Product & Brand Management

Final Project
Brand Assigned: Sugar Free

Group-5
AASHRITA RATHI (200101001)
ARNAV SHARMA (200103040)
CHANDAN JHA (200101051)
NEELESH KATOCH (200103097)
RAJVEER SINGH (200103123)
SHREYASH MISHRA (200103144)
INTRODUCTION

1988 2005
• Launched in the year 1988. • Launched Sugar Free Natura.
• Contained Aspartame for sweet taste and low • Contained Sucralose derived from Sugar
calories. itself.

2017 2020
• Launched Sugar Free Green. • Relaunched Sugar Free Green.
• Made from Stevia Leaves.

Sugar Free is an undisputed Market Leader in Sugar Substitute Category acquiring a whooping 94%
Market Share. It is the Flagship brand of Zydus Wellness Company. It was the first brand launched by
the company. Its journey started from a prescription product and now it is a preferred choice.

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Product Portfolio, Positioning & Pricing

Sugar Free is the dominant player with 94% of market share in the artificial sweetener industry. It offers wide
range of products that are priced differently.

Product Portfolio Positioning Pricing

1. Sweeteners: • Sugar Free positions itself in the market as a “low • Sugar Free is a high-priced product and thus it
o Sugar Free Gold:
. ➢ Powder- Packs of 100 gms calorie” substitute to the sugar. targets high end consumers.
• The brand promotes itself as an option that will • This high price is the reason for limited growth of
➢ Pellet- Packs of 40, 100, 200 pellets be healthy for the consumers, specially those who the brand.
➢ Sachets- Packs of 25, 50, 100 sachets have less time to exercise. • The high price also limits the repetitive purchase
o Sugar Free Natura • The brand is limited to a niche market due to lack and regular usage of the products.
➢ Diet sugar- Packs of 80 gms of product awareness and high price. • Breaking the pricing barrier can help the brand to
➢ Powder concentrate- Packs of 100 gms • The brand also positions itself as a healthier grow even more.
➢ Sachets- Packs of 25, 50, 100 sachets option for diabetic patients.
➢ Pellets- Packs of 40, 100, 200 pellets
➢ Sweet Drops- Packs of 10 gms
o Sugar Free Green
➢ Powder- Packs of 200 g powder
➢ Pellets- Packs 40,100 & 300 pellets
➢ Ayurvedic sweet drops- 3
2. Dark chocolates
Marketing
Digital Displays:
Infilm Placement: Provides greater flexibility, is more
Infilm placements like in movie Chini
Communication kumm – A Sugar free romance,.
engaging and cost effective, have no
boundaries location wise.

Mobile Marketing: Sponsorships and Outdoor Activities:

Radio:
Mobile web manner, SMS ads, MMS ads, Sponsoring local, National & International
Cheaper vocal ads and radio slots as
top of the page ads, gaming ads assure sports and fitness events, arrange fitness
compared to tv makes it most
maximum coverage with least amount of camps in association with fitness centers
impacting medium while commuting.
investment.

1700+ Distributors
Distribution Network 20 Cold Chain Warehouses
25 Ambient Warehouses
23 CFA’s & 2000+ Staff

Clearing and forwarding agents(CFA’s) are primarily

responsible for maintain company stocks and
forward those SKU’s to respective stockists on
request.
Stockists are distributors who simultaneously handle
many companies at once and can serve more than
30 to 40 manufacturers at once. They have the
right to pay directly on the behalf of the company.

Retail stores obtain their share of products from

these stockists and thereby reach consumers. 4
 Threat of substitution: Sugar and organic sweeteners
MARKET ATTRACTIVENESS

PORTER’S FIVE FORCES

like honey and jaggery .

Competition: Increasing market pie towards organic

Category Size: Rs 385 Cr
growth. Zydus, does acquisition towards inorganic
Category growth: 9%
growth

Barrier to entry: Huge investment in R&D and

testing facilities. Large market share for economies
Seasonality: Non Seasonality of scale. Indian market is highly competitive on price.

Supplier Power: Ingredients used are Aspartame and

Stage of Product Life Cycle: Stevia leaves
The industry is in growth phase and is carving
out a niche for product through the focus on Consumer power: As consumers find taste of
advertising and distribution. The market is less sweeteners little odd compared to sugar, it leads to
penetrated (12% in retail) and the trend of slow adoption.
diabetics and fitness/wealth is on rise.

Competitor Analysis & Value Proposition

Sugar-Free: Healthier alternative to sugar. 94% market share. Target customers: Fitness oriented
consumers
Equal: Value proposition: Safe & Sweet. People having sugar problems
Kaloree: Value proposition: Sugar substitute
Zero: Value Proposition: Zero calorie. Sucralose is differentiator. Target Consumer: Health Seekers in Age 5
group of 30-40
CONSUMER PERCEPTION
Reason for non-consumption of sugar substitutes

Reason for consumption of sugar substitutes

Sentiment towards sugar substitutes Increasing diabetic patients in India

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ZERO SUGAR
• It aims to break that notion that sweeteners should only be used by diabetics or someone with health problems. It enables you to intake whatever you wish without changing the taste and worrying
about calories. It is meant for daily consumption by Health-Conscious Individuals as it has very few calories compared to sugar.
• Positioning Statement: To people aged above 15 years who are health conscious, ZERO SUGAR is the brand of Sugar Substitutes that has very less calories than sugar because it is made of Aspartame
and Stevia leaves combined in the right amount tested and verified by Laboratories around the Globe. The brand character is caregiver and innocent
• We are planning to venture into categories where artificial sweeteners are not traditionally used.
• We will use apps like HealthifyMe to promote our product and emphasize on our benefits.
• We want to increase the pie size of category who purchases Sugar Substitutes by diversifying our product portfolio which is explained below.
• Initially we will launch Zero Sugar Tablets, Powder, Drops and Zero Sugar shakes. As the brand will settle in the market and create an impression in the mind of consumers, Zero Sugar will launch
flavored yogurt and chocolate syrups.

• There are 3 products: Zero • We will launch Zero Sugar • Zero Sugar aims to provide • Chocolate syrups and
Sugar Tablets, powder, beverages as our brand zero sugar flavored yogurt spreads have high calorie
drops. extension. and act as a sweetener to content. A healthier version
• It can be used regularly in • It will act as an ultimate your plain curd. of the same would be an
place of normal sugar in our substitute to high sugar • It will drive sales of this absolute delight to the
day-to-day life. beverages. category too as Zero Sugar customers.
• It will target a niche category • It will increase the size of the will act as an added • Hence, Zero Sugar syrups
of premium buyers. category consuming artificial advantage by providing less and spreads will be launched
sweeteners. calories. to fill this need gap.

SAWAAD VAHI, DAR NAHI | स्वाद वही, डर नहीीं |

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 Marketing Mix :- Beverages (Zero-Sugar Shakes)
Product Price
• A zero-sugar shake to serve the
purpose of health-conscious • Value based pricing strategy.
consumers. • Addressing a problem, no other
• Flavors: Greeny fruits, Red fruits product addresses presently.
and Chocolate. • Thus, charge higher than regular
• If the market response is positive shakes, but lower than the prices
in the initial years different tasty of protein shakes available.
blends and flavors can be • Also, high cost associated to
launched. initial promotion campaigns.
• Shall be marketed in disposable • 500 ml – Rs. 110
tins of size 250 ml and 500 ml. • 250ml – Rs 60

Place Promotion
• The product is targeted to a niche • Create posters, banners,
market, thus available only in advertisements on television,
urban and semi urban areas. billboards.
• Distribution channel: Factory- • Focus on digital marketing.
Distributor-Retailer. • Use platforms such as Facebook,
• Placement of products in large Instagram.
mega stores such as Spar, Big • Direct advertisements in gym
Bazar, mid-sized departmental and other fitness clubs
stores, neighbourhood convenient
stores and restaurants. 8
Segmentation - Targeting - Positioning

Geographic Segmentation:
• Zero sugar will target people in • Positioning statement: To people
Segmenting the market on the basis of
urban and semi-urban areas. aged above 15 years who are health
areas(rural, semi-urban and urban), and
• Individuals in the age group of 16-40 conscious, ZERO SUGAR is the
regions(on the basis of weather
years. brand of Sugar Substitutes that has
conditions).
• People from middle and upper very less calories than sugar because
middle class, as the products are it is made of Aspartame and Stevia
Demographic Segmentation: priced a bit higher than the regular leaves combined in the right amount
Segmentation on the basis of shakes. tested and verified by Laboratories
age, income and economic • Health-conscious people who are around the Globe. The brand
status. particular about their fitness. character is caregiver and innocent.
• Athletes, sportspersons and people • Zero sugar shakes will be perceived
Psychographic Segmentation: associated with higher physical as the trustworthy companion on
Segmentation on the basis of activity. your journey towards healthy
lifestyle, values and interests. lifestyle. 9
 BCG MATRIX (Zero Sugar Shakes)

Under the BCG matrix, Zero Sugar can be placed in

Question Mark. This is because, as of now, Zero Sugar
does not have any market share but has great opportunity
to grow in the market as a no sugar beverage company.
Currently, there aren’t any no sugar shakes in the market,
so we can capitalise on this opportunity and reach a large
set of consumers. With the right strategy, we can shift
from Question Mark to Star.
ANSOFF MATRIX

Amongst the four growth strategies, Zero Sugar will adopt

Product Development. In a product development strategy,
the firm develop a new product to cater to the existing
market. Zero Sugar will adopt this because we will be
developing a new product in an existing market. There are no
proper no sugar shakes in the current market and thus, the
product developed will be new and will cater to the existing
shakes market. An extensive research and development will
be needed to develop this product. This will expand the
range of products offered by the company.
Building Brand Equity

Keller While we are a health conscious brand, our brand building is quite

Model Resonance
Youthful, loyal,
contrary to Zydus’s Sugar free. Sugar-free is a brand that had
made its strong equity especially in diabatic market. While the
brand has quite a following which would only grow seeing the
Healthy companion, taxes levied on sugar products and rise of diabatic population in
euphoria country, Sugar-free would have to do quite a lot of work to come
out of that niche audience and be accepted by broad. On the
other hand, we build our equity not on our base product but the
Judgements Feelings
product which is likely to become a hit in the masses – Beverages –
our face product. As beverages market garners us customer and
Innovative, quality, Confidence, positive their equity, they will be introduced and would try our base
credibility, to change, fresh, product (pills, drops etc.) too. This market is not diabatic market
consideration calmness but larger mass health conscious beverage market. Thus, we are
avoiding a direct attack on strong Sugar-free following audiences.
Performance Imagery
Brand tracking is important for constant change
Refreshment, Tasty, Health conscious, youth, of tactics at specific point of time.
zero-gram sugar, cool summers, • Salience will measure TOM, trial rate and
Serene environment experimental repeat purchase rate
• Judgement will be measured by value for
money and opinions
• Brand Performance would be measured by
Salience market share, category share of voice
• Imagery, feelings and resonance will be
Healthy drink, popular with the youth, Sugarless, unique packaging, brand mascot
judged by qualitative measures
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 Plan Of Action & its Impact Finally, we will launch
Established Zero Sugar chocolate
syrup to further increase
Brand Awareness

2021 the brand awareness and

2023 category size.
Initially Zero Sugar After increasing our
will compete with brand awareness
Sugar Free head on through shakes, Zero
Emerging

by launching similar Sugar Yogurt & Ice

products(tablets, cream will be
drops, powders etc). launched . This will
Apart from these further increase the
we’ll also launch Zero brand awareness and
Sugar shakes. category size. 2024
Emerging Established 2022 All innovations and
Category Penetration Initially we believe for the aggressive marketing will
basic products(tablets, help the consumers to
• Sugar substitute category is drops) sales will be low perceive us as a healthy
currently is not highly penetrated. due to the dominance of sugar substitute, which in
• Sugar Free being the only Sugar Free. But, Zero turn will increase the
established product in that category. Sugar shakes will help in sales of our basic
• Zero Sugar must increase the creating an impression in products as well. We will
category size and own an unowned the minds of the reach our desired
benefit. consumers. It will position and acquire a
increase our brand significant market share.
• Zero Sugar aims to become the king
visibility.
in this category.
Thank
You