Summer Project on Beer Industry

SUMMER TRAINING REPORT ON

CHILLER SHARE & MERCHANDISING STUDY OF BEER INDUSTRY IN ORISSA WITH REFERENCE TO UNITED BREWERIES LTD.

Report Submitted In Partial Fulfillment of Post Graduate Diploma in Management

UNDER SUPERVISION OF:Mr.Rajneesh Arora

Sales Head (Marketing)United Breweries Ltd

ORISSA

SUBMITTED BY:CHINMAY KUMAR PATTANAYAK

ENR NO-GM08C002BATCH 2008-10

SUBMITTED TO

G. L. BAJAJ INSTITUTE OF MANAGEMENT AND RESEARCH.PLOT NO-2, KNOWLEDGE PARK-III, GREATER NOIDA-201306

Website: www.glbimr.org

ACKNOWLEDGMENT

The satisfaction euphoria that accompanies the successful completion of any work would be incomplete unless we mention the name of the person, who made it possible, whose constant guidance and encouragement served as a beckon of light and crowned our efforts with success.

Sometimes words fall short to show gratitude, the same happened with me during this project. The immense help and support received from United Breweries Ltd. overwhelmed me during the project.

I consider it a privilege to express through the pages of this report, a few words of gratitude and respect to those who guided and inspired in the completion of this project.”

I am deeply indebted to Mr.Padarbind Savat (HR Manager) for giving me an opportunity to undergo my project in their esteemed organization and give me their suggestions & valuable guidance. I also want to give thanks to Mr. Rajneesh Arora( Sales Head). They have constantly encouraged me and showed the right path from day first till the completion of my project.

I had visited almost all outlets of Bhubaneswar,Cuttack,Khurdha and collected information of the project. I have also done promotional activities under the constant guidance of my project guide.

ii

DECLARATION

I, Chinmay Pattanayak, a bonafied student of G.L.BAJAJ INSTITUTE OF ANAGEMENT & RESEARCH (Greater Noida), here by declare that this project is the record of authentic work carried out by me and it has not been submitted to any other university or Institute towards the award of any degree.

An attempt has been made by me to provide all relevant and important details regarding the topic to support the theoretical edifice with concrete research evidence. This will be helpful to clean the fog surrounding the various aspect of the topic.

I hope that this project will be beneficial for the Organization.

Date- Chinmay Pattanayak

iii

Abstract

This Summer Internship Project is a part of my PGDM course. I have done a market research on “CHILLER SHARE & MERCHANDISING STUDY OF BEER INDUSTRY IN ORISSA WITH EMPHASIS TO UNITED BEWERIES LTD.

This Market Research has been done on behalf of UNITED BEWERIES LTD. The main focus of this research is to know the consumer preference about the product. My project work was divided into two parts. First part was Market Research and second part was location mapping (find out potential market in Bhubaneswar, Cuttack, Khurdha). This project report will be helpful for KINGFISHER, who is looking for extending their Market Share in Bhubaneswar, Cuttack, Khurdha for more sales of product. It will also give information about consumers’ awareness.

The following topics have been covered in this market research:

Market survey about number of chillers in a shop and capacity of chillers (in cases)

Identification about whether the chiller is provided by the company or self owned.

Number of cans & bottles in a shop.

Share of different brands in a chiller like UB, SAB, DANZONG, etc.

Display of chillers in a shop whether in front side or backside.

Purity status of chiller

Refilling of chillers

iv

Table of Contents

ACKNOWLEDGEMENT................................................................................................................i

CERTIFICATE……………………………………………………………………………………ii

DECLARATION…………………………………………………………………………………iii

ABSTRACT……………………………………………………………………….……………..iv

INTRODUCTION…………………..…………………………………………………………….1

CHAPTER1.COMPANYPROFILE.……………………………………………………...………4

1.1 HISTORY…………………………………………………………………………………..4

1.2 LOGO..........................………………………………………………………………………. 6

1.3 ORGANISATION……….…………………………………………………………………6

1.4 KINGFISHER BRAND……………..……………………………………………………………………………………….......7

1.5 U B LEADING BRAND…………………………….……………………………………………………………………………8 CHAPTER 2:CHILLER SHARE AND MERCHANDISING ………………………………..13

CHAPTER 3: CHANNEL OF DISTRIBUTION…..………………………………………….15

CHAPTER 4: PRICE POLICY………………………………………………………………16

CHAPTER 5:RESEARCH METHODOLOGY……………………………………………….17

CHAPTER 6:ANALYSIS……………………………………………………………………18-28

CHAPTER 7:FINDINGS……………………................................................................................29

CHAPTER 8:SUGGESTION……..………………………………………………..…………..30

CHAPTER 9: CONCLUSION………………………………………………………………....31

BIBOLOGRAPHY……………………………………………………………………………..32

APPENDIX : QUESTIONNAIRE…………………………………………………………..33-36

v

Table of Figures

Figure 1: Chiller provided by the company ………………………………………….….18

Figure 2: Number of chiller in a retalier shop ………………………………………….19

Figure 3…Purity status of chiller………………………………………………………………...20

Figure 4:- Capacity of chiller in a shop…………………………………….………..…..21

figure 5 :- Chiller owned by the retailer shop…………………………………………….22

figure 6 :- Chiller placed in a retailer shop…………………………………………….…23

figure 7 :- Refill chiller in a day…………………………………………………….……24

figure 8 :- Refill chiller in a weekend……………………………………………………25

figure 9:- Share of cans & bottle in a shop…………………………………………………...26

figure 10 Branding of the retailer shop…………………………………………….…….27

figure 11Chiller provided by the company………………………………………………28

vi

List of Tables

Table 1: Summary of total outlets in orissa 2008-09………………………………………..…………………..15

Table 2: :-Price structure of United Beweries ltd. product………………………………..….16

Table 3: Chiller provided by the company……………………………………………………………………….....18

Table 4: Number of chiller in a Retalier shop……………………………………………………..……………....19

Table 5: Purity status of chiller…………………………………………………………………………………………..20

Table 6: Capacity of chiller in a shop………………………..…………………………….…………21

Table 7: Chiller owned by the Retailer shop ……………………………………….……………………………..22

Table 8 : Chiller placed in a Retailer shop…………………………………………………………………………23

Table 9: Rifill chiller in a day…………………………………………………………………………………………......24

Table 10: Refill chiller in weekend……………………………………………………………………………………..25

Table 11: Share of cans & bottle in a shop………………………………………………………………………….26

Table 12: Branding of the Retailer shop……………………………………..……………………………………..27

Table 13:Chiller provided by the company………………………………………….………28

vii

A name synonymous with Beer in India - Kingfisher stands for excitement, youth and camaraderie.

The Beer brands manufactured and marketed by United Breweries Ltd. have always been recognized for their international quality. That's Beer at its best for the discerning consumer!

The largest selling Beer in India

Commanding a 29% market share in the country

One out of every 4 bottles of beer sold every second in India

Available in 52 countries across the globe

The first among Indian brands to launch its own range of designer wear

Kingfisher, the bird is known for its keen instinct, and perfect aim. It zeros on its target with unfaltering focus. It is a very vibrantly coloured bird. All of its colours represent energy, youthfulness, enthusiasm, freedom with a touch of formality and discipline. No wonder, that this bird with an eye for right focus and an aim for Introduction

The world of today is changing fast. India is no exception. Especially after the opening up of the economy, the pace of change that India and its people are experiencing in their socio-cultural milieu is mind-boggling. India, with its wide diversity, offers a fascinating scope to study the host of changes which developmental activities have brought about in its social and economic fabric1. While it is possible to get any accurate measure of the subjective experiences that precede, accompany or follow such changes. However, the fact remains that the profile of the Indian market is vastly different from what it was five years ago. Although these changes are

1








Kingfisher, the bird is known for its keen instinct, and perfect aim. It zeros on its target with unfaltering focus. It is a very vibrantly coloured bird. All of its colours represent energy, youthfulness, enthusiasm, freedom with a touch of formality and discipline. No wonder, that this bird with an eye for right focus and an aim for difficult to measure at the micro level, nevertheless, they have been of great significance to

markets. Any market is keen to closely monitor the changes in terms of numbers and specially to keep regular track of the changing pattern of consumer’s aspirations and competitive actions. Fast Moving Consumer Goods usually refer to non-durable products. Examples include soft drinks, toiletries, grocery items, etc. A customer usually spends a minimum of effort to procure them. However, much of astute marketing activities have evolved from this class of products, where consumers show low involvement, put wider choice and allured by a host of inducements.

2








Kingfisher, the bird is known for its keen instinct, and perfect aim. It zeros on its target with unfaltering focus. It is a very vibrantly coloured bird. All of its colours represent energy, youthfulness, enthusiasm, freedom with a touch of formality and discipline. No wonder, that this bird with an eye for right focus and an aim for Kingfisher stands for excitement, youth and camaraderie. The beer brands manufactured and

marketed by United Breweries Ltd have always been recognized for their international quality. Kingfisher isThe largest selling beer in India commanding a 29% market share in the country. One out of every 4 bottles of beer sold every second in India Available in 52 countries across the globe. The first among Indian brands to launch its own range of designer wear ,Kingfisher, the bird is known for its keen instinct, and perfect aim. It zeros on its target with unfaltering focus. It is a very vibrantly colored bird. All of its colors represent energy, youthfulness, enthusiasm, freedom with a touch of formality and discipline. No wonder, that this bird with an eye for right focus and

3








Kingfisher, the bird is known for its keen instinct, and perfect aim. It zeros on its target with unfaltering focus. It is a very vibrantly coloured bird. All of its colours represent energy, youthfulness, enthusiasm, freedom with a touch of formality and discipline. No wonder, that this bird with an eye for right focus and an aim for an aim for succeeding in its attempt became the mascot for The Kingfisher brand of Beer from

the stables of UB group. United Breweries Sales of the United Spirits Ltd. are expected to exceed 60 million cases during the fiscal year 2005-06 making the Group the third largest manufacturer of Spirits products in the world[, only after Diageo PLC and Pernod Ricard. In addition, UBL is one of only three in the world to own seven millionaire brands and at least five brands rated by Drinks International, UK, to be amongst the ten fastest growing brands in the world in their respective categories.

The market share of the Spirits Division in India is currently 60% and exports to the Middle East, Africa and Asian countries are growing rapidly. Its flagship brand 'Kingfisher', has

4








Kingfisher, the bird is known for its keen instinct, and perfect aim. It zeros on its target with unfaltering focus. It is a very vibrantly coloured bird. All of its colours represent energy, youthfulness, enthusiasm, freedom with a touch of formality and discipline. No wonder, that this bird with an eye for right focus and an aim for achieved international recognition consistently, and has won many awards in International Beer

Festivals. Kingfisher Premium Lager beer is currently available in 52 countries outside India and leads the way amongst Indian beers in the International market. It has been ranked amongst the top 10 fastest growing brands in the UK.United Breweries made its initial impact by manufacturing bulk beer for the British troops, which was transported in huge barrels or "Hogsheads". Kingfisher, the Group's most visible and profitable brand, made a modest entry in the sixties. During the 1950's and 60's, the company expanded greatly by acquiring other breweries. First was the addition of McDowell as one of the Group subsidiaries, a move which helped United Breweries to extend its portfolio to wines and spirits business. Strategically, the Group moved into agro-based industries and medicines when

5








Kingfisher, the bird is known for its keen instinct, and perfect aim. It zeros on its target with unfaltering focus. It is a very vibrantly coloured bird. All of its colours represent energy, youthfulness, enthusiasm, freedom with a touch of formality and discipline. No wonder, that this bird with an eye for right focus and an aim for Malaya acquired Kissan Products and formed a long-term relationship with Hoechst AG of

Germany to create the Indian pharmaceutical company now known as Aventis Pharma , the Indian subsidiary of the global pharma major Sanofi-Aventis. It all began with 5 breweries in South India. The oldest of which, Castle Breweries, dated back to 1857. United Breweries, as these breweries were named in 1915 has come a very long way.

Since the launch, Kingfisher Beer has become one of the largest selling beer brands in the world. "It's flying" and the mood is upbeat - both within the Company and among consumers. The new look designed by the UK based packaging specialists, Claessens, is representative of the brand in

6








Kingfisher, the bird is known for its keen instinct, and perfect aim. It zeros on its target with unfaltering focus. It is a very vibrantly coloured bird. All of its colours represent energy, youthfulness, enthusiasm, freedom with a touch of formality and discipline. No wonder, that this bird with an eye for right focus and an aim for full flight, in a supportive environment. It reflects the energy, youthfullness and freedom that are

characteristic of the brand's target consumer and reiterates its contemporary positioning.

7








Kingfisher, the bird is known for its keen instinct, and perfect aim. It zeros on its target with unfaltering focus. It is a very vibrantly coloured bird. All of its colours represent energy, youthfulness, enthusiasm, freedom with a touch of formality and discipline. No wonder, that this bird with an eye for right focus and an aim for

8









9









10









11

Chapter-1

COMPANY PROFILE

United Breweries Group or UB Group, based in Bangalore is a conglomerate of different companies with a major focus on the brewery (beer) and alcoholic beverages industry. The company markets most of its beer under the Kingfisher brand and has also launched Kingfisher Airlines, an airline service in India, with international flights operating recently. United Breweries is India's largest producer of beer with a market share of around 48% by volume.The group is headed by Dr.Vijay Mallya who was also a member of the Indian Parliament. United Breweries now has greater than a 40% share of the Indian brewing market. Recently UB financed a takeover of the spirits business of the rival Shaw-Wallace company giving it a majority share of India's spirits business. The group owns the Mendocino Brewing Company in the United State

1.1 History:-

The UB Group was founded by a Scotsman, Thomas Leishman in 1857. The Group took its initial lessons in manufacturing beer from South Indian based British breweries. At the age of 22, Vittal Mallya was elected as the company's first Indian director in 1947. After a year, he replaced R G N Price as the chairman of the company.

UB Group's headquarters in Bangalore, India

United Breweries made its initial impact by manufacturing bulk beer for the British troops, which was transported in huge barrels or "Hogsheads". Kingfisher, the Group's most visible and profitable brand, made a modest entry in the sixties. During the 1950's and 60's, the company expanded greatly by acquiring other breweries. First was the addition of McDowell as one of the Group subsidiaries, a move which helped United Breweries to extend its portfolio to wines and spirits business. Strategically, the Group moved into agro-based industries and medicines when Mallya acquired Kissan Products and formed a long-term relationship with Hoechst AG of Germany to create the Indian pharmaceutical company now known as Aventis Pharma , the Indian subsidiary of the global pharma major Sanofi-Aventis. It all began with 5 breweries in South India. The oldest of which, Castle Breweries, dated back to 1857. United Breweries, as

http://en.wikipedia.org/wiki/File:UB_Towers.jpg









In addition, UBL has also entered into mutli-faceted strategic alliance with Scottish & NewCastle Plc (S&N), an international brewery major, with $6 billion in revenue and a market capitalization of $5.4 billion. This alliance, apart from having a joint venture in India, will allow S&N to market it International brands like Kronenbourg in India, while UBL will utilize S&N's global network to further globalization Its Kingfisher.

12









13









14









15









16

http://en.wikipedia.org/wiki/Vijay_Mallya

http://en.wikipedia.org/wiki/India

http://en.wikipedia.org/wiki/Bangalore









17









18









19









20









21









22









23









24









25









26









27









28









29









30









31

http://www.ubgroup.com/

http://www.kingfisherworld/









32

Documents

Summer Project on Beer Industry