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ITC INTERROBANG

CASE CHALLENGE

CREAMING COOKIES

TEAM WINNERS CURSE


NAME

ROLL NO

PHONE

EMAIL ID

Chirag Arora

2013PGP112

9584120202

p13chiraga@iimidr.ac.in

Neha Bhomia

2013PGP248

7509900666

p13nehab@iimidr.ac.in

Pavan Bhambhani

2013PGP099

8818882169

p13bhambhanip@iimidr.ac.in

Saumya Ahuja

2013PGP355

8819920004

p13saumyaa@iimidr.ac.in

IDEA PROPOSAL
Single brand approach of introducing four innovative offerings - Caramel, Hazelnut,
Strawberry and Butterscotch Cream Cheese by extending Delishus line of products

AGENDA
NEED GAP ANALYSIS
CUSTOMER PREFERENCES
CONCEPT TESTING
BRAND ARCHITECTURE
STAKEHOLDER SPEAK
PRODUCT STRATEGY

IDENTIFICATION
CookieNEED
market
and need identification
Need Gap Analysis

Customer Preferences

Concept Testing

Brand Architecture

Research Methodology

2 FGDS of 6
participants
each

Stakeholder Speak

Product Strategy

Bi-needs of Cookie Consumer


Occasions, needs,
purchase
parameters,
consumption
pattern identified

Bond with
family/friends

Reward oneself
Survey filled
by 108
respondents

Satisfies Hunger

Emotional
needs

Wanting to try
something new

Convenient to
carry

Common needs
Most important perceived factors in
cookie purchase decision process

Reward oneself

Gifting someone

GAPGap
ANALYSIS
MAP
AnalysisPERCEPTUAL
Perceptual map
Need Gap Analysis

Customer Preferences

Concept Testing

Brand Architecture

Cost vs Taste

GAP

Stakeholder Speak

Product Strategy

Ingredients vs Taste

GAP

GAP in BETTER TASTE + RICHER INGREDIENT + HIGHER PRICE SEGMENT

FACTOR
Factor ANALYSIS
Analysis
Need Gap Analysis

Customer Preferences

The purchase behavior of consumers


who are not health conscious does
not depend on the physical attributes
Hypothesis

1
Factors clubbed
into two groups

Group 1
Ingredients
Nutrition
Energy

Group 2
Taste
Pack Size
Physical
features
Packaging

Health conscious
consumer is
indifferent
towards physical
attributes
Other consumers
consume cookies
on the basis of
taste, price, packsize and
packaging. Thus,
hypothesis
rejected

Concept Testing

Brand Architecture

In the evaluation
of alternatives
phase of a
consumer
purchase, the
primary
segregation of
cookies is done on
the basis of
embedded
ingredients and
toppings. Thus,
the hypothesis was
rejected

Cashews/Nuts,
Elaichi/Pista,
Choco-Chips
and Dark
Chocolate were
grouped into
preference for
rich ingredients
Oats, honey and
butter were
grouped into
preference for
plain cookies

2
Hypothesis
The consumer is not able to segregate
the cookies on the basis of embedded
ingredients and toppings

Stakeholder Speak

Product Strategy

The consumer is not able to segregate


the cookies on the basis of taste

Hypothesis

3
Hide & Seek,
Delishus and
Milano grouped
under preference
for rich premium
taste
Britannia GoodDay, Parle 20-20,
Sunfeast cookies
and local bakery
biscuits grouped
under preference
for mass segment
cookies

Delishus, Hide &


Seek and Milano
perceived to give
the consumer
similar value in
terms of taste
It is likely that,
Hide & Seek and
Milano being
from same
parent brand
cannibalize each
other. Thus
hypothesis not
rejected

CONCEPT IDEATION
Need Gap Analysis

Customer Preferences

Concept Testing

Brand Architecture

Stakeholder Speak

Product Strategy

3 different concepts framed and tested in the second leg of primary research involving 80 respondents
Concept #1
A cookie with nutty exterior and has a
non-chocolate cream filled inside
Top 2 Box Score

68%

Concept #2
A cookie that has a crunchy exterior
and is soft from the inside
Top 2 Box Score

81%

Concept #3
A cookie that can be heated before
consumption
Top 2 Box Score

43%

Cross Tab Results


Based on concept testing, 90% of the
respondents who responded positively
to Concept 1 also preferred Concept 2
(Based on Top 2 Box Scores).

Based on concept testing, 75% of the


respondents who responded positively
to Concept 2 also preferred Concept 1
(Based on Top 2 Box Scores).

Finalized Concept
The cookie would be crunchy from outside and would have non-chocolate cream based
ingredients inside
This concept was validated through FGDs on the basis on imported Surrogate Cookie

SIZEABLE
MARKET
SIZE
Sizeable market
table
Need Gap Analysis

Customer Preferences

Concept Testing

Brand Architecture

Stakeholder Speak

Product Strategy

Confirming that identified segment has distinct sizeable need, estimated the possible demand:

By the perceptual map and on a per gram


Average Acceptance of New Concept
75%
basis, we had observed that Delishus
has
India's Population
1237000000
been able to charge a premium
in EA
Population %(Premium
Segment) to the nearest competitor
4.60% i.e.
comparison
Milano
by 21%. Our new offerings
are EA
in the
Population (Premium
Segment)
56902000
super premium segment and since there are
Per capita biscuit consumption/year
1800
no competitors in this segment,
wegrams
believe
that the best way to price the product is by
Cookie Consumption
grams
Pricing
way of Perceived Value792
One Delishus Packet Weight
No. of Packets/year

Model

Source/Comments
2nd Survey based on concept testing
www.censusindia.gov.in

Indian Biscuit Manufacturers Association Website


2nd Survey: 44% of the respondents prefer cookie over any
other snack

75 grams
10.56 packets
Considering Delishus 100% share

By Value @ Rs. 40/pack

Rs. 450663840
Rs. 18026553600

Considering Delishus' Market Share

Rs. 1982920896

Actual Market Share for Delishus: 11%

Total Volumes

No. of Packets/year

4,95,73,023 packets

Sizeable Market Segment

Source: http://www.dailymail.co.uk/indiahome/indianews/article-2327182/The-myth-great-Indian-Middle-class-Roughly-30-Indias-population-lives-poverty-line.html

EQUITY
Equity MODEL
model
Need Gap Analysis

Parameters on
which customer
rated

Customer Preferences

Concept Testing

Ingre
dients

Taste

Brand Architecture

Stakeholder Speak

Product Strategy

Overall
Brand
Value

Price

Britannia Model
Subbrands have a
close symbiotic
relationship with the
mother brand (Good
Day), and mother
brand lends its
brand equity to them

Parle Model
Sub-brands have
evolved into strong
brands in their own
right and have lent
their equity to the
mother brand

Sunfeast Model
Mother Brand has
built equity around
itself but has not
substantially lent it
to its sub-brands

Good Day

Other

Parle

HidenSeek

Sunfeast Delishus

Sum of parts

25

24.5

Sum of parts

24

23.75

Sum of parts

24

23.75

Overall

26

25

Overall

24.25

25

Overall

24.25

25

Brand Equity

+1

+0.5

Brand Equity

+.25

+1.25

Brand Equity

-1.75

+1

Sunfeast as a Token Endorser

FINANCIAL
ANALYSIS
Financial Analysis
Need Gap Analysis

Customer Preferences

Concept Testing

Brand Architecture

Single Brand
Assumptions

Stakeholder Speak

Product Strategy

Multi Brand
Delishus Extension

Market Expense of 35% of sales revenue


Growth of market share by 25% in year 1 due to launch of
variants and thereafter will grow by 15% y-o-y

Higher NPV

New Brand
Assumptions

Marketing expense- 50% in year 1 (due to new product


launch) and decreases by 2% y-o-y
Reaching a market share of 20% by 2017, and a growth of
market share by 15% y-o-y

Financially more feasible to go for a Single Brand Structure

VOICE OF CUSTOMER
Validation
customer pics
Need Gap Analysis

Currently,
Delishus does
not justify
richness
associated with
communication

Dry fuits
(granular form)
Important
ingredient

Customer Preferences

Customer
speak

Indian flavors
rejected for
crust only
18% preferred

Concept Testing

Acceptance for
flavored cream
cheese rather
than plain
cheese cream

Preference for
flavors like
Butterscotch,
Strawberry,
Hazelnut and
Caramel

Brand Architecture

Product Strategy

Stakeholder Speak

Retailer
speak
Texture
and depiction on the
packaging plays important
role in purchase
decisions

Transparent
packaging
considered as lack of
premium
characteristics of the
product

The matt-finish
packaging reflected
premium
characteristics of
the product

PRODUCT
STRATEGY
The Product
Strategy
Need Gap Analysis

Customer Preferences

Concept Testing

Brand Architecture

Stakeholder Speak

Product Strategy

Introducing new cookies filled with strawberry cheese cream, butterscotch cheese cream, caramel and hazelnut cream

Not just a Cookie, but an


experience
Sunfeast brand is a token
endorser main focus on
Delishus
Matt finish and dual
packaging to signify luxury

Royal color and


background signifies
premium brand offering

Rich ingredients savoring


your taste buds
For connoisseur of good food
and discerning palate

Focus on the strength of the brand offering that is being premium, rich in ingredients, and continuing with ITCs legacy of
introducing innovative products

POSITIONING
The PositioningMATRIX
Matrix
Need Gap Analysis

Customer Preferences

Step 1: The percentage of respondents


for whom the respective cookie
satisfied a particular need (hunger,
taste etc.) was calculated

Concept Testing

Brand Architecture

Stakeholder Speak

Step 2: Within each sub-group


obtained in step 1, the occasion wise
percentage consumption was
calculated

Product Strategy

COMPOSITE
POSITIONING
INDEX SCORE

INDEPENDENCE
OF FACTORS
Some
factors are independent
of others
Need Gap Analysis

Customer Preferences

Concept Testing

Brand Architecture

Stakeholder Speak

Product Strategy

The correlation matrix table allows us to find the factors that are not explicitly implied to the consumer by way of any other
attribute
They have to be demonstrated independently in order to induce the purchase
Eg: Packaging is not highly correlated with any other factors and hence it needs to be the area of focus in order to drive sales
Correlation
Coefficients
Ingredients
Taste
Physical
Attributes*
Pack Size
Price
Packaging
Health/Nutrition
Energy

Ingredients

Taste

1
0.191
0.148

0.191
1
0.457

Physical
Attributes
0.148
0.457
1

-0.32
-0.82
-0.112
0.361
0.215

0.239
0.451
0.139
0.313
-0.095

0.34
0.181
0.425
0.171
0.134

*thickness/softness/size/crispness

-0.32
0.239
0.34

-0.82
0.451
0.181

-0.112
0.139
0.425

Health/
Nutrition
0.361
0.313
0.171

1
0.349
0.309
0.111
0.058

0.349
1
0.146
0.155
0.092

0.309
0.146
1
0.169
0.132

0.111
0.155
0.169
1
0.597

Pack Size Price Packaging

Energy
0.215
-0.095
0.134
0.058
0.092
0.132
0.597
1

NEW
PACKAGING
The new
packaging
Need Gap Analysis

Customer Preferences

Concept Testing

Brand Architecture

Stakeholder Speak

Product Strategy

Delishus Portfolio

Current

Proposed

Aesthetics
Highlighting new flavors and
rich ingredients
Use of royal colors
Matt finish that gives the rich
feeling

Emotional
Fresh and raw ingredients
shown depict natural taste
The cookies shown appear
well-baked like a perfect
cookie
Attractive for people who
want to try something new

Functional
Packaging is easy to store
Convenient to carry
Can be used for gifting
purposes
Appears like a cookie that can
satisfy hunger along with
taste

PROMOTIONS
THE DELISHUS WAY

IMPLEMENTATION OF CAMPAIGN
Need Gap Analysis

Customer Preferences

Concept Testing

Brand Architecture

Stakeholder Speak

Product Strategy

Integrated Marketing Plan is targeted to focus on the occasions when the consumer desires Cookie

PHASE 1

OOH, Print Media

Top occasions of Cookie consumption identified and print


ads developed to launch the flavours in the market in
accordance with the consumer needs. Top occasions:
Tea Time

During travelling

PHASE 2

Breaks during office/classes

Social Media, Online grocery websites

During this phase, the campaign will be directed towards


driving people to order online in cities like Mumbai,
Bangalore and create visibility on social media platforms
all over the country

PRINT AD - 1
Need Gap Analysis

Customer Preferences

Concept Testing

Brand Architecture

Redefining Perfection

Stakeholder Speak

Product Strategy

PRINT AD - 2
Need Gap Analysis

Customer Preferences

Concept Testing

Dil yaadon ki raahon par


Apno ka saath aur Delishus
Banaaye aapki chai behtar

Redefining Perfection

Brand Architecture

Stakeholder Speak

Product Strategy

PRINT AD - 3
Need Gap Analysis

Customer Preferences

Concept Testing

Dil yaadon ki raahon par


Khushi aur Delishus ka saath
Banaaye aapka safar behtar

Redefining Perfection

Brand Architecture

Stakeholder Speak

Product Strategy

SOCIAL MEDIA CAMPAIGN


Need Gap Analysis

Customer Preferences

Concept Testing

Brand Architecture

Stakeholder Speak

Product Strategy

Creating Buzz through Facebook and Twitter


What are your Unforgettable
Moments?

Dil Yaadon ki rahoon par


_____________...
Contest runs for 2 weeks

Most liked post/tweet appears as one of the Advertisements creatives

ONLINE TOUCH POINT


Need Gap Analysis

Customer Preferences

Concept Testing

Offer discount during check-out during e-purchase


to make customer migrate to Cookie section and
induce purchase

Brand Architecture

Stakeholder Speak

Product Strategy

Delishus sends a private message to one who hashtags #DelishusMemory offering


a discount coupon on next purchase of Delishus Cookie online. Also offering
opportunity to share Virtual Delishus Cookie on a friends wall

Sunfeast Delishus

Because you have given me


many Delishus Memories
INTENT: To make the customer navigate to the
Sunfeast Cookie section and know its brands
present on website

PARTNERSHIPS AND ALLIANCES (1/3)


Need Gap Analysis

Customer Preferences

Concept Testing

Brand Architecture

Stakeholder Speak

Tie up with Tea Cafes like Wagh Bakri Tea Lounge, The Chai

Tie-up with caterers in airlines and premium trains like Rajdhani, Shatabdi etc.

Product Strategy

PARTNERSHIPS AND ALLIANCES (2/3)


Need Gap Analysis

Customer Preferences

Concept Testing

Brand Architecture

Stakeholder Speak

Product Strategy

Targeting the touch-points of Breakfast Consumption Office and Canteens through dedicated cabinets

Bakery shops at airports, lounges/bakeries at premium hotels to induce trial amongst the nouveau riche

PARTNERSHIPS AND ALLIANCES (3/3)


Need Gap Analysis

Customer Preferences

Concept Testing

Brand Architecture

Stakeholder Speak

Product Strategy

Product Placement in talk shows and shows like Bigg Boss (create Delishus moment competitions)

Koffee with Karan

BIGG BOSS

THANK YOU!

Survey1

Survey 2

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