A MINOR PROJECT REPORT

ON

MARKETING STRATEGIES OF

‘BINGO, AN ITC PRODUCT’

Submitted To:- Submitted By:-

Miss. Shikha Tomar Saweety

BBA(G) 2nd Shift

3rd Semester

04021201710

In partial fulfillment of the

Requirements for the award of Degree of

Bachelor of Business Administration

Maharaja Surajmal Institute

Affiliated To:-

Guru Gobind Singh Indraprastha University

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CERTIFICATION

This is to certify that Saweety has completed her project report, entitled

‘Bingo, an ITC Product’ as a part of partial fulfillment of Bachelor of Business

Administration (G) programme from ‘Maharaja Surajmal Institute’, affiliated to

‘Guru Gobind Singh Indraprastha University’, under my guidance and her work is

original.

Miss.Shikha Tomar

Project Guide

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ACKNOWLEDGEMENT

The present work is an effort to throw some light on ‘Bingo, an ITC

Product’. The work would not have been possible to come to the present shape

without the able guidance, supervision and help to me by number of people.

With deep sense of gratitude I acknowledge the encouragement and guidance

received by my mentor & guide, Miss. Shikha Tomar,(Asst. Professor) Maharaja

Surajmal Institute and other staff members. I also thank her for the ideas and basic

concepts she delivered and shared with me, as they helped me a lot in accomplishing

this project of mine.

I convey my heart full affection to my Parents, who helped and supported me

during the course, for completion of my Minor Project Report.

Saweety

Enrollment No.: 04021201710

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EXECUTIVE SUMMARY

This report intends to find out the most popular flavour of BINGO in the

market from our sample. Snacks as such are a very minor part of the food processing

industry because snacks sector is largely unorganized. Here we will also look into the

market trends in snacks over the years. The project purports to decipher the

satisfaction level as well as the preferences of consumers pertaining to the various

flavours of BINGO - a new range of savory snacks launched by ITC. We aim to

analyze the success, marketability and future growth prospects of BINGO. We also

intend to study the spending habits and motivation of consumers for buying snacks.

For this a survey was conducted in Delhi where respondents were asked to fill

a questionnaire. The data was collected and analyzed to obtain conclusions.

This report carries an introduction of the company profile, detail of the

methodology followed detailed data analysis and the results so obtained with the

variety of graphs along with given.

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TABLE OF CONTENTS

1) INTRODUCTION 1 - 5

1.1) Objectives of the Study 2

1.2) Research Methodology 3

1.3) Limitations of the Research 5

2) PROFILE OF THE ORGANISATION 6 - 23

2.1) ITC Limited - A Company Profile 7

2.2) Product Line 9

2.3) Evolution 11

2.4) Growth and Diversification 15

2.5) Performance 17

3) ANALYSIS AND INTERPRETATION OF DATA 20 - 39

3.1) Primary Data 21

3.2) Secondary Data 36

4) CONCLUSIONS AND RECOMMENDATIONS 40 - 41

5) BIBLIOGRAPHY 42 - 43

6) ANNEXURE 44 - 50

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CHAPTER 1

INTRODUCTIO

N

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OBJECTIVES OF THE STUDY

1. To study the company profile of ITC Ltd, the makers

of BINGO.

2. To study the trends in snacks industry.

3. To analyse and interpret the results of sample

collected.

4. To find conclusions to the market research.

5. To study the spending habits and motivation of

consumers for buying snacks.

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RESEARCH METHODOLOGY

TYPE OF RESEARCH

Descriptive Research: Descriptive research

includes Surveys and fact-finding enquiries of different

kinds. The main characteristic of this method is that the

researcher has no control over the variables; he can only

report what has happened or what is happening.

DATA SOURCES

There are two types of sources of data:-

Primary Data: Collected through questionnaire and

answered by consumers of

snacks.

Secondary Data: Collected from journals, books and

through Internet search.

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QUESTIONNAIRE DESIGN

FORMULATION

Questionnaire has structured type questions as well

as unstructured type questions. Structured objective type

questions are prepared for the respondents with fixed

response categories. Some of the questions are of

multiple-choice type. The questions have more than one

alternative.

Questionnaire: A questionnaire consists of a set of

questions presented to respondent for

their answers. It can be Closed Ended

or Open Ended.

Open Ended: Allows respondents to answer in their

own words & are difficult to Interpret

and Tabulate.

Close Ended: Pre-specify all the possible answers & are

easy to Interpret and Tabulate.

SAMPLING TECHNIQUE

In the Project sampling is done on basis of

Probability sampling. Among the probability sampling

design the sampling design chosen is stratified random

sampling, so that unbiased, representative sample may be

obtained.

SAMPLE SIZE

Snacks consumer, 50 nos

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STEPS FOLLOWED IN COMPLETING

THE STUDY

1. Management & marketing books, journals are

consulted.

2. Internet sites containing information on ITC &

marketing are browsed.

3. Sample survey was conducted.

4. Data was thoroughly checked for error.

DATA PROCESSING METHODOLOGY

1. Once the primary data have been collected, they are

edited, inspected, corrected and modified.

2. Tabulation - bring similar data together and totaling

them in meaningful categories.

The collected data are placed into an order.

Percentages of respondents answered similarly are

calculated and placed in a table. Then this is interpreted.

This involved drawing conclusion from the gathered data.

Interpretation changes the new information immerging

from the analysis into information that is pertinent or

relevant to the study.

LIMITATIONS OF THE

RESEARCH

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1. The geographical area was very much limited to

residential areas within Delhi and so the results are not

particularly reflection of the current behavior.

2. The collected data are placed into an order.

Percentages of respondents answered similarly are

calculated and placed in a table and then it is

interpreted. This involved drawing conclusion from

the gathered data. Interpretation changes the new

information emerging from the analysis into

information that is pertinent or relevant to the study.

3. Due to limited time period and constrained working

hours for most of the respondents, the answers at times

were vague enough to be ignored.

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CHAPTER 2

PROFILE OF

THE

ORGANISATIO

N

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ITC LIMITED - A COMPANY

PROFILE

HISTORY

ITC was incorporated on August 24, 1910 under

the name of 'Imperial Tobacco Company of India

Limited'. The Company's ownership progressively

Indianised, and the name of the Company was changed to

‘I.T.C. Limited’ in 1974. In recognition of the Company's

multi-business portfolio encompassing a wide range of

businesses - Cigarettes & Tobacco, Hotels, Information

Technology, Packaging, Paperboards & Specialty Papers,

Agri-Exports, Foods, Lifestyle Retailing and Greeting

Gifting & Stationery - the full stops in the Company's

name were removed effective September 18, 2001. The

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Company now stands rechristened 'ITC Limited’. The

company has its registered office in Kolkata.

BOARD OF DIRECTORS

CHAIRMAN

Yogesh Chander Deveshwar

EXECUTIVE DIRECTORS

Anup Singh

Krishnamoorthy Vaidyanath

NON-EXECUTIVE DIRECTORS

Anil Baijal

Ravinder Kumar Kaul

Serajul Haq Khan

Sunil Behari Mathur

Dinesh Kumar Mehrotra

Hugo Geoffrey Powell

Pillappakkam Bahukutumbi Ramanujam

Anthony Ruys

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Basudeb SenBalakrishnan Vijayaraghavan

PRODUCT LINE

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1. FMCG

Cigarettes, Foods, Lifestyle Retailing, Personal

Care, Education & Stationery, Safety Matches,

Incense Sticks

2. HOTELS

INFORMATION

TECHNOLOGY

AGRI-

BUSINESSES

PAPER

BOARDS &

PACKAGING

HOTELS

FMCG

ITC

BUSINESSES

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ITC-Welcomgroup

3. PAPERBOARDS & PACKAGING

a) Paperboards & Specialty Papers: Folding

Box Boards, Solid Bleached

Sulphate Boards, Poly coated boards, Recycled

boards, Fine Papers

b) Packaging: Flip-Top boxes, Display Outers,

Shells and Slides, Soft cup

and strap, Labels, Bundle Wraps, Flap

Boxes, Inner Frames, Coupon

Inserts, Folding Cartons, Fluted Cartons,

Shoulder Boxes, Pre-printed cork

Tipping, Flexibles Packaging

4. AGRI-BUSINESSES

a) Agri Commodities & Rural Services: Feed

Ingredients, Food Grains,

Edible Nuts, Marine Products, Processed

Fruits, Coffee & Spices,

e-Choupal

b) Leaf Tobacco, Spices & Agri Inputs

5. INFORMATION TECHNOLOGY

ITC Infotech

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EVOLUTION

Though the first six decades of the Company's

existence were primarily devoted to the growth and

consolidation of the Cigarettes and Leaf Tobacco

businesses, the Seventies witnessed the beginnings of a

corporate transformation that would usher in momentous

changes in the life of the Company.

ITC's Packaging & Printing Business was set up

in 1925 as a strategic backward integration for ITC's

Cigarettes business. It is today India's most sophisticated

packaging house.

In 1975, the Company launched its Hotels

business with the acquisition of a hotel in Chennai which

was rechristened 'ITC-Welcomgroup Hotel Chola'. The

objective of ITC's entry into the hotels business was

rooted in the concept of creating value for the nation. ITC

chose the hotels business for its potential to earn high

levels of foreign exchange, create tourism infrastructure

and generate large scale direct and indirect employment.

Since then ITC's Hotels business has grown to occupy a

position of leadership, with over 100 owned and managed

properties spread across India.

In 1979, ITC entered the Paperboards business

by promoting ITC Bhadrachalam Paperboards Limited,

which today has become the market leader in India.

Bhadrachalam Paperboards amalgamated with the

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Company effective March 13, 2002 and became a

Division of the Company, Bhadrachalam Paperboards

Division. In November 2002, this division merged with

the Company's Tribeni Tissues Division to form the

Paperboards & Specialty Papers Division. ITC's

paperboards' technology, productivity, quality and

manufacturing processes are comparable to the best in the

world. It has also made an immense contribution to the

development of Sarapaka, an economically backward area

in the state of Andhra Pradesh. It is directly involved in

education, environmental protection and community

development. In 2004, ITC acquired the paperboard

manufacturing facility of BILT Industrial Packaging Co.

Ltd (BIPCO), near Coimbatore, Tamil Nadu. The Kovai

Unit allows ITC to improve customer service with reduced

lead time and a wider product range.

In 1985, ITC set up Surya Tobacco Co. in Nepal as

an Indo-Nepal and British joint venture. Since inception,

its shares have been held by ITC, British American

Tobacco and various independent shareholders in Nepal.

In August 2002, Surya Tobacco became a subsidiary of

ITC Limited and its name was changed to Surya Nepal

Private Limited (Surya Nepal).

In 1990, ITC acquired Tribeni Tissues Limited, a

Specialty paper manufacturing company and a major

supplier of tissue paper to the cigarette industry. The

merged entity was named the Tribeni Tissues Division

(TTD). To harness strategic and operational synergies,

TTD was merged with the Bhadrachalam Paperboards

Division to form the Paperboards & Specialty Papers

Division in November 2002.

Bingo! xx

Also in 1990, leveraging its agri-sourcing

competency, ITC set up the Agri Business Division for

export of agri-commodities. The Division is today one of

India's largest exporters. ITC's unique and now widely

acknowledged e-Choupal initiative began in 2000 with

soya farmers in Madhya Pradesh. Now it extends to 10

states covering over 4 million farmers. ITC's first rural

mall, christened 'Choupal Saagar' was inaugurated in

August 2004 at Sehore. On the rural retail front, 24

'Choupal Saagars' are now operational in the 3 states of

Madhya Pradesh, Maharashtra and Uttar Pradesh.

In 2000, ITC forayed into the Greeting, Gifting and

Stationery products business with the launch of

Expressions range of greeting cards. A line of premium

range of notebooks under brand “Paperkraft” was

launched in 2002. To augment its offering and to reach a

wider student population, the popular range of notebooks

was launched under brand “Classmate” in 2003.

“Classmate” over the years has grown to become India’s

largest notebook brand and has also increased its

portfolio to occupy a greater share of the school bag.

Years 2007- 2009 saw the launch of Children Books, Slam

Books, Geometry Boxes, Pens and Pencils under the

“Classmate” brand. In 2008, ITC repositioned the

business as the Education and Stationery Products

Business and launched India's first environment

friendly premium business paper under the

“Paperkraft” Brand. “Paperkraft” offers a diverse

portfolio in the premium executive stationery and office

consumables segment. Paperkraft entered new categories

in the office consumable segment with the launch of

Bingo! xxi

Textliners, Permanent Ink Markers and White Board

Markers in 2009.

ITC also 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). ITC also initiated a foray

into the popular segment with its men's wear brand, John

Players, in 2002. In 2006, Wills Lifestyle became title

partner of the country's most premier fashion event - Wills

Lifestyle India Fashion Week - that has gained

recognition from buyers and retailers as the single largest

B-2-B platform for the Fashion Design industry. To mark

the occasion, ITC launched a special 'Celebration Series',

taking the event forward to consumers. In 2007, the

Company introduced 'Miss Players'- a fashion brand in

the popular segment for the young woman.

In 2000, ITC spun off its information technology

business into a wholly owned subsidiary, ITC Infotech

India Limited, to more aggressively pursue emerging

opportunities in this area. Today ITC Infotech is one of

India’s fastest growing global IT and IT-enabled services

companies and has established itself as a key player in

offshore outsourcing, providing outsourced IT solutions

and services to leading global customers across key focus

verticals - Manufacturing, BFSI (Banking, Financial

Services & Insurance), CPG&R (Consumer Packaged

Goods & Retail), THT (Travel, Hospitality and

Transportation) and Media & Entertainment.

Bingo! xxii

ITC's foray into the Foods business is an

outstanding example of successfully blending multiple

internal competencies to create a new driver of business

growth. It began in August 2001 with the introduction of

'Kitchens of India' ready-to-eat Indian gourmet dishes. In

2002, ITC entered the confectionery and staples segments

with the launch of the brands mint-o and Candyman

confectionery and Aashirvaad atta (wheat flour). 2003

witnessed the introduction of Sunfeast as the Company

entered the biscuits segment. ITC's entered the fast

growing branded snacks category with Bingo! in 2007. In

just seven years, the Foods business has grown to a

significant size with over 200 differentiated products

under six distinctive brands, with an enviable distribution

reach, a rapidly growing market share and a solid market

standing.

In 2002, ITC's philosophy of contributing to

enhancing the competitiveness of the entire value chain

found yet another expression in the Safety Matches

initiative. ITC now markets popular safety matches brands

like iKno, Mangaldeep, Aim, Aim Mega and Aim

Metro.

ITC’s foray into the marketing of Agarbattis

(incense sticks) in 2003 marked the manifestation of its

partnership with the cottage sector. ITC's popular

agarbattis brands include Spriha and Mangaldeep across

a range of fragrances like Rose, Jasmine, Bouquet,

Sandalwood, Madhur, Sambrani and Nagchampa.

ITC introduced Essenza Di Wills, an exclusive

range of fine fragrances and bath & body care products for

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men and women in July 2005. Inizio, the signature range

under Essenza Di Wills provides a comprehensive

grooming regimen with distinct lines for men (Inizio

Homme) and women (Inizio Femme). Continuing with its

tradition of bringing world class products to Indian

consumers the Company launched 'Fiama Di Wills', a

premium range of Shampoos, Shower Gels and Soaps in

September, October and December 2007 respectively. The

Company also launched the 'Superia' range of Soaps and

Shampoos in the mass-market segment at select markets in

October 2007 and Vivel De Wills & Vivel range of soaps

in February and Vivel range of shampoos in June 2008.

GROWTH & DIVERSIFICATION

ITC is one of India's foremost private sector

companies with a market capitalisation of nearly US $ 19

billion and a turnover of over US $ 5 billion (as at March

31, 2009). 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 BusinessWorld and among

India's Most Valuable Companies by Business Today. ITC

ranks among India's ‘10 Most Valuable (Company)

Brands’, in a study conducted by Brand Finance and

published by the Economic Times. ITC also ranks among

Bingo! xxiv

Asia's 50 best performing companies compiled by

Business Week.

ITC is rated among theWorld’s Best Big Companies,

Asia’s ‘Fabulous 50’ andWorld’s Most Reputable Companies

By Forbes magazine

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."

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ITC's diversified status originates from its

corporate strategy aimed at creating multiple drivers of

growth anchored on its time-tested core competencies:

unmatched distribution reach, superior brand-building

capabilities, effective supply chain management and

acknowledged service skills in hoteliering. Over time, the

strategic forays into new businesses are expected to garner

a significant share of these emerging high-growth markets

in India.

ITC's Agri-Business is one of India's largest

exporters of agricultural products. ITC is one of the

country's biggest foreign exchange earners (US $ 3.2

billion in the last decade). The Company's 'e-Choupal'

initiative is enabling Indian agriculture significantly

enhance its competitiveness by empowering Indian

farmers through the power of the Internet. This

transformational strategy, which has already become the

subject matter of a case study at Harvard Business School,

is expected to progressively create for ITC a huge rural

distribution infrastructure, significantly enhancing the

Company's marketing reach.

ITC's wholly owned Information Technology

subsidiary, ITC Infotech India Ltd, provides IT services

and solutions to leading global customers. ITC Infotech

has carved a niche for itself by addressing customer

challenges through innovative IT solutions.

ITC's production facilities and hotels have won

numerous national and international awards for quality,

productivity, safety and environment management

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systems. ITC was the first company in India to voluntarily

seek a corporate governance rating.

ITC employs over 26,000 people at more than 60

locations across India. The Company continuously

endeavors to enhance its wealth generating capabilities in

a globalising environment to consistently reward more

than 3,44,000 shareholders, fulfill the aspirations of its

stakeholders and meets overarching vision of the company

is expressively captured in its corporate positioning

statement: "Enduring Value. For the nation. For the

Shareholder."societal expectations. This overarching

vision of the company is expressively captured in its

corporate positioning statement: "Enduring Value. For

the nation. For the Shareholder.”

PERFORMANCE

ECONOMIC PERFORMANCE

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1. A growing portfolio of businesses encompassing

FMCG, Paperboards & Packaging, Agri & Foods

Business, Hotels and Information Technology.

 

2. A turnover of over US $ 5 billion and a market

capitalisation of nearly US $ 19 billion.

 

3. Total Shareholder Returns, measured in terms of

increase in market capitalisation and dividends, grew

at a compound rate of over 24% per annum over the

last 5 years.

4. The new FMCG businesses support the

competitiveness, technology upgradation and market

reach of over 170 Small and Medium Enterprises

(SMEs).

ENVIORNMENTAL PERFORMANCE

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1. ITC's businesses generate livelihoods for over 5

million people.

 

2. ITC's globally recognised e-Choupal initiative is  the

world's largest rural digital

infrastructure benefiting over 4 million farmers.

 

3. ITC's Social and Farm Forestry initiative has greened

over 96,000 hectares creating an estimated 43 million

person-days of employment among the disadvantaged.

4. ITC's Watershed Development  Initiative brings

precious water to nearly 46,000

hectares of drylands and moisture-stressed areas.

 

5. ITC's Sustainable Community Development initiatives

include women’s empowerment, supplementary

education, integrated animal husbandry programmes.

Bingo! xxix

SOCIAL PERFORMANCE

1. ITC has been ‘Carbon Positive’ four years in a row

(sequestering/storing twice the

amount of CO2 than the Company emits).

  

2. ‘Water Positive’ seven years in a row (creating

two times more Rainwater

Harvesting potential than ITC's net consumption).

 

3. Solid Waste Recycling Positive (Reusing/Recycling

more solid waste than generated).

 

4. All Environment, Health and Safety Management

Systems in ITC conform to international standards.

Bingo! xxx

Balance sheet (Rs crore)

Mar ' 10 Mar ' 09 Mar ' 08 Mar ' 07 Mar ' 06

Sources of funds

Owner's fundEquity share capital 381.82 377.44 376.86 376.22 375.52Share application money - - - - -Preference share capital - - - - -Reserves & surplus 13,628.17 13,302.55 11,624.69 10,003.78 8,626.79

Loan funds

Secured loans - 11.63 5.57 60.78 25.91Unsecured loans 107.71 165.92 208.86 140.10 93.82Total 14,117.70 13,857.54 12,215.98 10,580.88 9,122.04

Uses of funds

Fixed assetsGross block 11,967.86 10,558.65 8,959.70 7,134.31 6,227.17Less : revaluation reserve 54.39 55.09 56.12 57.08 59.17Less : accumulated depreciation 3,825.46 3,286.74 2,790.87 2,389.54 2,065.44Net block 8,088.01 7,216.82 6,112.71 4,687.69 4,102.56Capital work-in-progress 1,008.99 1,214.06 1,126.82 1,130.20 399.97Investments 5,726.87 2,837.75 2,934.55 3,067.77 3,517.01

Net current assets

Current assets, loans & advances 8,463.31 8,450.99 7,306.99 6,281.07 5,228.49Less : current liabilities & provisions

9,169.48 5,862.08 5,265.09 4,585.85 4,125.99

Total net current assets -706.17 2,588.91 2,041.90 1,695.22 1,102.50Miscellaneous expenses not written

- - - - -

Total 14,117.70 13,857.54 12,215.98 10,580.88 9,122.04

Notes:

Book value of unquoted investments

5,108.69 2,861.88 2,958.68 3,091.90 3,541.14

Market value of quoted invest. 1,355.62 9.12 13.42 13.30 13.46

Bingo! xxxi

CHAPTER 3

ANALYSIS

AND

INTERPRETATI

ON

OF DATA

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ANALYSIS AND

INTERPRETATION OF

PRIMARY DATA

Q.1) Do you eat snacks?

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Interpretation: This research concludes that nearly 100

percent of people love to eat snacks.

Q.2) How much money do you spend

weekly on snacks?

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Interpretation: This study says that nearly 60 percent of

people spend less than Rs. 50 weekly on there snacks

consumption, in which 80 percent were students. Mostly

the working males and females of age group 20-35 spend

Rs. 50 - Rs. 100 weekly on the snacks, and other 8 percent

of people spending more than Rs. 100 on snacks are

youngsters.

Q.3) Have you heard of ITC BINGO?

Bingo! xxxv

Interpretation: As per the survey done, the 100% people

know about ITC Bingo. Bingo has a good image over the

students (Less than 26 years), and males and females (26 –

40 years) are also moving to Bingo.

Bingo! xxxvi

Q.4) How did you first discovered

BINGO?

Interpretation: Due to the great efforts of ITC, most of

the people know about Bingo through its advertisements.

Also it shares a little percent of its vast reach to its

customers through retail stores and shops.

Bingo! xxxvii

Q.5) Have you tried BINGO?

Interpretation: In this study it has come to know that

Bingo has been tried at least once by 96 percent of people,

and most of the remaining 4 percent are the males and

females almost of age group 60 and above. It has also

come to know that the young males and females like ITC

Bingo a lot.

Bingo! xxxviii

Q.6) How frequently do you eat BINGO?

Interpretation: This study says that the youngsters are

more crazy about Bingo and they consume it either daily

or anytime they wish or when offered by someone. Most

people who spend less money on snacks, like to have only

Bingo when they spend money on snacks or want to eat a

snack.

Bingo! xxxix

Q.7) What do you like about BINGO?

Interpretation: The majority of males and females like

the taste of Bingo products but the student segment like

Bingo because it offers a lot of variety and flavour. This

study also throws a light that the buyer is not much

Bingo! xl

affected by its price as they prefer a high quality product.

As it is an ITC product so, it has a good image in the

public eyes in terms of quality.

Q.8) Which BINGO flavour do you like

the most?

Bingo! xli

Interpretation: The most preferable flavours under Bingo

are the Masala, Tomato, Mad Angles and Hatke Jhatke.

The students prefer to eat spicy and new flavours and thus,

there is an increasing demand for International Cream &

Onion flavour. The people of age group 20 – 35 prefer

masala and Tomato flavours. Whereas, old citizens like

simple tastes and thus, prefer plain Salted Bingo flavour.

Bingo! xlii

Q.9) How much are you satisfied with

ITC BINGO’s

flavour?

Interpretation: Most of Bingo consumers are satisfied

with its taste and flavour. But it has been seen that people

(35 and above) do not like Bingo’s flavour much, also it

has been felt that Bingo has failed to attract old citizens by

its flavour because they feel to stick to their old snack

brands.

Bingo! xliii

Q.10) Are you satisfied with the price of

BINGO?

Interpretation: Nearly all the snacks available in the

market are about the same price and thus, most of the

population is satisfied by the price of ITC Bingo. It is also

seen that the consumers before switching to the product

prefers the product to be of a high quality rather than of its

price.

Bingo! xliv

Q.11) Are you satisfied with BINGO in

all aspects?

Interpretation: Overall more than 80 percent of the

consumers are either completely satisfied or just satisfied

with Bingo. It shows that Bingo is having its strong built

Bingo! xlv

in the market and has also made a tough competition to its

competitive brands.

Q.12) Compared to other snacks (such

as Lays, Kurkure,

Uncle Chips, Haldiram, etc.), how

much do you like or

dislike BINGO?

Bingo! xlvi

Interpretation: Here also, a strong consumer relation can

be seen with Bingo, as nearly 85 percent of Bingo and

other snack consumers are satisfied with Bingo. Mostly

the people above 40 years of age seems to be disappointed

with Bingo as they find it difficult to switch to other

brands which are available in the market at the same price

providing the same consumer satisfaction.

Q.13) What would you prefer if other

brand snacks will also

Bingo! xlvii

be available including BINGO?

Interpretation: Here we can see that Lays is the most

preferred snack brand available in the market, followed by

Kurkure, and then Bingo. Uncle Chips is also one of the

preferred brand followed by Bingo, and finally Haldiram.

A 21 percent of preference share reflects a good image of

Bingo in the markets as it is known that bingo has come

into existence in recent years but all other brands are much

older than Bingo.

Bingo! xlviii

Q.14) Before switching on to ITC

BINGO, which snack will

you prefer?

Interpretation: As the price of bingo is not very much

competitive, so the people are still consuming the other

snacks like Lays, Kurkure followed by Uncle Chips and

then Haldiram. Though there is a strong consumer

preference towards Lays and Kurkure.

Bingo! xlix

Q.15) Would you like to recommend ITC

BINGO to others?

Interpretation: The majority of the people are in favour

to recommend Bingo product. The main advantage of

Bingo is its availability and variety in flavours.

Bingo! l

Q.16)Does the brand name ITC affect

your preference about Bingo?

Inference: It can clearly be seen that a large percentage of consumers are affected by the brand name ITC.

Bingo! li

Q.17) Consumer’s demand for introduction of

more products.

Bingo! lii

Inference: It can clearly be seen that a large percentage of consumers would an increase in the variety of Bingo’s food items.

Q.18)Consistent level of Bingo in respect of

taste,quality and variety.

Inference: 72% of Bingo’s consumers agree to the fact that the taste, quality and variety of its food items is consistent all over the world.

Bingo! liii

Q.19) Comparision of consumer preference

towards brands.

Bingo! liv

ITC FREETOLAYS LEHER

Inference: We can observe that consumers prefer Bingo to a large extent over other brands. In this study brand loyalty of Mc Donald’s is 48% while that of Pizza Hut and Café Coffee Day is 32% and 20% respectively.

Q20.)-View of consumers towards Bingo’s ambience in total…

Bingo! lv

Inference: We can infer from the above study that 65% of the people have a positive view towards the ambience of Bingo’s i.e. they like its ambience and the remaining 35% are not very happy with its ambience.

ANALYSIS AND

INTERPRETATION OF

SECONDARY DATA

SWOT ANALYSIS

STRENGTHS

ITC has a brand positioning in the minds of

consumers. ITC has a good management track record and

also has a strong cash flow which helps in promoting its

products in the market.

Bingo! lvi

The company’s Net Profit has increased by 4.6%

from Rs. 3120.10 cr (2008) to Rs. 3263.59 cr (2009),

which is a sign of progress.

ITC leveraged it traditional businesses to develop

new brands for new segments. For example, ITC used its

experience of transporting and distributing tobacco

products to remote and distant parts of India as an

advantage of its FMCG products. ITC master chefs from

its hotel chain are often asked to develop new food

concepts for its FMCG business.

ITC is a diversified company trading in a number of

business sectors including Cigarettes, Hotels, Paperboards

& Specialty Papers, Packaging, Agri-Business, Packaged

Foods & Confectionery, Information Technology,

Branded Apparel, Personal Care, Stationery, Safety

Matches and other FMCG products.

To make its strong impact in the market, ITC has

also launched many new FMCG, Paperboards & Specialty

Papers, Packaged Foods & Confectionery, Branded

Apparel, Personal Care, Stationery products, and also new

hotels and restaurants, in the year 2008-09.

WEAKNESSES

The company's original business was traded in

tobacco. ITC stands for ‘Imperial Tobacco Company of

India Limited’. It is interesting that a business that is now

Bingo! lvii

so involved in branding continues to use its original name,

despite the negative connection of tobacco with poor

health and premature death.

To fund its cash guzzling FMCG start-up, the

company is still dependent upon its tobacco revenues.

Cigarettes account for 49 percent of the company's net

turnover, and that in itself is responsible for 87% of its

profits before tax. So there is an argument that ITC's move

into FMCG (Fast Moving Consumer Goods) is being

subsidised by its tobacco operations.

Also a wide range of products and its value,

specially in FMCG, sometimes confuses the buyer to

signify and choose the best according to their taste and

preferences, and therefore the buyer is unable to try or

purchase all other available options, which is a loss to the

organization because in-spite of its strong image and

qualitative product they are not able to push the product in

the market.

A wide range of product of the same kind having a

very little difference in between them, such as flavour,

colour, and packaging, serves as the competition between

there own products resulting in the buyer’s confusion and

which results sale of the other company’s product.

Bingo! lviii

OPPORTUNITIES

Core brands such as Aashirvaad, Mint-o, Bingo!

And Sun Feast (and others) can be developed using

strategies of market development, product development

and marketing penetration.

ITC is moving into new and emerging sectors

including Information Technology, supporting business

solutions.

e-Choupal is a community of practice that links

rural Indian farmers using the Internet. This is an original

and well thought of initiative that could be used in other

sectors in many other parts of the world. It is also an

ambitious project that has a goal of reaching 10 million

farmers in 1,00,000 villages.

ITC leverages e-Choupal in a novel way. The

company researched the tastes of consumers in the North,

West and East of India of atta (a popular type of wheat

flour), then used the network to source and create the raw

materials from farmers and then blend them for consumers

under purposeful brand names such as Aashirvaad Select

in the Northern market, Aashirvaad MP Chakki in the

Western market and Aashirvaad in the Eastern market.

This concept is tremendously difficult for competitors to

emulate.

Bingo! lix

Chairman Yogi Deveshwar's strategic vision is to

turn his Indian conglomerate into the country's premier

FMCG business.

Per capita consumption of personal care products

in India is the lowest in the world offering an opportunity

for ITC's soaps, shampoos and fragrances under their

Wills brand.

THREATS

ITC's opportunities are likely to be opportunities

for other companies as well. The obvious threat is from

competition, both domestic and international. The laws of

economics dictate that if competitors see that there is a

solid profit to be made in an emerging consumer society

then new products and services will be made available.

Therefore the dynamics of competition will alter in the

medium-term. Western companies see India as an exciting

opportunity for themselves to find new market segments

for their own offerings.

Also the slow down in economy and terrorist

attacks is resulting into the slower number of arrivals of

tourists in India, thus affecting the hotel industry.

Even, the prices of raw materials & fuel have

increased at a very rapid rate, which results in an

Bingo! lx

unnecessary use of capital and increases the expenditure of

the firm.

CHAPTER 4

CONCLUSIONS

Bingo! lxi

AND

RECOMMENDA

TIONS

The conclusions which can be made after

conducting this survey are that, Bingo is a preferred brand

after Lays and Kurkure. It has made a strong position in

the food market, and is giving a tough competition to its

competitors.

A wide range of flavours sometimes confuses the

buyer to signify and choose the best according to their

taste and preferences, and therefore the buyer is unable to

try or purchase all other available options, which is a loss

to the organization because in-spite of its strong image and

Bingo! lxii

qualitative product they are not able to push the product in

the market. This factor also serves as the competition

between there own products. Thus there should be a

limited diversification in its different varieties of flavour.

As per the survey conducted it is observed that

Bingo’s masala level is a bit high as reported by most of

its consumers as per the view taken in this survey. There

should be a control in the spice levels.

Bingo may also try a new and attracting packaging

technique to attract more buyers. It is felt that similar

coloured packs in few flavour confuses its consumers

since, there is a vast diversification in flavours. The firm

may try to launch a triangle shape packaging, which will

be unique in itself in the market.

To attract more buyers it may tie-up with different

complementary products, like soft drinks, tea or coffee

during special seasons/occasions. It may also sponsor

some sports events which would surely increase their

sales turnover ratio.

Bingo! lxiii

BIBLIOGRAPH

Y

Bingo! lxiv

BOOKS

Kotler Philip ; Principles of Marketing Management,

Prentice Hall India 2005

T.N. Chhabra & S.K Grover; Marketing Management,

Dhanpat Rai & Co., 2004

Gupta & Suri; Case Studies in Marketing Management,

Himalaya Publishing House, 2005

WEBSITES

www.itcportal.com

www.bingeonbingo.com

www.marketingteacher.com

www.en.wikipedia.org

Bingo! lxv

www.google.com

NEWSPAPERS

Economic Times

Business Standard

The Hindustan Times

ANNEXURE

Bingo! lxvi

QUESTIONNAIRE ON

BINGO!

This is a survey on ‘ITC Bingo’ by Saweety for thefor the

partial fulfillment of BACHELOR OF BUSINESSpartial fulfillment of BACHELOR OF BUSINESS

ADMINISTRATION. So kindly give your response toADMINISTRATION. So kindly give your response to

these questions:-these questions:-

Name: ____________________ Date: ____ /

____ / ____ (DD/MM/YY)

Age: ____ (in years)

Area/Locality: ____________________

General Instructions:-

1. Answer all questions.

2. Indicate your answer by marking a tick (√)

against an appropriate option.

3. Mark only one option in all questions.

Bingo! lxvii

Q.1) Do you eat snacks?

Yes  

No  

Q.2) How much money do you spend weekly on snacks?

Less Than Rs. 50  

Rs. 50 - Rs. 100  

More Than Rs. 100  

Q.3) Have you heard of ITC BINGO?

Yes  

No  

Q.4) How did you first discovered BINGO?

Advertisement  

Friends/Relatives  

In Stores  

Others  

Bingo! lxviii

Q.5) Have you tried BINGO?

Yes  

No  

Q.6) How frequently do you eat BINGO?

Everyday  

Once a Week  

Once a Month  

Anytime  

Q.6) What do you like about BINGO?

Taste  

Variety  

Quality  

Price  

Packaging  

Others  

Q.7) How frequently do you eat BINGO?

Bingo! lxix

Everyday  

Once a Week  

Once a Month  

Anytime  

Q.8) Which BINGO flavours do you like the most?

Salted  

Masala  

Tomato  

Chatkilla Nimbu Achaar  

International Cream & Onion  

Mad Angles  

Hatke Jhatke  

Bingo! lxx

Q.9) How much are you satisfied with ITC BINGO’s

flavour?

Very Good  

Good  

Average  

Bad  

Very Bad  

Q.10) Are you satisfied with the price of BINGO?

Yes  

No  

Q.11) Are you satisfied with BINGO in all aspects?

Completely Satisfied  

Satisfied  

Unsatisfied  

Bingo! lxxi

Q.12) Compared to other snacks (such as Lays, Kurkure,

Uncle Chips, Haldiram,

etc.), how much do you like or dislike BINGO?

Much Better  

Better  

Same  

Worse  

Much Worse  

Q.13) What would you prefer if other brand snacks will

also be available including

Bingo?

Bingo  

Lays  

Kurkure  

Uncle Chips  

Bingo! lxxii

Haldiram  

Q.14) Before switching on to ITC BINGO, which snack

did you prefer?

Lays

Kurkure  

Uncle Chips  

Haldiram  

Q.15) Would you like to recommend ITC BINGO to

others?

Yes  

Not Sure  

No  

Q.16)Does the brand name ITC affect your

preference about Bingo?

Yes

No

Bingo! lxxiii

Q.17) Consumer’s demand for introduction of more

products.

Yes

No

Q.18)Consistent level of Bingo in respect of taste,quality

and variety.

Consistent

Variable

Q.19) Comparision of consumer preference towards

brands.

ITC

Freetolays

Leher

Q20.)-View of consumers towards Bingo’s ambience in total…

Positive

Negative