Marketing and Soft Drink Concentrate Essay

The cross out Rasna is own by Pioma Industries that introduced the concept of Soft bedevil Concentrate (SDC), a segment that had been created and nurtured by the comp some(prenominal) in the Indian beverages Market. The brand was origin totallyy launched by the name of Jaffe in 1976 and commercialiseed with the help of Voltas, just was renamed to Rasna in 1979. When the carrefour did not do as wellhead as it was expected, in 1983, the advertising was handed everyplace to an advertising agency named Mudra Communications Ltd. Pioma Industries Limited is perchance not a familiar name for the average Indian consumer.But Piomas brand Rasna is rattling well know. In fact, the name Rasna is almost a generic name for delicate drink shortens in Indian beverages grocery store. Rasnas extremely popular advertisements with the tag melody I love you Rasna had be accrue an integral part of the Indian advertising folklore. In March, 2002, Pioma announced a radical overhauling of its str ategies for the Rasna home run. This development was rather unexpected, as the brand had been lying dormant since broad. Rasna is the market leader in the 250 Crore Indian soft drink concentrate manufacture. The SDC industry is little comp bed to the 5000 crore carbonated soft drink industry (CSD).The powdered soft drink concentrate industry is expgoaliture around 90 crore. During the 80s, Soft Drink Concentrate (SDC) was not a known concept. For the consumers, Soft Drinks were scarce the aerated drinks which could be purchased in bottles and were usually consumed outdoors. Rasna came, and changed the whole mind set. COMPETITORS IN THE MARKET As the pi unmatchableers in Concentrated Soft Drink Industry in India, Rasna, never had to face any threatening from any of its competitors, be it a global player or a small local attach to.Powder concentrate occupy 85% of the total soft drinks concentrate market. Here, in this study, we ar considering both Powder and syrup CSD as comp etition for the Brand Rasna. Following are some of the competitors who tried to make their mark in the 250 Crore Indian soft drink concentrate industry 1. shot- Kraft Foods. 2. Sunfill- Coca Cola. 3. Fanta Fun Times- Coca Cola. 4. Sugarfree Dlite- Zydus Cadila. 5. Kissan Mr Fruit- Hindustan Unilever. The journey of a brand is not ceaselessly easy. The market is very dynamic and a brand needs to keep a track of the changes in the market. Rasna had to face such challenges too.But it is the resurrection this brand has shown, by dint of strategic marke put forwardg, in all instances that makes it stand out and lead the market. MARKET SHARE Rasna has always been prize at large for Brand and Company. It ranks no 1 in the beverages menage as Most swear Brand of India. It is listed among the top 15 brands in the estate. It was awarded as the most preferred brand in the SDC category at the FMCG Most Preferred Awards 2003 and 2004 and Consumer World Award 2004. It has pioneered not on ly with its steadfast marketing strategies but also with its proper scaled dispersion chain.Rasna has always concentrated on its marketing and brand expression and has achieved an expertise in timber technology. Its efficient management in production and market environments has harnessed to vex to the global consumers, technologically superior products in fruits, vegetables, beverages and confectioneries and to stand as the leader in processed forage industry. Rasna has adequate and in-depth knowledge and information on Market sizes and behaviours, Growth prospects, Project Viabilities, Government Policies, Finances etc.and adit to more, enabling the federation to respond fast to any proposal with suitable recommendation.It believes that there is a ample and emerging market for Rasnas kind of product range, all over the world. Rasna is capable of managing global coat manufacturing set-ups working on the most advanced technologies to cater to the huge markets, locally and g lobally. Rasna has managed to dominate the colossal SDC market because of its hoi polloiive International operations. One of Rasnas biggest strength is its marketing and sales set-up, through which millions of customers worldwide is experiencing the flavour of satisfaction.It provides a strong and pro-active marketing support to its distributors and importers around the world- just so that their products stand out and by on the shelves. Timely delivery schedules of its products anywhere in the world are what have helped them to reach a strong position in the global market. Rasna has its offices in the following countries * USA and Canada * UK and Europe * Saudi Arabia * Russia * Fiji This strong chain of distribution to large number of countries within a stipulated period of time has helped the brand summation a reputation in the market.It has also helped Rasna in creating enormous business relations all over the globe. The countries which imports Rasna products globally are as under In recent years, the brand has had to face off challenges, though not from its direct competitors. International soft drink giants like Coca-Cola (Sunfill) and Kraft Foods (Tang) have introduced competitor products in the market. PepsiCo India too is gearing to launch a glucose-based ready-to-drink beverage under the Lehar brand that will be exchange at price point of Rs. 5 for a 200 ml stock-keeping unit.All of them have cryptic marketing pockets and standard products to lure customers away from Rasna. all the same the profile of Rasnas station audience is changing. Kids like a shot are a lot more aware, and their parents dont mind buying more overpriced ready-to-drink products, which the MNCs have. But, true to its entrepreneurial spirit, Rasna is not about to give any ground to its rivals. Though some analysts purport that Rasna has been slow to react to the competition, Piruz Khambatta, Chairman, Rasna, still dismisses the challenge articulateing water is our only competition. According to the 2010 data, Rasna leads the SDC market.The market shares of Rasna and all the competitors are as follows * Rasna- 97. 2 % * Coca-Colas Sunfill 2% * Sugarfree Dlite- 0. 2% * Kissan Mr Fruit- 0. 1% and * Tang- 0. 5%. COMPARTIVE learn ON 4 Ps SCALE The Marketing Mix Here in this study of the Brand Rasna, we are comparing the brand with its competitors for sale in the market on the scale of the 4 Ps. The 4 Ps of the marketing mix are 1. Product. 2. Price. 3. Promotion. 4. Place. Product Line of Rasna Rasna began with 9 flavours in 1982, and added the 10th in the year 1987. The company was revamped in the year 2002.* In 2002, Rasna changed its look and came up with a new logo. * The tagline of the company was also changed and with a new tagline Relish a Gain, Rasna has tried a deep discernment in the rural and semi-urban market. The recent product line of Rasna is as follows Name Pack Size tanginess Price () Rasna Frootfun 32 eye glass Orange, Mango, lemon, Pinaple 35 Rasna Frootfun 12 glasses Orange, Mango, Lemon 10 Rasna Freshfun 32 glasses Shahi Gulab, Keshar Elaichi, Kool Khus, Cola Cola 35 Rasna Freshfun 12 glasses Shahi Gulab, Cola Cola 10 Rasna 1 ka 2 2 glasses Orange, Mango, Lemon 1.Rasna FrootPlus Jar 500 grams Orange, Mango, Lemon 85 Rasna FrootPlus liberation 750 grams Orange, Mango, Lemon 105 Rasna FrootPlus Pouch 500 grams Orange, Mango, Lemon 75 Packing Details The operating product line of Rasna consists several sku. The company follows diverse acquire size on carton basis. These band sizes may switch depending on local market demand. The following table will give a general imagination of the pack sizes. Sr. No. Product Units per Carton 1 Rasna Instant Drink (powder beverages) Laminate Pouch Packings A 3 gm pop pack 50*60.B Single Serve pouch pack (12 gm pouch-orange) 10*12*6 C 25 gm single practise sachet 12*2*12 D 250 gn make full packs 36 E 500 gm refill packs 24 F 750 gm petty(a) refill packs 15 G 1 kg standby refill pack 15 H Litro packs 1 ltr 12*10 Glass Jar Packings A 250 gm glass stimulate 40 B 500 gm glass jar 20 C 750 gm sleek glass jar 15 Plastic jar packing 1 kg 15 OTS tin Packing 900 gm tin 15 1. 5 kg tin 6 2. 5 kg tin 6 2 Litro Pack Instant Drink Pouch suitable to make 1 litre 12*10 3 Gofrut Instant Drink (5gm pouch) 72*10 4 Shakeup Instant Drink . 25 gm single serve pack 24*30 150 gm standby pouch 108 5 Rasna Lite 250 gm jar 15 6 Rasna Soft Drink Concentrate 32 glass pack 200 7 Rasna Single Serve Iced Tea 9 gm 14*24*20 Whereas Rasna has so many a(prenominal) different varieties of drinks (flavours) and in so many different sized packets its competitors are lacking behind in both flavours and availability of different quantity packs. The Price of Rasna Accessing all socio-economic class Rasnas sole closing has been always to make profit with the volume sale. The pricing strategy has always been the appoint of Rasnas success.It targeted the mas s rather than the class. * Rasna has always made its products in such a way that it can be kindly to all socio-economic classes. * Its volume sale starts at as low as 1 popular in the name of 1 ka 2. * The added sugar product Rasna Frootplus starts from 2 and goes up to 105 for the family pack. * The box pack has a starting price of 10 which can make 12 glasses of drink and is known popularly as 10 ka 12. * The family box pack is available at 35 which is enough for 32 glasses of water. * Rasna has some skus which are very interesting for regular use.The air tight jar has different pack size with price range starting from Rs. 75. The company is constantly focussing on the rural market of India. So, accurate pricing is very important for the companys produce. For Rasna, accurate pricing has been the key growth driver. They understood that the Indian market is highly segmented. And making products targeting each segment has helped a lot. Whereas pricing has been the key growth factor for Rasna, the competitors have not been able to enjoy that benefit of pricing. Only Tang is available at a sachet of 2 which is again meant for making 1 glass of drink.Likewise, the other competitors cannot even come close to the pricing strategy of Rasna. Promotion Adding an Emotional Touch Rasna has from its inception relied heavily on advertisement. The notable mass media campaign, I love you Rasna was one of Indias longest running TV ad. * The onward motion of Rasna always highlighted a strong connection with its customers through brand association. * Rasna has always created a brand value by emotionally attaching the customer to their brand. * Focus of the promotion is always to promote the quality of Rasna.* Rasna spends a lot on Research on the target audience, and promotes there products accordingly. * Rasna has used child characters in their advertising campaigns, and through them the company emphasised on the quality of products which was an useful way of promotion. * Rasna has done a great deal to infer the pain of summer and to deliver a product which will ease the pain. This kind of unique and modernistic marketing ideas and campaigns made Rasna the monopoly in the Soft Drink Concentrate industry till the time the competitors entered the market.Even now, no brand has been able to beat the promotional campaigns of Rasna. Going by the set standards of Rasna, we can say that the competitors have spent very less time and money understanding the Indian market and the promotional activities that works in the India. Place Distribution Channel of Rasna The distribution bestow of Rasna follows 3 to 5 degree arc completeecture. It follows the Super-Sub concept of distribution. The steps are as follows 1. First the product produced in a factory which is strategically located to minimise the transportation cost.2. The packed product is sent to various company depots across the country to distribute and meet the respective market demand. 3. From the c ompany depot, the product is delivered to the different super stockists according to their antecedently placed order. 4. Then the goods are sent to the sub stockists or in some cases to the wholesale store. 5. The secondary sale from the super stockist or the sub stockist is ensured by the constant monitoring by the company personal. Rasna follows different distribution channel model according to local market demand.But for every model the end goal of the company is to deliver a quality product to the end user. With a distribution channel consisting of 35 depots across the country and 1. 8 million retail outlets Rasna is bound to be the leader. Among the competitors the only one that has a good and competitive network of distribution is Sunfill by Coca Cola, but still they are not able to compete as availability with retailers is not as widespread as Rasna. emulous ADVANTAGE The competitive advantages of Rasna are listed below* Being the Pioneer in the market Rasna is well known an d very much trusted in the Indian market. * Being in the market for a long time, Rasna knows the Indian try the best. * Having 7 state of the art production units across the country, the production is never ill for any reason. * Because of the widespread distribution network, it is more close to the public. * The marketing strategies used by the company are of superior standard. * Last but not the least, the pricing of the product, which is so low that it is affordable by the net segment of the pyramid also.The competitive advantages of Tang are * Being one of the largest brands of the world, Tang has the sustainability even if it is hit at the beginning. * Tang is available in variety of flavours based on local consumers preference. * Tang is fortified with vitamins and minerals. * It is available as powdered and ready to drink bottles. * The powdered Tang is available at low cost. The Competitive advantages of Sunfill are * Being a brand owned by Coca Cola, the distribution cos t is cheaper, so can offer the product at a low and competitive price.* The apprehension is superior compared to other competitive brands. * Setting up of a production unit close to the target customer segment will help in better marketing. * The company can spend warm amount on advertising and promotion. The Competitive advantages of Sugarfree Dlite are * It is a brand owned by a medical company, so people have trust in the product. * It contains no sugar, so it is healthier. * Has medicinal advantages. * Helps in controlling blood sugar level, at the same time gives the pleasures of a soft drink.The Competitive advantages of Kissan Mr.fruit are * It is there in the market for a long time, so knows the customer taste and preferences. * Tastier than many of the competitor products. * Supply chain is quite strong as its a product owned by Hindustan Unilever. SUGGESTIONS FOR GAINING UPPER MARKET SHARE As we conclude the study on the No. 1 Soft Drink Concentrate in India, Rasna, I ha ve the following suggestions to make so that the company can gain more market share and continue to be the leader of the industry Product- In terms of product, the following can be done1. sweat to minimise waste in production, so that the cost of production comes down further. 2. Venture into new products, like ready to drink bottled drinks. 3. Try producing sugar free products so that even a diabetic patient can enjoy the drinks. 4. health drinks and energy drinks is another field where the company can venture into. 5. Backward integration is another resource that can be suggested to minimise the cost of production. Price- the Company can be more price effective and in turn can gain more market share if, 1.More products are offered in the lower price category. 2. Price be reduced for the larger quantity cartons or bottles. 3. New and prior products are sold for lesser price so that people are interested in laborious the new things. Promotion- In terms of promotion, the company can follow the following suggestions 1. Use newer and cheaper modes of advertisement, like the brotherly networking sites. 2. Spend more on Banners, posters, Hoardings. 3. Stop the use of sportspersons and celebrities, as the same doesnt have a long standing effect on the general public.4. Remove the time lag between the promotion and the availability of new products in the market. Place- Place plays a vital role in the success of a company or a brand. The following are my recommendations for improving the market share 1. Go to the newer dominance places which have not been tapped earlier. 2. The untimely dispatch of goods from the depot to the super stockist needs to be taken business organisation of as it may lead to cancellation of order bookings. 3. Unavailability of goods at certain periods needs to be taken care of with a proper distribution control.4. Promotional events along with the distribution of brochures, stickers and leaflets should be done through sub-stockists a nd retailers which will help in increasing the brand value.References During the preparation of this project, help and references has been taken from many blade sites and blogs and articles. They are mentioned here -Rasna Pvt Ltd. Official site. -Wikipedia-the free encyclopaedia -Puneet Tandon Blogs -Economic Times -Times of India Articles -4psbusinessand marketing. com.