Summer Training Project On

A comparative analysis of Bonn Mast Makhan butter cookies with other brands in Ludhiana, Jalandhar and Amritsar

Presented By:

Damanbir Singh

Manminder Singh

INTRODUCTION TO THE COMPANY

• Bonn group of industries was established in 1985 with a single traditional oven in Ludhiana.

• Started with capacity of 100 tons bread loaves per month.

• Entered in the food industry by providing Bread of superior quality to the local consumers.

Contd…

• In 1994, Bonn came up with the first Automated Food Processing Unit of North India – Bonn Nutrients.

• In 1995, a new brand Prime Time was launched (High Volume bread – a first in India).

• In 2000, to meet an ever increasing Demand, a second Automated Food Processing Unit was brought up which produced 50,000 loaves of bread everyday.

• At present, it has become a leading Regional player of North India.

Group Companies

• Bonn Nutrients Private Ltd., Ludhiana.

• Bonn Food industries., Ludhiana.

• Choice Agro Private Ltd., Kapurthala.

• S.S. Food Industries , Kala Amb, Himachal Pradesh.

• Prime Packaging, Ludhiana.

Bonn Food Industries

• In 2004, Bonn Biscuits were launched, for which a fully Automated Online Biscuit Plant was started under the name of Bonn Food Industries.

• Started with a production capacity of 1000 MT per month.

• At present the production capacity has increased to 6000 MT per month.

Vision

To provide products rich in Quality and Goodness across an

ever-growing network of Consumers, with a motto of ‘Everyday Everywhere’ making the products an essential part

of the life of every individual.

Product Range

Bonn

Bread

Biscuits

Cakes Cookies

Rusks

Quality Policy

• BONN is committed to manufacture & supply quality products, which exceed customer satisfaction and market requirements.

• The HACCP system (Hazard Analysis of Critical Control Points) adopted, enables to demonstrate commitment with respect to safe food, which ensures that the products are free from

physical, chemical and biological hazards.

Achievements and Certifications

• HACCP certification by “DNV” (a certificate body of Netherlands)

• ISO 9001.2000 certification by “DNV” (a certificate body of Netherlands)

• Approved by BIS (Bureau of Indian Standards)• Approved manufacturer and supplier of Bakery Products

under the World Food Program• No.1 Bread Manufacturer in North India• National Quality Award winner

NETWORK

• National : Covers the whole of North and East India.

• International: Bonn products are being distributed to the UK, the US,

Australia, Africa, the Gulf, the UAE, and Netherlands.

ORGANISATIONAL CHART

SWOT Analysis

STRENGHTS • Reduced cost of production due to huge production

capacities.

• High retailer and customer retainability.

WEAKNESSES• Lack of awareness among retailers and customers.

• Packing problems.

OPPORTUNITIES• Huge untapped market available.

THREATS• Threat from other local brands like Cremica, etc..

• Future rise in prices of raw materials.

FINANCIAL RATIOS

• Current RatioCurrent Ratio= Current Assets

Current Liabilities

Current Assets (2008-09) 9.73 Crore

Current Liabilities (2008-09) 5.99 Crore

Current Ratio (2008-09) 1.62 Times

• Liquid RatioLiquid Ratio=Liquid Assets

Current Liabilities

Liquid Assets (2008-09) 7.20 Crore

Current Liabilities (2008-09) 5.99 Crore

Liquid Ratio(2008-09) 1.20 Times

TURNOVER RATIOS

• Stock Turnover Ratio(STR) STR= COGS

Avg. Stock

Conversion Period= 365/23.6 = 15 Days

COGS (2008-09) 59.72 Crore

Avg. Stock (2008-09) 2.53 Crore

STR (2008-09) 23.60 Times

• Debtor’s Turnover Ratio (DTR)DTR= Net cr. Annual sales

Avg. trade debtors

Avg. collection period= 365/8.31 = 44 Days

Net Cr. Sales (2008-09) 77.67 Crore

Avg. Debtors (2008-09) 9.35 Crore

DTR (2008-09) 8.31 Times

SOLVENCY RATIOS

• Debt Equity RatioDebt Equity Ratio= Total Debt

Net worth

Total Debt (2008-09) 15.72 Crore

Net Worth (2008-09) 6.73 Crore

Ratio (2008-09) 2.33 Times

• Proprietary RatioProprietary Ratio= Proprietor’s fund * 100

Total Assets

Proprietor’s fund (2008-09) 6.73 Crore

Total Assets (2008-09) 16.46 Crores

Ratio 40.88%

A comparative analysis of Bonn Mast Makhan butter cookies with other brands

in Ludhiana,Jalandhar and Amritsar.

Objectives of the Study

• To find out the most preferred butter cookies brand among retailers and wholesalers.

• To study the awareness of retailers about Bonn Mast Makhan.

• To compare Bonn with its competitor Brands in terms of Quality, Brand Awareness, Packing and Service.

• To know the retailer retainability of Bonn Mast Makhan.

Research Methodology

• Research DesignDescriptive

• Data Collection• Primary

Through Schedules• Secondary

Through magazines, news papers, internet, etc..

• UniverseAll the wholesalers and retailers selling biscuits of various brands.

• PopulationIn this study the population is retailers and wholesalers selling biscuits of various brands in Ludhiana, Jalandhar and Amritsar.

• Sample Unit Shops selling butter cookies of various brands.

• Sample SizeSample size of retailers and wholesalers = 750 in Ludhiana and 750 in Jalandhar & Amritsar

• Sampling Technique Convenience Sampling

LIMITATIONS OF THE STUDY

• The study was conducted in 30 days that is not enough for such a

vast topic.

• The study had a limited scope of operation.

• No proper data was available about the stores in the city. • The study may suffer from the personal bias of the retailers and

wholesalers. They may have been biased in responding to the questions.

DATA ANALYSIS (JALANDHAR & AMRITSAR)

1. Availability of Different Brands of Butter Cookies

Bonn Parle Britania Sun Feast Priya Gold Anmol Cremica Others0

100

200

300

400

500

600

700

121

546

625582

258236

465

318

availability of different brands of butter cookies

Series1

Brands

no.of responses

2.Awareness Regarding BONN MAST MAKHAN

18.26

81.74

Percentage

YesNo

N= 750

3.Purchase regularity of Bonn Mast Makhan

83%

17%

PercentageYes No

N= 121

4.Package Preference of Mast Makhan:

60 gms 120 gms 180 gms ATC Pack0

10

20

30

40

50

60

70

80

64

70

17

50

Series1

Available Packings

no. of Responses

n=201

5. Satisfaction from sales

93

8

Satisfaction from Sales

YesNo

N= 101

6. Ranks on the basis of sales

Britannia Sunfeast Parle Cremica Bonn Priyagold Others0

1

2

3

4

5

6

7

8

Ranks of various brands on basis of sales

Brands

Rank

s

N=750

7.1 Comparison of various brands on basis of quality:

Parle ITC Britania Priyagold Bonn Cremica0

1

2

3

4

5 4.78 4.74 4.7

3.85 3.86

4.47

Quality

quality

Brands

Average Rates

N=750

7.2 Comparison of various brands on basis of brand image:

Parle ITC Britania Priyagold Bonn Cremica0

1

2

3

4

5

4.22 4.224.09

3.64 3.58

4.14

Service

service

Brands

Average Rates

N=750

7.3Comparison of various brands on basis of service

Parle ITC Britania Priyagold Bonn Cremica0

1

2

3

4

5

4.22 4.22 4.09

3.64 3.58

4.14

Service

service

Brands

Average Rates

N=750

7.4 Comparison of various brands on basis of Packing

Parle ITC Britania Priyagold Bonn Cremica0

1

2

3

4

5

4.21 4.19

3.833.66

3.53

4.12

Packing

packing

Brands

Average Rates

N=750

RESULTS AND FINDINGS

• It was found out in the survey that the awareness level of retailers

regarding Bonn Mast Makhan is very low. Out of 750 counters surveyed only 137 retailers were aware of Mast Makhan.

• It was also found that distributor could not reach to maximum

counters. • Quality of the product is not the major cause of concern. Retailers

and customers are satisfied with the quality of the product.

Contd…

• Bonn enjoys high retailer retainability. Almost about 83% (APPROX) retailers regularly purchase Mast Makhan for reselling purposes.

• It was found that the name of the product is also not very

suitable. The word MAST MAKHAN cannot reach to the masses as a biscuit. People confuse it with other products like butter packs etc.

DATA ANALYSIS( LUDHIANA)

1) AVAILABILITY OF DIFFERENT BRANDS OF BUTTER COOKIES

n=750

2)AWARENESS OF BONN MAST MAKHAN

N=750

3) REGULAR PURCHASE OF BONN MAST MAKHAN

n=128

4) MAXIMUM SOLD PACKINGn=276

5) SATISFACTION OF SALESN=121

6) RANKS TO DIFFERENT BRANDS ON THE BASIS OF SALES

BRANDS RANKS

Britannia 1

Parle 2

Sunfeast 3

Cremica 4

Bonn 5

Priyagold 6

Others 7

N=750

7) COMPARING DIFFERENT BRANDS ON BASIS OF:

7.1) QUALITY N=750

Parle ITC Britania Priyagold Bonn Cremica0

1

2

3

4

54.6 4.62 4.64

3.56

4.534.27

Quality

BRANDS

AVER

AGE

RAT

EES

N=7507.2) Service

Parle ITC Britania Priyagold Bonn Cremica0

1

2

3

4

5

4.06 4.143.91

3.5

4.14 4.04

Service

BRANDS

AVER

AGE

RATE

S

N=750

7.3) Brand Image

Parle ITC Britania Priyagold Bonn Cremica0

1

2

3

4

5 4.714.56

4.81

3.47

4.02 4.04

Brand Image

BRANDS

Aver

age

Rate

s

N=7507.4) Packing

Parle ITC Britania Priyagold Bonn Cremica0

1

2

3

4

5

4.07 4.17

3.64 3.51

4.284.03

Packing

BRANDS

AVER

AGE

RATE

S

RESULTS AND FINDINGS• It was found out in the survey that the awareness level of

retailers regarding Bonn Mast Makhan is very low. Out of 750 counters surveyed only 131 retailers were aware of Mast Makhan.

 • It was also found that distributor could not reach to maximum

counters.

• Quality of the product is not the major cause of concern.

Retailers and customers are satisfied with the quality of the product.

 

 

• Bonn enjoys high retailer retainability. Almost about 85% approx. retailers regularly purchase Mast Makhan for reselling purposes.

 • It was found that the name of the product is also not very

suitable. The word MAST MAKHAN cannot reach to the masses as a biscuit. People confuse it with other products like butter packs etc.

 • Service satisfaction was found to be high among the

retailers who were regularly purchasing Mast Makhan.

THANK YOU