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ITC Foods

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Group 4:

Ankit
Duggal
Supriya.H.G
Sushma.N
Swati
Bansal
Indian Snacks INDUSTRY
Indian Snack food market is estimated to be worth
US $3 billion

Organized sector is growing at 15 -20 per cent a


year.

Unorganized sector is growing at 7-8 per cent.

The market in India is diverse with over 1,000


different snack products and some 300 types of
savories.

Potato-based snacks, and in particular potato


chips, are the largest product segment, holding an
ITC Foods division
ITC Foods, which entered the market in 2001, is the
smallest business in the Rs 23,000 Cr. ITC Group.

The launch represents ITC Foods' fifth major line of


foods business after the highly successful Staples,
Biscuits, Ready-to-Eat and Confectionery businesses.

The Bingo brand of chips was launched by ITC on


14th March 2007 with an aim to capture at least 25
percent market share of the Rs 2000 crore branded
About
The launch is symbolic of ITC Foods' distinct
approach of introducing innovative and
differentiated products in a largely
undifferentiated market place.
Bingo’s launch was strategically timed around
the World Cup.
The idea was to get the consumer to take that
first bite.
The company has positioned this brand as a
flavours
Bingo’s portfolio includes an array of products in both
Potato Chips & Finger Snacks segment.
The Potato Chips offerings comprise of 4 innovative
variants inspired by the snacking habits of different
parts of the country as well as Masalas, Salted and
Tomato flavours.
ITC Foods

BINGO! ~ PRODUCT PORTFOLIO

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Bingo! ~ Product Portfolio
Bingo provides innovative finger foods like the
pakoda inspired Live Wires,
Khakra inspired Mad Angles and time pass
snack in the form of Tedhe Medhe.
The Potato Chips offerings include Salted,
Masala and Tomato flavours, Chatkila Nimbu
Achaar, etc.
Bingo! – International Cream & Onion is the
brand’s latest addition to its existing unique
and exciting range.
Value ProPosition

•Variety & innovation in a largely undifferentiated market

•Foray into the “H ealth Snacks ” segment by introducing Bingo as baked-chips

•ITC launched BINGO in 16 flavor s to cater to tastes of the country

•Leveraged the retail and marketing expertise of ITC Foods

Market Share: Organized


Sector

Before the launch of Bingo, After the launch of Bingo, Dec


Mar 07 08
Segmentation

12 - 20
Years Conservative,
reserved, shy
> 50 20-35
Years Years
Outgoing, Segmentation:
35-50 Fun Loving,
Years Bindaas Age Group
Attitude/Behavior
De mogra phi c (A ge Psy cho grap hic (A tt itu de / Geography
Gr ou p) Be havior) Taste

Plain
North
Salted

Musta Nimbu
West East rd flavor
Spicy /
South Red Chilly

Indian Geog raphy Tast e


Targe ting

Outgoing,
20-35 Fun Loving,
Bindaas
Years West

De mo grap hi c A ge Plain Atti tu de / Beha vior


Grou p Salted

East Mustar Spicy /


d Sting Red ChillyNorth

Nimbu
Spicy

South

In dian Ge og ra phy & Tast e


Positioning

Bingo! is positioned as a youthful and innova


snack, offering the consumers with choice in
of both formats and flavors including Local ta

Crisp and Clear Punch line

Lays is positioned as a very good quality


snack with international taste.

No one can eat just One..!


Competitors

The major competitor of Bingo is Lays with a


market share of 45%
Haldiram with market share of 27%
Bingo is holding 16%
Regional players are holding rest of the share
What’s in my name ?? (brand name)

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Who am i?? (Brand identity)

Bring excitement to the lives of the customers.


A brand which is for the whole country by
providing the customers with tastes (flavors)
from all around India.
Bingo identifies itself as a brand which is
youthful, fun and colorful
The unique shapes in which it comes, which
makes it easily recognizable amongst the
consumers.
What do I possess?? (brand property)

Bingo has a unique musical sound that is


loved by everyone.
It is one of the properties that is remembered
by everyone and it is used to recall the brand
by every age group.

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How do I look? (Brand Packaging)

The packaging is very attractive


with dominant variant color, crimp
border colors and a pictorial view
of the flavor.
This property of flavor depiction is
very informative for consumers
and a layman can also associate
with it.
The names provided to various
variants are very traditional and
Indian, so that people can easily
What do I portray? (Brand Personality)

Innovative Stylish and Cool


Experimentative
Adventurous
ADVERTISEMENTS
The advertising strategy used humour to sell Bingo.
ITC used a 360 degree brand building effort to boost the
new launch.
Ogilvy & Mather (O&M), focused to position the brand
as youth-centric.
The variety came through a series of fun campaigns —
consumers were asked to design the ads for Bingo using
the angular shape of the chips as the central theme.
Crowd sourcing which serves two purposes – it engages
the end-consumer and the campaign is done at the
MERCHANDISING
MERCHANDISING BINGO!
Superior material (Moulded plastic) provides
better aesthetics
Increased Visibility of packs with amphi-
theatrical tray design
Slotting allows for standalone vertical
stability of packs
Modularity & Standardization
Entry with 3 trays to avoid excessive
inventory/empty space
Whenever needed, 4th tray can be
MARKET WARFARE
Bingo!
Most of the advertisements were considered vague
In initial stages about 70% of viewers could recall
the brand.
This helped in capturing 16% of market share in
just 18 months.
The Advertising was highly successful in creating
Brand Awareness
Lays

Frito Lays has revamped the product by


reducing the saturated fat content by 40 per
cent.
Healthy snacks is the next buzzword.
Frito Lays is expected to launch Rs 3 packs for
higher penetration.
SUCCESS FACTORS

High Decibel Advertising : Bingo was able to


capture the Share of Noise through its heavy
spend.
Novelty Factor : The snack market is driven by
impulse purchases
Regional Flavors: Lays was the first to localize
flavors but Bingo specialized on local flavors and
the key differentiator was the Localized flavors.
Distribution strength: The strong distribution has
helped in terms of Shelf Space and retailer
Brand identity Prism
ITC, Inn ovative,
Shape s,
Games , Expe rim ent -
P oing! !! ati ve
e Pe
qu rso
y si na
Ph lity
Relationship

Culture
Ou tgo ing Indi an,
, F un Dif ferent
loving

Cu
sto e r ’s n
m t o m ctio
Re s er ’ s
Cu proj
e
fle
cti
on e lf-
S
Cool, I am
Young a t Bi nda as!!
hea r t !
Survey

Survey Questionnaire for Bingo!


Survey Analysis
1.1 Frequency of chips purchase
1.2 Awareness about brands
1.3 Knowledge about bingo!

1.4 TRIED BINGO!


1.5 No. of flavours tried

1.6 IMPACT OF BINGO COMMERCIALS ON BUYING DECISIONS


DID YOU BUY BINGO! AFTER WATCHING THE COMMERCIAL
1.7 Rating Bingo
1.7.1 Flavours

1.7.2 Packaging
1.7.3 Name Appeal

1.7.4 Availability
1.7.5 Taste
1.8 what describes bingo!?
1.9 Recallable properties
Nodal map For bingo!
bole to?????
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I try Bingo Differently
because it shaped,
stands apart, cool and
different from fun chips to
the crowd, have
almost edging on
"weird"

Good traditional
Indian flavours
but Ilove to
consume those
flavoured items
as dishes in the
restaurant
Too many
flavours Not able to
confuse differentiate
me!!!! whether it is
Indian or
international

Amazing
taste!!!!
Problems
Stagnant Market Share
Brand Loyalty of Lays customer is posing threat to
Bingo
Many of the flavors of Bingo are having the same look
and packaging
Advertisements have failed in creating an urge among
customers to go and buy a pack of Bingo
Unawareness of the variety of flavours
Threats of local players
Taste and too many flavours
ITC Foods

BINGO! ~ PRODUCT PORTFOLIO

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Recommendations
BRAND Packaging
Bingo! can come up with different shapes of
packaging. A triangular pack can be one of the
options
Benefits:
Different packaging always attracts consumers
Novelty sustains the consumers’ interest in the brand

Usage of different colors for packaging


different flavors, so that the customer is able
to differentiate among various flavours
BRAND PROMOTIONS
Seasonal promotions
Gift packs: Combo packs in festival
season with 4-5 flavors
Tie up with Coca Cola: At time of
Diwali, Cricket Tournaments etc…

Title sponsors for programs


targeting the youth
Change in ADVERTISING
Change in Advertising: The existing advertisements have
been successful in creating brand awareness. The new
advertisements will focus more on taste and variety of flavours
available and tempting the consumers to purchase the product
after seeing them.
A continuing character will be used in the advertisements.
An animated potato will be used in the advertisements, where
the tastes of the various flavors will be theme the
advertisements
Flavours
Having too many flavours is causing some
problems because customers can’t
differentiate between.
So many (16) variants is a good option to launch with so that
people are tempted to try each of them
But gradually they can reduce from their portfolio, the ones which
they come to know are not doing well in the market
So this would also reduce the problem of confusion amongst the
consumers.
CONTESTS

To launch a ‘send in your Bingo!


Recipe’ contests.
Tha nk You