GOODRICKE PACKET TEA DIVISION

A LEAP AHEAD

PACKET TEA MARKET TRENDS

Market size 350 mn kg (approx) growing @15% annually. Highly proliferated, matured market with more than 300 brands. Market leaders HLL & Tata Tea (40% share among them). The next major players

Duncans, Eveready, Goodricke, GPI, Waghbakri, Girnar, Sapat, Dhunseri, Mohini, Society, Marvel etc. have strong regional presence.

40 mid-size players having 80 brands among them.

Region share - North & West are highest (70% among them). Rural market has almost equal share as urban. Pack sizes 2kg, 1kg, 500gm, 250gm, 100gm, 50gm and 25gm (mono cartons & poly pouches).

Categories Premium (Rs.75+); Popular (Rs.65-75); Economy (below Rs.65). Category-wise volume Economy sells highest but Premium is showing a growing trend.

GOODRICKE - BACKGROUND

Listed among the top 3 tea producers in India.

17 tea gardens across West Bengal & Assam.

Packet tea brands Premium, Chai and Zabardast.

Market share below 2%.

Goodricke Chai contributes to 87% of total volume.

PRESENCE
VOLUME
EAST

NORTH

WEST

NORTH WEST SOUTH EAST

No presence in South India

GOODRICKE - CHALLENGES

No growth in sales volume for last six years

5500-6000 tonnes per annum

No consumer focused marketing strategy. Inconsistent brand investment. Sales push strategy amounting to greater trade discounts. Not present in the premium category.

No presence in South India.

OPPORTUNITIES

Harness Goodrickes brand equity and largeness.

Enhance distribution in present markets.

Launch relevant products in South India. Focus on tea bags 7000 tonnes market in 2009 with projection of 15000 tonnes in 2012-13.*

Come up with the best product in the premium category.

Create retail touch points.

* Projection by ICRA Management Consulting Services.

Leveraging the Brand

ACQUIRING KNOWLEDGE

BRAND HEALTH AUDIT

IMPACT

Consumer awareness and perception about the Goodricke brand.

Brand positioning / repositioning.

Creating consumer focussed brand communication.

Brand imagery Connotation of the brand in the daily lives of consumers.

Optimization of promotional, advertising and PR budgets.

Effectiveness of past advertising.

BRAND AUDIT

CONSUMER PREFERENCE FOR PACKET TEA IN INDIA

IMPACT

Qualitative and quantitative analysis for consumption preferences.

Create a right product mix. Plan a re-launch strategy. Execute a consumer focused advertising plan.

Preference for taste, flavour,

strength, leaf, dust, fanning, etc. Pack size and price point

preferences.

Brand preferences.

CONSUMER PREFERENCES

2012

TOUCH THE UN-TOUCHED

MARKETING OBJECTIVES

Establish Goodricke as the preferred brand among present categories. Enhance distribution and brand visibility in existing markets. Achieve 80% retail penetration in North, West & East India. Reduce trade discounts by 2% - rationalize with higher volumes and targetoriented incentives.

Achieve 7500 tonnes in volume(15% growth) by executing a push-pull strategy.

2011-12 15%

2012-13 20%

2013-14 31%

2014-15

(INDICATIVE)

Recommendations for

A LEAP AHEAD

BRAND

Create and execute a well-defined and focused brand

campaign in the present markets.

Use a 360^ media route to communicate to consumers. Re-assure the consumers, at all possible touch points, of the Goodricke brand promise.

Establish the brand in new markets and categories.

PRODUCT

Review of current product mix

Complete product portfolio with presence in all categories.

Focus on main bread-earners.

Offer convenient pricing and packs.

Create an exclusive brand imagery by promoting organic tea, flavoured tea, tea bags and premium category.

MARKET

Penetrate the uncharted retail in north, west and east India.

Create retail touch points in urban areas with strong presence.

Develop alternate channels to reach the doorsteps of consumers

Tie up with IOC/BPCL/HPCL, CSD(Army), IRCTC, etc. Cross-complimentary product promotions.

Launch a highly focused merchandising exercise nationally.

TRADE

Review the trade policy.

Increase distribution by effectively mapping retail base in

present markets*.

Acquire confidence of the trade through sustained marketing support.

Reduce incentives compliment the same with higher volumes through increased consumer pull.

* There are approximately 2.5 million

traditional grocery/kirana outlets in India.

CONSUMER

Generate new consumer base

by increasing distribution and reach through trade, modern retail and alternate channels. by sustained advertising campaign.

Create retail touch points Chai Garam.

A vending kiosk for the consumers on the move.

Strategize brand activation (BTL) campaigns to enhance top-lines.

City

No. of Household (in millions)

Branded Tea penetration per cent 91 per cent 90 per cent

Delhi Ahmedabad

2.6 m 1.0 m

Bangalore
Chennai Kolkata Mumbai Hyderabad Pune

1.4 m
1.4 m 2.9 m 3.7 m 1.2 m 0.9 m

69 per cent
72 per cent 20 per cent 72 per cent 59 per cent 64 per cent

MARKETING TEAM
MARKETING MANAGER

PRODUCT EXECUTIVE

BRAND EXECUTIVE

MARCOM EXECUTIVE

Consumer research & Product Requirements Positioning/Pricing Packaging Product Lifecycle Sales Support analysis Brand positioning Brand communication Competition tracking MIS

Advertising & PR Brand visibility BTL & co-laterals

Retail mapping
Merchandising Consumer & Trade engagement

ZONAL POSITIONS

Thank you.

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