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

VIDEO #1: MARMITE GOES TO INDIA

ENVIRONMENTAL ANALYSISWHY INDIA??

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

VIDEO #2: SAMPLING

VIDEO #3: FOCUS GROUPS

COMPETITION & POSITIONING

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...

INTERNAL & EXTERNAL ANALYSIS

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

ANSOFF MATRIX MARKET ENTRY:

ORIENTATION ANALYSIS

EPRG: STANDARDIZE/ADAPT

Source: Adapted from (Wind, Douglas & Prelmutter, 1973)

MARKETING MIX: 10 P’s

PROMOTION STRATEGY:The 5 W’s Model

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

VIDEO #4: MARMITE’S DECISION

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)

RECOMMENDATIONS

MARMITE LOOKING BACK CONTINUED...Marmite

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Marmite. (2016). Marmite Story. [online] Available at: http://www.marmite.co.uk/marmite-story [Accessed 5 Oct. 2016].

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http://economictimes.indiatimes.com/news/economy/infrastructure/india-needs-1-5-trillion-for-infrastructure-arun-jaitley/articleshow/52922015

.cms [Accessed 5 Oct. 2016].

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http://www.transparency.org/cpi2015?gclid=CjwKEAjwps2_BRC5jduHor-h8xESJADGT-Lt2bFRE_DDT66Bj63TcvJjeO3IiFTLSsjKyWH06Z

vLlxoCijvw_wcB [Accessed 5 Oct. 2016].

Wind, Y., Douglas, P.S., Perlmutter,V.H.(1973) "Guidelines for Developing International Marketing Strategies." Journal of Marketing

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