The Needy, the Greedy and the Chain Smoker

Abhishek Kumar Singh Dhawal Pratap Singh Kantilal Rathore

FMS DELHI

Key Trends of Indian Spices Market

. . . . Total spices market in India Branded market accounts for only Unorganized market is estimated at Exports of spices worth . Branded spices segment growth 30 per cent

Market analysis
Among fastest growing industries Increasing exports Easy availability of raw material Less investment Cant be stored for long time. Environment factor affects raw materials High transportation cost

Increasing Demand

Competitors

Challenges

Market Dynamics

Vast market to capture Good foreign demand The market of packed spices is increasing day by day.

Loose spices in market Stocking habits of consumers and not purchasing when needed also affects sales. Cutthroat competition

Increased consumer consumption Manufacture of various flavors & flavor ingredients Application in food preservation , beverages , medicinal use.

Anmol masala, Duta masala, , CookMe ,MDH ,Everest, Priya , Ramdev, Catch, Mothers Recipe, Pushp, and many more

To change ageold cooking practice of rural homes Women who prefer to make masala powder themselves

Fiercely competitive market dominated by the unorganized sector Strong regional preferences ; abundant local players and instore packaged labels

Market analysis
Customer needs/ Define Market Company capabilities Competition & Market Dynamics Collaborators/ Complements

Market Selection
Market Segmentation & Selection Segment Targeting
Product Positioning

Marketing Mix

Customer Acquisition
Awareness Interest Action

Product Price Place/Distribution Advertising & Promotion

Customer Loyalty & Retention

Current market Scenario (Internal & external perspective)

Whom do we want to go after & How?

What we sell? Where do we sell it? How do we sell it? How do we retain customers?

 Rural & semi urban areas Villages population more than 5000

Age 21-60 ladies All family sizes Semi skilled & skilled workers

FULL MARKET COVERAGE

Lifestyle Spicy eaters Personality - Foodies

Regular users Attitude towards products High usage rates

Everyone eats food Taste for spicy flavour found in all segments Fish eaten by all Spice- necessary ingredient

Chilli powder Dry ginger Turmeric powder Garam masala Coriander powder Sabji masala Black pepper Chicken masala White pepper Biryani masala Cumin Curry powder

Competitive advantage
Value for money segment Attract new customers to try Makes customer switch brands Rural customers are price sensitive

Entry barrier for new players

USP: Value for money

Positioned as : Homemade Masala

Warehousing

Transportation Effective distribution channel

Production facility
Feeder Towns

Super Distributors

Large Distributors who have access to smaller ones in the region

Dispersed market
Seasonal demands
Supply Chain managers on regional revels

Distributors

Direct selling:
Housewives, affinity groups Joint distributing by non competing companies Distribution to mandis- vans at weekly bazaars
Wholesalers
City level stores that sell goods in bulk to retailers/end consumers

Retailers

City/ Village- level stores that sell goods to end customers

Special stalls during pujas & other cultural occasions Movie shows on projectors and then free samples

Advertisements painted on walls

Regional Radio ads Banners on cycles ,rickshaws and Buses Door to door selling by housewives and affinity groups Promotion through Mobile Vans Melas & fairs; Weekly Haats

Credibility and Influence

Market leader, brand promoter

Customer Retention
Loyalty Coupons & rewards Eg: Spoon, bowl, plate Distributing notebooks, Lunchboxes to school kids in rural area

Products line Extension Royal branded masale Enhanced Aroma Finely ground
Other new variants Tamarind Tej patta Egg curry masale Tandoori chicken masale Milk tea masale Ginger & Turmeric

Geographic expansion Cities of West Bengal Rural areas of Uttar Pradesh Madhya Pradesh Maharashtra Rajasthan Punjab

Emotional Connect

Tie-up with Mid-day mean scheme Entertainment and awareness events for villagers Eg: Durga Puja Pandaals , polio campaign,etc

Brand Extension
Enter into snacks Category Involve saleswoman into selling other products

Backward Integration