marketing product nitesh

PARTAGE

By; Neetesh Tiwari

SPIRITS TRENDS IN INDIA

Indian imported spirits are growing 25% yearly and it is estimated that Indian spirit imports will soar to five million cases by 2015

88% of alcohol consumption in India is spirits, while 10% comes from beer and only 2% from wine.

Whisky remains the most widely consumed imported spirit in India. A minimum price has recently been placed on vodka, doubling the price of the cheapest brands.

Rum has potential to attract new drinkers, being the drink of choice for young adults who wish to seem rebellious.

INNOVATION

All of the major producers are innovating, redefining and creating new categories in the spirits industry

In the US, flavors are the fastest growing part of the

vodka category Mixed-category variants have started to appear,

with different spirits combined in the same product

Packaging has evolved, increasing consumer convenience

PRODUCT

PARTAGE – an RTD Product

+ =

PRODUCT MIX

Coke + Spirit =200ml , 500ml , 1L

Orange + Spirit =200ml , 500ml , 1L

Lemon + Spirit =200ml , 500ml , 1L

Soda + Spirit =200ml , 500ml , 1L

PRODUCT MIX

Coke + Vodka =200ml , 500ml , 1L

Orange + Vodka =200ml , 500ml , 1L

Lemon + Vodka =200ml , 500ml , 1L

Soda + Vodka =200ml , 500ml , 1L

PRICE

200ml = 185 Rs.

500ml = 400 Rs.

1L = 780 Rs.

Spirit Vodka200ml = 220 Rs.

500ml = 500 Rs.

1L = 950 Rs.

PLACE

Pubs Restaurants & Resorts Wholesalers & Retailers Bars Malls

PROMOTION

Controversial Beginning Press release Sponsors to Pubs & Parties New year Parties Tie Ups with New year Events Music CD’s Social Media – FB Twitter

PRODUCT SEGMENTATION

Flavors Cola Mix Lemon Fanta Soda

Bottling Glass Bottles Cans Shots

TARGET MARKET - POSITIONING

Cola – All Age groups - 18+ Fanta Mix – 18+ Positioned as Female’s

drink

Bottling Glass Bottles – Parties, pubs etc Cans – Travel Friendly Shots - Youth

BUDGETING

3 crore for clearing license 50 Cr. To setup industry 5 Cr. For promotion 5 Cr. For opening outlets

Total cost =63 Cr.

BUDGETING

Manufacturing cost for vodka per liter= 125 Rs. Manufacturing cost for spirit per liter =100 Rs. Drinks per liter = 15 Rs.

Total cost per liter for vodka= 140 Total cost per liter for spirit = 115

MANUFACTURING COST

200ml =28 Rs.

500ml =70 Rs.

1 L = 140 Rs.

200 ml = 23 Rs.

500ml = 58 Rs.

1L = 115 Rs.

Spirit Vodka

PROFIT

200ml =135 Rs.

500ml =300 Rs.

1 L = 600 Rs.

200 ml = 180 Rs.

500ml = 440 Rs.

1L = 800 Rs.

Spirit Vodka

PROFIT

900L 1st month =600*900 =5,40,000 2000L 2nd month =600*2000=12,00,000 3500L 3rd month =600*3500=21,00,000 5000L 4th month =600*5000=30,00,000 8000L 5th month =600*8000=48,00,000 10000L 6th month

=600*10,000=60,00,000 In six month total profit=1,76,40,000 In 1 year total profit = 4,76,40,000

Spirit

PROFIT

900L 1st month =800*900 =7,20,000 2000L 2nd month =800*2000=16,00,000 3500L 3rd month =800*3500=28,00,000 5000L 4th month =800*5000=35,00,000 8000L 5th month =800*8000=64,00,000 10000L 6th month

=800*10,000=80,00,000 In six month total profit=2,95,00,000 In 1 year total profit =7,75,00,000

Vodka

BREAKEVEN ANALYSIS

1st year over all profit =12,21,40,000 so in 5 year =61,07,00,000