Case study Del Montes vision

Case study Del three-card montes visionBrand Del monte is a 118 year old brand which is synonymous with quality and taste. The brandoriginated in the US and is now procurable all across the globe. Del Monte has brand processed food and beverage harvest-homes. The Del Monte target include proceeds drinks, Ketchup Sauces, Packaged yields and the Italian Range consisting of Pasta, Olive Oil and Olives/Jalapenos and a Culinary range which is aimed at HORECA, Foodservices and QSR industries.Bharti Del Monte Joint VentureDel Monte came to India in 2007 courtesy a joint venture comp any know a FieldFresh Foods Pvt between Bharti Enterprises and Del Monte Pacific. It sells fresh and processed reapings and ve depressables in the national as well as international commercializes, including Europe and the Middle East.Bharti enterprisingness has interests in telecom, agri business, financial services, retail and manufacturing businesses in India. Del Monte Pacific Ltd, headquartered i n Manila, Philippines, is a go with engaged in the production, marketing, and distribution of Del Monte products in the select Asian markets.Del Monte has fol broken ining product lines in India Sauces, Juices, Italian cuisine and Packaged fruit. The market size of these products approximately Rs 4000 crore and it will find at 20% per annum and faces competition from players like Nestle, Hindustan Unilever, Dabur, Parle Agro, Pepsi, ITC, Heinz in India. The company has invested Rs three hundred crore in a food processing plant at Hosur in Tamil Nadu and in research on fruit and vegetables which will be operational by 2011. It is now selling products in 25 cities in India.Product Lines in IndiaKetchups and SaucesDel Monte has launched following four variants in this product line in India and they are Del Monte love apple Ketchup Is do from quality tomato paste and secret blend of spices natural refreshed oils.Del Monte Zingo Is make from of Red chillies, Red Bell Pepper, Garli c and Ginger. It offers sweet and spicy eastern taste to the consumers.Del Monte Twango Del Monte TWANGO is a lemony and fruity sauce specially aimed at the younger audiences, and brings a wrick to the tomato taste with a splash of the goodnessDel Monte Tomato Chilli Sauce Del Monte Tomato Chilli Sauce is made from tomato paste and hint of red chillies it has a pungent and sour taste.Packaged harvest-festival CornDel Monte has launched Pineapple Tidbits, Pineapple slices, dish halves, Prunes and Fruit Cocktails in India.Italian RangeDel Monte has launched Olives, Pasta and additional Virgin Oil in India. These product lines popularly use by Restaurants, Caterers and consumers are also using these products at home.Fruit DrinksDel Monte has launched 5 variants under the Fruit drinks in 240 ml go offs and dispensers.Percentage Share of varied Product LinesThe graph given below gives the veritable percentage mete out of different product lines in IndiaChapter 5 Current Market ing outlineChapter HighlightsTarget MarketPositioningProduct scheme distribution StrategyPricing StrategyPromotional StrategyCURRENT MARKETING schemaTarget MarketThe Indian youth segment residing in Indian cities age 16-25 is Del Montes primary target market.PositioningDel Monte Fruit Drinks current positioning is delivering Refreshment, convenience and nutritional value to the youth.Product StrategyDel Monte Fruit Drinks have 5 flavoursPineapple Fruit Drink (with genuine fruit pulp)Four Seasons Fruit Drink (a delightful mix of guava, ananas and mango)Pineapple- chromaticness Fruit DrinkGreen Apple Fruit DrinkOrange Fruit DrinkProduct BenefitsDel Monte fruit drinks are naturally fat and cholesterol free, they are rich in antioxidants, they are a good source of Vitamin C and Vitamin B1 and do not have any artificial preservatives.PackagingDel Monte Fruit Drink is selling its juices in aluminium cans of 240 ml and so it possible to have a shelf life of 24 months. Del Monte Fru it Drink has apparatus dispensers which can dispense 20 cups a minute.Distribution StrategyCOMPANY warehouseDISTRIBUTORGENERAL TRADE RETAILERS/ WHOLESALERSMODERN TRADE RETAILERSEND substance abuserHOTELSRESTAURANTSCATERINGB2B MARKETB2C MARKETDel Monte products are sold in B2C and B2B marketsB2B marketIn the Business to Business Market Del Monte fruit drink cans along with other Del Monte products are sold to and used all over 2200 institutions in the HORECA Hotels/Restaurants/ Catering(Airlines) segments. Restaurants like Coffee Day Xpress, Dominos, Subway and Barista, and low cost airlines like Jet Lite, Jet Connect and Indigo. Del Monte has over 70 persons they help the distributors to sell to institutions.B2C MarketDel Monte operates in B2C market and these products are purchasable in 25 cities including major(ip)(ip) cities like Delhi/NCR, Mumbai, Bangalore, Chennai, Hyderabad, Pune and Kolkata. The company has Distributors and Retailers (Modern Trade and General Trade) as it s Channel partners. Del Monte has also setup vending machines and dispensers in institutions and tourist spots to reach the end users more effectively.DistributorsThe company appoints distributors who provide Del Montes product lines (Ketchups Sauces, Italian Range, Fruit Drinks Packaged Fruit Corn) to general trade outlets and to or so modern trade outlets in the major cities. Each distributor has approximately 200 -600 retailers under him and the ordinary monthly sales for each distributor is between Rs 250000- Rs 1500000. Del Monte offers a mete of 7% to its distributors.General Trade Retailers/WholesalersDel Monte supplies products to 30,000 retailers in 25 cities. It supplies to major General Trade Retailers or the Kirana Shops (neighbourhood grocery stores)/Wholesalers in these cities. These retailers/wholesalers get their supply from distributors who take orders on a fortnightly/weekly basis. These shops have an average leveraging ticket of Rs 30,000 per month.Modern Trade RetailersDel Monte is supplying its supermarkets, favourable stores (In and Out store at IOCL Petrol pumps) and speciality food stores (Eg Le Marche) and the company is selling to them directly through its sales force and some of the modern trade outlets are also supplied through distributors. These are organisations purchase their products weekly and their average purchase ticket vary between Rs 20,000 to Rs 2000000.Distribution PenetrationPricing StrategyDel Monte Fruit Drinks are available in 240 ml cans for Rs. 25. The Del Monte fruit drink offered through dispensers is available in 200 ml cups for Rs 20.Promotion StrategyDel Monte has relied on in store promotions for its Fruit Drinks i.e. price discounts, buy one get one offers and promotional material such as posters displays to promote Fruit Drinks in retail outlets. Del Monte launched Legend Brigade to popularise the range of Del Monte fruit drinks in pineapple, four seasons, pineapple-orange and the newly-launched green apple and orange flavours. This activation will travel to metros and mini-metros where the winner will receive a custom-made bike worth Rs 200,000. Del Monte has also launched an online biker game is on at its micro site, www.worldfoody.com to promote thrill of biking.