DESK REPORT

On

“RETAILERS STUDY ON WAGHBAKRI LEAF TEA IN RAIPUR

REGION”
Undertaken at

Project Report Submitted To

Balaji Institute of Modern Management (BIMM),Pune

By
Suyash Jain
(MM1719200)

1
 DECLARATION

I, Suyash Jain, Student of BIMM–Balaji Institute of Modern Management, Pune,

Hereby declare that this project entitled

“CASE STUDY ON WAGHBAKRI LEAF TEA AND RED LABEL LEAF TEA”
for WaghBakri Tea Group, Ahmadabad, is a bonafide record of work done by me
during the course of summer internship project work of PGDM program and all
contents and facts are prepared and presented by me without any bias.

I also declare that it has not previously formed the basis for the award to me for any
degree/diploma associate ship, fellowship or other similar title, of any Institute/Society.

Place:
Date:

2
 ACKNOWLEDGEMENT

It gives me a great pleasure to express my deep sense of gratitude and in

debtedness to Gujarat Tea Processors and Packers Ltd., Mumbai for allowing me to
undergo Summer Project Program in their reputed organization.
I owe a great debt to my mentor Mr. Shrikant Shinde who in spite of their
pressing duties and responsibilities has shown a genuine interest in providing necessary
guidance regarding concept of the project and rendered support at all stages of the
project. I would also like to thank my local guide and mentor Mr. Amit Agrawal for
supporting me and helping me to provide with all the details and information’s and
clearing all my doubts and I would also like to thank the entire sales team of
Chhattisgarh for helping me and giving me their valuable time.
I would like to convey my sincere thanks to Mrs. Archana Shrivastav
(Director -BIMM) who helped me and motivated me whenever required.
Last but not the least I would like to thank my institution and my faculty members,
without whom this project wouldn’t have been a distant reality.

Regards,
Suyash Jain

3
 PREFACE

A Project is a scientific and systematic study of real issues on a problem with the
application of management concept and skills. The study can deal with small or big issues in
any division of an organization. It can be case study where a problem has been dealt with,
through the process of management. The essential equipment of a project is that, it should
contain scientific collection of data, analysis and interpretation of data leading to developing
BTL activities.

Summer Training is an essential part in PGDM curriculum. It enables the student to share
the real experience in industry. My summer training has placed in Wagh Bakri Tea Group,
Ahmadabad for the period of two months in Chhattisgarh area.

I underwent the project under the heading “CASE STUDY ON WAGHBAKRI

LEAF TEA AND RED LABEL LEAF TEA”.

This project report tends to give a sharp picture of the tea market and product, placement,
pricing and promotion of the competitors and WaghBakri.

I hope, this study can be of some help in increasing the sales volume and
making the marketing strategy for the same.

4
 TABLE OF CONTENTS

CHAPTER PARTICULARS PAGE NO.

NO.
1 INTRODUCTION 8
1.1 INDUSTRY OVERVIEW 8
1.2 MARKET SCENARIO 10
1.4 COMPANY BACKGROUND 11
1.3 PRODUCT PORTFOLIO 14
1.4 DISTRIBUTION AND GLOBAL REACH 22
1.5 COMPETITORS ANALYSIS 24
1.6 BRIEF INTRODUCTION OF THE TOPIC 27
1.7 REREARCH PROBLEM & OBJECTIVES OF THE 28
RESEARCH

2 LITERATURE REVIEW 29

3 RESEARCH METHODOLOGY 30
3.1 RESEARCH METHODOLOGY 30
3.2 SCOPE OF THE STUDY 31
3.3 LIMITATIONS 32

4 4.1 FINDINGS 33
4.2 SUMMARY 34
4.3 SUGGESTIONS/ RECOMMENDATIONS 35
4.4 CONCLUSION 36
4.5BIBLIOGRAPHY / SOURCES/ REFERENCES 37

5
 EXECUTIVE SUMMARY

“CASE STUDY ON WAGHBAKRI LEAF TEA AND RED LABEL LEAF TEA” is a live project
given by Gujarat Tea processers and packers limited where they wants to grow in the tea market of
Chhattisgarh and increase their market share. The project aimed at understanding the mindset of the
retailers and consumers, and it also focused on getting the feedbacks from the retailers and their take
on Wagh Bakri leaf tea v/s Red label Tea.

Company wants to see, what are the variables which are concern with what image does retailer have
about WaghBakri Leaf tea. Assigned location was 3 districts of Chhattisgarh, i.e. Raipur, Bilaspur,
and Durg-Bhilai and get as many responses as possible in two months, so that the market secnario and
competitive hurdles can be analyzed. Covering overall market of Raipur, Bilaspur and Durg-Bhilai (3
districts) in two months, so the data collection work was done in all the three markets as per the
scheduled plan with the sales officers.

The Project was focused on study and analyzing the actual position of Waghbakri leaf tea and
comparing it with the Broke Bond Red Label Leaf tea in Chhattisgarh. And for that I visited about 800
retailers in 3 districts of Chhattisgarh which were selling the Waghbakri tea and I carried a survey to
collect the data on the basis of observation and short questionnaire.

To achieve the objective I analyzed the observations recorded and the data collected and came out with
different findings and drawback of the company where they can improve a lot.

6
 CHAPTER 1
INTRODUCTION

1.1 INDUSTRY OVERVIEW

Packaged Tea Market in India

One of the oldest beverages, Tea makes one of the most competitive and challenging market
both in terms of product and competition. The branded tea segment is one of the most highly
penetrated branded products in India. Before analyzing the market segmentation, it is
interesting to understand the product segmentation for the tea market. In terms of product
classification, the tea is usually divided into black and green tea primarily and internationally
there is some variants of fruit/herbal tea, Instant tea, etc. which has negligible penetration in
the Indian market. Further in black tea, there are variants of standard and specialty black tea
both in loose and packed form. With increasing disposable income and awareness on product
differentiation (aroma, origin, taste etc), the loose/ standard tea is making way for more
premium variants and flavors. At the same time, the increasing consumer health quotient is
boosting sales for the green tea and its variants – mint, lime/ lemon, classic etc. Green tea has
been marketed for many health benefits such as weight loss, effective against diabetes and
cancer, healthier skin, stronger immune systems and assisting in hair growth. This has not only
resulted in consumption of premium segments but also given an overall push to the unit
consumption price point per kg.

To look at the market play, the total branded or the packaged tea (in various forms) market in
India is ~9500 crores growing at a CAGR of 5%. The branded tea in India can be classified
into the packed, tea bag, and flavoured tea segments whereas the unbranded segment is usually
the loose tea both in unpacked or tea bag form. As per industry estimates, unpackaged tea
accounts for over 45% of value sales of total tea sold in India and has a dominance presence
in the rural market. With the aggressive marketing and promotional schemes along with wide
distribution system, the rural market is opening wings to the branded or the packed tea brands
– national or regional alike.
In terms of packaged or branded tea distribution, almost the entire urban India is deeply
penetrated by various brands. As a typical FMCG product, the kiranas or independent
smaller merchants account for the major channel accounting for as high as 65-70% of
the sales followed by supermarkets and hypermarkets. The other slow emerging
segment is the on-trade sales of tea through food service formats such as tea lounges or
tea cafes along with hundreds of chai shops. Most of these formats use packaged or
branded tea either of the manufacturer (Wagh Bakri Tea Lounges, Goodricke Tea Café)

7
or smaller packs of established brands. Another channel of on-trade sales for packaged
tea is the tea vending machines increasingly been installed in large office complexes
and hospitals etc., but this channel shall witness crawling growth due to the smaller
street chai shops that appeals more to the Indian palate.
New introductions are being increasingly witnesses amongst various brands and notably
by Twinning’s green tea variants, such as Green Tea and Mint, Green Tea and Lemon,
Elaichi, and Green Tea Jasmine. Also, A. J. Tea House launched new flavours under its
GAIA brand such as Green Tea and Ginger and Green Tea and Lemon. The trend is
expected to catch up with other brands and one shall witness more variants and flavours
being launched in green as well as standard tea. Apart from the new products, the
packaged tea brands are also experimenting with pack sizes –from HORECA large
packing to 5-10 rupee sachets, swiftly targeted at various consumer segments. This is
coupled with new innovations being made in packaging, from thin standard packs, tea
bags, pet jars, and tetrapaks to wooden and ceramic exotic gift packing for some of the
premium variants offered by players such as of Dilmah, Infinitea etc. These trends are
expected to run the market for next couple of years. Premium variants, green tea and its
flavours and new flavours and fruit variants shall be launched to target consumers
looking for indulgence products. Not only new products, but existing players entering
into various price and variant segments and new player entry shall also be expected in
packaged tea market. Consumers will also continue to shift from unpackaged to branded
tea offerings. Growth is also expected via expansion of modern retail and penetration of
branded or packed tea in rural market among other factors. The RTD segment shall also
witness a boom and many more players shall be expected to create products with lesser
differentiation. On-trade sales of packaged tea shall also be another area to watch out
for as new players shall enter with various product and format offerings.

8
1.2 MARKET SCENARIO

At present scenario the market is dominated by

 Broke Bond (HUL) - 27.17%

 Tata tea (TGBL) – 29.59%

They both comprises of about 56% of the overall market in India as per a report by
euromoniter in 2016.

 Waghbakri tea (GTPPL) holds 8.09% of market share in India.

 Twining has market share of 2.04%

 Estimated Apparent Consumption of Tea in India

( Figures in Domestic Year Domestic

M.Kgs ) Consumption Consumption
Year (Estd) (Estd)
2014 927 2014-15 932
2015 948 2015-16 951
2016 965 2016-17 973

 CATEOGRY WISE PRODUCTION DURING 2015-16 VIS-À-VIS 2014-15

(Qty.in M.Kgs)

Category 2015-16 2014-15 Incr/decr in %

CTC 1121.35 1098.16 23.19 2.11
Orthodox 92.60 84.13 8.47 10.07
Green 19.19 14.89 4.30 28.89
Total 1233.14 1197.18 35.96 3.00

 TEA EXPORTS DURING 2015-16 VIS-À-VIS 2014-15 Period

Quantity (M.Kgs) Value (Rs.Crs)

2015-16 232.92 4493.10
2014-15 199.08 3823.64
Increase/Decrease 33.84 669.46
Incr/Decr in % 17.00 17.51

9
1.3 COMPANY BACKGROUND

About the company

Wagh Bakri Tea Group is a Premium Tea Company, having presence in tea business
since 1892. Today it is the 3rd largest packaged tea company in India with a turnover
of over Rs. 1100 Cr. and over 40 million Kgs of tea distribution. The group is a
leading stride in tea exports and retail consumer all over the world. With huge number
of Wagh Bakri tea lovers around the world, it has emerged as a truly global brand. The
company enjoys undisputed market presence in Gujarat, Rajasthan, Madhya Pradesh,
Maharashtra, Delhi, Hyderabad, Chhattisgarh, Western Uttar Pradesh & Goa and has
recently forayed in to Punjab and Karnataka.

Over the years, a long-lasting relationship of love and trust has developed between
Wagh Bakri and its loyal consumers. Leaf from the best tea gardens is selected and the
group directors personally taste and evaluate the teas.

Brief History of the company

The history of Wagh Bakri is unlike any other. Narandas Desai, who after leaving
two tea estates in Durban (South Africa) after political unrest in the early 1900s,
established Gujarat Tea Depot in Ahmedabad in 1919. However, it was only in the
1980s when Wagh Bakri Tea Group — then led by the second generation — tried
to replace the erstwhile loose tea business with packaged tea. But it wasn’t an easy
ride; government regulations and the external environment posed their own sets of
challenges. Wagh Bakri Tea Group’s executive director Parag Desai recalls,
“Twenty years later, the third generation once again took up the cause of the
packaged tea business and we have been growing since then.”
Certifications

Quality Certifications

Lacon GMBH, Germany

Certified Organic as per NPOP, Council regulation EC and Swiss Organic Farming
Ordinance
Certified 100 % Organic as per the NOP standards of the USDA
Intertek Semko Certification AB-KISTA, Stockholm, Sweden

10
Quality Management System
ISO 9001:2008 – Quality Management System, Swedac Certification
Food Safety Management System
- HACCP - Principles of Food Hygiene, by Intertek
- ISO 22000:2005 - Food Safety Management System, Swedac Certification

Key Pillars

Mr. Piyush Desai, Chairman

He is a Tea maestro, tea tasting and evaluation expert and visionary in the Tea industry.
He has been instrumental in setting high standards of quality at the Wagh Bakri Tea
Group with deep knowledge and insights in the industry. He has also been chairman of
the Federation of the All India Tea Traders Association (FAITTA).

Mr. Pankaj Desai, Vice Chairman

He is an expert tea taster and evaluator. He acts as a backbone of company in financial

and taxation matters.

Mr. Rasesh Desai, Managing Director

He is an engineer by education. He is a guiding force in domestic and international

marketing and plays a key role in the tea blending and packaging process.

11
Mr. Paras Desai, Executive Director

With a Diploma in Management Studies from Ohio State University USA, he

spearheads the group's tea evaluation, purchase, finance, operations and HR
departments .

Mr. Parag Desai, Executive Director

With an MBA from Long Island University USA, he spearheads sales, marketing and
export departments for the group and is an expert tea taster and evaluator.

Mr. Priyam Parikh, Whole-time Director

A Commerce Graduate and Finance Professional, is involved in tea tasting, tea purchase
finance and administration of the Company.

Mr. Ashwin Joshi, Whole-time Director

A Commerce Graduate and a LLB, carries with him the experience of legal practice of
over three decades. He looks after all legal matters of the Company.

12
1.3 Product Profile:

Wagh Bakri Leaf Tea

This tea is an undisputed leader in Gujarat, Madhya Pradesh and Rajasthan. It is now a
preferred choice of consumers in Delhi, Maharashtra, Goa, Chhattisgarh and Andhra
Pradesh. The tea is made of fine quality tea leaves specially handpicked from selected
quality gardens. The brand offers region specific blends for supreme consumer
satisfaction.

Wagh Bakri Dust Tea

Wagh Bakri Dust Tea offers strong taste, deep colour and more cuppage.

Wagh Bakri Fanning Tea

Wagh Bakri Fanning Tea is a blend cut between Leaf and Dust. It gives strong taste,
bright colour and more cuppage.

13
 Wagh Bakri Premium Tea Bags

It is an unmistakable combination of artfully blended tea and breakthrough packaging. It

is rich in antioxidants and is packed in innovative double chambered staple-free bags.
Thus, apart from ensuring health benefits, it also promises safety.

Wagh Bakri Masala Chai Tea Bag has authentic Indian spices mixed with your favourite
blend of Wagh Bakri Tea. These double chambered tea bags facilitate faster infusion.

Now relish the amazing flavour of Elaichi with your favourite Wagh Bakri Tea. Wagh
Bakri Elaichi Tea Bags ensures you intensely refreshing aroma, hypnotic colour and
natural flavour with every sip you take. It is packed in double chambered tea bags that
make tea drinking an enticing and sophisticated experience.

14
Wagh Bakri Ginger Tea Bags ensures you a refreshing aroma, hypnotic colour and
natural flavour with every sip you take. It is packed in double chambered tea bags that
make tea drinking an enticing and sophisticated experience.

Wagh Bakri Tea Quik Bags make for the 'fast and fashionable' way of drinking fine tea.

Darjeeling Tea Trio Gift Pack

Certified Organic Darjeeling Green Tea

15
Certified Organic Darjeeling Tea

Wagh Bakri Organic CTC Leaf Tea

100% Organic Combo Gift Pack

Instant Tea Premix Elaichi

16
 Instant Tea Premix Masala

Instant Tea Premix Ginger

Instant Tea Premix Lemon Grass

Instant Tea Premix Combo Pack

17
WAGH BAKRI ICE TEA

WAGH BAKRI GREEN TEA

GOOD MORNING
Good Morning Premium Tea

Good Morning Premium Tea is preferred by

connoisseurs as one of the finest blends of tea. The blend had been prepared by Wagh
Bakri's expert tea tasters and promises a rich combination of aroma, taste, colour, flavour
and strength.

18
 Good Morning Tea Bags

MILI
Mili Leaf Mili Dust Mili Fennig

19
NAVCHETAN
Navchetan Leaf Navchetan Dust

20
1.4 DISTRIBUTION NETWORK

Wagh Bakri enjoys an impressive market presence in

 Gujarat
 Rajasthan
 Madhya Pradesh
 Maharashtra
 Punjab
 Karnataka
The company recently launched its popular brands in

 Delhi
 Goa
 Hyderabad (Andhra Pradesh
 Chhattisgarh
 Western Uttar Pradesh
It has always taken extra care to provide a perfect blend to the people according to their
preference and taste, for different regions.

21
GLOBAL REACH

22
 1.5 COMPETITORS ANALYSIS:
 SWOT ANALYSIS

Strength Weakness Opportunity Threath

Consumers shift Entry of other
loyal customer High price
from Red Label and local competitors
base
lower consumer Taj mahal tea Weak distribution
Great Quality awerness
New market to
Consumers Trust lower market captuer
share

23
Competitors:

 HUL: Broke bond

History

Since 1869, Brooke Bond has brought to you the perfect tasting tea experience with the
best chosen leaves. It was in 1903 that Brooke Bond launched Red Label, one of India’s
most preferred tea brand today. Brooke Bond Red Label since then has changed the way
people drink tea.

In earlier time, tea was consumed for refreshment or just as a habit. Brooke Bond Red
Label worked to create one of India’s most favourite beverage ‘chai.’ Brooke Bond Red
Label Tea is a blend CTC tea with best quality leaves, processed in the unique Brooke
Bond Tea Excellence Centre.

The Taste of Togetherness

Brooke Bond Red Label is one of India’s largest selling tea brands. When made with a
touch of your love, it gives your family that irresistible great taste which brings them
together. Every cup of Red Label Tea is brewed with the best chosen tea leaves.

Brooke Bond Red Label is all about coming together over a warm cup of tea with
everyone around. The taste of Brooke Bond Red Label tea helps you spread warmth and
cheer in your family. Brooke Bond Red Label stands for making the world a more
welcoming place.

Enjoy the great tasting range from Red Label:

Red Label

Brews togetherness by bringing people together over a tasty cup of tea made with your
love and warmth. Red label stands for Swad Apnepan Ka.

Red Label Natural Care

Has a mix of five Ayurvedic ingredients namely Tulsi, Ashwagandha, Mulethi, Ginger
and Cardamom. Red Label Natural Care is clinically proven to enhance immunity and help
you fall ill less often.

24
 TGBL: Tata Tea is India’s largest packaged tea brand. Today, 1 in every 3 Indian
households consumes tea from the brand’s extensive range of variants. With 4
national and 3 regional brands, Tata Tea keeps the diverse preferences of its
consumers in mind, offering an eclectic range of flavours and tastes in its portfolio
of tea products.

Tata Tea began its journey more than 25 years ago, when the packaged tea market
was dominated by 1 large player with over 70% market share. While most saw
entering this market as an almost impossible task, Tata Tea envisioned an
opportunity.

Today, Tata Tea has an exclusive product for everyone across India, in a taste and
flavour they love and at a price they can afford.

25
1.6 BRIEF INTRODUCTION OF THE TOPIC
The project was all about collecting data Retailers and analyses it and find out the points of deviation
of WaghBakri Premium Tea. Assigned location was Raipur districts of Chhattisgarh with the target of
covering as many respondents as possible in two months, so that the market size and competitive
hurdles can be analyzed.

Covering Raipur market of Chhattisgarh (3 Regions) in two months is a difficult task, so the data
collection work was started from Raipur district.

The market study gave an opportunity to realize the actual condition of tea market in Chhattisgarh,
problems, opportunities, ways that they are following, positioning of various brands, their requirements
and as per it the findings could be found.
Company wants to grow in the Chhattisgarh market thus, this project was a check to understand the
consumer perception through retailers and the area of their lagging.

26
1.7 RESEARCH PROBLEM & OBJECTIVES OF THE RESEARCH
RESEARCH PROBLEM
To understand the present market condition and retailers perception towards Waghbakri leaf tea.

OBJECTIVES OF THE RESEARCH

Primary objective:

1. To understand and gather first hand feedback from the market.

2. To observe and understand the Waghbakri leaf tea market.

Secondary objective:

1. To understand the product, place, price, promotion of competitors.

27
 Chapter – 2

LITERATURE REVIEW
One of the oldest beverages, Tea makes one of the most competitive and challenging market both
in terms of product and competition. The branded tea segment is one of the most highly penetrated
branded products in India. Before analyzing the market segmentation, it is interesting to
understand the product segmentation for the tea market. In terms of product classification, the tea
is usually divided into black and green tea primarily and internationally there is some variants of
fruit/herbal tea, Instant tea, etc. which has negligible penetration in the Indian market. Further in
black tea, there are variants of standard and specialty black tea both in loose and packed form.
With increasing disposable income and awareness on product differentiation (aroma, origin, taste
etc), the loose/ standard tea is making way for more premium variants and flavors. At the same
time, the increasing consumer health quotient is boosting sales for the green tea and its variants –
mint, lime/ lemon, classic etc. Green tea has been marketed for many health benefits such as
weight loss, effective against diabetes and cancer, healthier skin, stronger immune systems and
assisting in hair growth. This has not only resulted in consumption of premium segments but also
given an overall push to the unit consumption price point per kg.

TEA AREA as on 31-12-2015 & PRODUCTION IN 2015-16

State Name Area Production
(Th.Hect) (M.Kgs)
Assam 307.08 652.95
West Bengal 140.44 329.70
Other NI States 12.29 25.91
(Tripura, Himachal Pradesh,
Uttarakhand, Bihar, Arunachal
Pradesh, Nagaland, Meghalaya,
Mizoram and Sikkim)
Total North India 459.81 1008.56
Tamil Nadu 69.62 161.46
Kerala 35.01 56.63
Karnataka 2.22 6.46
Total South India 106.85 224.58
All India 566.66 1233.14

28
 India records highest ever tea production during the financial year 2015-16;
exports breach 230 million kgs mark after 35 years

India recorded total tea production of 1233.14 million kgs during the financial year 2015-16,
which is the highest ever recorded by the country so far. As compared to 2014-15, the total tea
production registered an increase of 35.96 million kgs which is 3% more than last year.
Indian tea achieved another milestone during the financial year 2015-16 when it registered export
figures of 232.92 million kgs valued at Rs. 4493.10 crore, breaching the 230 million kgs mark
after 35 years. During 1980-81, India had exported 231.74 million kgs. Prior to that, during 1976-
77 and 1956-57, India exported 242.42 and 233.09 million kgs respectively.
As compared to the financial year 2014-15, the quantity of tea exports increased by 33.84 million
kgs (17%), while in value terms, the increase is by Rs. 669.46 crore (17.51%).
Increase of tea exports were registered mainly to Russia, Iran, Germany, Pakistan, Bangladesh,
UAE and Poland.
The increase in production of tea was mainly attributable to North India where increase in
production is by 52.74 million kgs (5.52%). However, South India’s production declined by 16.78
million kgs (-6.95%) due to adverse climatic conditions and labour issues in Kerala.
The all-India production of tea estates increased by 1.62%, while the production of the Bought
Leaf Factory (BLF) sector increased by 5.81%, which indicates increase of small tea growers’
share in production. Thus, about 33.85% of the total tea production is being contributed by small
growers. Among the major tea growing states, the share of small growers to the production is
highest in Tamil Nadu (53.16%) followed by West Bengal (40.4%) and Assam (27.55%).
CTC tea production constitutes 90.93% of the total tea production at 1121.35 million kgs,
increasing by 23.19 million kgs, compared to last year. Orthodox production constitutes 7.51% at
92.60 million kgs, increasing by 8.47 million kgs as compared to last year, while green tea
production constitutes 1.56% and stood at 19.19 million kgs, increasing by 4.30 million kgs.
The average price realisation and quantity sold at tea auctions throughout India also registered an
increase of 8.05% and 17.82% respectively as compared to the last financial year. Quantity sold
in North India auction centres increased by 39.31% with an increase of 3.27% in average price
realised while quantity sold in South India auction centres increased by 26.22% with an increase
of 29.01% in average price realised. It may be noted that the Tea Board has introduced the
provision of selling of at least 50% tea produced by the registered manufacturers through the
auction system by its notification dated 1st October 2015.

29
 CHAPTER 3

3.1 RESEARCH METHODOLOGY

Research Design : Descriptive Research

Data Source : Primary Data

Primary Data Collection : Survey Method

Primary Data Collection Instrument : Observation and Questionnaire

Sampling methods and techniques : Convenience Sampling

Sample Size : 750

Districts Covered : 3 Districts

Descriptive Research:

Descriptive-Descriptive as the name suggests is used to describe characteristics of a population studied

using questionnaire, personal interview and observations.

Cross –sectional design – It involves the collection of information from any given sample of population
elements only once

Questionnaire:

A questionnaire is a research instrument consisting of a series of questions and other prompts for the
purpose of gathering information from respondents, in the project we have used structured questionnaire
which consist of both close and open ended question.

Sample size:

It refers to the number of items to be selected from the universe to constitute a sample. An optimum sample
is one, which fulfills the requirement of efficiency, representative, reliability and flexibility.

30
Convenience sampling:

Convenience sampling is a type of non-probability sampling that involves

the sample being drawn from that part of the population that is close to hand. That is, a
sample population selected because it is readily available and convenient, as researchers is
drawing on relationships or networks to which they have easy access.

31
3.2 SCOPE OF THE STUDY
 The research is basically conducted to know about the general trade and modern trade
 Understand the product place price promotion of the product and competitors.
 Analyzing of the feedbacks.

3.3 LIMITATIONS
 The tea market in Chhattisgarh is very vast and collecting of the data in 2 months
were a challenge
 Due to summer the sale of tea was low and retailers usually shut their Shops by 2p.m.
for lunch hours, due to this there was time constraint to collect data and complete
the target for the day
 Dmart didn’t allowed us to contact with their customers in the stores.

32
 CHAPTER 4
4.1 FINDINGS AND OBSERVATIONS.
 WaghBakri Tea is have a good reputation amongst retailers due to good quality
and no complains.
 Waghbakri tea lags behind due to high price than its competitors.
 We are very low in sales volume in comparison to Red label tea.
 In our Waghbakri product range majority SKU sold during my research tenure was
250 grams, this was due to the sugar offer with it.
 New consumer base needed to be created.
 The retailers who have tasted Waghbakri tea, they recommend it to their
customers.
 We have low reach with the customers and have less penetration in the market.
 Modern trade is eating away the business of General trade from our customer.
 Consumers are attracted toward offer oriented products.
 In modern trade only Waghbakri premium tea is available that too in 3 SKUs.
 Product placements of our product are very less in comparison to the Red Label.
 Retailers are not ready to put extra effort on our product at present margin
percentage.
 In modern trade we lack behind as we are only present in Dmart in Chhattisgarh,
we are absent in Reliance market and Big Bazar.
 The display given by Red Label Reduces a lot of space of waghbakri products.

33
4.2 SUMMARY

Observation and the data collected from the cities of Bilaspur, Raipur and Durg-Bhilai tells
that Waghbakri tea is majorly purchased by the it’s loyal customers as Waghbakri have a
good consumer base and they contribute a lot in sale of Waghbakri premium tea.

To increase our sale we need to penetrate market and increase our customer base, and it’s
also observed that the costumers are less aware about the brand. The majority sale of 21
tones of our overall sale is majorly of Milli 5kg packs and Waghbakri. We lack a lot behind
if we compare ourselves in green tea category as Lipton and Tetley leads the market. In
same way in black tea market Broke bond Red Label dominate the market with about 45%+
of market followed by Tata tea and followed by others.

We lacks behind in marketing and consumer reach, and in case of marketing we only have
costumers reach through POP’s in Retail outlets and though TVC of milli tea.

34
4.3 SUGGESTIONS/ RECOMMENDATIONS

 To increase our customer base it would be great if we focus on ATL marketing.

 The positioning of Waghbakri need to be increased in consumers mind.
 A also need to focus on Milli tea as it is sold very less in comparison to its
competitors and also contribute less in our present Targets.
 Wet sampling needs to be done in right time.
 I would also suggest for dry sampling by following means:
o Door to door sampling in good societies
o Distribution of ₹5/- SKU with women oriented magazine.
 Increase in retailer’s margin to provoke them to sell our tea.
 Retailers or super market can we given display offers.
 Vein marketing could be introduced to reach to the interiors of the state.
 Continuation of consumer offer in different SKU’s to continue attracts the
consumers continually.
 The consumer offer with article attracts more consumers.
 I would also suggest to increase the more variety of products in Modern trade as it’s
a great platform to promote new products.
 Consumer awareness towards WaghBakri Premium Tea can be increase through
advertising it.
 Premix market could be increased as its market has huge potential as we have only
few competitors as girnar, we can also promote it via Dry sampling.
 We can also have a advertising camping and increase our digital media
advertisement reach.

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4.4 CONCLUSION
WaghBakri tea group needs to work a lot in Chhattisgarh market as it have huge potential
and provides a great Quality of tea. We can grow more and sales team can achieve more
numbers from present, if they could get more help from Marketing department. If loyal
Consumers base could be increased than it could help to grow rapidly. We need do a lot of
propaganda for Waghbakri and try to position it the consumers mind.

We can increase our consumer reach by focusing more in the advertising and positioning
of our product. We can also penetrate through social media marketing.

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4.5 BIBLOGRAPHY

www.mbaskool.com

www.teaboard.gov.in

www.ibef.org

www.indianmirror.com

www.euromoniter.com

www.waghbakritea.com

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