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Rasna International Ltd

Ritesh Kumar

Roll no- 77

Corporate Internship Program Presentation

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Industry Background

FMCG sector has divided into four segments; Personal care, Household care, Health care and Food and Beverage

Food and Beverage’s segments include; Packed food, Fruit juice, Non-Alcoholic Beverages and drinks.

The non-alcoholic classified in two broad categories i.e. carbonated and non-carbonated drinks.

It has estimated100 cr market of fruit juice. Associated Chambers of Commerce and Industry of India (ASSOCHAM)

forecasts that non-carbonated drink industry is expected to rise from US $2.7bn in 2012 to US $7.9bn by 2015.

Its consisting primarily of fruit juices, drinks and nectars in the expansion of urban and Rural areas.

It is growing fastest at a rate of around 35% annually while components are showing a growth of around 10%-15%

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Market Growth Rate of FMCG industry in India

2006 2007 2008 2009 2010 2011 2012 20130

5

10

15

20

25

30

35

40

45

50

15.717.8

21.324.2

30.2

34.8

41.1

44.9

USD BILLION %

USD BILLION %

Sources: www.iimjob.com

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Company Profile

In April 2013 after being in the powder concentrate business for years, Rasna has forayed into the ready-to-drink category.

They established the separate beverage division for this purpose. They launched it in 6 flavors; they are Mango, Orange, Pineapple, Apple, Guava

and Mix Fruit under the brand name of Rasna JU-C The juice was packed in pet bottles and it was available in the size range of 250

ml to 1 liter and will extend up to 5ltr jar pack

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Product Summary

Rasna Ju-C is available in 6 variants with a different SKU’s Apple Mango Orange Mixed fruit Guava Pineapple

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Ingredients

Facts of Rasna Ju-C 100% RDA of Vitamin C Every 200 ml serving of Ju-C consists of 100% RDA which fulfills the daily

requirement of Vitamin C and minerals along with 11 other essential vitamins Best of Fruits juice

It is a unique drink in its category which provides health benefits with irresistible flavor.

Best of Taste Irresistible flavors which everyone enjoys Ju-C.

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Competitor’s Product Review

Drinks : Juice with pulp content less than 40%,

Nectars : Juice with pulp content between 40-80%,

Juices : Juice with pulp content more than 80%,

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Project Title and Project Objectives

Project Title: “Critical role of Distribution channel in beverage Industry:

Project Objectives: There were three main objectives which are as following• To making a ranking list of Rasna juice flavours according to the taste

and preferences of the customers• Collecting and Analyzing the feedback from the retailers as well as from

the end consumers• Understanding the sales and distribution strategy in Patna region.• Launching our product in rural and urban areas for increase the no of

distributer which helps to lead the market share as well. • To know the consumption pattern of the consumer’s.

The project can be completed by knowing the taste and preference of flavours in different juices available in the market in comparison of the flavours Rasna JU-C have.

 

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Distribution Pattern

DISTRIBUTORRETAILER INSTITUTION

SUPER STOCKIESTSUB STOKIEST SUB STOCKIEST

COMPANY HEAD - OFFICE MOTHER DEPOT

Customer

A distributor is the middleman between the manufacturer and retailer.

It is mainly the distribution strategy that the companies are focusing upon

Targeting retail stores having maximum SKUs as per the customer is concern.

Try to cover up Modern Trade and Institutional Trade along with General Trade

Trying to reduce the gap between company and end consumer’s.

To co-ordinate the things properly with the distributors, company keep their own field force like e.g. RSM, TSM, TI , PSR for managing and problem solving.

Source :company website

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Conti…

It has 35 depot across the country.

Channel Partners : 2500 stockiest across India. 1000 sub stockiest 150 sub stockiestRasna : Distribution Network in Bihar: There were 5 parties working as distributor in Patna, Delight Enterprises Plazo Enterprises Sweta enterprises Baba Enterprises Dahiya EnterprisesThere is one party working as super stockiest that is Aparajita Enterprises

INDIA

7 Branches

7 Regional Heads

700 Sales Force

Source :company website

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Work Assigned/Academic Linkage of the work

Project Methodology: Conducting the surveys to know taste and preferences of different fruit juice

flavours is available with the help of sampling. Conducting marketing activities for Rasna using canopy activity. Try to generate sales and enhance market share. Launching our product in rural and urban areas for increase the no of distributer

which helps to lead the market share as well.

Information to be Collected: Primary data, which is collected from the feedback given by the end consumers

and retailers.

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Conti…..

The project has divided into four Parts: First part: Collect market data from distributor and make the beat plan for

doing trade in their respective territory Second part: Mapping all outlets into market into the Rural and Urban areas

around Patna. Third part: Do promotional activities along with General Trade. Fourth part: Take an initiative as per own concern.

Though Patna is a very fragmented market with every player finding their footprints so, we started with Canopy activity with the Bihar team.

It was followed by Rural marketing There were Business to business sales , Institutional sales, Personal selling,

Discount selling and so on

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Project Observations/ Findings

Key Findings: Rasna need to build their strategy around the competitor’s weakness. The best approach is to simplify the message. It is easy to pioneer brands to maintain the lead in the market and establish a strong

position, on the other hand it is hard to remove market leader. A week brand should position itself in such a manner than it can occupy a niche not

claimed by the leader. Instead of fight for a particular categories where a leading brand is synonymous to

the product categories, brand should rather create a separate niche for themselves by tweaking the offering and creating a new category for itself.

Major observation during activity : We were not able to cover our focused customer. Move on to institutional sales like college, hotels, hospitals, etc.

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Conti…

Conclusion: Pioneers and first movers make a strong brand image which has a very high

probability of becoming synonymous to the Generic product category. If you can’t be first you have to find a way to position yourself against the product

that got there first. Find the way in the industry that’s sets you apart from the competition and give

you a competitive advantage. Product need to differentiate their product offering from the leaders create a unique

position in the minds of the consumers and thus a strong brand name.

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Project Objectives and Observations/Findings

Development of the marketing plans, several focus groups will give insights about our customers. These focus groups are providing a helpful insight.

Market research will be the feedback mechanisms with the help of primary research done by us or another party.

To understand brand positioning and will serve the purpose of being close to our customer. Rasna Ju-C should work hard in analyzing and implementing suggestions in order to improve its offering.

An important source of information will also be our competition. Rasna Ju-C will keep an eye on the competitor’s activities.

This has to be done with the help of primary data from our customer, our channel members and others.

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Recommendations to Company

Packaging of the product as per the industry trend is concern. Take a proper review of distribution channel in short time period. Regional taste and consumption pattern should be taken into account. Product portfolio and variants makes you more competitive. Global sourcing strategy will give you an edge over other player in both cost and

quality. Marketing mix will make you more flexible and effective to catch more customer

attraction. Try to find channel partner or promoter of your product through strategic alliances. Try to make your presence in the event through sponsoring .

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Conti…

Try to create strong relationship in customer mind while participating into public event.

Focus on the environmental change, whether the consumer engage. Use website as tool will get closer to the consumer and understand them better . Continuing promotional activities into different market place’s. Develop the channels to short the distance from distributor and will be easy

access.

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Learning's…..

Always try to figure out the market trend and buying behavior of end consumer. Getting touch with the channel partners and retailer emotionally. Frequency of visit will help you to increase sales. Regularity makes you more visible and lead to know actual market need. Delivery on time will lead high weightage in the customer mind. Advertise yourself as gentle and try to have healthy talks about customer reviews. Give the respect our channel partners, it leads to play a strong innings in the

industry Follow the proper process don’t try to take shortcuts. Motivate work force, it increase efficiency and result will increase sales. Don’t lie with your channel partner, always promise thing which you can do.

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THANK YOU