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BRITANNIA our own multinational food company

Whenever we go to supermarket to do our monthly grocery shopping we have always seen products stacked are either imported from other countries or manufacturing out sourced here in India . Let it be Pepsi , Coke ,Unilever, Kellogs , Horlics, Cadbury , Nestle --- etc . I was always wondering whether there could be an Indian food company which can match these multinational .With recent takeover s by Lakshmi mittal , Tatas , Birlas , Ranbaxy ,Infosys , Tcs , Videocon we hoped that this will also happen in food industry . Its not that we don't have companies which have potential to become one but I think sheer magnitude of acquiring and competing in foreign land have deterred our companies . To name few
ITC , Parle , Britannia , Amul ,HaldiRam , Dabur --- many more

Britannia 's acquisition of two companies in middle east namely Strategic food international co llc, Dubai ,UAE and Al sallan food Industries ,Sohar ,Oman and recent collaboration with srilankan company has at least taken a lead in food companies to acquire a MNC status, which would give other players a good competition in foreign market .

Britannia with product basket of numerous biscuit and cookies has potential to become a major player in international market .With skilled manpower and R&D in place it can look beyond our shore to compete internationally


Why MNC have failed in Indian Bakery Industry


Indian bakery today stands for Rs 6000 Crore Industry . Since opening of our markets for Overseas companies Bakery Industry is the Industry which these Multinationals have not able to crack where as in other industries they have remarkable presence like Pepsi , Coke , Unilever , Samsung , LG , Panasonic , Nike , Adidas , Citi , Hsbc , Procter and Gamble ,Colgate List goes on ---- . Companies like Excelsia , Unilever , Kellogg's ,Kraft ,United Biscuits ,Ceylon Biscuits , Unibic are either launched / trying to launch their products/ or have very negligible presence .


The reasons which can be attributed to failure of MNC in bakery Industries can be attributed to .

1. Jv These companies have tried to enter Indian market through partners .

2. Indian Competition was stiff from very much entrenched players like Britannia and Parle

3. Pricing done by these companies was on the on the premium side hence didn't get mass market slice .

4. Recipes which were not palatable to Indian tastes . Even Macdonalds and KFC have got Indian variants.

Parle G the undisputed leader in Glucose biscuit

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I was just wondering how come Parle G has maintained its leadership for such long in glucose variety .Even when you had competitors like Britannia presence in market .Major Points which come in my mind are following .

Recipe: Parle G Recipe has been unique and all of it characteristic like bite , baking ,taste and aroma stands different from other brands of glucose. Britannia early response was with a product known as Glucose -D .Now of course they have launched new product called Tiger which has got substantial share of glucose market but yet it has to catch up with Parle -G

It started early .Parle was the one which started glucose biscuit in mass production .

Marketing : Its penetration to entire spectrum of market is envious . You can find Parle G in any corner of India .Of course the packaging with the child with a smile over its pack has won million consumer . The target consumers have been children who are dominant part of consumer base .

Read recent article on Parle g

Britannias marketing strategies




Britannia being the largest manufacturer in bakery segment has developed a very aggressive marketing strategies for its product in view of tough competition from reputed brands and local products .Britannia in recent years has seen low growth in its market share .

Its has first of all categorised its product into 5-6 Power brands ( GOOD DAY , TIGER , FIFTY-FIFTY , CREAM TREATS , MARIE , MILKBIKIS ) and reduced the numerous sku''s it had in its inventory .Each brand has brand manager responsible for the business.

Diversified into dairy , wafers and snacking products through merger and acquisitions . these has given it some breakthrough from its stagnating market share of bakery products.

Now new focus has been for its categories of wellness and indulgence .Wellness concepts has been introduced for health conscious masses as this lobby becomes more vocal and with fear that the bakery products are not considered as nutritious products hence there are several launches as iron/vitamins/calcium fortified and low or zero fat biscuits .Few Brands would come with some form of fortification such as Nutrichoice , Marie , Tiger with few changes in pack sizes and prices .

"Each brand of bakery product has its own storyand history behind them to tell .Bakerybazar intends to discover and unravel these stories before you""



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