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Saffola Cooking

Oil- The
Repositioning
Journey
Group 3-
GROUP-3
Shruti Mandal(050)
Niti Shekhar(098)
Athul Bhargav(316)
Sahil chopra(343)
Susnato lahiri(351)
Yajnik kavita n m (356)

Consumption pattern of Cooking Oil in India
India 4
th
largest cooking oil consuming country after USA,China & Brazil
Indias consumption of edible oil has risen to around 17.5 million metric ton
(mmt) in 2012-13 from 11.6 mmt in 2003-04
9.3% of the worlds oil seed production takes place in India
Marked switch from groundnut oil to cottonseed oil, soybean oil and
sunflower oil
Production of oil seed and edible oil is far below the requirement
60% of Indias edible oil consumption is met through import
Edible oil imports have grown by around CAGR of 7% during last three years
and by 16% in last five years.
Impacting edible oil demand is the increase in disposable income amongst the
growing middle class
High penetration of 90%


Consumption Pattern
Extreme variation in consumption. The countrys top 10% consumes 20kg per
capita and the bottom 30% less than 5 kg per capita
Four western India states of Gujarat, Rajasthan, Maharashtra and Madhya
Pradesh, consume one- third of total edible oil consumption in the country
Per Capita consumption of cooking oil

2007:
11.4 kg
2010:
12.87
kg
2015:
15.66
kg
Marketing of Cooking Oil in India
Key success factor:
Raw material sourcing: Quality of oil seeds at a nominal price
Ensuring regular supply: Mutually benefitting relationship between farmer and suppliers
Price competency: Efficient distribution network and better packaging technology to reduce cost
Branding and point of difference
Customers Perceived Values:
1. Economic : Price
2. Functional : Taste,Purity, Perceived quality
3. Psychological : Health benefits (intangible)

Analysis of marketing mix variables


Found from small kirana stores, to
retail shops, to wholesalers
Wholesalers stocks in larger SKUs
and less variants
Retailers store in small SKUs but
more variants
Special offers
Advertising
Free Gifts
Product quality Pricing: Better
quality oil, higher price
High volume ,Low Margin
Value Pricing: Product brand
positioning in the market



Value and perceived value is
a main consideration fro
buying and strong indicator of
the consumers psyche
Imperative that product offer
value both in terms of price
and quality
Product Price
Place Promotion
EXTERNAL INFLUENCES
CULTURE
Food Habit : Preference to taste is
paramount in India.
Shift from dalda & ghee to refined oil
Due to increasing number of health issues
like, heart ailments,obesity due to
changing lifestyle; shift to healthier
medium of cooking.
Influence of western culture: people prefer
olive oil
Everyday use oil will be different from the one used in
festivals or events or to entertain guests




SOCIETY
Preference of different variety of oil in different
parts of India. South-Coconut Oil, East-Mustard
Social Class: Rich shifting towards brands which are
costly & have added health benefits
Rural and Semi-urban markets : Stick to the local
brands
FAMILY
Joint family More than one brand
Nuclear family: Loyal to one brand
Presence of heart patient or elderly member in the
family: Suffola brand preferred
Urban small families; only couples, no children or elderly
busy lifestyle; brands that have health benefits attached
Children in family: deliberate avoidance of use of oil
that has added health benefits; generic brand preferred

GENDER
Female buyers : Taste preference, brand that will suit
children, health benefits, especially for husband or
elderly member in the family (if any)
Male Buyers: Brands that have health benefits only if
there is a patient of heart ailment or thyroid in family.
Else, indifferent towards the brand. Cost-sensitive
REFERENCE GROUPS
Doctors: Heart specialists- Suffola
Dieticians & Nutritionists Brands that have health
benefits
Gym Instructor.
Shopkeepers Reference with respect to price
Friends & relatives- Share experience, taste is the point
of reference.


INTERNAL INFLUENCES
FACTOR INFLUENCE
PERCEPTION Perception of oil as represented by the brand. Suffola is used for heart patients.
Depends on exposure, attention & interpretation
LEARNING Learning about a brand might or might not shift the content of the long term
memory. Ex: connection between heart ailments and Suffola. Brand & product
positioning
MOTIVE Motive is taste or health benefit or cost effectiveness. Depends upon the needs
PERSONALITY Modern , outgoing, health conscious personality would opt for oil that gives health
benefit. Target specific customer segment
EMOTIONS Fear factor depicted in ad of suffola induces one to buy for healthy living. On the
contrary, dissuades the use of the oil for kids.
ATTITUDE Cognitive components of oil and the affective components as depicted in the
advertisement.
HEALTHY HEART
Inducing fear factor and focussing on the niche segment of market :
Heart patients.
Ad intimated that Not using suffola can have serious repercussions.
Healthy Heart Foundation strengthened the image of Suffola as the
brand that is required by heart patients.
Doctors were the key influencers.
Non-heart patients, younger generation households, kids were not
included as the target consumers of the oil.
Suffola : Health insurance for husband
SEHAT SE JEENA HAI
Attempts to change the perception from oil to be used ONLY by heart
patients to the one that can be used by the whole family
Shift from the fear factor to the optimistic approach of healthy living.
Holistic benefits of the oil being promoted and not just Pufa.
Inducing the responsibility of ones own healthy being by shifting the
consumption to Suffola.
Below the line marketing focused on health clubs and gyms.
Tagline still contained the word heart : The heart of a healthy family.
KAL SE
Symbolic effort to become heathiler but falling short on
determination
Positioning as a brand expertise in heart carethat provides the
user with assurance
More forgiving in nature
Did not leave the viewer feeling frightened

THANK YOU !