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Case
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Reference no. 511-087-1
Subject category: Marketing
Published by: Amity Research Centers
Published in: 2011

Abstract

United Biscuits (UB), the third largest producer of biscuits in the world, entered India in 2010 via the acquisition route. The company launched its flagship brand McVitie’s, which was marketed worldwide on the health platform, in India as well. During the launch, the brand was promoted on the taste and health platform and did not make use of any celebrity endorsements or any other promotional activities. With the US and European markets having reached saturation, UB looked to the Asian markets as a potential for further growth. The Indian biscuits market, which was the largest in the world, was very competitive with the presence of many leading players such as Britannia, ITC, Parle and a number of local unbranded players. In 2011, in order to strengthen its presence in the country, the company decided to adopt the branding and advertising strategy of the local players by making use of local celebrities as brand ambassadors. Actors Bipasha Basu and Shriya Saran were roped in to endorse the brand. The company also had cross-brand tie-ups with Hindustan Unilever to promote the marie variant and used Disney characters to promote the cream variant. The company also had plans to double its investments and make strides towards consolidating its presence in the country. Did the acquisition route prove successful as an entry strategy into the largest biscuit market in the world? Will this marketing strategy work for the biscuit giant in the largest biscuit market in the world?
Location:
Industry:
Other setting(s):
2011

About

Abstract

United Biscuits (UB), the third largest producer of biscuits in the world, entered India in 2010 via the acquisition route. The company launched its flagship brand McVitie’s, which was marketed worldwide on the health platform, in India as well. During the launch, the brand was promoted on the taste and health platform and did not make use of any celebrity endorsements or any other promotional activities. With the US and European markets having reached saturation, UB looked to the Asian markets as a potential for further growth. The Indian biscuits market, which was the largest in the world, was very competitive with the presence of many leading players such as Britannia, ITC, Parle and a number of local unbranded players. In 2011, in order to strengthen its presence in the country, the company decided to adopt the branding and advertising strategy of the local players by making use of local celebrities as brand ambassadors. Actors Bipasha Basu and Shriya Saran were roped in to endorse the brand. The company also had cross-brand tie-ups with Hindustan Unilever to promote the marie variant and used Disney characters to promote the cream variant. The company also had plans to double its investments and make strides towards consolidating its presence in the country. Did the acquisition route prove successful as an entry strategy into the largest biscuit market in the world? Will this marketing strategy work for the biscuit giant in the largest biscuit market in the world?

Settings

Location:
Industry:
Other setting(s):
2011

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