This is an academic project.

1. PACKAGED TEA LEAVES
SECTION: B
GROUP: 8
CHITTRESH DHAWAN
DEEP DAGA
HIMANSHU ARORA
NIKHIL SINGHVI
SWATI SINGHAL

2. COMPANY PROFILE
• US$1.4 bn turnover
• TGB is the second largest Tea company in the world
• 250 million servings of the brands are consumed every day around the world
• Over 3,000 employees worldwide
• Three sales and marketing regions across the globe
• Significant brand presence in over 40 countries
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3/5/2014

3. BRAND WISE SALES BREAK UP
Brands
Tetley
17
Others
3/5/2014
29
Eight o’Clock
3
39
Tata Tea
Source: Tata Global Beverages Company Website
%
15

4. PRODUCT SEGMENTATION
Geographic
Demographic
Income Group
Semi-urban
City
• Tier 1 and Tier 2
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• Middle class
(18000 – 125000
pm)
Age
• 20-40 years
Behavioral
Decision
Roles
• Buyer & Decider :
Housewife

5. PORTER’S FIVE FORCES
Threat of buyer’s
growing bargaining
power
Threat of new
entrants
• FDI
• Untapped rural
markets
Threat of intense
segment rivalry
Threat of
substitutable
products
• Coffee
• Aerated drinks
• Energy drinks
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• Taj Mahal
• Red Label Special
• Unbranded Tea
• Other options available
• Product differentiation
• Large number of
consumers
Threat of supplier’s
growing bargaining
power
• Large number of
producers
• Low switching costs

6. 6
3/5/2014
• Flagship brand
caters to the
popular segment
• Brand promises to
give “asli taazgi”
(Real freshness)
Tata Tea Agni
• Caters to the
premium economy
segment
• Aroma coupled
with a refreshing
taste
• Blend of 85% CTC
and 15% long leaf
tea
Tata Tea Premium
Tata tea Gold
SEGMENTATION : INCOME LEVEL
• Offering for the
economy segment
• Stylish superior
quality packaging;
unmatched in this
segment

7. 7
3/5/2014
• High quality Assam
CTC Dust teas
• Brand in the high
quality & high
priced Premium
Dust tea Market of
South India
• Theme of Golden
touch and Golden
woman inspired
millions of
Consumers across
south India
Gemini
• Principal Market :
Tamil Nadu,
Kerela, Karnataka,
Goa
• Specifically
sourced from the
Kanan Devan Hills
• Characterized by
its unique taste
preferred
throughout South
India
Chakra Gold
Kanan Devan
SEGMENTATION : REGION WISE
• Principal market:
Andhra Pradesh,
Madhya Pradesh,
Chattisgarh, Tamil
Nadu and
Karnataka
• Focus to be a
strong regional
player in Andhra
Pradesh
• Positioned as "a
strong tea for
strong family
relations"

8. TARGET MARKET
• Indian middle class and upper middle class which accounts for nearly 300
million people
• Targets the youth by embracing them with social awakening messages
• ‘Jaago Re’ campaign
• Targets women in a view to empower them socially
• Calls out to housewives since they are the influencers and deciders in the
buying process
• Power of 49 campaign
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3/5/2014

9. LEVEL OF
COMPETITION
Utensils
Squash
Soups
Mix Lemon Tea
Kitchen
Towels
Protein
Powder
Maggi
Noodles
Tea
Bags
Assam
tea
Green
Tea
Red Tea
Darjeeling Tea
Red Label Special
Taj Mahal
Organic Tea
Flavored
Milk
Butter
Black Tea
milk
Loose
Tea
Small
tea
leaves
Soft Drinks
Product Form
Product Category
Generic
Budget
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3/5/2014
Bread, Butter,
Cheese
Biscuits
Namkeen
Coffee
Jam
Energy
Drinks
Juices
Chocolates

10. COMPETITOR ANALYSIS: MARKET SHARE
Average Weekly Sales
(250 gm packets)
Hindustal
Unilever Ltd
49%
22%
20%
Tata Tea
15
16
13
14
12
Wagh Bakri
10
8
8%
Others
4
6
4
2
0
Tata Tea Gold
Source: Euromonitor International
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3/5/2014
Taj Mahal
Red Label Special
Source: Primary data from Easyday retail store, Raj Nagar

11. COMPETITOR ANALYSIS: PRICING
Category
Tata tea
400-430
Taj Mahal
Tata Tea Gold
Premium Dust
360-400
3 Roses
Chakra
Medium Leaf
330-360
Red Label
Tata Tea Premium
Medium Dust
210-230
NA
Kanan Devan
Popular/Economy
3/5/2014
Hindustan Unilever Ltd
Premium Leaf
11
Price/kg
(Rs.)
190-210
NA
Agni

12. POSITIONING
“Our Tata Tea Gold is the most aromatic tea among all premium tea
brands because 15% longer superior quality leaves”
Most aromatic tea
brand
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3/5/2014
Superior quality tea
leaves
Socially responsible

13. MARKETING STRATEGY
• Product
• 15% longer leaves
• Extra special as they’re gently rolled to lock in their natural
aroma
• Stock Keeping Units (SKU): 100gm, 250gm, 500gm, 1 kg
• Price
• Pricing appropriate for target segment i.e. Middle class
• Proposition of value for money by offering high quality tea
leaves
• Competitive pricing, lesser than most of its competitors
Brand
Tata Gold
(Rs.)
Taj Mahal
(Rs.)
Red Label
(Rs.)
Wagh Bakri
(Rs.)
Price/250gm
100
113
112
90
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3/5/2014

14. MARKETING STRATEGY
• Place
• The tea leaves are cultivated across 51 tea estates owned and
controlled by Tata Global Beverages
• After plucking, leaves are fermented, filtered and packaged in
Tata owned factories
• Packaged SKU’s sold at convenience grocery stores &
exclusive stores like Easyday, Food Bazar etc.
• Promotion
• ‘Jaago Re’ campaign
• ‘Gaon Chalo’ Abhiyaan
• ‘Power of 49’ campaign
• Blogs on latest social issues
• Dedicated pages on social media sites like Facebook
• ‘Voter Registration’ campaign
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15. MARKETING COMMUNICATION
Post
2008
2008
2007
2006
Early
2000’s
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3/5/2014
Rural
distribution
initiative –
‘GAAON
CHALO’
Communication Campaign
based on
properties like
freshness and
flavour
Social cause
marketing –
‘JAAGO RE’
Campaign
Chai Unchai –
Trendy tea bars
launched in the
country
Redefining &
repositioning
‘Jaago Re’
Campaign

16. PERCEPTUAL MAPPING
Brands Used for Mapping
Attributes Mapped
Tata Tea Gold
Aroma
Taj Mahal
Flavour
Red Label Special
Advertising
Wagh Bakri
Habitual facts
Taaza
Freshness
Unbranded Loose Tea
Availability
• Collected consumer rating for each product for each attribute that consumer might
consider while buying packaged tea leaves
• Floated consumer survey consisting of 6 X 6 + 6 Likert scale questions and used
regression modeling on them
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17. SUMMARY OF ANALYSIS
Average Score Tata Tea Gold Taj Mahal Red Label Special Wagh Bakri
Taaza
Unbranded
Aroma
3.60
3.87
3.53
3.05
3.42
2.95
Flavour
3.69
3.80
3.58
3.05
3.33
3.07
Advertisement
3.96
3.24
3.00
2.42
3.04
2.24
Habit
3.07
2.82
2.76
2.49
2.85
2.56
Freshness
3.51
3.56
3.31
2.91
3.15
2.89
Availability
4.16
3.64
3.60
2.67
3.24
3.25
• Regression analysis yielded Flavour and Freshness/Enerziser as the two most
important attributes which are statistically significant and greatest in absolute
value of coefficients ( Flavour = .23, Freshness = .13)
• Average attribute rating used to formulate the actual map
• Map is centered at (2,2)
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18. SURVEY CHARACTERISTICS
Jaago Re Campaign Awareness
Tea Consumption Rate
60%
50%
55%
40%
35%
35%
40%
30%
25%
30%
20%
11%
10%
3/5/2014
9%
15%
20%
18
45%
45%
50%
0%
45%
10%
5%
0%
Light
Medium
Heavy
Yes, it led to
social
awakening
No, it did not
lead to social
awakening
Not Aware
about the
campaign

19. MARKET FOR PACKAGED TEA LEAVES IN INDIA
Fresh/Energizing
4.00
Taj Mahal
Tata Tea Gold
Red Label Special
Taaza
Unbranded Loose Wagh Bakri
Tea
3.50
2.50
Slope of
Vector =
.54
2.00
Flavour
3.00
No Flavour
0.00
0.50
1.00
1.50
2.00
2.50
1.50
1.00
0.50
0.00
Not Fresh/ Energizing
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3/5/2014
3.00
3.50
4.00

20. CONCLUSIONS FROM MAP
• All brands considered similar in terms of characteristics form a part of
competitive set of Tata Tea Gold
• As per the survey , Taj Mahal is perceived to be the best brand in terms of the
flavour and freshness that it provides
• Unbranded loose tea and Wagh Bakri are low on perceived energizing ability
• Tata Tea Gold, Red Label Special and Taj Mahal compete closely with each
other. The differentiating factor is the perceived flavour of each of them
• The serious competition that Tata Tea Gold faces is from brand Taj Mahal.
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3/5/2014

21. REFERENCES
• http://forbesindia.com/printcontent/34249
• http://pitchonnet.com/blog/2012/09/25/tata-tea-a-case-of-social-cause-marketing/
• http://www.mxmindia.com/2012/11/tata-teas-jaago-re-website-empowers-people-tomake-a-difference/
• http://articles.economictimes.indiatimes.com/2007-11-30/news/27677020_1_peterunsworth-percy-siganporia-vitax/2
• http://www.business-standard.com/article/management/tata-tea-s-new-brew109061500022_1.html
• http://www.tata.com/pdf/tata_review_dec_11/review_brand_awakening.pdf
• www.tata.in/company/articles/inside.aspx?artid=3HnkE5Ihdvg=
• http://www.tataglobalbeverages.com/docs/default-document-library/agm-2011-12presentation
• http://economictimes.indiatimes.com/tata-global-beveragesltd/directorsreport/companyid-12929.cms
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22. Thank You
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