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We would like to express our deepest gratitude to Dr. Avinash Kapoor for guiding us on the Marketing Planning course and for his invaluable guidance, support, and encouragement throughout our project work which has aided us in the successful completion of our work. We extend our thanks to our friends who directly or indirectly helped us during our project work. We woulda like to thank our group-mates and our room-mates for their immense cooperation and support. We would also like to thank the retailers and the parents whom we interacted with for providing us with valuable feedback.
Executive Summary
ITC is one of India’s foremost private sectors companies with a market capitalization of nearly US $ 15 billion and a turnover of over US $ 4. 75 billion. ITC is rated among the World’s Best Big Companies, Asia’s ‘Fab 50’ and the World’s most Reputable Companies by Forbes magazine, among India’s Most Respected Companies by Business World and among India’s Most Valuable Companies by Business Today.
While ITC is an outstanding market leader in its traditional businesses of Cigarettes, Hotels, Paperboards, Packaging and Agro-Exports, it is rapidly gaining market share even in its nascent businesses of Packaged Foods & Confectionery, Branded Apparel and Greeting Cards. ITC made its entry into the branded & packaged Foods business in August 2001 with the launch of the Kitchens of India brand. A more broad-based entry has been made since June 2002 with brand launches in the Confectionery, Staples and Snack Foods segments.
The Foods business is today represented in 4 categories in the market. These are: Ready To Eat, Foods, Staples, Confectionery, and Snack Foods. The unwavering commitment to internationally benchmarked quality standards enabled ITC to rapidly gain market standing in all its 6 brands: Kitchens of India, Aashirvaad, Sunfeast, mint-o, Candyman and Bingo! Bingo! was launched in March 2007 with a wide range of exciting packaged salted snacks. The range includes multiple flavor variants of Potato Chips & Finger Snacks.
The brand is associated with youth, fun and excitement. It fulfills the consumers need for variety and novelty in snacks. At present “Bingo! ” has 3 sub-brands in its portfolio: Potato chips, Mad Angles and Tedhe Medhe each of which have unique values based on product differentiators. One of the biggest successes from the Bingo! portfolio, Bingo! Mad Angles has carved a niche for itself in the consumers mind and is synonymous with the perfect triangular snack.
A combination of innovative flavours on a traditional khakra base, Mad Angles is a snack that is true to taste and perfect flavour delivery as well as shape, making it a snack that’s truly “har angles se Mmmm…” The primary objective of this study is the Segmentation, Targeting and Positioning of the brand and to explore the determinants that helped ITC showcase their competencies in FMCG sector with the introduction of BINGO and compete with other established giants.
Study The Segmentation, Targeting And Positioning Of ITC Bingo! As the companies move from the traditional view of the selling concept to the marketing concept of marketing, they realize that the marketing process has to become an integral part of the value delivery process. These days the work of the marketing department starts right at the beginning of the product lifecycle with market segmentation, also known as customer segmentation which is then followed by market selection/focus and finally by proper positioning keeping the target customer in mind.
The project was carried out in the following phases: Literature Review- We went through Research papers and journals to get a thorough understanding of the concept of Segmentation, Targeting and Positioning. Hypothesis Development- Hypothesis was developed by introducing research questions including research variables to be included in research design. Data collection and analyses- The process of collecting, recording and analyzing was carried out in order to understand and analyze the market and prospective customers of the company.
Purpose and Objectives of the Project
The primary objective of this study is the Segmentation, Targeting and Positioning of the brand and to explore the determinants that helped ITC showcase their competencies in FMCG sector with the introduction of BINGO and compete with other established giants. Though ITC leads the market in area of luxury Hotels, paperboards, packaging and agro-exports, it is considerably new to the packaged foods and confectionery sector. Despite this, ITC was able to prosper in the fiercely competitive snacks sector.
This project gives an insight as to what helped ITC in achieving the mentioned accomplishment. The other objectives of our research can be classified as shown: To analyze and reason the popularity of Bingo as a preferred snack in such a short span To study the market trend of snacks and how Bingo could intrude the market To find out which flavour of Bingo is most popular To study how ITC brought in different offerings in a strategic manner To analyze and interpret the sample data collected To analyze the marketability and future scope of Bingo Justification and significance of the project
Marketing strategies for products are based on the expected consumer behavior in a certain market. In order to know the customer and the expected buying pattern, segmentation, targeting and positioning are needed. As the companies move from the traditional view of the selling concept to the marketing concept of marketing, they realize that the marketing process has to become an integral part of the value delivery process. As Kotler points out in his book Marketing Management “The formula ‘segmentation, targeting and positioning (STP)’ is the essence of strategic marketing.
These days the work of the marketing department starts right at the beginning of the product lifecycle with market segmentation, also known as customer segmentation which is then followed by market selection/focus and finally by proper positioning keeping the target customer in mind. The diagram below highlights the significance of the segmentation, targeting and positioning in the ‘value creation’ process.
Study The Segmentation, Targeting And Positioning Of ITC Bingo! Hypothesis Development: Hypothesis will be developed by introducing research questions including research variables to be included in research design. Data collection and analyses: The process of collecting, recording and analyzing will be carried out, in order to understand and analyze the market and prospective customers of the company. The process for data collections: ?
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Sampling Survey Method: The survey would be conducted in the NCR region by visiting the local distributor and local retail shops. The convenience sample would be prepared by focusing on the group easy to access and customers approaching the store. ? Questionnaires: Data would be conducted by floating a detailed questionnaire through internet to collect the data about the likes and dislikes of various segments of the market which would help us to find the target, the right audience and hence position the product.
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