The promoting of surya atta composition

Situational Analysis:

Surya Food Products (SFP) Limited is actually a firm working with food, foodstuff processing and grain operate. SFP chose to set-up a roller flour mill together with the intention of selling brand name whole wheat flour. I (Mr. Vinod Jain) was specifically recruited in November, year 1994 to prepare an extensive plan for marketing Surya Atta to be released on first week of February 1995. SFP total purchase on property was about Rs. 69. 00 lakhs, financed on one particular: 2 debt-equity ratio. Further, I was provided with the subsequent objectives.

To accomplish monthly product sales of 720 MT during 1995-96, monthly sales of 1800 MT by end of 1996 and create ‘Surya Atta’ a valuable product I was also requested to distinguish markets, promo, packaging and final prices for the merchandise.

Target Market:

I select Madhya Pradesh to be the 1st target market. Business of two national brands Captain Prepare food and Trupti is minimal in this state when compared to other towns like Uttar Pradesh, Rajasthan and Maharashtra. Hence, each of our product may reach to wider viewers in this express including the bigger income group.

Even more, Surya Foods have already established its brand in Madhya Pradesh via grain organization which is developing at a rate of 10%. As we curently have a market right here, I recommend building our base before entering other marketplaces. From the available data there is approximately 132 lakhs households in Madhya Pradesh as well as the target audience will be around 60 lakhs households by eliminating the lower cash flow class with less than Rs. 2000 per month.

Positioning:

I suggest highlighting the nutrition value and the good value for the product. In order to educate the consumer about the benefits of Whole Wheat Atta I recommend setting up a comparison graph and or chart depicting the main element nutrients along with the health benefits and printing the same on the package.

The Product:

Initial launch of the product will probably be in the ratio of 2: one particular: 1 to get 1kg, 2kg and 5kg packets correspondingly. Since the typical consumption of a household is about 5 kg it will cover most of the significant segment. Additional, people from your hotels and restaurants will certainly tend to purchase the larger package deal. Based on the demand the percentage can be modified in near future.

The Price:

Based on the existing evaluation the plant can produce at a capacity of 45 MT of wheat per day working for about twenty-five days a week and expected to operate by 80% in the capacity. It might produce a more 765 MT of whole grain per month along with one hundred thirty five MT of bran. Depending on the break-even analysis the production cost may not be less than Rs. 8/kg eliminating the grain value. Simultaneously the final list price should never exceed Rs. 11/kg mainly because it will not make the value task in comparison with nationwide brands. Following assuming the figures the production cost will probably be fixed at Rs. six. 9/kg. And so the total estimated annual income if the level of production is 765 MT each month would be Rs. 726 lakhs per year. Further more the sale of bran per annum at the price of one hundred thirty five MT per month will fetch revenue of around Rs. twenty four lakhs each year. So the total revenue will probably be approximately Rs. 750 lakhs which is more than estimated revenue. So , the label price in this product will be fixed in Rs. 10/kg.

The Place (Distribution):

The syndication margin will be fixed in Rs. 0. 6/kg plus the retail perimeter will be fixed at Rs. 1 . 5/kg. I have chose to appoint 1 distributor every at district level. Further more we can inspire the distributers and merchants to promote each of our product among the list of customers.

The Promotion:

Because the advertisement finances is restricted to Rs. 50, 000 monthly we are not able to run intense campaigning through television and print advertising. As Surya brand was already established in Madhya Pradesh, We can place attractive stage of order displays at the retail outlets to attract customers. Apart from that we can distribute coupon for the larger five kg packets with Rs. 2 discount offer within the next purchase of 5 kg packets.

The Marketing Firm:

I would suggest that 1 manager and a couple of salesmen coming from SFP will be sufficientduring the first phase even as we already have a market in Madhya Pradesh as well as the numbers could be increased whenever we expand for the new market segments.

Conclusion:

Based on the above examination and factors I would strongly recommend launching “Surya Whole Wheat Atta in Madhya Pradesh for Rs. 10/kg.

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