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Bhuvana Reddy Pallaka

on 16 October 2014

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Transcript of Mtr

Marketing Management - MTR Foods
"To be an indispensable companion in every kitchen to help create authentic and delicious Indian Food."
To help you serve 'the' authentic taste of your favorite cuisine to your family by realigning its product portfolio to resonate with the needs of the Modern consumer
 Excellence
 Passion
 Innovation
 Inclusiveness
 Openness

Being the pioneer in the ‘TV Dinner’ segment of the ‘ Ready to Eat’ sector of the Indian processed food industry, MTR aims to be a market leader by achieving a market share of 30% by June 2015.
MTR tradition of food and hospitality began in 1924 with the establishment of the MTR Restaurant by the Maiya family in Bangalore.
food brand and leading manufacturer of processed food in India
Acquired by Orkla, a Norwegian company
MTR's wide range of products include ready-to-eat curries and rice, ready-to-eat cook gravies, frozen food, ice-cream, instant mixes, spices and variety of pickles & papads, and milk beverage drinks. 

Mavalli Tiffin Room

India - Country with
huge potential in the
RTE market
Open Government Policies
Focused on the quality control aspects of the RTE segment
Food Security, a controversy around distribution of processed food in India since the major stake holders are private players
Growth of food processing industry faster than agriculture; more and more agricultural produce is being converted to processed food

Great Potential- FPI has performed better than manufacturing sector; while FPI grew at 2.6 per cent, growth of manufacturing sector was 1.2 per cent
Changing lifestyles- more value for time and money
Consumption patterns are favoring packaged food
Large overseas demand; from Indians staying abroad
Bachelors look for convenient food
The amount of money Indians spend on ready to eat snacks & food is 5 billion USD/year
World class infrastructure in the FPI
premier institutes like Defense Food Research Laboratory (DFRL) and the Central Food Technological Research Institute (CFTRI)
‘National Mission on Food Processing’ on the Technological up gradation front which aims to expand the processing capacity of food processing industry and encourage modernization
India is an essential player in the global food ingredients market since agriculture is one of the major occupations in the rural areas which still constitute about 60% of Indian population.
many big international players are entering the Indian market by partnering the domestic players
The increasing young population and changes in the food consumption pattern of late has made an increasing demand for convenience items such as semi cooked ready-to-eat, ready-to-cook food products.
Product Strategies
The key differentiating factor of the product offering is its convenience
Frozen food is better than all existing packaged ready to eat as it has lesser preservatives
Packaging will be in the form of a tray, which will contain a foil and a cardboard box
Retail super markets – Though MTR already has brand presence here, there will be a need to have frozen TV dinners in the refrigerated sections
Vending machines- Customized vending machines that have heating options will be placed in offices
These vending machines will have limited offerings and will be replenished on a daily basis
Integrated marketing communication
Effective advertising
Public relations
Events to promote the brand and product category

Pricing Strategies
The price of the TV dinners can be decided on the basis of minimizing the consumer surplus, in order to opt for a skimming strategy
However, as there is an intense threat of substitutes, the choice is to opt for a cost plus pricing whereby the price of a meal will range between Rs.100 to Rs.120.

Distribution Strategy
The Indian RTE Industry
Growth Characteristics
• Rapid development of modern chained grocery retail outlets
• The rising number of working Indians who now have less time to spend on preparing meals from scratch at home
• Packaged food items offer the convenience of being able to consume delicious vegetarian dishes in just a few minutes
Distribution Channels
• Ready meals are available in all of India’s major urban areas; distribution of ready meals concentrated in modern grocery retail channels such as supermarkets, hypermarkets and convenience stores

SWOT Analysis
Competitor Analysis
TV dinner (also called readymade meal) is a pre-packaged meal was introduced by MTR brand for Indian market
A Typical TV dinner for India include rice, dal, vegetables, roti, papad, yoghurt, small amounts of pickle, and a sweet dish to top it off

Consumer Analysis
Customer Demographics
It is estimated that by 2025, India will have 583 million people living on incomes of above US$4,380 (around US$23,530 after accounting for the purchasing power parity).
• Rising incomes:
India’s strong economic growth is increasing consumers’ incomes. It is also driving up demand for specialty and value-added food products.
• Women in the workforce
As more women join the work force and households become smaller, packaged and processed products such as ready to eat meals, canned foods and snacks will be in higher demand, especially indian recepies

Behavourial Analysis
These target consumers, being working professionals stay away from their family, due to lack of time, cooking seems cumbersome
Substitutes- A host of other alternatives like employing a maid at the apartment, buying from street vendors or dining out
However, in India employing a maid is costly and reliability of maids to turn up for work is a concern
Visiting a restaurant every day is not feasible
Since the target customers are concerned about food safety, they would avoid street food due to hygiene reasons

Marketing Strategy
Marketing Objectives
Generate increased brand awareness quantified feedback from customers
Inspire consumers to alter lifestyle to include TV dinners
Spread the belief that MTR is hygienic and healthy
Showcase nutritional benefits of MTR Frozen Food

Target Market
• Households
• Guest houses
• Paying guest accommodations
• Youth hostels

• Convenient- The ready to eat dinner is convenient as it is in a tray, just needs to be heated in the microwave for 2 minutes, and it is ready
• Tasty- A USP that is being sought is the taste. Taste will be a key differentiators in the long run
• Value for money- While priced higher than most substitutes and competitive offerings, our product will be better value for money in terms of quantity
• Hygienic- The dinners will be positioned as having a high standardized quality control
• Healthy with respect to nutritional value- MTR has had the image to be unhealthy due to the preservatives and oil content. Now, the TV dinners are frozen and therefore have greater nutritional value.

Presentation by
MTR provides a wide range of variety of food products.
• MTR snack up
• Frozen foods
• Masala powders
• Sweet Mixes
• Breakfast Mixtures
• Ready to eat
• Beverages
• Ready to cook
• Vermicelli
• Pure Spices
• Snack Mixes
• Meal Mixes
• Masala pastes
• Sweets
• Pickles
• Soups

MTR Foods - the byword for authentic Indian food marks its global presence for its wide range of packaged products and recipes that can only make you ask for more. The brand is now home to almost every kitchen in the
• India
• Canada
• UK
• Germany
• Australia
• New Zealand
• Middle East
• Japan and
• South East Asian countries.

The following are the price ranges of different products in MTR food products.
• MTR snackup - starts from Rs.20
• Frozen foods - Rs.70-Rs.150
• Masala powders - Rs.40-Rs.70
• Sweet Mixes - starts from Rs.100
• Breakfast Mixtures - Rs.45-Rs.130
• Ready to eat - Rs.50-Rs.70
• Beverages - 180ml Rs.35-1kg jar Rs.375
• Ready to cook - starts from Rs.40
• Vermicelli - Rs.18 –Rs.50
• Pure Spices - starts from Rs.70
• Snack Mixes - Rs.45-Rs.120
• Meal Mixes - Rs.32-Rs.67
• Masala pastes - Rs.55-Rs. 60
• Sweets - Rs.50-Rs. 200
• Pickles - Rs.80-Rs.100
• Soups - Rs.180-Rs.600

The promotional strategies followed by MTR foods are:
• Advertising:
MTR Foods has launched a new advertising campaign for its line of breakfast mixes, focusing on their south Indian breakfast offerings.
Besides the TVC, BTL activities to make the brand more visible are also being used. MTR Foods undertook a refreshing of its brand in June this year with a redesign of all of its packaging.
• Sales Promotion:
Sales promotion is needed to attract new customers, to hold present customers, to counteract competition, and to take advantage of opportunities that are revealed by market research. It is made up of activities, both outside and inside activities, to enhance company sales.
MTR foods provides offers on its varied food varieties to improve its sales. This provided MTR a competitive advantage.

LOW MARKET SHARE LOW MARKET GROWTH (DOGS):FROZEN FOODS(Frozen was a loss-making business with low margins. IT WAS shut it down in 2011

MARKET PENETRATION-MTR SNACKUP(the snacks range has now been re-launched as MTR SnackUp, with new packaging using vibrant colours, which give an extremely strong shelf-presence and great consumer-connect to the range.“)( kodubale, khara boondi and masala groundnut, )
MARKET DEVELOPMENTt:masala and instant mix
DIVERSIFICATION:  milkshake portfolio with canned chikoo, banana and cold filter coffee

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