and they promote the brand which provides them highest.
They expect return in the form of profit margin, company schemes, window display and
reference of the shop. Among these, company schemes make the difference and are the
highest sources of motivation after profit margin. Retailing demands a constant push
from the company.

Marketer needs to use advertising and brand building strategies to address the discerning
buyers and retail push to in different buyers. The manufacturer should understand
consumer behavior because retailers can’t help quality and price. It is only up to
manufacturers to deliver what consumer wants. I need to stress on it because 58%
retailers said that it is demand why they sell Britannia. 61% agree that at retail shop it is
brand popularity, which determine the purchase of biscuit. There is a greater need to
understand the retailer behavior. Considering them as a team, working for the company
may help them to be attached to the company. There should be a feeling of belonging to
the company in inner of the retailers. This can be done by setting values club for retailers
so that they may exchange views with the company and help in understanding consumer
behavior.

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8
 Britannia Industries Limited

Type Private
Founded 1892
Kolkata and Bangalore; R&D
Headquarters
Chennai, India
Number of
300 stores (2000)
locations
Area served India
Nusli Wadia, Chairman
Key people Ms. Vinita Bali, (Managing
Director)
Industry Food
Biscuits Tiger, Britannia,
Products
milk
Revenue ▲ Rs 2,200 crore
DANONE, Kalabakan
Owner(s)
Investments
Wadia Group,
Parent
Associated Biscuits Intl. Holdings
Website www.britannia.co.in

The story of one of India's favorite brands reads almost like a fairy tale. 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.

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The beginnings might have been humble-the dreams were anything but. By 1910, with
the advent of electricity, Britannia mechanized its operations, and in 1921, it became the
first company east of the Suez Canal to use imported gas ovens. Britannia's business was
flourishing. But, more importantly, Britannia was acquiring a reputation for quality and
value. As a result, during the tragic World War II, the Government reposed its trust in
Britannia by contracting it to supply large quantities of "service biscuits" to the armed
forces.

As time moved on, the biscuit market continued to grow… and Britannia grew along with
it. In 1975, the Britannia Biscuit Company took over the distribution of biscuits from
Parry's who till now distributed Britannia biscuits in India. In the subsequent public issue
of 1978, Indian shareholding crossed 60%, firmly establishing the Indianness of the firm.
The following year, Britannia Biscuit Company was re-christened Britannia Industries
Limited (BIL). Four years later in 1983, it crossed the Rs. 100 crores revenue mark.

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. In
1999, the "Britannia Khao, World Cup Jao" promotion further fortified the affinity
consumers had with 'Brand Britannia'.

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 recognized for its innovative approach
to products and marketing: the Lagaan Match was voted India's most successful
promotional activity of the year 2001 while the delicious Britannia 50-50 Maska-Chaska
became India's most successful product launch. In 2002, Britannia's New Business
Division formed a joint venture with Fonterra, the world's second largest Dairy
Company, and Britannia New Zealand Foods Pvt. Ltd. was born. In recognition of its
vision and accelerating graph, Forbes Global rated Britannia 'One amongst the Top 200
Small Companies of the World', and The Economic Times pegged Britannia India's 2nd
Most Trusted Brand.

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Today, more than a century after those tentative first steps, Britannia's fairy tale is not
only going strong but blazing new standards, and that miniscule initial investment has
grown by leaps and bounds to crores of rupees in wealth for Britannia's shareholders. The
company's offerings are spread across the spectrum with products ranging from the
healthy and economical Tiger biscuits to the more lifestyle-oriented Milkman Cheese.
Having succeeded in garnering the trust of almost one-third of India's one billion
populations and a strong management at the helm means Britannia will continue to dream
big on its path of innovation and quality. And millions of consumers will savor the
results, happily ever after.

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 RESEARCH METHODOLOGY

Research methodology is considered as the nerve of the project. Without a proper well-
organized research plan, it is impossible to complete the project and reach to any
conclusion. The project was based on the survey plan. The main objective of survey was
to collect appropriate data, which work as a base for drawing conclusion and getting
result.

Therefore, research methodology is the way to systematically solve the research

problem. Research methodology not only talks of the methods but also logic behind the
methods used in the context of a research study and it explains why a particular method
has been used in the preference of the other methods

Research design:

Research design is important primarily because of the increased complexity in the market
as well as marketing approaches available to the researchers. In fact, it is the key to the
evolution of successful marketing strategies and programmers. It is an important tool to
study buyer’s behavior, consumption pattern, brand loyalty, and focus market changes. A
research design specifies the methods and procedures for conducting a particular study.
According to Kerlinger, “Research Design is a plan, conceptual structure, and strategy of
investigation conceived as to obtain answers to research questions and to control
variance.

Types of research are:

• Descriptive Research

The type of research adopted for study is descriptive. Descriptive studies are undertaken
in many circumstances when the researches is interested to know the characteristic of
certain group such as age, sex, education level, occupation or income. A descriptive study

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may be necessary in cases when a researcher is interested in knowing the proportion of
people in a given population who have in particular manner, making projections of a
certain thing, or determining the relationship between two or more variables. The
objective of such study is to answer the “who, what, when, where and how” of the subject
under investigation. There is a general feeling that descriptive studies are factual and very
simple. This is not necessarily true. Descriptive study can be complex, demanding a high
degree of scientific skill on part of the researcher.

Descriptive studies are well structured. An exploratory study needs to be flexible in its
approach, but a descriptive study in contrast tends to be rigid and its approach cannot be
changed every now and then. It is therefore necessary, the researcher give sufficient
thought to framing research.

Questions and deciding the types of data to be collected and the procedure to be used in
this purpose. Descriptive studies can be divided into two broad categories: Cross
Sectional and Longitudinal Sectional. A cross sectional study is concerned with a sample
of elements from a given population. Thus, it may deal with household, dealers, retail
stores, or other entities. Data on a number of characteristics from sample elements are
collected and analyzed. Cross sectional studies are of two types: Field study and Survey.
Although the distinction between them is not clear- cut, there are some practical
differences, which need different techniques and skills. Field studies are ex-post-factor
scientific inquiries that aim at finding the relations and interrelations among variables in a
real setting. Such studies are done in live situations like communities, schools, factories,
and organizations.

Another type of cross sectional study is survey result, which has been taken by me. A
major strength of survey research is its wide scope. Detail information can be obtained
from a sample of large population .Besides; it is economical as more information can be
collected per unit of cost. In addition, it is obvious that a sample survey needs less time
than a census inquiry. Descriptive research includes survey and fact finding enquiries of
different kinds of the major purpose. Descriptive research is description of the state of
affairs, as it exists at present. The main characteristic of this method is that the researcher

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has no control over the variables; he can only report what has happened or what is
happening. The methods of research utilized in descriptive research are survey methods
of all kinds including comparative and co relational methods. The reason for using such
needs to be flexible in its approach, but a descriptive study in contrast tends to be rigid
and its approach cannot be changed every now and then.

Data collection methods:

 Data can be obtained from primary or secondary sources. Primary data refer to
information obtained by the researcher on the variables of interest for specific
purpose of the study. Secondary data refer to information gathered from sources
already existing, while discussing literature survey. Some of the examples of
secondary data are company records or archives, government publications,
industry analysis offered by the media, websites, the Internet, and so on. In some
cases, the environment or particular settings and events may themselves be
sources of data, as for example, studying the layout of a plant. Considering the
research problem and research methods defined, only secondary data was
collected in this research.

 Secondary Data – Secondary data are indispensible for most organizational

research. Secondary data refer to information gathered by someone other than the
researcher conducting the current study. Such data can be internal or external to
the organization and accessed through the internet or perusal of recorded or
published information. Secondary data can be used, among other things, for
forecasting sales by constructing models based on past sales figures, and through
extrapolation. There are several sources of secondary data, including books and
priodicals, Govt. publications of economic indicators, census data, statistical
abstracts, and data bases the media, annual reports of companies, etc. Case studies
and other archival records sources of secondary data provide a lot of information
for research and problem solving. Such data are, as we have seen, mostly
qualitative in nature. Also included in secondary sources are schedules maintained
for or by key personnel in organizations, the desk calendar or executive, and

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 speeches delivered by them. Much of such internal data, though, could be
proprietary and not accessible to all.
 The advantage of seeking secondary data sources is savings in time and costs of
acquiring information. However secondary data as the sole source of information
as the drawback of becoming obsolete, and not meeting the specific needs of a
particular situation or setting. Hence, it is important to refer to sources that offer
current and up to date information.
 Secondary data in this research was collected through various forms, company’s
profile, websites and various literature studies.

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SWOT ANALYSIS OF BRITANNIA
Strength
• Fulfill one of our Basic
Requirement among Air , Water ,
Food, Shelter
• Widely accepted in all Generations
• Easily available in various forms
• Provide good Instant Remedy for
hunger in the form of readymade
food
• Preserves the non seasonal food
and makes it available all
throughout the year
Opportunities
• Increase economy of India
• Generate employment opportunity
• Good quality of Goods
• Provide competition to foreign
companies
• Improve living standard
• Provide goods to nation at cheaper
rate
• Inflow of foreign reserve and funds
for the govt.(taxes)
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Weakness
• Decreases nutritional value
• Increases the cost of food product
• Industry and technology requires
high investment
• Regular usage of processed food
can cause alteration in health
Threats
• Many companies are result oriented
• Increase in pollution
• Sometimes provide poor quality of
product for more profit
• Lack of technology
• Unable to utilize all the resources
efficiently
 HISTORY OF BRITANNIA

• 1892
o The Genesis - Britannia established with an investment of Rs. 295 in
Kolkata
• 1910
o Advent of electricity sees operations mechanized
• 1921
o Imported machinery introduced; Britannia becomes the first company East
of the Suez to use gas ovens
• 1939 - 44
o Sales rise exponentially to Rs.16,27,202 in 1939
o During 1944 sales ramp up by more than eight times to reach Rs.1.36
crore
• 1975
o Britannia Biscuit Company takes over biscuit distribution from Parry's
• 1978
o Public issue - Indian shareholding crosses 60%
• 1979
o Re-christened Britannia Industries Ltd. (BIL)
• 1983
o Sales cross Rs.100 crore

• 1989
o The Executive Office relocated to Bangalore
• 1992
o BIL celebrates its Platinum Jubilee

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• 1993
o Wadia Group acquires stake in ABIL, UK and becomes an equal partner
with Grouped DANONE in BIL
• 1994
o Volumes cross 1,00,000 tons of biscuits
• 1997
o Re-birth - new corporate identity 'Eat Healthy, Think Better' leads to new
mission: 'Make every third Indian a Britannia consumer'
o BIL enters the dairy products market
• 1999
o "Britannia Khao World Cup Jao" - a major success! Profit up by 37%
• 2000
o Forbes Global Ranking - Britannia among Top 300 small companies
• 2001
o BIL ranked one of India's biggest brands
o No.1 food brand of the country
o Britannia Lagaan Match: India's most successful promotional activity of
the year
o Maska Chaska: India's most successful FMCG launch
• 2002
o BIL launches joint venture with Fonterra, the world's second largest dairy
company
o Britannia New Zealand Foods Pvt. Ltd. is born
o Rated as 'One amongst the Top 200 Small Companies of the World' by
Forbes Global
o Economic Times ranks BIL India's 2nd Most Trusted Brand
o Pure Magic -Winner of the WordStar, Asia star and India star award for
packaging

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• 2003
o 'Treat Duet'- most successful launch of the year
o Britannia Khao World Cup Jao rocks the consumer lives yet again
• 2004
o Britannia accorded the status of being a 'Super brand'
o Volumes cross 3,00,000 tons of biscuits
o Good Day adds a new variant - Choconut - in its range
• 2005
o Re-birth of Tiger - 'Swasth Khao, Tiger Ban Jao' becomes the popular
chant!
o Britannia launched 'Greetings' range of premium assorted gift packs
o The new plant in Uttaranchal, commissioned ahead of schedule.
o The launch of yet another exciting snacking option - Britannia 50-50
Pepper Chakkar
• 2007
o Britannia industries formed a joint venture with the Khimji Ramdas Group
and acquired a 70 percent beneficial state in the Dubai-based Strategic
Foods International Co. LLC and 65.4% in the Oman-based Al Sallan
Food Industries Co. SAOG.
• 2008
o Britannia launched Iron fortified 'Tiger Banana' biscuits, 'Good Day
Classic Cookies', Low Fat Dahi and renovated 'MarieGold'.

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Founders

Dr. N Balasubramanian

Dr K.B Chandrashekhar

Mr. Arjun Malhotra

Prof. Jagdish Sheth

Dr. Sridhar Mitta

BOARD OF DIRECTORS

Name Designation
Mr. Nusli Neville Wadia Chairman
Ms. Vinita Bali Managing Director
Mr. A.K.Hirjee Director
Dr. Ajai Puri Director
Mr. Avijit Deb Director
Mr. Jeh N Wadia Director
Mr. Keki Dadiseth Director
Mr. Nimesh N Kampani Director
Mr. Pratap Khanna Director
Mr. S.S.Kelkar Director

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 HISTORY OF BISCUIT

Sweet or salty. Soft or crunchy. Simple or exotic. Everybody loves munching on biscuits,
but do they know how biscuits began?

The history of biscuits can be traced back to a recipe created by the Roman chef Apicius,
in which "a thick paste of fine wheat flour was boiled and spread out on a plate. When it
had dried and hardened it was cut up and then fried until crisp, then served with honey
and pepper."

The word 'Biscuit' is derived from the Latin words 'Bis' (meaning 'twice') and 'Coctus'
(meaning cooked or baked). The word 'Biscotti' is also the generic term for cookies in
Italian. Back then, biscuits were unleavened, hard and thin wafers which, because of their
low water content, were ideal food to store.

As people started to explore the globe, biscuits became the ideal travelling food since
they stayed fresh for long periods. The seafaring age, thus, witnessed the boom of
biscuits when these were sealed in airtight containers to last for months at a time. Hard
track biscuits (earliest version of the biscotti and present-day crackers) were part of the
staple diet of English and American sailors for many centuries. In fact, the countries
which led this seafaring charge, such as those in Western Europe, are the ones where
biscuits are most popular even today. Biscotti is said to have been a favorite of
Christopher Columbus who discovered America!

Making good biscuits is quite an art, and history bears testimony to that. During the 17th
and 18th Centuries in Europe, baking was a carefully controlled profession, managed
through a series of 'guilds' or professional associations. To become a baker, one had to
complete years of apprenticeship - working through the ranks of apprentice, journeyman,
and finally master baker. Not only this, the amount and quality of biscuits baked were
also carefully monitored.

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The English, Scotch and Dutch immigrants originally brought the first cookies to the
United States and they were called teacakes. They were often flavored with nothing more
than the finest butter, sometimes with the addition of a few drops of rose water. Cookies
in America were also called by such names as "jumbles", "plunkets" and "cry babies".

As technology improved during the Industrial Revolution in the 19th century, the price of
sugar and flour dropped. Chemical leavening agents, such as baking soda, became
available and a profusion of cookie recipes occurred. This led to the development of
manufactured cookies.

Interestingly, as time has passed and despite more varieties becoming available, the
essential ingredients of biscuits haven't changed - like 'soft' wheat flour (which contains
less protein than the flour used to bake bread) sugar, and fats, such as butter and oil.
Today, though they are known by different names the world over, people agree on one
thing - nothing beats the biscuit!

Some interesting facts on the origin of other forms of biscuits:

The recipe for oval shaped cookies (that are also known as boudoir biscuits, sponge
biscuits, sponge fingers, Naples biscuits and Savoy biscuits) has changed little in 900
years and dates back to the house of Savoy in the 11th century France. Peter the Great of
Russia seems to have enjoyed an oval-shaped cookie called "lady fingers" when visiting
Louis XV of France.

The macaroon - a small round cookie with crisp crust and a soft interior - seems to have
originated in an Italian monastery in 1792 during the French Revolution.

SPRING-uhr-lee, have been traditional Christmas cookies in Austria and Bavaria for
centuries. They are made from a simple egg, flour and sugar dough and are usually
rectangular in shape. These cookies are made with a leavening agent called ammonium
carbonate and baking ammonia.

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The inspiration for fortune cookies dates back to the 12th and 13th Centuries, when
Chinese soldiers slipped rice paper messages into moon cakes to help co-ordinate their
defense against Mongolian invaders.

BRITANNIA IN OVERSEAS

Britannia in the Middle-East

In March 2007, Britannia Industries Limited formed a Joint Venture with the Khimji
Ramdas Group, one of the largest and the most respected business conglomerates in the
Middle East. Britannia and its Associates have acquired a significant stake in Dubai
based Strategic Food International Co. LLC and Oman based Al Sallan Food Industries
Co SAOG. The two companies are key regional players in the biscuits, wafers and
cookies segment in the GCC markets and export their products across the world.

Strategic Food International Co. LLC (SFIC) is one of the largest biscuit and wafer
manufacturing companies in the Middle East. An ISO and HACCP certified company;
SFIC is also a proud winner of the Dubai Quality Appreciation Certificate. It offers a
wide spectrum of products under the brand Nutro, which is a leading biscuit brand in the
Middle East.

Al Sallan Food Industries Co is one of the foremost companies for the production of
cookies, rolls and chocolates. The products are well known under the brand name of
Baker's Pride.

Britannia in Sri Lanka

29th August 2008 goes down in the history of our company as the day, when Britannia
started manufacturing and marketing its products in Sri Lanka. Apart from tapping new
markets and going international, our company will afford many more families and
individuals a chance to enjoy healthy, nutritious and delightful products. Even as we
navigate foreign territories, we affirm our purpose, values, vision and goals in Sri Lanka-

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to help people enjoy life, through healthy snacking, and make this accessible to all people
anywhere, everyday…

Products manufactured in Sri Lanka include the most popular Milk Bikis, Milk Cream
Smileys, Vita Marie Gold, Creams and Cookies.

ORIGIN OF EAT HEALTHY THINK BETTER

Britannia -the 'biscuit' leader with a history-has withstood the tests of time. Part of the
reason for its success has been its ability to resonate with the changes in consumer needs-
needs that have varied significantly across its 100+ year epoch. With consumer
democracy reaching new levels, the one common thread to emerge in recent times has
been the shift in lifestyles and a corresponding awareness of health. People are
increasingly becoming conscious of dietary care and its correlation to wellness and
matching the new pace to their lives with improved nutritional and dietary habits. This
new awareness has seen consumers seeking foods that complement their lifestyles while
offering convenience, variety and economy, over and above health and nutrition.

Britannia saw the writing on the wall. Its "Swasth Khao Tan Man Jagao" (Eat Healthy,
Think Better) re-position directly addressed this new trend by promising the new
generation a healthy and nutritious alternative - that was also delightful and tasty.

Thus, the new logo was born, encapsulating the core essence of Britannia - healthy,
nutritious, and optimistic - and combining it with a delightful product range to offer
variety and choice to consumers.

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 MARKET & MARKETING STRATEGY

Marketing

Marketing is a societal process by which individuals and groups obtain what they need
and want through creating, offering and freely exchanging products and services of value
with others or otherwise it is the process of planning and executing the conception,
pricing, promotion and distribution of ideas, goods, services to create exchanges that
satisfy individual and organizational goals.

Marketing Strategy

Marketing strategy is a set of objectives, policies and rules that leads the company's
marketing efforts. It is the marketing approach to accomplish the bread objective of the
marketing approach to accomplish the bread objective of the marketing plan. The various
process of marketing strategy is given below.

1. Selecting largest markets segmentation

2. Positioning

3. Product

4. Price

5. Place

6. Promotion

7. Research and development

8. Marketing research

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1. Market segmentation and selecting target market

It is an effort to increase a company's precision marketing. The starting point of any

segmentation discussion is mass marketing. In mass marketing, the seller engaged in the
mass production, mass distribution and mass promotion of one product for all buyers.
Market segment consists of a large identifiable group within a market with similar wants,
purchasing power geographical location, buying attitudes or buying habits. It is an
approach midway between mass marketing and individual marketing. Through this the
choice of distribution channels and communication channels become much easier. The
researchers try to form segments by looking at consumer characteristics; geographic,
demographic, and psychographic. After segmenting the market then target market
selected.

2. Positioning: - The positioning is a creative exercise down with an existing product.

The well known products generally hold a distinctive position in consumer's minds. The
positioning requires that every tangible aspect of product, price, place and promotion
must support the chosen positioning strategy. Company should develop a unique selling
proposition (USP) for each brand and stick to it, PPL consistently promotes it’s DAP
fertilizer by Higher yield at lower cost. As companies increase the number of claims for
their brand, they risk disbelief and a loss of clear positioning. In general a company must
avoid four major positioning errors. Those are under positioning over positioning,
confused positioning and doubtful positioning.

3. Product: - A product is any offering that can satisfy a need or want. The major types
of basic offerings are goods, services, experiences, events, places, properties,
organizations, information and ideas. The company gives more importance in quality,
packaging, services etc. to satisfy the customers. The product has its life cycle. The
product strategies are modified in different stages of product life cycle.

26
4. Price: - It is the most important aspect in company's point of view. Price of the product
will be decided by the company according to the competitor's price.

5. Place: - This plays a major role in the entire marketing system. The company emphasis
on its distribution network. Proper distribution network gives proper availability of the
product.

Getting the right product to the right place at the right time involves the distribution
system. Distribution is the process of moving goods and services to the places where they
are wanted.

Channel Levels: The channel of distribution used by Britannia is:

Intensive Distribution: As biscuits need to reach the consumer at their nearest locations
this type of distribution channel is used. This type of distribution helps when for products
that are categorized by low involvement of the customer and where customer looks for
location convenience.

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6. Promotion: - Promotion is the one of the major aspects in marketing strategies. By
adopting various promotional activities the company create strong brand image. It also
helps in increasing the brand awareness. It includes advertising, sales promotions and
public relations etc.

Advertising:
Britannia works in close partnership to promote its biscuits with retailers. Promotion
costs are shared with retailers. The more retailers sell - the more Britannia is able to help
them.

Britannia launches products that offer the company good returns, supporting these
through brand building and leveraging on its nationwide supply chain. Brand building is
an integral part of Britannia’s marketing philosophy with continued promotions for its
various brands creating loyal customers in the process.

Good Day, "Richness is only one functional facet of Good Day. But there is also a large
emotional facet — that of spreading happiness. This became the plank on which Good
Day began to be advertised. Also with traditional notions of health changing, rich foods
are not necessarily looked at as being unhealthy. "Good Day is full of nuts and is rich but
it is also good for health. So, they created the Swasth kao, tan man jagao (Eat healthy,
energize body and mind) campaign."

Sales promotion:
“Eat Britannia, Go for World Cup" was the theme adopted in 1999 .People bought the
biscuit packs and searched for the lucky scratch for flying to England to see world Cup
Cricket match. The sales bounced 37% high on account of this strategy. The scheme
came alive again during the world Cup Match in 2002-2003 in South Africa.
“Lagaan - the super hit movie " brought fame to Britannia Biscuits also as 40000 buyers
of Britannia Biscuit packs were invited to see and a small lucky group to play the game
with the movie Stars of Lagan. What a novel way to promote a product - a perception in
correct proportion indeed!!

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Now, recently promotional strategies are "Jodi Banao" Offer & winning ideas of the
“Monmatano Britannia pran bhorano sharodiya” contest like create a special flower
arrangement for dashmi. Get all the women in your street together and make a huge,
elaborate face of durga with flowers.

Publicity:
Britannia brand is advertised through hoardings on cricket grounds, on highways, through
image building exercises like donations etc.

7. Research and Development: - after testing, the new product manager must develop a
preliminary marketing strategy plan for introducing the new product in to the market. The
plan consists of three parts. The first part describes the target market's size, structure and
behavior. The second part outlines the planned price, distribution strategy and marketing
budget for the first year. The third part of the development describes the long run sales
and profit goals and marketing mix strategy over time.

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 MARKETING MIX

Product Price Promotion Place

Product variety List price Sales promotion Channels

Quality Discounts Advertising Coverage

Design Allowances Sales forces Assortments

Features Payment period Public relation Locations

Brand name Credit terms Direct marketing Inventory

Packaging Transport

Sizes

Services

Warranties

returns

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 PRODUCT LINE

TREAT

As a move to consolidate all the individual Cream Treat offerings under a single
umbrella, Britannia launched Treat in 2002. Treat has a range of tasty delights for all kids
with yummy creamy treasures within the biscuit shells. The kids have always relished
unraveling the irresistibly delicious creams hidden inside the biscuit Britannia Treat
offers a wide variety of flavors, such as the Elaichi, the Fruit Flavored Creams such as
Orange, Pineapple, Mango, and Strawberry, the Jam Filled Centers under the Jim Jam
range, and the Duet Range (biscuits with two flavors of cream between three layers of
biscuit) comprising Strawberry Vanilla and Duet Strawberry Chocolate.

Britannia Treat has now launched yet another mouth watering delight under its umbrella.
The delicious Fruit Rollz take the Treat brand beyond the cream biscuits and provides yet
another lip smacking delight to its consumers!

Fruit Rollz are soft rolls filled with the goodness of real fruits, and provide a healthy yet
scrumptious treat to our 'loveable devils' Treat also introduced its
naughty and adorable brand mascot FUNTOOSH whose primary
occupation is mischief! FUNTOOSH is the guy who will pull off
any trick to make sure he gets to eat his Britannia Treat!

For all you kids, who have relished the yummy treasures of
Britannia Treat in exciting flavors, look out for yet another
reason to celebrate!

31
Britannia Treat launches a new and exciting combination of chocolate and caramel in a
single bar - TREAT CHOCO GELO. This unique and never before product is guaranteed
to double the masti and double the fun that you have with Treat.

Treat Choco Gelo has been launched nationally in August, 2007 and is available at an
attractive price of just Rs.5/-

So go ahead, open this delicious pack, indulge yourself with Treat Choco Gelo and enjoy
Yummy Chocolate and Gooey Caramel for "Double Masti ka Double Dose"

TIGER

Tiger, launched in 1997, became the largest brand in Britannia's portfolio in the very first
year of its launch and continues to be so till today. Tiger has grown from strength to
strength and the re-invigoration in June 2005 and more recently, in Apr 2008 has further
helped bolster its growth in the highly competitive glucose biscuit category.

Tiger is a Glucose biscuit, which comes with the added goodness of wheat and milk. It is
for modern mothers who play an enabling role for their children to compete in today's
world and thus want the best. Now Tiger Glucose has been fortified with "Iron Zor" with
an attempt towards addressing the Iron Deficiency crisis the children of India face.

Over the years, Tiger has become the mass-market face of Britannia symbolizing fun and
energy in both urban and rural India, and transcending glucose biscuits.

Tiger Coconut: Delicious Coconut Flavored Energy Biscuits, launched in 2001

32
Tiger Creams: Was introduced in 2002 at just Rs 5 per pack. Tiger Cream is now
available in Orange, Elaichi, Chocolate, Pineapple, Strawberry and Butterscotch flavors,
and promises to bring more fun and more energy to children across the country.

Chota Tiger: Is an extension of brand Tiger launched nationally in May, 2007. It is mini
sized poppable glucose biscuit with colored sugar sprinkling. It comes in two variants:
Milk Sparkies and Choco Sparkies

Tiger Banana: Britannia is committed to help secure every child's

right to Growth & Development through good food every day.
Purposefully taking forward the credo of 'Eat Healthy, Think
Better ', we have launched a new variant under our power brand
TIGER - TIGER BANANA - power packed with IRON ZOR &
and with the delightful taste of banana.

IRON ZOR helps make mind sharper and body stronger. An Rs.4 pack has as much
IRON ZOR as that in 1 kg of Banana.

R&D in Britannia has spent considerable time to develop this nutritious and delightful
snack for children.

Britannia Tiger Banana packed with IRON ZOR and goodness of Banana is accessible
to all, being available in convenient packs priced at Rs.2, Rs.4 and Rs.10.

33
 GOOD DAY

Britannia Good Day was launched in 1986 in two delectable avatars - Good Day Cashew
and Butter. Over the years, new variants were introduced - Good Day Pista Badam in
1989, Good Day Chocochips in 2000 and Good Day Coconut in 2004.

This rich biscuit enjoys a fan following of consumers across all ages, loyal to the brand
promise of a great taste evident from the visibly abundant ingredients. Good Day is
amongst the fastest growing brands in Britannia's portfolio and is today the market leader
with almost 2/3 share of the market. The brand is synonymous with everyday treats that
infuse happiness into people's daily lives.

After two decades of magnificent success; it was time to give the nation yet another
reason to have a good day. Abundance, goodness, indulgence and now unrestrained joy -
that is the message of this new campaign.

The new TT ad is the uncontrollable expression of the ticket collector's happiness and joy
that is stimulated by consumption of the cookie that spreads cheer amongst the people
around him creating an atmosphere of shared joy that's unorchestrated and straight from
the heart. The celebration was taken to the IPL as Good day cheered along with a million
cricket fans in the stadiums, each screaming and proclaiming "Ho Gaya re Good Day".
The dazzling brilliance of this Endeavour, the contagious rhythm needs to be lived and
spread through the nation, making 'Iska toh ho Gaya Re Good Day' a part of the
common lingo and a way of life.

Good Day truly believes laughter and happiness are infectious, it transcends race, caste
creed unifying humanity in an inclusive emotion.

34
The brand perseveres to infuse cheer, hearten the nation and enliven lives. With its
rightful place on the front page of The Times of India, Good Day gifts the nation a
priceless treasure, that of spreading JOY!

BOURBON

Thick, rich and delicious chocolate packed between two crunchy chocolate biscuits,
topped with sugar crystals - presenting, the original Bourbon, from the house of
Britannia.

India's first and favorite Bourbon's sweet adventure began in 1955. Since then, Bourbon
lovers across the country have been caught opening this chocolate couplet, licking the
cream, and nibbling at the melt-in-your-mouth biscuit, bit by bit. Some have been
witnessed chomping it whole, at one go. Some have been noted to alternate it with sips of
coffee; others team it with lots of gossip and gupshup, while a few have been observed
enjoying it with a book.
And some have been seen reluctantly sharing their Bourbon.

Whatever the occasion, wherever the hangout, Bourbon makes for great company. You
can grab your very own Nano Pack or a Pocket Pack. The Hangout Pack is just right for
chilling with friends. Take along a Party Pack for... yes, a party! And the Gift Pack will
surely win you a few brownie points!

35
 50 -50

With a brand name like 50-50, can the product be anything but fun? Launched in 1993,
50-50 belongs to the family of crackers and is considered the "very very tasty tasty"
snack.

Britannia 50-50 is the leader in its category with more than one-third of market share.
The versatile and youthful brand constantly aims to provide a novel and exciting taste
experience to the consumer. As a result, in 2001, the delicious Maska Chaska was
launched as a variant of the original brand and became an instant success.

36
 MARIE GOLD

Britannia's oldest brand enjoys a heritage that spans the last 50 years - and going strong.
In a market swamped with me-too products and where even the name 'Marie' has become
generic, Britannia Marie Gold has maintained its stronghold. Today, the ever-popular
Marie Gold is synonymous with the 'Tea Time Biscuit'. Its taste, crispiness and lightness
make it a must for every tea break. It is the #1 brand in its category by a long shot.

MILK BIKIS

Kids may dislike drinking milk, but they love Britannia Milk Bikis! Milk Bikis has been
trusted by mothers as a source of growth energy of milk and their loyalty to the brand has
made it an integral part of their children's nutrition regimen.

In 1996, Milk Bikis launched a variant called Milk Cream. These round
biscuits come with smiley faces and are full of milk cream that makes them
very popular with children. Milk Cream also promoted the idea of 'eating
milk' in a yummy way, which makes mothers happy as well.

37
To keep pace with the demands of the new generation and to bring milk nutrition to the
masses in a delightful form, Milk Bikis, went one step further in the last quarter of 2006
in providing not just energy but ‘developmental fuel’ for children. With a unique and
attractive honeycomb design and an enhanced product experience, the new biscuit is now
fortified with SMART NUTRIENTS – 4 vital vitamins, iron and iodine, proven to aid
mental and physical development in growing kids.

NUTRICHOICE

In continuation of the promise of "Swasth Khao, Tan Man Jagao," Britannia introduced
NutriChoice range of healthy biscuits in 1998. The brand is targeted towards overall
health and wellness for adults.

The range has for long comprised of three popular variants, namely NutriChoice Thin
Arrowroot, NutriChoice Cream Cracker and NutriChoice Digestive.

38
NutriChoice Thin Arrowroot - An ageless classic

Extremely popular in East India for over 4 decades (where it is affectionately referred to
as Britannia Theen), this brand contains the benefits of arrowroot known to aid digestion
and remove harmful toxins from the body. Prior to 1998 it was being marketed as
Britannia Jacob's Thin.

NutriChoice Cream Cracker - As nature would have wanted it to be

Ask any biscuit manufacturer and they will tell you how difficult it is to make this
biscuit, especially with next to nothing sugar, with NO added colors and flavorings for
taste. It is this neutral taste that makes it an ideal choice to be consumed with hot
beverages, dips, chutneys, and accompaniments.

NutriChoice Digestive - Delightfully tasty and wholesome

Made with 50% whole-wheat and packed with added fiber (10% of
our daily dietary needs), these delightfully tasty biscuits are
amongst your healthiest bites of the day. In your next visit to a shop
just look out for its Golden-green international pack.

In 2007, NutriChoice SugarOut was launched. NutriChoice

SugarOut is the most novel product range to have been introduced
in the market. The product is not just sweet but tastes great, and yet contains no added
sugar. It is sweetened with "Sucralose," derived from sugar, which provides the same
sweetness as any other biscuit, without the added calories of sugar.

This range is available in 3 delicious variants namely Lifetime, Chocolate Cream, and
Orange Cream, targeted towards all health sensitive people. It is also relevant for
consumers with sugar- related ailments.

We are confident that you will be pleasantly surprised with the great tasting and healthy
range of NutriChoice. Try one and you'll know that you've made one smart choice.

39
NutriChoice 5 Grain

Most consumers believe that to in order to stay healthy one needs to make certain
compromises on some good things in life. Whether it is missing that extra hour of sleep
over early morning exercise, or eating unappetizing foods over that extra oil-dripping
samosa. At the same time most of us agree that good nutrition cannot come from one
kind of food alone, but from a healthy combination / assortment of several healthy
ingredients put together. Britannia NutriChoice 5 Grain Biscuits are a perfect answer to
those looking for healthy eating options without as much making a compromise on taste,
or convenience, or health.

Because Britannia NutriChoice 5 Grain biscuits are made from 5 carefully chosen healthy
cereals (Oats that help reduce bad cholesterol, Corn which promotes heart health, Ragi a
good source of both Calcium as well as Fiber, Rice low in fat, and Wheat that provides
wholesome energy). These biscuits are delicately sweetened with natural honey, and
come in a unique large oval shape. It is this large size and the healthy combination of the
ingredients that make it an ideal hunger buster for those in-between meals time hunger.

Britannia NutriChoice 5 Grain biscuit pack contains several small single serve pocket
meals packs, so that one is never far away from pacifying hunger on the move. So
whenever you miss your breakfast, or succumb to those unhealthy evening snacks, you
can relish the goodness of health with Britannia NutriChoice 5 Grain biscuits.

NutriChoice Classic Lite Cracker - NutriChoice Crackers have for long been the
healthy choice of the discerning consumer. The popular NutriChoice Cream Cracker has
been improved to make it crispier and tastier and been rechristened as Nutrichoice
Classic Lite Cracker.

NutriChoice Nature Spice Cracker - Now there is more choice for the discerning
cracker consumer. NutriChoice Nature Spice Crackers are delicately sprinkled with the
goodness of Ajwain and Jeera. Ajwain s benefit with good digestion is legendary, while
each one of us relishes the taste of Jeera. In addition 0% Sugar is added to these biscuits
which deliver the health promise that Nutrichoice is known for.

40
NutriChoice Crackers are made by using a special FRESH BAKE TECHNOLOGY,
which ensures that they are completely free from Cholesterol, harmful Transfats, artificial
preservatives, colors and flavors. They come in an international metalized packaging,
which ensures that the biscuits retain maximum freshness till the time they are opened.

TIME PASS

Before Time pass, Britannia's offering in the salted cracker category was Snacks.
Launched in 1999, Snacks was promoted as a tastier base for toppings through edgy
advertising.

Then in late 2000, supported by aggressive advertising that featured the brand as a perfect
partner for time pass moments, Britannia Time pass was launched.

The brand quickly became a leader in Britannia's portfolio and, consequently, Snacks was
revamped as a lighter product and renamed Britannia Time pass Classic Salted. To
further the franchise of the Time pass brand, a variant 'Nimkee' was introduced in the
Eastern market in April 2003, and then taken nationwide after a favorable response.
Judging by its history, the resounding success of Britannia Time pass will continue to
grow.

41
 LITTLE HEARTS

Little Hearts was launched in 1993 and targeted the growing youth segment. A
completely unique product, it was the first time biscuits were retailed in pouch packs like
potato wafers. The launch message introduced a special taste experience that made the
unlikeliest characters - like Dracula and Frankenstein - melt. In 1997, the 'Direct Dil Se'
campaign encouraged youngsters to openly express their feelings. And in 2003, two
variants called Little Hearts Chocolate and Little Hearts Sesame were rolled out with a
campaign "Dil sabka actually sweet hai". With Little Hearts, Britannia has tasted the
sweet taste of success.

NICE TIME

Britannia Nice Time was the pioneer of sugar sprinkled biscuits in India. This unique
product managed to create such a strong consumer pull that soon there was a rush of

42
pretender products in the market, clearly indicative of the success of the concept. Today,
Nice Time has a fan base spread across India, and, particularly, East India, where its
consumers have grown up with the brand. Especially popular amongst children, Britannia
Nice Time has managed to create a loyal franchise for itself and is a strong brand loved
by people of all ages.

DAIRY FRESH

Till 1958, there were no breads in the organized sector and bread consumption was a
habit typified by the British. Then, a mechanized bread unit was set up in Delhi with the
name "Delbis" which produced sliced bread and packed it under the Britannia name.
Thus, Britannia was not only the pioneer, but also inculcated in the people of Delhi the
habit of eating white sliced bread.

The Mumbai unit came up in 1963, and there again Britannia was the first branded bread
in the city. From a company offering 2 packs - the 400gm and the 800gm plain white
sliced bread - Britannia has evolved into a company offering 22 packs, catering to a
variety of taste and price segments in the bread consuming market. The last couple of
years also saw the introduction of Whole Wheat Bread as a part of "Eat Healthy, Think
Better" credo.

Cakes
Britannia entered the cake market in the year 1963 and is the top player in the market.
Britannia Cakes range is divinely scrumptious and has both Bar Cakes and Cup Cakes
which were launched in 2005. Bar Cakes are available in variants that include Fruit,
Butter Sponge, Chocolate, Pineapple, Milk, Vanilla Chocolate and Orange. Apart from
being delicious, these snacks are packed with healthy ingredients making them
wholesome & delightful.
Britannia cup cakes come in vanilla and orange flavors.

Rusks
Britannia launched its rusks in the year 2005. In a Market full of unbranded players,

43
Britannia rusks have stood head and shoulders above the rest in terms of sheer quality
.They are made from the finest ingredients and baked with care as they are twice as
crisper as and tastier than ordinary rusks. The communication for this mouthwatering
offering is aptly “Enliven your spirits with Britannia rusks

GIFTS

Britannia brings you 'Shubh Kaamnayein' converting little moments of the festive season
into delightful memories

The magical time of year, is round the corner. Bring in this festive season rejoicing, and
adding the glitter and glamour of celebration, with Britannia 'Shubh Kaamnayein' a range
of biscuits, premium cookies and cakes.

The special edition for 2008 'Britannia Premium Assorted Cookies' is all about surprises,
the enchanting discovery of new tastes and innovative packaging. It offers you absolutely
delightful cookies made with rich ingredients and flavors such as Cranberry, Butter
Scotch, Honey Raisin, Choc Chips, Coffee Almond, Cashew, Honey and Almond. The
much loved 'Britannia Classic Hampers' contain an assortment of Britannia's popular
brands like Good Day, Treat Jim Jam, Bourbon and Little Hearts.

The innovatively conceptualized packaging, of ingenious tray packs and collectible tin
boxes, uses calligraphy, brush strokes of colors and clever use of symbols, beautifully
fusing tradition and art for the festive season. It brings alive a commonality of joy and
celebration. This range promises to pamper your senses and emotions.

We understand that the wondrous occasion of light and radiance is incomplete without
the presence of near and dear ones. Britannia 'Shubh Kaamnayein' joins you as you
express your love and good wishes, to the ones who make life special for you.

Britannia 'Shubh Kaamnayein' is designed to add joy to moments, transforming them into
delightful memories. We have judiciously packaged and priced this entire range to make

44
it available to everyone who wants to share good wishes. As part of our 90th year
festivity we present Britannia Shubh Kaamnayein, to add 'Zindagi mein life'.

Rusk
Milk Rusk (round) 70/- (available in 200gms, 400gms)

Milk Rusk (oval) 70/- (available in 200gms, 400gms)

Saunf Rusk70/- (available in 200gms, 400gms)

Jeera Rusk70/- (available in 200gms, 400gms)

Cardamom Rusk75/- (available in 200gms, 400gms)

Cookies
Flower Biscuits 70/- (available in 250gms, 400gms)

Coconut Biscuits 75/-(available in 250gms, 400gms)

Jam Centre 75/-(available in 250gms, 400gms)

Custard 75/-(available in 250gms, 400gms)

Chocolate Marble 75/-(available in 250gms, 400gms)

Orange 75/-(available in 250gms, 400gms)

Coconut Macroon 95/-(available in 200gms, 350gms)

Chocolate Walnut 120/-(available in 250gms, 400gms)

Pure Chocolate Cashew 120/-(available in 250gms, 400gms)

Butter Pista 130/-(available in 250gms, 400gms)

Almond Cookies 130/-(available in 250gms, 400gms)

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 CONCEPTUAL FRAMEWORK
The conceptual framework of this project essentially focuses on the consumer
buying behavioral analysis.

Understanding the buying behavior of the target market is the essential task of marketing
management under marketing concept. The consumer market consists of all the
individuals and households who buy or acquire good and services for personal
consumptions. The buying behavior tries to find out the answers for the questions, who
buys? How do they buy? Where do they buy? Do they buy?

(A) FACTORS INFLUENCING CONSUMER BUYING BEHAVIOR

There are four major factors that influence the buying behavior such as cultural factors,
social factors, personal factors, and psychological factors.

i. CULTURAL FACTORS: Culture is the most fundamental determinant of a

person wants and behavior. Values, perceptions, preferences, and behavior are the
main variable under culture of an individual. Each culture contains sub-culture
like nationality, religious group, geographical area, and linguistic divisions etc.

ii. SOCIAL FACTORS: A consumer behavior is also influenced by social factors

such as the consumer reference group family and social roles and status.

iii. PERSONAL FACTORS: A buyer decision is also influenced by his or personal

characteristics, notably the buyers age, lifestyle, occupation, economic
circumstances etc.

PSYCHOLOGICAL FACTORS: a person buying choice is also influenced by four

major psychological factors such as motivation, perception, learning belief and attitudes.

46
(B) BUYING DECISION PROCESS

It includes buying roles, types of buying and steps in buying process.

I. BUYING ROLE

The buying role could be classified into four parts. These are initiator, influencer, decider
and buyer.

II. TYPES OF BUYING BEHAVIOR

Consumer decision taking varies with the type of buying decision. There are four types
buying behavior such as Complex buying behavior, Habitual buying behavior, Variety
seeking buying behavior.

III. STAGES IN BUYING DECISION PROCESS

Here are five stages in buying decision process namely problem recognition search,
evaluation of alternatives purchase decision and past purchase behavior.

NEED RECOGNITION

The buying process starts with the buyer’s recognition of a problem of need. The buyer
senses a difference between his actual state and desired state.

INFORMATION SEARCH

There are different sources from where a consumer can gather information like personal
sources commercial sources, experimental sources.

EVALUATION OF ALTERNATIVES

After gathering information about different products the customer will be in a fuss as to
choose which product among the mainly alternatives consumer usually evaluate the
alternatives on traditional basis, on the basis of utility function etc. from the many
alternative consumers at last choose the best one for him.

47
PURCHASE DECISION

A consumer who decides to execute purchase intention will be making up to five

purchase decisions.

POST PURCHASE BEHAVIOR

After purchasing the product and services the consumer will experience some level of
satisfaction or dissatisfaction with the product and services that will influence subsequent
behavior. If consumer is satisfied he may show the probability of buying the product the
next time, satisfied customer will say good thing about the product, proving the statement
that "satisfied customer is the best advertisement.” A dissatisfied customer may take
some action against it. They may try to reduce the dissonance by abandoning returning
the product.

Understanding consumer needs and buying process is the foundation of any company. By
understanding how buyers go through problem recognition, information search evaluation
of alternatives, the purchase decision and post purchase behavior marketers can pick up
many clues as to how to meet buyers need.

48
 THE INDUSTRY
Biscuits derive its name from a French word meaning twice backed bread; Biscuits in
general have a good shelf life, which is higher than all other snack items available in the
market.

India is the second largest producer of biscuits in the world after the U.S.A. but still the
per capita consumption is only 2.3 kg/year of developed countries. As per the latest
survey done by N.C.A.E.R., 49 biscuits are consumed in rural areas. The penetration of
biscuits into households stands at an average of 83.2% with the rural penetration at 77%
and urban penetration at 88%. Biscuits are reserved for the small scale sector but there
are strong possibilities of the industry being deserved in line with the government policy
of liberalization. The net effect thus would be greater choice for the consumer as well as
a check on the costs.

The country production of the biscuits during 2004-05 was 18.6 Lac tons of which 1/2
were manufactured by the organized sector. The industry turnover was 5322.7 Crores of
which organized sector contributed 2519.3 crores.

Britannia, makers of Britannia biscuits, doubled capacity from 25 tons a day to 50 tones
and plans to be a national brand soon. In an aggressive mode, the North dominated
biscuit player has increased its ad budget to Rs. 5 crore this year from Rs. 3 crore last
year. Britannia has also recently invested about Rs. 5 crore in the modernization and
expansion of its production and packing its production capacity of 40 tons per day to 100
tons per day by next year. The aim: to take the current turnover of Rs. 50 crore to Rs. 100
crore by the year.

The low priced brand claims to have a 15 per cent market share in the North and is
aggressively eyeing a bigger bite of the Rs. 2,500 crore biscuit industries. The brand
plans to gain a 40 per cent market share in the North by the year of.

The company's strategy has been to attract new consumer segments and widen its
consumer base with its well packaged low priced offerings. Britannia's success has also
come from its formidable.

49
It gives me great pleasure to introduce the Summer Training Report. It is based on the
survey conducted in East Delhi region on Biscuit industry. The applicability of various
branding strategies play crucial role in marketing in product. The applicability has grown
due to the liberalization, competition and technological changes taking place in corporate
world.

In this project the various branding strategies adopted by the company has been studied
and compared on the basis of current market scenario. It gives the idea about the market
share enjoyed by the different companies in the Biscuit Industry. It provides the
adequate coverage of many issues related to biscuit industry. The objective of this report
is to give the market share of Britannia biscuits in the Indian capital (New Delhi). It has
been made possible by knowing the consumer's behavior and by studying the patterns
adopted by the retailers. It gives us very precise view about the existing demand of
Britannia biscuits and demand of their products as compared to other competitors. It also
highlights the changing market trends and consumer preferences, why they have shifted
from finally pack to pouch pack. The annual growth rate of the industry is about 12.5%.
However, the growth of cream biscuits, assorted or special variety is the range of 30-
40%.

The organized sector consists of large, medium and small scale biscuit manufacturers
who produce packed biscuits. The major players in this sector are Britannia, Bakeman’s,
and Parle, etc. the unorganized sector comprises of small bakery units, cottage and
household type manufacturing plants. These units distribute their biscuits in the
surrounding vicinity of their manufacturing locations of say 20-50 kms. The country
production of biscuits during 2005-06 is estimated to be about 19.5 lack tons. Out of
which 1/2 again is expected from unorganized sector.

50
 COMPETITORS

Generally all organizations have competitors in the market. A particular organization

always comprises with other same business and according to market share we clarify the
brand of product is giving more challenge to my product.

I found many products which can be compared with Britannia Biscuit. As a conclusion I
found that particularly in my provided area Britannia is really doing well and its
performance is on surprising level. Lost market share to ITC Foods and has struggled to
keep pace with Parle in glucose biscuits. Pepsi, Kraft, DANONE could be formidable
competitors. Britannia seeks to build market share through expanded product portfolio,
acquisitions, JVs and thrust on rural consumer. In my provided area the share of the
market is as follows.

BRITANNIA 34.8%

PARLE-G 31.9%

ITC 8.6%

SURYA FOODS 8%

ANMOL BAKERS 4.2%

OTHERS 15.6%

When we compared with other businesses then we follow the quality, price, distribution
system, promotional strategy etc. of the competitors Britannia in this area is doing well.

So this is the comparison with other biscuits brands. According to our findings we found
that BRITANNIA is the market leader followed by BRITANNIA biscuits. These two
biscuits company the lion's share in the 2,200 crore biscuits industry.

51
 MARKET POTENTIAL
Market potential of the BRITANNIA is much positive in competitive era and will sure
cover the maximum market share of biscuit product. Potentiality of any product depends
upon the futuristic performance of the product. It depends that how much retailers have
potentiality to be permanent seller of BRITANNIA.

For great potentiality it is necessary to improve those factors which are going to affect
retailers. In my study I found some factors which can help to cover great potentiality.
These factors are following:
• Scheme delivery should in perfect determining time.
• Some places distributors not able to cover his particular area. That should be
improved.
• Scheme facility should be regular as much as possible.
• Small pack also should be in the market.
• Always collect the views of retailers. It gives psychological effect on the retailers
about careness by manufacturing company.
These factors are very important for the organization. If company is able to improve these
all factors then definitely its market share will more increase. Retailers will take more
interest to sell Britannia biscuit and customer will also enjoy for it.

So potentiality is very high to Britannia biscuit in positive direction.

52
DATA ANALYSIS AND FINDINGS
Annual Performance 2007-08:
For the year ended 31st March 2008, the Company achieved a sales growth of 17.5% on
an expanded base arising from 27.5% growth in the previous year. Net Profit of the
Company increased 77.5 % to Rs 1,910 Mn compared with Rs 1,076 Mn in 2006-07.
Operating Margin increased by 307 basis points to 7.5%.

The Company witnessed all round growth in key categories with Biscuits recording sales
of Rs. 23,299 Mn. Bread, Cake and Rusk business crossed the Rs. 2,700 Mn mark during
2007-08. This business has doubled in two years.

In an intensely competitive biscuit environment, all ³Power Brands² of the Company

recorded double digit growth, with Tiger and Good Day growing in excess of 20%. The
Company¹s innovation forays have successfully addressed new benefit clusters and
NutriChoice Digestive has claimed its position in the health and vitality space. The
Company continues to maintain its leadership edge in 6 out of 7 key product segments,
the only exception being Glucose.

The business continued to face inflationary pressure in key raw materials such as wheat
flour, refined palm oil, skimmed milk powder and other dairy products, as well as energy

53
costs. These were more than offset on the cost side through operational and procurement
efficiencies, productivity improvements, cost reduction programs and on the revenue side
through improved product mix and higher realization, aided by strong consumer off take.

Exceptional items for the year include Rs 130.5 Mn towards amortization of VRS costs.
Earnings per Share are Rs. 80 compared with Rs.45.1 last year.

54
 SIGNIFICANT RATIOS
2007-08 2006-07

Measures of Investment

Return on equity Profit after tax % 26.1 18.3

Shareholders’ funds

Book value per share Shareholders' funds Rs. 306.6 246.6

Number of equity shares

Dividend cover Earnings per share times 3.8 2.6

Dividend (plus tax) per share

Measures of Performance

Profit margin Profit before tax & exceptional item % 9.2 5.7
Net Sales + Other Income

Debtors turnover Gross Sales times 56.5 81.0

Debtors + Bills receivable

Stock turnover Gross Sales times 8.7 10.8

Stock

Measures of Financial Status

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Debt ratio Borrowed capital % 14.5 0.8
Shareholders’ funds

Current ratio Current assets times 1.6 1.2

Current liabilities

Tax ratio Tax provision % 17.8 9.1

Profit before tax

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57
 TEN YEAR FINANCIAL STATISTICS : 1999 - 2008
Rs.
million
As at / Year ended 31st
1999 2000 2001 2002 2003 2004 2005 2006 2007 2008
March
Assets employed
Fixed assets less
Depreciation & 1,353 1,306 1,588 1,632 1,481 1,283 1,338 1,516 2,144 2,507
Amortization
Investments 1,293 1,470 2,156 3,104 2,969 2,913 3,301 3,599 3,200 3,808
Net current assets 18 65 257 592 747 43 (485) 309 596 2,072
Miscellaneous
- 122 163 217 260 463 342 161 256 232
expenditure
2,664 2,963 4,164 5,545 5,457 4,702 4,496 5,585 6,196 8,619
Financed by
Equity shares 186 279 279 269 259 251 239 239 239 239
Reserves & Surplus 1,308 1,586 2,123 3,430 3,653 4,059 4,196 5,252 5,909 7,319
Loan funds 1,170 1,098 1,762 1,846 1,545 392 61 94 48 1,061
2,664 2,963 4,164 5,545 5,457 4,702 4,496 5,585 6,196 8,619
Profits and
appropriations
Sales 10,301 11,698 13,325 14,510 13,491 14,705 16,154 18,179 23,171 26,177
Profit before
Depreciation,
735 962 1,369 1,630 1,722 2,251 2,645 2,218 1514 2,723
Amortization
and Tax
Depreciation and
159 172 189 240 261 224 190 217 253 291
Amortization
Profit before tax and
576 790 1,180 1,390 1,461 2,027 2,455 2,001 1,261 2,432
Exceptional items
Exceptional items - (19) (41) 1,201 12 (183) (252) 6 (77) (109)
Profit before tax * 576 771 1,139 2,591 1,473 1,844 2,203 2,007 1,184 2,323
Taxation 180 261 434 559 482 656 715 543 108 413
Profit after tax 396 510 705 2,032 991 1,188 1,488 1,464 1,076 1,910
Dividends 102 125 153 201 251 272 334 358 358 430
Tax on dividend 11 14 16 - 32 35 47 50 61 73

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Debenture Redemption
- - 47 14 18 - - - - -
Reserve
Retained earnings 283 371 489 1,564 692 910 1,117 1,056 657 1,407

* Includes impact on account of transfer of dairy business of Rs. 1257 Mn in 2002.

NET PROFIT

Britannia Net Profit increases 17.5%

Mumbai, July 31st, 2009: Britannia Industries Ltd. (BIL), India’s leading Food Company,
reported sales of Rs. 7,312 MM for the quarter ended 30th June 2009, a growth of 5.5%
and Net profit of Rs. 474 MM, an increase of 17.5%. Consolidated Revenue of Rs. 8,211
MM and Net Profit of Rs. 448 MM grew by 9% and 33% respectively.

Commenting on the performance, Ms. Vinita Bali, Managing Director, said,

“In an intensely competitive market, we significantly increased our investment behind
brands and maintained operating margin. Invigorated focus on working capital
management also contributed to cash from operations of over Rs. 1,750 MM during the
quarter.”

Britannia launched several new and renovated offerings, which included ‘NutriChoice
Nature Spice Cracker’ with the goodness of Ajwain & Jeera, Britannia ‘Top’ and a
renovated ‘Marigold’ – more tasty and fortified with 10 Proteins, Vitamins & Minerals,
in line with Britannia’s ‘Health & Nutrition’ platform.

Consumers continue to re-affirm their trust in Brand ‘Britannia’ and have once again
voted ‘Britannia’ among the Top 10 Most Trusted Brands across all categories and # 2
Most Trusted Food brand, in an independent survey conducted by AC Nielsen and The
Economic Times.

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 CONCLUSION

After going thick on the thing, now time is to make a complete picture. While making a
product a SKU (Stock Keeping Unit) of the shop retailers think about the GMROI (Gross
Margin Return on Investment) and they promote the brands which provide them highest.
They expect return in the form of profit margin, company schemes, window display and
references of the shop. Among these, company schemes make the differences and are the
highest source of motivation after profit margin. Retailing demands a constant push from
the company.

Marketer needs to use advertising and brand building strategies to address the discerning
buyers and retail push to in different buyers. The manufacturer should understand
consumer behavior because retailers can't help quality and price. It is only up to dealers
said it is demand they sell Britannia 42% agree that at retail shop it is brand popularity,
which determine the purchase of biscuit.

There is a greater need to understand the retailer behavior considering them as a team
working for the company may help them to be attached to the company. There should be
feeling of belonging to the company in inner of the retailers. Setting values club for
retailers so that they may exchange views with the company and help in understanding
consumer behavior.

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 SUGESSTIONS

• Decrease

61
BIBLIOGRAPHY
The data presented to you in this project has been compiled from the following
books and websites:

Books

Marketing management: analysis, planning, implementation, and control by Philip

Kotler - Business & Economics - 1988
Marketing Management by Philip Kotler, Kevin Keller - Business & Economics - 2008
Research methodology: a step-by-step guide for beginners by Ranjit Kumar - Social
Science - 2005
Research methodology by Douglas K. Detterman - Psychology - 1985

WEBS
NAME OF SITE WWW.BRITANNIA.CO.in
WWW.WIKIPEDIA.ORG
WWW.GOOGLE.COM
WWW.Scribd.COM
WWW.BUSSINESSTODAY.INTODAY.IN

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