Snacks Market India SnacksMarket India

May2013
SAMPLE
ExecutiveSummary
Market
IndiansnacksmarketwasvaluedatINRXXbnin20__andisestimatedtoreachINRYYbnby
2017__
Withchangingconsumerbehaviorduetovariousfactorssuchasincreasingincomelevelsand
busy urban lifestyle these products are gaining popularity amongst them busyurbanlifestyle,theseproductsaregainingpopularityamongstthem
Drivers
RapidUrbanization
G i I d C ti
Challenges
RiseinPackagingCosts
U i d S t d L l
Drivers&
Challenges
GrowingIncomeandConsumption
IncreasingWorkingWomenPopulation
MarketingCampaigns
GrowingRetailMarket
Convenience Factor
UnorganizedSectorandLocal
Players
CompetitivePricePoints
HealthConcerns
ConvenienceFactor
ExhibitionsandEvents
ProductInnovation
Corporate Activities
Trends
LaunchofVariousEthnicSnacks
InnovativePromotionalCampaigns
Introduction of Healthy Snacks
Competition
MajorPlayers
CorporateActivities
InclusionofNutsasSnackingOption
IntroductionofHealthySnacks
2 SNACKSMARKETININDIA2013.PPT
Competition
CompanyA CompanyB. CompanyC
SAMPLE
MacroEconomicIndicators
Introduction
Market Overview MarketOverview
MarketSegmentation
ConsumerInsights g
Import&Export
Drivers&Challenges
GovernmentRules&Policies
GovernmentParticipation
Trends Trends
CompetitiveLandscape
StrategicRecommendations
3 SNACKSMARKETININDIA2013.PPT
g
Appendix
SAMPLE
EconomicIndicators(1/3)
INRtn
15
b4
a3
GDPatFactorCost:Quarterly
14
13
12
11
c4
d4
b3
c3
d3
a2
b2
c2
d2
a1
b1
c1
d1
10
Q4 Q3 Q2 Q1
201213 201112 201011 200910
InflationRate:Monthlyy
0 8
1.0 e5
%
e2
0.2
0.4
0.6
0.8
e4 e3
e1
4 SNACKSMARKETININDIA2013.PPT
0.0
Dec2012 Jan2013 Nov2012 Dec2012 Oct2012 Nov2012 Sep2012 Oct2012 Aug2012 Sep2012
SAMPLE
Foodprocessingcanbesubsegmentedintonumerouscategories
whichincludesnacksaswell
MarketSegmentation
FoodProcessing
Fruits&
X Y
Marine
Z U
Vegetables
X Y
Products
Z U
A Beverages C
q BakedProducts Snacks
r
p
Others
5 SNACKSMARKETININDIA2013.PPT
Focusofthereport
SAMPLE
TheIndiansnacksmarketisexpectedtowitnessremarkable
growth
IndianMarket Overview(1/5)
Snacks refer to those food products which are consumed between meals to satisfy hunger temporarily Snacksrefertothosefoodproductswhichareconsumedbetweenmealstosatisfyhungertemporarily
Ithasgainedpopularityamongstconsumersduetovariousfactorssuchasincreasingincomelevels,hectic
lifestyleandconvenienceassociatedwithitsconsumption
IndiansnackmarketisquitecompetitiveinnatureduetopresenceofMNCs,regionalandlocalplayersas
well as the unorganized sector wellastheunorganizedsector
During20__,IndiansnackmarketwasvaluedaroundINRX1bn
Market Si e & Gro th MarketSize&Growth
250
300
INRbn
y
x6
x5
50
100
150
200 x4
x3
x2
x1
6 SNACKSMARKETININDIA2013.PPT
0
50
20__ 20__ 20__ 20__ 20__ 20__
SAMPLE
inthenextfewyearswithincreasedconsumptionamongst
consumers
IndianMarket Overview(2/5)
Lotsofvarietiesofsnackingoptionsareavailablein
MarketSegmentation(20__)
OrganizedSector
theIndianmarketwhichisanotherfactorbehind
makingitcompetitive
Playerskeeponinnovatingwithflavorsas
consumerswantvarietyandtaste
S k i i l h d t d
UnorganizedSector
Snacksisanimpulsepurchaseproductand
consumersingeneralarenotloyaltoanyparticular
brand
a1
a2
Despitethepresenceoforganizedplayerssuchas
PepsiCo,ITCandHaldirams,unorganizedsector
dominatesthemarket
Local and regional players raised market share Localandregionalplayersraisedmarketshare
byinvadingthosemarketswheretherewas
absenceofbiggerbrands
Biggerplayersinitiallyfocusedonurban
markets and upon its saturation
7 SNACKSMARKETININDIA2013.PPT
marketsanduponitssaturation
graduallyshifteditsfocustowards
otherlowertiermarkets
SAMPLE
Lotsofvarietiesofsnacksareavailableinthemarketand
IndianMarket Overview(4/5)
Snacksmarketisverydynamicaseventssuchasentryofnewplayersand
launch of wide range of products by existing players keep on happening launchofwiderangeofproductsbyexistingplayerskeeponhappening
Whenevernewproductsenteranycategory,marketsharesofmajorplayersget
affected
Thoughmajorplayershavemaintainedtheirtoppositions,but,theirmarketsharesgot
reducedinthepastfewyears
ChangeinMarketShareofMajorPlayers
Market Share (20 ) Market Share (20 ) MarketShare(20__) MarketShare(20__)
A6
A5 A4
A3
B7
B6
B5
B4
B
A
A3
A2
A1
B4
B3
B2
B1
F
E
D
C
8 SNACKSMARKETININDIA2013.PPT
B2
Others
SAMPLE
Snacksarebroadlyclassifiedintotwosegments
MarketSegmentation(1/3)
Snacks Classification
Indianmarketisfilledwithwide
varietiesofsnacks,but,allofthemare
classifiedundertwobroadcategories
Western Traditional
SegmentalShare(20__) MarketShareofVariousSnacks(20__)
A
g
f
e
a
O h
F
E
C
B
A
b1
a1
B
A
d
Others
D
C
9 SNACKSMARKETININDIA2013.PPT
c
b
SAMPLE
Westernsnacksegmentisalreadyverypopularamongst
consumers
MarketSegmentation WesternSnacks(2/3)
WesternSnacks
Westernsnacksincludeproductssuchaschips,wafers,crisps
andextrudedsnacks
Potato chips account for the major share in Indian snacks market
B
PotatochipsaccountforthemajorshareinIndiansnacksmarket
XX
XX
B
A
B
A
OrganizedUnorganizedBreakup
10 SNACKSMARKETININDIA2013.PPT
O ga ed U o ga ed ea up
(20__)
SAMPLE
ConsumerInsightsonSnacks(1/11)
SampleSize 80
SurveyDuration&
Period
3Weeks March2013
SampleSources
SocialMediaWebsitesand
OtherRelatedForums
Quantitative
RepresentationUsed
Percentage
Surveyonsnackswasconductedonsocial
mediasitesandotherrelatedforums
Overallsurveyhasbeenkeptcloseendedto
ProfileofRespondents AgeWise(years)
41&above
3640
3135
2530
1824
y p
capturespecificinformationaccordingto
requirements
Thesurveyhasbeenconductedamongsta
groupofgeneralconsumersheadingfrom
D
E
C
B
36 40 25 30
majorIndiancitiesincludingMumbai,Delhi,
Kolkata,Pune,Hyderabad,Bangaloreamong
others
11 SNACKSMARKETININDIA2013.PPT
A
SAMPLE
ConsumerInsightsonSnacks(2/11)
Options
Q:Doyouconsumesnacks?
Options
Q:Ifyoudontconsumesnacksatpresent,wouldyou
liketotryitinfuture
Options
1) Yes
2) No
Options
1) Yes
2) No
ConsumptionShareofSnacks
B
ShareofPotentialFutureConsumers
DD
A
C
12 SNACKSMARKETININDIA2013.PPT
No Yes No Yes
SAMPLE
ConsumerInsightsonSnacks(4/11)
Options
Q:Whattypeofsnacksdoyouprefer?
Options
Q:Ifyouconsumeboth,whichonedoyouprefer
more?
1) X
2) Y
3) Z
Options
1) A
2) B
ConsumptionPattern PreferencewiseShareofBothCategory
A
70
80
%
C
Y
B
40
50
60
70
X
10
20
30
B
A
13 SNACKSMARKETININDIA2013.PPT
0
Both Y X
SAMPLE
ImportofMajorTypesofSnacks(1/2)
ASnacks
2,000
000unit INRmn
300
C
Value Volume
f
e F
E
D
C
B
A
MajorImportingNations ValueWise(2011)
500
1,000
1,500
2,000 300
200
100
S
D
R
Q
B
P
A
e
d
c
b
a
F C
BSnacks&Mixtures
0 0
20__ 20__ 20__ 20__
MajorImportingNations ValueWise(2011)
u
p
T
S
R
Q
P
6,000
8,000
000unit INRmn
200
150
E
Value Volume
t
s
r
q
U
T
0
2,000
4,000 100
50
0
20__
W
H
20__
V
G
20__
U
F
20__
T
14 SNACKSMARKETININDIA2013.PPT
Note:HSCode190190(Foodpreparationsbasedonmaltextract SaltedSnacks ),HSCode 190410(Preparedfoodsobtainedbyswellingorroastingofcereals
PackagedSnacks&Mixtures)
__ __ __ __
SAMPLE
Drivers&Challenges Summary
Drivers
RapidUrbanization
Challenges
CompetitivePricePoints
GrowingIncomeandConsumption
MarketingCampaigns
i ki
UnorganizedSectorandLocalPlayers
RiseinPackagingCosts
IncreasingWorkingWomen
Population
GrowingRetailMarket
HealthConcerns
ConvenienceFactor
15 SNACKSMARKETININDIA2013.PPT
SAMPLE
Trends Summary
ExhibitionandX
ProductY
i i i
` KeyTrends
CorporateActivities
InclusionofAasSnackingOption
LaunchofVariousQSnacks
d f k
InnovativePromotionalCampaigns
16 SNACKSMARKETININDIA2013.PPT
IntroductionofPSnacks
SAMPLE
CompetitiveBenchmarking(1/5)
PublicTradingComparables(FY2012)
CompanyA CompanyB
MarketCapitalization(INRmn) xx xx
SharePrice(INR) xx xx
EV/EBITDA(x) xx xx
/ EV/Revenue(x) xx xx
PERatio xx xx
17 SNACKSMARKETININDIA2013.PPT
Note:Top2PubliccompaniesbasedontheMarketCapitalization;MarketCapitalization,SharePriceisason5/04/2013andPEratioisasof9/04/2013
SAMPLE
SAMPLE
CompetitiveBenchmarking(2/5)
S
KeyRatiosofTop3Companies OperationalBasis(FY2011)(1/3)
40
%
NetMargin OperatingMargin
2 49
11.04
30.39
7.30
21.73
10
20
30
40
2.49
1.41
0
CompanyC CompanyB CompanyA
xx
18 SNACKSMARKETININDIA2013.PPT
SAMPLE
Public:DomesticCompany PlayerA(1/5)
CompanyInformation OfficesandCentres India
CorporateAddress xx
TelNo. xx
FaxNo. xx
Website xx
YearofIncorporation xx
Products and Services
TickerSymbol xx
StockExchange xx
HeadOffice
CityA
KeyPeople
ProductsandServices
N D i ti
Category Products/Services
RTE Products xx
Name Designation
RTEProducts xx
OtherFoodProducts xx
19 SNACKSMARKETININDIA2013.PPT
SAMPLE
i i l S h K i
Public:DomesticCompany PlayerA(2/5)
FinancialSnapshot KeyRatios
Particulars
yoychange
(201211)
2012 2011 2010 2009
ProfitabilityRatios
OperatingMargin 3.31 7.37% 10.69% 11.63% 14.80%
Net Profit/Loss Total Income
1500
2000 150
INR mn INR mn
d
c
b
a
NetMargin 6.73 4.02% 10.75% 12.08% 7.61%
ProfitBeforeTaxMargin 5.22 6.52% 11.74% 15.66% 11.00%
ReturnonEquity 7.25 5.51% 12.76% 13.22% 9.02%
ReturnonCapitalEmployed 2.22 8.50% 10.73% 12.11% 16.70%
ReturnonWorkingCapital 7.92 20.82% 28.74% 28.25% 56.05%
ReturnonAssets 1.89 6.67% 8.56% 10.77% 14.08%
0
500
1000
1500
0
50
100
2012
D
2011
C
2010
B
2009
a
A
FinancialSummary
ThecompanyincurredanetprofitofINR63.7mninFY2012,ascompared
tonetprofitofINR142.4mninFY2011
ThecompanyreportedtotalincomeofINR1585.4mninFY2012,
registering an increase of 19.7% over FY 2011
ReturnonFixedAssets 4.90 26.02% 30.92% 33.44% 41.15%
CostRatios
Operatingcosts(%ofSales) 3.47 92.50% 89.03% 87.70% 84.70%
Administrationcosts(%of
Sales)
5.78 33.11% 27.33% 22.91% 25.64%
Interest costs (% of Sales) 0.24 0.82% 1.06% 1.21% 1.74% registeringanincreaseof19.7%overFY2011
Thecompanyearnedanoperatingmarginof7.37%inFY2012,adecrease
of3.31percentagepointsoverFY2011
Thecompanyreporteddebttoequityratioof0.32inFY2012,adecrease
of7.22%overFY2011
Interestcosts(%ofSales) % % % %
LiquidityRatios
CurrentRatio 0.43% 2.49 2.48 4.42 2.60
CashRatio 14.77% 0.53 0.63 1.76 1.09
LeverageRatios
DebttoEquityRatio 7.22% 0.32 0.30 0.01 0.02
b i l i
KeyFinancialPerformanceIndicators
Indicators Value(dd/mm/yyyy)
MarketCapitalization(INRmn)
XX
TotalEnterpriseValue(INRmn)
XX
EPS (INR)
DebttoCapitalRatio 5.46% 0.24 0.23 0.01 0.02
InterestCoverageRatio 12.08% 9.10 10.35 10.14 8.78
EfficiencyRatios
FixedAssetTurnover 23.09% 3.47 2.82 2.72 2.69
AssetTurnover 14.00% 0.89 0.78 0.88 0.92
CurrentAssetTurnover 6.29% 1.66 1.56 1.78 2.26
20
EPS(INR)
XX
PERatio(Abs) XX
WorkingCapitalTurnover 5.98% 2.78 2.62 2.30 3.66
CapitalEmployedTurnover 14.65% 1.02 0.89 1.02 1.13
Improved Decline
SNACKSMARKETININDIA2013.PPT
SAMPLE
Public:DomesticCompany PlayerA(3/5)
KeyBusinessSegments KeyGeographicSegments
Exports India
ProcessedandPreservedFoods TradedGoods
0%
50%
100%
F E
D
C
B
A
0%
50%
100%
T
R
S
P
Q
U
0%
2012 2011 2010 2009
0%
2011 2010 2009 2012
BusinessHighlights
Description News
Overview XX
21 SNACKSMARKETININDIA2013.PPT
SAMPLE
Public:DomesticCompany PlayerA(4/5)
Description News
BusinessHighlights
GlobalPresence XX
QualityAssurance XX Q y XX
E i XX Expansions XX
22 SNACKSMARKETININDIA2013.PPT
SAMPLE
Public:DomesticCompany ITCLtd. SWOTAnalysis
(5/5)
xx xx
W
S
T
O
xx xx
23 SNACKSMARKETININDIA2013.PPT
SAMPLE
StrategicRecommendations(1/4)
Product Price
XX XX
Promotion Place of Distribution Promotion PlaceofDistribution
XX XX
24 SNACKSMARKETININDIA2013.PPT
SAMPLE
StrategicRecommendations(3/4)
A B
XX XX
O
T
H
E
RR
S
T
R
C
A
T
E
G
I
XX
I
E
S
25 SNACKSMARKETININDIA2013.PPT
Appendix
Ratio Calculations
OperatingMargin
(Operating
Income/Revenues)*100
Ratio Calculations
CurrentRatio
CurrentAssets/Current
Liabilities
NetMargin (NetProfit/Revenues)*100
ProfitBeforeTaxMargin
(IncomeBeforeTax/Revenues
*100
(N I / Sh h ld
CashRatio
{(Cash&BankBalance+
MarketableSecurities)/Current
Liabilities)}
DebttoEquity
TotalLiabilities/Shareholders
E it
ReturnonEquity(ROE)
(NetIncome/Shareholders
Equity)*100
ReturnonCapital(ROCE)
EBIT/(TotalAssets Current
Liabilities)*100
q y
Equity
DebttoCapitalRatio
{TotalDebt/(Shareholders
Equity+TotalDebt)}
InterestCoverageRatio EBIT/InterestExpense
ReturnonWorkingCapital (EBIT/WorkingCapital)*100
ReturnonAssets (EBIT/TotalAssets)*100
ReturnonFixedAssets (EBIT/FixedAssets)*100
FixedAssetTurnover Sales/FixedAssets
AssetTurnover Sales/TotalAssets
OperatingCosts(%ofSales)
(OperatingExpenses/Sales)
*100
AdministrationCosts(%of
Sales)
(AdministrativeExpenses/Sales)
*100
CurrentAssetTurnover Sales/CurrentAssets
WorkingCapitalTurnover Sales/WorkingCapital
Sales / (Shareholders Equity +
26 SNACKSMARKETININDIA2013.PPT
InterestCosts(%ofSales) (InterestExpenses/Sales)*100
CapitalEmployedTurnover
Sales/(ShareholdersEquity+
TotalDebt)
SourcesofInformation
SecondaryResearch
PrintMedium
Leading Newspapers
PrimaryResearch
Interviews
Leading Industry Vendors LeadingNewspapers
Journals/Magazines
BusinessMagazines
ElectronicMedium
LeadingIndustryVendors
IndustryStakeholders
IndustryExperts
SurveysConductedinSocial/TechnologyFocused
Forums
CompanyWebsites
GovernmentWebsites/Resources
OnlineMagazines
OnlineJournals/Articles
Forums
/
PremiumDatabases
SocialNetworkingSpace
27 SNACKSMARKETININDIA2013.PPT
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