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PREFACE

Preparing a project of this nature is an arduous task and I was


fortunate enough to get support from a large number o persons. I wish to
express my deep sense of gratitude to all those who generously helped in
successful completion of this report by sharing their invaluable time and
knowledge.
It is my proud and previledge to express my deep regards to
Respected HOD Dr.Pramesh Gautam, Head of Department of
Management Studies SVNU, SAGAR for allowing me to undertake this
project.
I feel extremely exhilarated to have completed this project under the
able and inspiring guidance of Miss Sweta Rajput she rendered me all
possible help me guidance while reviewing the manuscript in finalising the
report.
I also extend my deep regards to my teachers , family members ,
friends and all those whose encouragement has infused courage in me to
complete to work successfully.
SHALINI GARG

MBA IST SEM.

ACKNOWLEDGEMENT
Preparing a project of this nature is an arduous task and I was fortunate
enough to get support from a large number o persons. I wish to express my deep
sense of gratitude to all those who generously helped in successful completion of this
report by sharing their invaluable time and knowledge.
It is my proud and previledge to express my deep regards to Respected , Head
of Department Dr.Pramesh Gautam, Department of Management Studies ,

SVNU, SAGAR for allowing me to undertake this project.


I feel extremely exhilarated to have completed this project under the able and
inspiring guidance of He rendered me all possible help me guidance while reviewing
the manuscript in finalising the report.
I also extend my deep regards to my teachers , family members , friends and
all those whose encouragement has infused courage in me to complete to work
successfully.

SHALINI GARG
MBA IST SEM.

DELCLARATION BY THE CANDIDATE


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Date :
I declare that the project report titled " MARKETING STRATEGIES OF TOP FIVE
BRANDS OF TEA" on Market Segmentation is nay own work conducted under the supervision of

Miss Sweta Rajput Department of Management Studies , SVNU, SAGARTo the best
of my knowledge the report does not contain any work , which has been submitted for the award of
any degree , anywhere.

SHALINI
MBA IST SEM.

CERTIFICATE
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The project report titled titled " MARKETING STRATEGIES OF


TOP FIVE BRANDS OF TEA" been prepared by SHALINI MBA IST Semester ,

Miss Sweta Rajput for the partial

under the guidance and supervision of


fulfillment of the Degree of MBA

Signature of the

Signature of the

Signature of the

Supervisor

Head of the Department

Examiner

CONTENTS

PREFACE
ACKNOWLEDGEMENT
CERTIFICATE
DECLARATION

CHAPTER I INTRODUCTION
ABOUT PROJECT
AN INSIGHTOF COMPANY HISTORY
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MISSION AND VISION


STANDING POSITION OF COMPANY
BRAND VALUE
CHAPTER II OBJECTIVE OF THE STUDY
CHAPTER III RESEARCH METHODOLOGY
CHAPTER IV MARKET ANALYSIS
OVERVIEW
BRANDS
CHAPTER V CONSUMER GROUPS
CONSUMER BEHAVIOUR
CHAPTER VI PRODUCT PROFILE
PLAN FOR PRODUCT MIX
PRODUCT RANGE
CHAPTER VII MARKETING STRATEGY
PRICING
POSITION AND DISTRIBUTION
PROMOTION
CHAPTER VIII ABOUT COMPETITORS
COMPETITOR FOR PRODUCT
PRICE OF COMPETITOR PRODUCT
CHAPTER IX DATA ANALYSISAND INTERPRETATION
CHAPTER X LIMITATION
CHAPTER XI CONCLUSION & SUGGESTION
BIBLIOGRAPHY
QUESTIONNAIRE

ABOUT TEA
Tea is a part and parcel of Indian social, economic and cultural life. Indians cannot
think of a day without their favorite cuppa tea.

Tea is the most popular non-

intoxicating beverage in the world enjoyed by the rich and poor alike.

Tea is both an official and unofficial drink.

A drink popular with the

intellectuals and the happy-go-lucky crowd. The Annual Book Fair of Kolkata,
India, is dotted with tea stalls. Indian literature and especially Bengali literature is
replete with incidents of steamy discussions over tea. In India, we have less of formal
tea parties, in British style. "Adda" or an informal get-to-gather is what we usually
associate with tea. Roadside tea is immensely popular among the masses. It is quick,
convenient and has a unique taste.
The Indian Tea industry was founded in the first half of the 19 th century with
the discovery of wild tea plants in Assam. Gradually, tea was cultivated, local tea
markets came up and tea companies were formed. Tea is finally packed into wooden
chests or jute bags for delivery to warehouses before being auctioned. Tea from the
gardens is also packed into consumer packs and sent to distributors. Being one of the
world's largest producers of tea, India requires a large network of tea producers,
retailers, distributors, auctioneers, exporters and packers. The tea industry of India
acts as one of the largest workforces in the country.
Tea is one of the most refreshing and popular beverages of the world. India is
one the largest Tea producer in the world. Indian tea is the finest quality in the
world. Tea is being cultivated in the high ranges of Northern and Southern India.

HISTORY OF TEA
Tea is often thought of as being a quintessentially British drink, and we have been
drinking it for over 350 years. But in fact the history of tea goes much further back.

In the world, tea is second only to water in being the beverage of choice. It has many
uses, such as to bring on sleep, restore good health, calm in times of stress, and
simply add to the enjoyment of a solitary afternoon by the fire or a good old chinwag
with friends. It can be taken hot or iced, plain or with lemon, milk or sugar, and
drunk from a hefty mug.
The word tea refers to the leaves or flower buds of the shrub Camellia sinensis and is
known as pure teas; however infusions can be made from steeping any leaves,
berries, flowers, root, bark or seeds in boiling water. The Chinese first brought to
light the pleasures of tea drinking around 4,000 years ago, and called it the gift of
heaven. It was first referred to in the writings of the emperor Shen Nung in about
2737BC, and legend has it that he insisted that his drinking water always be boiled,
as he had noticed that those people who did so appeared healthier than those who did
not. One day as the water was boiling, some leaves from an overhead branch blew
into the pot; he was attracted by the fragrance, drank it and voila! The venerable cup
was born.
The cultivation of tea gradually spread to Japan and the Far East, and was brought to
Europe in the sixteenth century by Portuguese merchants in Lisbon. It was
transported by Dutch traders who formed the Dutch East India Company, who began
to trade directly with the Orient. It was taken in France in 1636 and Russia in
1638.As the popularity of tea drinking grew in England in the mid 1600s, that of beer
and wine declined, minimizing tax revenue; to balance out this loss Charles II

introduced the first English tea taxes in 1660. Thus the black market in tea took hold
and flourished.
By 1750, the tea craze grew into tea gardens; beautifully landscaped areas where
the most fashionable people of the time would gather to discuss the topics of the day
and to pose in all of their finery. In the mid 1800s, Anna Duchess of Bedford made
popular the idea of afternoon tea in the home, when she became hungry between
lunch and the evening meal which wasnt due to be served until at least 9 pm. She
asked that a few sandwiches, cake and a pot of tea be brought to her to stave off her
hunger and the habit was born when she asked friends to join her on subsequent
occasions.
After the advent of the East India Trading Company when England began doing
business directly with the East, the first commercial tea plantations in India were
started. In the 1930s another fad hit tea dances. These were held in hotels and local
halls, and attracted hundreds of people during weekend afternoons, where they would
gather to eat, drink and dance to the sounds of the big bands. During World War II,
the government made sure that all factory workers were provided with tea in spite of
the rations, in order to maintain morale a ritual that was unmovable by the hand of
God or man!
Tea drinking was slow to catch on in the Americas, after William Penn brought it to
the Quaker colony in 1682. Then as cities such as New York grew, tea gardens as
fashionable as those in England became popular; in the ten years before the
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Revolution, 7,800,000 gallons of tea were drunk by 1.5 million people. Alas though,
the issue of taxes reared its ugly head, resulting in the famous Boston Tea Party,
causing the rapid decline in tea as a beverage of choice.
Herbal teas other than Camellia sinensis have been brewed for thousands of years;
more often they were drunk not just for pleasure but for healing purposes. Plato
referred to them in 410BC, Aristotle in 480BC and his student Theophrastus wrote
On the History of Plants, advising of the uses of herbs. The Roman Pliny the Elder
in 77AD in his work Natural
History, referred in detail to the process of growing herbs for both culinary
and medicinal uses. In England herb teas were widely used, and many of those who
came to America brought seeds with them; chamomile, balm, elderflower and mints
were the most widely grown. After the Boston fiasco, many folk banned the use of
imported tea, and so it was only natural that domestically grown herbs took
precedence; these were patriotically know as liberty teas. Nowadays, the increasing
interest in alternative medicines and organic foods has helped revive the art of
drinking tea, especially herbal which does not contain caffeine.
The English quickly developed an almost unquenchable thirst for the drink and
began searching for a way to get tea without having to buy it solely from China. In
1835 the English East India Company, upon discovery of an indigenous variety of
Camellia Sinensis in Assam, India, established their first experimental tea plantation
there. It was largely unsuccessful at the beginning. In 1856 varieties of tea from the
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Yunnan and Keemun provinces of China were introduced in Darjeeling, India, and
soon thrived. Some of the most prized and expensive Indian black teas come from
this high mountain region. One year later tea was

cultivated in Ceylon (Sri

Lanka).Luckily, for tea growers and consumers, a fungus wiped out the coffee crop
in Ceylon in 1869, then its' main export. This opened the door to increased tea
production and exportation.
By the early 1900's tea was being cultivated in Java, Sumatra, Indonesia,
Kenya and other parts of Africa. Presently, the United States has been added to the
list of tea producers as there is one plantation in North Carolina.

HERITAGE OF INDIAN TEA


Tea has found a permanent place in the lives and hearts of diverse peoples the world
over, and spread cheer and camaraderie for over 4500 years. Poets and philosophers
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have lavished praise on it, and perhaps no other beverage has been the object of such
ritual and ceremony across the planet. Today, over 3 bn cups of tea are consumed
every day across the globe, making it the most popular and cheapest drink in the
world after water. Its fragrance, flavor and gentle aroma generate a sense of pleasure,
well-being, and fellowship across the world, around the clock.
India is the largest producer and consumer of tea in the world. Since the midnineteenth century, tea has been one of the largest foreign exchange earners
and a major source of state and central taxes. Eco-friendly, it is also a caring
industry that generates income and livelihood for nearly 20 m. people in the
country. Far from the madding crowd, located in remote and backward areas,
tea-growing regions have silently, almost bashfully, evolved a remarkably
humane corporate ethos.
The Heritage of Indian Tea provides a perspective of the history of the tea industry in
India, the role tea plays in our lives and that of our country, and wide-ranging
developmental initiatives that have for decades been undertaken by the Indian tea
industry.
This is a story that needs to be told because few are acquainted with the fascinating
process through which the tea that enters their markets and homes passes, and how it
beneficially impacts the lives of millions of hitherto marginalized individuals. Most
outside the distant confines of the Indian tea industry will be astonished at the sheer

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range, scale, and scope of the innovative welfare schemes launched by an industry
that chooses to care.
A well-researched and carefully documented book, it analyses the problems
that are threatening to bring the Indian tea industry to its knees and hampering its
ability to invest, modernize, grow, and remain competitive in world markets. It raises
important questions that deserve serious attention and, above all, decisive action. The
author presents a balanced, scholarly, and comprehensive picture of the industry as a
whole bringing many hitherto unexplored facets to light that will interest tea
professionals and tea enthusiasts alike.

TEA AND OUR HEALTH


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We have heard that tea is good for our health. Hard to believe that something as
simple as tea can actually keep man in good health. Research suggests that tea
drinkers have lower rates of heart disease and cancer. It may promote healthy bones
in mature women. And, tea can give the man the lift that he wants from caffeine
without the negative side-effects.
According to the scientists of Human Nutrition Department of a government research
centre at Adelaide in Australia, tea effectively shields skin from cancer-causing
ultraviolet rays. High exposure to sun's ultraviolet rays generates free radical oxygen
atoms that mutate the genetic code of skin cells and makes them cancerous. The
antioxidants present in tea deter this process. These anti-oxidants also help in fighting
ageing.
According to studies conducted by UPASI in India, tea helps in controlling diabetes
and hyper cholesterol in humans. On a short-term basis the consumption of tea
improves alertness. Hindustan Lever has set up a tea health information research
centre at Bangalore to gather scientific data from all over the world about the role of
tea in improving health and identification of components in tea which are good for
human health.
Following are the diseases that can be prevent from drinking the cup of tea:
1. Heart Disease
2. Cancer

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3. Healthy Bones
Explanation:1. Heart Disease:Heart disease is our number one killer disease. Many people die because of heart
disease each year. The heart muscle needs a constant supply of oxygen and nutrients
from blood carried through coronary arteries. Clogged arteries inhibit the hearts
supply of oxygen and nutrients. Arteries become clogged through the buildup of
plaque (a mix of cholesterol, fat, blood clots, etc.) and can be blocked completely if a
piece of plaque breaks off and gets stuck in the artery. Then, downstream heart tissue
will be starved of oxygen and nutrients.
Various studies suggest that tea plays a role in reducing cholesterol levels. In one
study, researchers found that women age 55 or older who drank as little as a cup or
two of black tea a day, were 54 percent less likely to have severe atherosclerosis,
which can lead to heart attack or stroke, than those that did not. The more tea they
drank, the less their risk. This outcome could be because the antioxidants in tea
prevent bad (LDL, low-density lipoprotein) cholesterol from promoting the plaque
build-up that clogs arteries
It is found that cholesterol levels of subjects were inversely related to the
consumption of green tea. Tea helped to decrease the amount of cholesterol in the
artery walls. It even helped break down clots that had already formed

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2. Cancer :A study of more than 35,000 post menopausal women that showed those who drank
at least two cups of black tea a day were 40 percent less likely to develop urinary
cancer and 68 percent less likely to develop cancer in the digestive tract than women
who did not drink tea. Other research shows that tea may be helpful in the fight
against cancers of the stomach, bladder, and esophagus. A study in China even
concluded that smokers who drink tea have a lower incidence of lung cancer.
Flavonoids are ubiquitous in the plant world, but tea is an especially rich source and
tea drinking can easily fit into a pattern of daily consumption. Its practically like
eating fruits and vegetables. Letting the tea steep for 3 to 5 minutes extracts 69 - 85%
of the flavonoids. Many of the studies showing that tea is protective against cancer
were done in Asia where people generally drink green tea; some research has shown
that green tea has more of the powerful flavonoids called catechins than does black
tea.
3. Healthy Bones:Tea drinkers had significantly greater bone density measurements. These findings
were independent of smoking status, use of hormone replacement therapy, coffee
drinking, and whether or not milk was added to tea. When milk was added, BMD
(bone mineral density) was much higher. The study suggests that tea has components
that weakly mimic the effect of the female hormone estrogen which may be helpful
to older women.
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Tea drinkers appear to live longer after a heart attack; Drinking 3 cups of tea each
day is associated with 11% lower incidence of heart attacks; Smokers who drank 4
cups of decaf green tea daily had a significant decrease in signs of damage to the
cells and heart.

An Overview of an Indian Tea Industry


The tea industry in India was created to satisfy England's desire for high quality
black teas without dependency on trade with China. First, the British East India
Company's monopoly of the tea trade and its dominance over India where the
Company maintained the largest private army in history had to be broken. At the
same time growers and tea experts were experimenting with seeds, plants and
cuttings secured from China which they believed would grow in India's climate.
Notably, an indigenous strain of tea plant growing wild in India had been discovered
years earlier. The year 1838 marked the first Indian tea harvest, a mere 350 lbs., to be
auctioned in London. It was greeted with much excitement and high reviews from tea
experts.
In 1858 the British East India Company turned its rule over India to Britain. The
stage was set for the rapid expansion of tea product. As it turned out the indigenous
plants produced tea far superior in quality to the Chinese transplants. And so the
Indian tea industry was born. Now India produces more tea than any other country.

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The tea industry is also denied the benefit of deductions under section 80 HHC of the
Income Tax Act, 1961. Under section 33AB of this Act, assesses engaged in growing
and manufacturing tea are allowed a deduction limited to only 20 per cent of their
profits. Other industries are allowed 100 per cent deduction on profits from export
production. (In Oct'98, however, the union government granted this exemption to tea
industry also.)
The tea industry in India was earlier suffering from stagnant production and low
price realizations. 1996-97 was a year of turnaround and 1997-98, a year for
consolidation for the tea industry. In these years almost all the tea companies in the
country have witnessed increase in sales and profits.
The tea industry is also denied the benefit of deductions under section 80 HHC
of the Income Tax Act, 1961. Under section 33AB of this Act, assesses engaged in
growing and manufacturing tea are allowed a deduction limited to only 20 per cent of
their profits.
The tea industry in India was earlier suffering from stagnant production and
low price realizations. 1996-97 was a year of turnaround and 1997-98, a year for
consolidation for the tea industry. In these years almost all the tea companies in the
country have witnessed increase in sales and profits.
The farmers invested more on fertilizers and upkeep of their plantations in 1997 and
1998 because of better price realizations which also resulted in better output in the

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following years. According to the industry, subject to good weather conditions, the
output in 1999 is likely to touch still higher levels.
Indian Tea Industry at a glance:
Total turnover is approximately $2.25 billion.
Total Net Foreign Exchange earned is approximately is $413 million p.a.
Tea production, since independence has grown over 250%.
Generates income and livelihood for nearly 20 million people in the
country.
Women constitute 50% of the workforce.
Tea trading in the domestic market is done in two ways- Auction and
Private Selling.
India is the largest producer and consumer of tea in the world.
Notable Progress: Assistance is also being extended for establishment of a small Tea
Research Field Laboratory in Uttaranchal in order to develop a scientific
package of practices suitable for cultivation of tea in Kumaon region.
The project on application of Bio-technological tools in tea breeding
which has been coordinated by the Department of Bio Technology and
partly funded by Tea Board is in the final stages of completion.

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A pilot plant has been set up at TRA Jorhat under the project on
application of electronic devices in tea manufacturing and automation
which has been coordinated by the Ministry of Information Technology.
With the establishment of pesticide residue testing laboratories in the North
East and South India, scientific data on residue in tea have been generated
for developing a national protocol which is now being considered by the
Prevention of Food Adulteration Authorities (PFA) and also Inter
Governmental Group on tea of FAO (Food and Agriculture Organization)
towards harmonization of MRL. The standards as stipulated in the
European Commission and other countries are also being circulated to the
tea industry from time to time.
The National standard on quality of tea were revised and harmonized with
the International standards. Similarly the quality parameters of the
International standard ISO 3720 were also revised. The drafts for revised
specifications for green tea have been finalized for publication.

OBJECTIVE OF THE STUDY

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To identify the constraints faced by the existing small tea


growers in Assam so asto create opportunities for the new small
tea growers.2 .
To formulate a viable smal l tea growing model for
t h e n e w s m a l l t e a g r o w e r s i n the state that can be supported
by Financial Institutions.3.
To study the feasibility of setting up of a Bought Leaf
Factory (BLF)

RESEARCH METHODOLOGY

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According to Green and Tall A research design is the specification of the methods
and procedures for acquiring the information needed. It is the overall operational
pattern or framework of the project that stipulates which information is to be
collected, from where it is to be collected and by what procedures
This research process based on primary data analysis and secondary data analysis
will be clearly defined to meet the objectives of the study.
I chose the primary sources to get the data. A questionnaire was designed in
accordance with our mentor in Ketchup. I chose a sample of about 30
corporate customers
I collected some data from the secondary sources like published Company
documents, internet etc.
Research Design
A research design is the arrangement of conditions for collections and analysis of
data in a manner that aims to combine relevance to the research purpose with
economy in procedures. It is a descriptive cross sectional design .It is the conceptual
structure with in which research is conducted; it constitutes the blueprint for the
collection, measurement and analysis of data.
It is needed because it facilitates the smooth sailing of the various research
operations, thereby making research as efficient as possible yielding maximal
information with minimal expenditure of effort, time and money.
In the preliminary stage, my research stage constituted of exploratory study by
which it is clear that the existence of the problem is obvious .So, I can directly head
for the conclusive research.
Sampling Plan
Sampling plan is a distinct phase of research process. In this stage I have to
determine who is to be sampled, how large should be the needed sample and how
sampling unit is to be selected.
Population
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In my research, I have defined my population as a complete set of customers of Sagar


City.
Sample Survey
As compared to census study, a sample study has been conducted by us because of:
Wide range of population, it was impossible to cover the whole population
Time and money constraints.
Sample Unit
In this survey I took the list of customers from the dealers of Ketchup
Sampling Technique
Sampling technique implies the method of choosing the sample items, the two
methods of selecting sample are:
Probability method.
Non-probability method.
Probability method is those in which every item of the universe has an equal
chance of the inclusion in the sample. Non-probability methods are those that do
not provide every item in the universe with known cause of being included in the
sample. The selection process is partially subjective.
For my study, I employed the Non-probability sampling technique, in which I got the
data of the customers from the dealer of Ketchup.
Instrument of collection of data
I have used one set of questionnaire to collect data from the customers. This
questionnaire is structured and highly ordered. This includes both close ended and
open ended questions. The close ended questions included both dichotomous and
multiple choice questions.

CONSUMER BEHAVIOR
The consumer is a riddle. His needs and desires are innumerable; and they vary from
security needs to aesthetic needs. These needs and desires are at different stages of
emergence and actualization. The consumer has his own ways and means of meetings
these needs. Some of these needs are within his means; he can easily meet them.
Some others may be beyond realization.
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The consumer is exposed to a word of information- about new product, new services,
and new uses for existing product, new ideas and new styles. He may ignore certain
pieces of information, whereas he may actively seek out some other information. He
may read certain messages but may not digest them. In other word, he filters the
information in a rather unconscious manner. His perception is selective in the sense
that he perceive and retains only what he would normally like to perceive and retain.
When a consumer takes a buying decision, there is no rigid rule to bind him,
Sometimes; the decision is taken on the spot. That does not necessarily mean that it is
an irrational decision. Sometime he may after a long search, after evaluating various
alternatives available and reassuring him with the opinion on those who have already
purchased the product. Still he may feel later his purchase was impulsive. He may go
to shop after having taken the decision to buy a product; but he may not still buy.
The consumer is also influenced by the social environment in which he lives- his
family, his society, his neighbors, his friends, his job, and his colleagues. Every
component of his social environment leaves some imprint on him and influences him
in his day to day life. They influence his buying behavior too.
Factor influencing consumer behavior:1. Information from a variety of sources.
2. Socio- cultural Environment/ Group Influence Affecting Consumer Behavior.
3. Religion and language.
4. Concern about states.

EXPLAINATION:1. Information from a variety of sources:-

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The consumer is exposed to a veritable Flood of information. There is a deluge of


information unleashed on him from different sources. These sources inform him
about new products and services, improved versions of existing products, new uses
for existing products and so on. The information sources that persuade people to try a
product include: advertising, samples and trials, display in shops and salesmens
suggestions.
Each of these sources provides some information to the consumer about the products.
When the consumer sees an advertisement for a product, he is informed about the
existence about the product. Later on he may develop a positive attitude towards the
product or negative attitude or he may remain neutral. In any case a piece of
information about the product is made available to him and it has some influence on
his buying behavior.
The availability of the product in the shop by itself acts as an information source to
the consumer. The consumer may evince an interest in the product, he may inquire
about it. The product advertises itself.
2. Socio- cultural Environment/ Group Influence Affecting Consumer Behavior:The consumer living in a society, influenced by it and in turn influencing its course
of development. He is a member of several organizations and groups- formal and
informal. He belongs to a family, he works for a certain firm, he may be a member of
a professional forum, he may belong to a particular political group, or a cultural
body.
Group influences are of two types, since there are two types of groups exercising
influence on consumer:
(I) Influence of the intimate group, and
(II) Influence of the broad social class.

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Explanation:(I) Influence of the intimate group:Examples of intimate group are family, friends, close colleagues, and small, closely
knit organizations. These groups exercise a strong influence on the lifestyles and
buying patterns of the members.
In any intimate group, there is likely to be an informal group leader. The group
respects him and look upto him. Though he may not directly influence every member
on his day to day purchases, his judgment on men and matters, facts and fashions are
so respected by the group that his views and lifestyle influence their buying
decisions. He is normally innovator in the group, who first tries new products and
new ideas, and then he became the propagator of those products and ideas.

(II) Influence of the broad social class:The social Class is a larger group than the intimate group. The constitution of social
class is decided by the income, occupation, place of residence, etc., of the individual
members. The members of a social group enjoy more or less the same community
status and prestige. Each class develops its own standards of lifestyle and behavior
patterns. And the members of the class normally select a product or a brand which
cater to their group norms.
3. Religion and language:Every culture, religion and language group dictates its own unique patterns of social
conduct. Within each religion, there may be a several sects and sub-sects; there may
be orthodox groups and cosmopolitan groups. In dress and food habits, education or
marriage- in almost all matters of individual life, religion and culture- exercise an
influence on the individual directly or indirectly. The dos and donts listed out by
religion and culture, control significantly the individuals lifestyle and buying
behavior.
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4. Concern about states:People are very much concerned about their image and status in society. It is a direct
outcome of their material prosperity. Status is announced through various symbols
like dress, ornaments, possessions, and general lifestyle. The value attached to these
status symbols may change over a time. A car or a well furnished modern house may
be a status symbol in a particular society. But it may not mean to another society or
to the same society after a period of time. The desire for a self- expression and self
advancement is however the common factor in all the ideas associated with status.
For several people, status is a major motive force guiding and shaping their life.
Their concept of status decides what material possessions they should have. Even if a
product that constitute a status symbol is bound their immediate reach, their
aspiration to possess it, will influence the decision making process.

MAJOR MARKET PLAYER IN TEA INDUSTRY


Tea has an enormous market. The world consumes approximately 3.5 billion cups of
tea daily. At an average of two cups a day per consumer, that is 1.75 billion
consumers per day. It is unlikely that any other beverage, other than water, is
consumed to such an extent all over the world.

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The packaged tea market is highly consolidated in India, with Unilever and Tata Tea
accounting for almost half of retail value sales. Unilever (Brooke Bond and Lipton)
is the clear leader, holding over 30% of the market share, while Tata Tea (Tata) trails
it with almost 20%. The remainder of the market is far more fragmented and shared
between numerous small players
Both Unilever and Tata Tea saw a fall in retail sales as a direct result of the drop in
the price of tea between 2000 and 2003. These mainstream players also saw their
margin squeezed in the face of increased advertising spends and competition from
unpackaged tea.
Of the total Indian tea market, branded packaged teas account for 33-35% by
volume. Hindustan Lever (HLL) leads with around 43-45% market share of the
packaged tea market, while Tata Tea is the No. 2 with around 17-18% market share.
Apart from these two players and Duncans, the market is extremely fragmented with
many smaller /regional players. There is other market player who gave tough
competition to the leading player. Though other players are not very popular they
have their limited market for their product. Some brand has regional market for their
product and gain profit out of it. The main market leaders are TATA TEA LTD and
HLL subsidies Unilever which has dominate the tea market

COMPANY PROFILE
Assam Tea Company:The Assam Tea Company is the first tea
company in India established 150 years
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ago. A part of the UK based Duncan MacNeill Group; ASSA owns 28 tea estates in
the North Eastern part of the country. Besides bulk tea, the company sells packed tea
under brands like Regular, Jumbo, Premium and tea bags under the umbrella Assam
Gold. The company also has a large export market in Europe and is looking at
expanding its presence in other countries.
TATA TEA LTD:Tata tea ltd set up in 1964 as a
joint venture with UK-based
James Finlay and Company to
develop valued-added tea, the
Tata Tea Group of Companies,
which includes Tata Tea and the
UK-based Tetley Group, today
represent the world's second
largest

global

branded

tea

operation with product and


brand presence in 40 countries.
Among India's first multinational companies, the operations of Tata Tea and its
subsidiaries focus on branded product offerings in tea but with a significant presence
in plantation activity in India and Sri Lanka.
The consolidated worldwide branded tea business of the Tata Tea Group contributes
to around 86 per cent of its consolidated turnover with the remaining 14 per cent
coming from bulk tea, coffee, and investment income. The company has its
headquarters in Kolkata, and 51 tea estates in the states of Assam, West Bengal,
Tamil Nadu and Kerala and one coffee estate in Tamil Nadu.
Products and brands:-

28

The company has five major brands in the Indian market Tata Tea, Tetley, Kanan
Devan, Chakra Gold and Gemini catering to all major consumer segments for tea.
The Tata Tea brand leads market share in terms of value and volume in India and has
been accorded "Super Brand" recognition in the country. Tata Tea's distribution
network in the country with 38 C&F agents and 2,350 stockiest caters to over 1.7
million retail outlet in India.
The company has a 100 per cent export-oriented unit (KOSHER & HACCP certified)
manufacturing instant tea in Munnar, Kerala, which is the largest such facility outside
the United States. The unit's product is made from a unique process, developed inhouse, of extraction from tea leaves, giving it a distinctive liquoring and taste profile.
Instant tea is used for light density 100 per cent teas, iced tea mixes and in the
preparation of ready-to-drink (RTD) beverages.
With an area of 26,500 hectares under tea cultivation, Tata Tea produces around 60
million kg of black tea annually.
Exports:Tata Teas export volumes have risen through these years but realizations are at lower
side. There has been growth in exports of Sri Lankan high value teas in traditional
Indian market. This provides us an opportunity to recapture market share through
quality up gradation particularly from South India. South Indian teas are very similar
to Sri Lankan teas.
Marketing Initiatives: Tata Teas top brand commands market share of 7.4%, whereas HLLs top
brand market share is 6.9%.
Agni brand from Tata Tea stable launched two years ago has garnered a
market share of 3.5%.

Tetley Group Ltd:29

It is Subsidiary of Tata Tea Limited.

A global player in tea: the world's Number 2 tea bag company, with a presence
in over 35 countries worldwide.
Market leader in United Kingdom and Canada, a vibrant player in other major
tea markets such as USA, Australia, Poland and France.
Pioneer in the tea industry, with an enviable record of developing some of the
most innovative concepts in the world of tea: soft packaging, perforated tea
bags, round tea bags and the Drawstring tea bags.
Unmatched global tea buying and blending skills: among the most respected
name in the industry for its expertise in buying and blending, with nearly 100
years of experience between senior tea tasters.
Unmatched global tea buying and blending skills: among the most respected

name in the industry for its expertise in buying and blending, with nearly 100
years of experience between senior tea tasters.

HLL (Hindustan Lever Ltd) Unilever:Hindustan Lever Limited, 51.6% subsidiary of


Unilever Plc, is the largest FMCG company in the
country, with a turnover of Rs118bn. The
companys business sprawls from personal and
30

household care products to foods, beverages and specialty chemicals. The company
has a dominating market share in most categories that it operates in such as toilet
soaps, detergents, skincare, hair care, color cosmetics, etc. It is also the leading
player in foo d products such as packaged tea, coffee, ice cream and other culinary
products.
HLL enters in Japan with tea bags. Its fast moving consumer goods major, has added
Japan as its new market for tea exports and some orders have already been
dispatched. HLL has also added to its customer base the US, Australia, China, Hong
Kong, the Philippines, Singapore, Vietnam and Thailand markets. HLL established a
dedicated global sourcing base comprising factories at Pune, Kochi, Etah and
Kolkata. The brands exported are Lipton, Lipton Yellow Label, Lipton Brisk, Brooke
Bond, Brooke Bond Red Label, and Taj Mahal. All of them are in the tea bag format,
apart from the West Asia business where the format is packet tea. In addition, HLL
also exports instant Tea and Lipton 3-in-1 pre-mix (tea, milk and sugar) to some of
these countries.

Brook Bond Tea:Brooke Bond cheers senses. Brooke Bond's


heritage dates back to 1869. With its 130-year
experience in understanding tea and Indian
consumers, Brooke Bond has been synonymous
with tea in India.

31

At Rs.1000 crores, Brooke Bond will emerge as the largest brand of Unilever in
India, It will touch the homes and hearth of over 500 million consumers -- one of
every two Indians -- with the largest footprint in the country.
Brooke Bond's logo shows green tea gardens transforming to the red liquor of tea,
and a multi-colored sun that stands for specific moments of tea consumption.
Brooke Bond Red Label Tea was launched in the year 1903, which makes it one of
the oldest brands of tea in the country. It also has the distinction of being the largest
brand of tea in India and has a truly national presence. For years, Red Label has
stood for good quality tea and it can be easily called as one of India's favorite tea
brands.
The brand was re-launched in the year 2000 with a new product formulation, wherein
long Assam orthodox tea leaves were added to the base CTC (crush tear and curl) tea
to deliver enhanced taste.
The brand is backed by the Brooke Bond Tea Excellence Centre. Selecting the best
teas from the best gardens, Brooke Bonds specialists work hard to scientifically
process green leaf to cheer consumers. In the unique Tea Excellence Centre of
Brooke Bond, tea is expertly graded, blended and tasted to get the perfect blend.

Goodricke Group Ltd:Goodricke

Group

Ltd

(GGL) is a part of the


UK-based Lawrie Group.
GGL has a joint venture tea company in Nepal named Himalaya Goodricke and a
subsidiary, Tiru Tea. The Goodricke Group is the leading producer of Darjeeling Tea
32

and the third largest tea producer in the country. The company manages 36 tea
gardens spread all over India. Incorporating the highest technological standards in its
production of tea, the compa ny is a symbol of excellence giving a perfect blend of
quality and care in every cup of tea. Today, with worldwide acclaim, Goodricke
group manufactures and markets a wide range of tea. Primarily a seller in the auction
market, Goodricke now has an equal proportion of sales in the bulk and packet tea
segments, besides a significant presence in the export market.
Tea major Goodricke Group Ltd, which is part of the UK-based Camellia Plc, has
begun re-launching all its packet tea brands. It also plans a new, exclusive brand for
south India. To start with, the company recently re-launched Goodricke Perfect
packet teas across India. This is a blend of 40 per cent Darjeeling and 60 per cent
Assam CTC (crush tear and curl) teas. Goodricke 3-in-1 would follow next and, later,
the Zabardast brand. While Goodricke 3-in-1 is the main brand, Zabardast targets the
mass segment. The company also had a soft launch for Goodricke Premium late last
year in Gujarat. This brand would soon be launched all over India. Goodricke, which
is mostly a bulk tea player, has been in the packet tea business for over 17 years now.
However, most of its packet tea sales are in the country's northern half. It enjoys
good market share in Madhya Pradesh, Punjab, Haryana, West Bengal, Rajasthan,
Jharkhand and Uttar Pradesh. Goodricke's presence in south India, which is
predominantly a branded packet tea sector, is almost negligible.
Goodricke owns 10 gardens in Assam, 12 in Dooars and eight in Darjeeling. Its
annual production is 30 million kg. The company's instant tea plant, located in North
Bengal, caters to clients like Coca-Cola Ltd and Hindustan Lever Ltd. According to
Grover, Goodricke's packet tea business was growing 25-30 per cent per annum. In
2004, it sold six million kg and expects to touch eight million kg in 2005. In the tea
bag segment, the company sells Assam CTC (crush tear and curl) under the
Goodricke Fine Estate brand, mostly to institutions such as the Indian Railways.
Sapat Group:33

The Sapat Group of companies founded in 1897, consists of diversified businesses


in tea, pharmaceuticals, real estate to Information Technology. The group has a
strong presence in India, as well as in North America. The various Indian
manufacturing units are located in and around Nashik, with its marketing office and
IT facilities located at Mumbai. With innovation strategies over the last decade the
company has grown five times touching a turnover of almost Rs100cr., making it the
largest packet tea company in the Rs500cr tea market of Maharashtra. Currently,
Sapat has over 250 distributors in Maharashtra and plans to expand to other tea
drinking states.
The tea division which is the largest of the FMCG operations was based at Nasik and
a very strong regional brand with a very good franchisee. They started with the
expansion on tea and that is being an area that they already had capabilities in. Sapat
Tea is one of the top 10 companies in India today. Their Tea turnover is little more
than Rs100cr. Last year, according to some reports they were the fastest growing
packet tea company in India. They have presence in Maharashtra, large parts of MP,
Chattisgarh and now we are setting up distribution in top cities. They dont have their
own plantations. They buy the teas from Assam.

Parivar is the largest brand. Within Maharashtra in the leaf category the market share
should be somewhere between 20-25%. And in the Dust tea category they have Sapat
Chaha / Sapat Chai a popular dust. Dust tea is a very regional play, because the
market and test varies from district to district. So in the districts in which it is very
popular; its almost 80% market share kind of a product. Maharashtra is the largest
Dust Tea market in the country. They will have other brands as well but starting off
with the focus on Parivar because there is still lot of potential in that brand. They do
have Sapat Chai under Sapat brand but it is limited to the dust category. They plan to
use Sapat more as an umbrella brand going forward. Parivar will be about 60% of the
total turnover of Rs100cr.
34

Export is a very small but a growing part of their turnover. A few years ago they were
able to start off with Masala Chai and they have been able to rope in the second
largest distributor in the US to carry out product. Tea Prices at the commodity level
will be stable and are expected to by and large remain low. They have some flavored
teas, mostly in the export markets. They are looking at that for the Indian market as
well now. There is demand for it especially at the higher end.

MARKETING STRATEGY

he way marketers think their customers are feeling about the product is not always
the sameas customers really think about the product. The best way to override this
problem and get aclear picture what customers are actually thinking about the
product is to get feedback fromthem. Sometime its get difficult because most of the
cases customers tend to think negativepoints first when they are asked to comment
on a product. But the efficient marketers alwayswelcome the negative feedback, because
they consider this as a scope to improve the product.Customer feedback is one of the most crucial
35

factors to improve a product. A recent surveycarried out by the Forum of Private Business shows
that around 44% of business owners wantto improve customer satisfaction and yet more still want
to be able to do more business withtheir current customers
There are various ways to get customer feedback. Most of the companies use
survey to getcustomer feedback. For our project purpose, we have conducted a small
research to find outwhat customers are thinking about the existing Green Tea brands
in India market. Wealso tried to identify their level of satisfaction based on their
opinion. We have used thefollowing questionnaire to get customer feedback

DATA ANALYSIS AND INTERPRETATION


Market research is normally done by conducting market survey. Survey is done on
two bases; i.e. from customer point of view and retailer point of view.
From Customer Point of View:AGE GROUP:-

36

As per the above pie chart it is said that 33% of people from age group 36-45 are
know the most different type of tea available in the market. So any tea company
needs to concentrate their marketing strategy to get their customer to know about
their tea. They need to develop a good marketing skill so that they can concentrate
on other segment also.

OCCUPATION:-

37

As per the above diagram it is seen that most of the house wife know the various
brands of teas even though they are not working. Companies who are want to enter
into the tea market they should concentrate on the factor that how can they convert
the other segment of occupation to used or to know about the tea.

38

HOW MANY PEOPLE USED BRANDED TEA / UNBRANDED TEA:-

According to survey, it is found that most of the people used branded tea i.e.76%.
Those who are not used branded tea they prefer to use loosed tea which gave them a
good taste, quality as per their views taken. There fore companies who want to enter
into tea market or who are already there they should keep in mind that they should
touch feelings of other people i.e.24% who are prefer to use unbranded tea and
convert them in to use branded tea.

HOW MANY PEOPLE HEARD THE VARIOUS TEA BRAND:39

As per the above graph, it is seen that most of the people heard the brands like
society tea, Brook bond Red Lable Tea, Tata tea, Taj Tea, Girnar Tea, Tata Gold Tea,
Sapat Parivar Chai. But in actual sense they use something else. Some companies
like Tata, HLL (Unilever) brand Brook Bond Red Lable are concentrating on their
major product and ignoring the other product in the same field i.e. tea. There fore
every company should adopt such promotion strategy that they can get the people
who at least know their products of tea.

40

WHICH BRAND HAS MOST ATTRACTIVE ADVERTISEMENT:-

As per the above chart, it is seen that most people like Brook Bond Red Lable
i.e.24% after that Society Tea and Taj Tea i.e. 17% and 15% respectively. Other
companies should concentrate on their advertisement because most of the people get
the information about the tea through the television advertisement and they
influenced to buy that tea. Companies also should used some catching and attractive
slogan or punch line because of which people can like their advertisement and think
to buy at least once.

41

WHICH TEA IS MOST REGULARLY USE:-

According to survey, it is found that Society Tea is used by more people i.e. 32%.
After that loose tea is more used i.e.22% and then Brook Bond Red Lable
i.e.20%.There fore other companies should published or telecast their teas
advertisement and influenced people to buy tea. While using the advertisement they
should adopt AIDA model i.e. (Attention, Interest, Desire, and Action). Because most
attractive advertisement is not enough to captured the market. For example Brook
Bond Red Lable Tea has good advertisement and people like their advertisement also
but less people prefer to use this tea. So all company should concentrate on the AIDA
model and can earn more market.

HOW PEOPLE BECOME TO KNOW ABOUT THEIR TEA:42

From the above diagram, it is seen that most people come to about their tea through
television i.e. 57% people know from it and then word of mouth publicity i.e.42%
Other media such as radio, print does not have that much popularity. There fore
company can introduced their product through these media. As it required cheap cost.
Company also put their hoardings in the retail store as a print media. Because retailer
can play a role to promote the tea which create a good awareness about the tea and
can increased the publicity of the tea.

43

BASES ON WHICH PEOPLE BUY TEA:-

As per the survey conducted it is found that most of the people buy the tea on the
quality bases irrespective of prices. 82% people want their tea should be
qualitative instead of quantitative. People want quality in the tea it should contain
good taste and flavored. There fore while processing companies should
concentrate on the quality of tea. There are also some people looks into the prices,
quantity but it because of they can not afford to pay high prices. Some people also
think other factors such as attractive, safe and durable packaging.

HOW MUCH TEA PEOPLE BUY IN A MONTH:44

Quantity of tea to buy from shop is mainly depending on the number of family
member drink the tea. Normally people having family member not more than 6 they
buy tea of 500 grams. How much to buy is totally depends on the number of family
member drink tea. But if a company wants to launch a new product or renew the
existing product then they should make available in a small sachet. It is also useful to
those who consider price as a main factor while purchasing tea. People are also buy
tea more than 1 Kg.

45

PEOPLE SATISFY WITH THE PRICES:-

According to survey taken it is found that 91% people satisfy with the prices of the
tea. They dont find prices are too high. But those think prices are not satisfying it
because of their income level and they think that quantity is not as per the price.

46

PEOPLE WHO THINK QUALITY AS WELL AS QUANTITY GOOD WITH


RESPECT TO PRICE:-

As per the survey conducted, it is seen that most of the people say that whatever
they pay, they get in return in terms of quality and quantity. Around 97% people
are satisfied and get a positive reply for paying on their own favorite tea. They
said that while buying they did not take price into consideration because tastes,
flavor, good feeling after drinking tea are important. But 3% people say, they need
not received the quality and quantity as per the prices they paid, there fore these
people are mostly use loose tea.

47

VARIOUS OTHERS SECOND PREFERENCES GIVEN BY THE PEOPLE:-

It is found while doing survey, when people are given a chance to change their tea
they are not willing to change their preference because they are too used to their
favorite tea that they are not want to switch on to other tea. These are basically
including 25% of people. There are also some people who are ready to change
their own tea and used other tea. In this around 21% people are ready to change
their own tea to Society Tea. After that they give preference to Brook Bond Red
Lable Tea which has 14% of customer.
From Retailer Point of View:-

48

HOW MANY RETAILER KEEP BRANDED TEA, UNBRANDED TEA OR


BOTH:-

Some retailer keeps both kind of tea in their store which is branded and un-branded
tea in their shops. Un-branded tea includes basically loose tea and this is preferred by
most of customers for that retailer has to keep it. In un-branded tea there are number
of tea which is very famous as this tea carrying some special feature and for that
customer like to buy it and again retailer have to keep it. Some retailer likes to keep
branded tea only.

49

RETAILERS KEEP THE FOLLOWING BRANDS IN THEIR STORE MOST:-

According to the survey, it is seen that number of retailer keeps society tea in their
retail shops. It is around 80% of retailer keep society tea. After that Tata tea is also
available quickly in the retail shops and this is around 65%. In third position we have
Brook Bond Red Label, loose tea and Girnar tea etc these tea are mostly every
retailer has in major quantity and also as per the customer requirements. A retailer
normally keeps the product in store which has demand in the market by the
customers.

50

WHAT BASES RETAILER SELECTS THEIR PARTICULAR TEA FOR THEIR


STORE:-

While keeping any tea in the shop a retailer must take one thing into consideration
that is customer demand for the particular tea and quality of that tea. It is the view of
most of retailer that they like to keep those teas which normally demanded by most
of customers as it is the customers who are going to buy that tea and this is beneficial
for both customer as well as retailer. The companies also take one thing into
consideration that quality of product is an important selling factor in any tea instead
of prices of tea.

51

BASES ON WHICH CUSTOMER BUY TEA:-

In survey it is also found that when customer feel to buy a particular tea that time he
first think about the quality and test of that tea and after that customer decides to buy
or not. And then customer concern about quantity, price, and brand image and
company reputation. The company with a good reputation in the market should
concentrate on the quality of tea and hence they can earn various market shares in the
market.

52

HOW MANY RETAILER SEEN ADVERTISEMENTS ON TELEVISION:-

A retailer mostly sees advertisements on the television when they are free from their
own work because most of their time is spend in their shops. 75% retailer who
watches television likes advertisement and 25% retailer said that they are not
watching television

53

RETAILER LIKE THE MOST ATTRACTIVE ADVERTISEMENT IS:-

As per the above graph 75% retailer who watch television like most attractive
advertisement of Society Tea i.e.59% . After that, retailers like Brook Bond Red
Lable advertisement very much i.e. 27%.

54

TEA WHICH HAS MORE DEMAND:-

According to the survey it is seen from the retailer that society tea has more demand
by the customer. Society has a demand of 57%. Customer likes the society tea very
much even after a price of this tea is very high this feedback normally gets from the
retailer. After society retailer have demand for the Tata tea in the customer market
which is around 31%.

55

WHETHER RETAILER GETS FEEDBACK FROM CUSTOMER OR NOT AND


WHAT KIND OF FEEDBACK THEY GET:-

From the above chart it is seen that around 85% retailer get feedback from
customers. These feedbacks is basically about the taste of the tea, quality, and brand
image and also get extra information like some extra benefit received from the tea
relating to health. And very less i.e.15% people are not used to give feedback. But
most of the customers prefer to give feedback to their respective retailers.

56

CONCLUSION
As per the survey taken, it is found that most of the consumer like the
advertisement of tea but they in actual sense use some other brand. It is also found
that people are not interested in switching on the other brand. They give more
preference to the brand which is use from beginning. Consumer heard about the
brand but not use the same brand.
In a survey it also found that consumer seen the advertisement and some time they
like the advertisement also but not ready to buy the tea. There fore company
which is into the tea industry, they should concentrate on the advertisement which
turned the consumer mind set and induced them to buy the tea. They should come
up with the small sachet because of which consumer can buy their brand at least
once.
Companies should come with the new ideas which give the information about the
how tea is useful to our health and should concentrate on the quality of the tea.
Companies should published their advertisement through other media also i.e.
print media, radio as it required less cost and nowadays people are turning to this
media also.

57

BIBLIOGRAPHY
www.google.com
www.indiainfoline.com
www.altavista.com
www.hll.com
www.tatatea.com
Marketing Management by Rama Swami.

58

QUESTIONNAIRE
Q.1
Q.2
Q.3
Q.4
Q.5

Do you have knowledge about these product ?


(a) Yes
(b) No.
Are you satisfied with these product
(a) Yes
(b) No.
From where do you have got knowledge about this product
(a) Print Media (b) Electronic Media (c) Media
Which product you like most
(a) vivel
(b) Dove (c) Clinic Plus (d) Dabur
Do you like the quality of this product

Q.6

What is the reason becuase of which you prefer this product


(a) Quality (b) Price (c) Product
Q. 7 Any Suggestions:

59