Kingfisher

Visa Malay inducted professional man come onment and follow up diverse methods and theories to develop the company to globalize the company. Since then Kingfisher has g unrivaled on to become the undisputed ability in the Indian beer mart. Kingfisher today has impressive crack of manuf minuteuring facilities throughout the whole country. Quality and hygiene argon the key elements for its selling philosophy success. Its flagship brand Kingfisher, has achieved transnational recognition consistently, and has won many awards in International Beer Festivals. KingfisherPremium L jump onr beer is currently available in 52 countries and touchs the way amongst Indian beers in the International market. It has been ranked amongst the top 10 quick maturation brands in the I-J. Today each one of the 32,000 Beer outlets in India sells one brand or the some other from join Breweries. United Breweries limited has a 48% share in the Indian beer market. S. W. O. T (Strength, Weaknesses, Opportunities and Threats) Analysis A SOOT abbreviation is a structured approach to evaluating the strategical localise of a rail birth by identifying its strengths, weaknesses, opportunities and threats.It provides a simple method of synthesizing the results of the merchandise audit. Strength Kingfisher is a true global Indian icon and is to a fault known today as a premium widely distri hardlyed brand. It has the trueheartedest intercontinental dissemination system and is available in 52 countries worldwide. It is a worldwide known brand with sponsorship in Formulae, Indian Premier League and cognomen sponsors of England and Wales Cricket Boards National Championship knock out competition ascribable to this it has pure brand visibility. It similarly has huge financial backing from overt house Group. WeaknessKingfisher usually focuses on strong beer market as it is more often than not kick upstairs in India notwithstanding not in other countries and thus market reaping is slow. Due to the current high demand and worldwide distribution system many opportunities are lost as on that point is little availability. Opportunity Due to the current trend of beer among the young passel Kingfisher has a readiness of benefit by global market expansion. The changing subtlety and lifestyle of Indian sight has besides increased the beer usage. Threats The inebriant manufacturing is highly taxed and has certain regulations thus has a lot of disturb on Kingfisher.Advertising for alcohol has been banned in India as it is considered to be a taboo. disconfirming perceptions about deluge beverages are widely car park. Kingfisher faces huge competition from international companies like Heinlein, Scrabbles and Budweiser. P. E. S. T. L. E Analysts 2 PESTLE stands for political, economic, social, technological, legal and environmental. PESTLE analysis is a process, to help understand the oerall market environment for a particular manufacturing, b usiness, ingathering, or project. It is often a key part of strategic marketing and business planning.PESTLE allows an organization to go in depth into heir current status and weaknesses. Political factors- Minimum beverage age The minimal imbibeing age in India is 21 years whereas in European countries is 18 thus minimum drinkinging age affects the alcohol business in an important way. People below the permitted age cannot consume alcohol even if they want to. Kingfisher beer is adversely affected in terms of sales. forbidden advertisements India is a youth country thus advertising of alcohol products has been a subject of incessant debate amidst the government, the alcohol industry, health groups, constitution makers and the public.Advertising in alcohol industry is done for brand choice and too it is a fair tool but banning advertising reduces market entry of new firms and thus also reduces awareness among the consumers about the product. economic factors- Taxation and Policies India has a very large youth world and strong beer is nearly favored but still growth of beer has some restrictions and complications which are in the act of taxes and policies implemented by the state governments.Taxes and policies are disparate from state to state and some states do not allow soaking products brewed and manufactured from other states. The highest taxes are mostly levied by northern states much(prenominal) as Attar Pradesh, Punjab, Maharajahs and Delhi. All of this has a great impact on the sales of United Breweries and other brands but there are also many obstacles much(prenominal) as the government has banned the advertisements of any sorts for dry products. Economic growth and per capita income With much than 60% of Indians younger than age 25 intake of alcohol is likely to increase in the coming years.Due to continuous growth rate and maturement economy flock are progress to richer day by day and also are their preferences as more people re drinking beers and whole steps which is a very intimately sign for the growing alcohol industry. With the growing middle class and upstart retail formats, taxation policies adopted by the state governments will act in favor of the growing beer industry in the coming next which will help united breweries and other brands in achieving their desired goals. Socio-cultural factors- heathenish restriction India is a country with many religions and some of the religions prohibit drinking alcohol.This has a huge impact on the sales of alcohol brands. emphasis through alcohol There is strong association between craze and drinking. Violent behavior is occurred in all communities it is caused mainly delinquent to over consumption of alcohol. alcoholic drink abuse and violence is caused mainly due to distressing parental modeling and mental stress. Drunken driving cases are some of the main causes of highway accidents. But through proper social norms and public education, violence and alcohol abuse can be tackled. Individual factors also play a very important role.Population India is the second largest country in terms of population and PUB group has a unique rand pull in thus people tend to consume their products. PUB group has a 48% share in the beer market thats why it is known as the king of beer market in India. Technological factors- Scientific studies In a recent scientific research it has been confirmed that people who drink sanely have a lower risk of premature death as compared to people who do not drink at all. Consumption of alcohol moderately leads to a reduced risk of cardiovascular diseases and obesity whereas people who drink in excess have a damaging impact on their health. Distillery effluent treatment Compared to westward countries where concentration of exhausted wash and its usage as an animal additive is a common practice, this process is not followed in India because Indian spent wash contains a higher level of inorganic substanc es which are found to produce a laxative effect if the consumption of feed is not monitored. Environmental factors- contamination A lot of water pollution is caused when the beer is made, the manufacturing of beer consists of 3 processes namely forwardness of malt, beer worth and fermentation.These processes involve a lot of rinsing and cleaning as beer is made of barley and alt is prepared from it for brewing. The sewer water contains a lot of solids, detergents, soluble and insoluble organic materials. The wastewater is almost three times more concentrated than sewage but there are no toxic contaminants and most of the water is biodegradable. To meet the quality of discharge standards anaerobiotic biological treatment is done so that the organic concentration of wastewater is reduced.Legal environment- board factor In most European countries the age of drinking is 18 but in India where people are allowed to voter turnout at this age are not permitted to drink. In India the alcohol consumption is allowed after 21 years but in some states it is 25. contempt the number of people who are below the ages of 25 years the beer industry has a huge potential if the current drinking age is lowered. Alcohol is considered a taboo in India as the culture and traditions are different than that of western countries. 5 Market Analysis- The beer industry is still growing in India and it is estimated to be over 30 billion (in rupees).Overall annual consumption of beer is around 23000 jillion elites (fugues of 2011) the beer industry is growing at a every year rate of 7% to 9%. The major players of beer industry are Gabrielle and United Breweries. The beer industry is likely to face more competition from foreign brands such as Scrabbles, Heinlein, Budweiser and Corona. Beer markets like USA and Europe have seen a horizontal growth whereas consumption in the Indian market has increased tremendously. In India beer sales have seen a rapid increase as compared to other alcoholic drinks.International beer companies like Budweiser, Scrabbles and Heinlein are well found in western countries but are still facing tough competition from Kingfisher which is the king in he beer industry of India with a 48% share. With more than 80% of market find outled by united breweries and Gabrielle, foreign brands are yet to catch out their feet on the ground. Kingfisher posted a profit before tax of RSI. 1475 million in the first quarter of this year ending on thirtieth June 2012. Strong beer continued to dominate with a growth of 23% in sales volume.Intensity of rivalry The intensity of rivalry competitors is quite moderate as in case there is quite a rise in regulatory and legal burdens, manufacturers get together so that competition between them is lowered as they have to ensure their profit. Threat of new competitors The Indian beer industry is currently growing thus it is attractive for new players but with the dominant force of United breweries and Gabriell e already ordered it has been very voiceless for foreign brewers to expand and overthrow Kingfisher which is currently leading in beer consumption.Threat of sculptural relief Brands like Kingfisher face further competition from substitutes like wine, vodka and whiskey, which are mostly favored in India as beer industry is still developing, it still has to get a bigger consumer rootage which spirits do have but due to the changing rend and growing Indian youth population beer industry best is yet to come.Suppliers talk terms power Barley which is the most important product for brewing is quite cheaper and available in freshet and other inputs used to brew are also cheaper as there is a huge number of suppliers thus suppliers have less bargaining power. 6 Customers bargaining power It has been seen that customers are more powerful when their purchases form a large portion of sellers sales but if there are less number of players in the market people dont look at the quality but t he product and thus they have less control over rice.Classification of beer Lager Ale Stout Creamy Ale Malt Plainer Porter Age Kingfisher mild For young people Just for fun People who drink for the first time mainly for experience Kingfisher strong People who drink regularly Those who want beer to be stronger mostly favored by people 25 and above THE KING OF GOOD TIMES As the punch line suggests Kingfisher has positioned its brand for people who want to socialize, party or have fun. 7 Customer Analysis- The beer industry in India has a wide consumer base and people rink alcoholic beverages mostly for celebrating an event or socializing.Unlike western countries people in India are allowed to consume alcohol after the age of 21 in most states and spirits are given more preference. United breweries have a strong base in spirit and beer industries. Kingfisher is at the top of the list in consumption of beer. Consumer behavior India is a developing country with a large population of midd le-class people thus people tend to consume beer occasionally. Whiskey, vodka and wine were given more preference but the beer industry is yet to reach its potential and is growing at a very cast rate.Products like Kingfisher and Harvards 5000 have shown excellent progress so far as they are already established in the beer industry. International brands like Budweiser, Heinlein and Scrabbles are still struggling to establish their brand among the people as they are expensive than Kingfisher and Harvards products, this is mainly due to taxes and regulations by the state governments which usually are hard on alcoholic companies. In a recent survey it was shown that one in three beers drunk in India were of Kingfishers. Consumers always prefer the cheapest product ND hot nourish which Kingfisher effectively delivers.Recommendations- Kingfisher is famous for its marketing and sponsorships in major debauched events and spends a lot of money on it per year. It should concentrate on tr ansmutation and development of new products which will help it increase its brand value in other western countries where there is even a bigger market for its product and there are no restrictions on advertising. retail its beers with more number of large departmental stores. Advertising its brand Kingfisher by entering into different industries like water, soda of which advertising is allowed. This will lead to more brand awareness.Developing innovative and new packaging for its beer. It should concentrate on innovation of a new product which has elements of a spirit and a beer. 8 Conclusion- Kingfisher has a huge potential of expanding the beer market in India as the per capita income of the people is rising and so is the consumption. Kingfisher also has a smorgasbord of monopoly over other brands as it is already well established and sells its product at a cheaper rate than the new competitors entering the Indian beer industry. The negative perceptions about alcohol consumption have gone down and he beer industry will definitely show a lot of growth in the coming years.