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MARKETING ASSIGNMENT


               KRAFT FOODS –
            MARKETING STRATEGY
                 FOR INDIA

                           ALOK JAIN
                           MBA, IIT KANPUR


11/5/2011                                    1
Estimation for the next 5 year
• Current market value of biscuit industry = 12000
  crore
• Average annual growth rate = 17%
• Average annual growth rate (Premium segment)=
  20 – 25 %
• Taking a conservative view = 15%
• Market value after 5 years = 12000*(1.15)^5
  =24136.28 crores                   Sales

             So the net worth of premium       Glucose
             biscuits in the next five year=   Premium
11/5/2011
             12068.14 crore                       2
Segmentation and preference




11/5/2011                             3
No More Complaints




11/5/2011                        4
Introducing NEWTONS
 • Premium segment
   product
   catering “aspiring
                           Taste + Health
   India”




Customized with
ingredients like
Almonds and Brahmi

 11/5/2011                             5
PROMOTION
    • Free trial pack with Bournvita.
    • Coupon with each pack and one pack free
    with 5 coupons ( for consumers)
    • Tea stalls to offer 2 biscuits free
    • Packs of three sizes targeting ASPIRING INDIA
    • Dedicated large shelf space at retail stores &
    Incentives on achieving sale targets
    • Advertisement in mass media

11/5/2011                                         6
Pricing and Packaging

                         Rs.5/-




                              Rs.10/-




                                   Rs.20/-
11/5/2011                                    7
Biscuits will be rolled out in cities initially




11/5/2011                                             8
SWOT analysis
                STRENGTH
                                                       WEAKNESS
•Kraft has strong brand image with over
                                          •New entrant in Indian biscuit
170 countries all over the world
                                          industry with such product
•Strong distribution network of cadbury
                                          •Difficult to sustain profit margin
in India
•Nutritious and healthy innovative
biscuit




                                                         THREATS
            OPPORTUNITIES
                                          •Threats from well established
•Entry for wide range of products in
                                          regional & local player
future
                                          •Increasing raw material &
•To capture the growing biscuit market
                                          distribution cost
of India
                                          •Highly volatile market and difficult
                                          adaptation
 11/5/2011                                                                        9
REFERENCES
• www.kraftfoodscompany.com
• http://articles.economictimes.indiatimes.com
  /2009-10-27/news/28409019_1_glucose-
  biscuits-biscuit-brand-nutrichoice




11/5/2011                                    10
Thank you


11/5/2011               11

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Marketing Strategy for KRAFT

  • 1. MARKETING ASSIGNMENT KRAFT FOODS – MARKETING STRATEGY FOR INDIA ALOK JAIN MBA, IIT KANPUR 11/5/2011 1
  • 2. Estimation for the next 5 year • Current market value of biscuit industry = 12000 crore • Average annual growth rate = 17% • Average annual growth rate (Premium segment)= 20 – 25 % • Taking a conservative view = 15% • Market value after 5 years = 12000*(1.15)^5 =24136.28 crores Sales So the net worth of premium Glucose biscuits in the next five year= Premium 11/5/2011 12068.14 crore 2
  • 5. Introducing NEWTONS • Premium segment product catering “aspiring Taste + Health India” Customized with ingredients like Almonds and Brahmi 11/5/2011 5
  • 6. PROMOTION • Free trial pack with Bournvita. • Coupon with each pack and one pack free with 5 coupons ( for consumers) • Tea stalls to offer 2 biscuits free • Packs of three sizes targeting ASPIRING INDIA • Dedicated large shelf space at retail stores & Incentives on achieving sale targets • Advertisement in mass media 11/5/2011 6
  • 7. Pricing and Packaging Rs.5/- Rs.10/- Rs.20/- 11/5/2011 7
  • 8. Biscuits will be rolled out in cities initially 11/5/2011 8
  • 9. SWOT analysis STRENGTH WEAKNESS •Kraft has strong brand image with over •New entrant in Indian biscuit 170 countries all over the world industry with such product •Strong distribution network of cadbury •Difficult to sustain profit margin in India •Nutritious and healthy innovative biscuit THREATS OPPORTUNITIES •Threats from well established •Entry for wide range of products in regional & local player future •Increasing raw material & •To capture the growing biscuit market distribution cost of India •Highly volatile market and difficult adaptation 11/5/2011 9
  • 10. REFERENCES • www.kraftfoodscompany.com • http://articles.economictimes.indiatimes.com /2009-10-27/news/28409019_1_glucose- biscuits-biscuit-brand-nutrichoice 11/5/2011 10