ITC entered the Indian convenience food market in 2003 with products under the Kitchens of India and Aashirvad brands targeting the upmarket and middle-class segments respectively. The products have a long shelf life of up to a year due to the use of retorting technology without adding preservatives. ITC aimed to leverage its strengths in hospitality, packaging, and agriculture to enter the food business. The case examines ITC's launch and pricing strategy for convenience foods in India.

1. ITC’s “ Convenience Food
Market”
Presented By:
Sumit
Pranjal
sanyog
Vimalesh
Akanksha
Rohit saxena

2. Abstract
 ITC Ltd. entered the convenience food market in India in 2003.
 It introduced its convenience food products under two brand
names, 'Kitchens of India' and 'Aashirvad', for the upmarket and
middle-class segment respectively.
 The caselet titled 'ITC's Foray into Convenience Food Market'
examines ITC's launch and pricing strategy for these products in the
country.
 The caselet also gives an overview of the processed food industry
in India.
 ITC's use of retorting technology to ensure a long shelf life for their
processed food products is also touched upon.

3. Issues:
 The emergence of the convenience food industry in India
Market segmentation for convenience food
 Use of technology to ensure long shelf life for convenience food
products
ITC was a dominant player in its traditional businesses of
cigarettes, hotels, paperboards, packaging and agri-exports.
ITC ventured into the branded and packaged foods business with the
launch of the 'Kitchens of India' (KOI) brand in August 2001 and the
'Aashirvaad' brand in 2002.
 By entering the food business, ITC aimed at leveraging on its proven
strength in the hospitality industry, packaging, and sourcing of
agricultural products...

4. INTRODUCTION
ITC was a dominant player in its traditional business of
cigarettes, hotels, paperboards, packaging and agri-export.
ITC ventured into the branded and packaged foods business
with the launch of the „kitchens of India‟ (KOI) brand in
august 2001 and „Aashirvaad‟ brand in 2002.

5. CONT…..
In June 2003 ,ITC entered the convenience food market
, launching ready- to-meal(RTEM), under the „kitchens of
India‟ brand name.
The USP of these product is that absolutely no preservatives
have been added, but the self- life of these food is close to a
year.

6. SEGMENTATION OF KOI
Geographic – Urban Area
Demographic- Age: 25+, upper class, Tourists, NRIs, Time
pressed family
Psychographic – Lifestyle
-Personality: Extroverts, low dogmatism
Behavioral
-Benefit: Less time consume
-User rate: Medium users

7. SEGMENTATION OF AASHIRVAAD
Geographic – Urban Area
Demographic- Age: 25+, upper class, meddle class, Time pressed
family
Psychographic – Lifestyle
-Personality: Extroverts, low dogmatism
Behavioral
-Benefit: Less time consume
-User rate: High users

8. MOTIVATION & GOAL
Positive Motivation: Ready –to-eat meals, „Quick to
heat, Delight to eat‟
Rational Motives: Benefit to saving time

9. PERSONALITY
TRAIT THEORY
 Innovativeness: High
 Dogmatism: Low
 Social Character: Inner directed
 Need for cognition : High NC
 Optimum Stimulation Level : High

10. Analysing Positioning Strategy
LOGO:
The logo of the brand has a wooden plank with Kitchens of India
written on it in a stylized font
Stylized India map in black and golden borders in the corner of the
plank, it has also got Kitchens of India written on it.
These elements together give a royal , exclusive and warm feeling to
the brand.
The main reason behind this may be that the product was initially
developed keeping in mind the export markets, where evoking India
and royalty centric emotions would have been necessary.

11. Cont.
COLOUR –
Mainly light golden colour is used to give a royal Indian feel to the
brand.
IMAGES –
The images used are very high quality images of Tasty food in
precious/exquisite looking utensils.
GRAPHICS –
The graphics used are those which can be described as traditional
Indian art used for crafting sides and borders, usually found in Indian
palaces and forts. This is also done to provide an India centric
identity.

12. Cont..
FONTS –
Stylised fonts which add to the India centric appeal. Moreover they
also evoke association with ITC.
PACKAGING
The outer packaging has been done In good quality hard paper to
preserve that “authentic” touch prominent with the brand.

13. Cont.
NAMES
The names of the dishes have also been wisely chosen to reflect the
positioning which is “Authentic ,Tasty Indian Cuisines” .
Names are also chosen to reflect the association with ITC‟s restaurants
like Bukhara Dumpukht etc. in its welcome group hotels.
ADVERTISEMENT
The advertisements reflect the positioning well while sending strong
visual stimuli to stimulate the senses and create favourable perception.
The brand has come out with a range of classical music albums to appeal to
consumers hearing tastes

14. Perceptual map
Easy to use
Multi-purpose cooking
paste
Ready to eat
food(masala)
High price Low price
Staples(Atta
&salt)
Hard to use