A brief market analysis of Britannia Biscuits.

1. GROUP-6:
 G. Saidinesh (20DM081)
 Itika Vashistha (20DM087)
 Juhi Srivastava (20DM093)
 Kartik Garg (20DM099)
 Kunal Jain (20DM107)
 Mahima Agarwal (20DM113)

2. Type: Public Company
Industry: Food processing
Headquarters: Bengaluru
Products: Bakery products, Dairy products and Beverages.
Britannia Industries Limited is an Indian food and beverage company.
Founded in 1892 and headquartered in Bengaluru, it is now part of the
Wadia Group headed by Mr. Nusli Wadia.
It is one of India’s leading food companies with a 100-year legacy.
Britannia is among the most trusted food brands, and manufactures
India’s favorite brands like Good Day, Tiger, NutriChoice, Milk Bikis
and Marie Gold which are household names in India.
Britannia’s products are available across the country in close to 5
million retail outlets and reach over 50% of Indian homes.
ABOUT THE COMPANY

3. MARKET SHARE
Britannia has an estimated market share of
38% across the food products category. It
makes nearly 80% of its revenue from the
biscuit segment.
The major competitor of Britannia Industries
is Parle-G. Between Parle-G and Britannia,
they control over 70% of India’s huge biscuit
market.
According to our research, we found that
Britannia is at 40% while Parle-G stands at
30% of the total market share. These are
followed by ITC, Cremica and Priyagold at
17%, 7% and 6% respectively.
40%
30%
17%
7%
6%
Market Share
Britannia Parle Sunfeast
Cremica Priyagold

4. COMPETITORS ANALYSIS
The primary data collected shows the competition in
the market.
Parle being Britannia’s biggest competitor.
Other small competitors are:

5. BRITANNIA V/S
PARLE
Britannia and Parle have a
neck to neck competition.
For almost every category
Parle has placed their
product in competition.
Covering over 70% of the
market share combined.
Primary Focus:
Britannia - Urban market
share
Parle - Rural market
CATEGORY BRITANNIA PARLE
Glucose Tiger Parle G
Marie Marie Gold Parle Marie
Salty snack 50-50 Krack Jack
Choco chips Good Day Hide n Seek
Milk Milk Bikis Milk Shakti
Bourbon Bourbon Hide n seek
Nice Nice -----
Multi Grain Nutri choice ----
Cream Cream Treat Kreams
Cookie Good Day 2020

6. SWOT ANALYSIS
STRENGTHS:
 Extensive distribution network.
 High brand recall & shelf visibility.
 Diverse brand portfolio for income
groups.
 Market leader in bakery.
 Serving Indian Markets from the
last 102 years.
WEAKNESSES:
 Various brands got commoditized
over time.
 Less overseas presence.
 Lower market share for Britannia in
the dairy segment.
 Low penetration in rural areas.
OPPORTUNITIES:
 Increasing demand for diet & sugar
free biscuit.
 Retaining loyal retailers &
wholesalers.
 Targeting Interior area of India.
THREATS:
 Competition in the market.
 Price of raw material.
 Buyers’ power.
 Local bakery products.

7. PESTEL ANALYSIS
POLITICAL:
◂ Exemption on Customs Duty on Sugar
Raw Material Import.
◂ VAT on Biscuits.
◂ Removal of Import Duty on Dairy
Products.
ECONOMICAL:
◂ Shortage of Milk.
◂ Requirements for Logistics.
◂ Requirements for Logistics.
SOCIAL:
◂ Need for Healthy Eating Habits.
◂ Problems with Cloned Livestock.
◂ Demographic Trend.
TECHNOLOGICAL:
◂ New Age Packaging.
◂ Mobile Phone & Internet Penetration.
◂ Research and Development Investment
Levels.
ENVIRONMENTAL:
◂ Change in the Climatic Conditions.
◂ Focus on Renewable Technologies.
◂ Policy of waste management.
LEGAL:
◂ Health and safety laws.
◂ Raising the Norms for Probiotic Food.
◂ Level of protection that intellectual property
rights.

8. 4 P’s of Britannia Biscuits
Product Strategy:
◂ The product line
depth is highest for
biscuits.
◂ 90% of their
revenue comes
from biscuit
segment.
◂ The three types of
products are :
◂ Core products
◂ Actual product
◂ Augmented
Product
Pricing Strategy:
◂ The base of Britannia’s pricing
strategy is competitive pricing
strategy.
◂ Middle class people, who are
highly price sensitive, forces
Britannia to play price war with its
competitors.
◂ Britannia’s key pricing
strategies:
◂ Competitive pricing
◂ Product line pricing
◂ Bundle pricing
◂ Value based pricing.
Place & Distribution
Strategy:
◂ Low Rural
Penetration.
◂ Online segment, tie
ups with large
ecommerce
organizations.
◂ High dependence on
distributors via whom
dealers and retailers
are involved in
distribution channel.
Promotion &
Advertising
Strategy:
◂ Advertisements
through Television,
print media and
billboards.
◂ Agreements with
famous personalities
as brand
ambassadors.
◂ Major promotions
through Sports
sector.

9. SEGMENTATION, TARGETING AND
POSITIONING
SEGMENTATION:
Britannia does segmentation
considering AGE GROUPS,
OCCASIONS, BENEFITS:
 AGE GROUP: Different products for
different age groups.
 OCCASSIONS: Britannia’s “shubh
kaamnayein” is for special occasions
like festivals such as Diwali.
 BENEFITS: Products like Britannia
Tiger, Milk Bikis are healthy and
nutritious.
TARGETING:
Britannia follows full market coverage pattern of
target market selection. It has differentiated
marketing pattern i.e. it operates in several market
segments and design different products for each.
POSITIONING:
Positioning in Britannia is done through
USE,PRODUCT CATEGORY and BENEFIT.

10. PRODUCT ANALYSIS
Britannia Bourbon and Good Day are
the most preferred Britannia biscuits.
Cream and butter biscuits are among
the most preferred types of Britannia
products.
Taste and quality were among the most
important purchase consideration factors
as per our 147 respondents with 95% and
86.39% responses respectively.
On analysing the consumer purchasing
behaviour- 58.1% purchased once a
month, 31.1% respondents purchased
once a week and rest 10.8% purchased

11. PRICE
ANALYSIS
Britannia adopts a competitive
pricing strategy. 72.78%
respondents were satisfied with
Britannia’s biscuit prices, with
Parle, a close second at
69.38%.
70.74% respondents considered
price as one of the most
important factors among the
other factors while buying
biscuits.

12. PLACE ANALYSIS
As per the retailers’ response, Britannia
follows FMCG channel of distribution
for its biscuits segment.
36.7 % of consumers buy Britannia
biscuits from General stores near to
their places , 35.4% consumers buy it
from local Kirana stores. Rest 27.9%
prefer to buy from supermarkets,
wholesale markets etc.
64% respondents believed that
availability of products is also an
important factor for making the
purchase decision.

13. PROMOTION
ANALYSIS
91.8% respondents majorly got to
know about Britannia biscuits from
television advertisements along with
other sources like Newspapers,
Hoardings, Family etc.
Britannia has high advertising
spends on Good Day and Bourbon.
As per the retailer’s responses,
Britannia’s promotion differentiates it
from its competitors.

14. RECOMMENDATIONS
◂ Britannia should opt for forward integration.
◂ Opening dedicated Britannia outlets at strategic locations to
gain SCA (sustainable competitive advantage).
◂ Increasing their reach in rural area by improving their
distribution channels.
◂ Break the monotony and introduce new flavors. Over the time,
Britannia has introduced various new flavors to stay competitive
now also it should keep on analyzing customers taste and
preferences to come up with new flavors.
◂ Many retailers are not promoting Britannia biscuits to their
customers as the profit margins are low. Thus, Britannia should
also focus on keeping its wholesalers and retailers happy and
satisfied by providing larger profit margins.

16. THANK YOU