ITC Foods

Group 4:
Ankit
Duggal
Supriya.H.
G
Sushma.N
Swati

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 85%-

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
snack market within 5 years.

ABOUT

The launch is symbolic of ITC Foods' distinct

approach of introducing innovative and
differentiated products in a largely
undifferentiated market place.

Bingos 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

Bingos 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.

BINGO! ~ PRODUCT PORTFOLIO

ITC Foods

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

brands latest addition to its existing unique
and exciting range.

VALUE PROPOSITION

Variety & innovation in a largely undifferentiated market

Foray into the Health Snacks segment by introducing Bingo as bakedchips

ITC launched BINGO in 16 flavors to cater to tastes of the country

Leveraged the retail and marketing expertise of ITC Foods

10%

Market
Market Share:
Share:
Organized
Organized Sector
Sector
25%

Haldira
m
Lays

65%

Before the launch of Bingo,

12%

45%

27%

16%

Haldira
m
Bingo
Lays
Others

After the launch of Bingo, Dec

SEGMENTATION
12 - 20
Years
> 50
Years

20-35
Years
35-50
Years

Demographic (Age
Group)

Conservative,
reserved, shy
Outgoing,
Fun Loving,
Bindaas
Psychographic (Attitude /
Behavior)
Plain
Salted

North
West

East
South

Indian Geography

Musta
rd
Sting

Nimbu
flavor
Spicy /
Red Chilly

Taste

Segmentati
on:
Age Group
Attitude/Beh
avior
Geography
Taste

TARGETING

Outgoing,
Fun Loving,
Bindaas

20-35
West

Years
Demographic Age
Group

Plain
Salted

East

Mustar
d Sting

Spicy /
Red ChillyNorth
Nimbu
Spicy

South

Indian Geography & Taste

Attitude / Behavior

POSITIONING

Bingo! is positioned as a youthful and innova

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

WHATS IN MY NAME ?? (BRAND NAME)

Exclamat
ion Mark
Recallabl
e

Easy to
pronoun
ce

Trendy
and Fun

Catchy

14

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.

16

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

Experimentative

Adventurous

Stylish and Cool

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
lowest possible cost.

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

trays

to

avoid

4th

tray

excessive

inventory/empty space

Whenever

needed,

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 support.

BRAND IDENTITY PRISM

ITC,
ITC,
Shapes,
Shapes,
Games,
Games,

Cool,
Cool,
Young
Young at
at
heart
heart

y
Ph

ue
q
i
s

Pe
rso

na

lity

Culture

Outgoin
Outgoin
g,
g, Fun
Fun
loving
loving

Relationship

Poing!!!
Poing!!!

Innovative
Innovative
,,
Experimen
Experimen
t-ative
t-ative

Cu
s

t om
Re
s er
fle
c ti
on

r s n
e
m tio
o
t
s ojec
u
C pr
lfe
S
II am
am
Bindaas!
Bindaas!
!!
!!

Indian,
Indian,
Differen
Differen
tt

SURVEY

Survey Questionnaire for Bingo!

SURVEY ANALYSIS
1.1 Frequency of chips purchase

Daily

3%

2-4 times a week

18

20%

More than 4 times a

4%

64

72%

week
Occasionally

1.2 AWARENESS ABOUT BRANDS

Lays

85

96%

Kurkure

81

91%

Uncle Chips

65

73%

Pringles

44

49%

Bingo

77

87%

Desi beats

44

49%

Haldiram namkeens

69

78%

Other

13

15%

1.3 KNOWLEDGE ABOUT BINGO!

Friends
TV
commercials

8%

82

94%

1%

25

29%

3%

Posters
Retail Shops
Other

1.4 TRIED BINGO!

Yes

69

79%

No

18

21%

1.5 NO. OF FLAVOURS TRIED

1 - 2 Flavours

52

75%

3 - 5 Flavours

16

23%

1%

6 or more
Flavours

1.6 IMPACT OF BINGO COMMERCIALS ON BUYING DECISIONS

DID YOU BUY BINGO! AFTER WATCHING THE COMMERCIAL

Yes

39

46%

No

45

54%

1.7 RATING BINGO

1.7.1 Flavours
Not Good

Very Good

1.7.2 Packaging

Not Good

Very Good

6%

51

65%

23

29%

11

14%

50

66%

15

20%

1.7.3 Name Appeal

Not Good

Very Good

1.7.4 Availability
Not Good

Very Good

11

14%

38

49%

29

37%

16

20%

29

36%

35

44%

1.7.5 Taste
Not Good

Very Good

14

19%

51

69%

12%

1.8 WHAT DESCRIBES BINGO!?

Energetic

11%

Cool

13

15%

Fun

32

38%

Hot

11%

Sweet

1%

Youthful

22

26%

Mischievo

34

40%

16

19%

us
None

1.9 RECALLABLE PROPERTIES

Jingle (Poing..!!!)

49

58%

Characters of the

22

26%

Jokes

28

33%

Brand Name

27

32%

commercial

NODAL MAP FOR BINGO!

Timepa
Timepa
ss
ss

Indian
Indian
flavou
flavou
rs
rs

Sense
Sense
less
less
ads
ads
New
New
Shape
Shape
s
s

Bad
Bad
taste
taste

Humou
Humou
rr
Lays
Lays
is
is
better
better

Poing
Poing
!!

Party
Party
time
time

Weird
Weird
and
and
wacky
wacky
ads
ads

ITC
ITC
Foods
Foods

bole to?????
38

I try Bingo
because it
stands apart,
different from
the crowd,
almost edging
on "weird"

Differentl
y shaped,
cool and
fun chips
to have

Good
traditional
Indian flavours
but I love to
consume
those
flavoured
items as
dishes in the
restaurant

Too
many
flavours
confuse
me!!!!

Not able to
differentiate
whether it is
Indian or
internationa
l

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

BINGO! ~ PRODUCT PORTFOLIO

ITC Foods

42

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 available

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

E.g. Splits Villa on MTV, Indian idol

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 cant 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.

Thank You