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Roll No.

: 21
Name: Uday S. Ganorkar
Course: PGDM
Year of Passing: 2006
Project Title: Market Research and Competitor Analysis of Brand Rasoi Magic
Subject: Marketing, FMCG
Key Words: Brand image, Customer and Retailer survey, Competitor Analysis
Project Type: Summer
Market Survey and Competitor Analysis Rasoi Magic
Rasoi Magic

Executive Summary

Busy lifestyles and also the need for convenience have led to the emergence of the
Ready to Cook masalas and Ready to Eat food market in India. Though there is still
time for people to completely accept packed food in India, the awareness is slowly
spreading giving rise to greater demand. I got to do my summers at Universal Spices,
a Pune based organization, which owns the brand called Rasoi Magic. This brand is
well known and spread throughout Maharashtra and Gujarat and nearly 35% of its
revenue is generated by exports to countries like United States, United Kingdom, and
The Middle East etc.

I did my internship at Universal spices, Pune for a period of two months from May to
July 2005. Rasoi Magic deals mainly in Ready to Cook masalas and Ready to Eat
category. The work involved doing Market survey and competitor analysis for Rasoi
Magic by involving nearly 600 retailers and around 100 customers across four cities.
The survey involved the use of a structured questionnaire administered by personal
interviews to the retailers and customers of the brand Rasoi Magic. The retail shops
across Pune were visited initially on an average of 35 shops per day. These visits were
made along with the Territory Sales Incharges (TSI) of the respective regions. Visits
were made by the TSIs’ to these shops once every 15 days. At each shop, a certain
pattern was followed to collect data and also understand the position of the product in
the market.
Primarily, the position of the product was noted down along with the shelf space given
as well as the visibility of the product. The packets were then checked on an individual basis
according to the variety to find out its consumption rate and also to keep a track of its expiry.

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Fresh orders were taken accordingly. The presence of competitors was noted down and
compared to Rasoi Magic along the same parameters as mentioned above. Any differences
were noted down. Feedback was taken from each retailer on the product, company’s attitude to
the retailer as well as direct feedback of the customers present in the shop on both the demand
of the product and awareness about the brand Rasoi Magic.
The customers were asked about their awareness about the brand, whether they have ever
used it, its quality, problems faced and suggestions to improvise upon. This process was
adopted to judge the market on a daily basis, response of the retailers and customers to the
product. The company has been a pioneer in the Ready to Cook masalas category but has lost
momentum due to lack of promotional activities and changes made in its products. However,
the company brand can be said to be strong and reliable.
The exposure to the market gave me a fair idea of where Rasoi Magic was compared
to its nearest competitor, its image in the market as well as its shortcomings. It also gave me an
insight as to how even a good brand can suffer if it is unable to keep up with the customers
who have a better bargaining power due to the variety of products available in the market
today. One of the most important points I noted was regarding the awareness level of the
customers. The customers would like to know every detail of the product before they buy it and
also are not averse to try out new products if convinced of its utility.
It is important to be able to tap the market at the right time and also offer the right
schemes to be able to get the pulse of the market. Surveys such as the one I did for the
organisation is to make the organisation aware of its position in the market, the changing trends
as well as the need to match up to the challenge posed by the competitors. Constant feedback
would help it improvise and also immediately rectify its shortcomings which can slowly weaken
up the image of the organisation in the minds of the customers and retailers. It is extremely
important to be aware of the way the customer perceives the product and to be able to fulfill his
expectations which can be gauged through similar surveys undertaken on a regular basis.
SUMMER INTERNSHIP REPORT

MARKET SURVEY AND COMPETITOR


ANALYSIS
BRAND RASOI MAGIC

UNIVERSAL SPICES PVT LTD


PUNE

SUBMITTED BY:

UDAY GANORKAR
PGDM-II
ROLL NO- 21

INSTITUTE OF MANAGEMENT DEVELOPMENT AND


RESEARCH
PUNE-411004
(2004 - 2006)
Acknowledgement

I am grateful to Mr. Dhanyakumar Chordia, owner of Universal Spices, for giving me an


opportunity to work in this organisation as a summer trainee. This internship has enabled me to
get a good understanding of the Fast Moving Consumer Goods sector.

I am especially grateful to Ms. Prachi Mahapatra, my project guide at the Pune office.
She was very helpful and patient and guided me through out my difficulties. I would also take
this opportunity to thank Mr.Milind Mahalle (Area Sales Manager) and Mr. Makrand Walimbe
(Sales Officer) who planned my daily schedule to help me get maximum exposure to the
various zones of the Pune market. Getting to interact with the retailers would not have had
been possible without the Territory Sales Incharges with whom I travelled throughout Pune,
Ahmednagar, Nasik and Aurangabad. These TSIs are Mr. Prajakt Joshi, Mr. Chetan Chauhan,
Mr.Pradeep Nimbalkar, Mr. Sachin, Mr Vinay Kajale and Mr.Bhalerao.

I am also thankful to Dr.Anand Sukumaran and Prof. Giribala Deosthale for their
valuable insights on the purpose of Summer Internship and guiding me from time to time to
help observe the crucial processes taking place within the organisation.

Finally, I would like to thank the numerous retailers and customers who helped me
fulfill my objectives by patiently answering my queries and helping me gather the data I needed
to complete this project.
INDEX

Serial No. Particulars Page No.

1 Details of Organization 1

2 Organizational Structure 2

3 Organizational Processes 3

4 Project Details 4

5 Competitor Analysis 18

6 Major Strengths Of the Company 27

7 Major Problems Faced By The Dealers 28

8 Recommendations 30

9 Experience During the Internship 32

10 Conclusion 33

11 Annexure 34
Market Survey and Competitor Analysis Rasoi Magic
Rasoi Magic

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Market Survey and Competitor Analysis Rasoi Magic
Rasoi Magic

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Sales Brand
Territory
Officer
Sales
Area Sales Manager
Executive
Inchar
Market Survey and Competitor Analysis Rasoi Magic
Rasoi Magic

Thus it can be seen that the organisation structure is not very layered and thus it is easy to
communicate between the lower level and top level. The organisation is very simple in its
hierarchy and hence there is lesser confusion. It becomes easier to take decisions and also
work can take place faster. The Territory Sales Incharge can be said to be the root of the
organisation and directly interacts with the retailers and customers while most of the planning
and co-ordination is done at the Area Sales Manager level. The top management is answerable
only to the owner of the organization. The sales officer is also supported by the brand executive
and the promotional executive.
The distribution channel is as follows:

Company

Distributor

Retailer

Customer
The organisation is more dependant on the sales people from the company itself compared to
sales people appointed by the distributor.

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Market Survey and Competitor Analysis Rasoi Magic
Rasoi Magic

Organizational processes

Motivational factors
Rasoi magic is not a very large organisation in terms of workforce. The FMCG sector demands
constant and effective interaction with the distributors and the retailers. The organisation thus
attempts to retain the employees as far as possible by extending extra benefits to them. The
loss of even one sales incharge can cost the company a lot for it takes a long period and
understanding with the retailers to be able to push the product in the market. Finally it is the
retailers who have the ultimate power to be able to push or introduce the product to the
customers. The administrative staff is quite co-operative and helpful. However, there is
tendency of people to skip to other organisations for lack of growth and even for better financial
gains. There has been an attempt to install a feeling of loyalty for the organisation by trying to
introduce a uniform for the members of the company. This is also to create and further
strengthen the brand image as even seen in companies like Coke, Pepsi or even Pizza Hut
where they can be recognised on the basis of their typical uniform. The owner is also aware of
each and ever member of the organisation and even interacts with them one to one on a
monthly basis. There have been instances where a good employee wanting to leave the
organisation has been personally persuaded to stay back by the owner himself.

Decision making
The various targets for the sales people are decided by the owner in consultation with the area
sales managers. There are monthly meetings where the owner is present with the area sales
manager and also the TSI. The opinions of the staff are heard patiently and decisions are taken
in consultation with all members present. Members are free to make suggestions and if found
to be relevant are instantly worked upon. The people have a lot of freedom in terms of taking
decisions but have to make sure they do not overstep the basic policies of the organisation and
neither is ethics compromised for. The controlling of all the activities within the organisation is
done very strictly. Weekly meetings are held where each person is held accountable for the
target assigned to him. Indiscipline is not tolerated and slackness is also strictly dealt with. The
environment at the organisation is very free and interactive where even the TSI can approach
the owner for any problem he faces at any time.

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Market Survey and Competitor Analysis Rasoi Magic
Rasoi Magic

Project Details

A study was conducted to provide feedback on the image the company and its products
have, in the eyes of the retailers and customers. This study is also an attempt to reveal
attribute perceptions of the brand Rasoi Magic and to determine its strength and weaknesses.
The study involved visiting the retailers, whole sellers and customers and getting their
ideas on the concept of Brand Image and what makes or breaks a brand. Further, these ideas
were applied to the brand Rasoi Magic and conclusions were drawn on the factors that were
affecting the Brand Image of Rasoi Magic. The study analyzed the image, factors affecting the
buying decision of the consumers, problems faced by the retailers in supporting a brand,
strengths and weaknesses as compared to the competitors and the share of Rasoi Magic in the
existing market.

The project mainly focuses on market research and competitor analysis for the
brand Rasoi Magic that is available in the category of ready to cook masalas and ready to eat
meals. While not much focus has been given to the ready to eat market, the entire project has
been concentrated upon the ready to cook meals masalas.

The areas covered to fulfill the requirements of the project were nearly 22 routes
consisting of various areas of Pune and also for a short period overall view of the market in the
cities of Ahmednagar, Aurangabad and Nasik. The areas covered in Pune were as following:

Paud road Aundh Yerwada


Kothrud Narayan Peth Tilak road
Mandai Hadapsar Dhankawadi
Warje Camp Dhaayri
Bibwewadi Sahakar Nagar Mukund Nagar
Karve Nagar Kondhwa Fatima Nagar
Pimpri Chinchwad Sanghvi and Pradhikaran

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Market Survey and Competitor Analysis Rasoi Magic
Rasoi Magic

Objective
The objective of the project has been to find out the position of the brand Rasoi Magic in the
market vis a vis its competitors, do a survey for the problems if any, faced by the brand and
suggest ways of promotion on the basis of retailer and customer feedback.

Research Objectives
The objectives of the study were to find:
 The availability of the company’s products, in the market.
 To identify the target segment and check its reach.
 The pricing and movement of the products as compared to the prices of competitors.
 The effect of decisions, taken by the sales management of the company regarding
various schemes employed and the impact of the various promotional activities being
employed.
 The effectiveness of the distribution network of Rasoi Magic.
 The factors that influence the decision making process of a retailer to push a particular
brand and that of a customer to buy that particular product.
 The feasibility of introducing a Rs 10 packet of Rasoi Magic and a smaller packet of
Bhaji Masala and also the opinion of the consumers on the new Punjabi Subji packet.

Research Methodology
The research design was Exploratory, the objective being, getting the first hand experiences
of the retailers about the problems that the company is facing and the major issues that pose a
threat to the brand Rasoi Magic. This particular design is helpful in gaining insights, generating
hypothesis, and the survey questions can be changed over the course of the research (keeping
in mind the differences in opinion of the retailers visited.)
The tool that was used during this project was Personal Interview with the retailers as well as
the customers. Since the findings represent the attitudes of the retailers and the customers,
various tables have been used to represent attitudes.

Limitations
1. All visits were made in the space of two months. Seasonal peculiarities may have
occurred, the visits having made during a dull period.
2. Most of the outlets were visited only once and very few were visited twice. This may
have given rise to incidental biases on the part of retailers.

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Market Survey and Competitor Analysis Rasoi Magic
Rasoi Magic

3. All observations reported were personal impression and are, hence, likely to carry the
weight of personal biases. This could be evened out if more persons undertake the
same exercise at the same place within the same period.

Ready to cook and ready to eat market

Ready-to-eat Indian curries and food that were unheard of even a few years back are
fast emerging as the new magic words in Indians kitchen as there are rapid changes taking
place in the lifestyles of urban Indians. Going by the speed it has grown in recent years, this
quick-fix solution is set to bring about a revolution in Indian kitchens. Over the past two years,
the ready to eat packed food market has grown from an almost insignificant number to touch a
$20 million in revenues in 2004. And, considering the current growth rate, which is over 35
percent a year, revenues of this sector can easily touch $50 million in next 3 years. Indian
lifestyle is undergoing a huge socio-economic change which is also getting reflected in food
habits. However, with the availability of a new technology called Retort -- that packs the cooked
food in a 4-layer package, which is then heated to 120 degrees Celsius to kill all living
organisms thereby ensuring freshness through its much longer shelf-life -- the ready to eat food
concept has become far more acceptable. Nevertheless, the primary driving force
behind the growth of ready to eat food is that the Indian mindset towards food is changing.
Convenience is now the keyword. Ready-made food is not considered as extravagant expense
any more. With disposable income going up, there is more money to spend. Earlier that was
considered as a discretionary item but now spending in ready to eat food is a necessity. There
also has been explosive demand for ready-made Indian food from the overseas markets like
U.S., UK Canada and Europe. The potential for exports are very good. This demand is not only
from the non-resident Indian community but also from the local population who are increasingly
getting exposed to Indian cuisine through Indians living there, and also through their travels.

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Market Survey and Competitor Analysis Rasoi Magic
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Observations

Following observations were made during the course of the study:

1. The company does have a good reputation in the eyes of both the retailers as well as
the customers for quality and variety of the products. It has also been the pioneer in
this field in Pune area with superiority over its competitors.

2. The company seems to have faced a sizeable loss in reputation among the customers
and retailers during last few months primarily due to the changes bought about in its
products, especially the names. Although, the loss due to confusion is quite high,
creating awareness for the same can rectify it.

3. The visibility of the brand in various shops is hampered due to its position in the shop.
While all shops cannot be provided with stands, the boxes provided to the shops are of
inferior quality and are not able to help display the product as efficiently as required.

4. The company has been very slow in providing information about the new changes it
has made in the products and has been unable to clear the confusion in the customers
mind as to if it is the same product he was buying earlier.

5. Schemes for the customers are not displayed clearly. The schemes can be made more
visible where both the company as well as the customer can gain maximum benefit out
of it.

6. The retailers are unable and often reluctant to handle the queries from the customers
about the product. The company needs to make information easily available to not only
the customer but also the retailers to help them push the product.

7. Few retailers are less energetic and less informed as compared to other retailers but
have the potential to generate equal sales if tapped properly and if effort is taken to
make them aware.

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Market Survey and Competitor Analysis Rasoi Magic
Rasoi Magic

8. There is a lot of stress people give on expiry date. If a Rasoi Magic packet is of
December and another of March, then people buy the March one. The old packets
slowly get pushed back, accumulate and end up as huge replacements. While in case
of Parampara, all their stock is the latest one.

9. Also at few shops it seemed that the shopkeepers had been given huge quantities of
varieties, which do not sell, and given just for the sake to put stock there and achieve
target. This slowly accumulates into replacements and overall is a loss to the company.
The shopkeepers also seem impressed that all other brands are offering schemes.

10. The company has been facing a very high rate of replacements. This has been
prevalent especially in selected areas. There has been excessive ‘dumping’ of the
products done to achieve short-term targets and also demand is low due to lack of
promotion.

11. Company is slow in delivering products to the retailer through the distributor once the
order is made. The average time in delivering the products to the retailers is said to be
one or two days but actually they are supplied at times even at the stretch of a week.

12. The posters (especially recipe posters) displaying the name of the company are
although stuck in the shops, soon get lost in the other posters put up. The posters thus
are unable to complete its life period and tend to get wasted. Further, even the
customers demand posters having the recipes of the varieties available. Unavailability
of this can also deter the customer from buying the product.

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Market Survey and Competitor Analysis Rasoi Magic
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Customer Perception towards the Brand Rasoi Magic

The table below charts the perception of customers towards the brand Rasoi Magic. Different
questions were asked to the customers as to what they think about the company and its
product. Total of eight criteria were listed, each trying to get their ideas on different factors that
make a brand successful. They were asked to rate their views on the scale of agree (A), neutral
(N) and disagree (D).

(All figures are in percent)

CRITERIA A N D
Rasoi Magic is the largest selling brand. 45 20 35
Products are very good and aesthetically appealing. 62 24 14
People are aware of the Rasoi magic brand. 51 22 27
Rasoi Magic product prices are competitive. 58 30 12
Product quality is superior. 73 17 10
Price of the product for the quantity it provides is justified. 41 24 35
Rasoi magic products are easily available at the nearest shops. 66 13 21
I am aware of the range of varieties available from Rasoi Magic 37 19 44

Thus awareness of the brand Rasoi Magic and its varieties seems to be poor. At the same time
the brand is associated strongly with quality and reliability.

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Market Survey and Competitor Analysis Rasoi Magic
Rasoi Magic

Decision-Making Factors towards Buying The Product

The table below charts the various factors, which influence the buying decisions of a customer.
Different questions were asked to the customers as to what they think affect the decision-
making process. Total of eleven criteria were listed on the rating scale of very important (I),
neutral (N) and not at all important (NAI).

I N NAI
CRITERIA
72 19 09

Company’s reputation
52 33 15
Friends'/Family Recommendations
51 35 14
Shopkeeper’s recommendations
59 31 10
Schemes/Discounts /Gifts offered
92 04 04
Quality of the product
74 12 14
Visibility of the Brand
88 10 02
Freshness of the product
57 23 20
Packaging and aesthetics
82 12 04
Promotion activities (demos etc)
81 14 05
Price
73 18 09
Availability
65 11 24
Brand loyalty
(Figures given are in percentage)

It can be seen clearly from the figures that criteria like company’s reputation, price of the
product and the visibility of the brand at the retailer’s counters are of utmost importance while
family or friends do hold a second place and seems less importance.
It has been seen that Rasoi Magic fairs badly at promotion activities and making
people aware of the brand name. Also its visibility at the counters needs to be improved to be
able to target a greater audience. The customer may also cancel out the chance of buying the

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Market Survey and Competitor Analysis Rasoi Magic
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product of the company if the product is not found to be fresh even though it is still within the
validity period. The company needs to get the point across that even though the price might
seem high; the quantity that can be prepared is greater than any other product.

On looks and aesthetic front the company seems to be well placed as almost ninety
percent of the customers said that the Rasoi Magic products are having good looks and
features. The brand loyalty however seems to have reduced due to doubts in the product being
the same used earlier especially as the changes bought about in the packaging have not been
properly communicated to the regular customers.

Promotional activities and schemes carried out by Rasoi Magic

The company has taken renewed efforts to promote the brand Rasoi Magic after reports that its
promotional activities have been found to be insufficient compared to its competitors. Some of
the schemes and promotion activities carried out were as follows:

Scheme at Desai Bandhu Ambewale


A scheme was introduced at Desai Bandhu Ambewale where one packet of Rasoi Magic was
given to every customer buying two dozen mangoes from the shop. Following is the response
that has been collected from the customers after direct interaction with them:
 The scheme seems to be very beneficial to the company as have been able to target
nearly 80% new customers and introduce the product to first time users.
 There is a need to have more display items (stands/banner/posters) to be able to
maximize target audience when schemes like these are introduced.
 It was observed at Desai Bandhu Ambewale that people were completely ignorant of
Rasoi Magic or were staunch supporters of particular brand. E.g. Everest for Pav Bhaji
Masala. Product awareness is very low amongst customers spoken to.
 Few people spoken to have tried Rasoi Magic after visiting the demonstrations by the
company.

Survey done regarding utility of posters and other promotional material

A survey was done using a questionnaire for both the retailer as well as the customers to find
out their response to the posters from Rasoi Magic and also to gauge their effectiveness in

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Market Survey and Competitor Analysis Rasoi Magic
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terms of whether the posters are able to target the intended segment effectively thereby
proving its utility.

 People want more posters that give knowledge about the recipes and not general
information with most preferred poster being the Recipe poster, while least required is
the paste v/s powder poster. The general impression of Rasoi Magic posters is that
they are bright, uncluttered and stand out in the shop.
 Two points most necessary in the poster seem Rasoi Magic brand name and
Recipe provided.
 In many shops, the posters are soon covered by other posters or get torn off much
before their life period and thus unable to fulfill its purpose. How can we tackle this?
However, there ought to be more schemes provided to make sure the posters stay on
in the shops for at least a minimum period.
 Is there any way the posters can contribute to clear the confusion customers have
over names of changed products?

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Market Survey and Competitor Analysis Rasoi Magic
Rasoi Magic

Survey done regarding need for stands

A survey was again done using a questionnaire for both the retailer as well as the customers to
find out their response to the stands provided by the company and if they have lived up to their
utility and the expense incurred on them.

Shops surveyed: 60
Shops, which don’t want stands: 34
Shops which want stands: 16
Shops, which are undecided: 10

 Almost all shopkeepers do not want hangers where packets can be tucked in to
display. Out of survey conducted for demand for stands in nearly 60 shops, surprisingly
the number of people who do not want stands was more.
 The main reason for refusal for stands was that already the shops are very cluttered
and congested and a stand would be more of a hindrance. The dispenser boxes are
good but need improvement in quality and design adjustments. Of people who prefer
stand, they do not want anything other besides a proper metal stand. However at
times, these stands can be seen to be used to store other companies’ products also, at
times even Parampara!! How do we ensure the stand in which we are investing so
much is used only for our product?

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Market Survey and Competitor Analysis Rasoi Magic
Rasoi Magic

Survey done regarding feasibility of Rs 10 packet and response of customers to the


Bhaji Masala as well as Punjabi Subji.

The company wanted to tap the market for the introduction of a Rs 10 smaller packet of Rasoi
Magic. A survey was carried out and inputs from both the customers as well as retailers were
taken in. The important points for the same are as follows:

 The customers as well as the retailers in general are completely open to the idea of a
smaller packet and seemed favourable to this decision. They also gave examples of
how various players like Everest, Suhana etc were coming out with even smaller
packets and seem to be doing well.
 However there was an important point to be noted. Only 1 shopkeeper raised the issue
that if we introduce Rs 10 Rasoi Magic packs, he would have to work doubly hard to
make the same amount, i.e. Rs 20 which he makes by selling just a single pack!! Can it
happen that the Rs 10 pack may hamper the growth and sales of the Rs 20 pack? In
the long run, will the sale of large number of smaller and lesser priced packets be more
profitable or that of the larger but costlier packets? These issues shall have to be
ascertained before any changes are to be made, as the customer is already confused
due to the changes in the product names.
 There seems to be very little differentiating point between products due to the suffix
‘Punjabi’ being used for nearly all products. The differentiating point for each variety
seems to have got lost and no novelty can be seen. Also retailers themselves are
unable to explain the differentiating points between varieties like Chana and Chhole
Masala to the customers.
 Bhaji Masala does well in selected areas only and not everywhere. However of the
feedback taken from all the retailers, nearly 90% are against introducing a smaller
packet of Bhaji Masala. They feel that the current product is good enough and lowering
the price and making a smaller packet would majorly affect the company’s image.

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Market Survey and Competitor Analysis Rasoi Magic
Rasoi Magic

Hoarding survey for Rasoi Magic promotion:


A survey was done to find out ideal locations throughout Pune where advertisements for the
brand Rasoi Magic would be put up to grasp the attention of the people and create awareness.
The table given below is a gradation of the hoardings seen at various locations. They have
been categorized on levels of poor/average/good. The cost factor has not been included here.
Serial Area Location Visibility Promote Comments
number immediate
sales
1. Kothrud 5 minutes from Good Good Shall help us in
Desai Bandhu both sales as
Ambewale well as create
awareness.
2. Pune station Corner area of Average Average The hoarding is
S.T. stand Bombay bus at the corner so
stand fails to grab
immediate
attention.
3. Shivaji Nagar Opp platform Good Good Is very clear
S.T stand number 1, above and very eye
parcel office catching.
4. Swargate S.T Above Bombay Good Good Though it is not
stand bus stand immediately
seen, can help
promote brand.
5. Sahakarnagar Opp Gajanan Average Average Though the
Maharaj temple area has
potential, the
hoarding is too
high to be
seen, there is a
smaller
hoarding near
it, which can be
more useful.
6. Dhankawadi Opp Bhartiya Good Good Shall catch the
Vidya Bhavan attention of all

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Market Survey and Competitor Analysis Rasoi Magic
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passer byes.
7. Phadke Haud Opp rickshaw std Good Good Good location
8. Mandai Near Tulshibag Good Good Shall target
road many
customers
9. Mhatre bridge End of bridge, Good Good Good location
near Nal stop end
10. Alka chowk Hoarding already
booked
11. Tilak road Hoarding already
booked
12. Camp (2 sites) Opp Synagogue Good Good Good location
13. MIT college Near MIT college Average Poor Very remote
road place, target
audience less
14. Bibwewadi Top of food world Good Good Very good
promotion
15. Katraj Near old petrol Good Poor Hoarding
pump damaged, can
target only
motorists.

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Market Survey and Competitor Analysis Rasoi Magic
Rasoi Magic

Comparative survey done on the websites of Rasoi magic and its competitors

Serial Brands Site Comments


number
www.rasoimagic.com The site is comparatively less
1. Rasoi attractive and also some links
Magic do not work. Product has not
been showcased properly.
2. Parampara www.paramparamix.om The site is well made and the
products showcased well.
3. MTR www.mtrwonderkitchen.com Site under construction.
4. Kitchens of India www.kitchensofindia.com The site is very tastefully done
and gives an aesthetic
appearance. The products
details are clear.

5. Badshah masala www.badshahmasala.com Site under construction


6. Everest www.everestspices.com The site is colourful. Also all
the packet details are
provided along with weight,
content etc. Everest also
provides free receipe booklets
to download.
7. Mother’s receipe www.mothersreceipe.com The site is still under
construction.
8. Pravin Masala www.pravinmasale.com The site is very crowded and
confusing. All information
seems to have been put on
the main page itself.
9. K-express Khana express on google Unable to find site

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Market Survey and Competitor Analysis Rasoi Magic
Rasoi Magic

Competitor analysis
The bar diagrams represent the presence of the competitor in comparison with Rasoi Magic in
the various sub-areas covered under the zones of Pune.It can be seen the presence of Rasoi
Magic is more than any other company in the outlets and is spread across the entire city.

Presence of competition:
The comparison has been done taking in sub areas coming under a greater zone to give a
clearer picture of the status of the brand area wise.

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Market Survey and Competitor Analysis Rasoi Magic
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Market Survey and Competitor Analysis Rasoi Magic
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It can be seen from the bar diagrams that Rasoi Magic has a strong presence
throughout Pune in nearly all the outlets in different areas. The competitor presence though
strong, is not there in many places. Rasoi Magic can take advantage of their penetration in this
market. However, this also needs to caution the company that competition is not very far
behind and it can also soon lose its prime advantage of being the pioneer in this market.

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Market Survey and Competitor Analysis Rasoi Magic
Rasoi Magic

Problem of replacements

The bar diagrams represent the area wise acceptance of the brand Rasoi Magic in Pune.It also
reflects the consumption pattern of the consumers, problems ,if any that the retailers in that
region might be facing or in general inability of the product to take off. The comparison thus
gives a clearer picture of the status of the brand area wise.

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Market Survey and Competitor Analysis Rasoi Magic
Rasoi Magic

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Market Survey and Competitor Analysis Rasoi Magic
Rasoi Magic

The diagram represents the area wise rate of replacement from different areas. While it can be
seen that within the same area too, there can be fluctuations in the number of replacements.
For e.g. though Hadapsar has shown very low rate of replacements other areas like Kondhwa,
Fatimanagar etc within he same zone are showing higher rate of replacements. Keeping a low
number of replacements can be attributed to good merchandising and maintaining the stocks
properly while excessive number of replacements can be credited to dumping by sales team to
achieve targets or due to continuous changes in the TSIs which prevents them to build a
rapport with the company people.

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Market Survey and Competitor Analysis Rasoi Magic
Rasoi Magic

Brand Push Level of Retailers especially for competitors

During the survey, retailers were asked about the company they prefer to do business with in
each category. The brand that the retailers were more interested in pushing compared to Rasoi
Magic is its nearest competitor, Parampara.
Following are the reasons why the retailers are keener to push Parampara:

 Parampara offers them higher margin compared to Rasoi Magic. While Rasoi Magic
gives the retailers a margin of Rs3.25, they get a margin of Rs. 4.75 from Parampara.
 Parampara also has schemes for all retailers where they were earlier getting a packet
free on every 18 packets. It has recently been changed to a packet free on every 12
packets.
 There is immense demand for Non-veg products of Parampara, where they are the
market leaders. The stocks provided are fresh and all old stock is immediately replaced
even if it still might be valid.
 Consumers buys Parampara, for, comparatively,
100 gms of Parampara = Rs 28, while
50 gms of Rasoi Magic = Rs 20.
However, no one pays attention to the fact that,
100 gms of Parampara = Rs 28 serves only 150 to 200 gms while
50 gms of Rasoi Magic = Rs 20 serves nearly 500 gms.
How to get this point across to the customer?
 The stock of Parampara is the latest on nearly all the shops seen and hence may
influence customer preference whereas Rasoi Magic stock though has a 12-month
warranty, seems old. Parampara gives 1 packet free on every 12 packets it gives to
retailers.
 Competitor’s reach seems less compared to Rasoi Magic in distant shops.
Shopkeepers constantly want to know of any new schemes by the company.
 People want to buy products, which they have, either heard or at least seen
somewhere. In many cases, people have tried competitor’s non-veg products first due
to unavailability in Rasoi magic and then carried forth to try on their veg products thus
working on previous experience with the non-veg product. It is very beneficial to make
the shopkeeper understand uses of masalas for different recipes. They can thus
contribute more by suggesting product to the customers.

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Market Survey and Competitor Analysis Rasoi Magic
Rasoi Magic

Details of information collected in the three cities

To complete the analysis, data was also collected from three cities. These cities were
Ahmednagar, Aurangabad and Nasik. Data for each city is given below:

City: Ahmednagar.
Areas covered were M.G. Road, Chitale road, Sarjepura, Tarakpur bus stand area, Old
bus stand area and nearly 18 outlets were covered.
Observations:
1. Rainbow seems to be present in nearly all shops. It is also preferred for they offer more
attractive schemes e.g. 10+2 and also that their profit margin is more. Rasoi Magic at
many places is heard of but no one has approached them to keep the product, people
did seem interested.
2. Distribution seems to be good, with nearly no complains. Many shops are especially
demanding Biryani. There seems to be more need for Biryani.
3. Shopkeepers who know of schemes of Rasoi Magic outside Ahmednagar are not
happy since they are not getting any schemes and also at times doubtful whether
distributors is providing them honestly. Bhaji Masala has been between poor and
average sale. Awareness of Rasoi Magic needs to be increased to a greater extent.
4. Here there have been fewer rates of replacements and also most of Rasoi Magic stock
seemed fresh. Many places recipe poster have been found very handy to remove
customers’ confusion due to change of names and general queries.

Details from a Rainbow pack:.


Name of product – Chana Masala
Price- Rs 28 for 100gms.
Manufacturer- Shri Garbharibhar Uttamchand and Sons,
35, Vithhal Das lane, 2nd floor,
Mumbai
Fax-22-2082210

City: Aurangabad
Area covered was Dashmeshnagar and nearly 17 outlets were covered.

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Market Survey and Competitor Analysis Rasoi Magic
Rasoi Magic

 The rate of replacements seemed less in this city. No extra quantity is forced on the
shops and a balance is being maintained to maximize profit and minimize loss due to
replacements.
 It has been seen that though Rasoi Magic has been in “A” class counters from a long
time, there is no growth in demand for the product. Shopkeepers seemed wary of
stocking extra packets. The awareness for Rasoi Magic is good and people have heard
of the brand.
 There needs to be demonstrations or some other activity to create a demand for Rasoi
Magic. Competitor presence was negligible in the shops seen. Few shopkeepers want
to have hangers or stands as to give a front face to the product.

City: Nasik
Area covered was Nasik road, Gangapur road and 11 outlets were covered alongwith 2
distributors.
Observations:

 At most of the “A” class outlets like Big Bazaar, Parampara was kept at eye level while
Rasoi Magic was at a lower position. Most of the “A” class outlets are complaining that
the product is not being demanded at all! There needs to be something done
immediately to increase awareness of Rasoi Magic.
 There has been heavy dumping in few shops, which has resulted in huge number of
replacements. The presence of posters is poor in this area. One of the schemes
launched at Food Mart seemed to have worked. A 2+1 scheme was introduced here
since the stock was nearing expiry .15 days ago, there were 54 packets, 40 of RTC
and 14 of Jain box packs. At the latest check, 12 packets of regular RM were gone,
with Jain as it was earlier.
 The promotion scheme seems to be poor, like in Food Mart; the scheme could be
placed more attractively, while here it was just scribbled over. Few shops admitted to
be ordering new stock only to be able to clear off their replacements. The small RM
recipe booklets provided contained very few recipes.

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Market Survey and Competitor Analysis Rasoi Magic
Rasoi Magic

Distributor Feedback:

1. The distributor seemed frustrated with the high rate of replacements and that his profit
margin was decreasing. He was complaining that he hasn’t till now even got a
appointment letter from the company, has absolutely no promotional material, not even
a few empty packets as given to him by K-Pra.
2. The distributor also mentioned that the company image was getting spoilt due to its
frequently changing of the distributors. He insisted that the distributor margin be
increased; promotion articles started and come up with a solution for the dumping of
products.
3. It’s difficult for even ‘A’ class outlets to create the demand for the products and not
registering a growth in scale.

Major Strengths of Rasoi Magic cited By the Retailers


 The company has lived up to its reputation by providing quality products in the market.
The visits made by the TSIs are more or less quite regular and they are ready to help
out with any problems.
 The packing as well as the appearance of the product is quite appealing and aesthetic,
which is highly commendable.
 The company picks up the replacements as soon as possible.
 Few of the products launched by Rasoi magic are exclusive and unavailable anywhere
else which creates a greater demand for them in the market. E.g. Bharli Vangi, Undio
etc. The product of Bharali Vangi is one of the best and no one makes it as well as
Rasoi Magic.
 Major strength of the brand also lies in it highest selling variety, that is, Paneer
Makhanwala and Mutter Paneer.

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Market Survey and Competitor Analysis Rasoi Magic
Rasoi Magic

Major Problems Cited By the Retailers:

 The company does not put in any effort to help promote its products. There hardly
seemed to be any advertising for the brand.
 The customers as well as the retailers are unaware of the wide range of the products.
They are also unaware of what masalas can be used for which recipe. The retailers are
not interested in entertaining the various queries of the customer.
The promotional material provided to them is very less and especially they are not
getting the recipe posters, which they need immediately. Also they do not have any
informational recipe poster to give to the customer, which customers often demand.
 Box quality of Rasoi Magic is very poor. It hampers visibility and tends to break early.
Cardboard quality is very bad; the boxes tear up very easily due to the punching done
on the sides. Thus Rasoi Magic packets are kept in other boxes, at times even in
Parampara boxes!! Also as the front part after tearing across the box remains open,
the packets start falling out of the box if overloaded. There is difficulty while trying to
take out the packets. E.g. Knorr soup boxes are doing very well, are of more superior
quality and prevent packets from falling down. They are more stable. The names of
various products to be retained on the Rasoi Magic box are instead cut off while
converting it into a display box.
 There were also suggestions for products. The names are given at a very low position
on the packets and hence while taking out from the boxes, takes a longer time to scan
and identify the variety needed as it needs to be seen right till the bottom of the
product. Colour combination also needs to be changed.
 There has been a demand and enquiry for Jain masala in this area; however, the
general view is that at Rs 30, it is far too expensive at the same quantity. Though it
might have extra kaju, nuts etc but we also save by not including onion, garlic etc.
Thus the cost of the product has to be more reasonable.
 One more important thing noticed is that the sticker at the lower end of the Jain Masala
packet seems to be coming off easily. This was noticed in many shops. This may affect
the quality of the product and also consumer opinion of the product.

 There is confusion on the changed names and shopkeepers seem very keen on
schemes offered by the company. There is also query as to how to introduce and

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Market Survey and Competitor Analysis Rasoi Magic
Rasoi Magic

convince people who have not heard of or ever used Rasoi Magic or try and enable
people who use only specific varieties of Rasoi Magic to try other varieties.
 To convince and convert customers who are loyal buyers of brands like Everest,
Parampara, and Kohinoor etc.
 The rate of replacements seems to have increased over a period from the last few
months especially since the changes in the names. The stock delivery is most of the
times done very late and later than the promised day.
 Frequent change in TSIs has affected the coordination with the retailers as a new
person takes time to settle in. No new schemes have been floated for the retailers
during the last few months, schemes, if launched, are for selected outlets only.
 Slow in responding for request and enquiries regarding promotional material. Lack of
offers and schemes for customers. The boxes provided to keep the packets are of poor
quality and get torn off very easily. The packets then have to be stashed away thereby
reducing the visibility of the brand and causing a lot of inconvenience to the retailers.
 Less amount of promotional material at bigger counters like Food World, Tru Mart, Max
store, Big Bazaar etc results in a higher probability of losing the customer to other
companies’ products thus resulting in a loss in market share.
 No information is provided to the retailers about the new Jain variety launched. They
are still quite ignorant about its details.

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Market Survey and Competitor Analysis Rasoi Magic
Rasoi Magic

Recommendations:

 The company shall have to work out a way to help each variety gain its identity, which
has got lost due to the suffix ‘Punjabi’ put on each packet. Also, the modified names of
the varieties have to be successfully communicated to the customer to help him realize
it’s the same product he was buying earlier, only that its now with a new name.
 Improve the communication with the retailers, this would also help prompt them to
push Rasoi Magic products and also develop a comfort level between the retailers and
the company.
 A lot of customers and shopkeepers recall the “ Suhana” Masala advertisement, which
is put behind PMT buses in Pune. This has ensured greater area coverage, targeting
even remote areas where PMT buses go and increased the awareness for the brand.
Can Rasoi Magic do something similar?
 The idea that Rasoi Magic is in fact less expensive at Rs 20 for 50 gms while its
nearest competitor, ‘Parampara’ is priced at Rs 28 for 100gms has to be convinced to
the customer. The facts that Rasoi Magic pack prepares almost double the quantity
that can be prepared from Parampara has to be highlighted and bought to the notice of
the customers.
 The retailer must be made capable of handling queries from the customers by being
equipped with all promotional material and having complete knowledge of various uses
of the varied varieties available.
 Improve the awareness of the customers as well as the retailers. The consumer
experience has become extremely important at the purchase point for the prospective
customers and any laxity on the part of the company leads to the loss of that customer.
 The retailers for the company are not completely aware about the details of the
products and this surely creates a negative image in the minds of the customers. The
motivation level of retailers is low because neither is their margin higher nor is the
company providing sufficient advertising and promotion material compared to other
companies.

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Market Survey and Competitor Analysis Rasoi Magic
Rasoi Magic

 The company must ensure that it is aware of all the complaints and the feedback about
the products and services etc from the retailers as it leads to getting the first hand
experience of the people who get to know about the strong features of the products
along with its drawbacks.
 Dispatch of the stock should be in time to prevent loss in customers to both the
company as well as the retailers.
 With the current proliferation of brands in the market, companies are forced to spend
large sums of financial resources on advertising budgets. With so many players
clamoring for space in the consumers mind a successful advertising campaign is a
necessity for success. Target more citizens groups to create awareness.
 It is also important to devise ways to help push all varieties and not just a few running
items like Paneer Makhanwala or Mutter Paneer.

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Market Survey and Competitor Analysis Rasoi Magic
Rasoi Magic

Experiences during internship

Working in the FMCG sector was a very unique experience. I got to know that more
than even giving huge discounts or incentives, it really works to have a very healthy one to one
relationship with the distributors as well as the retailers. It is finally the retailers who are able to
convince the customer to try out the product and it is not every time that it is the margins that
push them to do so. The people I have worked with were very helpful and very patiently
explained me the functioning even though they were short of time due to their own targets
which were to be achieved within a time span.

The burn out rate in the FMCG sector is also very high while people keep switching
over jobs for better prospects. The work was extremely demanding requiring great amount of
physical exertion done to visit about thirty to forty retail outlets everyday. Continuous supply of
the product is extremely essential for in this era where the customer is the king, even a small
break in the availability of the product can turn away the customer and break the brand. I found
it difficult at times to interact with the retailers as well as the customers due to time constraints
for the TSIs with whom I used to roam with had their own targets to achieve and could not
afford to spend more time at a single outlet.

I also was asked at times to bloat the number of outlets visited in a day to avoid getting
the TSIs in trouble for making fewer calls. There were few very disappointing days when the
sales were very less or days when we simply did not feel motivated enough to visit far flung
outlets. It became extremely tiring to move around in the summer heat. We travelled every day
for more than 50 kms and had to cover around 40 outlets. However, I did make it a point to
keep a daily dairy which was of immense help to me. I could relate better to many changes I
saw in the market due to the diary which I had maintained religiously everyday.

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Market Survey and Competitor Analysis Rasoi Magic
Rasoi Magic

Conclusion
Working in universal spices has given me valuable experience about the way
businesses function, the actual processes involved to develop a brand, factors that can make
or break a brand and the organisation culture that can motivate a member to try and strive for
the benefit of the organisation. It is very important to keep tapping the preferences of the
customers which keep changing over the period. Also loyalty takes a long time to develop but
can also shift away in a very short time. No amount of advertisements and promotion can be
substitute for timely supply, smooth distribution and attempt to understand the customer
demand.

Organisations are not only built on business acumen but also depend a lot on
interpersonal relationships. Even the biggest brands can lose out to local players if the are
unable to understand the need of the market. It is also very important to invest in good and
loyal employees for finally an organisation is the reflection of its employees itself. Very small
things also do matter a lot and never should be ignored. Also though concepts do help a lot in
making decisions, it is more of practical knowledge that finally helps to judge the situation and
take the most appropriate decision at the moment.

I am really grateful that I got this wonderful opportunity to learn many things by actually
practically testing out my theoretical knowledge and using the combination of both to help and
benefit my organisation. The lessons I have gained from my summer internship experiences
shall guide me in my future course and has bought at least some clarity to an extent in which
an organisation functions. I hope to make optimum use of this valuable experience in future.

34
Annexure

Annexure 1:

Questionnaire to identify customer awareness for Rasoi Magic brand and problems
faced practically.

Name:
Phone:
Address:

1. What types of masalas are used in your household?

a) Branded b) Homemade

If branded, then which one?

2. Are you aware of the Rasoi Magic brand?

a) Yes b) No

(If customer says no, then he has to be provided with information of Rasoi
magic, maybe in for of a leaflet)
Market Survey and Competitor Analysis Rasoi Magic
Rasoi Magic

1
5. Have you ever-tried out Rasoi Magic?
a. Yes b) No

Reason:

6. What are the main things you rate for while buying a masala brand?
a) Price b) Weight
c) Name d) others

7. Whatever brands you have heard of have been due to what medium?
a) Newspapers b) TV ads
c) Family d) hoardings and posters
e) Shopkeepers e) others

8. How many varieties of Rasoi Magic have you tried, what you liked or
disliked about them?
a) 0 to 2 b) 2 to 4
c) 4 to 6 d) more than 6
9. Are you aware of the various receipes possible from Rasoi Magic
products?
a) Yes b) No
Market Survey and Competitor Analysis Rasoi Magic
Rasoi Magic

1
Questionnaire for the retailers to identify familiarity with Rasoi Magic and
problems faced practically:

Outlet:
Phone:
Address:

1. Do you stock Rasoi Magic, since when?


a) Yes b) No
Period:

2. What is the average quantity you stock?


a) 0 to 15 b) 15 to 25
c) 25 to 40 d) More than 40

3. Has there ever been any problem regarding distribution to you?


a) Yes b) No

4. How often are visits by the company personnel? Are you satisfied by their
response?
a) Yes b) No

5. Do the display items provided by the company like dispenser boxes,


posters, stands etc satisfy you?
Market Survey and Competitor Analysis Rasoi Magic
Rasoi Magic

1
8. Are you satisfied with quality of the product, profit margin, promotion
activities and visibility of the company?
a) Yes b) No

9. Which brands do you think are preferred by the customers and why?
a) Rasoi Magic b) Parampara
c) Everest d) Aashirwad
e) MTR e) Others
10. Given to improvise the Rasoi Magic product, what suggestions would you
make?

Feedback on posters from retailers:

Name:
Phone:
Address:

1. What are the various promotional activities done by the various masala
brands in your outlet?
a) Posters b) Hoardings
c) Schemes d) Others

2. How do you think posters are compared to other activities?


a) Effective b) Average
Market Survey and Competitor Analysis Rasoi Magic
Rasoi Magic

1
5. What do you think are the essential ingredients of an impressive poster?
a) Colour b) Pictures
c) Printed matter d) Others

6. What is the average life span of a poster in your shop?


a) 5 days b) 5 to 10 days
c) 10 to 15 days d) More than 15 days

7. What information is best given through the posters about Rasoi Magic
brand?
a. Receipes available b) Information about specific
variety

8. Which poster do you best prefer?


a. Receipe b) Paste vs. powder
c) Product poster

9. Is the poster able to project the points of quality, quantity, affordability


and
variety to the customers?

a) Yes b) No
Market Survey and Competitor Analysis Rasoi Magic
Rasoi Magic

1
Poster made to replace the more expensive coloured ones. These can be
freely distributed in shops. Also there was a need to have an English
poster.

One step
Rasoi cooking!
Magic
Heat oil. Add
Vegetables, Tomato
Puree and Rasoi Magic

Many more recipes to be made from Rasoi Magic…

Tayyar masala Sabji


Paneer Butter Masala, Veg Kheema, Veg
Asli Punjabi Makhanwala Makhanwala
Asli Punjabi Methi Mutter Malai Veg Korma, Paneer Korma, Navratna Korma,
Kaju Currie
Asli Punjabi Mutter Paneer Aloo Mutter, Bhindi Masala, Palak Paneer
Asli Punjabi Malai Kofta Shahi Paneer, Malai Kofta, Nargis Kofta
Asli Punjabi Tikka Paneer Tikka, Sukhi Aloo Bhindi, Loki Kofta
Currie
Asli Punjabi Dum Aloo Aloo Gobi Masala, Aloo Jaipuri, Bharva Simla
Mirch.
Asli Punjabi Chana Rajma Masala, Chana Masala, Lobia Masala
(Chavdi Ghongni)
Asli Punjabi Chhole Chhole Masala
Dal Fry, Veg Kolhapuri, Sev Bhaji, Baigan
Asli Kolhapuri Rassa Bharta, Kolhapuri Missal
Biryani Goli Biryani,Soyabeen Biryani, Kala Moti
Biryani
Assal Maharashtrian Usal Rojana Sabji ke liye
Asli Bombay Pav Bhaji Pav Bhaji, Paneer Pav Bhaji
Promotional poster made for special schemes launched to support with
promotional material to promote its effectiveness: