Marketing Strategy of ITC
India Tobacco Company Limited (ITC) is India’s oldest & finest multi-product company who, in this age and era of marketing, has made huge strides on the back of its advertising strategy. ITC offers a diverse range of consumer goods, technology solutions, hospitality and tourism services and healthcare.
Marketing Strategy of ITC
ITC Limited is an Indian conglomerate company that was incorporated in 1910. The company name was changed to India Tobacco Company Limited in 1970. Since then, it has emerged as a multi-industry conglomerate with business in various industries including Fast-moving consumer goods (FMCG), hotels and services, information and technology, agri-business, and packaging.
The company is one of India’s most respected brands. They strive to deliver exceptional value, with a focus on delivering added value for customers. As a result, the company believes in gaining trust from the community to promote their brand. The company is always looking for ways to improve their products, services, and management systems.
ITC Marketing Strategy
A marketing strategy refers to an overall business plan that helps to target consumers and turn them into potential customers of the goods or services. Let’s look further into the specifics of their strategy.
Segmentation, targeting, positioning of ITC
As a brand, it serves the needs of a diverse range of market groups by categorizing people based on common features. Some features that help categorize people are occupation, income level and gender. These are called psychographic segments, but you can also categorize people by more regional demographic factors, for example age and area.
Distribution strategy of ITC
The company operates with its own distribution channel, goods are made available to wholesale distributors through CFA’s, which then transmit them to retailers directly or through small, wholesale dealers.
Target Audience of ITC
ITC has a wide range of products that target people from 5-60 years old. Products from Candyman, Mint-O to Aashirvaad are available here. ITC’s marketing strategy changes depending on the business sector – with ITC Infotech in IT and ITC Hotels in hospitality. This is to meet the needs of different companies, just like its service for different sectors.
Marketing Mix of ITC
Marketing mix is the set of actions a company follows to promote its brand or product. The firm uses these tactics to pursue its objectives in the target market. Let’s have a deeper understanding of it.
ITC Product Mix
ITC is one of the topmost valuable brands. It has a diversified portfolio of businesses, including
Cigarettes – gold flake kings, wills navy cut, gold flake superstar, and India kings are some of its major brands.
Packaged foods – Bingo, Sunfeast, Aashirvaad, and Yippee.
Clothing Brands like Wills Lifestyle.
They also provide skin and hair care products related to personal care.
Stationaries like classmates and colour crew.
It manufactures and sells safety matches.
The company is engaged in the hotel and service industry and ranks as India’s second-largest hotel chain.
It is involved in paperboards and produces high-quality paper.
Biscuits & Cakes
- Sunfeast Marie Light
- Sunfeast Dark Fantasy
- Sunfeast Farmlite
- Sunfeast Bounce
- Sunfeast Mom’s Magic
- Sunfeast Milk Biscuit
Noodles and Pasta
- Sunfeast YiPPee! Pasta
- Sunfeast YiPPee! Noodles
Staples
- Aashirvaad Atta
- Aashirvaad Spices
- Aashirvaad Iodised Salt
Snacks
- Bingo! Starters
- Bingo! Mad Angles
- Bingo! No Rulz
- Bingo! Original Style
- Bingo! Potato Chips
- Bingo! Tedhe Medhe
Beverages
- B Naturals
- Sunbean Gourmet Coffee
- Sunbean Beaten Caffe
- Sunfeast Wonderz Milkshakes
Dairy
- Aashirvaad Svasti Ghee
- Aashirvaad Instant mix Ready to Eat
- Kitchens of India
Confectionery
- Jelimals
- Candyman Fantastik
- Candyman Choco Double Eclairs
- Candyman Tadka Time
Chocolates
- Fabelle Premium Chocolate
- Fabelle Luxury Chocolates
Frozen Foods
- ITC Master Chef Frozen Snacks
- ITC Master Chef Frozen Prawns
Handwash
- Savlon
- Fiama
Floor Cleaner
- Nimyle
Body Oil
- Fiama
Shower Gel
- Vivel
- Fiama
Body Wash
- Vivel
- Fiama
Antiseptic
- Savlon
Soaps
- Savlon
- Fiama
- Vivel
- Essenza Di Wills
Sanitizer
- Savlon
Fragrance
- Engage
- Essenza Di Wills
Essential Oil
- Fiama
Skin care
- Charmis
- Dermafique
STATIONERY
- Classmate
- PaperKraft
MATCHES AND AGARBATTI
- Homelites
- Mangaldeep
ITC is India’s multi-market conglomerate with businesses that are covered in multiple industries. They provide a variety of products across different categories listed above
ITC Price Strategy
The company is involved in several different business interests so it has to compete with a lot of other companies. In order to stay competitive, the company tries to make itself known all over India by adopting reasonable pricing policies. The company has adopted a premium pricing policy for luxury products and a reasonable pricing policy for the middle-class segment. This will eventually help generate sales and lead to better revenue figures. They follow different pricing strategies for different products.
For instance, when Bingo launched it offered an advantageous pricing strategy that enabled it to break into the market. It then managed to maintain reasonable prices as per the market but offered more volume and more margin for retailers.
ITC Place Strategy
ITC has a strong distribution channel and is available throughout all stores. This means you can buy it quickly, wherever you are. It also has a well-established manufacturing process and logistics team to make sure your product gets delivered on time. With around 60 dealers across India and four manufacturing facilities, ITC also exports its food products to countries like North America, Australia, the Middle East, and Africa.
Promotional Strategy of ITC
The promotion strategy for ITC have something unique because its brand proposition and target audience. It promotes its product on various social media outlets, as well as print, television, and radio. The ITC brand is widely diverse and popular due to their expansive product line. They also have different celebrity brand ambassadors for each of their brands. They have utilized countless promotional opportunities for increased visibility.
ITC Competitors and Analysis
ITC is a multi-national conglomerate, so it faces stiff competition. But that’s not just from one company – there are other things they have to compete with, too. Let me tell you some of the other companies ITC has to face off against on a regular basis:
ITC Competitors In FMCG segment
ITC Competitors In Hotels
Leela Hotels
Taj Group of Hotels
Oberoi Group of Hotels
ITC Competitors in Cigarettes
Philip Morris International
Golden Tobacco Limited
Godfrey Phillips India Ltd
There is a lot of competition in the ITC market and they try to boost their market share with various marketing strategies.
The competitive advantage of ITC
Vast experience
ITC has been around for a long time and has gained a strong customer base over the years. Its strength in this area means that the business can look at what customers need and provide it, which helps to make it financially successful and competitive within its field
Big Conglomerate
ITC has become a massive conglomerate providing goods and services across a diverse spectrum of markets. Their experience in all these industries has enabled them to offer the best solutions.
The competitive advantage of the company is helped by ITC’s consistency and hard work to stand out in the market.
The X- Factor
ITC’s E-Choupal initiative works by its social initiative, which aims at making the internet accessible to Indian farmers and their families in the rural part of the country. This provides a greater chance for brand presence in a country where internet connectivity is low.
Conclusion
ITC Ltd have been making a big effort to establish themselves in the digital marketing industry. So far, this is paying off and they have adapted to advances in the industry for many years. The company also has an excellent reputation in a variety of sectors, which will hopefully continue. Though the company has competitors across various industries, they need to maintain their reputation and stay consistent with their great work.
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