Industry Analysis

Fruit juice industry coupled with beverage industry in one of the largest industrial sectors in India, growing at a robust rate of 27%

Change in urban lifestyle

Natural Drinks preferred to Carbonated Soft Drinks

Lack of packaged sugarcane juice due to lack of technology. But recent advances in technology has made it possible as seen in Middle East

India is second largest producer of sugarcane in the world after Brazil

Freshly extracted sugarcane juice is very popular in India which is served alone or with ginger/ lime extracts

Major problems - Contamination of juice with micro-organisms and unhygienic ways of preparation

Why HUL?• Path breaking Product

• Entry into fruit juice segment through their brand Kissan

• Extensive Distribution network

• Brand HUL

Juice

• Juice is always 100% fruit juice

• Prepared by mechanically squeezing or macerating fresh fruit

• Rest are nectars or still drinks

PRODUCT IdeaProduct Idea

• IDEA GENERATION Initial Idea : To introduce packaged sugarcane juice in regular, elaichi,

kesar, lemon, pudina, mint, pepper and ginger flavors since hygienic sugarcane juice is not available

Conducted one on one interview to understand the need for the product

• IDEA SCREENING Weighted index method - Revealed that our product idea can be placed

in the good idea level. Consumer surveys – Greater demand for regular, lemon and pudina flavours

PRODUCT Idea

Product Success Requirements

Relative weight Product score Product Rating

Unique Offering (Taste, Hygiene etc)

0.4 0.8 0.32

Distribution Channel

0.1 0.75 0.07

Expected performance to cost ratio

0.3 0.7 0.21

Competition 0.2 0.5 0.10

Total 0.70

PRODUCT IDEA RATING

Concept Statement

A healthy, hygienic, natural juice for instant rehydration and rejuvenation for all ages

• Clarity- Clear concept of supplying sugarcane juice in tetra packs

• Believability- With the advent of new technology even sugarcane juice can now be packaged just like other fruit juices

Evaluation

• Need Gap Analysis- Difficult to extract juice at home Concerned about hygiene of local vendors

• Perceived value- High value, fresh, natural

• Purchase intention- High need gap score People ready to pay extra for hygienic juice

• Perceived usage- Who: Everyone When: throughout the year, especially during summers How Often: Almost every second day

Blue Ocean Strategy

• Untapped market

• Product with a potential target market High demand Can be consumed round the year No big brand serving it, yet

• Health meets taste, in a branded way, for the first time

• Huge competition amongst local vendors, but hygiene factor not met with

Marketing Mix

Product:• 250 ml, 500ml paper pack and 1 ltr pack (100% pure written on the pack)• Different flavors – ginger, lemon, mint, masala, plain, elaichi• Different color schemes for different variants

• Place: Hybrid channel• Road side stands in peak season• Selling directly to hotels and restaurants• Ensure availability to keep up the brand promise of quality service

Price: Pricing objective: Product quality leadership 250ml (15), 500 ml (28), 1 ltr (50) depending on flavor chosen and local taxes of

different states.

Promotion:• Constantly in line with USP of quality, hygiene and health.• Advertisement in radio and television would also convey the brand promise by highlighting the usp.• Sponsorship of TV and radio telecast to aid in brand building and creating top of mind recall.• Use of trade promotion to an extent

• 250 ml tetra pack, 1L family pack• Packaging material used : As shown in picture• Preservatives : Sodium metabisulfite (500 ppm)• Shelf-life : 6 months (refrigerated)

Packaging

• In chilled products, mainly juices, micro-organisms are the limiting factor for shelf-life

• This is determined by heat treatment, the hygienic status of the packaging system and the storage temperature of the packaged products (2-10°C)

• Juice being cold-stored is not usually packaged aseptically sugarcane juice will require less of preservatives

Segmentation

Geographic

• Rural, Semi-urban and Urban Areas

• Regions with hot and arid climates

Demographic

• All individuals aged 5 and above

• Individuals across middle and high income groups

• Working and non-working individuals

Psychographic

• Health conscious consumers

• Quality conscious consumers

• Consumers who have diverse tastes and seek variety

Target Market• Urban Areas• Students at every level• People on the move ( Working people and Passengers)• Health and Hygiene conscious individuals

Launch Plan

Test Market : दि�ल्ली� 

• Consumption patterns• Distribution network• Target market• Climatic conditions

Distribution centers: • 6 distribution depots already existing within Delhi for other products

Sales outlets: • Provision stores, snack bars and restaurants, college canteens, Metro stations

Initial launch cities:

Delhi, Mumbai, Kolkata, Bangalore, Jaipur, Lucknow

Launch Plan

Aspects to be monitored:• Sales Figures & profitability

• Preferred SKUs

• Quality maintenance

• Retailer’s needs (refrigeration)

• Margin adequacy for retailers

• Actual v/s estimated need gap

• Feasibility study

• Perceived product differentiation