Coffee

Makers

By- Mehak Sharma

Tamanna Saxena

Areas covered in TT

Zones (TT) Stores Present

Stores Visited

Percentage

SOUTH Delhi 60 45 75%

WEST Delhi 90 53 60%

EAST Delhi 45 20 44%

NORTH Delhi 45 20 44%

GURGAON 50 33 68%

FARIDABAD 30 12 40%

NOIDA 8 8 100%

GHAZIABAD 10 6 60%

TOTAL 338 188 55%

No. of outlets visited

188+44= 232

Traditional Trade 188/338= 55%

*Total 338 stores in Traditional trade and 188 with Coffee Makers

Zones Store present

Store visited

Percentage

Faridabad 4 3 75%

Gurgaon 10 8 80%

Noida 8 6 75%

Ghaziabad 8 8 100%

North Delhi 3 2 90%

South Delhi 12 7 58%

West Delhi 15 8 53%

East Delhi 5 4 80%

Total Delhi NCR

68 45 64%

Areas covered in MT

*Total 68 stores in modern trade and 45with Domestic appliances

No. of outlets visited

188+44= 232

Modern Trade 45/ 68= 66%

Brand Name Morphy RichardsCountry U.K

Established 1936Company Glen Dimplex Group

Available at 111        

Model nameCafé Rico Expresso Café Rico Filter Café express Roma Pump

Europa Espresso

Model No. 47003 47008   350005 350007

Price 4395 2795 2995 9995 3995

Color Black Black Black Mettalic gray Black

Pressure       15 bars  

Power 1200 watt 1400 watt 850watts 1000 watts 800 watts

WT Capacity          Cup Capacity 6 10 2-4 cups 8-10 cups 4

Removable Water Tank No No No Yes YesFrother Yes Yes Yes Yes Yes

Anti drip No No No No NoWarming Tray Yes No No Yes NoAuto shut off No No No No No

Body   polyprophylene Plastic Stainless Steel polyprophyleneWarrenty 2 2 2 2 2

Accsesories Carafe No Cup No CarafeRemovable Filter Yes No No Yes Yes

Picture

Brand Name Black & DeckerCountry U.S

Established 1910Company Black & Decker Corporation

Available at 46    

Model name Plain    Model No. DCM 15 DCM55 DCM80

Price 965 2595 3290

Color Black Black Black

Pressure      

Power 500 watts    

WT Capacity      Cup Capacity 1 4 12

Removable Water Tank No No No

Frother No No NoAnti drip No No yes

Warming Tray No No YesAuto shut off No No No

Body Plastic Plastic PlasticWarrenty 1 1 1

Accsesories Ceramic Cup Carafe Schott Glass CarafeRemovable Filter No No No

Picture

Brand Name CanteeCountry Spain

Established 1947Company Cata Electro Domestic S.L

Available at   24        

Model nameGrinder and brew

filter Anti Drip 4 in one Crema Impressa Brew BaronModel No. Bean Czar Koffee Queen Magic Brew Crema    

Price 5490 1690 8999 4490 6290  

Colour Black Black Black & Silver black and silver black & silver  

Pressure     15 bars 3.5 bars 3.5 bars  

Power            

WT Capacity 1.5 liter 1.5 liter 1.5 liter 0.24ltr 1.25 ltr 1.25 literCup Capacity     12 4 cups 4 cups  

Removable Water Tank No No Yes No No No

Frother No No Yes Yes Yes NoAnti drip Yes Yes Yes Yes Yes No

Warming Tray yes Yes Yes No Yes YesAuto shut off Yes No No No No Yes

BodyStainless steel

&PlasticPolyprophylen

e Die cast alluminium Polyprophylene stainless steel PlasticWarrenty 2 2 2 2 2 2

Accessories carafe Carafe Carafe Carafe carafe carafeRemovable Filter Yes Yes No No Yes Yes

Picture

 

 

Brand Name Kenwood Bajaj SunflameCountry U.K India India

Established 1947 1938 1981

Company Kenwood Ltd (Now De'Longhi Group) Bajaj GroupSunflame

enterprisesAvailable at   17   51 7

Model name Plain KmixBrew

Master Espresso   EspressoModel No. CM70 CM021 CM461 CEX7 CEX10 SF712

Price 1695 10095   2995 3990 3190

Color WhiteRed/Black/

White   Black black silverPressure 15bars   15 bars     4 bars

Power 1200 watts 1200 watts     750 watts 800wattsWT Capacity 1 liter .5liter   0.6 ltrs 500 ml  Cup Capacity 4 6 12 4-6 Cups 4-6 cups 4

Removable Water Tank Yes no Yes Yes No No

Frother Yes No No Yes Yes YesAnti drip No Yes Yes No No No

Warming Tray Yes Yes No No Yes NoAuto shut off No No No No No No

BodyAluminium

&Stainless Steeldie cast

alluminium Plastic Plastic Plastic PlasticWarranty 1 1 1   1 1

Accsesories Cup stand Carafe carafe Carafe Carafe CarafeRemovable Filter No No Yes No No No

Picture

           

Brand Name Prestige Russel HobbesCountry India U.K

Established   1955   2009  Company TTK Prestife Ltd Spectrum Brands Ltd

Available at 10 7Model name Percolator Filter Espresso Espresso FilterModel No. PCMGDB1.0 PCMH1.0 Pecmd1.0 RCM800 RCM 60

Price 1225 1295 2995 3595 1295Colour black Black Black Black Black

Pressure     3.5 bars 3.8  Power 600 watts   800 watts 800 watts 800 watts

WT Capacity 1 ltr 1.25 ltr 0.24 ltr 240 ml .6 literCup Capacity     2-4 cups   4-6 cupsRemovable Water Tank No No  No No Yes

Frother No No  Yes Yes NoAnti drip Yes Yes No Yes Yes

Warming Tray No  No No No YesAuto shut off Yes  No No No No

BodyGlass and

platic  Plastic Plasticstainless steel and

plasticstainless steel and

platicWarranty 1  1  1 2 2

Accessories No carafe Carafe Cup  Removable

Filter No No  Yes No Yes

Picture

 

Brand Name Lavazza Inalsa DelongiCountry Italy Spain Italy

Established 1895 1967 1902Company Lavazza Taurus Group De'Longhi Group

Available at 1 35 2

Model name Lavazza blue Café Real Maxi Cream Brew King  Model No. LB850     espresso Dc51TT

Price 16000 2895 3390 3895  Colour White Black Black black Black

Pressure   4 bar   4 bars  Power 850 watt        

WT Capacity 2.5        Cup Capacity 1 4 4  4  

Removable Water Tank Yes No No  Yes No

Frother No No No  Yes NoAnti drip No No No  No yes

Warming Tray Yes No No  No yesAuto shut off No No No No  Yes

Body Plastic Plastic Polypropylene Polypropylene

PlasticWarranty 2 1 1  1 1

Accessories  Heat Resistant

Cup Cup No  JarRemovable Filter No Yes   Yes yes

Picture

 

   

Brand Name Hotline Nikitasha Moulinex Yashita KoryoCountry     France India India

Established     1937 1997 2006

Company     Groupe SEBYashita India Pvt

Ltd Future GroupAvailable at 10 1 1 1 3Model name Filter Espresso Espresso Filter Espresso    Model No.   VI9002 SRE301A subito   KCM 1200 KEK 125

Price 700 1350   3220 1350 1490 799Colour black Black Black Black black Black White

Pressure   4.5 bars 4.5 bars        Power 900 watts 800 watts 800 watts 1000watts 850 watts    

WT Capacity 1200 ml         1200ml 1.2 ltr

Cup Capacity 10 cups 4 cups   15 6 cups    

Removable Water Tank No No No No No No No

Frother No Yes Yes No Yes No NoAnti drip Yes No No Yes Yes yes YesWarming

Tray Yes No Yes No No No NoAuto shut off no No No Yes No No No

Body Plastic Plastic Plastic Plastic Plastic Plastic PlasticWarrenty 1 1 1 2 1 1 1

Accessories Jar Carafe 24cc carafe Jar Carafe Carafe NoRemovable

Filter Yes No No Yes No yes No

Picture

 

 

Presence of brands

Brand Presence

Morphy Richards

25%

Black & decker11%

Bajaj12%

Philips22%

kenw ood4%

Cantee6%

Inalsa8%

Others12%

MARKET Presence of Morphy Richards is 25%

NCR Volume Market Size – Coffee makers

NCR Total volume market size – TT+MT= 1589 unitsTT-927=55%MT – 762 = 45%

Monthly Sales for Drip Filter and Espresso

ESPRESSO

TT MT

Avg. Sales 673 584

% 54% 46%

DRIP FILTER

TT MT

Avg. Sales 254 78

% 77% 23%

Sales For Coffee Per Zone

Avgrage. Sale

240

161

97

128

106

146

24

6

Seasonal Sale

561

566

279

329

359

279

117

38

•South

•West

•East

•North

•Noida

•Gurgaon

•Faridabad

•Ghaziabad

Zones Avg. %Sales

Seasonal % sales

South Delhi 25% 22%

North Delhi 14% 13%

West Delhi 18% 22%

East Delhi 11% 11%

Noida 12% 14%

Faridabad 3% 5%

Gurgaon 16% 11%

Gaziabad 1% 2%

Zones Avg Sales(Filter)

Avg Sales(Espresso)

Total Avg Sales(Filter) %

Avg Sales (Espresso)%

Faridabad 8 8 16 50% 50%

Gurgaon 10 17 27 63% 37%

Noida 22 72 94 77% 23%

Ghaziabad 12 32 44 73% 27%

North Delhi 4 4 8 50% 50%

South Delhi 12 38 50 76% 24%

West Delhi 11 22 33 63% 37%

East Delhi 3 13 16 81% 19%

Average sales in Modern Trade

Average Sales per Month– Drip filter Vs. Espresso

Overall Espresso and Drip Filter Sales are 1257 and 332 respectively where as total is 1589.

Monthly Market Share

174

66

121

40

105

42

138

40

82

24

613134

82 40

20406080

100120140160180200

Espresso FilterCoff ee Maker

•South•West•East•North•Noida•Gurgaon•Faridabad•Ghaziabad

Zone Filter Espresso Zone Filter EspressoSouth Delhi 28% 72% Gurgaon 34% 66%North Delhi 22% 78% Noida 43% 57%East Delhi 29% 71% Ghaziabad 33% 67%West Delhi 25% 75% Faridabad 19% 81%

Seasonal Sales –Drip filter Vs. EspressoSeasonal Sales

174

387

168

398

105

174138

197

102

257

61

218

34

83

19 19

0

50

100

150

200

250

300

350

400

450

Filter Espresso

Coffee Maker

Sale

s

•South•West•East•North•Noida•Gurgaon•Faridabad•Ghaziabad

Zone Filter Espresso Zone Filter EspressoSouth Delhi 31% 69% Gurgaon 22% 78%North Delhi 41% 59% Noida 28% 72%East Delhi 38% 62% Ghaziabad 50% 50%West Delhi 30% 70% Faridabad 29% 71%

Overall Espresso and Drip Filter Sales are 2953 and 956 respectively where as total is 3909.

Price Cap South North East West Noida Faridabad

G’gaon Ghz’bad NCR

<1000 14 - 1 5 2 7 4 - 33

1000-2500 4 17 14 30 11 18 21 2 117

2500-3500 30 42 22 32 12 7 22 3 170

3500-4500 46 15 14 24 3 7 23 8 140

4500-5500 4 - - 1 - - - - 5

5500-6500 - - - - - - 1 - 1

6500-7500 - - - 1 - - - - 1

7500-9500 10 1 1 - - - 5 - 17

9500-12000

6 - 1 - 2 - 1 2 12

12000-16000

2 - - - - - - - 2

Price Cap for NCR

Price Cap for Espresso

Price Cap South North East West Noida Faridabad

G’gaon Ghz’bad NCR

<1000 - - - - - - - - -

1000-2500 - - 1 8 - - 2 - 11

2500-3500 32 21 13 29 9 9 16 3 132

3500-4500 36 10 4 20 3 3 16 2 94

4500-5500 - - - - - - - - -

5500-6500 - - - - - - 1 - 1

6500-7500 - - - - - - - - -

7500-9500 10 - 1 - - - 5 - 16

9500-12000

6 - 1 - 2 - 1 - 10

12000-16000

1 - - - - - - - 1

A BIG Gap!!!!

Lavazza : The only Player !!

Kill Morphy Richards

Morphy with a wide price range and 5 models is present in 25% NCR market and is Available at

111 Stores.Philips following Morphy with

22%.in NCR and is Available at 71

Stores.

Lavazza – Future of Espresso

.

 

ConceptLavazza , the ideal espresso for espresso maniacs even at home

InnovationComprised of an espresso machine and self-protecting, individually vacuum-packed pods, containing the prized Lavazza blends

The Capsules

@ Croma- CP

• Lavazza Capsule Costs Rs. 25 Each

• Used for Professionally Prepared Coffee

The Machine

An Integrated system combines technological

innovation, excellent quality and exclusivity.

Comprised of a Saeco espresso machine & self-protecting, individually vacuum-packed pods,

containing the Lavazza blends

Functioning

(Left to Right)Button 1- For FrothingButton 2- To put in a cupButton 3- For Strength hardness

Available @ CROMA Only

Original Price – 16000/-Croma price 13000/-Home ServiceHome DemoSales : 4-5 unit in a monthCapacity- 1 cup

Finally……….. The Cup!

• Dense, firm, and at least 2 - 3 mm thick

• Persistent: it lasts at least 2 - 3 minutes

• A full and fragrant aroma • Hazelnut colored• Thick crema chocolaty taste

Displays At Market

Aar Kay plazaRamesh Nagar

Malik EnterprisesMoti Nagar

Sound & imageHari Nagar

KCOP DistributorsDabri

Growing Threats…!!

• Cantee- 6 Models, both with high and low price range

• Bajaj- Capturing middle income segment with a low price

Available at 24 stores

Available at 51 stores

CANTEE BAJAJ PHILIPS

Philips is present in 71 stores while Bajaj and Canteeis following Philips by 51 and 24 stores respectively

MIP-Market Introduction Plan

• Market Situation• Distribution & Reach• Launch City List• Price Cascade• Launch Plan

Market Situation

S ales F or D rip F ilter

26%

74%

S ales F or Drip F ilter A vg.

S ales F or Drip F ilterS eas onal

S a les F or E spresso

30%

70%

S ales F or E s pres s o Avg

S ales F or E s pres s oS eas onal

MT18%

TT82%

Total Yearly Sales

Monthly and seasonally Drip Filter and Espresso are sharing market with 26/74 and 30/70 resp.MT and TT are sharing the sale of Coffee maker with 18% and 82% resp.

Distribution and Reach Total universe = 188 TT + 43 MT = 243 out of 43 MT we have

12 CROMA 4 Big Bazaar3 The Electronic store3 Spencer’s

Target POSM

TT-Stickers, Display Units

MT- Standies, Danglers

Target Segment

Household – 35%

Corporate-65%

Launch City : Place

We are going to launch are product in Delhi NCR occupied by 13,039,839 people and 8 distributors all over the Delhi NCR.

Price Cascade

Gap Analysis• Big gap in the range of Rs. 4000-12000• Morphy ends its espresso range at Rs.

4000 and Lavazza starts at Rs. 12000. We can launch 4-6 cup espresso : Rs. 4500-6500 or 6-8 cup espresso : Rs. 5500-8000

Product Cascade

•Where is PHILIPS Espresso?? – Market demand•Product Features:-o Espressoo Frothero Auto shut off

•Accessories- Carafe and Spoon

Need Analysis

Brand Pillars• Easy to use : easy to install at home.• Advanced : LCD Display, Fast Brew, Over Pressure Protection Device, Espresso + Cappuccino

5 Why Approach

Why someone should buy Philips Espresso??1. Price !! Like never before2.Compact in size3.More Cup in Less Price4. Stylish Sleek look5. Reasonable

Key USP

Benefit for Customers:

Benefit for Retailer:

Good Quality branded Coffee maker within a Reasonable Price

Higher margins/ Easy to store/ Easy Maintenance possibilities + with a brand name

Promotions

Trade Promotions

1.Retail promotions schemesOffers on keeping good stock

2.Gifts on first stock3. Offering shelves for display

Consumer Promotions

Taste and Think with Sense & Simplicity !!

• Demos @ Stores like Croma• Demos in colonies• Coffee demo at malls near by

Barista/CCD/Café mocha offering coffee to taste free of cost.

• 6 cup gift pack with launch stock

Sample cup for Consumer Promotion

Promote Coffee Habit with the product

• We promote near by college campuses specially in SOUTH DELHI like Gargi, IITD or DU.

• For Brand Awareness….. We choose college fest to promote our brand bySponsoring fest or particular event.Putting up a small coffee counter on very low

price. For E.g.

Strength

•Brand recall value•Already had an Brand acceptance in the market.•Known for providing best “Value for Money”

Weakness

•Low Margins •Less Variety•Low awareness of Philips coffee makers among consumers

Opportunities

•Growing demand by households in India•Coffee market is growing,

Threats

•Increasing number of players in the market•Low prices of competitors for E.g. Bajaj•Wide range with innovative features offered by the competitors

SWOT

Overall RecommendationsPhilips should introduce an espresso coffee maker

with a frother and removable filter. (Like Cantee and Morphy)

A range of coffee makers in terms of quantity should be made available. (For E.g. Cantee)

More Margin should be made available to the dealers as competitors are doing so. (Morphy- 22-25%)

Awareness among consumers should be made. (Demos at exclusive showrooms For e.g. Croma and Shoppers stop)

Certain tie ups should be made with the stores in Modern trade providing better opportunities for sales. (E.g. The Electronic store & Reliance )

Home demonstration services should be used in Case of modern trade

Thank you !