Title : Table Salt (FMCG product

)
Subject : MABD
Program : GPBL
Level / Semester : SEM 1
Name of Student : Girish Masur

Word count : 1170

Word Limit : 2000

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 Table of Content

S.NO Content Page(s)

1. Introduction 5

2. Indian Salt market 6

2. TATA Salt 7

3. Segmentation 8-10

4. Product life-cycle 10

5. Bibliography 11

Table Salt
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Introduction
The importance of salt in our lives cannot be overstated. Without salt, our bodies
cannot perform some of the vital functions like regulating blood and body fluids
and maintaining nerve signals. Salt deficiency leads to muscular weakness, cramps
and exhaustion. Severe salt deprivation can even prove fatal.
Salt sets off an osmosis movement in the body and adjusts the amount of fluids
within and outside the cells. A healthy body processes the amount of salt it needs,
and expels the rest through the kidneys.
Types of salt:
• Sea salt: Available in both fine and coarse grains, this is made from evaporated
sea water. It is rich in minerals such as iodine, magnesium, and potassium, and has
a fresher and lighter flavor.

• Table salt: It is basically sea salt that goes through a refining process to remove
traces of naturally occurring mineral impurities. Chemical additives are added to
prevent clumping.

• Iodized salt: This is a variation of table salt. It’s fortified with iodine, as lots of
iodine is lost from natural salt during processing. This helps meet the body’s iodine
requirement.

Indian scenario
India Salt, the flagship brand of the business unit, has been commanding a healthy
27% market share in the premium segment, the nationally branded salt market
(estimated to be about 700,000 -800,000 tons annually). While it is the market
leader in this segment, there are two significant challenges for the management at
India Salt. Firstly, the nationally branded salt market is just about 13% of the total
product category. This is a concern especially when a formidable presence in a
minor market segment may not amount to a significant business opportunity in the
long run, more so in a product category, which seemingly has very few
opportunities to enhance value and /or differentiate from competition (basic
commodity).
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TATA SALT- Desh Ka Namak
Tata Chemicals Ltd. began the history of iodized, vacuum-evaporated, packaged
salt in India with Tata Salt back in 1983. Tata Salt, the flagship product of TCL'S
consumer products division is the top-selling branded iodized salt in India.
Tata Salt commands a 19.1 per cent of the market in overall Iodized salt category
and 49.4 per cent in the National branded segment. It sells a monthly average
40,000 metric tons of its product through 13.4 lac retail outlets (Source: ACNORG
retail audit Mar 07 AI U+R Vol).

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A survey conducted across the country's urban centers showed that Overall
awareness is 100 per cent for Tata Salt and that 93 per cent of respondents had
tried Tata Salt at least once (Source: ACNORG winning Brands brand track studies
Dec 06) This is the highest for the category.

Distinctions of Tata Salt:-

State-of-the-art vacuum evaporated production process Purity
Consistent iodine
Packaging
Trust of consumers

Market hold of TATA Salt

Segmentation
What is segmentation?
Market segmentation is a strategy that involves dividing a larger market into
subsets of consumers who have common needs and applications for the goods and
services offered in the market. These subgroups of consumers can be identified by
a number of different demographics, depending on the purposes behind identifying
the groups. Marketing campaigns are often designed and implemented based on
this type of customer segmentation.
One of the main reasons for engaging in market segmentation is to help the
company understand the needs of the customer base. Often the task of segregating

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consumers by specific criteria will help the company identify other applications for
their products that may or may not have been self evident before. Uncovering these
other ideas for use of goods and services may help the company target a larger
audience in that same demographic classification and thus increase market share
among a specific sub market base.

• Geographic

Urban: The consumption of salt in urban region is high as the number of

people staying in urbanized area ishigh and consumption of salt is directly
proportional to the number of people. The number of hotels and restaurant
are high which also plays a very important role in the consumption of salt.
The ratio of literate people in urban area is more and hence maximum
people staying in urban area opt for packaged iodized salt.

Rural: Consumption of salt here in rural area is less as compared to urban

because of less amount of population.
As the ratio of illiterate people as compared to the literate ones is high, the
people choose to buy non packaged, freely available non-iodized salt. Since
the rural people are not much aware of the fact that iodized salt help

Hilly region: People staying in the northern and northeastern region do not
get much of iodine through other natural means of diet and hence it has been
made mandatory for people living in such hilly regions to consume iodized
salt only. Lot of efforts is taken to make people aware about the importance
of iodized salt.

• Demographic

Definition:

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 Demography is the scientific study of characteristics and dynamics
pertaining to the human population. The characteristics encompassed by this
study include size, growth rate, density, vital statistics, and distribution of a
specified population.
Age: There are no age factors that can be taken into account when it comes
to the consumption of salt but, if you do the precise study, one can find that
The age group from 3 – 8(child) and the age group from 60 and
above(senior) consume less salt as compared to the people belonging to the
age group of 10-60(teenage, adult and mid-age)

Family size: It has been proved that the consumption of salt is directly
proportional to the number of people. The larger the size of the family, great
the consumption of salt.
Gender:
Females are the primary buyers of salt for household purposes and hence
they play a very important role in buying salt and opting for a specific brand.
Males are not the primary buyers but it has been scientifically proved that
males consume more salt than females.
• Psychographic
Refers to lifestyle i.e. whether the consumer is culture oriented, sports
oriented, outdoor oriented.
Lifestyle of human does not have any significance on the consumption of
salt. It can only have an impact on the brand of salt i.e. which brand is the
best of all in selling salt or which is the cheapest.

Product life cycle of Table Salt

Introduction: It is hard to track down when the salt came
into existence to the human life. But, as per the studies say
that the Iodized table salt was first introduced in India in the
year 1965.
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 Growth: Since salt is a basic necessity for human life, the
growth is increasing ever since. As we discussed earlier, the
consumption of salt is directly proportional to the number of
population. Awareness were spread among the people to
consume iodized salt which made a slight growth in the
consumption of iodized salt.

Maturity: Not applicable in case of Salt.

Decline: Not applicable in case

of salt.

Bibliography

• Wikipedia
• Philip Kotler
• www.Tcl.com (Tata chemical limited)

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• http://tutor2u.net/business/marketing/segment
ation-psychographic.html