Britannia - Overview

Established

in 1892 Headquartered in Kolkata Product variants Bakery, Confectionery & Diary Public issue in 1978 Crossed 100 cr. Revenue in 1983 Identity Eat healthy, Think better 38% market share

Product Line
Biscuits
Glucose Cream Nutri Choice Marie Good day 50-50 Milk Biscuits

Dairy
Cheese Curd Yog-hurt Tiger Zor

Cakes

Bread

BCG matrix

Competitors

VS
Category Glucose Marie Salty snacks Choco chips Milk Bourbon Britannia Tiger Marie Gold 50-50 Good day Milk bikis Bourbon Parle Parle -G Parle Marie Krack Jack Hide n seek Milk sakhti Hide n Seek Leader Parle-G Marie Gold Krack Jack Good day Milk bikis Bourbon

Nice
Multi grain Cream Cookie

Nice
Nutri choice Cream Treat Good day

---------Kreams 20-20

Britannia Nice
Nutri choice Cream treats Good day

Strength

Weakness

Widely accepted in all generations

Easily available in various forms Provide good instant remedy for hunger in the form of readymade food

Increases the cost of food product

Industry and technology requires high investment Regular usage of processed food can

Preserves the non-seasonal food and

makes it available all throughout the year Opportunities

cause alteration in health

Unable to utilize all the resources efficiently Threats Many companies are result oriented Storage of raw materials Sometimes provide poor quality of product for more profit Lack of technology

Increase economy of India Increasing competition from foreign companies Improving living standard Provide goods to nation at cheaper rate Inflow of foreign reserve and funds for the govt.(taxes)

STP Analysis
SEGMENTATION Age Group: Different products for different age groups Niche Snacking segment: For those individuals who are on the go, the company introduced small packs Occasions: Britannias Shubh Kaamnayein is for special occasions like festivals. TARGETING Full Market Coverage: Britannia follows full market coverage pattern of target market selection It has differentiated marketing segment pattern i.e. it operates in several market segments and design different products for each POSITIONING With Eat Healthy, Think Better. Britannia positions itself as a healthy and nutritious alternative

Research & Development

Every year 9.5 crores (approx) spent on R&D Continuous research in the area of nutrition, analytical techniques, ingredients, packaging materials, process technology and food safety Special team initiated for delivering specially formulated and fortified products Packaging upgradation for differentiation and serving different consumption occasions and target groups

Supply chain

Corporate social responsibility

Underwent branding of sorts and adopted the corporate mantra 'Eat Healthy, Think Better First company to reduce sodium and sugar levels Energy-snacks specially created for people with diabetes Support several NGOs by supplying specially formulated Iron Fortified Biscuits Increase awareness of childhood malnutrition and formulates products to cater to this Engaged with GAIN (Global Alliance for Improved Nutrition), UNWFP (United Nations World Food Program), The Navjyoti project was launched to fight iron malnutrition through the supplementation of biscuits with iron

Financials

Financials

Financials

Financials

Financials
68 70 61 60 50 40 30 38 59 62 66 66 65 64

64

62 26

62

60

20
58 10 0 56

59

2006-07

2007-08

2008-09

2009-10

2010-11
54 2006-07 2007-08 2008-09 2009-10 2010-11

Dividend payout ratio

Material cost component

Financials
35 29.99 26.98 25 24.67 25.29 16 14 12 20 19.32 10 8 6 4 5 2 0 2006-07 2007-08 2008-09 2009-10 2010-11 0 2006-07 2007-08 2008-09 2009-10 Inventory turnover ratio 2010-11 Return on long term funds 9.98 10.31 13.64 15.06 30 14.54

15

10

Human capital
Focused

on people and their competencies for delivering superior performance through development programs Food Safety Programs, TQM, Kaizen initiatives Gyanodaya which is a development program in partnership with XLRI PeoplePlus programme

Way forward
Operational efficiency Expansion in milk segment distribution Bring niche products in bread segment Launch of Wafers Entering Chocalate segment

Presentation By --Ambarish Deshpande Amol Hiremath Avijit Chatterjee Chirag Kotak Mehul Gala Milan Trivedi Nirmitee Susvirkar Savita Sakalani Sushma Prasad