MARMITE INTO INDIABy: Allison Carey 156954, Marjon Farzadpour 157163, Ben Pereski 157178, Angela Moreau 156963
OVERVIEW- Marmite Brief History- Environmental Analysis
STEEPLEDOLI FrameworkRugman’s CSA/FSA Matrix
- Competition & Positioning AnalysisProduct Placement Map
- Internal & External Analysis: TOWS- Market Entry: Ansoffs Matrix- Orientation Analysis: EPRG- Marketing Mix: 10 Ps- Promotion Strategy
5 W’sAIDA
- Marketing & Production: Baladi Brand Blueprint- Cultural Analysis: Hofstede Cultural Dimensions- Our Recommendations
MARMITE: BRIEF HISTORY- Created in the early 19th century - Concentrated and bottled yeast produced
when making beer- Source of folic acid - Rationed to British troops in WWI- Currently owned by Unilever since 2000
STEEPLED Social - Increase in health conscious consumers
Technological - Rapid growth in telecom market
Economic - Rapid Economic Growth- British export trade to India accounts for 6 billion pounds annually- In 2015 surpassed China as top FDI destination in the world- Slight decrease in unemployment rate from 7.3% to 7.1%
Environmental - Undeveloped infrastructure
Political - Ranked 76 out of 186 countries on Corruption Index
Legal - Import Duty Tax on Food Supplements and Kitchen & Dining 28.852%
Ethical - Vegetarian, no beef
Demographic - Population approximately 1.266 billion, 14 million in Mumbai alone- Growing middle class - 40.91% population between 25-54 years old
Dunning’s OLI Framework
Source: Adapted from (Dunning, 1980)
Categories of Advantages
Ownership Location Internalization
Market Entry
Strategy
Licensing Yes No No
Export Yes No Yes
Foreign Direct Investment
Yes
Yes
Yes
RUGMAN’s CSA/FSA MATRIX
Cou
ntry
Spe
cific
Adv
anta
ges
Firm Specific Advantages
Strong
WeakWeak Strong
(Source: Adopted by Rugman, 1981)
1
2 4
CSA: Large population; Rapid economic growth; Growing middle class; strong British export trade to India
FSA: Capital to adapt and build awareness due to Unilever funds
3
PRODUCT PLACEMENT MAP
● Negative response to taste on its own● Positive response when used as
additional flavoring● Tried to adapt to Indian market● Placed beside other brands in the
spices and flavorings category
Marmite
MARMITE LOOKING BACK...
TOWS ANALYSISStrengths- Capital: owned by Unilever -Marmite has health benefits
Weaknesses-Indian Market does not like taste-New market: has 0 product awareness
Opportunities-Indian children are health conscious-Mothers want to cook healthful and wholesome meals for their families-Growing middle class/disposable income
Strengths/Opportunities-Heavily market to families using Unilever’s capital to gain awareness in the market-Market as a Health ingredient
Opportunities/ Weaknesses-Mothers can take the challenge to cook the marmite into foods to make it taste good- adapt to local tastes: ingredient rather than condiment
Threats-Indian Distribution network is fragmented among countless mom and pop shops and millions of retail stores
Strengths/Threats-Wholesalers are very important in fragmented markets…. Use Unilever to engage and develop strong lasting relationships with wholesalers in key areas for your target market
Weaknesses/Threats-Market the product enough so that it is well known with a consumer base, and distributors are more willing to receive marmite from wholesalers
PROMOTION STRATEGY: AIDA AWARENESS/ATTENTION:British national symbolStrong British presence overseas, especially in far east regionMarmite has 30% penetration into Sri Lanka
INTEREST:Marmite is healthy with many vitamins
DESIRE:Increase in the health conscious consumer. A lot of Indian food has a lot of fat
ACTION:Incorporated Marmite as a food flavoring mechanism and a healthy substitute in traditional Indian meals
MARKETING & PRODUCT: BALADI BRAND BLUEPRINT
Core Brand Values
• Healthy alternative
• Historical legacy
The Positioning Statement
• Marmite is a spread that is nutritious and unique
The Brand Proposition
• “Love it or hate it”
Source: Adapted from (Baladi, 2011)
CULTURAL ANALYSIS: HOFSTEDE CULTURAL DIMENSION
● High PDI, Low on Individualism & Indulgence○ Cooking a main form of expression○ High context
● Spice brands used as cultural emblem○ Part of national pride
Source: (Hostede, 2016)
MARMITE LOOKING BACK CONTINUED...Marmite
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