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Topic : How brands can tap Indian consumers?
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Marketing & Branding

 
Created by : Jayant Vishnu, Art Director/Sr Art Director, Creative  | 11 26 2009 12:38:08 +0000
Industry : Advertising/PR/MR/EventsFunctional Area : Branding(Sales & Marketing)
Activity:  1017 views;  last activity : 07 06 2010 20:18:09 +0000

Even in the midst of an economic crisis, Yum! Brands Inc., the operator of KFC, Pizza Hut and Taco Bell fast-food chains, remains largely unaffected by the slowdown and plans to accelerate its expansion in India with an investment plan of about $150 million.Louisville, Kentucky-based Yum!, which operates about 150 Pizza Hut and 65 KFC outlets in India, plans to increase its restaurant count to 1,000 by 2015 with planned openings across 60 cities, requiring a strength of about 50,000 staff, five times more than the current level. The company plans to open its first Taco Bell restaurant in Bangalore by the end of 2009. The Indian market has been virtually recession-proof providing ample growth opportunities. Yum! plans to tap India's organized food and beverage market. With many players like Mc. Donald's and Dominos struggling to capture the market, will this strategy be successful or backfire them?

 
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These yummy things will be successful to the extent that they will have their good & widespread presence here, but I don't think they will be able to change Indian eating habits if they have even thought of these as their long terms goals.

Still, they will be making a good money having said that;

1.They have a huge huge target audience-Inida is set for to be the 5th largest consumer market by 2025 (McKinsey).

2.May be for a change, but we mostly are open to all food, we ourselves like to have different food from all over India like south Indian, Punjabi, Marwadi etc.

3.Indian's basic attraction for foreign brands. (From chocolates to electronics)

4.Their extensive advertising, branding & marketing especially viz a viz youth.

5.Services like free home delivery.

6.Tie-up with other giants like coke/pepsi etc.

7.Success stories in China

8.Ability to fine tune products as per Indian tastes.

 

 


By ujjval jain, Retail, Retail  | 12 19 2009 06:30:44 +0000
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Yes, they will be successful as a brand. Their menu of-course have to be re-designed to suit the Indian taste-buds. Classic example is McDonalds, supposed to be a cheap fast-food joint in West is considered as something for the upwardly mobile class of India. I think the reason is mostly to do with the Indian psych which is always fascinated about things labelled as foreign.


By Arup Chakraborty, Managing Consultant  | 12 07 2009 20:55:35 +0000
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I think this will be a success and can impact the customer. The young generation are mostly into junk foods rather than preferring traditional foods. The focus on young generation could surely tap the market as they are more of modern foodies. The young also have varied cultures which they acquired from abroad.


By Dayanand Deshpande, Senior Consultant, Ernst & Young  | 11 26 2009 13:12:51 +0000
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The Yum brands are slowly gaining attention in Indian markets. As many non-residents trying to settle in India, i think it's the right time to penetrate as these residents are more relied on junk foods. The people are more also more exposed to hangouts where they often opts these kind of foodies.


By Meena Deshmukh, Product/Brand Manager, Videocon Inds  | 11 26 2009 12:43:06 +0000
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I think that their success will depend entirely on their marketing strategy and their price points.

Their first task is to be visible where the other popular MN brands are. Location wise they have a huge investment to take care of particularly where Metros are concerned which in effect will take away a chunk off their investment figures. Secondly they will have to be omni present in the media with electronic ads and BTL activities that would push the consumer to try the rpoduct and largely create awareness of their brand.

Its a very uphill task and is not really economically viable. I really do not know how I missed this Jayant... Good topic to debate as usual :))


By Makrand Bhave, Marketing & MICE, WIZCRAFT International  | 12 19 2009 05:33:58 +0000
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I don't think it can capture the Indian markets majorly because indians are health conscious. With hospitals fully loaded with patients, people have become a bit allergic to these kind of foods. Further, even Mc. Donalds n pizza huts are hunting their path to penetrate the market unsuccessfully.


By Jayant Vishnu, Art Director/Sr Art Director, Creative  | 11 26 2009 12:38:08 +0000
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