MARKETING PLANNING

STP STRATEGY OF HERBAL BISCUITS

Prof. Biranchi Narayan Swar

By Group A5

 A Mohan Sai (20PGPM001)

 Prashant Purohit (20PGPM029)
 Riya Sharma (20PGPM041)
 Sagyanrth Mahapatra (20PGPM044)
 Sayantani Boral (20PGPM047)
 Sourav Singh (20PGPM054)
 Vishal Kumar Singh (20PGPM066)
 Table of Contents
 Introduction
 Current trends in product market
 Covide-19 impact & demand in consumers
 Company Profile
 STP Strategy
 Future Trends
 Conclusion

 Introduction
Biscuits are the most consumable wheat-based bakery product. They are highly nutritious,
easy to digest, compact in size, can be preserved for a long time and are easily and cheaply
transportable over a long distance because of their lightweight.

The shift in consumption trend towards bakery products, including sweet biscuits, have given
a boost to the biscuit market. The escalation in product innovations is one of the major
drivers for this market. Additionally, new product launch and attractive packaging formats by
the manufacturers are likely to uplift the growth of this market.

The rising demand for healthy snacks and rising food consumption per capita in developing
countries keep the global biscuit market alive. The market is expected to continue its uptrend
with easy-food demand, innovation in packaging, and an increase in the young population.
Growth in the biscuit market has been boosting per capita consumption of biscuit
consumption around the world.

Especially after Covid-19 pandemic attack, consumers are more into the intent of healthy
snacks and keeping their immune health in a well maintained condition. It is anticipated that
competition will further increase in the world biscuit market due to the increase of healthy
and satisfying snack by people.

The product, Ürja Sakti biscuit, compiles the idea of snacking along with the intake of
healthy nutritious elements. This biscuit would be made with extracts from the following 5
herbs, those are – Moringa, Tulsi, Triphala, Aswagandha & Ginger.

Our intent is to promote the idea of snacking in a healthier way, which can boost your
immune health while providing you a relaxing mood which you get usually while eating
snacks.
 Current Trends of Biscuits Market
Bakery industry is one of the oldest businesses in India, which is modernizing and is
constantly changing in terms of product range and services due to the high nutrient value.
India is the second largest producer of biscuits in the world after the USA. Increasing
indulgence, health concerns, and familiarity with luxurious taste, which has developed among
Indian consumers, have led Indian manufacturers to experiment with a variety of biscuits and
cookies.

While demand for nutrition is increasing worldwide, biscuit consumption is rising

accordingly. Demand for biscuits in the snack category has been increasing every day
because of active life, women’s active participation into the business life, spending less time
for cooking homemade food, and increased income level. Producers pay importance to this
market that has been growing rapidly throughout the world. This rapidly growing market,
which reached $76 billion 385 million by the end of 2017, attracted all small and large
players in the industry. It is estimated that this market will reach $110 billion by 2025. It
seems that there will be a fierce rivalry.

India Biscuits market is estimated to grow with a significant growth rate during the forecast
period owing to a change in consumer taste & preferences, increasing health-conscious
consumers, and rising demand for convenience food. Biscuit industry is one of the largest
food industries in India, produces 5000 tons of biscuits every day. Rise in the innovation of
biscuits product offerings, increasing per capita household income, the surge in consumer
spending on food products will lead the market over the forecast period. Moreover, the
consumers are more conscious than ever before and the movement toward healthy eating
habits is one of the greatest influencers of the India biscuit industry.

In India, there are lots of festivals people celebrate. Giving away sweets & chocolates were
used to be a tradition earlier, but due to fear of adulteration in sweets, consumers have shift to
buy premium cookies in place of sweets. Gifting options pertaining to high-end premium
bakery product is a key trend prevalent in metro cities owing to its longer shelf life as
compared to chocolates and sweets.

Our product Ürja Sakti Biscuits will be consistent with this trend along with providing factor
of nutrition and immunity.
 Current Covid-19 Situation and its Impacts
The ongoing pandemic has made people more health-conscious, driving them towards
healthier snacking options. While snack companies are making more sugar-free and
immunity-strengthening alternatives by adding nutritional value to their products,
subscription-based healthy snack boxes are on the rise. In a survey, about 90% of the
respondents admitted to being more wary about health, cleanliness and safety issues post
Covid-19.

As work from home possibly demands more productivity and turnarounds, there is nothing
like a biscuit or a cracker that relieves us from the immediate pressures of work, while
offering mental stimulus. And what can be better than a biscuit which provides all of these
plus nutrition and increased immunity? Our product Ürja Shakti Biscuit will hit the right
nerve and target a similar audience. Additionally, the relative isolation and Corona-related
anxiety are hidden triggers for craving such snacks, which eventually work as a morale-
booster for us.

Demand for Herbal Biscuits

Rising awareness about the high sugar content of non-nutritional biscuits, high calorie
content and not suitable for the consumer with blood pressure are some of the factors which
can be a hamper for the non-nutritional biscuits, whereas the highly nutritious herbs added
biscuits containing vitamin, which are suitable for any person irrespective of his age, gender
or diseases, are expected to have sufficient market growth in the mentioned forecast period.

Growing demand for healthy products among population is expected to drive the market
growth. Some of the other factors such as rising awareness about the high nutritional content
of highly nutritious biscuits, changing lifestyle of the consumers, easy availability of the
product and rising prevalence for non-GMO products are expected to enhance the demand for
our herbal biscuits market in the forecast period of 2020 to 2027.
 COMPANY PROFILE
“Ürja Sakti Biscuits” was incorporated in “Tejas” and started its manufacturing and selling
activity of bakery product from the small village of Uttarakhand. We are an upcoming
domestic cookie brand with an exclusive focus on different needs for different age groups
covering all the segments of the cookies market in India. “Tejas” strives to evolve as one of
the most trusted and responsible brands in the cookie industry through continuous effort to
make people more healthy. Our main focus is to provide a product which adds up to your
health and fitness. Our trademark “Sabka Biscuit” and brand “Tejas” will emerge as one of
the most desired cookies brands in the industry.

The company is headed by its Managing Director “Mr Sakti Kapoor”, headquartered in
Uttarakhand. We have two plants located in the outskirts of Uttarakhand.

We are starting with the three variants of the cookies targeting all the age groups separately
with the help of distribution channels across the country.

The new normal desires a strong immunity and our brand is coming up with the promise to
provide nutrition, taste, hygienic standards, and immunity booster at the lowest price
possible.

Our present production capacity is around 150kg of Biscuit per hour and a 30% expansion is
planned for every year.

Forward-Looking Statement – We have started and intended to grow continuously with the
focus to innovate and experiment with different possible ways to achieve the best quality and
taste.

Vision

(i) To achieve our targets by fulfilling all the needs of customers.

(ii) To become the best employer by following the best practices of the corporate world and
allow the young minds to innovate.

Mission – Providing customers, hygienic and affordable cookie variants conveniently.

 Tagline – “Apni Suraksha Sabki Suraksha”

Head Office – 7/11 Rudra Pratap Singh road, Haridwar

Factory Location – 30c, Muhuri Road, Haridwar

Segmentation
Our product segmentation is divided into 3 clusters:

1. Children (5-14 years)

24% of Indian population consists of this age group which is our first segment. Our
product will be focusing on flavours and high calorie content.
2. Youngsters (15-25)
20% of Indian population consists of this age group which is our second segment. As
our segment prefers healthy products, our product will be focusing on high protein
and less calorie content.
3. Old (40 years and above)
18% of Indian population consists of this age group which is our third segment. This
segment needs highly digestive and easily available product. Our product will be
sugar free and made of wholewheat and multigrain.

Cluster 1 Cluster 2 Cluster 3

Motivation Motivation Motivation
Consumer will be Consumer will be Consumer will be
benefitted with high benefitted with high benefitted with easily
calories and glucose Protein and less calories. digestive and sugar free
content. Which will be For health conscious biscuit.
available in 3 kinds of people. This will be
flavour (Orange, Chocolate available in different
and Strawberry) packaging size.
Lifestyle Lifestyle Lifestyle
Children tend to like Young and adults are busy Older people prefer easily
different flavours and with their chores and work available and low-cost
colourful packaging. When life, Easy carrying (small snack. Our product will be
this comes with health and medium package) with also available at medical
benefits, the customers health benefit will attract stores at reasonable price.
(parents) can also be all in this segment.
convinced.
 Target Population

Geographic: Our production factory will be planned in Uttarakhand, the reason being

 The population is more inclined towards ayurvedic and herbal products.

 Availability of land and cheap labour is easily available.
 Uttarakhand is also near to Delhi and Uttar Pradesh; therefore, transportation cost will
be low to important locations.
 38% of total Indian population will be covered in Uttarakhand, Delhi and Uttar
Pradesh.
Demographic: Our Company has divided total population into three age groups which is
individually addressed by 3 different segments in our own product.

 Children are targeted by flavours and vibrant packaging colours and our customers i.e.
their parents will also be targeted by health benefits that our product provides.
 Young generation population are targeted by high protein content biscuit which is
considered to be a perfect snack. We will be giving small and medium sized
packaging named “travel packs” for studying and working individuals.
 Older People are targeted by highly digestive wholewheat biscuit which can be
recommended by Doctors as healthy snacks. The product will also be made available
at medical stores which makes it easily available.
Psychographic: During the outbreak of covid-19, people have realized the importance of
health and immunity. So, their preference has changed towards immunity building products.
Our Herbal biscuits will fulfil the demand of the market. “We will make India fit and
healthy”.

Behavioural: Our Product will be marketed across the major social ecommerce platforms as
most of our target population spend most of their time on social media and Ecommerce
websites. Our customers can later be turned into pseudo promoters when then will be
encouraged to share their feedback on social platforms.

Our Product will also be helping poor and needy kids by providing them with our product for
every purchase our customer makes. People can indirectly help children in need just by
buying our product. This will create a sense of satisfaction and being responsible.

Positioning
Our product will be labelled as India’s cheapest immunity booster biscuits. Our Corporate
Social Responsibility activity of helping poor kids will build the image of a “responsible
brand”. Our segmentation covers every age group, so, we can call our product as “Sabka
biscuit”.

Future Trends of this Industry

According to recently published report of bonafide research “India biscuit market outlook,
2023”, the cookies biscuit market of India is expected to grow with a Compound Annual
Growth Rate (CAGR) of more than 11% over the forecast period 2018–23. consumers taste
has been changing continuously with time. cookies have taken the place of other biscuits such
as cream, glucose, milk, marie, crackers, etc. With premiumization of biscuits, cookies
biscuits are widely purchased by the consumers. also, with increasing purchasing power,
consumers are readily paying for taste and quality products. for example, ‘parle’ which
previously focused on mass marketing of products especially plain biscuits is now targeting
the niche market as well. The introduction of parle’s ‘milano’ cookie is an example of
growing demand for center - filled cookies in the country. further, recently, in the mid of
2017, ‘cremica’ introduced its premium cookie “golden bites” in response to growing
consumer demand for taste and indulgence. The market is rapidly evolving as per consumers
changing taste preference towards different variants of biscuits; the market players are also
coming up with product innovation and promotional strategies to collect the benefits.

In India, there are lots of festivals people celebrate. Giving away sweets & chocolates used to
be a tradition earlier, but due to fear of adulteration in sweets, consumers have shifted to
buying premium cookies in place of sweets. Gifting options pertaining to high-end premium
cookies is a key trend prevalent in metro cities owing to its longer shelf life as compared to
chocolates and sweets. With growing number of manufacturing facilities, retail outlets,
hypermarkets and supermarkets, growth is likely to occur in the cookies biscuit market of the
country in the upcoming years.

Conclusion
It is a unique product that has a mixture or we can say a blend of different type of products
which will help it to uniquely position itself in the market and our companies focus will only
be on those customers who want to eat quality and tasty product in a very nominal price and
we are also planning to enter the market at the products best price to gain the market share by
targeting every age segment and by providing healthy biscuits in a great product packaging.
But before entering into any market, it is important to understand what the market stands for,
the kind of products that is already is in the market, the competitors that the company will
have to face and various external and internal factors that will play a crucial role in making
decisions after every quarter/period. After the initial feelers of the whole simulation, it was
very clear that we will have to focus on certain key areas such as:

 Product Portfolio

 Research & Development

 Advertising and Sales Force Decisions

 Pricing Effects

 Competitor Dynamics

 Production Planning and Inventory Management &

 Financial Focus.

Thus, from the above described strategies, the following takeaways from this research are:

 Offer top quality products in the market;

 Keep track of changing consumer demands;

 Modify the products’ taste accordingly;

 If the product is not performing well, remove from market;

 Pay emphasis to R&D;

 Observe competition and their strategy;

 Tweak strategy suitably;

 Advertising spend does not necessarily lead to greater sales;

 Lowering price will not improve sales even in a price sensitive segment.