Report On 1 Week Tenure at INCS

I have divided the report into 2 parts as follows;

1) Observations and suggestions on 1965 Rum solely.

2) Observations and suggestions regarding other brands.

Observations and suggestions on 1965 Rum;

Observations;

The following are the observations made regarding 1965 rum;

a. Old Monk Is A Culture;

During my time at the Navy canteen I keenly saw and realised that old
monk was not consumed as a beverage but rather as a cultural drink.
The soldiers are reluctant to try other brands as they feel they only have
the taste buds for old monk.

b. The Glass Bottle Is A Big Turn Off;

It has to be noted that a lot of the defence personnel show restraint in
buying the 1965 as they fear that it might break. While the glass bottle
increases the beauty of the product, the personnel feels otherwise as
they do not want to pay a premium price and end up breaking the
bottle.
c. The Price Of The Bottle;
In a price sensitive place like the Defence Canteens it makes sense to
say that the price of the 1965 is a major hindrance to its sale. The
biggest competitor to the 1965 rum is old monk which is priced at Rs.
159 which is in line with the price of our Contessa Rum while 1965 rum
is priced highly at Rs. 186. Hence the personnel have kept a liking for old
monk as it is cheaper but provides a similar premium feel. Not to forget
there are other cheaper rums like old fox which are priced significantly
lesser as compared to 1965 Rum
d. The Story Is Not Yet Out;
While convincing the Defence Personnel regarding our 1965 Rum, I
quickly realised that not many had actually even tried the beverage let
alone have any idea regarding the product itself. Yet there is so much to
inform regarding the ingredients and the story behind the rum itself.
e. The Comparisons With Old Monk;
Apart from the pricing, comparisons were made regarding the shapes of
both the bottles. I was even asked whether the rum was only dedicated
to the army as the crest has two guns crossing each other which
signalled ground troops leaving out the Navy and Air force.
 f. The Unique Selling Points Are Not Visible;
The unique selling points of the 1965 rum are the smoothness and the
flavours of chocolate and honey that make it a magnificent blend. But
none of this is mentioned clearly in the packing with only a small note
mentioning the ingredients and the story of the rum.

Suggestions Regarding 1965 Rum;

The following are the suggestions that would have a positive impact on the sales of 1965 Rum;

a. Free Cotton Bags With Every Bottle Of 1965;

The demand for 1965 might not be high but there is a huge demand
made by the personnel to the canteen officials to provide them with
something to carry their beverages. This could be an opportunity for us
to provide a small 6 bottle size cotton bag to every person who
purchases a bottle of 1965. On this bag we could even put the logo of
1965 and on the back a logo saying “Drink Responsibly”. This one little
scheme could work wonders as it will cater to the demand for
something to carry the beverages which will in turn help increase the
demand for our product, advertise the beverage and send a safety
message showing how much we care creating faith and goodwill in the
eyes of the customers. However this should be currently implemented
at the INCS on a trial basis as that could serve as a test market for this
strategy.
b. Make The Unique Selling Point More Visible;
The unique selling points of the 1965 are the smoothness and the
ingredients that make it an exotic beverage. These have to be
mentioned boldly in the packaging in order to let the word out
regarding the above mentioned aspects. An example to follow is the
Amrut brand as they poetically tell the story about how their product
came to existence and what blends differentiate it from the others.
c. A Niche Needs To Be Created;
A niche must be created between 1965 and other rums that would
make it a stand out in the segment. The fact that it is only made for the
Defence Personnel should be loudly advertised. Even adding a case to
the bottle would not be a bad idea as it would solve the problem of the
glass bottle which is also impacting the sales of old monk negatively and
also add a rather more premium feel to the product.
d. A Dedicated Program;
The dedication towards the Defence Forces is the message of the 1965
rum and it has to be shown to the forces by having dedicated programs
towards the welfare of the wives and children of the Defence Personnel
which has been a pressing issue for quite some time.
Observations and suggestions regarding other brands.

Observations;

The observations for each brand are listed below;

1. Magic Moments;
Magic Moments has been hugely popular as an easy cocktail among the forces
and sells for itself. One thing to be noted though is that despite verve being a
premium part of the magic moment family, it commands a high demand and its
absence at the INCS was quite a turn off for a large number of people. Seeing
the demand of Magic Moments, it should be said that the “Electra” will be a
humungous success when launched in this market.
2. Contessa Rum;
Just like the Magic Moments, the Contessa Rum flies off the shelf on its own.
The major competition is coming from other plastic bottle brands like old
smuggler which is similarly priced or old fox and Madeira which is significantly
lesser priced. While it has created its own place in the mindset of the
customers, it cannot be ignored that it faces a very stiff competition from its
rivals.
3. 8 PM Whiskey;
The 8 PM whiskey sold relatively well in its segment as the personnel preferred
it to others due to its plastic bottle packaging and the low price is also an added
incentive. There is no real competition to 8 PM in its segment and it has its own
place.
4. Whytehall Whiskey;
The Whytehall whiskey had very poor sales while I was at INCS. Competing with
Royal Stag, Royal Challenge, and McDowells No 1. This is the most competitive
segment that I saw in which customers already have a mindset and blatantly
ignore other brands. The biggest market share is with Royal Stag and McDowells
No 1 in this segment.

Suggestions;

The following are the suggestions that would have a positive impact on the sales of some of the brands;

a. The Price Of Contessa;

The price of Contessa should be lowered so that it could provide stiffer
competition to the likes of old smuggler and old foxx. Driving the price down
could also help drive down the sales of old monk as it would also directly
compete with it as well. A lower price could also ensure that Contessa further
cements its position in the market.
b. A Whytehall Revamp;
Whytehall which was ignored due to the competition needs to be reinvented in
order to survive in the market. A change in the packaging and a lower price may
suffice in reigniting the sales.