Cigarettes brands in india
- CIGARETTE Analysis IN INDIA
Reviewed by
LALIT SONI (A 73) - THE INDUSTRY IN SPECIFIC
- The cigarette industry is one of the oldest industries in India.
- It is an important AGRO based Industry.
- It is highly labor intensive & provides livelihood to about 5 million people directly and indirectly.
- Cigarette is an item falling under the First Schedule to the Industries (Development & Regulation) Act, 1951 and requires an industrial license.
- India is the second largest producer of tobacco in the world.
- It exports a good amount of cigarette in various countries, which generates a handsome amount of revenue for the company.
- Cigarette exports during 2007 08 increased by 11 % in volume terms over the exports of previous year.
- Major markets for cigarettes are UAE and USA, Romania, Saudi Arabia and Iraq where the demand for generic low cost cigarettes is growing.
THE INDUSTRY IN SPECIFIC
- Cigarettes account for only 15% of tobacco consumed in India unlike world pattern of 85% due to prolonged punitive taxation
- Cigarettes (15% of tobacco consumption) contribute nearly 85% of Revenue to the Exchequer from tobacco sector
- Of the 58% of adult Indian males who consume tobacco, barely 15% can afford cigarettes
- Biri Cigarettes ratio 10 1
- Annual per capita adult cigarette consumption in India is appx. one tenth world average 85
- Future growth depends on relative rates of growth of per capita income and moderation in taxes
15 % cigarettes
- Godfrey Phillips (India) Ltd.
- V.S.T. Industries Ltd.
- ITC Limited
- G.T.C. Industries Ltd.
GTC 8%
GPI 12%
ITC 72 %
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Market attractiveness & Competitive strength is also important.
- One of India s premier private limited groups with over 99 years.
- Large & established Distribution Networks.
- Annually turnover of the co. is RS 2888 Crore
- It is one of the eight Indian companies to feature in Forbes A list in 2004.
- It has more then 21,000 employees at more then 60 location across India with 4,86,000 shareholders.
- Ranks No. 4 among Indian listed Private Sector Companies bymarket cap. ( April 09)
- Rated as one of India s Most Respected Companies(IMRB Business world Survey 2006)
- On 24th Aug. 1910 the company was incorporated as a private company under the name, Imperial Tobacco Co. of India ltd.
- On 27th Oct. 1954 the company was converted into a public limited company.
- The name of the company was changed from the ImperialTobacco co. of India ltd., to India Tobacco co. ltd. In May 1970.
- On Oct. 1972 company entered into Hotel business.
- On 2000 company has launched a project e choupal in Bhopal to Web enable farmers to make a beginning in Agriculture e trade.
- During the same year ITC has launched Wills sport, a full range of internationally styled premium wear for Men & Women.
- Vision
Sustain ITC&apos s position as one of India&apos s most valuable corporations through world class performance, creating growing value for the Indian economy and the Company s stakeholders.
- Mission
To enhance the wealth generating capability of the enterprise in a globalizing environment, delivering superior and sustainable stakeholder value.
- They have a DIFFERANTIAL MARKETING STRATEGY type.
- Cigarette companies manipulate menthol levels to lure young smokers
- Major brands and their advertising campaigns
- Always use their existing channels.
- Utilizing nominal resources related with the brand
- Brand Ambassador are selected according to the brands and mostly are YOUTH ICONS
- They emphasize on going with the FLOW and making their Followers .
MARKETING STRATEGY
- Market leader in India.
- Powerful Brands across segments.
- Leadership in all segments geographic & price.
- Extensive FMCG distribution network.
Direct servicing of 1,00,000 markets & nearly 2 million Retail outlets.
- Exciting long term growth potential.
- World class state of the art technology and products.
Investment Rs.10 billion in six years
- About 71% of the Total Turnover depends upon this Business.
- Super Premium Products
- Insignia
ITC Insignia. 97 mm.
Cost Rs 130 for 20
Where quality touches infinity , redefine perfection
Advertised in Higher SES area
- 555
ITC 555 premium filter regular 84 mm.
Cost Rs 100 for 20
Advertised in Higher SES
- India King
ITC India King. 84 mm.
Cost Rs 100 for 20
Rule your World
Advertised in Higher SES area
- Wills Silk Cut(king size)
ITC Wills Silk Cut Filter 84 mm.
Cost Rs 88 for 20
A blend so right a filter so fine
Advertised in Higher SES
- Premium Products
- Wills Classic/Mild/Regular/Menthol / Ultra Mild
ITC Wills Classic/Mild Filter King
84 mm. Cost Rs 94 for 20
Discover a passion
Advertised in Higher SES
- Wills Navy Cut(Filter Tipped)
ITC Wills Navy Cut Filter ,74 mm.
Cost Rs 68 for 20
Made for each other
Advertised in Higher SES
- Wills Navy Cut(Duotec)
ITC Wills Navy Cut Filter ,84 mm.
Cost Rs 80 for 20
Advertised in Higher SES
- Navy Cut(Regular Size)
ITC Wills Navy Cut Filter ,69 mm.
Cost Rs 48 for 20
Advertised in Higher and Lower SES.
- Gold Flake(Premium)
ITC Gold Flake Premium Regular 69 mm.
Cost Rs 58 for 20
It s Honeydew Smooth , Smooth, exquisite,
timeless. But then, all art is
Advertised in Higher and lower SES
- Gold Flake King/Lights/Ultra Light Filter
ITC Gold Flake King/Light Regular 84 mm.
Cost Rs 88 for 20
Now in a Bevelled Edge pack
Advertised in Higher and lower SES
- benson & hedges(light & hard)
- B & H under ITC Regular Size 84mm.
- Cost Rs 100 for 20
- Advertised in Higher and Lower SES
- Marlboro (light & hard)
- Phillip Morris under ITC Regular Size 84 mm.
- Cost Rs 100 for 20
- Advertised in Higher and Lower SES
- Bingo Products
- Wills Flake
- ITC Wills Flake Filter Regular Size 69mm.
- Cost Rs 58 for 20
- Advertised in Higher and Lower SES
- Bristol
- ITC Bristol Regular Size 69 mm.
- Cost Rs 32 for 20
- Rise to the taste
- Advertised in Higher and Lower SES
- Strength
Biggest and the largest player in the Indian tobacco market with a market share of 80%.
Its Gold Flake tobacco brand is the largest FMCG brand in India and this single brand alone holds 70% of the tobacco market.
- Weakness
It still has to consolidate its foot in the cigar market largely dominated by Godfrey Philips.
- Opportunities
ITC is moving into new and emerging markets like developing countries of Eastern Europe, Africa etc.
- Threats
The obvious threat is from competition, both domestic and international.
Health hazard
Increasing tax in Cigarettes
- Ent
ry Barrier ANALYSIS - Supplier Bargaining Power
- Buyer&apos s Bargaining Power
- Industry Rivalry
- Substitutes
Porter s Five Forces analysis
- The second largest player in the Indian cigarette industry.
- Annual turnover exceeds INR 1800 crore (approx. US $369.6 million)
- Has two major stakeholders, one of India&apos s leading industrial houses the K. K. Modi Group and one of the world&apos s largest tobacco companies, Philip Morris.
Godfrey Phillips India ltd.
Incorporated in India in 1936, the Company established its own manufacturing facilities in 1944
On 1946 GODFREY PHILLIPS became a Public Ltd. Co. with its manufacturing operations in Mumbai
Its products are distributed through an extensive India wide network comprising 484 exclusive distributors and over 800,000 retail outlets
- Vision
To become a leading tobacco player in India and beyond.
- Mission
empowers all its people to think and act radically, stretch relentlessly and generate path breaking ideas and strategies to propel the Company. This helps to create and build powerful brands with unmatched service and world class processes.
- Four Square Filter
GPI Four Square Filter Regular.69 mm
Cost Rs 48 for 20
Man with the smooth edge
Advertised in Higher and Lower SES
- Stellar
GPI Stellar Slims Cost Rs76 for 20
Low nicotine, High Satisfaction
Advertised in Higher SES area
- GPI Red and White
- GPI Red & White flake
- Text in Hindi Hum red and white
peenewalonkibaat hi kuchaurhai
- Cost Rs 48 for 20
Advertised in Higher and Lower SES
- I Gen
- GPI Red & White Regular .
- Introduced India s 1st King size 5 s pack
- India s 1st Euro Norm 10 1 10 cigarette holds the promise
of an advanced cigarette quality and immense style.
- Advertised in Higher and Lower SES
- jaisalmer
- GPI Jaisalmer Premium king size .
- It is a luxurious blend of finest sun dried
Virginia tobaccos which deliver a smooth
mellow flavor.
- Advertised in Higher and Lower SES
- north pole
- GPI North Pole menthol
- largest selling menthol cigarette in India
- Advertised in Higher and Lower SES
- cavanders
- GPI s Oldest & most trusted brand.
- providing superb value and satisfaction
- Cost Rs 68 for 20
- Advertised in Higher and Lower SES
- tipper
- Phillip Morris Tipper
- The fastest growing micro segment brand
- Advertised in Higher and Lower SES
- Strength
The second biggest tobacco company in India
The first and only tobacco company to organize the fragmented cigar market in India and secure its position as the market leader in the cigar distribution.
Partnering with some of the top most players in the international tobacco industry.
- Weakness
low popularity of most of its products
No sole authority
- Opportunities
Already present in the Middle East, West Africa, South East Africa and South East Asia, GPI can strengthen its position as an international player by entering new markets.
Even expanding market share in the Indian tobacco market is an opportunity
- Threats
ITC getting into the cigar market
It has a mere 12% in market share
- New Entries
- Buyers bargaining powers
Oligopoly market situation.
Suppliers bargaining power
Fragmentation, consolidation & integration.
Low switching costs
Threat of substitutes
Depends on buyer to buyer. Some are Brand Loyalists.
Competitive rivalry
New innovative products by rivals.
Porter s Five Forces analysis
- GPC is a professionally managed organization in the field of tobacco and tobacco related products.
- Established in the year 1930 by the late ShriNarseeMonjee.
- GTC is the first wholly owned company specializes in manufacturing & exporting an exclusive range of Cigarettes, Flavor Cigar & Non Tobacco smoking product.
- GTC has manpower strength of 2000 employees spread across manufacturing.
- The Company has two major production facilities in Mumbai as well as Baroda.
- Vision
- To be a largest, Human sensitive , Global Tobacco Company.
- Mission
- Constant R & D to develop the finest blends guided by relentless focus to deliver world class packaging, with the aim to exceed expectations of our consumers both in India and around the globe . All of our long term strategies & short term will be bound by the finest standards of professionalism and dedication.
- We work with commitment , dedication & Integrity towards a common goal.
- We are an equal opportunity Employer.
- We believe that learning is a life long process & provide an environment attuned to growth.
- We are a balance of the boldness, energy and courage of youth, sharpened by the experience, foresightedness and wisdom of veterans.
- PANAMA
- A Legendry brand of GTC.
- The company has launched several variants in the Panama portfolio.
- Some of these are
- Panama Virginia Regular
- Panama Filter
- Panama Gold
- Panama Premium Filter
- Panama Delight
- Panama Menthol
- Panama Mini Kings
- chancellor
- The Chancellor name is given to Golden Tobacco s Finest Blends.
- Chancellor as a symbol of quality cigarettes.
- Chancellor Browns
- A unique Premium blend in the king size segment
- It is a sophisticated & stylish product.
- Chancellor Royale
- Which appeals to the modern age consumers who have royal tastes & hearts of Gold.
- Chancellor Exclusive
- Unique Brown Cigarettes in Regular size with Distinctive Flavor.
- Chancellor Harvard Luxury
- A Consumer s Favorite since ages.
- Chancellor Lights
- A mind blend of finest tobacco, in a style White pack.
- Golden
- Carving a niche for itself in the crowded marketplace is the Golden s Brand.
- An assurance of quality, for the value conscious smoker.
- Golden s Gold Flake
- A strong blend.
- Which allows the smoker to derive
immense pleasure.
- Golden s Major
- A tribute to the Macho, Courageous and Bold personalities.
- The packaging of Golden major has been inspired from the Defense fraternity.
- taj chap
- A heritage brand of Golden Tobacco
- Market for more than 35 years.
- The only Premium brown cigarette in the
non filter segment.
- style mini kings
- Launch more than 25 years ago
- To cater to the changing youth of the country,
The name STYLE says it all.
- A distinctive blend , which was very well accepted by the Indian Youth.
- steel(Regular & king size)
- Steel It Separates Men From Boys .
- Targeted at the youthful Rich & smooth smoker,
With new look packaging & style.
- Regular size of Steel has been a huge success.
- June(Light & menthol Flavors)
- Premium quality Virginia blend producing
rich & pleasant characteristics.
- June Slim has been designed meticulously to
suit the life styles of those who like to carry thems
elves.
- just black
- A Flavored Filter Cigar
- Flavors Full flavor, mild, menthol, cherry,
Chocolate vanilla, peach, rum, raspberry,
Sour apple, strawberry & grapes.
- lips
- Lips flavored cigars(in tube pack)have a sweet
filtered tip and are loaded with flavor.
- Each cigar is packed in its own individual plastic tube.
- An ideal product to carry around in your pocket.
- The company was incorporated in 1930 at Hyderabad .
- The third largest player of Cigarette industry in India.
- In 1984 the name of the Company was changed from The Vazir Sultan Tobacco Co. Ltd. to VST Industries Ltd.
- The Company embarked upon a major modernization program designed to improve its competitive ability in domestic and international markets.
- The company recorded revenues of INR3,401.7 million (approximately $84.5 million) in the fiscal year ended March 2008.
- The Company manufactures and distributes Cigarettes The products are sold under the trade names Charminar Specials&apos , Shah I Deccan&apos , Qila&apos , High Court&apos , Vazir&apos and Ambassador&apos .
- chArms
- A Legendry brand of VST.
- The taste that sets you free
- Advertised in Lower SES
Major brands
- Charminar
- A Legendry brand of VST.
- The company has launched several variants in the Charminar portfolio.
- Some of these are
- Charminar Special Filter
- Charminar Plain
- Charminar Standard.
- Advertised in Lower & High SES
Area.
Philip morris international – wikipedia, the free encyclopedia
Discount cigarettes & smokeshop – hayward, ca
- a b “Altria to spin off Philip Morris International”. AP/MSNBC. 29 August 2007. Retrieved 19 December 2011.
- WHO Report on the Global Tobacco Epidemic, 2008 the MPOWER package. Geneva World Health Organization. 2008. ISBN 978 92 4 159628 2.
- “Where to find us.” Philip Morris International. Retrieved on 19 October 2009.
- “PMI Factsheet”. PMI. Retrieved 19 December 2011.
- 1
- Maria Kiselyova (4 December 2013). “Philip Morris, Japan Tobacco spend $1.5 billion on Russian distributor”. Reuters.
- Philip Morris International Board of Directors
- “Our Charitable Giving Program”. PMI. Retrieved 19 December 2011.
- “R&D at PMI”. PMI. Retrieved 19 December 2011.
- Klya Tienhaara and Thomas Faunce Gillard Must Repel Big Tobacco’s Latest Attack. Canberra Times 28 June 2011
- “Plain packaging challenge faces High Court”. ABC News. Retrieved 12 July 2012.
- Rory Carroll. Uruguay Bows to pressure over anti smoking legislation. Guardian 27 July 2010
- Philip Morris International Overhauls Labor Protections. Human Rights Watch May 22, 2011
- Elizabeth A. Smith, Ph.D. and Ruth E. Malone, R.N., Ph.D., F.A.A.N., Philip Morris s Health Information Web Site Appears Responsible but Undermines Public Health, Public Health Nurs.
- Martha N. Gardner, PhD and Allan M. Brandt, PhD, The Doctors Choice Is America s Choice, Am J Public Health.