ITC LIMITED – FMCG INDUSTRY Understand the Distribution Network Model ‡ Study the Company Product Portfolio.

‡ Get to Know the product Avlaibility in the market ³Weight, Size, Price and Variant´. ‡ Frequent sale product. ‡ Product Packaging (Single , Multiple ,Consolidate ). ‡ Understand the distribution of Goods from Supplier to the consumer end. ‡ How many Channels Involved. ‡ Which Transportation mode used for inside or outside the city. ‡ Understand the Vehicle Nature of Contract (Hired / Owned ). ‡ Understand the Vehicle terms of Contract ( Daily / Weekly / Monthly / Yearly ) ‡ Find out the Vehicle Operating Cost Structure. ‡ Vehicle Load Carrying Capacity product wise. ‡ Vehicle Inspection ( Branding, Safety Measure etc) ‡ Stacking Pattern of Goods in the Vehicle. ‡ Delivery Timing. ‡ Sales per day / month. ‡ Products Schemes Involved. ‡ Margin in product sale for company to end point. ‡ Expense Involved in distributing the product ( Warehouse Rent, Electricity , Water bill ,Workforce Salary, generator fuel, maintenance Cost etc) ‡ Calculate the Net Saving of Distributor , Dealer , Retailer. Transportation Vehicle Owner. ‡ Market Share Company. Cont«. FOOD Kitchens of India Ashirvaad Non Food Personal Care Sunfeast Minto Candyman Bingo Match Box Agarbatti Cigarette ITC Cigarette Product packaging Pattern & Payload Capacity CIGARETTE 1 Cigarette. 1 Cigarette. Pack Box 10 Not Avl. 10 10 10 10 10 10 Not Avl. 10 10 50 Not Avl. 50 20 20 20 20 30 Not Avl. 50 50 Category 1 Carton Insignia India Kings Classic Gold Flake Silk Cut Navy Cut Scissors Capstan Berkeley Bristol Flake 30 Box. Not Avl. 30 Box. 60 Box. 60 Box. 60 Box. 60 Box 60 Box Not Avl. 30 Box 30 Box ITC FOOD Product packaging Pattern & Payload Capacity ASHIRVAAD AATA 1 Complete Packet (30 kg) 30 Pack 15 pack 6 Pack 3 Pack Load Carrying Capacity (No of Carton) Piaggio ape 3-w Max. Average 30 25 30 25 30 30 25 25 TATA ACE Max. Average 60 50 60 50 60 60 50 50 Weight 1 kg 2 kg 5 kg 10 kg Cont . SNACK FOOD 1 Carton 15 Rs Pack Tomato Cheese 108 Cheese 108 Sour Cream 108

360 gm 158 gm 71. Average Max. Pack 32 48 Max. Average 20 20 30 30 CANDYMAN 50 50 40 40 .Pack Pizza 108 Tangi Tomato 108 Pasta 108 Max 30 Average Max 20 Average 45 60 Load Carrying (No of Carton ) Piaggio ape3-w TATA ACE SUNFEAST BINGO Loa Capacity (No of Carton) Piaggio ape 3-w TATA ACE Category Mari Light Orange Mari Nice Light Nice Sugar Sprinkle Snacks Special Special Choclate Special Orange Special Elachi Special cream Gluco Biscuit Dark Fantasy Gol Black Cookies Gol en Bakery Weight of Each Pack.6 gm 65 gm 65 gm 65 gm 124 gm 78 gm 150 gm 75 gm 75 gm Category Price(Rs.) 20 12 5 15 10 7 5 5 5 12 4 30 15 15 1 Carton 15 48 84 48 90 72 120 120 120 60 120 36 30 30 Chips Namkeen 5 Rs.4 gm 150 gm 85. Pack 192 208 10 Rs. Pack 96 80 20 Rs.7 gm 70.Masala 108 Chicken Delight 108 18 Rs.

Average 95 90 ITC NON FOOD Product packaging Pattern & Payload Capacity MATCH BOX 1 Carton AIM Sunflower Horsehead Homelight 600 matches 600 matches Ship Train Load Carrying Piaggio ape3-w Max. Average 220 200 ( No of Carton ) TATA ACE Max. Average 60 50 (No TATA ACE Max. Average 400 380 600 600 matches matches 600 600 matches matches Personal Care SUPERIA Weight 72 gm 276 gm 464 gm Weight 4 ml 7 ml 8 ml 12 ml Shine & Black Shine & Black Soft & Sandle Soft & Sandle Soft & Sandle Shine & Black SOAP Category . TATA ACE Average Max.8 Kg 560 gm 12 Jar 8 Jar 12 Jar 12 Jar 18Jar 4 Jar 12 Jar 40 40 40 40 40 40 40 30 30 30 30 30 30 30 80 80 80 80 80 80 80 Loa Carrying of Carton ) Piaggio ape 3-w Max. Average 70 70 70 70 70 70 70 Double Echoles Natkhat rang Toffichoco Cofitino Futifun Butter Licks CM Liccks 787 gm 680 gm 740 gm 740 gm 680 gm 3.Load Carrying Capacity (No of Carton) Name of Can y Weight Jar Carton Contain Piaggio ape 3-W Max.

72 Pcs. 960 Pcs. 70 gm 2120 Pcs. 36 Pcs 24 Pcs. VIVEL DI WILLS Weight 45 gm 92 gm 184 gm 75 gm 150 gm Weight 5 ml 100 ml 200 ml Soft & fresh Soft & fresh Soft & fresh Sandle Sparkle Sandle Sparkle Sandle Sparkle Ayurveda Eseence Ayurveda Eseence SOAP Category Young Glow Young Glow Young Glow Setin Soft Setin Soft Setin Soft 1 Carton 196 Pcs 144 Pcs 72 Pcs 120 Pcs. 1 Carton Volume & Bounce Volume & Bounce Volume & Bounce 480 Pcs. 200 ml Mild Due 24 Pcs. 48 Pcs.Natural Glow Haldi Glow Natural Glow Haldi Glow Natural Glow Haldi Glow SHAMPOO Category Vibrant Cream Maxi Protect Vibrant Cream Vibrant Cream Maxi Protect 1 Carton 144 Pcs. 100 gm 300 gm Weight 5 ml 100 ml 200 ml Weight Cont . 1 Carton 2560 Pcs. 30 Pcs. Soft & Fresh Soft & Fresh Shampoo Category Shine & Glow Shine & Glow Shine & Glow Manufacture VENDORS MANFACTURING UNIT ITC MANFACTURING UNIT Manufacture 1) 2) 3) 4) 5) 6) 7) 8) 9) . 36 Pcs. 1920 Pcs. 60 Pcs. Shower Gel Category Clear Spring Clear Spring Exotic Dream Exotic Dream 1 Carton Skin & Fragrence 72 Pcs Shine Flower Skin & Fragrence 60 Pcs Shine Flower Skin & Fragrence 24 Pcs Shine Flower 100 ml Mild Due 12 Pcs. FIAMA DI WILLS Shampoo Category Volume Eveready Silky Strong Shine & Style Boost Mild Volume Eveready Silky Strong Shine & Style Boost Mild Volume Eveready Silky Strong Shine & Style Boost Mild SOAP Category 1 Carton Weight 1 Carton Agna Balance Agna Balance Agna Balance 480 Pcs.

FLT BIWANDI HUB NAGPUR HUB Nagpur Hub is Chosen when Unavailability of Products at Biwandi. Eicher. TATA 909 EX NASIK Different District SATARA DHULIA ITC Distributor across Pune Chamadia (Kharadi) PCC (Yerwada) . Pune Vehicle Used TATA 909EX. PUNE (C&F) EICHER.KITCHENS OF INDIA AASHIRVAAD SUNFEAST MINTO CANDYMAN SNACK FOOD MATCH BOX AGARBATTI STATIONARY HUB C&F 1) 2) 3) 4) SOAPS SHAMPOO CHIPS CIGARETTE DISTRIBUTOR RETAILERS HOTEL RESTAURANTS SUPERMARKETS SECONDARY WHOLESELLERS Customer SMALL RETAILERS Customer ITC LOGISTIC NETWORK DIAGRAM Customer FLOWOFGOODS DIFFERENT PLACES OF INDIA MANFACTURING UNIT ITC Product Distribution Model.

IIE ranipur. Rajan Gaon is a manufacturing plant of BINGO it caters half of India and other plant is in Haridwar that caters other half.Nanital WIMCO Limted.matoda.taluka-Bangalore. kolkota Munger ITC MANFACTURING POINT FOR DIIFERENT PRODUCT PORTFOLIO Key Observation about Primary Distribution ‡ ITC has different manufacturing plant for different products. survey no.survey no.Ahmedabad Royes india ltd. Bangalore.plot no. Uttarkhand. ‡ Distributor assign on the basis of Total Volume Covered in a particular city.New Delhi kolkota Mumbai Chennai Firozabad Hyderabad Jaipur UttarPradesh Sector 11.Pune Nehru road.Alambazar Kolkota Shivkashi Dist.kachara kanahalli naduvathi noskote.Hyderabad leamark health care pvt ltd.Ahmedabad ITC quality care. UPSIDC.127. Prayagh hut products.gpo.khasora no.Haridwar Aura personal care.34.1220.Secundrabad laxshmi food.PANVEL PUNE NANDUR BAR AHMEDNAGAR Bombay Stores (Kalevadi) Mahadev (Market Yard) Yash (Hadapsar) Chamadia (Singhad) Vidhavir (Rasta Peth) ITC PORTFOLIO Name of product Bingo Pasta Biscuits Candyman Minto Aashirwad vivel Shampoo MatchBox Agarbatti Manufacturing unit Haridwar Ranjangaon. ‡ Each Factory deliver products to different Region e. Ananath agarbati co.rehanari peth . Leamark health care pvt ltd.g.karipati .P.279 & 280.kolkota Food creation pvt ltd.plot no. .36. ‡ C&F(Carry & Forward) Agent Warehouse caters near by surrounding areas. ‡ Some Products are manufacture by Vendors and some by ITC.Salem. a3/3. ‡ Pattern of Goods Supply from C&F Warehouse to Distributor is Daily to Once a week.matoda.O box no.

Bingo FOOD 1 Distributor Cigarette Ape 3-W.Kolkota Munger Saharanpur Banglore Hyderabad Biwandi (HUB) Minto.GC1000. TATA Ace. Candyman. Alpha Champion. Mahindra Max PAN SHOPS Wholeseller Other Shops Non FOOD 1 Matches Customer PAN SHOPS Customer Customer Cigarette Distribution Model (Distributor-Consumer) Nagpur Kolkata Banglore Hyderabad Haridwar Ranjan Gaon Ahmadabad FOOD .

BIWANDI (HUB) Distributor FOOD Hotel & Kitchans of India Ashirvaad Sunfeast Minto Candyman Bingo Restaur ants Retail Shops Customer Wholeseller Super Market Street Retailers Customer Retailer Customer Customer Customer FOOD Distribution Model (Distributor-Consumer) Kolkata Banglore Haridwar Nanital BIWANDI (HUB) Distributor NON FOOD Retail Shops Wholeseller Super Market Non Food Personal Care Match Box Customer Retailer Customer .

Distri t r 3 Tea s Sales a (10-15) Pick Ti i g 9:00 t 11:00 AM Area C vered 24 K 2W 2 Tea s le Seller 3 Pa S s C vers s etailer 750 Pa S Per day Sale Disrributor 6. Wholeseller or Pan Shops directly Purchase from Distributor end.000 Wholeseller 50.50.8-1% Panshops 8-10 % ROUTE PLAN for cigarette Monday ( Pashan) Saturday (VishranVadi) Tuesday (Peth) Friday (Peth) Wednesday (Visharantvardi) .Agarbatti Customer NON FOOD Distribution Model (Distributor-Consumer) Stacking Pattern of PIAGGIO Ape 3 W Stacking Pattern of TATA ACE For Cigarette Distribution. Distributor use different ways to distribute cigarette 1 1. Distributor Vehicle (3-W) Covers ---Wholeseller/Retailer 3 3. Salesman Covers(2-W) ---Pan Shops 2 2.000 Panshops 5000 Disrributor 2% Margin Earned Wholeseller .

‡ Distribution of products to the Whole seller .3000 incentive. ‡ Thirdly. ‡ Second. Restaurants . otel estaura ts Delivered t e order Per day Sale Distributor 1.17. load the vehicle as per weight carrying capacity of vehicle. Salesman have their own vehicle 3-W and charge 13000 per month. ‡ Sales of Ready to Eat Foods is more in Stack Areas + Modern trades.50. 6 vehicle Cover 36 Routes in a Week.86 Purc ase Order ole seller . Each route cover approximate 20 Km per day. Distribute the products. Supermarket. Supply of food and Non food products Distributor have their own vehicle and Pays Driver Salary range from 3500 to 6000. Street shops.85000 Bingo in a month. ‡ First .4. Super market . Hotels. ‡ In case of Bingo Dist. etailers. Same route follow after one week.46 Rs. Target is Rs.000 Retailer 2000 Disrributor 4% Margin Earned Wholeseller 3% Retailer 10 % .000 Wholeseller 7.10 Pack-Rs. The Fuel cost is high because of frequent stop & start of vehicle. Fuel cost in case of Piaggio Ape 3-W is Rs.Thursday (Pashan) ROUTE PLAN FOR FOOD AND NON FOOD PRODUCTS: Distributor have 5 to 7 Vehicle for Food and Non Food Product . Each vehicle have 6 route for the whole week. Maintenance and Salary. In Case Bingo Distributor have 5 Salesman that Sale Bingo in the area of 20 to 25 Km per day. For Food Products Distribution:Transportation mode used for distribution of Food Products is via 3-Wheeler or 4-Wheeler.8. Each Salesman get target N/ Diagram for FOOD Category Compa y are ouse Vehicle Safety Measure:Pack Body 2 Door System Assig ed t e Order Distri utor are ouse Load t e order Salesma Retailer argi i Bi go: Rs.5 Pack-Rs.20 PackRs. Salesman take the order from the Existing and New Customer. ‡ Lastly.93 Rs.100 and TATA ACE it cost 180 to 20o Rs. Big Retailer. In addition to that after achieving the target they get Rs. It includes Fuel. Plan the route according to the delivery pattern .

Plan the route according to the delivery pattern . Street shops. ‡ Distribution of products to the Whole seller . Supermarket . Salesman take the order from the Existing and New Customer. ‡ First . Big Retailer. Distribute the products. N/ Diagram for NON FOOD Category Compa y are ouse Vehicle Safety Measure:Pack Body 2 Door System Assig ed t e Order Distri utor are ouse Load t e order Salesma . ‡ Thirdly. ‡ Second.ROUTE PLAN for FOOD PRODUCTS Monday 2 Team (1 Team = 4 Salesman) Sunday 2 Team (1 Team = 4 Salesman) Tuesday 2 Team (1 Team = 4 Salesman) Saturday 2 Team (1 Team = 4 Salesman) Wednesda y 2 Team (1 Team = 4 Salesman) Friday 2 Team (1 Team = 4 Salesman) Thursday 2 Team (1 Team = 4 Salesman) Each Salesman covers Delivery of 15 Shops per day For Non Food Products Distribution:Transportation mode used for distribution of Food Products is via 3-Wheeler or 4-Wheeler. Match box is also deliver to the Pan Shops with cigarette distribution. load the vehicle as per weight carrying capacity of vehicle. ‡ Lastly.

000 6.000 7.000.000 5.000.000 5.) 8.) Liquidator is 1-2 days. Threshold level is 60 % (Stock Inv. ‡ In FMCG industry.000.000.000 6. Super market .000.500.000 Cigarette Stick Sold 20.000 2.000.500.000. Retailers.000. Pune Per Month. FMCG industry is Volume base not Weight Base Different Product have different distribution Channel.000 15. Lev.Purc ase Order ole seller . > Thres. Category Distributor CHAMADIA JHANHVIR PCC BOMBAY STORE YASH CHAMADIA MAHADEV Food & Non Food Location KHARADI RASTA PETH YAERWADA KALEVADI HADAPSAR SINGHAD ROAD MARKET YARD SALE (Rs.500.000 10.000 3.000 KEY FINDINGS Scheme in case of Bingo:If Retailer Buy 60 Packets then he will get 4 Packets free Cigarette is volume base which has very high value Purchase order from Distributor to Supplier depends upon the MIS system. ‡ FMCG industry is using FIFO system. otel Restaura ts Delivered t e order Per day Sale Distributor 12000 Wholeseller 1000 Retailer 400 Disrributor 12% Margin Earned Wholeseller 10% Retailer 10 % ROUTE PLAN for FOOD PRODUCTS Each Salesman covers Delivery of 15 Shops per day Average Sale of ITC Distributor.000.000.000 2.000 10.000 8. .500. Distributor are not using APE 3-W because of less Space capacity Conclusion ‡ Most of the Distributor using Ape 3-W because of Good Mileage and more carrying capacity in Ape Xtra LD. Supply and demand is directly proportional to each other.

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