Leadership

Probiotic
Yakult a product of Danone, it has developed intestinal bacteria (a drinking product) as a factor of
health maintenance. In India, the product launched in 2011 and has been actively working to build
awareness about probiotics and contribute to health society. Yakult India was awarded the jury award
for Emerging Company of the year of 2011 from Frost & Sullivan. This award justifies the long-term
sustainability and presenting tremendous market potential simultaneously. This product aims at
presentation is better than cure. Preventive medicine and affordable price with the advantage of no
such other big player in the market makes it the leader in the Indian market for bacteria related
product for intestine.

Currently the target market for this product is tire 2 and tire 3 city customers where it is already
present in 40 cities and the aim of the company is to expand it to more 60 cities by 2020.

"We contribute to the health & happiness of people around the world through pursuit of excellence
in life science in general and our research and experience in micro-organisms in particular" said by
Danone.

Flavoured Yogurt
After failed to create a market for flavoured yogurt in 1980s . the company tried to enter India again
in 2009 smoothies, flavoured yoghurt (all packaged in UHT packs for increased shelf life), as well as
Bengal's mishti doi which is liked by West Bengal. Though there was a rapid growth in the market
leader AMUL but still Danone had a very slow growth since its launch. While industry veterans agree
that Danone's yoghurts and smoothies were excellent in terms of quality, the biggest flaw in the dairy
company's strategy was its narrow focus on yoghurts. Danone had a single category, which was
yoghurt-based products. It is priced at a huge premium and the majority of Indian consumers do not
understand the concept of flavoured yoghurt.

Another reason for their failure was they owned their distribution and supply chain as they do globally,
which will never work in India. Owning a cold chain fleet involves huge costs and will never be
profitable. In order to reach every nook and corner of the country, in India one has to depend on a
network of distributors. Despite being the global leader I diary product it failed in Indian market.
Protinex
It was a product that is specially formulated protein rich, on-the-go nutrition snack for everyone with
busy lifestyles, which entered to the Indian market in 2017. However, this time Danone learnt from
its mistake and gave India the reason to consume this product not like flavoured yogurt. 80% of Indians
lacked in protein. The mission of the company with this product was to provide the nutrition that the
all the family members lacked in India. By which the target customer were of all ages. It had a much
bigger opportunity for innovation and consumer engagement.

The company tailor-made for Indian consumers' nutritional needs, promoting healthy eating habits
and meeting taste preferences through a systematic science-based co-creation approach.
Indianization of innovation. This initiative also they learnt from their past mistakes.

For Indian market- recently in April, 2019 the company introduced mango flavoured protinex, to meet
the local nureitutional and taste requirement. As all the age groups in India like mango and protinex
target all the age groups as its target market, the company choose this flavoured only for the Indian
market. Danone protinex is already the market leader in India but the brand now wants to build-up
strong customer loyalty.

Diversity of choices
After seeing, the preferences of people are changing in consuming food products. In 2017 Danone
introduced Silk’s nut and soy milk range and plant-based nutrition shakes which are eco-friendly with
low carbon footprint and vegan friendly. It is a very niche market but Danone is global and Indian
market in this type of product. This product was introduced with keeping diversity in mind.