Juice Market Analysis-Tropicana &Competition

Vaibhav Jain

PepsiCo
Global Headquarters: Purchase, N.Y. Fortune 500 Company Employees: Approximately 285,000 worldwide Chairman & CEO: Indra K. Nooyi

Vaibhav Jain

F.M.C.G Industry Snap-Shot

Indian FMCG industry size estimated at around US$ 25 bn.

Steady double digit growth in the sector

Personal care & Food products dominate the sector

Many categories are currently small and offer huge potential

Rural India contributes 33% of the overall FMCG sector

Vaibhav Jain

Category Wise Share of the Sector

otc product baby Care 4% 2% hair care 8% fabric care 12% personal care 22% H/hold 4% other 5%

food product 43%

Source: AC Nielsen

Juice Market-Industry(India)
Indian Juice industry pegged at Rs 600 Crore Major Growth Drivers

Health Consciousness

Disposable Incomes

Sophisticated cocktail culture

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Product Information
Tropicana-Impulse Buy

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Fruit Content Decreases,water content increases,Price decreases

Nectar Fruit Juice

Packaged Fruit Juice
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Drink

Daburs Real a real challenge

Daburs Real Main Competitor
Comes in two Variants Nectar & Active

Daburs Real-First Mover Advantage

Tropicana following catch up policy

Daburs Real Market ShareDelhi 60% Tropicana Market Share Delhi-20% Tropicana s Aim is to fill the gap of 40%
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Market under Scanner:-Karol Bagh

Karol Bagh Tropicana Status
No Juice Market Real Only Tropicana Only Both Present

Gatorade Availability StatusKarol Bagh

Shops Gatorade Present 11%

13%

3%

54%

30%

Shops Tropicana Present 89% No Juice Market Gatorade Present

Shops Covered

Tropicana Only

Real Only

Both Present

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Market under Scanner- CP

C.P -Tropicana status Gatorade Cross Selling Status
real only 6% no juice 21% Shops Gatorade Present 11% trop only 46%

real+trop 27%

Shops Covered

No Juice Market

Tropicana Only

Real Only

Gatorade Present

Shops Tropicana Present Both Present 89%

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Distribution Cycle
Factory

Carry and Forward

Distributor

Modern Trades

Wholesalers

Retail Trade

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Consumers

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Recommendation
Cover all the market gaps in order to take pie of hidden business worth 47Lakh INR according to sample size. Execute plan of estimation exercise to reap benefit of 38Crore Hidden Sales for Tropicana and Rs 1.8 Crore for Gatorade in one year. Tap in more and more institutes like hotels, schools, offices, gymnasiums. For sales of Gatorade follow O.S.O.S -ONE SHOP ONE SAMPLE principle
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Continued
Have a retailer competition where retailer who will sell maximum juice in month will get a prize. Promote Upselling -accelerate cross selling

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Continued
Make Distributor Happy Give him Credit-15 days Make Replacement Policy Simple Provide IT enabled application to streamline process

Work On Attrition Rate of Distributor to increase trust of Tropicana in heart of Retailers

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Strengths
High Quality product -Great Nutritional value Gatorade-Worlds; No 1 fitness drink @ affordable prices Tropicana great value to retailer-15% margin Gatorade great value to retailer -18% margin Rising health awareness among customers

Weaknesses
Dabur's Real ubiquitous across Delhi Market Following Catch up Policy Market Gaps Attrition rate of Distributor @West Delhi Lact I.T infrastructure at Distributors end

Opportunities
Untapped markets of T.T serves as base for new untapped business-chandni chowk, Sadar bazaar Latest Promotions increasing Brand Awareness among Consumers Great Potential -Institutions-Colleges, Schools, Gymnasiums Common wealth games-Gatorade

Threats
Pirated Products Cheap variant of juices Inflation-rising prices of Commodities

 Thank You

Vaibhav Jain

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