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    Chai Teab Bags Case - Group 3

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    Pakshal Jain
    This document contains a case study about Chai Tea Bag Company. It includes: 1. An overview of Chai Tea Bag Company, which has been in business for over 100 years and wants to access the domestic tea bags market in India. 2. A go-to-market strategy that involves segmenting, targeting, and positioning tea bag customers. They will target young corporate workers and position their tea bags as affordable and time-saving. 3. A distribution footprint that involves an in-house blending center, warehouse, sales team, wholesalers, retailers, and online channels to reach customers.

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    Chai Teab Bags Case - Group 3

    Uploaded by

    Pakshal Jain
    444 views14 pages
    This document contains a case study about Chai Tea Bag Company. It includes: 1. An overview of Chai Tea Bag Company, which has been in business for over 100 years and wants to access the domestic tea bags market in India. 2. A go-to-market strategy that involves segmenting, targeting, and positioning tea bag customers. They will target young corporate workers and position their tea bags as affordable and time-saving. 3. A distribution footprint that involves an in-house blending center, warehouse, sales team, wholesalers, retailers, and online channels to reach customers.

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    This document contains a case study about Chai Tea Bag Company. It includes: 1. An overview of Chai Tea Bag Company, which has been in business for over 100 years and wants to access the domestic tea bags market in India. 2. A go-to-market strategy that involves segmenting, targeting, and positioning tea bag customers. They will target young corporate workers and position their tea bags as affordable and time-saving. 3. A distribution footprint that involves an in-house blending center, warehouse, sales team, wholesalers, retailers, and online channels to reach customers.

    Copyright:

    © All Rights Reserved
    Download as PPTX, PDF, TXT or read online from Scribd
    Download as pptx, pdf, or txt
    444 views14 pages

    Chai Teab Bags Case - Group 3

    Uploaded by

    Pakshal Jain
    This document contains a case study about Chai Tea Bag Company. It includes: 1. An overview of Chai Tea Bag Company, which has been in business for over 100 years and wants to access the domestic tea bags market in India. 2. A go-to-market strategy that involves segmenting, targeting, and positioning tea bag customers. They will target young corporate workers and position their tea bags as affordable and time-saving. 3. A distribution footprint that involves an in-house blending center, warehouse, sales team, wholesalers, retailers, and online channels to reach customers.

    Copyright:

    © All Rights Reserved
    Download as PPTX, PDF, TXT or read online from Scribd
    Download as pptx, pdf, or txt
    of 14

    Case Study

    Chai Tea Bag

    Group 3 :
    Clarissa Albanesi (1459/19)
    Livia Luciani Ranier Gaudiosi Di Canosa (1461/19)
    Tripti Gupta (0293/55)
    Anchal Tyagi (0311/55)
    Divya (0324/55)
    Yogesh Khadke (0383/55)
    Pakshal Jain (0462/55)
    1
    Outline

    01 Company Overview
    & Indian Tea Market

    02 Go-To-Market
    Strategy

    Distribution
    03 Footprint

    04 Channel Choices

    2
    1 Company Overview
    & Indian Tea Market

    3
    Introduction

    CHAI TEA COMPANY TEA MARKET IN INDIA

    - Family business started over 100 years ago - 2nd biggest producer
    - Largest number of tea consumer in the world
    POINTS OF COMPETITIVE ADVANTAGE - Tea as a major agricultural export item

    - Product formulation TEA-BAGS MARKET IN INDIA


    - Wide range of product variety
    - Art machinery to manufacture and pack these tea - Less than 2% of the total market in volume and 4% in
    bags value
    - Rapid growth at an encouraging rate
    GOAL
    - Large number of potential consumer looking for
    convenience, variety and In-home consumption
    - Access to the domestic market of Tea-bags

    4
    2 Go-To-Market Strategy

    5
    Go-To-Market Strategy

    Segmentation Targeting Positioning

    The following variables were used for segmentation of the Considering the objective of the Chai Tea bags would be positioned as
    potential customer pool: company to get a strong hold of the affordable (mid- range pricing), time-
    Age, Income, Education, Residence, Occupation and market & increase the sales and saving tea delight with large variety to
    Lifestyle, Tea preferences market share in future, we target keep its customers engaged
    Based on the segmentation, we have come up with the
    the young corporate workers.
    following profiles (personas):
    Rita
    • Home-makers, 40s, Financially dependent, Decision Represents Indian youth
    maker- decided for herself & family, 12th/Bachelors, • Growing population: Nearly 4 Mn
    Varanasi, Housewife, Spends a lot of time at home & young people join India’s
    heavy tea usage
    workforce every year
    Daya Ram
    • Retiree, 60s, Pension (Low-middle Income), User, Class • Perfect user base for Teabags:
    12, Kolkata, Spends time with friends, Tea as a social  Time crunch
    beverage  Innovative & experimenting
    Arun • Income growth with experience
    • Young corporate worker, 20s, Disposable income, User, & skill
    Bachelor, Bangalore, Hectic lifestyle, Habitual tea drinker
    (with friends, in office, stress reliever) , Likes to experiment

    6
    Marketing Mix- 4P’s

    ▪ Price ▪ Place
    ▫ Same price as Tetley ▫ E-commerce
    ▫ Middle Price Range ▫ Modern trade

    ▪ Promotion ▪ Product
    ▫ Brand ▫ Core Product – Tea Bags
    • Social media advertising • Single Serve
    • Influencers • Time Saving
    ▫ Sales • Practicality
    • POS Promotion • Different Flavors
    • ▫ Augmented Product
    •
    Trade Discounts
    • High utility tea bag holder
    BOGO Offers • Stay fresh pouches and Cardboard boxes
    • Experiential Packages

    7
    3 Distribution Footprint

    8
    Distribution Footprint

    9
    4 Channel Choices

    10
    Channel Selection

    Why is it important? Selection Depends on :


    ▪ Commits the manufacturer to relatively long term and complex ▪ Consumer preferences
    relationships with other independent parties within channel ▫ Consumer habits and behavior determine channel
    system strategy
    ▪ Affects marketing strategy ▪ Cost
    ▪ Localisation
    ▫ Pricing strategy ▫ Which retailers to work with
    • Depends on whether it seeks a limited number of ▫ How to localize the brand to be recognized and
    higher mark-up dealers or mass distribution understood by consumers

    ▫ ▪ Reach
    Promotion Strategy
    • Depends on whether it sells directly to consumers
    ▫ Must be easily accessible to customers
    or through retailers.

    ▫ Product Strategy
    • Depends on whether it is being sold through a
    departmental store or a discount store

    11
    Channel Choices

    12
    Channel Design

    Channel length :
    • Penetrate general trade stores through a network of wholesalers and Tea blending
    center
    push sales by in house sales team
    • Vertical integration is not possible as the company is new and just
    dealing in a single product Warehouse
    • Direct selling on online platforms will maximize per unit profitability by
    cutting out the middle man and can offer customers higher discounts.
    In-house sales
    Wholesalers
    force
    Channel breadth
    • Tea bags having a low market share, we will seek selective
    distribution in a limited number of stores Online B2B Retailers
    • Concentrate on supermarkets and online platforms

    Channel Management Consumer


    • In-house sales team will help in creating awareness about the
    product and help in market research.
    • Partnering with exclusive wholesalers and online platforms will
    13 eliminate the risk of rival competitors in the channel
    Thank You !

    14

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