FMCG India By- akshay kumar jain Hindustan Unilever Limited (HUL) ITC Limited Patanjali Ayurved Parle Agro Amul Godrej Group Colgate-Palmolive Turnover – 7.0 Billion Dolla Turnover – 789 Million Dolla Turnover – 1 Billion dollar (App Turnover – 2.15 Billion Doll Turnover – 4.0 Billion Dolla Turnover – 0.78 Billion Doll Turnover – 4 Billion Dollar • FMCG is the fourth largest sector in the Indian economy • Household and Personal Care is the leading segment, accounting for 50 per cent of the overall market. Hair care (23 percent) and Food & Beverages (19 per cent) comes next in terms of market share • Retail market in India is estimated to reach USD1 trillion by 2020 from USD600 billion in 2016, with modern trade expected to grow at 20 per cent per annum, which is likely to boost revenues of FMCG companies • People are gracefully embracing Ayurveda products, which has resulted in growth of FMCG major, Patanjali Ayurveda. INDIAN FMCG SECTOR
Colgate-PalmoliveTurnover – 7.0 Billion DollarTurnover – 789 Million Dollar
Turnover – 1 Billion dollar (Appox)Turnover – 2.15 Billion Dollar
Turnover – 4.0 Billion DollarTurnover – 0.78 Billion Dollar
Turnover – 4 Billion Dollar
• FMCG is the fourth largest sector in the Indian economy• Household and Personal Care is the leading segment, accounting for 50
per cent of the overall market. Hair care (23 percent) and Food & Beverages (19 per cent) comes next in terms of market share
• Retail market in India is estimated to reach USD1 trillion by 2020 from USD600 billion in 2016, with modern trade expected to grow at 20 per cent per annum, which is likely to boost revenues of FMCG companies
• People are gracefully embracing Ayurveda products, which has resulted in growth of FMCG major, Patanjali Ayurveda.
INDIAN FMCG SECTOR
Strength-Low operational costs.-Presence of established distribution networks in both urban and rural areas-Presence of well-known brands in FMCG sector SWOT
FMCG
Weakness-Lower scope of investing in technology and achieving economies of scale, especially in small sectors-Low exports levels
Threats-Removal of import restrictions resulting in replacing of domestic brands-Slowdown in rural demand-Tax and regulatory structure-Very Difficult to revive back if products fails.
Opportunities-Untapped rural market-Rising income levels, i.e. increase in purchasing power of consumers-Large domestic market- a population of over one billion.-Export potential, High consumer goods spending
CAGR: 11.9%
30.234.8
36.844.9
47.349
103.7
2010 2011 2012 2013 2015 2016 2020F
STRONG GROWTH IN THE INDIAN FMCG SECTORThe combined revenue of seven leading Indian FMCG companies during 2015-16 stood at USD 11,066.46 million.In the long run, with the system becoming more transparent & easily compliable, demonetisation is expected to benefit organised players in the FMCG industry.
Source-www.ibef.org
Goods and Service Tax
(GST) Excise duty
Relaxation of licenserules
TRAI advertising regulations
SETU SchemeFood Security Bill (FSB)
Government Policies & ImpactsFuture
Prospects
CAGR: 20.6%
49
103.7
2016 2020F
USD billion
Favourable demographics and rise in income level to boost
FMCG market
CAGR: 16.89%
1411
3600
2014 2020F
CAGR: 14.6%
29.4
100
2016 2025F
USD billion
Total consumption expenditure set to
increase
Rise in rural consumption to drive the FMCG
market
Source-www.ibef.org
Swot AnalysisStrengths-Strong and experienced
management-Strong brand presence,
excellent products advertising -Employees over 25,000 people
-Excellent research and development facilities
Weaknesses Dependant on its
tobacco revenues
Opportunities-Consumption Of personal care products-Tap rural markets and increase penetration in urban areas
Threats-Strict govt regulations and policies regarding cigarettes.-Intense and increasing competition amongst other FMCG companies.
Products & ServicesAashirvaad CandymanSunfeast GumOnBingo!Yippee!Kitchens of IndiaB NaturalMint-o
Essenza Di WillsFiama Di WillsEngageVivelSavlonShower to ShowerVivel Cell renew
Wills Lifestyle
& John Players.
Lifestyle Retailing
Classmate&
Paperkraft
Education &
Stationary
Aim i Kno
Mangaldeep
Safety Matches
& Incense sticks
2013-14
2014-15
2015-16
2016-17 (Q3)
52759
4090938558
49247
54690
404391043
1
1166
8 43813
1240
5
1145
5 ProfitGross Revenue(ITC)Gross Revenue(FMCG)
6%
7%
Financials Details
Source-www.itcportal.com
Job ProfileMarketing Operations
• Sales Trainee • Logistics Trainee
Integrity Intellectual rigour A 'will do' attitude Team skills
Ability to think strategically
High energy Creativity Leadership
Skill Sets Required
Criteria:50% across HSC and SSC is mandatory for the resume to be considered Challenges
50 warehouses and 70 factories spread across the country and over 1200 trucks transporting ITC's goods on a daily basis!!!
ITC is responsible for distribution of 18 product categories, 75 sub product categories to over 2 million outlets distributed over 1 lakh markets.
24 FMCG product categories, 77 sub product categories, largest FMCG sales and distribution network (1 lakh+ markets, 2 million+ outlets)
ITC's Paperboards and Specialty Paper Division (PSPD) and the Packaging and Printing Business (PPB)provide you the opportunity to experience the dynamics of Business to Business marketing.
• Helps to gain strong marketing and sales skills.
Responsibilities
Expected to perform execution of orders, inventory and placement of vehiclesWarehouse Service,
Expected to deal with distributors, supervisors and salesmen and hence must display strong leadership qualities.
Marketing Operations
Career GrowthMarketing Operations
• Enable you work in close coordination with sales, production, logistics.
• Category specific and unique "Route to Market" models, coupled with best in class technology such as APO, I2-SCS, SAP,
Dealing with International alliances.Promoting Eco medical, Traditional crafts.Planning to launch some other serives with their e-choupal program like: - Micro- credit -Health -Education
Develop rural market to promote other productsFuture Plans
