This action might not be possible to undo. Are you sure you want to continue?
“TO DETERMINE THE FUTURE OF PREMIUM SEGMENT OF WHISKY IN ORISSA: A COMPARATIVE STUDY ON ROYAL CHALLENGE & BLENDERS PRIDE”
BY BISWARANJAN BHOI (MBA 2008-10) ACADEMY OF MANAGEMENT STUDIES, BHUBANESWAR
Submitted for partial fulfillment of the requirement of MBA Programme
Under the guidance Of Rajesh Kumar Satpathy Asst. Prof. Marketing
Academy of Management Studies
(ISO 9001: 2000 Certified Institution) Approved by AICTE, New Delhi and Affiliated to BPUT, Orissa) Accredited by NAAC
Prasanti vihar, pubasasan, kausalya Ganga, Bhubaneswar – 751 002 Ph: (0674) 2465128/2465570, Fax: (0674) 2465701, E-mail: firstname.lastname@example.org/visit us: www.amskrupajal.org
This is to certify that this report work entitled “To Determine the Future of Premium Segment of Whisky in Orissa: A Comparative Study on Royal Challenge & Blenders Pride” is submitted by Mr. Biswaranjan Bhoi bearing Reg.No.0806272091 under my guidance. The report has reached the standard of fulfilling the requirement for the award of Master in Business Administration. I also certify that the matter embodied in this project is original and has not been submitted before for the award of any other degree. I wish his all success in future endeavor.
Prof. Rajesh Satpathy Faculty-cum-guide (Marketing)
BISWARANJAN BHOI MBA. 2ND YEAR. This Dissertation report has been submitted to Biju Patnaik University of Technology as a part of partial fulfillment for the award of the degree of Master of Business Administration. 6TH TRIMESTER REGD. .DECLARATION I hereby declare that this Report “To determine the Future of USL in Premium Segment of whisky in Orissa: A comparative Study on Royal Challenge & Blenders Pride.” Is an original work carried out by me under the direct supervision and guidance of Prof. Bhubaneswar. Rajesh Satpathy faculty at Academy of Management studies. I also declare that no part of this presentation had ever been published or submitted as a project representation for any degree of Academy of Management Studies. NO-0806272110 ACADEMY OF MANAGEMNT STUDIES.
BISWARANJAN BHOI . Marketing) for his guidance & support. which provided me a great opportunity of to have the exposure from such a prestigious organization. I would also like to thank Mr. I would also like to thank Mr. Rajesh Satpathy (Asst.ACKNOWLEGEMENT First of all I would like to express my gratitude to all those who gave me the possibilities to complete the report. I would like to thank United Spirits ltd.K Panigrahi (General Manager) United Spirits Ltd. Then I would like to Thank Mr. Prof. P. I would also like to thank Mr.. Orissa. Gora Mukherjee (Regional Manager) EAST ZONE. Lawrence Daniel Michael & Mr. Kunal Patnaik (Territory sales Executive) for their constant Guide & support.
Indian made Foreign Liquor (IMFL) and beer are state subject. The results may not be in accordance to the actual situation in the market because of small sample size and the limitation of area. Country liquor.PREFACE Indian Liquor and spirits industries are common characteristics arising form a similar policy framework. ..” For this purpose market of Bhubaneswar. This Market research has been done for United Spirits Ltd. For the study” To determine the Future of USL In Premium Segment of whisky in Orissa: A comparative Study on Royal Challenge & Blenders Pride. Cuttack & Puri has been covered. but serious efforts have been put into get the best results. Incidence of import and export duties result in high cost of interstate movements which has resulted in each state having attributes of a separate market. with each state controlling the duty structure and distribution. For differentiating the behavior of consumers in this market a survey has been conducted through questionnaires and responses of consumers and retailers have been recorded.
. or design. or symbol. sign. and enhance brands. Brands vary in the amount of power and value they have in the marketplace. intended to identify the goods or services of one seller or group of sellers and to differentiate them from those of competitors. protect. logo. A brand can be better positioned by a associating its name with desirable benefits. We define brand equity as the positive differential effect that knowing the brand name has on customer response to the product or service. Beyond this are brands with a high degree of brand acceptability. a tagline. a brand resides in the minds of consumers. “What distinguished a brand from its unbranded commodity counterparts is the consumer’s perceptions and feelings about the product’s commodity counterparts is the consumer’s perceptions and feelings about the product’s attributed and how they perform. The fact is that brands are not built by advertising but by the brand experience. Thus a brand denitrifies the seller or maker. The American Marketing Association defines a brand as: a name. colors. A brand is essentially a marketer’s promise to deliver a specific set of feature. Brand equity results in customers showing a preference for one product over another when they are basically identical. Ultimately. The extent to which customers are willing to pay more for the particular brand is measure of brand equity. or a combination of them. benefits and services consistently to the buyers. The marketer must establish a mission for the brand and a vision of what the brand must be and do. At one extreme are brands that are not known buy must buyers then there are brands for which buyers have a fairly high degree of brand awareness. These are marketing tools tactics. maintain. A brand is much more than a name. Brand nodding occurs when customers experience the company as delivering on its benefit promise. Branding is the art and cornerstone of marketing. term.EXECUTIVE SUMMARY Perhaps the most distinctive skill of professional marketers is their ability to create. symbol.
These tasks require continuous R and D investment. and positive associations. . excellent trade and consumer service. skillful advertising. perceived quality and functionality. This requires maintaining or improving brand awareness.A brand needs to be carefully managed a so that its equity does not depreciate.
. the marketing manager and sales executives are also required to be more and more consumer oriented. To achieve goal the proper marketing strategy is needed. profit rather than sales volume is given priority. A successful strategy man oeuvre for obtaining specific goals can be possible ply by building a high committed and motivated sales team of area managers. The word marketing means the act of selling and buying in the market. Today. Generally a group customer who heavily shares a common a group of customers who heavily share a common need constitute the market. views and awareness overall demand. Strategy of marketing depends upon the nature of products. the marketing has to be done within the framework of policies and procedures set up by the govt.V. Marketing involves meeting traders. The middlemen under strict price and control policy of the Ministry of Home Affairs especially Food and Civil Supply Department. merchants. quantity of production. But it all depends upon the factors. Every market plan depends upon the nature and size of the market. capacity of product circulation and existence of middleman. conditions. dealer’s retailers and many a time the consumers directly through media. characteristic of the producer’s product. To -day. consumers. middlemen and the consumers. market has turned from seller’s market to buyer’s market. or through advertisements. Hence. Now days. selling shops and through media like T. marketing management has become more challenging and exciting than ever before. A new product may have to be promoted by door to door selling. If a product is to be exported. sales officers. dealers and officers.INTRODUCTION This modern era of liberalization and globalization has opened a broad scope for conducting marketing of products in business.
good knowledge of designing and preparing various inputs including visual aid folder is needed. Not only this. knowledge of controlling activities up to grass-root level. area sales manager. Besides this. Good contacts in corporate sectors. Today. interacting with concerned departments and sales regulatory authorities are also required for a successful marketing manager. distributional sales.For successful marketing of its products. For the successful career in marketing a person must have certain basic skills like a degree in an area of thrust related to the type of company. there many other things which pave the way for promoting sales. a company may have sales persons. The marketing division should see that brand identification is must for the producers to exercise maximum control over the demand for its products. depot communication manager. place and promotion are the most vital areas of marketing management. marketing manager has become the integral part of business and involves all the activities that take place in an enterprise. market factor and institutional or organizational factors and the vital decisions has to be taken with regard to internal sales promotion in the light of channels of distribution. marketing strategies and legal aspects is needed. Branding of products is . involvement in marketing research for launching new products and in training sales force is must for a successful marketing manager. public relation officer and managing director depending upon the size of the company. As a good marketing manager one has to train the staff. the attitude and talent for innovation. In addition. ability to formulate and implement sales. Without these the marketing objectives of organization cannot be fulfilled. distributional and promotional strategies and exceptional skills to motivate and effectively manage the sales force. price. product manager media assistant. Four Ps namely product. Channel distribution system may get affected by the product factor. Therefore the sound knowledge of marketing activities. regional sales manager. The above qualifications are must because the role of marketing manager in the organization has also changed with requirement of the hour. zonal sales manager marketing professionals. Fifth P added is pace.
United Winery & Distillery Co. Canada.. Ltd. Foster's Group Limited. The report provides separate comprehensive analytics for the US. Companhia Muller de Bebidas Ltd. stimulations and encouragement for the fullest and rich use of inspiration talents. San Miguel Corporation. CURRENT SCENARIO & EVALUATION OF SPIRITS MARKET Worldwide markets for Alcoholic Beverages (Distilled Spirits) both in Value (Millions of US$) and Volume (Thousands of Liters). So the following outcomes are coming into the picture as we studied the current Indian spirit market: The per capita consumption in India only 0. Gin. UB Group. and Others. Japan. .. & Rum).Diageo PLC.necessary for administration of warranty.07/person/year as against 60-70 liters in France & Italy.. Inc.. and Rest of World. Suntory Ltd. Overall marketing manager must use management science and decisions making technology to the fullest while understanding the limitations of these tools. Rum. Asia-Pacific. and William Grant & Sons Ltd. Ltd. OST Alko OOO. Ltd. Bacardi & Co. The report profiles 611 companies including many key and niche players worldwide such as Asahi Breweries Ltd. Sang Som Co.. Fortune Brands. Remy-Cointreau. Brown-Forman Corp. The major product segments analyzed are Brown Spirits (Whisky.. Pernod Ricard Group. Liqueurs & Other Specialties. White Spirits (Vodka. Annual forecasts are provided for each region for the period of 2000 through 2015. Jinro Ltd. Takara Shuzo Co. 25 liters in US and 20 liters in Australia. The branding is also necessary from companies share point of view and for export purpose. guarantee and service policies. Latin America. Tanduay Distillers.. Europe. inventiveness and judgment. Ltd. & Brandy). Inc... Campari Group. He should also provide guidelines..
place and promotion. But first go through the whole study and understand different products in liquor and the industry type in that particular segment. The gross national income of India has risen.e Product. let us talk about the finding and conclusion of the project. price. . About half of the Indian population meets the minimum drinking age of 21 years: how ever the number is greatly increasing as the Indian population matures. To find out the market leader in semi premium range of whisky To understand the actual market size of the industry specially in the particular segment and growth factor To know the major marketing efforts including the operation along with 4p’s strategy i. Those 24 million who have attained college level degrees making up. OBJECTIVE To determine the future of USL in premium segment in Orissa market. Now as the objective of the study is clear now.
While the beer and liquor market continues to grow at an impressive rate even against an economic recession. which manifests itself in anti-growth state policies. Domestic Industry However. Shaw Wallace and McDowell (part of the UB Group) presently dominate the liquor and beer market. the MNCs as well as the domestic majors . there is a vast country liquor market and a sizable grey market to contend with. 60. ‘drinking’ has remained a bad word. clubbed with the other vices.INTRODUCTION TO LIQUOR INDUSTRY THE LIQUOR INDUSTRY IN INDIA In India. The market on its part is set to undergo a sea change with the arrival of MNCs. Even as the liquor manufacturers could hope to garner the people who are shifting from beer to liquor. remains as costly as ever. The foreign bottle. beer is losing ground to hard liquor in India. therefore. Latest Trends To survive in the highly competitive environment. the Rs. In sharp contrast to the trend the world over. The MNCs looked forward to good business after the removal of QRs but the Government nullified it by slapping new taxes.0 Billion organized beer and liquor industry has been growing at an impressive rate. The removal of quantitative restrictions (QRs) on the import of bottled alcoholic beverages only makes the competition tougher. the current trend is that lager beer is giving way to strong beer. Amidst beers. the social stigma remains in place. United Breweries (UB).
The domestic majors are also reorganizing their operations so that they can forge a deal with an MNC if the need arises. The brewers argue that subjecting beer to the same level of taxing. Two Century later farmers. Several such deals are already underway while more are in the offing. They cannot transport their products from a market that has excess capacity to one where there is a short supply. The taxes on alcoholic beverages are some of the highest in the world. which is often a mixture of white wine and fruit juice.are coming up with various strategies. Another trend that seem to be catching up is the consumption of “Coolers” by the discerning connoisseurs. “Coolers” is typically a cold drink (or cocktail). Whisky History .The beginning of Whisky What a lot of people do not know is probably that alcohol was first invented in the 10th Century by Arab alchemists. UB. which recently took up a major revamp. But the fact that this finds mention in most of the wine and recipe related sites helps us to arrive at the conclusion that the trend of consuming “coolers” in its various combinations is indeed catching up. In some states it works out to as high as 200%. They are lobbying to have beer delinked from IMFL so that the taxes will fall. This puts tremendous pressure on the industry players. monks . Acquisitions and alliances appear to be the order of the day. Problem Areas What plagues the industry most is a very complicated set of laws and taxes. has said it is willing to offer a 25. since the alcohol content in beer is very low. For instance. Each state has a different excise duty structure. As of now there is no definitive data available on the consumption front for “coolers” either globally or locally.0 percent stake to multinational liquor major. This technique was found when trying to make cosmetics and perfume as Arabs do not really have the need to drink alcohol. But soon the techniques where taken to Spain and then spread throughout Europe. import and export levies and other regulations regarding licensing fees and sales of new brands. prices will plunge and consumption rise. as hard liquor is uncalled for.
The timing of this was very vague and is believed to be around the middle of the 11th Century. Of course this did not go down well and a lot of illegal whisky was beginning to be produced. Scotland or Ireland ? Well distilling was brought to Ireland by St. It was then discovered by accident when a cask was forgotten about in the mid 18th century and when the owner of the cask tasted the whisky he found that the whisky mellowed after ageing thus the process of ageing began and why we have whisky maturing now for years just to have the correct taste that we all love. Other facts regarding the history of whisky. This is when I would say whisky finally came to Scotland. But more penalties were brought in to reduce this illegal trade and smuggling of whisky. This was because the crop was easy to produce (barley and oats). Scotland and England join parliaments and soon after taxes were introduced on distilleries and malts. But then came the Act of Union.and university scholars where making alcohol from grape and grain or really any produced that were available to them with ease. So the whisky had a raw taste. In the early years of whisky there was no period of ageing and after the whisky was distilled it was consumed. . but really were only sold to local people in each of the farming communities. In 1707 and the Act of Union. At the start of the 17th Century whisky distilling in the Scottish Highlands was massive with nearly every farmer joining in with the making of whisky. People will always argue about where whisky was invented. Patrick in 432AD. This was when whisky became massive in Scotland. As you can see there is a lot of time between the two dates. but the first written recording of it being sold was in Scotland 1494 and it soon became widespread as knowledge spread on how to distil whisky and soon afterwards nearly every farmer in Scotland became a maker of whisky. The penalties where very steep and in a very short space of time this practice nearly disappeared. Over in Ireland at this time monks really became the first to distil what we know as whisky when they used fermented barley. Over this time with the travelers going between Ireland and Scotland this process spread quickly and whisky was starting to be produced by all the local farmers. The Celts could be the first to produced whisky as they named their liquid usquebaugh which means ‘water of life’ and the word whisky also comes from the Gaelic word 'Uisga'.
though India has traditionally been thought to lack a domestic drinking . Over the coming years the whisky industry will keep growing and the making of this site all help the process. Hence why this website is about all the whiskies in the world and not just relating to whisky in Scotland and Ireland. Generally whisky was really only sold within Britain. This would help get the whisky to the marker quicker as the transport network was very poor in these days. It was not until excise act of 1823 when taxes fell with the reducing of duty was reduced by 50%. distilleries began to be built within this area. Scotch style whisky is the most popular sort of distilled alcoholic beverage in India. Also with it being sold worldwide other countries producing there own whisky. So with all the distilleries at this time present in the Highlands of Scotland and the main population in Scotland being in the Glasgow and Edinburgh area. With the history of whisky very vague it really has been adopted by Scotland and is one of Scotland biggest export with it being consumed in nearly every country in the world. There is such a large market place for whisky that there is enough room for everyone to take a slice of the action. So illegal distilling was still happening and with the government really cracking down on this production the ‘smugglers’ tended to move all there distilling production to small islands around Scotland where they were very unlikely to be discovered. My own thoughts are Scotland and Ireland are both massive within the whisky industry and both have to keep growing Indian whisky and Scotch whisky The drinking of Scotch whisky was introduced into India during the nineteenth century. With regards to Irish whisky they have some amazing brands and deserve so much credit. There exports are always growing. This cut down massively the operations by smugglers and the whisky industry became legal once again.It was not until the late 1700’s when whisky became very profitable because of the improving farming methods. but as time when on it spread around the world and is sold in most countries. But with taxes very high still and so many costs involved it was hard to keep this as a profitable business. during the period of the British Raj. and the merging of certain distilleries this will keep growing also.
including "Bagpiper".1 Signature Bagpiper Seagram’s Blender's Pride Royal Stag Imperial Blue Royal Challenge Director's special Colonel's Special Officer's Choice Solan No. and the partially malt based "Mc intosh" suggest that the inspiration behind the Indian whiskies is Scotch whisky. 90% of the "whisky" consumed in India is molasses based. despite these products being chiefly made from molasses. 1 Black Knight Red Knight Aristocrat Bennie’s Fine Whisky Green Label Senate Diplomat Delight Fine Whisky Malabar Malt Whisky Cosmopolitan THE INDUSTRY STRUCTURE . Whisky. Indian Whisky Brands McDowell’s No. however. "McDowell's No. has become fashionable for wealthier Indians.culture. although India has begun to distil whisky from malt and other grains. 1". Brand names of Indian molasses whisky. and as such the market for whisky among affluent Indians is one of the largest in the world.
brandy. The low-priced RS segment is quite price-sensitive and characterized by the presence of a number of small players. the market grew at the rate of 10-12%. PERCENTAG E WHISKY BRANDY RUM WHITE SPIRIT .With a size of over 159million cases in fiscal year 2009(each case has 12 bottles. Last year (2009). ENA-based products. The IMFL market is categorized primarily into whisky. vodka and gin. with market share heavily skewed towards whisky. rum. DIFFERENT LIQUOR WHISKY BRANDY RUM WHITE SPIRIT PERCENTAGE% 58 17 20 5 As we can see the industry has been witnessing an annual growth rate of around 10-12% over the past five years. each containing 750 ml of liquor). the IMFL industry can be broadly classified into products based on Extra Neutral Alcohol (ENA) and Rectified Spirit (RS). which are of better quality and have a longer shelf life. are the focus of main players like the UB Group and Shaw Wallace.
KEY DRIVERS FOR THE GROWTH OF LIQUOR INDUTRY IN INDIA INCOME GROWTH India is one of the fastest growing economies in the world with GDP growth of 9% & 6. boosting demand for lifestyle products including alcoholic beverages Rural economy is likely to see big upsurge in income levels due to various government initiatives 120 100 80 60 40 20 0 1989-90 2001-02 2009-10 low (< $1000) lower middle (# 1000) Middle High (> $2000) INCOME DISTRIBUTION MILLION HOUSEHOLD . Per capita income has increased from US$ 450 in FY01 to an estimated US$ 781 in FY09 Growth in per capita income to drive discretionary income growth at much higher pace than the GDP growth.8% over the last two years.
demand for alcoholic beverages is set to rise .YOUNG DEMOGRAPHICS More than 60% of India’s population is in the age group of 15-64 Nearly 485 million people in the drinking age Another 150 million are likely to be added to this target population in the next 5 years Following these favorable demographics.
UNDERPENETRATED MARKET SPELLING HUGE GROWTH POTENTIAL India’s per capita consumption of alcoholic beverages is among the lowest in the world A small increase in per capita consumption to significantly alter industry growth. given the large population base .
REGION WISE CAGR ALCOHOL SALES GROWTH FOR LAST 10 YEARS India is the fastest growing liquor consuming market in the world and offers tremendous growth potential in future .
GROWTH IN IMFL CATEGORIES PERCENTAG G E ROWTH WHISKY BRANDY RUM GIN VODKA .
SINGLE MALT BLACK DOG. The official figure of the number of BO Scotch sold is 85.000 and 500.GILBEYS GREEN/WHITE. constituting nearly half the volume of the total whisky market. While estimates for the BO Scotch sold through legal channels stood at 110.Bottled in India (BI) and Bottled in place of Origin (BO).BAGPIPER GOLD WHISKY PETER SCOT. Bottled imports of Scotch are still not permitted.ROYAL STAG WHISKY.000. LONG JOHN. in a couple of years. The regular segment is the largest. India will have to allow bottled imports of Scotch and reduce duties to around 150%. Having signed the WTO agreement. at import duties of approximately 240%.1.000 cases per annum. ROYAL CHALLENGE ANTIQUITY. prestige. smuggled imports have been estimated at between 300.000 cases per annum. SUBCATEGORIES WITHIN WHISKY MEDIUM REGULAR PRESTIGE PREMIUM DELUX SCOTCH GROWTH RATE 46 -3 11 18 65 -15 KEY BRAND HAYWARDS WHISKY DIRECTOR’S SPECIAL.The whisky market is further classified into categories like medium (cheap). .BAGPIPER McDowell No. super deluxe whiskies. 100 PIPERS. JOHNIEE WALKER The Scotch segment consists of two categories . but bulk imports are allowed. regular. and Scotch whisky. premium.
the largest spirits company in India. which had sold 96 million cases last year. pointed out. U. The Indian spirits industry today is pegged at 236 million cases and USL has a 59%market share in India in the segments it operates in. USL alone contributed about Rs. The retail sales value of the spirits portfolio of USL for the 100 million cases sold was Rs. Mallya also proposes to unveil a new vision on the company's plan to sell 200 million cases in future.United Spirits Now World's 2nd Largest Spirits Company Vijay Mallya-owned United Spirits Ltd (USL).000 crore to government revenue by way of excise and other levies. The flagship company of The UB Group announced that it has crossed the milestone of clocking sales volume of 100 million cases (each case consists of 9 liters) for the fiscal year ended March 31. It is coming under UB group. United Sprits have created a new history in the world of beverage alcohol by selling 740 million cases in about a quarter of a century.United Breweries (UBL) contributed Rs.'s Diageo is the world's largest spirits company with annual sales of 111 million cases.000 crores and the group's beer division . 18. 30. We are certain that our additional sales in the next financial year will take us to the No. he said. marching ahead of Paris-headquartered Pernod Ricard." Dr. . 1 position globally.8. is now the second largest spirits company in the world in volume terms. The UB Group.200 crore in sales. Chairman. 2010.K. Vijay Mallya.
however.Mallya . MISSION & QUALITY STATEMENT We constitute a large. fertilizers and civil aviation to pharmaceuticals. beer. We will be a major contributor to our National Economy and take full advantage of our strong resource base. The company recently acquired Tern Distilleries in Andhra Pradesh and set up a Greenfield malt spirit plant in Nasik in Maharashtra.2 billion corporate conglomerate with business interests ranging from spirits. We associate with world leaders in order to adopt technologies and processes that will enable a leadership position in a large spectrum of activities. talents and ideas to a never-ending process of improvement and innovation in all aspects of our business. QUALITY STATEMENT Quality leadership is vital to the long-term success of the UB Group in an increasingly competitive marketplace. We will always be the partner of choice for customers.USL is aggressively moving up the value chain for premium spirits and is upbeat about the economy and increase in consumer demand over the next few years. To exploit growth opportunities. are aware that UB is a silent crusader in the field of community services in its own committed way. employees. USL has undertaken a massive capacity augmentation through a robust capital investment plan of over Rs 650 crore. Few. The UB Group will work to provide products and services that always meet or exceed expectations Management will commit resources and create an environment in which each employee can contribute skills. engineering. Building quality into our workplace. We commit ourselves to the ongoing mission of achieving Scientific Excellence. We seek to be the most preferred employer wherever we operate. global group based in India. products and service is essential to a successful future for our customers. suppliers and other creators of innovative concepts. We will continually increase the long-term value of our Group for the benefit of our shareholders. CORPORATE SOCIAL RESPONSIBILITY The UB Group is known as a large USD 2. The Group has over the years emerged as a socially responsible corporate citizen. We will operate as a decentralized organization and allow each business to develop within our stated values. supplier’s communities and shareholders. We recognize that our organization is built around people who are our most valuable asset. Its keen pursuit of activities in the field of Life Sciences has led to the setting up of a super specialty hospital . We are focused on assuming leadership in all our target markets.
8 4 . though both are considered to be relatively passive. The hospital boasts of multi-specialty disciplines and is the first such hospital in India to be awarded the ISO 9002 certification.Hospital at Bangalore. operating through McDowell & Co.BAG PIPER ETC. In June 1991. Subsidized health care is given to the under privileged class of society by providing a general ward which is reserved for them. GREEN LABEL. the Mallya Hospital was inaugurated in the central business district of Bangalore in a multi-storied complex with excellent medical equipment and best medical consultants. It was initially a 150-bed hospital. MCDOWELL. and Herbertsons. which has grown into a 450-bed hospital of which approximately 50 beds are for critical care. COMPANY USL MARKET SIZE (MN CASES) 34 BRANDS BLACK DOG. PLAYERS IN THE LIQUOR MARKET The UB group.ROYAL CHALLENGE.ROYAL STAG UDV BACARDI SEAGRAM 3 0. ANTIQUITY. SMRINOFF BACARDI RUM BLENDRS PRIDE. Mohan Meakin and Jagatjit Industries (both located in the North) are the other important domestic companies. are the leaders in the IMFL market. followed by SEAGRAM.
AWARDS & RECOGNITION • • UB Group wins US patent to market diet whisky and vodka UB Group awarded the prestigious Asia Star award for excellence in packaging & design. SWOT ANALYSIS STRENGTHS Well established consumer market Widely recognized market Consolidating growth OPPOURTUNITIES Collaboration with foreign companies R&D since the company has strong capital .
WHISKY consumption in the country increased 12-14% per year. In every field there is competition and the success of any company or product largely depends upon competition. The products which are floating in the premium segment spirits are as follows: Antiquity Blue Antiquity Rare Royal Challenge Signature Rare Black & White . In liquor industry too the competition is there. in premium segment: Generally the spirits product in the premium segment are the perfect blend of aged scotch whiskies. then it has to face throughout competition.WEAKNESS Diversification Heavy taxation & Government control of product Distribution THREATS Stiff competition by the foreign Breweries entering into India. Product of United spirits Ltd. set up recently by two Non-resident Indians from USA. The increasing awareness and exposure to beer among customers and the removal of new companies like future wine and spirits brand (P) Ltd (FWSB). If a company has to survive in the market. These are popular among its customers for there finest Blend of rare scotches and selected grains. Premium Segment IntroductionTo day’s world is the competition. Competition provides a good quality of product to the customer.
and Pernod Ricard. was a large corporation headquartered in Montreal Quebec. a distillery was founded in Waterloo. as is often done. Seagram & Sons. Toward the end of its independent existence it also controlled various entertainment and other business ventures. Peter Scot malt whisky. notably PepsiCo. Seagram (1919). Signature rare are the scotch whiskies of United Spirits Ltd. in part due to Prohibition in the United States. Diageo. it is not correct to say. Many decades later. and it prospered accordingly. which enjoyed substantial growth in the 1920s. In 1928. since the Seagram name itself pre-dated the company he founded. However. The Seagram assets have since been acquired by other companies. . The Seagram Building. The Blenders pride of Seagram is the only product which fetches the market and gives strong competition to USL product in this segment. the Distillers Corporation acquired Joseph E. in Montreal. The company was well prepared for the end of Prohibition in 1933 with an ample stock of aged whiskeys ready to sell to the newly opened American market. Joseph E. The former Seagram headquarters in Montreal now belongs to McGill University. Thus despite its earlier Waterloo history. the company's American headquarters office tower at 375 Park Avenue in New York City. Samuel Bronfman founded Distillers Corporation Limited. Ontario. Seagram became a partner in 1869 and sole owner in 1883. a few years after the death of Joseph E. Here Blenders pride is the product of Seagram’s and the keen competition is in between Seagram and USL. Canada that was the largest distiller of alcoholic beverages in the world. Seagram & Sons. Blenders pride DYC Rare crafted whisky Haig Gold label Blended Scotch whisky. the Seagram name is most closely associated with the Bronfman family. and took over the Seagram name. and the company became known as Joseph E. that Samuel Bronfman founded Seagram. was designed by architect Ludwig Mies van der Rohe with Philip Johnson. Among these above products Antiquity is the value scotch & Royal Challenge. under the name Martlet House. n 1857. MAJOR COMPETITOR PROFILE SEAGRAMS The Seagram Company Ltd.
On April 6.. There are also almost 5 acres (2. MCA. Bronfman was Chairman and Chief Executive Officer (CEO) until June 1994 when his son..3% stake in DuPont accounted for 70% of Seagram's earnings.2 billion takeover of important French cognac maker Martell & Cie. club soda and seltzer water) from Pernod Ricard and Diageo. Seagram Company Ltd.After the death of Samuel Bronfman in 1971. Seagram also gained control of a number of Universal theme pars. PolyGram. Seagram lost out in the Conoco bidding war. wanted Seagram to branch out into the entertainment business. Bronfman. Jr. In 1986. 1995. DuPont announced a deal whereby the company would buy back its shares from the Seagram company for the amount of $9 billion. grandson of Samuel Bronfman. In 2001. Jr.2% stake in Conoco.. Seagrams engineered a $1. was appointed CEO. as well as signing a long term agreement to use the Seagram's name from Pernod Ricard. Seagram's Ginger Ale was named the winner at the 2009 World Cup of Ginger Ale in Chicago.3% owner of DuPont.2 billion of long-term debt. The building is now the home of the Centre for International Governance Innovation. and Deutsche Gramophone. By 1995 Seagram was DuPont's largest single shareholder with four seats on the board of directors. In 1997. used the proceeds of the sale to help acquire Universal Studios. Jr. the Seagram Museum. tonic water.. The rationale for this divestiture was that Edgar Bronfman. By the time Vivendi auctioned off Seagram's drink business. formerly the original Seagram distillery in Waterloo. The two original barrel houses are now the Seagram’s Lofts condominiums. and the beverage division by Pernod Ricard. Edgar M. was forced to close due to lack of funds. Seagram's was heavily criticized by the investment community—the 24. In 1981. In 1987. But in exchange for its stake in Conoco Inc. Jr. Edgar Bronfman.. a major American oil and gas producing company. controlling interest in Seagram's entertainment division was acquired by the Vivendi Group. DuPont was brought in as a white knight by the oil company and entered the bidding war. Seagram rose from fifth place among distillers to first in just two years. engineered a takeover of Conoco Inc. cash rich and wanting to diversify. Standard & Poor took the unusual step of stating that the sale of the DuPont interest could result in a downgrade of Seagram's more than $4. after being approached by Edgar Bronfman. With rising star Bruce Willis as pitchman. it became a 24. beyond its original high-profile brand names the once renowned operation consisted of around two hundred and fifty drinks brands and brand extensions. The Coca-Cola Company acquired the line of Seagram's mixers (ginger ale.0 ha) of land that will be the home of the future Balsillie School of International Affairs In 2000. Although Seagram acquired a 32. In the end. . the company started a memorable TV commercial campaign advertising its Golden Wine Cooler products.
The Scotch that goes into Royal Challenge is imported from Scotland. Pernod Ricard announced that they would be closing the Seagram Lawrenceburg Distillery located in Lawrenceburg. Getting the marketing mix right is equally important for the large corporation and the small business owner. One of the most critical marketing management decisions is that decision of setting the marketing mix value.and so on. where it can be sold. Indiana. how to equip the people who are responsible for selling the product…. how it will be promoted. This is a tool whereby the marketer takes decisions on what and how a product should be. Study of 4p’s of the product: PRODUCT As we discussed above we take the product Royal challenge of USL and selecting Blenders pride from the Seagram’s. earlier known as the 4’ps is a vital part of any marketing strategy. and selecting and employing strategy that periodically change that marketing mixes in response to changing business environment. Product Notes: Royal Challenge Premium Whisky is a blend of rare Scotch and matured Indian malt whiskies. Clean Extra Neutral Alcohol and Plain Caramel and FDA . where distilling of this spirit has a tradition of over 500 years.. 2006. how it should be priced . The Marketing MIX: ingredients for success The marketing mix.On April 19. Varying proportion of selected Indian Malt Spirit. This rare Scotch and matured Indian malt whiskies are then crafted by the Master Blender to give Royal Challenge its inimitable taste and distinctive character.
Royal Challenge is the pioneer and sole sponsor for Strategy summits conducted in the country today û inviting great names like Philip Kotler. Aiming to attract a newer audience to the brand. the premium brand sold 98 lac cases. RC also conducted a tournament for the Armed forces with the participation of 900 plus players. the team is confident of taking their flagship brand to newer heights. unique and truly international packaging.and State Exercise approved flavors and essences are blended under close supervision and strict quality control so as to get overall roundness and typical organoleptic characteristics to the blend About Estate: Royal Challenge is the biggest and the best selling premium whisky in the country today. in view of the fact that the brand enjoys a 62% market share in CSD. which is square at the bottom and round at top. Edward Debono. Michael Porter and Don Peppers in course of the last two years. From the beginning the brand has been known for its consistent quality and best blend. Deepak Chopra. Royal Challenge is on a steady growth path. Currently it enjoys more than 58% of the market share. In 2005. RC is a prime sponsor of Golf in the nation. and. registering a growth of Royal challenge “Game for Life” . Last year the brand rejuvenated itself with a new.
. NIP) of this brand. other general outlets are procuring all the pack sizes(QUART. pubs and hotels are procuring only in QUART sizes which is the pack of 750ml.e 180ml pack which is called as NIP. Bars. The premium clubs.AWARDS WON BY ROYAL CHALLENGE: INTERNATIONAL TEST AND QUALITY AWARD BRUSSELS 2006 WORLD BEVERAGE COMPETITION USA 2006 INTERNATIONAL SPIRITS CHALLENGE MONDE SELECTION UK 2006 BRUSSELS 2006 Royal challenge is available in three different sizes in market i. PINE. 375ml pack which is called as PINE & 750ml pack which is called as QUART.
which led them to call the spirit Blenders Pride . Master Blenders Patrick Joseph Loots and Abby Stephen decided to roll out one particular whisky from the cool cellars of the distillery and expose it to the warmth of the setting sun at regular intervals. The delicate sweetness and aromatic flavor of the blend is testimony to the spectacular success of their experiment. An inspired piece of thinking led to the creation of this classic mellow blend.BLENDERS PRIDE Seagram's Blenders Pride Rare Premium Whisky is a result of over 140 years of Seagram's great tradition of blending fine whisky. On a hunch.
this bliss in a bottle is the perfect thing to enjoy after a hectic day at work. the smoothness. It should shake off all the fatigue of the day. I have always believed that whisky is a drink that tells you about its quality with its first sip. And I assure you that the very first sip of Blender’s Pride is the best review for this whisky. pubs and hotels are procuring only in QUART sizes which is the pack of 750ml. You should be elated.Seagram’s. other general outlets are procuring all the pack sizes(QUART. the exhilarating feeling.. Whisky should be easy to pass through your body. let me introduce you to the pleasure of taste and finesse Blender’s Pride! True to its name. It is also available in three different sizes in market i. In other words. I believe that Blender’s Pride is a whisky that is most aptly suited for the Indian connoisseur. Secondly. it is pure joy. For scotch buffs who believe that Scotch whiskies are the only worthy drinks in the world of whisky. For people who agree with me. PLACE: Place is regarded as an important factor when marketing mix coming into picture. The premium clubs.450-Rs. Bars. Lastly. whisky should be relaxing.. 375ml pack which is called as PINE & 750ml pack which is called as QUART. NIP) of this brand. But this whisky is strictly meant for people who believe that whisky is a ’’gentleman’s drink’’. West Bengal and . you learn to enjoy the whisky. whisky should be refreshing. PINE. Right from the first sip. I honestly feel that getting drunk is an insult of the drink. As for a review.. the smoothness. whisky tells you about its quality right from the first sip. The Indian blend I could find closest to the traditional Scotch. It is bound to convince you that you have at last found the ’’perfect’’ blended whisky. except in Maharashtra. for people who know when to stop. The tingling taste. this is one whisky you should not miss! The biggest plus point of this whisky is the relaxed feeling it gives you.its everything that a shot of whisky should have..First is of course. not drunk! Once you master this art of drinking.e 180ml pack which is called as NIP. as I said earlier. But in the trade of liquor the distribution of it is controlled in many states.500(Premium Whisky Range).and others learn to enjoy your company. this whisky is really a matter of pride for its makers . Priced between Rs..
In the case of distribution through government channels and distribution rights through the auction mechanism. PROHIBITION STATES Gujarat. This system operates in Punjab. In the government controlled system. MP. delhi. strong distributors exert influence on the margins of the IMFL manufacture. BEVCO in Kerala. Manipur.Assam. The license would go to the highest bidder. Rajasthan. West Bengal. Assam. the DSDIC in Delhi and so on. Where companies can sell their products freely in the open market. since these agencies are sole whole sellers. the distribution of liquor is done through state agencies such as TASMAC in Tamilnadu. Goa. States following the open market mode gives substantial leverage to the IMFL marketing company choose its distributor and to determine pricing and discounts. Chandigarh. they also have the ultimate say in deciding on the entry of a brand into the state. Under the auction system the government fixes a floor price for the shops and the bidders have to quote the prices. and the bid price would have to be paid in equated monthly installments. Kerala. Rajasthan. OPEN MARKET: Maharashtra. Tripura. Uttar Pradesh and Madhya Pradesh. government-controlled markets and the army’s canteen stores department. Haryana. Mizoram. Bihar. GOVERNMENT CONTROL Tamil Nadu. AUCTION MARKET UP. Andhara Pradesh. Arunachal Pradesh. Meghalaya. open market system. Punjab. Orissa. Jammu & Kashmir. More over to say they operated into an oligopolistic market. Distribution controls take various forms like auctions. The Andhra Pradesh beverage corporation in AP. Bihar. So these restrictions seriously limit the free availability and marketability of a company’s product. Nagaland .
As society shifted from producing things in the home to buying goods manufactured in centralized locations. there arose a need for some means to distribute the products from the central points of production to the dispersed populace. Place Ownership Time Marketing institutions must move the goods from point of production to the point of purchase i. So by summarizing the things we can conclude that the company can place its products in following points. Marketing channels funnels the goods demanded by the consumer to the place where he wishes to purchase them. and create three basic utilities. consumption.Channels of distribution producer and the consumer. because goods will have no value to the buyer if they are still in hands of manufacturer marketing channels arrange for the transfer title of the goods from the manufacturer to the buyer. It is available in many states. Tremendous amount of time and money would be expended in just acquiring the minimum amount of goods one would need for survival. viz. This creates ownership utility.e. This creates place utility.Distribution Channel: Distribution channels those systems of economic institutions though which a producer of goods delivers them into the hands of their users. Company location Transportation facility Availability of raw material PRICE: .
that it gives strong competition to the existing leader in the market. Viz.53 130. Pricing always should attract the customer and customer should never feel cheated by the price.89 5829.76 517.31 261. Pricing strategy should be of such type.00 121.00 20.e 180ml pack which is called as NIP.00 20.28 6214.69 5802.50 4319.The Royal Challenger of the United spirits Ltd. 375ml pack which is called as PINE & 750ml pack which is called as QUART.00 3989.27 5212.00 20. As we have taken the two products of two different rival companies in the same premium segment whiskies.50 4273.Again pricing is the most tactful strategy which is given due consideration while deciding the marketing mix strategy.00 20.23 5178. customer should feel happy for the price he have paid for the product.96 5846.00 518. Product Issue price (rupees) Landing Price (rupees) 4858.88 Retail Margin MRP/Bottle (rupees) MRP/Case (rupees) MRP/Bottle (Rounded) (rupees) 121. N.00 262.46 243.24 4835.00 484.00 . Pricing plays an important role in promoting a new product in the market.00 244. In the initial stage price should be low and as the product gains reputation in the market the price should be hike a little.33 6254.00 130.21 5235. Pricing should be favorable for the consumer.00 20.65 Royal Challenge(180) Royal Challenge(375) Royal Challenge(750) Blenders Pride(180) Blenders pride(375) Blenders pride(750) 4008.61 483. The findings and data analysis are given in the chapter of findings & data analysis.All the liquor items of all companies are available in three different sizes i. So from the table which is given below we can see that the prices of the Seagram’s Blenders pride brand is little high than the prices of Royal challenge of United Spirits.30 4872.00 (rupees) 20.65 6282.. And The Blenders Pride of Seagram’s the product & price listings are given below.50 4300.B.50 4020.
or a tie-in with on premises. These can be stated by these following points. designed to encourage fast consumer or trade up-take of a product or service. and on the imagination of the product management team. techniques and activities are mixed and matched to meet the needs of the individual marketing campaigns. Promotion includes advertising and other forms of sales presentations. or sampling. Alcohol is subjectively evaluated & hence branding is essential. The form of any promotion depends on the product. Branding by enforced Innovations is the another restraint for the promotion of the liquor products. the marketing plan and its objectives.PROMOTION: Promotion is also an important sector to look upon. It can vary from a simple in-store demonstration. A range of promotional tools. . Because it is the thing which directly affects to the sales of a company & we all know that sales is the only source through which one company gets revenue & profit as well for its operation.
for Royal Challenge of united Spirits & blenders Pride of Seagram’s. has done many promotional activities for the sales uptake of this brand.” . Royal Challenge United Spirits Ltd. As the name speaks the brand lovers are denoting to those personalities who ready to take the challenges of life-“Game For Life. Highly regulated environment: ban on advertisements Brand extension In promotional aspects the communication should meet the standards and conditions of the CIABC(Confederations of Indian Alcoholic Beverages Companies) In following lines we discussed the promotional activities of the both the product we undertake for our survey i.e.
So it is present as aspiration values. Promotion Techniques: Sponshorship of events- . rising upto overcome all challeneges in life. Royal Challenge also partners with Force India Formula One team& other T20 teams like Delhi Daredevils and Kings XI Punjab. has been specified as the most important factor in influencing consumer’s demand.Brand image highlighted through association with relevant events and sponsorships. The barnd echos the values of wining.Royal challengers Bangalore or RCB is a classic example of surrogate marketing. Surrogate advertisements are banned in India but the IPL Bangalore team.Thois aids in highest brand recall as many cricket enthusiast go to sports bar and pubs for watching matches.
The iconic rock star performed live at the MMRDA Grounds in Mumbai on Sunday.000 fans in Bangalore. The Roger Waters Dark Side of the Moon concert tour was in India sponsored by Royal Challenge & DNA Networks. He was here last in 2002. co-founder and creative genius behind Pink Floyd. As you can see in the picture beside that the famous Indian cricketer Kapil dev had been taken part n this golf championship. Again in February 2007 and Mumbai rocked to the sound of one of the greatest rock legends of all times -Roger Waters. . February 18th! This was Waters’ second performance in the country. when he enthralled more than 30. It is regarded as the first ever Indian sponsored Asian golf championship. It is the attributes the brand stands for.-Royal challenge golf tournamentRoyal challenge golf tournament shows the association with golf helps impart an aura of sophistication and premium ness.
It helps the consumer to recall the great heroes by their great personality. Though agreed an organic range appears a little more expensive than the usual. Communication through internet is very important. It helps in creating stronger bond between the customers and the brand. but people don’t know how to contribute. PRINT AD’S COMMUNICATION: Ad’s featuring some of the biggest heroes in European dynasty-Alexander great. Napoleon Bonaparte. Here is some insights on organic clothing: we know organic clothes would give you images of clothes that are not stylish & fashionable.There is a lot of awareness among today’s youth regarding the environmental issues. green & healthy. Julius ceaser. . INTERNET ADVERTISING: Web sites are launched to focus on brand’s association with different activities.royal challenge all 4 golf contest by joining hands with the leading contesting website. RCB is there for its fans in their endeavor to Go Green. In fact entire fashion shows across fashion capitals of the world are going green. Start using eco-friendly articles like organic clothes and eco-friendly bags like jute. today organic & alternative fibers have come a long way and some of the biggest fashion labels across the globe are going organic. cotton bags rather than plastic bags.“contest 2 win” this attributes stands for the sophistication and premium ness. but after all the extra pay will go a long way in keeping our environment clean. But these imaginations were probably true a decade ago.
COMMUNICATION: Royal Challenge is the flagship brand of United Spirits Ltd. known for its consistent quality and blend. Royal Challenge. has won millions of hearts over the years and continues to do so. . Royal Challenge is a millionaire brand with a commanding market share! Royal Challenge communication strategy is built around the brand’s philosophy – REAL WINNERS LOVE REAL CHALLENGES – and is inspired by the real winners of today. Today.OFFERS & CONTESTS: Royal challenge also provides offers to its customers like on some special occasion if you take 2 pegs of it then you got another peg absolutely free. It's also the largest selling brand in the premium whiskey segment in the country. 5 lakh. Again for other consolation prizes the winners got a chance to meet the royal challenger’s players. During the time of IPL also it has a scratch card contest in which the lucky winner got a golden bat which is worth Rs.
or catch them on TV.These are young. He's got some lighthearted. which makes an RC consumer 'Game for Life'. The best of the National models showcased the . Royal Challenge has picked 12 DLF IPL stars who embody the winning spirit. and who play for the big stakes in their chosen profession or business. Blenders pride also do a lot of things for its brand building and brand promotion. It's all about winning by overcoming challenges. drive. ambitious and successful people with adrenaline-pumping interests in life. So more over to say with the help of various events and public relation initiatives it helps in create its distinct brand image in the eyes of its customers so it able not only to win the mind share but the heart share as well of the people. Royal Challenge offers its consumers a sense of unsurpassed privilege of being a real winner.RC for short.and some really wacky answers. The lighter side of challenge Since the winners of today are high-spirited. In a first of its kind. BLENDERS PRIDE As like as Royal Challenge. joke-a-minute character called Rapid Challenge Ravi Chandran . Watch videos on their inspiring stories on this site. no matter how big and daunting. It has created a lovable. achievements and zest for life. They thrive on bigger challenges. and are looked up to because of their energy. actress and other renowned personalities. Truly. Recently Seagram’s presented a one of its kind glitzy fashion show showcasing an eclectic collection by renowned designer Abhishek Dutta at Roxy. It has associated with many super models. The Park in Kolkata on Friday. cricketrelated challenges for you . Because only a big-time player can take on big challenges. fun-loving people.
. Now the blenders pride has a contest in which if you take two pegs of it then you will get a scratch card from which the lucky winner will get a chance to meet the famous actress Jacqueline Fernandez on a musical night. The showstopper for the show was Bollywood actress and former beauty queen from Sri Lanka Jacqueline Fernandez. It is also going to organize the Bangalore fashion week in the month of July. Previously Bipasha Basu walked the ramp for designer friend Rocky S on October 29th 2005 at the Seagram's Blender Pride Fashion Tour.ornate collection on the ramp while an enthralled audience watched with rapt attention. In which the famous model-actress Neha Dhupia walks on the ramp. 2009. Again it has organized one magical tour party on the month of September. 2010. who is presently riding high on the success of her.
or of a group. 2.It is the way to systematically solve the research problem.Exploratory research studies are also termed as formulative Research studies. Descriptive Research Design – Descriptive research studies are those studies which are concerned with describing the characteristics of a particular individual.” Research Methodology. 3. Exploratory Research Design . Types of research Design:1. In it we study the various steps that are generally adopted by a researcher in studying his research problem along with the logic behind them. The major emphasis in such studies is on the discovery of idea and insights.Research – Research is common parlance refers to a search for knowledge. It may be understood as a science of studying how research is done scientifically. The Advanced Learner’s Dictionary of Current English lays down the meaning of research as “A careful investigation or inquiry specially through search for new facts in any branch of knowledge” According to Redman & Mory “A systematized effort to gain new knowledge. . Hypothesis Research Design – Hypothesis testing research studies (generally known as experimental studies) are those where researcher tests the hypotheses of causal relationship between variables. The main purpose of such studies is that of formulating a problem for more precise investigation or of developing the working hypothesis from and operational point of view. As such the research design appropriate for such studies must be flexible enough to provide opportunity for considering different aspects of problem under studies.
If a population from which a sample is to be drawn does not constitute a homogeneous group. 4. Non probability sampling. In most of the research. Cluster Sampling.In case of non probability sampling it is considered appropriate to use a random selection process where the probability of each cluster being included in the sample is proportional to size of the cluster.If the total area of interest happens to be big one. process of obtaining information about an entire population by examining only a part of it. stratified sampling technique is applied in order to obtain representative sample. In other words. 2. Types of sampling:1. Systematic Sampling. This kind of sampling known as systematic sampling.The most practical way of sampling is to select every ith item on a list.Sampling may be defined as the selection of some part of an aggregate or totality on the basis of which a judgment about the aggregate is made. 3.Sampling. . a convenient way in which is sample can be taken is to be divided into smaller non-overlapping areas called cluster known as cluster sampling. Stratified Sampling.
SOURCES OF DATA PRIMARY DATA The primary data consists of original information for the specific purpose at hand. The tool used to collect the data may vary and was collected through various methods like questionnaire.VARIOUS PARAMETER USED IN RESEARCH Research Design Data Source Research Instrument Types of Questionnaire Sample Plan Sample Size Sampling Procedure - Descriptive Primary & Secondary data Questionnaire Structure and non-disguised Bhubaneswar. The sources from where and from whom I have collected my primary data are:• Direct interview of retailers and distributors . personal interview etc. It is first hand information for the direct users of respondents. Cuttack . Puri 84 Non Probability sampling (Judgment sampling) Sampling method- personal survey method through questionnaire.
• • •
Direct interview of consumer of alcohol Through questionnaire Through observation
Secondary data is the data which has already been collected and assembled. This data was available with the companies or firms and it was collected from news papers, periodicals, magazines, websites etc There are various sources from where I have collected the secondary data are:• • • • • Website Liquor journals like AMBROSIA Newspaper Articles From company data warehouse
DATA ANALYSIS & FINDINGS
RELATIVE MARKET SHARE OF ROYAL CHALLENGE & BLENDERS PRIDE IN PREMIUM SEGMENT:
M/S (2007-08) 25.46 47.63 19.02 M/S (2008-09) 26.68 44.58 17.33 M/S (2009-10) 33.19 46.63 20.16
2007-08 RCW BP OTHERS TOTAL 178 333 138 699
2008-09 234 391 152 877
2009-10 321 451 195 967
RCW-ROYAL CHALLENGE WHISKY (USL), BP-BLENDERS PRIDE (SEAGRAM).
27% RCW BP OTHERS 52%
Here in the above analysis we got the Relative market share of the whiskies with special reference to Royal Challenge of USL and Blenders pride of Seagram’s.
NO. OF CUSTOMERS
IS THE PRICE OF THE PREMIUM SEGMENT AFFORDABLE OR NOT
N . O C ST M S O F U O ER 70 60 50 40 30 20 10 0 58 N .O O F C ST M S U O ER 12 14
M IU ED M
H H IG
From the above table we can see the reaction of the customers to the pricings of the premium segment whiskies out of 84 customers 58 customers are saying it is neither in higher nor in lower side. 12 & 14 customers are saying the prices are quite low and high respectively.
OF CUSTOMERS FRIENDS 9 ADVERTISMENT 16 TASTE 36 STATUS SYMBOL 6 PRICE 17 NO. From which we got that it is taste of the product which influences most out of other factors like friend’s companion. status symbol & price. OF CUSTOMERS 40 35 30 25 20 15 10 5 0 N T N D S ST E O L M FR IE TA YM R IC E E B 36 16 9 6 17 NO. S TA TU D V S S P .WHAT INFLUENCE A CUSTOMER TO DRINK A PARTICULAR BRAND INFLUENCING FACTORS NO. advertisements. OF CUSTOMERS TI S ER A From the above table we can see that which factors are influencing mostly to the customers to have drink.
PU RC HA S IN G . So these factors should be encountered. premium hotels & pubs. OF CUSTOMERS 50 45 40 35 30 25 20 15 10 5 0 EN T CA SI O N O NM PO W ER EN JO YM EN T NO.REASONABLE FACTOR NO. OF CUSTOMERS O C EN VI R From the above analysis we got that what makes a customer to go the Bars. Because these are the premises in which the premium segments products are sold out heavily. OF CUSTOMERS ENVIRONMENT 46 OCCASION 12 PURCHASING POWER 7 ENJOYMENT 19 NO.
They are 63 in number out of 84. Here we have the most no. OF CUSTOMERS ONCE A WEEK 9 3 TO 4 TIMES IN A WEEK 63 EVERYDAY/FREQUENTLY 12 N . O C ST M S O F U O ER 1 2 9 O C AW N E EEK 3 T 4 T ES/ W EK O IM E EVER AY/FR U YD EQ E NL TY 6 3 From the above analysis we got the consumption frequency of the customer to the whiskies.CONSUMPTION FRQUENCY NO. So we can target those masses accordingly. . of buyers who takes whisky 3to4 times in a week.
AD PROGRAMME CONVENTION NO. .OF CUSTOMER YES 65 NO 19 NO.OF CUSTOMER 16% YES NO 84% The above analysis is based on the question “whether they agree with advertising programme and promotion affects the sale or not?” among which 84% say yes it affects and 16%say no it is not so.
OF CUSTOMERS TASTE 25 AROMA 3 BLEND 3 PRICE 21 STATUS 32 NO.O C S O E S O F UT MR 5 0 4 5 4 0 3 5 3 0 2 5 2 0 1 5 1 0 5 0 T SE A T A O A R M BE D L N P IC R E SAU TTS 3 2 1 5 2 0 TSE A T A O A R M BE D L N P IC R E SAU TTS 4 4 .OF CUSTOMERS 35 30 25 20 15 10 5 0 TASTE AROMA BLEND PRICE STATUS 3 3 25 21 TASTE AROMA BLEND PRICE STATUS 32 QUALITY FACTORS NO.OF CUSTOMERS TASTE 44 AROMA 3 BLEND 15 PRICE 2 STATUS 20 N .QUALITY FACTORS NO.
It is the Status & taste which affects the customers towards it. status & blend of the Blenders Pride which affect the customer. The first chart shows the analysis of Royal Challenge whisky and the quality which affects the customers.OF CUSTOMERS 37% YES NO 63% Here from the above analysis we can see that about 63% of customers are coming under the category of switch user.The charts which given in the previous page are the comparative analysis of the quality factors which affect the customer’s preference towards them. .OF CUSTOMERS YES 53 NO 31 NO. Again in the second chart it is the taste. While 37% remain to stay with their brand to whom we call brand loyal category of consumers. SWITCH ANSWERS NO.
LIMITATIONS: During the process of a research a person comes across certain restrictions certain limitations. it was impossible to cover each and every retail shop. Due to the wide area of the markets. Some of these limitations are overcome while come have to be overlooked for the smooth conducting of the research. retailers and consumer’s fear to come out with information. So the findings cannot be generalized as a whole. Some of those restrictions are: Liquor is such a product that the wholesaler. The report has to be completed with in a small specific time. So time was the major constraints in conducting the study. which is not enough time to cover the market. The study needs to complete within a specified time and in restricted areas. In this study it is not possible to collect the opinion of all customers owing to personal constraints. So the assumptions are drawn on the basis of the information given by the respondents. .
The company should send its marketing team to the market regularly so that the performance of the company in different brand can be evaluated and the ground truth can be evaluated like the real taste & preference of the customers etc. United Spirits Limited should thus focus on the following points. Again the retailers who sale the company’s products to the end customers or who acts like a medium between the consumers and company should be given due importance. . glasses and T-shirts. customers should be addressed and addressed at the right time and also the communication must be two way communications. the retailer and the Bar Attendants also play a major role. brand image and consumer demands are not only controlling factors of the sale of the company but the wholesaler. The consumer should get the brand he demands otherwise he shifts to other brands and frequent shifting affect the sales of company and the consumer could even change the preference of his brand. key-rings.RECOMMENDATIONS From the survey of retailer and wholesaler it is clear that not only brand positioning . EXTRA BENEFITS Since there are many firms operate in the market it is essential for the company to give extra benefits and gift to the whole seller and sales person at retail outlets to maintain good relation with them. The company can offer them free gift like playing cards. INVESTMENT IN R&D AND QUALITY IMPROVIZATION The company should invested lot of funds in the activities like research & development. They should fulfill the wholesaler so that product can be available in the retail market. BUILDING RELATIONSHIP WITH CUSTOMERS & RETAILERS Today the most important function of any business is maintaining a healthy customer relationship with customers. In return the salesman at the retail outlet creates the demand of the company brand. wine. PROFITABILITY As we have seen from the wholesalers and retailers view that they sell those products which earn them greater profit margins. Margins so that has more profit and in turn retailer also gets a greater profit margin. AVAILABILITY It is necessary for the company to maintain a regular supply of its products and brands. There fore the company should give the wholesaler greater profit.
QUESTIONNAIRE FOR CONSUMER Q. 5. 7.You consume Whisky…….. c) 35-45yrs..You drink usually at? a) Home b) Restaurant c) Bar d) Open space Q.Your age is……… a) 15-25 yrs. 6. b) 25-35yrs.Which type of Whisky does you prefer? a) Cheap b) Semi premium c) Deluxe d) Scotch Q. 10.Do you drink liquor? a) Yes b) No Q. 8.Do you think the price of the Royal Challenge whisky or Blenders pride Whisky is affordable? a) Low b) Medium c) High Q. 3.1.How much quantity of Whisky is consumed by you at one time? a) 1 quarter b) 2 quarter c) 90ml d) 60ml Q. 9.Who introduced you to drink Whisky? a) Friends b) Advertising Q. 2. Q. d) 45 & above Q. a) Once a week b) 3-4 times in a week c) Every day /frequently.What are the key factors that affect your purchasing decision? a) Price b) Brand c) Taste d) Status e) Aroma . a) Beer b) Whisky c) Rum Q.You take liquor in form of. 4.
. This questionnaire has given an insight about the taste and preferences of the customer ranging from high class to low working class.………………………………………………………….What influence a customer to go to Bars or other premium places. It helps me to understand the market size of various whiskies and other alcoholic drink. as compared to other existing brands? a) Friends b) Occasion c) Purchasing Power d) Enjoyment Q. The conclusions of the questionnaire are given above in the chapter data & analysis chapter. I sincerely thank the entire person who helps me by filling up the questionnaire. 13.Q. 15.Any suggestions for USL? ……………………………………………………………………… ……………………………………………………………………… Personal information Name-……………………………... 14. 12. .You feel after drink……… a) Relaxed b) Happy c) Tensed d) Angry Q..Your preference for packaging? a) Glass Bottle b) Plastic Bottle c) Tetra packing Q. Address-. ……………………………………………………………………… ……………………………………………………………………… Gender-……………………………… Age-………………………………….Are you brand loyal? a) Loyal b) Switcher Q. 11.
8.QUESTIONNAIRE FOR RETAILERS Q.In premium range Whisky.What different types of liquor are sold by you? a) Beer b) Whisky c) Rum d) Other Q.1.10.4.Which type of Whisky is mostly demanded? a) Regular b) Semi premium c) Deluxe Q.6.Do you agree with advertising program of Whisky? a) Yes b) No Ques.3.5.7-Are you satisfied with the distribution system of USL? a) Yes b) No Ques.Would you like to give some suggestions to USL for improvement? ……………………………………………………………………… ……………………………………………………………………… .9. what are the different brands available with you? a) Royal challenge b) signature c) Blenders pride d) Black & white e) any other……………… Q.Which brand of USL is mostly demanded? a) Mc Dowell’s no.Do you think that sale can be increased by providing scheme to retailer and consumers? a) Yes b) No Ques.1 b) Black dog c) signature d) antiquity e) other Ques.2.How much quantity of USL whisky is sold daily? a) 10 Cases b) 10-20 Cases c) > 20 Cases Ques.Who is the biggest competitor of USL in the market? ………………………………………………………… Ques.
google. Kothari .economicwatch.com www.vikipedia.usl.scribd.com www.reportliker.com www.segramsindia.com www.com News Papers : The Economic Times & Times of India Magazine : Business Week Research Methodology : C.BIBILIOGRAPHY The readings which rendered all possible help and guidance in finalizing the marketing are:- Marketing Concept Data From : : Philip Kotler Internet Sites www.R.com www.com www.
This action might not be possible to undo. Are you sure you want to continue?
We've moved you to where you read on your other device.
Get the full title to continue reading from where you left off, or restart the preview.