Website Designing – “Page Size”

Website Designing – “Page Size”


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Indian Food & Bakery Industry – Overview & Trends

India is seen as a country with loads of potential for Food Industry.

• The diverse agro-climatic conditions offer huge potential for the production of a variety of crops ranging from cereals, pulses to fruits and vegetables all round the year.
• India is the largest producer of several fruits, such as banana, mango and papaya, and the second-largest producer of vegetables such as brinjal, cabbage and onion.
• Further, India is the second largest producer of rice, wheat, sugar and cotton.
• India has the largest livestock population in the world, with 98.7 million buffaloes and 176 million cows. In milk and milk products, India is the largest producer, accounting for 20 per cent of the world’s production.
• The Middle East and Southeast Asia are major export destinations for Indian agricultural commodities and milk.
• The peninsular coastline drives the growth of the marine industry.
• With growing population of 121 crores and increasing income levels, it’s not surprising to see a demand for value added food products growing at 13% p.a.
• It has been estimated that the size of the middle to upper classes will increase to 267 million in the next 5 years, up 67% from the current level. 
• Nearly 50% of India’s population is below 25 yrs of age and over 65% below the age of 35 yrs of age. People in this age group, who demand convenience, variety and also health and nutrition, will fuel the demand for food products.
• In addition to the huge production base, India has the advantage of low cost of production, which gives it an unbeatable competitive edge in the world market place.

Food Industry Overview

• The food industry which is growing at a CAGR of 5% p.a. from 2006-07 is expected to reach Rs. 1,320,000 crore by 2015.
• The share of the Food Processing Industry within Food Industry is expected to increase to 50% by the year 2015 from current 44%. Similarly a share of organized sector within the Food Processing Industry is expected to grow to 40% from the current 36%.
• The rapidly growing organized food retailing and food services is showing a promising growth of 25%.

Key Growth Drivers

• Food consumption patterns of the Indian population are rapidly evolving owing to the changing needs and lifestyles coupled with increasing disposable incomes;
• Increased exposure due to international travels and media explosion have led to higher aspirations,  matched with availability of wider range of products through organized food retailing has resulted in higher spends.
• Attitudinal changes like experimenting with food and more willingness to spend has benefitted the processed and convenience foods the most;
• Huge production base, increase in organized food retailing and higher investments are other factors which are driving the growth.

Key Trends

• Indian companies, which previously focused only on back-end processing and manufacturing, have now extended their presence into the processed food segment. For example, Andhra Pradesh Dairy Development Cooperative Federation Ltd (APDDCF), which was established in 1981 with the objectives of milk supply and dairy development, now getting into establishing its presence in the market place through its own network of franchisees for retail sales and offering products such as packed curd, butter, ghee and paneer.
• With the Indian economy opening up, many food product MNCs have entered the market and introduced processed agricultural and milk products. For example, PepsiCo has launched Nimbooz, India’s first packaged nimbu pani, a popular traditional homemade drink in India. Del Monte entered the Indian ketchup market through Field Fresh Foods Pvt. Ltd. (a joint venture between Bharti Enterprises and Del Monte Pacific Ltd.) and launched a range of Del Monte products including ketchup and sauces. General Mills launched its ice cream brand , Haagen-Dazs through a franchise arrangement.

Key Challenges

• Level of food processing is still lower than the international benchmarks;
• Presence of higher number of small and unorganized players owing to the regulatory bottlenecks has resulted in lower investments in R&D, causing technology gap, which is turning out to be a major handicap in meeting global quality standards;
• Lack of modernization of agriculture with archaic processing and marketing infrastructure has led to inadequate forward and backward linkages in the food value chain.  This is adversely affecting the development of the entire sector.

Growth Opportunities

• Many growth opportunities exist across the food value chain;
• The fastest growing segments like dairy, fruits and vegetables, wine, confectionery and poultry could be the promising areas to enter;
• Demand for ready-to-eat (RTE), convenience foods, functional foods, health drinks, flavoured milk and fruit juices is increasing very fast;
• Opportunities exist in agricultural technologies – cold chain logistics, supply chain management, food parks and wholesale markets as well as modernization of the existing infrastructure;
• Organised food retailing and food services throw very promising opportunities. Organised food retail has touched almost Rs. 2,33,200 crore turnover;
• Indian farm produce offers some unique qualities and if processed, packed and marketed systematically holds lots of opportunities;
• Ethnic Indian food is becoming world famous and there exist a lot of opportunities for exports;

Bakery & Biscuits Industry Bakery industry is the largest of all the food processing sectors in India. The entire Bakery industry is estimated to be worth Rs. 18,293 Cr. Biscuits, which is the dominant category, is estimated to be Rs. 10,500 Cr. , growing at 18% p.a. Breads is second bigger category within Bakery Industry. It adds another Rs. 4,500 Cr. and is growing at modest 7% p.a. Cakes comprise Rs. 1066 Cr. and growing at 18% p.a.

The fastest growing products in the Bakery Industry are pizzas, burgers and pastries such as mousse cakes, fresh cream pastries, croissants, flavoured muffins and flavoured breads. Higher disposable incomes, busy lifestyles of the consumers and their willingness to try are all contributing to the rapid growth of these products. In Biscuits category, cream and specialty biscuits are leading the charge.

Key Players in the Bakery Industry are,

• Britannia Industries Ltd - Britannia, Tiger, Bourbon, Good day, etc.
• Monginis Foods Pvt. Ltd. – Monginis brand of Cakes, Pastries, Cookies, Chocolates and Snacks;
• Cremica – Cremica brand of biscuits, breads, buns, ice creams, etc.
• Dukes Foods – Cream Magic, Marie Break, Sweet Glucose, etc.;
• ITC Ltd. – Sunfeast, Golden Bakery, Candyman, etc.
• Parle Products – Monaco,  Hide N Seek, Milk Shakti, etc.
• Surya Foods & Agro – Priya Gold, etc.

Of all the above players, Monginis is the only brand which sells its products through its own 540 exclusive Cake Shop franchisees in 37 major cities in India.  It has also made its presence felt on the online space through its ecommerce portal www.monginis.net where people can buy cakes, cookies, chocolates and assortment of gifts or send to their near and dear ones.  In addition to that through its FMCG distributors it covers around 25,000 retail outlets across India. Monginis also has a presence in Egypt through 45 exclusive Cake Shops in 2 cities viz. – Cairo and Alexandria.

Thus, Food Industry in general and Bakery & Biscuits in particular hold promising future. But, a lot depends on how proactively and prudently the current challenges facing this industry are dealt with. 

Online Cake Business in India

The Indian Bakery Market is estimated to be worth Rs. 16,500 Cr., growing at a healthy CAGR of 7.5 % per annum. It is one of the largest food industries consisting various product categories like breads, biscuits, pastries, cakes, buns and rusks. These bakery products are fast catching up with the popularity trend as lifestyle of Indians is rapidly changing. The major categories are breads and biscuits, cornering about 82% of the Indian Bakery market. Another product segment worth mentioning is Cakes and Pastries. This segment is estimated to be worth Rs. 1250 Cr., of which significant 65% is in the unorganized sector. The organized sector is dominated by Monginis, a Cake brand head quartered at Mumbai. Monginis is more than 100 years old brand belonging to 2 Italian brothers by the name Mongini. It was taken over by Khorakiwala family in 1960s. Today, it has over 500 exclusive cake shop franchisees spread across 37 cities in India. These shops are catered to by 14 manufacturing facilities. Monginis also has packaged cakes and cookies, which are sold through a well structured network of Super Stockists and Stockists, catering to over 25,000 retail outlets across the country. Monginis also bears “international” ambition. It started its operations in Cairo in Egypt and today it has 50 exclusive shops across Cairo and Alexandria in addition to an intricate network of dealers and distributors across Egypt, for the packaged and longer shelf life cakes.

It also has ecommerce portal selling cakes online. For Monginis the most noteworthy amongst many growth opportunities is “online shopping”. India is sitting on a cusp of boom in online shopping and Monginis is not taking any chances. It has planned aggressive “push” in this space and it begins with a launch of a totally new website www.monginis.net.

New Look Monginis Website at www.monginis.net

A primary objective of having an ecommerce website is to provide online shopping platform for the people not only in India but the world over to visit its website for gifting cakes to their near and dear ones staying in any of the 37 cities in India or 2 cities in Egypt, where it has presence through its exclusive shops. Even though there are many websites selling cakes online, Monginis is one of a very few manufacturers, who has capacities to make cakes and capabilities to deliver to the desired addresses on its own. All the rest are either trading or having tie ups with some other business partners who perform the various functions on their behalf. So, in terms of trust Monginis definitely has an edge over its competition.

Secondly, on its website it has put a largest variety of cakes suiting to different occasions and needs of people. Now-a-days people buy or gift cakes not only for celebrating their birthdays or anniversaries but for different popular occasions like X'mas, New Year Eve, Valentine’s Day, Bhaidooj, etc.

Thirdly, it has uploaded a lot of information to educate and make people aware about Monginis in addition to engaging cake stories, baking tips and recipes. It has also planned for a lot of interaction with its loyal customers by engaging them with services like birthday reminders, newsletters and offers.  

For addressing specific queries from the Corporates it has  a separate section on its website, where the interested Corporates can either get in touch with it directly or fill up a form online for Monginis to get in touch with them for their specific requirements. For Corporates, Monginis can make logo cakes and monument cakes. These are completely customized offerings where cakes are made in the shapes of its Clients’ Logos or in the shapes of their Specific Products or Head Office Buildings.

All those people who want to get associated with Monginis as its franchisees, distributors or affiliates, can fill up the application forms on its website.

The quickest way forward for Monginis and to strike a right chord with the opinion leaders of today, the youths, is to make its presence felt in the online space. It has also taken major initiatives in the social media space. With all such novel initiatives Monginis is planning to refurbish its image by offering the most convenient “online shopping” experience to its loyal and dear customers.      

Indian Food Processing Industry - A Snapshop 2010 - 11

Figure 1 : Indian Food Processing Industry - Size & Growth

When it comes to food processing, India is at number 2 position behind China. Food processing Industry is 5^th biggest industry in India. As India is a country of foodies, it is the most promising of all the industries in terms of production, consumption and expected future growth. The size of the industry is estimated to be worth Rs. 4,00,000 and is growing annually at 14%, as shown in Fig. 1. 

The Food Processing Industry is still at a very nascent stage of development considering the fact that it accounts for only 2% of the total agriculture and food produce. It can be sub-divided in to the following,

Figure 2 : Segments in the Indian Food Processing Industry

 So far as Bakery industry is concerned, it is one of the largest food industries as shown above. Bread, biscuits, pastries, cakes, buns and rusk are some of the bakery products fast catching up with the popularity trend in India. There are 85,000 bakery units, of which 75,000 operate in unorganized sector occupying 65% of the market share. The per capita consumption of bakery products as it stands today is 1-2 kg per annum, which compares very low with that in the advanced countries, which is 10-50 kg per annum. The urban areas hog a major share of the Indian Bakery, comprising 77.5 % of the total market, owing to 2 vital factors – rising disposable incomes and time constraints in the working population residing in these areas. The Indian Bakery Market is estimated to be worth Rs. 16,500 Cr., growing at a healthy CAGR of 7.5 % per annum. Out of this bread and biscuits hold about 82% of the share.

Figure 3 : Segments in Indian Bakery Industry

The total production of biscuits in India is estimated to be around 20 lakh MT. The segment is estimated to contribute around Rs. 8500 Cr. of which 65 % is contributed by the organized sector. It is expected to grow at 15 – 17 % for the next few years. The major players in Biscuit segment are Britannia, Parle, Bakeman, ITC Foods Ltd, Surya Food and Agro Pvt. Ltd and HUL and the major brands are Britannia, Parle, Bakeman, Priya Gold, Elite, Cremica, Dukes, Anupam and Horlicks. The per capita consumption of Biscuits in India is hardly 2 Kg. Yet, India is ranked 3^rd after USA and China in the production of biscuits. The penetration of Biscuits in the urban and rural markets is 85 % and 55% respectively.

Bread production is estimated to be 3.75 million tonnes p.a. which would be worth approximately Rs. 4500 Cr. of which 55 % is contributed by the organized sector. The growth rate for the last 5 years is around 6 % (by volume). In this segment the 2 major players are Modern and Britannia. Besides Britannia and Modern, there are 25 medium scale and 1800 SSI units, comprising “organised sector”. The “unorganised sector” has 75,000 bakeries. South India consumes 32 % of the bread produced, followed by North 27%, West 23 % and East 18%. The bread industry is expected to register rapid growth driven by consumers’ need for convenient food options for breakfast as well as increased propensity to snack. Eventhough, consumption of milk bread continues to dominate, segments such as brown bread and fruit bread have been growing rapidly in the recent past. Growth of the food service industry is also expected to catapult the growth of bread and bread based products like burgers, sandwiches and pizzas.

Another segment worth mentioning is Cakes and Pastries. This segment is estimated to be Rs. 1250 Cr. of which 65% is in the unorganized sector. The organized sector is dominated by Monginis, a Cake brand head quartered at Mumbai. Monginis is more than 100 years old brand belonging to 2 Italian brothers by the name Mongini. It was taken over by Khorakiwala family in 1960s. The brand has over 500 exclusive cake shop franchisees spread across 37 cities in India. These shops are catered to by 14 manufacturing facilities. Monginis also has packaged cakes and cookies, which are sold through a well structured network of Super Stockists and Stockists, catering to over 20,000 retail outlets across India. It also has ecommerce portal selling cakes online. It basically caters to a gifting market, wherein if someone wants to gift a cake to his / her near and dear one, all he / she has to do is to book it on www.monginis.net and the cake gets delivered. Besides Monginis there is Britannia and numerous local regional brands. The major reason for having a very large number of local regional brands in this segment, is that these kind of products are consumed fresh, just like breads.

The other products in this Bakery industry are Khari, Toast, Rusk and other Bakersware, which are estimated to be around Rs. 2250 Cr. There are no major players in this segment. Even large players like Britannia and Monginis also have a minimal presence in this segment. This is because it is not feasible.

Thus, “freshness”  being the primary buying criterion for purchasing any bakery product, the large organized players always find it a challenging task as of now. In future, when other factors like convenience, health and hygiene start prevailing over the buyers’ purchase decision, the composition of the industry will change for sure in favour of the organized players.

Website Marketing - 1

Website Marketing is rapidly emerging as a new means of marketing products and services in India. Though it’s not significant today, it’s growing rapidly and will become one of the many ways of reaching T.G.

The Website Marketing Wheel looks like,

Website Marketing Wheel

There are 2 concentric circles addressing broadly Online T.G. for quick conversions and Offline T.G. for future growth. Any brand needs “conversions” not only from online community but from vast offline community also to sustain growth in future.

The various elements of the “Website Marketing Wheel” gain prominence over the others depending on,

·         Objectives / Purpose of the Website;

·         Business Model of the Website;

·         T.G.;

·         USP (Unique Selling Proposition);

·         And thus the Marketing Strategies of the Website.

Corporate Gifting Ideas

“We make a living by what we Get.  We make a life by what we Give.”

- Winston Churchill

·         A quote is apt especially in a corporate setting. Corporate gifting is an investment in relationships which are vital for future any organization. And, what other better article to strike a right chord than gifting “food consumables”. Because, as the popular saying goes, “the way to man’s heart is through the stomach”.

·         A recent survey by American Express revealed that almost half of corporate gift selections are now food-related, replacing the flowers and gift cards that have dominated earlier.

·        Flexibility, choice and the near-universal appeal of indulgent foods allow businesses to easily find a custom solution that invokes a positive feeling and a sense of bonding in recipients.

Corporate Gifting Occasions

·         Birthdays / Anniversaries :



Logo Cake



o   People are most receptive and are happy on their birthdays / anniversaries. It’s a landmark in their lives. There cannot be any other better timing to approach them than these.

·         Festivals :

o   Diwali,

o   X’mas or

o   New Year

These 3 are the most popular gifting occasions;

·         Special Days :

o   Like Doctor’s Day could be a very good opportunity to approach them.

o   Foundation day or Annual Day of an organization.

o   New product launch;

o   New office / factory opening;

o   And, many more …

Why “Cakes” for Corporate Gifting ?

·         Cakes are strongly associated with celebrations and happy moments;

·         If organization is targeting birthdays / anniversaries for gifting, then there cannot be a better gift than the Cake to create an everlasting impression;

·         For festive occasions like X’mas / New Year, cake is the most appropriate gift;



Logo Cake



·         Last but not the least, it stands out in a clutter of gifts one receives on popular occasions.

Why “Monginis Cakes” for Corporate Gifting ?

·         Monginis is no. 1 Cake brand in India.

·         It is ISO 22000 certified company;

·         It is  committed to making “personalized” deliveries across 37 cities in India and save you a trouble of handling logistics.

·         It is  flexible enough to give you unlimited creativity;

·        It has ample experience in handling “corporate gifting” of reputed companies.

Logo Cake - Different Ideas

Cookies & Chocolate Gift Hampers

o   It also has a range of crispy, crunchy cookies, with longer shelf life and transport friendly. The most popular amongst them are Shrewsbury, Tutti Fruity, Choco-Chips and Badam Cookies.

Gift Hampers

o   It makes very good hand-made chocolates in different flavours and shapes. These are packed in very attractive boxes, but if one desires to have a special exclusive packing, it can also be organized.

Snack Packets

o   It  has a range of snacks and cater to your specific requirement of snack packets whenever you need.

Snacks

What kind of “Gifting Programmes” Monginis can handle ?

·         Monginis can create a special bonding between you and your Customers / Clients.

·         Monginis can cater to your “Shareholders” and win them over.

·         Monginis can also help you in keeping your  Employees happy.

·         Monginis can also handle the prestigious Corporate Special occasions.     

Monginis Foods Pvt. Ltd.,

Mumbai

Url : http://www.monginis.net/