Fastest Growing Cities in INDIA
Amritsar, Meerut, Lucknow, Bhopal, Ludhiana, Jamshedpur, Vadodara, Kanpur,
Coimbatore, Nagpur, Jabalpur, Visakhapatnam
EDIBLE OIL CONSUMPTION TREND
Coconut, Palm, Safflower, Sunflower, Corn, Groundnut, Rice bran, Soya, Mustard,
Canola
Olive Oil Sector Growth in India
Types of Olive Oil
Olive Oil
Extra
Virgin
Virgin
Pure
Pomace
Lite
Future of Olive Oil in INDIA
The President of the Indian Olive Council, Mr V N Dalmia, has
given the following demand growth projections for the Indian
Olive Oil market
YEAR
PROJECTED TOTAL INDIAN IMPORTS OF OLIVE OIL
2012
42,000 tonnes
2015
62,000 tonnes
SWOT Analysis
Indian Economy has registered
growth rate of 4%
Indian Olive Oil Market growing
at 40% p.a.
Changing Preferences &
Improving Lifestyle among
Indian Consumers (Health
Plank)
Absence of domestic production
Large Scale Ignorance of Benefits
Conventional Edible oil as
Cooking Medium
Relative Price Differential
Import Duty on Virgin Olive Oil
has reduced to 0 with effect
from Feb,2009
India is largest importer of Edible
Oil (5 million tonnes)
Olive plantation & subsidies
from states have initiated
Customer Acceptance
Affordability
Reach
Competition
Pain Points Indian Consumer
Strong flavor
Low Smoking Point
Not suitable for Indian cooking ( Frying, Deep
Frying)
Challenged by High Prices ( 4 times the edible
oil)
Ignorance about the Usage
STPD Analysis
Segmentation-:
Geographic
Demographic
Behavioral
Indian
Middle Aged
Health Conscious
Urban People
Male/ Female
Change in Lifestyle
& Preferences
Middle or High
Income Group
Working
Professionals
Target Customer
Rich/affluent -: 10 million households
Middle classes-: 80 million households
Aspiring middle classes-: 100 million
households
Poor 50 million households
(Source - Indian media) 2015
Positioning
We offer Edible Olive Cooking Oil that suits
the style of Indian Cooking and cater to the
cooking needs of Indian Masses, for age group
between 20 to 55 years.
Differentiation
Blend of Sunflower and Olive Oil
80% Sunflower and 20% Olive Oil
High Smoking Point
Suitable for frying & deep frying
Flavorless Variant
Same beneficial fat composition
80% of mono saturated fats ( good fat that
reduces bad cholesterol)
Competition
Marketing Mix
Product
Our product will be offered in
1 liter pack,2 liter pack,5 liter &
20 liter tin (SKUs)
Design of product would be
Attractive
USP of our product would be
easy to pour nozzle
cap
Introduce Pomace, Push Lite and PAN INDIA Launch of
Blend
Marketing Mix
Price
The Olive Oil would be introduced in the market at the MRP for
different SKUs
The MRP (Maximum Retail Price) is printed on the label of the package
and is known to all the players in the value chain.
The general consensus in the industry is that supermarkets operate on
a 20% profit margin. Major stores operate on around 15 -17% margin
The distributors markdown profit generally ranges from 10-12%
Marketing Mix
Price
S.No Name
1 Borges Extra Virgin
2
3
Pack (in Ltr)
1
2
Borges Virgin
1
2
Borges Lite
1
2
5
Borges Pomace
1
2
5
Borges Blend (Tasty)
1
2
5
20
MRP
1500
3040
1100
2240
750
1540
3790
500
1040
2540
180
400
940
3660
Marketing Mix
Place
Product would be launched PAN INDIA
It will be available in every major city, fastest
growing cities in India at modern trade outlets,
supermarkets & key retailers
Channels of Distribution
OVERSEAS EXPORTER
INDIAN IMPORTER
LOCAL DISTRIBUTOR
SUPER MR.KET/FOOD STORES
CONSUMER
Two critical aspects of Supply Chain is Logistics Management
& Vendor Management
Marketing Mix
Packaging
Packaging would be attractive and bottle will be made of high
quality plastic
We would be printing a health tip for keeping your heart healthy
on each bottle that will be produced
We will be providing sample bottles for trial purpose that will be
done in selected stores
Marketing Mix
360 Degree Promotion
Newspaper
Magazines
Social Networking Sites
Radio
Television
Internet ( Social Networking Sites )
Broucher's
Bill boards
Promotional Event
Budget Plan(2014)
S.No Name
1 Borges Extra Virgin
2 Borges Virgin
3 Borges Lite
Pack (in Ltr) MRP
Volume Revenue
1
1500
85000
127500000
2
3040
25000
76000000
1
1100
115000
126500000
2
2240
80000
179200000
1
750
12000
9000000
2
1540
90000
138600000
5
3790
90000
341100000
Total Revenue
Expenses A& P @10%
Selling & Admn@6%
Gross Market Contribution=
99790000
59874000
Total Revenue-(A&P+S&A)
838236000
Gross Market Contribution %= GMC/TR*100
84
203500000
305700000
488700000
997900000
Sales Plan for Borges
Assuming we have not changed the MRP , focus is New customers and Strong Distribution
(Revenue would be generated from Volume)
Timeline
100
2014
150
2015
224
2016
FY 2013-14 Current Sales= Rs.100 Crore
FY 2017-18 Sales Required = Rs.500 Crore
Required CAGR= 50%
334
2017
500
2018
Revenue (In Crore)
Year
Product Diversification
Thank You!!
