Group Members -

Nishant Subba

Praveen Patel

Manoj Tivari

Fresh Punch

CONTENTS CONTENTS About CompanyAbout Company ObjectiveObjective AimAim LocationLocation FinancialsFinancials Mission Mission Vision Vision Situational AnalysisSituational Analysis SWOTT Analysis SWOTT Analysis PEST Analyses PEST Analyses Target MarketTarget Market Competitive Analysis Competitive Analysis

COMPANY COMPANY INFORMATIONINFORMATION

FP Agro is a company which will produce fruit juice.FP Agro is a company which will produce fruit juice.

FP Agro is going to make unique position in terms of corporate presence and also a FP Agro is going to make unique position in terms of corporate presence and also a platform for other Fruit Juice companies, with its advanced technology and the platform for other Fruit Juice companies, with its advanced technology and the instrumentation required to manufacture a Juice that has many different flavors, for utmost instrumentation required to manufacture a Juice that has many different flavors, for utmost customer satisfaction.customer satisfaction.

FP Agro will be an environment-friendly company dedicated on sustainable development FP Agro will be an environment-friendly company dedicated on sustainable development and corporate social responsibility, as a service to society and preservation of nature. and corporate social responsibility, as a service to society and preservation of nature.

Selection of the product

The product selected is Juice and our brand name is Fresh Punch Juice

ProductProduct Fresh Punch is a 100 percent fruit juice which will be produced and marketed

by the FP Agro Industries Ltd.

Fresh Punch will produce juice in the following varieties : Sea buckthorn Sea buckthorn ApricotApricot Passion Fruit Passion Fruit Kiwi Kiwi Pomegranate Pomegranate AppleApple OrangeOrange PineapplePineapple GrapesGrapes GuavaGuava MangoMango Mixed FruitMixed Fruit PearPear

LOCATIONLOCATION

Kullu, Himachal Pradesh – raw materialKullu, Himachal Pradesh – raw material

OBJECTIVESOBJECTIVES

Carry out business in the field of horticulture Carry out business in the field of horticulture and food processing in Himachal Pradeshand food processing in Himachal Pradesh

Target of capturing at least 10 per cent of the Target of capturing at least 10 per cent of the market share within a year and 20 per cent by market share within a year and 20 per cent by 2010-end 2010-end

FINANCIALFINANCIAL

Will be incorporated with an initial Will be incorporated with an initial investment of Rs.15 cr (150 million)investment of Rs.15 cr (150 million)

MISSIONMISSION

“ “To be a leading producer of fruit juices based on To be a leading producer of fruit juices based on dedication to nature, corporate and process dedication to nature, corporate and process hygiene, dynamic leadership and commitment to hygiene, dynamic leadership and commitment to our partners and stakeholders.” our partners and stakeholders.”

VISIONVISION

“ “To be capable to deliver the range and quality of To be capable to deliver the range and quality of Juice which the customer demands, which can Juice which the customer demands, which can only be fulfilled by the modern technology only be fulfilled by the modern technology which will have the scale and worldwide which will have the scale and worldwide presence to do so competitively”presence to do so competitively”

Nectar 10 %Nectar 10 %

INDUSTRIAL ANALYSISINDUSTRIAL ANALYSIS Branded fruit beverage market in India is estimated to be worth Rs. 1,200 crore Branded fruit beverage market in India is estimated to be worth Rs. 1,200 crore

(nectars, drinks and juices combined)(nectars, drinks and juices combined)

The fruit drink marketThe fruit drink market

Fruit drinks 60 %Fruit drinks 60 %

Juice accounts 30 %Juice accounts 30 %

Cont..Cont..

The juice and juice drink category is among the fastest growing The juice and juice drink category is among the fastest growing segments segments

Fruit drinks as a category is growing at 18-20 per cent, carbonated Fruit drinks as a category is growing at 18-20 per cent, carbonated soft drinks are growing at 6-8 per cent. soft drinks are growing at 6-8 per cent.

It’s the fastest growing liquid beverage category.It’s the fastest growing liquid beverage category.

More than 90 % of sales happen through the unorganized route - More than 90 % of sales happen through the unorganized route - juice centers, street corner shops and so on. juice centers, street corner shops and so on.

•Adequate availability of raw Adequate availability of raw materialsmaterials•High consumer retention rateHigh consumer retention rate•Price, a competitive advantagePrice, a competitive advantage•Natural productNatural product

•Seasonal availability of fruitsSeasonal availability of fruits•Brand acknowledgementBrand acknowledgement•Limited financial resourcesLimited financial resources•Late entry into the marketLate entry into the market

•Participation with a growing industry.Participation with a growing industry.•Competitive advantage over carbonated Competitive advantage over carbonated soft drinkssoft drinksWellness awareness amongst consumersWellness awareness amongst consumers•Commonwealth Delhi 2010Commonwealth Delhi 2010•Success of incredible India campaignSuccess of incredible India campaign

•Cut throat competitionCut throat competition•Unstable government policiesUnstable government policies•Global warmingGlobal warming

- Scarcity of raw material- Scarcity of raw material

TRENDSTRENDS Health and Lifestyle ProductHealth and Lifestyle Product Eco friendly packagingEco friendly packaging

Promoting anti BotulismPromoting anti Botulism E-commerceE-commerce

POLITICALPOLITICAL

Tax Laws Tax Laws Stability of Government Stability of Government

Law of hiring and promotionLaw of hiring and promotion

ECONOMICECONOMIC Increasing GDPIncreasing GDP Burgeoning middle class Burgeoning middle class Higher Disposable Incomes, hence more consumer buying Higher Disposable Incomes, hence more consumer buying

powerpower Easy availability of loans from banksEasy availability of loans from banks

SOCIOCULTURALSOCIOCULTURAL

Changing consumer habits & lifestyles - The Indian consumer of Changing consumer habits & lifestyles - The Indian consumer of today is clearly seeking healthier alternatives today is clearly seeking healthier alternatives

Consumer buying behavior Consumer buying behavior

TECHNOLOGICALTECHNOLOGICAL

Advancement of newer technologyAdvancement of newer technology Government providing thrust on R&DGovernment providing thrust on R&D

TARGET MARKETTARGET MARKET

Primary and Secondary Primary and Secondary MarketsMarkets

Market SegmentationMarket Segmentationo Geographic variables Geographic variables o Demographic variables Demographic variables o Psychographic variables Psychographic variables o Behavioral variables Behavioral variables

Target MarketsTarget Markets

RecreationalRecreational FitnessFitness HealthHealth LifestyleLifestyle SportsSports

Contd..Contd..

Primary MarketPrimary Market Kids – Fond of Fruit Juice (fond of mango, strawberry) Kids – Fond of Fruit Juice (fond of mango, strawberry)

Teens – More experimental Teens – More experimental

Youth – Experimental and more buying power Youth – Experimental and more buying power

Working People Working People

Housewives Housewives

Elderly peopleElderly people

Contd..Contd..

Secondary MarketSecondary Market

Travel Industry – Airlines, Railways and Local Transport SystemsTravel Industry – Airlines, Railways and Local Transport Systems

Recreational – Movie Theatres, Malls, Amusement Parks, school, Recreational – Movie Theatres, Malls, Amusement Parks, school, collages, hotels, restaurants, bars etc.collages, hotels, restaurants, bars etc.

Market SegmentationMarket Segmentation Market segmentation is the process in marketing of dividing a Market segmentation is the process in marketing of dividing a

market into distinct subsets (segments) that behave in the same way market into distinct subsets (segments) that behave in the same way or have similar needsor have similar needs

Variables Used for SegmentationVariables Used for Segmentation1.1. Geographic variables Geographic variables 2.2. Demographic variables Demographic variables 3.3. Psychographic variables Psychographic variables 4.4. Behavioral variables Behavioral variables

Geographic variables Geographic variables

FP Agro has no set geographic target area. By leveraging the benefits FP Agro has no set geographic target area. By leveraging the benefits of liberalization and integration of the markets of the world, FP will of liberalization and integration of the markets of the world, FP will seek to serve both domestic and international customers. seek to serve both domestic and international customers.

Metropolitan Cities, major cities of the states, and towns. Metropolitan Cities, major cities of the states, and towns.

Density of Area: Urban, Semi-urban, Rural. Density of Area: Urban, Semi-urban, Rural.

Climate: TropicalClimate: Tropical

Demographic variables Demographic variables

Age – all age group Age – all age group gender – Both Male and Female gender – Both Male and Female family size - doesn’t matter family size - doesn’t matter Education - doesn’t matter Education - doesn’t matter Income – middle & hi end consumerIncome – middle & hi end consumer occupation – student, working and retired peopleoccupation – student, working and retired people religion – doesn’t matter religion – doesn’t matter nationality/race – doesn’t matter nationality/race – doesn’t matter language - doesn’t matter language - doesn’t matter

Psychographic variablesPsychographic variables

Personality Personality No No

LifestyleLifestyle YesYes

ValueValue YesYes

Attitude Attitude YesYes

Behavioral variablesBehavioral variables

benefit sought benefit sought product usage rate product usage rate brand loyalty brand loyalty profitability profitability income status income status

Contd..Contd..

Users perceive fruit juice as a healthy drink.Users perceive fruit juice as a healthy drink.

Users drink fruit juice as a refreshing alternative to carbonated Users drink fruit juice as a refreshing alternative to carbonated drinks.drinks.

Users willingly spend on products related to health and lifestyle.Users willingly spend on products related to health and lifestyle.

Users enjoy fruit juice not only as a means of healthy life, but as an Users enjoy fruit juice not only as a means of healthy life, but as an intrinsically enjoyable activity in itself.intrinsically enjoyable activity in itself.

COMPETITIVE ANALYSISCOMPETITIVE ANALYSIS

Identification Of Identification Of CompetitorsCompetitors

Competitor AnalysisCompetitor Analysis

Market share Market share

ComparisonComparison

Strengths & Weaknesses of Strengths & Weaknesses of CompetitorCompetitor

Identification of CompetitorsIdentification of Competitors

CavinKare Pvt Ltd (Maa Fruits Pvt Ltd. )CavinKare Pvt Ltd (Maa Fruits Pvt Ltd. )

Coca Cola India (Minute Maid Pulpy Orange / Maaza )Coca Cola India (Minute Maid Pulpy Orange / Maaza )

PepsiCo (Tropicana )PepsiCo (Tropicana )

Parle Agro (Frooti / Appy/ N-joi )Parle Agro (Frooti / Appy/ N-joi )

Dabur (Real ) Dabur (Real )

Godrej Beverages (Xs brand / Sofit ) Godrej Beverages (Xs brand / Sofit )

Ladakh Foods (Leh Berry) Ladakh Foods (Leh Berry)

Mother Dairy (Safal) Mother Dairy (Safal)

FreshgoldFreshgold

Market Share of Competitors Market Share of Competitors

Comparison within the major competitors Comparison within the major competitors

Tropicana is a product of vast PEPSI family Tropicana is a product of vast PEPSI family Pepsi's Tropicana brand fruit juice has Pepsi's Tropicana brand fruit juice has

outpaced the growth of the packaged fruit outpaced the growth of the packaged fruit juices market in India.juices market in India.

The company sources orange juice The company sources orange juice concentrates from Brazil.concentrates from Brazil.

They come in Tetrapaks of one litre and They come in Tetrapaks of one litre and PET bottles of 500 ml and one litre.PET bottles of 500 ml and one litre.

Pepsi also markets Gatorade an energy Pepsi also markets Gatorade an energy drink for the sports personnel which is a drink for the sports personnel which is a sugar-free Diet Pepsi. sugar-free Diet Pepsi.

Pepsi, in association with HLL have Pepsi, in association with HLL have launched Lipton iced tealaunched Lipton iced tea

Dabur's flagship brand Real fruit juice is a Dabur's flagship brand Real fruit juice is a market leader in the packaged fruit juice market leader in the packaged fruit juice category.category.

Real with a market share of 35 % offers to its Real with a market share of 35 % offers to its consumers the largest range of 9 juices that consumers the largest range of 9 juices that comprise orange, mango, pineapple, mixed comprise orange, mango, pineapple, mixed fruit, grape, guava, tomato, litchi and fruit, grape, guava, tomato, litchi and cranberry.cranberry.

Real Active orange carrot juice, India's first Real Active orange carrot juice, India's first packaged fruit + vegetable juice.packaged fruit + vegetable juice.

Real offers traditional 'cooling' recipes in a Real offers traditional 'cooling' recipes in a ready-to-drink format ie Aam panna, ready-to-drink format ie Aam panna, pomegranate (anar) and watermelon .pomegranate (anar) and watermelon .

Spread over 11 acres and geared to process Spread over 11 acres and geared to process 150 tonnes of fruit per day, it has the capacity 150 tonnes of fruit per day, it has the capacity to produce 192 tonnes of pulp/concentrate.to produce 192 tonnes of pulp/concentrate.

Comparison within the major competitors Comparison within the major competitors

Frooti from Parle Agro is Frooti from Parle Agro is the largest distributed the largest distributed fruit drink with 85 % fruit drink with 85 % market share in India.market share in India.

It reaches more than 10 It reaches more than 10 lakh retail outlets in up lakh retail outlets in up to class C towns to class C towns

The company's another The company's another revenue earning brand revenue earning brand includes Bisleri water.includes Bisleri water.

It has a market share of It has a market share of 40 %. 40 %.

Maaza was acquired by Coca Cola Maaza was acquired by Coca Cola India.India.

Over the years, Maaza has become Over the years, Maaza has become synonymous with mango.synonymous with mango.

The drink became a hit with The drink became a hit with successful advertisement campaigns successful advertisement campaigns like "Taaza mango, maaza mango,' like "Taaza mango, maaza mango,' and 'Botal mein aam, maaza hain and 'Botal mein aam, maaza hain naam.naam.

It5 is available in 200 ml , 250 ml , It5 is available in 200 ml , 250 ml , 125 ml Tetrapak and 200 ml Tetrapak.125 ml Tetrapak and 200 ml Tetrapak.

Competitor AnalysisCompetitor Analysis

Tiger Competitor• Counter attack every strategy• Aggressive• Few in number• example: Coca-Cola, PepsiCo

Strategic Competitor• Reacts to a select strategy• Mediocre • example: Parle Agro

Stochastic Competitor• Unpredictable• Weak in nature; can become

strong• example: Mother Dairy

Laid Back Competitor• Confident about their product• Defensive• Generally monopolies• Brand Loyal Customers• example: Dabur

Strengths & Weakness of Strengths & Weakness of competitorscompetitors

NameName StrengthsStrengths WeaknessWeakness

CavinKare Pvt CavinKare Pvt Ltd Ltd

Acquired Maa Fruits Pvt LtdAcquired Maa Fruits Pvt Ltd

Distribution network Distribution network

Entering in a new Entering in a new segment segment

Coca Cola India Coca Cola India Global leader in beveragesGlobal leader in beverages

Growing FastGrowing Fast

New EntryNew Entry

PepsiCoPepsiCo Global Brand in beverageGlobal Brand in beverage Less Product LineLess Product Line

Parle Agro Parle Agro Market shareMarket share Less Product LineLess Product Line

DaburDabur Market leaderMarket leader Less cost effectiveLess cost effective

Godrej Godrej Beverages Beverages

InnovationInnovation New entryNew entry

Ladakh Foods Ladakh Foods Nutrients Nutrients TasteTaste

Mother dairyMother dairy Cost Effective Cost Effective New EntryNew Entry

Marketing Objective & Strategies

Product Place Pricing Promotion

Product

Type Fruit Juice

Features Fresh Punch is a 100 percent fruit juice which will be produced and marketed by the FP Agro Industries Ltd.

PLC Our product lie in introduction period

Identification brand name – Fresh Punch

Product Life Cycle Our product lie in introductionperiod Low sales High costs per customer Negative profits Innovator customers Few competitorsObjective: to create awareness and trial Offer a basic product Price at cost-plus Selective distribution Awareness – dealers and early adopters Induce trial via heavy sales promotion

Place

Distribution Channel Product location

availability Modes of transportation

Distribution Channel

Kullu

Delhi

Chennai

Mumbai

Bangalore

Within region

Delhi

Chennai

Mumbai

Bangalore

Kullu

Kullu

Kullu

Kullu

Kullu

Product Location Availability FP Agro has no set geographic target area. FP Agro has no set geographic target area. By leveraging the benefits of liberalization and integration of the By leveraging the benefits of liberalization and integration of the

markets of the world, FP will seek to serve both domestic and markets of the world, FP will seek to serve both domestic and international customers. international customers.

Metropolitan Cities, small cities, towns. Metropolitan Cities, small cities, towns.

Density of Area: Urban, Semi-urban, Rural. Density of Area: Urban, Semi-urban, Rural.

Modes of transportation

From road transportation

Pricing Policy Apply the concept of providing quality product at optimum

price

Provide Lucrative discounts, deals and schemes

Adopt sales oriented objective

Have one price policy to maintain a goodwill among customers.

Pricing Strategy So, as a new comer our pricing strategy is to introduce our

products in the market at lower prices so as to create the huge demand in the market and to compete with other competitors.

As we come up in the demand, we will increase our prices and will provide more efficient and affordable juices

Pricing Strategic Matrix

Penetration Pricing Our product will be lie on

penetration strategy with high quality & low price

For introducing new

product Price low to capture market

share Expect to make profit in

volume

Break even point

Demand Desire refers to people's willingness to own a good. Demand

is the amount of a good that consumers are willing and able to buy at a given price.

Factors Influencing our juice Demand The amount of a good demanded depends on:

the price of the juice the income of consumers the demand for alternative juice which could be used (substitutes) the demand for juice used at the same time (complements) whether people like the taste of juice (consumer taste).

Supply Supply is the amount of a good producers are willing and able

to sell at a given price.

Factors Influencing Supply of our juice The total sells of juice depend on

the price of the good; the cost of making the good; the supply of alternative goods the producer could make

with the same resources (competitive supply); the supply of goods actually produced at the same time

(joint supply); unexpected events that affect supply.

Factors The factors which will contribute to the success for our juice

demands in market: High consumer retention rateHigh consumer retention rate Price, a competitive advantagePrice, a competitive advantage Natural productNatural product Great distribution networkGreat distribution network Well – Health product Well – Health product

Launching and Promotion Promotional Tactics

Provide free samples in the market for the brand awareness

Advertising The following shows the advertising in the print media – to

our target audience by using the message showing a glass full

of juice “Drink this much every day”

Long-Term Strategy Change beverage choices in vending machines at school and

collages Assess the financial impact on school and collage profits Identify approaches to promote healthful beverage choices

and maintain profits for schools and collages Targeting

3,500 in smallest school and collages

all over India 20, 000 in largest school and collages

all over India

Contd….

Change advertising on beverage vending machines

Change beverage choices to water, sports drinks, and 100% fruit juices

Collect and submit monthly financial data from school and collages

Provide a Rs. 3,000 incentive per school in the project

Factors to Consider - Vending Machines Location of current vending machines

Power sources Marketing strategies

Size of Cans and or Bottles Cans, Bottles, or both Pricing strategies

Lower for healthier choices Price all beverages the same Price based on ounces

Tie – Up Promotion Strategy We will tie up with PVR cinemas to increase our branding. Will be putting up vending machines in every pvr cinemas like –

Bengalooru, Gujarat, Hyderabad, Maharashtra, MP, NCR, Punjab, UP

`in-film advertising' Will be giving our brand (juice) to be use in movie. Example : In movie ‘Yaadein’ – Pass-Pass, Hero cycle, Coca cola… `in-film advertising' - a brand using the medium of cinema to promote its

message. A number of marketers are now using movies to project the core values of their brands. In-film advertising, in its most effective form, is about a brand being a part of the cinema's content.

Take for instance, the Hollywood flick `What Women

Want'. This Mel Gibson starrer has a Nike commercial as

part of the script. It gels with the script so well that you

don't realized you're watching a commercial camouflaged in

the screenplay

Thank YouThank You