Product Strategy – ITC (Bingo)

Product DifferentiationForm : ITC has done the packaging such that the product attracts the buyer.It launched packs with different quantity keeping in mind the specific consumer demand.

Product Differentiation

Customization :

products like potato chips, Mad Angles and Tedhe Medhe, sells in close to 6.5 lakh shops and outlets in India, with over one lakh new shops being added every year.

According to industry estimates, the organised market for snacks in India is valued at more than `4,000 crore, with finger snacks and chips alone - the space where Bingo is present — accounting for Rs2,500-3,000 crore.

Product Differentiation

Bingo positioned itself as indian twist.16 flavours were introduced at launch.

Initial offerings were mix of potato chips and finger snacks.

Potato chips segment includes variants like masala,salted tomato inspired by snackings habits of the indian consumer.

Product Differentiation Offerings under Finger snacks included the pakoda inspired “Live Wires” and Khakra inspired “Mad Angles”.

Offerings were further differentiated by providing SKU’s at Rs.5,Rs.10 and Rs.20.

Distribution and Services Differentiation

ITC had already well established distribution network through cigarette and tobacco related offering which was leveraged in case of Bingo.

Company distributed 4 lakhs racks across all retailers to display brand at all Point of sale.

Within 6 months Bingo was available across 250000 retailers across country.

Distribution and Services Differentiation

Crucial alliance with Future Group lead to all future group retail outlets like Big Bazar,Food Bazar.

Hotels,Restaurant,Cafes,Local betel shops all being used to distribute Bingo to a wide range of audiences.

Launch Strategy Strategically timed around the World Cup.

ITC booked 10 to 15 spots per channel per day,20 spots on radio stations supported by 1000 of hoardings.

Around 100 crores were spend initially in 6 months for advertising.

While its competitor Fritolay focuses on celebrity endorsements, Bingo chose a different route. It didn’t have an ambassador!.

Launch Strategy As the product is aimed at the youth, digital media was heavily used. For instance, the Bingo National Gaming Championship across 4 cities with more than 25,000 participants

Bingeonbingo.com and Mad Angles Twister Application (Facebook) were other initiatives in online media.

Product Line AnalysisMarket Profile : The category of snacks is characterized by a few organized players with limited offerings but the unorganized sector continues to rule the market. However, the organized sector is one of the fastest growing FMCG categories with an estimated growth rate of 30% annually.

The organized snacks category is sub-divided into the traditional segment (Bhujia, chanachur etc.), Western segment (potato chips, cheese balls etc.) and the newly established Finger snacks segment, which is an adaptation of traditional offerings to the western format

Product Positioning Bingo! positioned itself with its Indian flavors such as

TandooriPaneer, Tikka, Spice Paneer etc.

The offerings under the Finger Snacks segment are unique and innovative.

The segmentation was done mainly on the basis of age.

Bingo! is positioned as a youthful and innovative snack, offering the consumers with choice in terms of both formats and flavors including Local tastes.

PricingProduct Line Pricing:

The main objective for ITC was to compete effectively with players who were already there. Hence, it launched a direct frontal attack by introducing similar priced SKU’s.

ITC already enjoyed cost advantage over competitors through its e-choupal initiative. This also facilitated timely supply of raw materials.

ITC’s printing and packaging business also lead to high-quality, cost-effective and innovative packaging.

OthersThe launch of Bingo represents ITC Foods' fifth major line of foods business after the highly successful Staples, Biscuits, Ready-to-Eat and Confectionery businesses.

Bingo! Potato ChipsPotato Chips - Variants Product DescriptionPremium Salted Salted crunchy potato chipsInternational Cream N Onion Unique combination of cheese, cream and

spring onion on potato ChipsRed Chilli Bijli Potato chips spiced up with red-hot chillies

Spicy Masala Remix A mix of spicy masalas on potato chips.

Juicy Tomato Ketchup Succulent, ripe tomatoes on crisp and crunchy potato chips

Pickle Tickle Tongue-tickling combination of achaari lemons and potato chips

Fiery Red Tomato Potato Chips smeared with dry red chillies and red tomatoes

Oye Pudina Combination of crunchy potato chips and sprinkling of fresh Pudina leaves

Bingo! Mad Angles

Mad Angles Variants Product Description

Mad Angles Tomato Mischief A combination of khakra-like crunchy triangles with tangy tomato flavour

Mad Angles Chilli Dhamaka Crunchy triangles with a taste of chilliesMad Angles Achaari Masti Mouth-watering combination of Mad

Angles and sweet-sour mango pickle

Mad Angles Masti Chaat A chaat flavor that you can savour without having to stop by the galli ka chaatwaala. The perfect combination of fresh pudina, tangy tamarind, creamy yogurt and of course, the perfection of khakra triangles.

THANK YOU

SL # Name Roll Number1 Abhijit Roy IPMX050012 Abhishek Ambhastha IPMX050023 Hemendra Singh IPMX050184 Indranil Chakravorty IPMX050195 Shekhar Kumar IPMX05053