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International Institute of Management &

Human Resource Development (IIMHRD)

ITC’s Aashirvaad Atta

Submitted By
Ankita Ravekar
Introduction

Indian Packaged Food Market

Estimated to be US$ 4 percent of the


10 million overall F&G market

Expected to reach Expected to reach 5


US$ 20 million by the per cent of F&G
year 2014 market by 2014

ITC’s Aashirvaad Atta


• Launched on 27th May 2002
• Number one branded packaged Atta across the country (Market
Share of 55%)
SWOT Analysis – ITC (Packaged Food Industry)

WEAKNESSES:
STRENGTHS:
Wide Distribution Network Negative Tobacco Influence
Presence in Varied Sectors Revenue Dependency on
Tobacco Products
E-Choupal

ITC
Quality
THREATS:
Domestic Competitors
International Competitors
OPPORTUNITIES:
Government Restriction on
Emergence of Hyper-Markets Tobacco Industry
Low per Capita Consumption of
Packaged Food Product
SWOT Analysis – Aashirvaad Atta

WEAKNESSES:
STRENGTHS:
Market Leader Premium Priced Product
Quality Focus
No Rural Market Focus
Utilization of E-Choupal
Wide Range of Product Lack of Advertisement
Packaging Aashirvaa THREATS:
d Atta
Local Chakki Atta
OPPORTUNITIES:
Domestic Competitors
Growing Market
International Competitors
South Indian Markets

Collaborate with fast food chains


Key Findings of Competitor Analysis

• Annapurna, being higher priced than Aashirvaad, is losing out


• Local Chakki Atta, Pillsbury and Shakti Bhog have a lower market price and
pose a significant threat to Aashirvaad’s market share

• Local Chakki Atta, having a strong foothold in Tier2 and Tier3 cities is a
major threat to Aashirvaad Atta’s market share since it comes cheaper and
guarantees freshness

• Aashirvaad Atta needs to improve its promotional strategy; others have


signed brand ambassadors and advertise more

• Focus of Aashirvaad Atta on quality through its E-choupal initiative, PET


Poly packaging and a strong distribution network have enabled it to capture
the Atta market
Marketing Survey (Online and Field)

Factors Affecting Customer’s preference

• Quality is the most important


factor affecting customer’s
choice
• Price and packaging are also
very important factor which
the customer takes into
account while purchasing
Atta
• People usually stick to the
product which they have
found satisfactory in the past
• Free gifts is the least
important factor
Marketing Survey (Online and Field)

Customer’s Perception of Aashirvaad Atta

• 58 % of the respondents
believe that Aashirvaad Atta
is of good quality
• Only 25 % of respondents
are satisfied with its
promotion
• Customers are also satisfied
with the packaging and
highly satisfied with the
availability
• Around 20 % think that the
brand is highly priced
Marketing Survey (Online and Field)

Key Findings of the Survey


• Quality and past experience are most important factors which affect the
decision of customers while buying Atta
• Aashirvaad Atta is the preferred brand of customers. Local Chakki Atta
comes next followed by Pillsbury Atta and other packaged brands
• The company can improve the awareness by more advertising campaigns to
reach a greater customer base, to get greater customer share and to ensure
higher repurchase

Limitations of the Survey


• Around 70 % of the responses were through online survey
• Most of the respondents belong to a limited age group of 20 to 30 years
• Almost all respondents belong to the middle and high-income group
Conclusion

• The general perception of consumers towards Aashirvaad Atta is positive


about quality, availability, and packaging and pricing
• ITC’s wide distribution network and e-choupal initiative is one of the major
reasons which have put Aashirvaad Atta at the top
• Aashirvaad Atta has many competitors – Pillsbury Atta, Annapurna Atta and
the unorganized local Chakki Atta provide the stiffest competition to the
brand
• Advertisement for the Aashirvaad Atta is found to be infrequent and recall is
low. So, the company can step up its advertising campaign to increase
awareness
• Aashirvaad Atta can collaborate with Retail food outlets, Restaurants and
Sweet Shops, which are bulk customers of Atta and directly supply them the
product at a discounted price.
THANK- YOU

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