Fantastic 4

Name ID

Abdullah Al Noman 1220235

Syed Faiz Ahmed1110717

Md Wahidul islam 1137030

Shahnewaz Mustafiz 1010313

Tajwar Rahman 1120177

Executive Summary

Ring Chips is a product of Bombay Sweets and Company Limited (BSCL). The company is a name which has been associated by consumers for more than 5 decades with snack foods in Bangladesh and abroad. It made its modest start in 1948, gradually increasing its popularity amongst consumers by meeting their demands. Initially, BSCL served its customers through its own outlets, and within 20 years the company had established 28 such outlets throughout the country.

Bangladesh not only has a rapidly growing economy, but is also one of the most denselypopulated countries in the world. The economic focus is turning from agriculture to industrial sectors, even though current economic conditions are not so good. Nevertheless, the snacks industries have great potential and opportunities for a bright future in the Bangladeshi market. All types of snacks and chips are great favorites with people of all ages, but especially with children, teenagers, and the 18 to 26-years-old generation. Snacks and chips are a kind of appetizer which people like to eat at break-time or between meals, wherever and whenever the opportunity arises. There are many international and local brands of chips all competing for this growing business market in Bangladesh. Consumers are therefore looking for a brand to purchase, whose products satisfy their tastes and preferences. We believe Ring Chips has that potential to be among the top selling chips in Bangladesh. That is why we are re-launching the product because we believe there is demand in the market for Ring Chips. It is a popular product among kids and teenagers.

We are targeting specific segments in the consumer markets, taking advantage of opportunities indicated by higher demand in the snack industry. The primary marketing objectives of this plan are to make people aware of this product still exists in the market we are trying to achieve that through a whole lot of advertising strategies. We believe as soon as people are aware of our product sales will automatically rise and within a year Ring chips will be among the most-selling chips in the country.

Table of contents:

Page

Current market situation04

Product Review05

Competitive Review06

SWAT analysis09

Marketing Strategy10

Positioning & Product Strategy11

Price Strategy & Distribution Strategy12

Marketing Research & Controls13

Advertising14

Conclusion16

Current Market Situation

Ring Chips the first product launched by Bombay Sweets and Company Limited (BSCL) some 50 years ago. Decades later it is still going strong among taste buds of Bangladesh.Bombay Sweets is about to re-launch Ring Chips into the Chips Market which is dominated by Lays, Bombay Sweets Potato Crackers and Mr. Twist, Sun Chips and Meridian Chips. However, there is growing demand in the snack industry of Bangladesh and with effective advertising strategy there is great chance that Ring Chips will quickly become a top seller in the market. To gain market share in this environment Ring Chips must carefully target specific market segments. Another plus point for Ring Chips is that it is a product of Bombay Sweets, the company dominates the snack industry especially the chips market with Mr. Twist and Potato Crackers which are best sellers for years.Market Description

Ring Chips market consists of consumers aged between 6 to 26 years. The chips market is dominated by Bombay Sweets Potato Crackers and Mr. Twist, Lays a product of Frito-Lay group, Sun chips a product of Quashem Foods Limited and Meridian Chips a product of Meridian Foods Limited.

Age vs. Preferred Brand

Count

Preferred Brand

Total

Bombay Sweets Potato Crackers and Mr. Twist

Meridian Chips

Sun Chips

Lays

Others

Respondents Age

Less than 10

2

1

0

1

0

4

11 to 15 years

27

47

9

77

9

169

Above 15 years

16

9

5

18

2

50

Total

45

57

14

96

11

223

Respondents Age * Preferred Brand Cross tabulation

Table-1

As you can see from Table -1 this is the current situation of the Chips market in Bangladesh. 2 of Bombay Sweets Products already dominates the market and controls major share in the market. Through our Brand name people will be attracted to our product because they already trust our products. As we are re-launching this product we will sell at a lower price than our competitors at the moment Potato Crackers and Mr. Twist are sold at 12 taka a pack. We will sell Ring Chips at 8 taka a pack to attract customers.

Product Review

Ring Chips is a ring shaped chip as the name suggest. Its ingredients are Wheat Flour, Starch, Baking Powder, Turmeric Powder, Vegetable Oil and Seasoning.

As we are re-launching the product we have definitely improved the quality of the product .We are using modern machinery to produce the best chips possible. As soon as our customers open their pack they can see that all the chips are ring shaped no exception and all of the chips will be crispy and crunchy.

Competitive Review

Key Competitors in Chips Market are:

1. Lays is a product of Frito-Lay a multinational company owned by PepsiCo. Lays sells it chips in Bangladesh through Lays PepsiCo India. Lays sells the following flavors: "India's Magic Masala", "American Style Cream & Onion", "Spanish Tomato Tango", "Classic Salted" and "West Indies' Hot 'n' Sweet Chili ". In 2013, Lay's released two new flavors, "French Salt & Cracked Pepper" and Lays Chile Limon". A baked variant of Lay's called "Lay's Baked" is available in the following flavors: "Original Salted", "Cream, Herb & Onion" and "Sun kissed Tomato". They have 3 types of Packet small, regular and large.

2. Potato Crackers and Mr. Twist are both product of Bombay Sweets and Company Limited (BSCL). They are made right here at Bangladesh. Each of this chips are sold at only one type of pack which is similar in size to Lays Regular pack. Each pack cost around 12 taka. Bombay Sweets also sells other chips like Alooz, Korinthos, Bombay Sticks, Potato Sticks, Cheese Balls and Slanty.

3. Sun Chips is a product of Quasem Food Limited, it is another product made right here in Bangladesh. It follows similar design and flavors of Lays. Sun chips have 5 flavors Mix Masala, Garlic and Chili, Wasabi, Cream and Onion and Tomato Tango.

4. PRAN is another major competitor in the chips market. They sell 3 types of chips Pran Potato Cracker, Tom Tom Cracker and Chicken Bite.

5. Meridian Foods Limited is another company who is renowned in Bangladesh for its snacks. Like Bombay Sweets its sells variety of Snacks most of them chips. There best seller Meridian Real Thai Chicken Chip. Instead of potato they use real chicken, they somehow dry out and made it into chips. They sell many more kinds of chips like Meridian Real Thai Shrimp Chip, Meridian Fresh Chicken Stick, Meridian Chicken B.B.Q. chips, Meridian Tok-Mishti chips, Meridian Potato Crackers, and Meridian Zig Zag.

SWAT analysis of rings chips:

Strength:

Innovative: ring chips is made of a unique taste where is rare to find in any other .A sour hot taste which will make you feel good.

Healthy: our chip is made in a very healthy environment, using no chemical and any other bad ingredients.

Pricing: Ring chip is cheaper comparing the other existing products in the market.

Qualified persons: having qualified and experienced peoples behind the making that makes our product safe.

Delivery: maintaining strong delivery schedule.

Very strong financial support.

Having a loyal customer base.

Using modern tech.

Strong brand name in the market.

Weakness:

Having strong competitors in the market.

It will be hard to get the market share.

As it is a sour hot product then many customers will not like the taste

Many consumers will not like to taste a new product.

Opportunities:

Increasing young generation is a great opportunity.

Demand for new taste is increasing so it is a opportunity to introduce a product.

Mature retail market in Bangladesh.

Company has a good image in the market.

Having great communication channel to deliver the product.

Educated and hardworking employees

Having innovative ad making people who will make their advertisements attractive to watch.

Threats

Because of increased competition and market share strategies price can go down more.

Chance of rejection from the market.

Foreign chips companies can be a big threat.

Maybe fail to fulfil the expectations of the market.

High cost of the raw materials can have a negative effects.

Bad situation of the country can become a threat.

Objectives:

Financial objective:

First year: there will be not enough sell in the first year so the profit will not get a good look, we have to introduce the product very well in the market in the first year.

Second year: in the second year the sell will increase in a satisfactory rate. in the second year we will try to sell 500000 packages ,by offering three different price packages- 5,10,30 tk.

Marketing objective:

Increase new customers.

To attract customers of different chips and make them own customers.

Making the product familiar in different areas of country.

Marketing Strategy of Rings Chips BD:

In our marketing strategy of ring chips our primary consumer market is the young peoples who like to take chips very much like school, high school and college going students and our secondary consumer target is the adult and the old aged peoples who dont take chips regularly but often they like to taste it.

The market can be segmented in following basis:

Geographic

For urban and suburban citizens of all over the country

Where the transport system is good.

Demographic

Children under teen age and teens

Educated people and conscious parents.

Psychographic

Lower, middle and higher income.

Behaviour factor

Who seek good quality

Who has negative effect about the traditional chips

Non user and the regular user of the chip.

1. Positioning:

Positioning is the key element of any marketing plan. Positioning is as much as art as science and helps to win the hearts and minds of the consumer. BSCL tries to position their product through image and product differentiation. To make ring chips different from others the pack plays very important role, they are using a yellow colour full pack that no other companies are using and by that there goes a clear image in the customers mind about the chips that how it looks. Then they will use their logo and short advertisement so that people can have a clear idea about the product. Also using a cartoon on the package which will be another symbol of the product.

To capture customers ring chips will also develop some positioning strategy. Like:

Proper offerings.

To know about the customer satisfaction.

Insuring better quality.

Insuring 100% harmless chips etc.

2. Product strategy

To launch a product in the market there are some rules that should be followed.

Our product should give some different experience to the customers then the other existing products in the market. customers should find that our products taste is unique from others

Different sizes of chips packs will be in the market, like medium, big, small, soeveryone can take it.

Sizes, taste of the chips must be different from others, customers can find something unique.

The date of expire would be on the package body so the customers can think they are having the right quality.

3. Price strategy:

Pricing is a very important strategy to make a product successful in the market. As we are targeting the teens and school college going peoples so we have to decide a price that those peoples can bear.

To make the product familiar in the market first we will make a low price than the other existing products in the market so that it could get some market share.

As we are making different packages of chips so we could different prices of different shapes. Like small one 10 taka, medium one 15 taka,and the biggest family one 30 taka.

We can also offer if anyone buys 5 chips together then he will get 10 taka concession.

4. Distribution strategy:

As BSCL has a large distribution channel from urban to remote areas, so they could supply the product by using this channel.

Can assign students as their part-time representatives to remote area to promote ring chips because they are energetic and it will cot low then the permanent employees.

Assigning more distributers in different areas to make it available in different part of the country.

Also can promote through mobile shops in the shopping malls, offices and the crowded areas so that the people can purchase the product easily when they want to.

Also offering attractive bonus for the distributers who will be able to fulfill the target of sell.

5. Marketing Research:

By using the research we are trying to find that the specific tastes and the benefits that the customers want from us. Feedback from market tests, focus group, surveys will help us to develop our product. We will also be able to know the customers attitude toward the competing brands and products. We will use customer satisfaction studies to gauge market reaction.

6. Marketing Organization:BSCL chief marketing officer,holds the overall responsibility for all of the companys marketing activities.

Advertising:

We are using different media to promote our product. As our product is almost going ban in the market & our plan to re-launch it, it might not be so easy for us to re-settle down our product in the market. But we are going to try best to dominate the market.

Television:

Television is the biggest source of media. People of all ages around the world are mostly depended on it. So we are targeting to have a commercial ad on TV of our product. The heavy use of TV by children is of concern to parents and early childhood experts. As children are the main target consumer of our products, so giving ad on TV might be the great source to reach them.

Newspaper:

We are planning to give ad in the newspaper. As its a great source of media, people do read newspaper frequently and get updates. So, its definitely the great way to promote our product. We want to publish our ad daily for one week, then publish it on the weekends of a week. Here is the demo of our ad-

Radio:

There is a number of a large group people who do regularly stay connected to Radio. The ads of Radio can reach the audience easily. The jingle, key word, brand name, people can easily remember. We are planning to give our ad on regular basis on Radio.

Internet:

In recent days people become very much depended on internet. We are going to promote our product in Face book. We are having our official fan page, where we will upload our ads, posters, different offers etc. The news on Face book spreads within a very short time. So, we are expecting for great respond from the users.

Billboard:

In Metro cities, giving ad in Billboard is a common thing and very much effective. We are going to have Billboard ads in differentbusy roadside. This source of advertisement really works, people got attracted by seeing those ads. So, its an easier source to capture the mind of consumers. It is expensive but it will definitely going to increase our sales.

Road shows:

We can arrange road shows in in front of many shopping malls and many schools and colleges. Frequent road shows can affect the consumers and they can get interested in it.

Sponsorship:

Ring chip can sponsor various concerts, sportsevents, cultural programs .they could also include cafes, university canteens etc. for sponsorship.

Budgets

We have estimated 1,0000000tk for e media, for press media 5000000tk and for billboard 3000000tk and some other cost for sponsorship etc. We will try to sell 500000 packages at different prices like 5, 10 and 30 tk for big one and to get 10000000tk from there but from 1st year it would be difficult so we could see a loss in 1st year but from next or few years later there will be a shape increase in sales and revenue in go up and company can make profit. I

8. Controls:

Marketing plan includes different kinds of budget and managerial assessment for every action program. This will allow comparison between actual and projected sales and expenses. If comparison failed then its not possible to go to the competition. For better performance we need it. If we find any gap in plan and output then we should correct it. Also if there any problem arise in production or any other areas, then we should take necessary steps to overcome it.the problems could be:

Fail to communicate with target customer

Price is high

Taste failed to satisfy customers

Promotion was not enough.

Did not enter into rural areas

Solutions could be:

Use the promotion widely

Improving the quality

Make the correct price.

Provide in urban and rural areas

Increase its status.

Conclusion

As we know that todays world is a competitive world and to survive in the market you always have to make something innovative. So having that in the mind we tried to make a product which is affordable to the customers who can buy that and also making the product bright and a unique taste which the customers will like to have, company have to create a longtime and a short time plan which they will try to achieve time to time, they will also have to be aware about the whole market situation and try to take decisions regarding the situation.

chief marketing officer

sales manager

regional sales

promotion manager

promotion analyst

advertising manager

advertising analyst

Ring chipsPage 18