ITC e- CHOUPAL

Presented By:
Abhijit Yewale (01)
Neha Daga (24)
Preeti Chandak (31)
Swati Singh (44)
Tanvi Thakre (45)
V Sreevidya (49)
Yogesh Dad (52)
AGRI INDUSTRY OF INDIA

Comprises of the Post-Harvest activities of

processing and preserving agricultural products for
intermediate or final consumption.

India is the second largest producer of food in the

world.

Basically exports- Food Grains, Dairy Products,

Frozen Food, Fish, Meat, Poultry, Sea Fishing,
Aqua Culture, Milk And Milk Products.
WHAT IS ITC e- CHOUPAL?

Developed by ITC agri-business division

Brainchild of S Sivakumar.

Promoted by YC Deveshwar, chairman ITC

Launched in 2000

Benefits 4 million farmers in 40000 villages.

Farm linkages in 14 states

Rural Indias largest Internet- based intervention

 CHARACTERSTICS OF
ITC e- CHOUPAL

Customer centric

Used for many commodities and multiple transactions

Uses local talent and local people and develops local leaders

Extended to local as well as global procures

Nurtures local entrepreneurs

Unique CRM programme in commodity exports

SYSTEM BEFORE
ITC e- CHOUPAL
 ITC e- CHOUPAL
SYSTEM

SANCHALAK

CHOUPAL
FARMERS ITC
SAGAR

SAMYOJAK
PC and
INTERNET
 GENERAL PRODUCTS OF
ITC e- CHOUPAL
Processed Fruits (Mango, Guava, Papaya etc.)

Food Grains (Rice, Wheat and Pulses)

Feed Ingredients (Soya bean )

Edible Nut (Groundnut)

Coffee & Spices

Marine Products (Shrimps and Prawns )

 MARKETING

Business to Business

Business to Customer
 MARKET SEGMENTATION

Geographic Psychographic

National and
Demographic
International Lifestyle (Interests)
Behavioral

Occupation Usage Rate,

Buyer Readiness Stage
 FOR BUSINESS TO CUSTOMER

Geographic Behavioral

Rural India Demographic

Benefits and Loyalty
Psychographic

Income
Lifestyle
 CASE STUDY

The case discusses basically about the two different trading system in Agro Industry
of India. One was before ITC e- Choupal i.e. Mandi System and the other system is when
ITC e- Choupal introduced Information Technology in Trading directly with the farmers
thereby minimizing the monopoly of Traders in the system.
In a traditional Mandi system, the trading is conducted by commission agents
who didnt serve the farmers well and exploited their situation as well as use to extract
extra commission from the company by manipulating the prices of the commodities
offered, thus making the system inefficient.
ITC has worked in Indian agriculture for decades hence took a different
approach by looking at the successes and the loopholes of the current system and
identifying how they could re-engineer the existing one by introducing ITC e- Choupal,
that is an IT based solution which serves as both a social gathering place for exchange of
information and an e- commerce HUB. It also catalyzed rural transformation i.e. helping
to improve rural isolation, create more transparency for farmers and improve their
productivity and incomes.
 SWOT ANALYSIS
Delivery of real time
information
Immediate cash payment
Easy access to any
e- Choupal
Sanchalak is educated and trained in
computer operations.
Low Transactional costs
Transparent and Fast Process
Use of Technology
Provides additional information to Farmers
 Power unavailability in Rural India

Poor Telecommunication Infrastructure

Lack of proper roads, limiting vehicle access

Competitors attempt to
divert produce from Farmers
 Better supply chain for ITC s food
and agri-business

Access to the underserved rural markets

New ITES business opportunities

Shareholding value creation through servicing

society
 Bulk storage and handling hubs

Demand for Unwarranted additional payments by

the Sanchalaks

Threats to execution management due to speed of

expansion

The strained
Samyojak ITC relationship.
 7 Ps OF SERVICES

Product v/s Customer Expectation

Processed Fruits (Mango, Guava, Papaya etc.)
Food Grains (Rice, Wheat and Pulses)
Feed Ingredients (Soya bean )
Edible Nut (Groundnut)
Coffee & Spices
Marine Products (Shrimps and Prawns )

Place v/s Convenience

e-Choupal within 5km radius serving 10villages
A processing center within 25 - 30 km radius
 7 Ps CONTD

People v/s Caring

Sanchalak
Samyojak
Farmers
ITC staff

Price v/s Cost

Transportation Cost
Set up Cost
Mandi Cost v/s e Choupal cost.
Insurance expenses
 7 Ps CONTD

Process v/s Co-ordination

INBOUND INSPECTION WEIGHING & HUB

PRICING
LOGISTICS & GRADING PAYMENT LOGISTICS
 7 Ps CONTD

Physical Evidence v/s Confirmation

Choupal Sagar

Promotion v/s Communication

Carries out CSR activities as part of promotions

Provided livelihood to 5million people (work, education)
Social and Farm Forestry
Water shade development
Agriculture development
Choupal Pradarshan Khet
 CAREER OPPORTUNITIES
The following career opportunities have been identified in
the Agri Business Sector:

Agronomy Sales
Agronomist
Lab Manager
Soil Testing Sales
Grain Operations, Marketer & Superintendent
Landscape Management/Maintenance
Process Engineer
QUESTIONS

1. The competitors try to attract the farmers by

providing them higher prices for their produce than
e- Choupal. How to overcome this?
2. What could be done to improve the Samyojak- ITC
e- Choupal relationship?
3. What action should be taken against the
Sanchalaks, who unionize and extract unwarranted
Rents from ITC e- Choupal?
4. How to generate a sense of trust in the farmers
mind with respect to the laboratory tests
conducted?
THANK YOU