By MANISH GOYAL

MBA (2B)
ROLL NO-85

Britannia Industries Limited

Type Founded Headquarters Number of locations Area served

Private 1892 Kolkata and Bangalore; R&D Chennai, India 300 stores (2000) India Nusli Wadia, Chairman Ms. Vinita Bali, (Managing Director) Food Biscuits Tiger, Britannia, milk Rs 2,200 crore DANONE, Kalabakan Investments Wadia Group, Associated Biscuits Intl. Holdings

Key people

Industry Products Revenue Owner(s)

Parent

Website

www.britannia.co.in

COMPANY PROFILE

The story of one of India's favorite brands reads almost like a fairy tale. Once upon

a time, in 1892 to be precise, a biscuit company was started in a nondescript house in Calcutta (now Kolkata) with an initial investment of Rs. 295. The company we all know as Britannia today. The beginnings might have been humble-the dreams were anything but. By 1910, with the advent of electricity, Britannia mechanized its operations, and in 1921, it became the first company east of the Suez Canal to use imported gas ovens. Britannia's business was flourishing. But, more importantly, Britannia was acquiring a reputation for quality and value. As a result, during the tragic World War II, the Government reposed its trust in Britannia by contracting it to supply large quantities of "service biscuits" to the armed forces. As time moved on, the biscuit market continued to grow and Britannia grew along with it. In 1975, the Britannia Biscuit Company took over the distribution of biscuits from Parry's who till now distributed Britannia biscuits in India. In the subsequent public issue of 1978, Indian shareholding crossed 60%, firmly establishing the Indianness of the firm. The following year, Britannia Biscuit Company was re-christened Britannia Industries Limited (BIL). Four years later in 1983, it crossed the Rs. 100 crores revenue mark. On the operations front, the company was making equally dynamic strides. In 1992, it celebrated its Platinum Jubilee. In 1997, the company unveiled its new corporate identity - "Eat Healthy, Think Better" - and made its first foray into the dairy products market. In 1999, the "Britannia Khao, World Cup Jao" promotion further fortified the affinity consumers had with 'Brand Britannia'. Britannia strode into the 21st Century as one of India's biggest brands and the pre-eminent food brand of the country. It was equally recognized for its innovative approach to products and marketing: the Lagaan Match was voted India's most successful promotional activity of the year 2001 while the delicious

Britannia 50-50 Maska-Chaska became India's most successful product launch. In 2002, Britannia's New Business Division formed a joint venture with Fonterra, the world's second largest Dairy Company, and Britannia New Zealand Foods Pvt. Ltd. was born. In recognition of its vision and accelerating graph, Forbes Global rated Britannia 'One amongst the Top 200 Small Companies of the World', and The Economic Times pegged Britannia India's 2nd Most Trusted Brand.

Today, more than a century after those tentative first steps, Britannia's fairy tale is not only going strong but blazing new standards, and that miniscule initial investment has grown by leaps and bounds to crores of rupees in wealth for Britannia's shareholders. The company's offerings are spread across the spectrum with products ranging from the healthy and economical Tiger biscuits to the more lifestyle-oriented Milkman Cheese. Having succeeded in garnering the trust of almost one-third of India's one billion populations and a strong management at the helm means Britannia will continue to dream big on its path of innovation and quality. And millions of consumers will savor the results, happily ever after.

HISTORY OF BRITANNIA

1892 o The Genesis - Britannia established with an investment of Rs. 295 in Kolkata

1910 o Advent of electricity sees operations mechanized

1921 o Imported machinery introduced; Britannia becomes the first company East of the Suez to use gas ovens

1939 - 44 o Sales rise exponentially to Rs.16,27,202 in 1939 o During 1944 sales ramp up by more than eight times to reach Rs.1.36 crore

1975 o Britannia Biscuit Company takes over biscuit distribution from Parry's

1978 o Public issue - Indian shareholding crosses 60%

1979 o Re-christened Britannia Industries Ltd. (BIL)

1983 o Sales cross Rs.100 crore

1989 o The Executive Office relocated to Bangalore

1992 o BIL celebrates its Platinum Jubilee

1993 o Wadia Group acquires stake in ABIL, UK and becomes an equal partner with Grouped DANONE in BIL

1994 o Volumes cross 1,00,000 tons of biscuits

1997 o Re-birth - new corporate identity 'Eat Healthy, Think Better' leads to new mission: 'Make every third Indian a Britannia consumer' o BIL enters the dairy products market

1999 o "Britannia Khao World Cup Jao" - a major success! Profit up by 37%

2000 o Forbes Global Ranking - Britannia among Top 300 small companies

2001 o BIL ranked one of India's biggest brands o No.1 food brand of the country o Britannia Lagaan Match: India's most successful promotional activity of the year o Maska Chaska: India's most successful FMCG launch

2002 o BIL launches joint venture with Fonterra, the world's second largest dairy company o Britannia New Zealand Foods Pvt. Ltd. is born o Rated as 'One amongst the Top 200 Small Companies of the World' by Forbes Global o Economic Times ranks BIL India's 2nd Most Trusted Brand o Pure Magic -Winner of the WordStar, Asia star and India star award for packaging

2003 o 'Treat Duet'- most successful launch of the year o Britannia Khao World Cup Jao rocks the consumer lives yet again

2004 o Britannia accorded the status of being a 'Super brand' o Volumes cross 3,00,000 tons of biscuits o Good Day adds a new variant - Choconut - in its range

2005 o Re-birth of Tiger - 'Swasth Khao, Tiger Ban Jao' becomes the popular chant! o Britannia launched 'Greetings' range of premium assorted gift packs o The new plant in Uttaranchal, commissioned ahead of schedule. o The launch of yet another exciting snacking option - Britannia 50-50 Pepper Chakkar

2007 o Britannia industries formed a joint venture with the Khimji Ramdas Group and acquired a 70 percent beneficial state in the Dubai-based Strategic Foods International Co. LLC and 65.4% in the Oman-based Al Sallan Food Industries Co. SAOG.

2008 o Britannia launched Iron fortified 'Tiger Banana' biscuits, 'Good Day Classic Cookies', Low Fat Dahi and renovated 'MarieGold'.

Founders
Dr. N Balasubramanian Dr K.B Chandrashekhar Mr. Arjun Malhotra Prof. Jagdish Sheth Dr. Sridhar Mitta

BOARD OF DIRECTORS
Name Mr. Nusli Neville Wadia Ms. Vinita Bali Mr. A.K.Hirjee Dr. Ajai Puri Mr. Avijit Deb Mr. Jeh N Wadia Mr. Keki Dadiseth Mr. Nimesh N Kampani Mr. Pratap Khanna Mr. S.S.Kelkar Designation Chairman Managing Director Director Director Director Director Director Director Director Director

HISTORY OF BISCUIT
Sweet or salty. Soft or crunchy. Simple or exotic. Everybody loves munching on biscuits, but do they know how biscuits began?
The history of biscuits can be traced back to a recipe created by the Roman chef Apicius, in which "a thick paste of fine wheat flour was boiled and spread out on a plate. When it had dried and hardened it was cut up and then fried until crisp, then served with honey and pepper." The word 'Biscuit' is derived from the Latin words 'Bis' (meaning 'twice') and 'Coctus' (meaning cooked or baked). The word 'Biscotti' is also the generic term for cookies in Italian. Back then, biscuits were unleavened, hard and thin wafers which, because of their low water content, were ideal food to store. As people started to explore the globe, biscuits became the ideal travelling food since they stayed fresh for long periods. The seafaring age, thus, witnessed the boom of biscuits when these were sealed in airtight containers to last for months at a time. Hard track biscuits (earliest version of the biscotti and present-day crackers) were part of the staple diet of English and American sailors for many centuries. In fact, the countries which led this seafaring charge, such as those in Western Europe, are the ones where biscuits are most popular even today. Biscotti is said to have been a favorite of Christopher Columbus who discovered America! Making good biscuits is quite an art, and history bears testimony to that. During the 17th and 18th Centuries in Europe, baking was a carefully controlled profession, managed through a series of 'guilds' or professional associations. To become a baker, one had to complete years of apprenticeship - working through the ranks of apprentice, journeyman, and finally master baker. Not only this, the amount and quality of biscuits baked were also carefully monitored. The English, Scotch and Dutch immigrants originally brought the first cookies to the United States and they were called teacakes. They were often flavored with nothing more than the finest butter, sometimes with the addition of a few drops of rose water. Cookies in America were also called by such names as "jumbles", "plunkets" and "cry babies".

As technology improved during the Industrial Revolution in the 19th century, the price of sugar and flour dropped. Chemical leavening agents, such as baking soda, became available and a profusion of cookie recipes occurred. This led to the development of manufactured cookies. Interestingly, as time has passed and despite more varieties becoming available, the essential ingredients of biscuits haven't changed - like 'soft' wheat flour (which contains less protein than the flour used to bake bread) sugar, and fats, such as butter and oil. Today, though they are known by different names the world over, people agree on one thing - nothing beats the biscuit! Some interesting facts on the origin of other forms of biscuits:

The recipe for oval shaped cookies (that are also known as boudoir biscuits, sponge biscuits, sponge fingers, Naples biscuits and Savoy biscuits) has changed little in 900 years and dates back to the house of Savoy in the 11th century France. Peter the Great of Russia seems to have enjoyed an oval-shaped cookie called "lady fingers" when visiting Louis XV of France. The macaroon - a small round cookie with crisp crust and a soft interior - seems to have originated in an Italian monastery in 1792 during the French Revolution. SPRING-uhr-lee, have been traditional Christmas cookies in Austria and Bavaria for centuries. They are made from a simple egg, flour and sugar dough and are usually rectangular in shape. These cookies are made with a leavening agent called ammonium carbonate and baking ammonia. The inspiration for fortune cookies dates back to the 12th and 13th Centuries, when Chinese soldiers slipped rice paper messages into moon cakes to help co-ordinate their defense against Mongolian invaders.

COMPETITIVE ANALYSIS
Generally all organizations have competitors in the market. A particular organization always comprises with other same business and according to market share we clarify the brand of product is giving more challenge to my product. I found many products which can be compared with Britannia Biscuit. As a conclusion I found that particularly in my provided area Britannia is really doing well and its performance is on surprising level. Lost market share to ITC Foods and has struggled to keep pace with Parle in glucose biscuits. Pepsi, Kraft, DANONE could be formidable competitors. Britannia seeks to build market share through expanded product portfolio, acquisitions, JVs and thrust on rural consumer. In my provided area the share of the market is as follows. BRITANNIA PARLE-G ITC SURYA FOODS ANMOL BAKERS OTHERS 34.8% 31.9% 8.6% 8% 4.2% 15.6%

When we compared with other businesses then we follow the quality, price, distribution system, promotional strategy etc. of the competitors Britannia in this area is doing well. So this is the comparison with other biscuits brands. According to our findings we found that BRITANNIA is the market leader followed by BRITANNIA biscuits. These two biscuits company the lion's share in the 2,200 crore biscuits industry

SWOT ANALYSIS OF BRITANNIA

Strength Fulfill one of our Basic Requirement among Air , Water , Food, Shelter Widely accepted in all Generations Easily available in various forms Provide good Instant Remedy for hunger in the form of readymade food Preserves the non seasonal food and makes it available all throughout the year

Weakness Decreases nutritional value Increases the cost of food product Industry and technology requires high investment Regular usage of processed food can cause alteration in health

Opportunities Increase economy of India Generate employment opportunity Good quality of Goods Provide competition to foreign companies Improve living standard Provide goods to nation at cheaper rate Inflow of foreign reserve and funds for the govt.(taxes)

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

PRODUCT MIX
Product mix is a combination of products manufactured or traded by the same business house to reinforce their presence in the market, increase market share and increase the turnover for more profitability. Normally the product mix is within the synergy of other products for a medium size organization. However large groups of Industries may have diversified products within core competency.

The Biscuits Industry is huge altogether and further comprises of various segments and subdivisions to cater various type of markets and consumers.

Britannia Portfolio

GLUCOSE BISCUITS
TIGER CHOTA TIGER TIGER CHAI BISKOOT TIGER ROSEMILK CREAM TIGER BRITA ENERGY POPS TIGER CHOCLATE CREAM TIGER ORANGE CREAM TIGER COCONUT ENERGY TIGER ELAICHI CREAM TIGER KESAR CREAM TIGER BANANA

CREAM BISCUITS
TREAT CHOCO GELO TREAT DELICIOUS DATES TREAT APPLE PUNCH TREAT FLAVOURED TANGY ORANGE TREAT STRAWBERRY FLAVOURED SURPRISE BOURBORN TREAT TREAT ELAICHI FON TREAT JIM JAM TREAT MANGO MISCHIET TREAT MASTI ORANGE TREAT PINEAPPLE PRANK

NUTRI CHOICE BISCUITS

NUTRI CHOICE 5GRAINS NUTRI CHOICE DIGESTIVE NUTRI CHOICE CREAM CRACKER NUTRI CHOICE THIN ARROWROOT NUTIR CHOICE SUGAROUT CHOCLATE NUTRI CHOICE SUGAROUT LITETIME NUTRI CHOICE SUGAR OUT ORANGE CREAM

MARIE BISCUITS

MARIE GOLD VITA MARIE GOLD

mILK BISCUITS

MILK BIKIS MILK BIKIS CREAM

GOOD DAY BISCUITS

GOOD DAY CHOCONUT GOOD DAY BUTTER SCOTCH GOOD DAY HONEY & RAISIN GOOD DAY CHOCLATE CHIP GOOD DAY RICH BUTTER COOKIES GOOD DAY RICH CASHEW COOKIES GOOD DAY RICH PISTA BADAM

50-50 BISCUITS

50-50 50-50 MASKA CHASKA PEPPER CHAKKAR

LITTLE HEARTS

LITTLE HEARTS CLASSIC

PURE MAGIC

PURE MAGIC

PROMOTION MIX
For a successful product it is essential for the company to use the communication mix in the right way. An effective communication mix includes the right message through the right message and the time of the communication should be right. The companies communicate

with their customers through the promotional activities that they do from time to time. The companies use this mix to be in constant touch with their customers and also to keep reminding them of their presence.

The company needs to keep few criteria while designing the mix like: The target segment for a product needs to be kept in mind while designing a mix. The choice of media is very important as the advertisement has to reach to the masses. The objective of the communication has to be well defined as to whether it will be for a new product or an existing product.

The elements of the marketing communications mix

Britannias communication mix has the following major components

Advertising Sales Promotion Public relations and Publicity Direct and Interactive Marketing Personal Selling

Britannia is a leading FMCG company which deals in bakery, biscuits and cheese products. It is a very old company in the market and also enjoys the largest market share in the biscuit section. Britannia spends a great amount on its advertisements for the various products it offers. It uses a mix of all the media forms to reach the maximum consumers. They advertise through television, print, radio and reach out to their target audiences. Some of Britannias popular sales promotions campaigns are as follows:

Britannia Khao, World Cup Jao which took 100 mega-winners to Old Blighty to
watch the Cricket World Cup at Britannia's expense. This was a very smart initiative taken by Britannia to motivate consumers to buy more of Britannias product in order to increase there chances of being selected for the tour. Which inturn helped the company to boost up its sales before and during the mega event.

Britannia Rules! A day before the World Cup Of Cricket 99 began in England on May 14, 1999, one of Britannia Industries' senior-most marketing managers was spotted at Mumbai's Sahara International Airport-escorting a gaggle of excited children, all of them sporting Britannia caps, Britannia T-shirts, and other assorted Britannia

paraphernalia. No, he wasn't test-positioning yet another brand of biscuits on a group of

unsuspecting young 'uns in an airport lounge. Those kids were actually some of the 100 mega-winners of the Britannia Khao, World Cup Jao contest, being flown off on charters to Old Blighty to watch the World Cup at Britannia's expense. See Cricket. Sleep Cricket. Eat Only Britannia (sic!). Another excellent example of sport personality craze and innovation came from Britannia. The company recently offered a white marble free with every pack of Britannia Treat. The marble has a caricature of a Indian Cricketer printed on it, an innovative conversion of craze for cricket & cricketing stars exploited with a fresh perspective.

Advertising:
Britannia works in close partnership to promote its biscuits with retailers. Promotion costs are shared with retailers. The more retailers sell - the more Britannia is able to help them. Britannia launches products that offer the company good returns, supporting these through brand building and leveraging on its nationwide supply chain. Brand building is an integral part of Britannias marketing philosophy with continued promotions for its various brands creating loyal customers in the process. Good Day, "Richness is only one functional facet of Good Day. But there is also a large emotional facet that of spreading happiness. This became the plank on which Good Day began to be advertised. Also with traditional notions of health changing, rich foods are not necessarily looked at as being unhealthy. "Good Day is full of nuts and is rich but it is also good for health. So, they created the Swasth kao, tan man jagao (Eat healthy, energize body and mind) campaign."

MARKETING MIX
Product: Britannia Good Day is an augmented product. Augmented products are those products which have additional attributes in the product to differentiate it from the competitors products. They try to add more attributes to improve the product and exceed the normal expectations of buyers i.e. to delight them. Britannia Good Day enjoys a fan following of consumers across all ages who are loyal to the brand and the biscuits promise of a great taste evident from the visibly abundant ingredients like butter, cashew, pista badam, chocolate chips, nuts and dry fruits. With richness as one of the functional facet of Good Day this product can be classified as a premium segment biscuit. PRICE: Pricing is one of the most important elements of the marketing mix, as it is the only mix, which generates a turnover for the organisation. The remaining 3ps are the variable cost for the organisation. It costs to produce and design a product; it costs to distribute a product and costs to promote it. Price must support these elements of the mix. Pricing a product too high or too low could mean a loss of sales for the organisation. Pricing should take into account the factors like fixed and variable costs, competition, company objectives, proposed positioning strategies, target group and willingness to pay. PLACE: As biscuits need to reach the consumer at their nearest locations. Britannia tries to reach the point of sale i.e. retailers, kirana shops and also big retail units like Food Bazar and even exports. PROMOTION: Britannia works in close partnership to promote its biscuits with retailers. Promotion costs are shared with retailers. The more retailers sell - the more Britannia is able to help them. Britannia launches products that offer the company good returns, supporting these through brand building and leveraging on its nationwide supply chain. Brand building is an integral part of Britannias marketing philosophy with continued promotions for its various brands creating loyal customers in the process

PRODUCT LEVEL
Five levels to a product are:--

1. Core Benefit The fundamental need or want that consumers satisfy by consuming the product or service. 2. Generic Product A version of the product containing only those attributes or characteristics absolutely necessary for it to function. 3. Expected Product The set of attributes or characteristics that buyers normally expect and agree to when they purchase a product. 4. Augmented Product Inclusion of additional features, benefits, attributes or related services that serve to differentiate the product from its competitors. 5. Potential Product All the augmentations and transformations a product might undergo in the future.

Below is a diagram of Britannia product i.e. Britannia Good Day Biscuit, which shows the entire product, levels of any product