CONSUMER BEHAVIOUR

CIA-1A

SWOT & STP Analysis of Bourbon Biscuits

Vishal Kedia (1723141)
Darshana Kothari (1723149)
Vrinda Bajaj (1723180)
5 BBAH-B
INTRODUCTION
SWOT ANALYSIS
Strengths
 Bourbon’s price allows consumers to
make spontaneous purchases, thus
increasing sales.
 Extensive distribution system
ensures that the product reaches the
masses.
 Attractive advertisements
 Goodwill of Britannia gets with
itself a large audience and customer
trust.
 High Self Visibility – Bourbon is
easily visible all grocery stores and
super markets.
 Product quality
 Efficient packaging
Opportunities
 Over sea markets can be tapped to
increase sales and presence of the
product globally.
 Increasing demand for healthy
biscuits. People are demanding more
and healthier choices of biscuits;
Bourbon can try and tap this market
with a few changes in the product.
 Distribution in rural areas will
increase the reach of the product
within the country and generate more
sales.
 Different flavours can be introduced
in Bourbon to provide something new
to the customers.
Weakness
 Limited target market since not
everyone likes chocolates. The
market of the products gets limited
to chocolate lovers.
 High dependence on middlemen
for distribution of the product.
Bourbon is circulated only through
middlemen, which leads to huge
dependency.
 Lack of over sea presence since
Bourbon is circulated majorly only
in India. The biscuit is not found is
over sea markets.
 Poor distribution in rural areas.
Threats
 Threats from salted snacks and
non chocolate flavoured biscuits.
Currently Bourbon doesn’t cater to
these needs.
 Threats from other brands’
chocolate biscuits. Eg: Parle
 Threat from chocolate. People may
choose simply chocolate over a
chocolate biscuit.
 New entrants into the biscuit
industry.
 Increase in price of raw material.
If the price of raw material increases,
the product cost will increase too.
STP ANALYSIS

The STP analysis is a process, an important concept in the study and application of
marketing. The letters STP stand for segmentation, targeting, and positioning.

The STP process demonstrates the links between an overall market of a particular
product and how a company chooses to compete in that market through its unique
ways to reach the consumers. A process, with segmentation being conducted first,
then the selection of one or more target markets and then finally the implementation
of positioning. The goal of the STP process is to guide the organization to the
development and implementation of an appropriate marketing mix, as highlighted in
the following diagram.
SEGEMENTATION:

1. Geographic: The bourbon biscuits of Britannia have a geographical segmentation in

Urban, Sub Urban and Rural areas, implying that they have tapped all the areas in the
Indian sub-continent. The biscuit was launched in 1910 when there was no competitor
and hence it made the work of competitive promotions a little easier. Taking the level
of production to full swing the company successfully tapped the whole of Indian
cream biscuits market.

2. Demographic: Demographic division may include a variety of factors or

characteristics used to separate a market’s population into groups that fit a company’s
target customer profile. Bourbon’s two main factors were age and income brackets
and other less relevant ones include education, gender, social class etc.

Age: The focus is on children, age group of 4-15. The age group is somewhat a little
restricted as it is a sweet cream biscuit which is a fantasy for the kids till date.

Income: It caters to all income groups not by making different price wise variants but
through the strategy of lower pricing. The lowest price of a packet of bourbon biscuits
is Rs 5 which makes it affordable to almost all income groups. Hence it is known for
its economic price.

3. Psycographic: Britannia, Bourbon is particular has adopted itself according to the

convenience and lifestyle of the Indian consumers so Britannia came up with a
different and new product line which catered to the lifestyle, personality and social
class, Bourbon.
4. Behavioural: Factors stemming from human behaviour. They might be due to
personality, the situation, or are a reaction to the environment.
Benefits: good health good status and quick to make
User Status: regular instant
Loyalty: STRONG
Attitude: Low involvement

TARGETING
A target market is a group of customers towards which a business has decided to aim
its marketing efforts and ultimately its merchandise. Britannia Bourbon is targeting
not all customers. This brand is for those who love chocolate flavor. The brand is
aiming the 4-15 year old segment of children mainly. This is a type of chocolate
flavored biscuit that one will indulge when they feel like indulging. Because this
product tastes differently from ordinary chocolate filled biscuits, the brand was
targeted to appeal to a select niche.

POSITIONING
It refers to customer’s perception of the place a product or brand occupies in a market
segment. In some markets, a position is achieved by associating the benefits of a
brand with the wants or life style of the segments. More often, positioning involves
the differentiation of the company’s offering from the competition by making or
implying a comparison in terms of specific attributes.

A Healthier alternative • Enjoyable and healthy food

With different various products Britannia do not only positions as a biscuit manufacturer. But they
also give very much importance over food quality. They basically position themselves as a
manufacturer of food with delivering higher quality and cost benefits values to their customers. Their
packaging of the products also defines themselves as a company for every consumer with different
pricing options. This strategy helps the company to capture a huge market share