AbeAparnaRiya MidhunTamannasDeepak

CASE STUDY ON

INTRODUCTIONThomas Twining, went against the tide to share his love of tea

His passion turned a little-known drink into the nation’s favorite hot beverage

He started selling tea from his coffee house on London's Strand, promising only to sell the finest qualities and varieties

His pledge soon won him (and his tea) lots of fans - including Jane Austen and Charles II

TWININGS IN INDIA

The Indian headquarters are located in Gurgaon, Haryana, and the factory is located in Kolkata

Twinings fi rst ventured into the Indian market with its Earl Grey, Lemon, English Breakfast and Darjeeling blends in 1997

Today, Twinings India off ers over 15 flavours in the Premium Black Tea, Green Tea, Herbal & Fruit Infusions categories

Enjoy a sizable market share in the premium teabag category in modern trade as one of the leading players in the teabag industry in India today

UK based premium tea market entered India in 1997

Created super-premium market, turnover Rs 200cr

Premium segment 10% & super-premium 5% (5 years back)

Presently 20% market is in premium segment with Rs 4200 cr

SYNOPSIS OF CASE

Competitors : Dargeeling tea, Assam tea and tea bags

35% market share ahead of Tetley and HUL

Tetley and HUL introduced flavoured tea to compete with Twinings

To enter super-premium market Twinings introduced Green tea with medical value

CONTD…

Coffee , Tea or Twinings

Competitors – Tetley, Dilmah, HUL Strategies to introduce TWININGS among

youth and rich class

Possible to introduce in high class consumer market

ISSUE

MARKET SEGMENTATION : it is the process of dividing potential

users into categories to pinpoint characteristics that influence purchasing.

it allows companies to develop marketing

and advertising campaign that appeal to those who are most likely to make a purchase

THEORY RELEVANT TO CASE

BENEFIT: it allows business to gear their marketing eff orts towards consumers who would most benefit from their product and services.

METHOD: Marketing research such as survey and interview

FUNCTION: Target market segmentation allows company diff erentiate itself from its competitors and carry out a niche.

CONSIDERATION: If your target market is too small , you may have to expand your marketing eff orts to reach more potential customer.

MARKET SEGMENTATION

Strategy formulation refers to the process of choosing the most appropriate course of action for the realization of organizational goals and objective and there by achieving the organizational vision.

STEPS:o Setting Organizations’ Objectiveo Evaluating the Organizational Environmento Setting Quantitative Targetso Aiming in context with the divisional planso Performance analysiso Choice of strategy

STRATEGY FORMULATION

Strategy implementation is the translation of chosen strategy into Organizational action so as to achieve strategic goals and objective.

STEPS: o Developing an organization having potential of

carrying out strategy successfully.o Disbursement of abundant resource to strategy-

essential activities.o Creating strategy-encouraging policieso Employing best policies and programs for constant

improvemento Linking reward structure to accomplishment of resultso Making use of strategic leadership.

STRATEGY IMPLEMENTATION

Premium pricing is the practice of keeping the price of a product or service artificially high in order to encourage favorable perceptions among buyers , based solely on the price. The practice is intended to exploit the tendency for buyers to assume that expensive items enjoy an exceptional reputation or represent exceptional reputation or represent exceptional quality and distinction.

A premium pricing strategy involves setting the price of a product higher than similar product. This strategy is also called as skim pricing.

PRICE SKIMMING

Not necessary that youngsters especially students will accept the taste of such flavours

Majority of student community will be reluctant to consume premium tea

POINTS FOR DISCUSSION

These green tea variants are best-suited for health-conscious people with rich antioxidants and low calories

Green tea range brands will be targeting the potential health foods segment

"These refreshing flavours help in hydrating the body, thus giving an energised feeling

LEARNING POINTS

Advertise with brand ambassadors just for the promotion of new product.

Include TWININGS in the menu of Premium Hotels and Restaurants

Start premium cafeteria with the brand name TWININGS

RECOMMENDED STRATEGIES

Redesign packet looking luxurious.

Make contract with Railways and Airways to offer tea in First class

Provide TWININGS Green Tea in VIP cabin on Cricket match

CONTD…

CONTD…

Sponsor tea bag for premium conference and board meetings

Provide sachets and tea bags in Premium Health Club

Doctors can advice Twinings green tea to patients

Twinings will be successful if green tea attracts targeted youngsters to premium tea drinking

According to a company statement, these green tea variants are best-suited for health-conscious people with rich antioxidants and low calories

The company also said that its green tea range brands will be targeting the potential health foods segment

CONCLUSION

http://twiningsindia.com/twinings.html

http://www.indiainfoline.com/Markets/News/Twinings-Tea-launches-Earl-Grey-Green-Tea/4837091798

http://news.alibaba.com/article/detail/food/100148830-1-twinings-launches-two-new-flavours.html

http://www.managementstudyguid.com/strategy-formulation-process.html

BIBLIOGRAPHY

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