Table of contents

Headings Page No.

Author Declaration form
1

Acknowledgment 2

Certificate 3

CHAPTER 1
Executive Summary 5

CHAPTER 2
2 Industry Overview 6

2.1 Introduction
2.2 Market Size
2.3 Investments and Recent Development
2.4 Road Ahead
2.5 Evolution of FMCG sector in India
2.6 Significant players of FMCG

CHAPTER 3: 12
3.1 Introduction
3.2 Porter’s 5 Forces Analysis
3.3 Opportunities in the FMCG sector In India
3.4 Challenges with FMCG Industry

CHAPTER 4: 21
4. Job Description
4.1 Aim
4.2 Objectives
4.4 Scope of the work and activities involved

3
CHAPTER 5: 23
5.1 Objectives
5..2 Work done
5.2.1First Task
5.2.2Second Task
5.2.3Third Task
5.2.4Fourth task

CHAPTER 6 35
6.1 Findings
6.2 Conclusion
6.3 Learnings

4
 CHAPTER 1:

Executive Summary
This is a short attempt of applying the theoretical knowledge in practical world. Being a MBA student,
it is mandatory on a part of every student to undergo summer internship in some organization. I got
the opportunity of doing my summer internship in ITC. ITC has a diversified presence across
industries such as cigarettes, FMCG, hotels, software, packaging, paperboards, specialty papers and
agribusiness. The company has 13 businesses in 5 segments. It exports its products in 90 countries.
My internship was of 2 months where I employed as a marketing and sales intern. I was responsible
for spreading the awareness and increasing the customer base of the ITC. This Internship was a very
fruit full journey for my and with lots of learning which help me in my future endeavor and it had
given me a great learning experience and at the same time it has provided me enough scope to
implement my analytical ability

PROJECT OBJECTIVES:

The objectives of the Project are:

 Increase Market Share: Strengthen Bingo's presence against competitors like Lays, Haldiram, and
Kurkure.
 Competitor Analysis: Study competing brands' strategies, pricing, and distribution.
 Improve Visibility: Ensure prominent shelf placement and effective use of point-of-sale materials
(POSM).
 Launch Initiatives: Successfully introduce new products (e.g., Street Bite) into the market

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 Chapter 2:
2. Industry Overview

2.1 Introduction
Snacks are a part of Consumer Convenience/ Packaged Foods segment. Snack is described as a
small quantity of food eaten between meals or in place of a meal. Snack food generally comprises
bakery products, ready-to-eat mixes, chips, namkeen and other light processed foods. According
to the ministry of food processing, the snack food industry is worth Rs 100 billion in value and
over 4,00,000 tonnes in terms of volume. Though very large and diverse, the snacks industry is
dominated by the unorganized sector. According to an Apeda survey almost 1,000 snack items and
300 types of savouries are sold across India. The branded snacks are sold at least 25% higher than
the unbranded products. Savoury snacks have been a part of Indian food habit, since almost ages.
Though there is no particular time for snacks, normally they are consumed at teatime. The variety
is almost mind-boggling with specialties from all regions, which have gained national
acceptance.

The industry has been growing around 10% for the last three years, while the branded segment is
growing around 25% per annum to stand at Rs 5,000-Rs 5,500 crore, due to various reasons like
Multiplex culture, snacking at home while watching TV, pubs and bars (where they are served
free). AC Nielsen's retail audit shows that the large sales volumes are due to a marked preference
for ethnic foods, regional bias towards indigenous snacks and good value-formoney perception.
Of course the branded segment is much smaller at Rs 2,200 crore, which is what makes it so
attractive to food Companies that are looking at bigger shares

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2.2 Market Size

The FMCG market in India is expected to increase at a CAGR of 14.9% to reach US$ 220 billion
by 2025, from US$ 110 billion in 2020. The Indian FMCG industry grew by 16% in CY21 a 9-
year high, despite nationwide lockdowns, supported by consumption-led growth and value
expansion from higher product prices, particularly for staples. The rural market registered an
increase of 14.6% in the same quarter and metro markets recorded positive growth after two
quarters. Final consumption expenditure increased at a CAGR of 5.2% during 2015-20. According
to Fitch Solutions, real household spending is projected to increase 9.1% YoY in 2021, after
contracting >9.3% in 2020 due to economic impact of the pandemic. The FMCG sector's revenue
growth will double from 5-6% in FY21 to 10-12% in FY22, according to CRISIL Ratings. Price
increases across product categories will offset the impact of rising raw

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2.3 Investments and Recent Development
The Government has allowed 100% Foreign Direct Investment (FDI) in food processing and
single-brand retail and 51% in multi-brand retail. This would bolster employment, supply chain
and high visibility for FMCG brands across organized retail markets thereby bolstering consumer
spending and encouraging more product launches. The sector witnessed healthy FDI inflows of
US$ 20.01 billion from April 2000-December 2021.

material prices, along with volume growth and resurgence in demand for discretionary items, are
driving growth. The FMCG sector grew by 36.9% in the April-June quarter of 2021 despite
lockdowns in various parts of the country.

Number of households shopping on modern-trade channel grew 29.15% YoY in the September
quarter and shopping volume on the channel went up by 19.2% YoY

In September 2021, rural consumption of FMCG increased 58.2% YoY; this is 2x more than the
urban consumption (27.7%).

In the third quarter of FY20 in rural India, FMCG witnessed a double-digit growth recovery of
10.6% due to various government initiatives (such as packaged staples and hygiene categories);
high agricultural produce, reverse migration, and a lower unemployment rate. Rise in rural
consumption will drive the FMCG market. The Indian processed food market is projected to
expand to US$ 470 billion by 2025, up from US$ 263 billion in 2019-20

FMCG giants such as Johnson & Johnson, Himalaya, Hindustan Unilever, ITC, Lakmé and other
companies (that have dominated the Indian market for decades) are now competing with D2C-
focused start-ups such as Mamaearth, The Moms Co., Bey Bee, Azah, Nua and Pee Safe. Market
giants such as Revlon and Lotus took ~20 years to reach the Rs. 100 crore (US$ 13.4 million)
revenue mark, while new-age D2C brands such as Mamaearth and Sugar took four and eight years,
respectively, to achieve that milestone.

Companies with dedicated websites recorded an 88% YoY rise in consumer demand in 2020. Since
then, more businesses have begun to adopt the D2C model, and India is now home to >800 D2C
brands looking at a US$ 101 billion opportunity by 2025.

E-commerce companies reported sales worth US$ 9.2 billion across platforms in October and
November (2021), driven by increased shopping during the festive season. With festive season
sales, Flipkart Group emerged as the leader with a 62% market share.

Advertising volumes on television recorded healthy growth in the July-September quarter,

registering 461 million seconds of advertising, which is the highest in 2021. FMCG continued to
maintain its leadership position with 29% growth in ad volumes against the same period in 2019.
Even the e-commerce sector showed a healthy 26% jump over 2020.
● In November 2021, Unilever Plc agreed to sell its global tea business to CVC Capital Partners
for EUR 4.5 billion (US$ 5.1 billion. The business being sold— Ekaterra—hosts a portfolio of
34 tea brands, including Lipton, PG Tips, Pukka Herbs and TAZO.
● In November 2021, McDonald's India partnered with an FMCG company ITC to add a
differentiated fruit beverage, B Natural, to its Happy Meal, which will be available across all
McDonald's restaurants in South and West India, primarily catering to children aged 3–12 years.
● In October 2021, Procter & Gamble announced an investment of Rs. 500 crore (US$ 66.8
million) in rural India.
● In September 2021, PepsiCo commissioned its Rs. 814 crore (US$ 109.56 million) Kosi Kalan
foods facility in Mathura, Uttar Pradesh; it is the company's largest greenfield manufacturing
investment in India.

2.5 Road Ahead

Rural consumption has increased, led by a combination of increasing income and higher aspiration
levels. There is an increased demand for branded products in rural India.

On the other hand, with the share of unorganised market in the FMCG sector falling, the organised
sector growth is expected to rise with increased level of brand consciousness, augmented by the
growth in modern retail.

Another major factor propelling the demand for food services in India is the growing youth
population, primarily in urban regions. India has a large base of young consumers who form
majority of the workforce, and due to time constraints, barely get time for cooking.

Online portals are expected to play a key role for companies trying to enter the hinterlands. Internet
has contributed in a big way, facilitating a cheaper and more convenient mode to increase a
company’s reach. The number of internet users in India is likely to reach 1 billion by 2025. It is
estimated that 40% of all FMCG consumption in India will be made online by 2020. The online
FMCG market is forecast to reach US$ 45 billion in 2020 from US$ 20 billion in 2017.

It is estimated that India will gain US$ 15 billion a year by implementing GST. GST and
demonetisation are expected to drive demand, both in the rural and urban areas, and economic
growth in a structured manner in the long term and improved performance of companies within
the sector.

9
 FMCG Sector

2.6 Evolution of FMCG in India

Indian government was inclined towards favouring the local shops and retailers. Between 1980
and 1990, people wanted more variety of products which encouraged FMCG companies to increase
the availability of products. FMCG Industry started getting traction and other companies

10
started entering the industry. Media industry in India also boomed during the same time which
gave new companies even more incentive to make their business profitable. Prior to 1991, when
globalisation and liberalisation occurred in India, western apparels and foreign food products were
not available to local customers. Common people weren’t very aware of brand recognition. After
1991, FMCG industry was inspired by the international companies which also allowed government
intervention to incentivise foreign FMCG companies to operate in India.
The Indian FMCG industry generates massive employment opportunities and currently employs
more than 3 million people. Departmental stores, grocery stores, and supermarkets are the places
where consumers buy the necessary products for daily consumption. In the 21st century, people
don’t want to move across different stores to acquire the common household goods. Hence, the
introduction of supermarkets, where customers have a variety of choices for different household
products, into localities are proving to be extremely convenient to the customers. Some of the most
common stores in India are: Reliance Retail, Big Bazaar, D-Mart, Easy day, MORE, Spencer’s,
Spar, HyperCity, and Star Bazaar. Although the operations of supermarkets are profitable, local
grocery stores are suffering due to lack of variety of products. Unlike other emerging FMCG
industry around the world, FMCG sector in India is still quite conventional. Despite street markets
are still one of the most visited places for shopping in urban and rural settings, online platforms
are leading the way to buy FMCG products.
2.7 Significant players
The competitive landscape of the industry has also been examined with some of the key players
being Agro Tech Foods Ltd. (Conagra Brands, Inc.), Balaji Wafers Pvt. Ltd., Bikanervala Foods
Private Limited, Haldiram Snacks Private Limited, ITC Limited, Parle Products Private Limited,
PepsiCo, Prataap Snacks Limited, TTK Foods (TTK Healthcare), and Urban Platter

11
 Chapter 3:

3.1 Introduction
ITC

ITC is one of India's foremost private sector companies with a market capitalisation of nearly
US $ 18 billion and a turnover of over US $ 5.1 Billion. ITC is rated among the World's Best
Big Companies, Asia's 'Fab 50' and the World's Most Reputable Companies by Forbes
magazine, among India's Most Respected Companies by Business World and among India's
Most Valuable Companies by Business Today. ITC also ranks among India's top 10 `Most
Valuable (Company) Brands', in a study conducted by Brand Finance and published by the
Economic Times.

ITC has a diversified presence in Cigarettes, Hotels, Paperboards & Specialty Papers,
Packaging, Agri-Business, Packaged Foods & Confectionery, Information Technology,
Branded Apparel, Personal Care, Stationery, Safety Matches and other FMCG products.

While ITC is an outstanding market leader in its traditional businesses of Cigarettes, Hotels,
Paperboards, Packaging and Agri-Exports, it is rapidly gaining market share even in its nascent
businesses of Packaged Foods & Confectionery, Branded Apparel, Personal Care and
Stationery. As one of India's most valuable and respected corporations, ITC is widely perceived
to be dedicatedly nation-oriented. Chairman Y C Deveshwar calls this source of inspiration "a
commitment beyond the market". In his own words: "ITC believes that its aspiration to create
enduring value for the nation provides the motive force to sustain growing shareholder value.
ITC practices this philosophy by not only driving each of its businesses towards international
competitiveness but by also consciously contributing to enhancing the competitiveness of the
larger value chain of which it is a part."

ITC IS INVOLVED IN FOLLOWING BUSINESSES:

CIGARETTES: ITC is the market leader in cigarettes in India and has a wide range of popular
brands such as Insignia, India Kings, Classic, Gold Flake, Silk Cut, Navy Cut,Scissors,
Capstan, Berkeley, Bristol and Flake in its portfolio.

PACKAGING: ITC's Packaging & Printing Business is the country's largest convertor of
paperboard into packaging. It was set up in 1925 as a strategic backward integration for ITC's

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Cigarettes business. It offers a variety of value-added packaging solutions for the food &

13
beverage, personal products, cigarette, liquor, cellular phone and IT packaging industries.

HOTELS: ITC entered the hotels business in 1975 with the acquisition of a hotel in Chennai,
which was rechristened Hotel Chola. Today ITC-Welcomgroup with over 70 hotels is one of
the foremost hotel chains in India.

PAPERBOARDS: In 1979, ITC entered the Paperboards business by promoting ITC

Bhadrachalam Paperboards. ITC's Paperboards business has a manufacturing capacity of
over 360,000 tonnes per year and is a market leader in India across all carton-consuming
segments.

GREETING, GIFTING & STATIONERY: ITC's stationery brands "Paper Kraft" &
"Classmate" are widely distributed brands across India. The Paperkraft designer stationery
range consists of notepads & multi subject notebooks in hard, soft covers & multiple binding
formats including spirals, wiros etc. ITC's Greeting & Gifting products include Expressions
range of greeting cards and gifting products.

SAFETY MATCHES: ITC's brands of safety matches include iKno, Mangaldeep, VaxLit,
Delite and Aim. The Aim is the largest selling brand of Safety Matches in India. ITC also
exports premium brands to markets such as Europe, Africa and the USA. 13

AGGARBATTIS: ITC has launched Mangaldeep brand of Aggarbattis with a wide range of
fragrances like Rose, Jasmine, Bouquet, Sandalwood, Madhur, Durbar, Tarangini, Anushri,
Ananth and Mogra. Mangaldeep is also being exported to USA, UAE, Bahrain, Nepal,
Singapore, Malaysia, Oman and South Africa.

LIFESTYLE RETAILING: ITC entered the Lifestyle Retailing business with the Wills Sport
range of international quality relaxed wear for men and women in 2000. The Wills Lifestyle
chain of exclusive stores later expanded its range to include Wills Classic formal wear (2002)
and Wills Clublife evening wear (2003). In 2002, ITC entered into the popular segment with
its men's wear brand, John Players. In 2005, ITC introduced Essenza Di Wills, an exclusive
line of prestige fragrance products.

FOOD: ITC made its entry into the branded & packaged Foods business in August 2001 with
the launch of the "Kitchens of India" brand. In 2002 it expanded into Confectionery, Staples
and Snack Foods segments. ITC's brand in Food category includes: Kitchens of India,
Aashirvaad, Sunfeast, Mint-O, Candyman, and Bingo!

AGRI EXPORTS: ITC's International Business Division (IBD) is the country's second largest
exporter of agri-products. ITC exports Feed Ingredients (Soyameal), Food grains (Rice, Wheat,
and Pulses), Coffee & Spices, Edible Nuts, Marine Products, and Processed

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Fruits.

E-CHOUPAL: The e-Choupal model of ITC has been very effective in tackling the challenges
posed by the unique features of Indian agriculture, characterized by fragmented farms, weak
infrastructure and the involvement of numerous intermediaries.

ABOUT BINGO
The Bingo brand of chips was launched by ITC on 14th March 2007 with an aim to capture at
least 25 percent market share of the Rs 2000 crore branded snack market within five yrs. The
launch is symbolic of ITC Foods' distinct approach of introducing innovative and
differentiated products in a largely undifferentiated market place. Bingo’s launch was
strategically timed around the World Cup. The idea was to get the consumer to take that first
bite. This was an extremely ambitious target according to observers as the market was
dominated by the Frito Lay group (owned by Pepsi Co) with a slew of brands like Lays,
Kurkure and Uncle Chipps holding 50 per cent of the market share. The other was the Haldiram
group with 25 percent of the market share. Bingo’s portfolio includes an array of products in
both Potato Chips & Finger Snacks segment. Bingo! is positioned as a youthful and innovative
snack, offering the consumers a choice of flavours that are fast becoming popular. Bingo used
combination of leveraging synergies, building on consumer insights and high decibel
advertising can win the game. The company leveraged its existing distribution network and
relationship established with farmers. Its earlier foray into categories like atta and biscuits had
already given it access to the supply chain.

GREY AREA OF BINGO

ITC has a diversified business portfolio where it provides various products. ITC tobacco
distribution network which has reach across a country with its 2 million outlets. The ITC has
cigarette brand are available at almost all the pan shop across the country. So the company
should have to improve the supply chain so that it can provide bingo at every place in different
packaging.

Brand awareness for Bingo is less in comparison to lays which reduces the sale of bingo.
Selling of lays is higher because it is a preferred brand and because of perception of people
that Lays is a brand but not bingo. The company has to strengthen it availability of product by
providing the product at small scale and large scale.
The advertisement was not so good which capture the market. A lot of reaction to the

15
Bingo advertisement has been very negative. The advertisements are sometime classified as
irritatingly humorous and some consumer does not like the adverts. Though the objective of the
advertisement is to create a immediate brand recognition for an impulse buy product, the negative
response of the advertisement could also shun potential customer.

MAIN COMPETITORS
1. LAYS
2. KURKURE
3. HALDIRAM
4. BALAJI

3.2 Marketing mix of Bingo

Bingo is one of the major food brands in India and markets its products under the flagship of its
parent company ITC. It is a popular brand of Chips and was introduced in the consumer market
in the year 2007 by its owner company.
Product- Products from brand Bingo are available in mainly two varieties and in different
flavours, sizes and shapes. These are Finger Snacks and Potato Chips and in all have four sub-
brands and several variants which are as follows-

1. Tedhe Medhe- Its flavor areAchari Masti, Masala Tadka, Pudin Twist, Tomato Masti,
Chatpata Swing.
2. Mad Angles- Pizza-aaaah, Cheese Nachos, 'm Masala, Achari Masti, Chaat Masti,
Tomato Madness, Very Peri peri
3. No Rulz- Cheese Nachos, Masala Tadka, cheese curlz, Masala Curlz
4. Bingo Chips- Original style chilli sprinkled, original style salt sprinkled, Masala, Tomato,
Cream & Onion, Salted
5. Flat cut chips

Place- Bingo has made sure that it makes new inroads in both rural and urban markets and hence
has made its products easily available at every possible store across the country. consumers
through several possible mediums like grocery stores, discount outlets, convenience stores and
supermarkets. The company has provided incentives to its dealers and retailers so that they
encourage product sales.

16
 Price- In order to compete successfully with its competitor’s company has allotted minimum prices
for its products at Rs 5, 10 and 20. To add a competitive edge as mostly every company offers the
same price range, In order to gain new consumer base and create more sales brand also offers odd
discounting schemes like 33% extra with a pack.

Promotion- Bingo has become a popular brand and has decided to adopt an aggressive policy for
marketing its products. But now bingo has stopped of less do advisement.

3.3 Porter’s 5 Forces Analysis

We performed the Porter 5 Forces analyses: industry competition, customer power, supplier power,
new entrant potential, the threat of alternatives to determine the state of the FMCG industry.To
determine the industry attractiveness and understand its competitive positioning in the market. The
analysis can also be used to make some strategically wise decisions that could improve the
performance of ITC Limited India First and ensure long-term survival.

3.3.1 Supplier Power

ITC consumer product faces low supplier power as it deals inhuge volume of goods and have
direct access to its distribution network. Due to constant pressure of taxeson tobacco, ITC has
created a separate division for distribution. Earlier distribution was a part of firms
cigarette division. ITC’s innovation e-choupal also helped the firm in a way to have direct access
to products and faster delivery.

3.3.2 Buyer Power

Bargaining power of buyer is low as the nature of product isaddictive and the degree of
dependency is very high.
3.3.3 Threat of new Entrance
Considering a separate health insurance company such as Apollo Munich, only 8.34 percent is the
fixed asset share of the overall fund application. However, 19.4% of the total operating expenses
in 2015-16 for Apollo Munich accounted for advertising and advertising expenses. An existing
player can therefore benefit from advertising savings while a new player challenges him.

17
 Customers are prohibitively expensive to switch. As the overall fixed costs are lower, however,
initial requirements for capital are modest (despite the high expense of advertising and brand
creation). There are already players who have a leg to the contest because their distribution
channels are preferred. In addition, several government rules and regulations govern the health
insurance industry. As a result, access barriers to the health insurance industry are high and new
entrants are under threat.

3.3.4 Threat of substitution

The threat of substitutes were comparatively low as ITC strong consumer base and brand power.
Its competitor Godfrey Philips prices were strategically kept low to capture market share of gold
flake. In order to fight this, ITC launched a similar variant which was cheaper and smaller in size.
ITC’s diversification strategy has further helped the firm in keeping its hold over market
share.ITC has launched 20 flavors of bingo
which was comparatively huge in number than its competitors lay and Frito Lays. It also launched
new flavours for its yippee noodles which is giving tough competition to Nestlé’s maggi.

3.3.5 Competitive Rivalry –

There is tough competition between established brands like, Parle, Nestle, etc over price. Every
industry indulging in product differentiation are providing with numerous customer varieties to
switch to other products. Therefore, price sensitivity plays major in increasing rivalry
between competitors in this sector.

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 Threat of
substitute
(LOW )

Competitive
Threat of
new entrant Rivalry Buyer power
(LOW) (LOW)
(Very HIGH)

Supplier
power
(LOW)

Figure 1.5 Porter's five forces analysis of the health insurance industry

The five analyses by Porter reveals that because of highly competitive rivalries, the business is
extremely unattractive. Furthermore, analyses suggest that threat substitute new entrant even the
supplier power is low. In contrast, due to various FMCG market, buyer power continues to be Low.

3.4 Opportunities in the FMCG sector In India

With household goods and personal care products amounting to up to 50 percent of FMCG sales in
the country, the FMCG sector has proven to be India's fourth-largest income-generating sector. The
evolution in the lifestyle of Indians across the semi-urban and rural segments has primarily
contributed to the surge in revenue generated by the FMCG sector in the country. While the urban
segment of India contributes to almost 55 percent of FMCG sales, there has been a faster and
broader growth for the FMCG sector in rural India. As a result, almost 50 percent of the money
spent in rural India has been spent on an FMCG product.
Retail has Gone Digital
The sudden surge in a digital marketplace across all social media platforms, along with the sudden
increase in online shopping of almost 10.7 percent of retail sales executed digitally compared with
the 4.7 percent in 2019.

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Smaller Brands are Evolving to Reach a Wider Audience
No longer is the FMCG sector a space occupied only by the big companies and brands that have
always been around. The past year made the masses realize the importance and potential of running
their own business. The ease of selling their products digitally or via social media made the private
labels brands capture a substantial market size in a relatively short time.
Selling Through Communities
Like other sectors, the FMCG sector is evolving through recommendations and word-of- mouth
sales. Research and market studies showed that almost 57 percent of shoppers buy a particular
brand based on the recommendation by someone they know and trust
Environmentally and Socially-Friendly Brands
Climate change and a brand's contribution to the environment have always been under scrutiny, but
with the pandemic, most of the country's population evolved their buying habits and decisions based
on how much a brand spends to give back to the community and how environmentally friendly the
brand can be. As a result, established brands like Dabur and Amul highlighted their community-
based improvements and received an FDI of almost billions in the past year.
Surge in Investments
With the new government regulation regarding investments in FMCG companies and accepting
foreign-directed investments, the sector has seen a sudden influx of funds. As a result, the FMCG
sector saw a robust FDI inflow of US$ 18.19 billion in the past year alone. The governments'
incentives and the FDI funds have helped the FMCG sector strengthen employment, establish a
more robust supply chain, and capture high visibility for FMCG brands across established retail
markets, reinforcing consumer spending and stimulating more product launches across the FMCG
sector.

3.5 Challenges with FMCG Industry

● Lack of Efficiency in Reading the Selling Scenario

● Providing Relative Servicing

● Reaching Right Stores at the Right Time

● No Visibility into Work Order Management

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 Chapter 4:
4. Job Description

4.1 Aim:

The Aim Of the internship is to provide an intern with the knowledge and experience of the
different aspects of an organization’s functions so that they can appreciate all the domains and
work more efficiently regarding their domain.
The primary task assigned is sales which are followed by proper marketing training and team
leading.

4.2 Objectives:
In order to achieve the desired target, the following constituted the objectives assigned to me:

1. To increase the Market share of Bingo.

2. To do the competitor analysis.
3. To work on the visibility of Bingo.
4. To understand the current status and develop the future approach.

4.3 Strategies Used:

The door of a blend of strategies has been knocked upon to encompass the journey to achieving
the given task, which are:

1. Open interviews.
2. Surveys from Retailers.
3. Study competitors brand and the trade scheme used by them.

4. Use of primary as well as secondary data regarding the task.

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4.4 Scope of the work and activities involved:
The internship is divided into four Task.

● The first Task comprises of Market Survey to understand the market better also competitor
analysis to know which scheme is provided by them and their ptr etc.
● The second Task consists of direct selling and wherein we were need to visit the outlets with
DS and pitch the retailers to buy. Also Approaching New outlet , Fixing term and contract
for future sale.
● The ThirdTask consist of Visibility of Bingo in which Visibility for focus brand with proper
POSM and right place in shop.
● The fourth Task Launching street bites in Nagpur and Track performance by day.

Project deliverables/ how the assigned task(s) are helpful in the company's operations:
1) Improving sell in into existing set of Outlets
2) Expanding Handler base
3) Improving visibility of products in outlets and tracking of the same

22
 Chapter 5:

5.1 OBJECTIVES
The key objective of this study.
• To survey the market and analyze the competitors
• To strengthen the Market share of Bingo
• To convert the outlets
• To launch the street bite in Nagpur

5.2 WORK DONE

5.2.1 First Task- Market survey and Competitor analysis

The main objective of survey is To know the current status of bingo. To identify the
major competitors of Bingo. To check the competitors strategy.

Data collection Technique:

1. Questionnaire
2. Interaction with retailers
3. Observation

Research Instrument: Direct contact with Retailers

Research Methodology: Qualitative Survey

Sampling Plan:

1. Sample size: 100 Retailers

2. Sampling method: Simple Random
3. Sampling Area: Nagpur

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Lays is the major player in case of snacks because of extremely good brand building. Lays
not only focus on the distribution but constantly do advertisement which is the main reason
followed by Haldiram. Haldiram don’t advertise but it’s the regional brand and mainly in
Nagpur Haldiram consider as brand. The weight of product is highest among other
competitors.

The most selling variant of Bingo in Nagpur is Tedhe Medhe because of Taste and
weight of Bingo and after that Mad Angle have good sale but No Rulz and Bingo chips is
lacking.

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The survey said, Haldiram gives most margin with scheme the Margin %of Haldiram is
15% which is the highest % Margin.

As per the survey Retailers said if Bingo increase the advertisement them the sales will
also increase.

25
Challenges faced by retailers is Packaging of product as the gas out from the packet easily
and quicly and the laddi get separate from each other. Another reason or challenge faced
by retailers is weight of Bingo because the weight of Bingo is less then competitors which
will decrease the chance of selling

Most of the retailers purchase the Bingo from DS as they said we don’t get more margin
even if we buy it from wholesalers.

26
 Retailers said that ITC service is average Major reason is that replacement get delayed
and the packaging issue.

Competitor Analysis

Bingo Haldiram PepsiCo Bingo Haldiram PepsiCo

Tedhe
Chips/FC Halke fulke Lays Taka Tak Kurkure
Medhe
Lay’s Chile Limon,
Original style Classic Salted, India’s
chilli sprinkled, Magic Masala,
Salted, Tomato,
original style salt
Flavo Cream and Spanish Tomato Masala
sprinkled, Masala, Tomato
urs onion, Chatpata Tango, American Style Tadka
Masala, Tomato,
chilly Cream & Onion, and
Cream & Onion,
Salted Lay’s Crispz Herb &
Onion Flavor.

Weig 13. 25 52 10 15 28 52 78 11 19 25 42 85
15g 40g 80g 12g 23g 44g 80g
ht 3g g g 0g g g g g 5g 0g g g g

MRP 5 10 20 50 5 10 20 5 10 20 30 50 85 5 10 5 10 20 5 10 20

Margi
n%
10% 15% 10.00% 10% 15% 10%
to
Retail

27
 er

4. 76. 4.
Ptr 4.5 9 18 45 4.25 8.5 17 9 18 27 45 4.5 9 4.25 4.25 4.25 9 18
5 5 5

2 2
yip yip
pee pee
Sche free free 8
11% 4% 2.00% 4% 2%
me on on %
6 6
lad lad
di di

Net 8. 16. 40. 4.072 8.14 16.2 4. 8. 17. 26. 44 74. 4.3 8. 4.072 4.072 4.072 4. 8. 17.
4.5
Rate 01 02 05 775 555 911 41 82 64 46 .1 97 5 28 775 775 775 41 82 64

whole
sale
4% 9% 4%
Margi
n

Distri
butor
7.50% 4% 7.50% 4%
Margi
n

28
Comparison of distributor of Haldiram and Balaji

HALDIRAM (Maa
PARAMETERS BALAJI
Sharda Warehouse)

Type A (More than Rs20) There is no type, one

Types of Ds Type B (Rs10 and Rs5) salesman working for all
Type C (For snacks only) snack

No of Ds 3 3

No of outlets cover per day 40 25

App Field Assit Manually

Margin % of distributor 7.50% -

Visit Frequency 1 week 1 week

Order fulfilling Next day after taking order ready stock

No of distributor in There are 16 distributors in There are 6 distributors in

Nagpur Nagpur Nagpur

Order taking value per

40K 30K
day

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4.1.1 Second Task- To strengthen the Market share of Bingo

As you can see from the above chart the sales is increased gradually. The Market share of
bingo is less than the lays and haldiram, so the strategy I used to increase the sales of Bingo
is to develop the good relation with retailers. Snacks is something that retailers not think
much before buying and if you have good relationship with them they can buy according
to you.
The sell of Tedhe Medhe and Mad Angle is good but retailers are complaining that DS take
order of all the flavours of Madangles and No Rulz and Bingo Chips but they don’t get all
the flavourS of respective product.

30
4.1.2 Third Task- To Convert the outlets

In this table there are 4 outlets which are new and 5 outlets are those outlets who stop
buying the snacks for 2 to 3 years.

Outlets Address

H.S Ice-cream Parlour (New) Kamal chowk

Sayadree Jaiswal Chah (New) Ajni

Om Shri Ganesh (New) Ramdaspeth

Nakoda Traders (New) Sadar

Sai Daily Needs Ajni

Ganga super Market Wathoda

Maa durga kirana Ajni

Samarth store Ajni

Umesh Kirana Ramdaspeth

31
 Visibility
For visibility I have worked on ground level because Bingo are in every outlets may be the
quantity is less but the still its in every outlets but they hang and place behind the other company’s
snack. So my task was to make the bingo snack visible.

32
 Problem Related with visibility and Packaging
The major problem with Bingo snack is the gas comes out from the packet very quickly and the
laddi (bunch of packet) get separate from each other

The another major problem is the super mart retailers don’t place the bingo packet at top of the
rack Because they only put RS20 packet which is not available in distribution point.

33
4.1.3 Fourth Task- To launch street bites in Nagpur

Street Bite
Target- 1000 launch in Nagpur

Ds incentives- 10 per outlet of launch

Result- Completed 1000+ launch of street bite in Nagpur

34
 Chapter 6:
6.1 FINDINGS

1. Poor Visibility.
2. Attractive schemes offered by competitors with good Margins.
3. Packaging issue.
4. The weight of Bingo is less than competitors.
5. The company should provide a shelf to the big outlets so that all the products can be
arranged appropriately.
6. Due to better base margins offered by the competitive brands retailers prefer the
competitive brands.
7. Locally Brands are promoted due to Less margins.
8. Retailers said first create demand in the market then we will going to buy the street bite .

6.2 CONCLUSION

Survey helps me to Identifying the benchmark of snacks in Nagpur and analyze the competitors.
Find out their ptr and schemes.

Street bite was successfully Launched in 1000 outlets in Nagpur and as far as data concerned
this launch created a repeat purchase.

Increase overall 30% sales and add new outlets as well as convert outlets which is stop
buying products.

In case of service provided, Lays is having an upper hand over Bingo. So we can say that,
Bingo has very good potential to increase its service quality and distribution network to
satisfy and retain retailers as well as consumers for long period.

35
6.3 LEARNINGS

How to establish long term relationship with Retailers.

How to approach and convince retailers to increase their order quantity and distribution
in order to optimize sales into market.

A survey helps me to find out what kind of product do they look and what the range they prefer
is. It also include many variables like brand loyalty, distribution process etc.

36