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Information about product

Published on May 19, 2008

Author: praveenpatel84


Slide 1: Group Members - Nishant Subba Praveen Patel Ritu Rana Manoj Tivari Nihkil Agnihotri Fresh Punch CONTENTS : CONTENTS About Company Objective Aim Location Financials Mission Vision Situational Analysis SWOTT Analysis PEST Analyses Target Market Competitive Analysis Fresh Punch COMPANY INFORMATION : COMPANY INFORMATION FP Agro is a company which will produce fruit juice. FP Agro is going to make unique position in terms of corporate presence and also a platform for other Fruit Juice companies, with its advanced technology and the instrumentation required to manufacture a Juice that has many different flavors, for utmost customer satisfaction. FP Agro will be an environment-friendly company dedicated on sustainable development and corporate social responsibility, as a service to society and preservation of nature. Selection of the product : Selection of the product The product selected is Juice and our brand name is Fresh Punch Juice Fresh Punch Product : Product Fresh Punch is a 100 percent fruit juice which will be produced and marketed by the FP Agro Industries Ltd. Fresh Punch will produce juice in the following varieties : Sea buckthorn Apricot Passion Fruit Kiwi Pomegranate Apple Orange Pineapple Grapes Guava Mango Mixed Fruit Pear Fresh Punch LOCATION : LOCATION Kullu, Himachal Pradesh – row material Fresh Punch OBJECTIVES : OBJECTIVES Carry out business in the field of horticulture and food processing in Himachal Pradesh Target of capturing at least 10 per cent of the market share within a year and 20 per cent by 2010-end FINANCIAL : FINANCIAL Will be incorporated with an initial investment of Rs.15 cr (150 million) MISSION : MISSION “To be a leading producer of fruit juices based on dedication to nature, corporate and process hygiene, dynamic leadership and commitment to our partners and stakeholders.” VISION : VISION “To be capable to deliver the range and quality of Juice which the customer demands, which can only be fulfilled by the modern technology which will have the scale and worldwide presence to do so competitively” INDUSTRIAL ANALYSIS : INDUSTRIAL ANALYSIS Branded fruit beverage market in India is estimated to be worth Rs. 1,200 crore (nectars, drinks and juices combined) The fruit drink market Juice accounts 30 % Nectar 10 % Fruit drinks 60 % Cont.. : Cont.. The juice and juice drink category is among the fastest growing segments Fruit drinks as a category is growing at 18-20 per cent, carbonated soft drinks are growing at 6-8 per cent. It’s the fastest growing liquid beverage category. More than 90 % of sales happen through the unorganized route - juice centers, street corner shops and so on. Slide 13: Adequate availability of raw materials High consumer retention rate Price, a competitive advantage Natural product Seasonal availability of fruits Brand acknowledgement Limited financial resources Late entry into the market Participation with a growing industry. Competitive advantage over carbonated soft drinks Wellness awareness amongst consumers Commonwealth Delhi 2010 Success of incredible India campaign Cut throat competition Unstable government policies Global warming - Scarcity of raw material TRENDS : TRENDS Health and Lifestyle Product Eco friendly packaging Promoting anti Botulism E-commerce POLITICAL : POLITICAL Tax Laws Stability of Government Law of hiring and promotion ECONOMIC : ECONOMIC Increasing GDP Burgeoning middle class Higher Disposable Incomes, hence more consumer buying power Easy availability of loans from banks SOCIOCULTURAL : SOCIOCULTURAL Changing consumer habits & lifestyles - The Indian consumer of today is clearly seeking healthier alternatives Consumer buying behavior TECHNOLOGICAL : TECHNOLOGICAL Advancement of newer technology Government providing thrust on R&D TARGET MARKET : TARGET MARKET Primary and Secondary Markets Market Segmentation Geographic variables Demographic variables Psychographic variables Behavioral variables Target Markets : Target Markets Recreational Fitness Health Lifestyle Sports Contd.. : Contd.. Primary Market Kids – Fond of Fruit Juice Teens – More experimental Youth – Experimental and more buying power Working People Housewives Elderly people Contd.. : Contd.. Secondary Market Travel Industry – Airlines, Railways and Local Transport Systems Recreational – Movie Theatres, Malls, Amusement Parks etc. Market Segmentation : Market Segmentation Market segmentation is the process in marketing of dividing a market into distinct subsets (segments) that behave in the same way or have similar needs Variables Used for Segmentation Geographic variables Demographic variables Psychographic variables Behavioral variables Geographic variables : Geographic variables FP Agro has no set geographic target area. By leveraging the benefits of liberalization and integration of the markets of the world, FP will seek to serve both domestic and international customers. Metropolitan Cities, small cities, towns. Density of Area: Urban, Semi-urban, Rural. Climate: Tropical Demographic variables : Demographic variables Age – all age group gender – Both Male and Female family size - doesn’t matter Education - doesn’t matter Income – middle & hi end consumer occupation – student, working and retired people religion – doesn’t matter nationality/race – doesn’t matter language - doesn’t matter Psychographic variables : Psychographic variables Behavioral variables : Behavioral variables benefit sought product usage rate brand loyalty profitability income status Contd.. : Contd.. Users perceive fruit juice as a healthy drink. Users drink fruit juice as a refreshing alternative to carbonated drinks. Users willingly spend on products related to health and lifestyle. Users enjoy fruit juice not only as a means of healthy life, but as an intrinsically enjoyable activity in itself. COMPETITIVE ANALYSIS : COMPETITIVE ANALYSIS Identification Of Competitors Competitor Analysis Market share Comparison Strengths & Weaknesses of Competitor Identification of Competitors : Identification of Competitors These are our major competitors: CavinKare Pvt Ltd (Maa Fruits Pvt Ltd. ) Coca Cola India (Minute Maid Pulpy Orange / Maaza ) PepsiCo (Tropicana ) Parle Agro (Frooti / Appy/ N-joi ) Dabur (Real ) Godrej Beverages (Xs brand / Sofit ) Ladakh Foods (Leh Berry) Mother Dairy (Safal) Freshgold Market Share of Competitors : Market Share of Competitors Comparison within the major competitors : Comparison within the major competitors Tropicana is a product of vast PEPSI family Pepsi's Tropicana brand fruit juice has outpaced the growth of the packaged fruit juices market in India. The company sources orange juice concentrates from Brazil. They come in Tetrapaks of one litre and PET bottles of 500 ml and one litre. Pepsi also markets Gatorade an energy drink for the sports personnel which is a sugar-free Diet Pepsi. Pepsi, in association with HLL have launched Lipton iced tea Dabur's flagship brand Real fruit juice is a market leader in the packaged fruit juice category. Real with a market share of 35 % offers to its consumers the largest range of 9 juices that comprise orange, mango, pineapple, mixed fruit, grape, guava, tomato, litchi and cranberry. Real Active orange carrot juice, India's first packaged fruit + vegetable juice. Real offers traditional 'cooling' recipes in a ready-to-drink format ie Aam panna, pomegranate (anar) and watermelon . Spread over 11 acres and geared to process 150 tonnes of fruit per day, it has the capacity to produce 192 tonnes of pulp/concentrate. Comparison within the major competitors : Comparison within the major competitors Frooti from Parle Agro is the largest distributed fruit drink with 85 % market share in India. It reaches more than 10 lakh retail outlets in up to class C towns The company's another revenue earning brand includes Bisleri water. It has a market share of 40 %. Maaza was acquired by Coca Cola India. Over the years, Maaza has become synonymous with mango. The drink became a hit with successful advertisement campaigns like "Taaza mango, maaza mango,' and 'Botal mein aam, maaza hain naam. It5 is available in 200 ml , 250 ml , 125 ml Tetrapak and 200 ml Tetrapak. Competitor Analysis : Competitor Analysis Tiger Competitor Counter attack every strategy Aggressive Few in number example: Coca-Cola, PepsiCo Strategic Competitor Reacts to a select strategy Mediocre example: Parle Agro Stochastic Competitor Unpredictable Weak in nature; can become strong example: Mother Dairy Laid Back Competitor Confident about their product Defensive Generally monopolies Brand Loyal Customers example: Dabur Strengths & Weakness of competitors : Strengths & Weakness of competitors Marketing Objective & Strategies : Marketing Objective & Strategies Product Place Pricing Promotion Product : Product Product Life Cycle : Product Life Cycle Our product lie in introduction period Low sales High costs per customer Negative profits Innovator customers Few competitors Objective: to create awareness and trial Offer a basic product Price at cost-plus Selective distribution Awareness – dealers and early adopters Induce trial via heavy sales promotion Place : Place Distribution Channel Product location availability Modes of transportation Distribution Channel : Distribution Channel Kullu Delhi Chennai Mumbai Bangalore Within region Slide 42: Delhi Chennai Mumbai Bangalore Kullu Kullu Kullu Kullu Kullu Product Location Availability : Product Location Availability FP Agro has no set geographic target area. By leveraging the benefits of liberalization and integration of the markets of the world, FP will seek to serve both domestic and international customers. Metropolitan Cities, small cities, towns. Density of Area: Urban, Semi-urban, Rural. Modes of transportation : Modes of transportation From road transportation Pricing Policy : Pricing Policy Apply the concept of providing quality product at optimum price Provide Lucrative discounts, deals and schemes Adopt sales oriented objective Have one price policy to maintain a goodwill among customers. Pricing Strategy : Pricing Strategy So, as a new comer our pricing strategy is to introduce our products in the market at lower prices so as to create the huge demand in the market and to compete with other competitors. As we come up in the demand, we will increase our prices and will provide more efficient and affordable juices Pricing Strategic Matrix : Pricing Strategic Matrix Penetration Pricing Our product will be lie on penetration strategy with high quality & low price For introducing new product Price low to capture market share Expect to make profit in volume Cost : Cost Break even point : Break even point Demand : Demand Desire refers to people's willingness to own a good. Demand is the amount of a good that consumers are willing and able to buy at a given price. Factors Influencing our juice Demand The amount of a good demanded depends on: the price of the juice the income of consumers the demand for alternative juice which could be used (substitutes) the demand for juice used at the same time (complements) whether people like the taste of juice (consumer taste). Supply : Supply Supply is the amount of a good producers are willing and able to sell at a given price. Factors Influencing Supply of our juice The total sells of juice depend on the price of the good; the cost of making the good; the supply of alternative goods the producer could make with the same resources (competitive supply); the supply of goods actually produced at the same time (joint supply); unexpected events that affect supply. Factors : Factors The factors which will contribute to the success for our juice demands in market: High consumer retention rate Price, a competitive advantage Natural product Great distribution network Well – Health product Suggested Selling Price : Suggested Selling Price Launching and Promotion : Launching and Promotion Promotional Tactics Provide free samples in the market for the brand awareness Advertising : Advertising The following shows the advertising in the print media – to our target audience by using the message showing a glass full of juice “Drink this much every day” Long-Term Strategy : Long-Term Strategy Change beverage choices in vending machines at school and collages Assess the financial impact on school and collage profits Identify approaches to promote healthful beverage choices and maintain profits for schools and collages Targeting 3,500 in smallest school and collages all over India 20, 000 in largest school and collages all over India Slide 59: Change advertising on beverage vending machines Change beverage choices to water, sports drinks, and 100% fruit juices Collect and submit monthly financial data from school and collages Provide a Rs. 3,000 incentive per school in the project Factors to Consider - Vending Machines : Factors to Consider - Vending Machines Location of current vending machines Power sources Marketing strategies Size of Cans and or Bottles Cans, Bottles, or both Pricing strategies Lower for healthier choices Price all beverages the same Price based on ounces Slide 63: Thank You

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