MARKETING MIX & STPD

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GROUP 3 : Roll No 21 - 30
INDIAN SNACKS INDUSTRY

Indian Snack food market is estimated to be worth US $3 billion

Organized sector is growing at 15 -20 per cent a year

Unorganized sector is growing at 7-8 per cent

Major players in this segment include Frito Lay, Haldiram’s & Balaji

Potato-based snacks and in particular potato chips, are the largest

product segment, holding an 85%-share of the salty snack market

About

The Bingo brand of chips was launched by ITC on 14th March

2007 with an aim to capture at least 25 percent market share of
the Rs 2500 crore branded snack market within 5 years
The launch is symbolic of ITC Foods' distinct approach of
introducing innovative and differentiated products in a largely
undifferentiated market place

Bingo’s launch was strategically timed around the World Cup

The idea was to get the consumer to take that first bite
PRODUCT & PRICE

Bingo’s portfolio includes an array of products in both Potato

Chips & Finger Snacks segment

Traditional and Indian names for various variants, so that people

can easily understand the flavor

Attractive packaging with dominant variant color, crimp border

colors and a pictorial view of the flavor
The Potato Chips offerings include Salted, Masala and Tomato

flavours, Chatkila Nimbu Achaar

Available @ 3 price points Rs 5,10,20 /-
PLACE
Bingo targeted HORECA(Hotels,Restaurants,Cafes)

Distribution network consist of two million outlets including pan

shops

Bingo’s tie-up with Future Group

Distributed 4 lakh large racks

PROMOTION

Advertisements during ICC World Cup 2007

Bingo Tick Tock Boing ! Interactive game on FM

Interactive Games in Malls

Aerosmith official tour to India

Bingo National Gaming Championship

Bingo Remix Nights

Online campaign ‘Wait or Suffer’

Website www.bingeonbingo.com
 SEGMENTATION

12 - 20
Years Conservative,
reserved, shy
> 50 20-35
Years Years
Outgoing, Segmentation:
35-50 Fun Loving,
Years Bindaas
Age Group
Demographic (Age Group) Psychographic (Attitude / Attitude/Behavior
Behavior) Geography
Taste
North
Plain
Salted
West East Mustar Nimbu
d Sting flavor
South Spicy /
Red Chilly
Indian Geography
Taste
TARGETING

Outgoing,
20-35 Fun Loving,
Bindaas
Years
West

Demographic Age Group Plain Attitude / Behavior

Salted

East Mustard Spicy /

Sting Red Chilly North

Nimbu
Spicy

South

Indian Geography & Taste

POSITIONING
ITC,
Shapes, Innovative,
Games,Poin Experimentative
g!!!

Indian,
Different
Outgoing,
Fun loving

Cool,
Young at I am
heart Bindaas!!!
DIFFERENTIATION

Key differentiator – localized flavor

Bingo offered snacks through various shapes & textures

ITC Distribution network

Distributed racks to display brand

RESULTS & LEARNINGS

SUCCESS FACTORS

High Decibel Advertising : Bingo was able to capture the Share of

Noise through its heavy spend

Novelty Factor : The snack market is driven by impulse purchases

Regional Flavors: Lays was the first to localize flavors but Bingo
specialized on local flavors and the key differentiator was the
localized flavors

Distribution strength: The strong distribution has helped in terms of

Shelf Space and retailer support
RECOMMENDATIONS

Bingo! can come up with different shapes of packaging

 A triangular pack can be one of the options Benefits:-

Different packaging always attracts consumers

Novelty sustains the consumers’ interest in the brand

Gift packs: Combo packs in festival season with 4-5 flavors

Tie up with Coca Cola for Mega Sporting events like FIFA World Cup , IPL T-
20

Title sponsors for programs targeting the youth E.g. Splits Villa on MTV,
Indian idol
PRODUCT

Parle Musst Chips& Stix, Parle Musst Bites

Available in Aloo Chat, Sweet and Spicy Chutney, Classic

Salted and Red Chilly Achar flavors
PRICE & PLACE

Musst Chips Rs 5 25 gms Rs 10 6o gms

Musst Stix Rs 5 35 gms Rs 10 75 gms

Value for money

Set up a unit in Nashik

Will make use of same distribution channel as Parle-G

1500 Wholesalers

4,25,000 Retail outlets

PROMOTION
• Advertisements
• MTV Roadies 7
• Yamaha IBR –India Bike Rally
SEGMENTATION & TARGETING

Demographi ●
Primary Kids, Teenagers,
Youngsters
c Age Group

Attitude / ●
Ready to eat snacks on the go
Behavior
POSITIONING & DIFFERENTIATION

POSITIO ●

●
PARLE BITES Tempting snack food
PARLE MUSST CHIPS Its cool Its
HOT
NING
DIFFEREN ●
No Real Differentiation , ME-TOO
Product

TIATION ●
Ad only harped on 50% extra qty
 RESULTS & LEARNINGS

 WHY PARLE MUSST FAILED?

Second mover vis-à-vis ITC Bingo

Lost out on the hype of the ICC World Cup 07

Could not create a distinct identity for itself in the Branded Snacks
Category

Advertising did not connect with the consumers

Bad consumer experience – cheating

Better deal to retailers from Rivals

RECOMMENDATIONS

Improve upon the Brand communication

 Better advertising focusing on taste & variety

Make the Product itself better

 Launch “Send in your Parle Musst Recipe” Contest

Provide better deals to retailers to compete with rivals like ITC

Bingo , Pepsi Lays
 Merchandising ,better shelf space & more visibility
Thank You