Market Study of Kiwifruit in India Forecast production, Market Sizing, Identify different segments, Identification of Channel Partners

1. Kiwi Fruit Research Proposal

2. CONTENT
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Background Information
Background – Indian Fruit Industry
About Kiwi Fruit
SWOT Analysis
Environmental Analysis
Supply Chain
Target Market
Product Strategy
Channel of Distribution
Promotion
Digital Initiatives
Objective of Study
Research Methodology
Deliverables
Challenges
Findings
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3. Background Information
•
Farmers association under Horticulture Department, Aurnachal Pradesh has been
producing Kiwi’s in Ziro & Bomdila district for 5 - 6 years now
•
They want to find a suitable market/buyers
•
Approximately 300 tonne of Kiwis are produced annually in Arunachal Pradesh
•
Fertile soil and suitable weather conditions are drivers towards good quality and
quantity of Kiwi produced in the area
•
In the past years they have been selling to middle men or in the local market at
very low prices and most of the production goes wasted
•
In this regard, Market Research Study can be carried out to understand the market
dynamics in the fruit industry for Kiwi and find the annual demand by various
customer segments
•
This will give an understanding of the most attractive segments to target, on the
basis of the production of Kiwi’s annually
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4. Background - India Fruit Industry
•
Combined annual production Fruits &
Vegetables in India 2012: 227 mn tonne
•
Production Share of Major Fruit
Crops (2011-12)
77 mn fruits & 150 mn vegetables
•
•
10%
Kiwi constitutes a negligible share out of
the total ‘Others’ fruits production which
is 7583 tonne across 1266 hectares
5%
3%
4%
Kiwi production in India:
– Arunachal Pradesh
– Himachal Pradesh: 123 hectares
– Parts of Manipur, Sikkim & Jammu Kashmir
•
20%
Kiwi Import:
– New Zealand: 1440 tonne
– Italy: 300 tonne
– Chile: 250 tonne
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2%
2%
40%
10%
Banana
Citrus
Guava
Pineapple
Grapes
Litchi
* Illustrative
1%
1%
2%
Mango
Papaya
Apple
Sapota
Pomegranate
Others
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5. KIWI
•
Adaptability: Kiwi fruit vine grows between 900 to 2600 mm sea level, warm &
humid with 150cm rainfall
•
High Nutrient & Medicinal Value: Rich source of Vitamin C & E, low calories
fibrous fruit with many more properties.
•
Precocity & High Yield: Each plant give average yield of 40 – 80 kg, after 7 years a
vine give an average output of 25 tonne
•
Marketability: Fruit ripens during Oct – Nov, lean period for other fruits. The fruit
generally ripens after 10 – 12 days after picking from vines. Can be transported via
using non-sophisticated packaging
•
Storage: One month at room temperature and 4 -5 months in a cold storage
•
Varieties: Abbott, Allison, Bruno, Hayward, Monty and Tomuri (Indian), Green &
Gold (Imports)
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6. SWOT Analysis
STRENGTHS
WEAKNESS
OPPURTUNITY
THREATS
• Government Support
• Large quantity and good quality of Kiwi production
• Lack of Infrastructure
• Supply Chain Issues
• Training & Development to farmers
• Major consumption of Kiwis is met from the Imports from New Zealand, Chile &
Italy which is approximately 2000 tonne in 2011-12
• Organized retailing growing
• Quality difference from the imported ones
• Competition from International brands
* Illustrative
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7. Environment Analysis
Political
Economic
Socio Cultural
Technology
Legal
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• State regulated prices
• Payment to State Government octroi and taxes
• Increasing per capita income
• Strengthen the fruit industry and support industries
• Kiwi fruit season = other fruits lean season
• Healthy benefits of fruits/Health conscious customers
• Buying and consumption habits increasing with
organized retail
• Improved supply chain
• E-commerce
• Comprise with the regulation of health and safety law
• Environmental regulations
* Illustrative
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8. SUPPLY CHAIN
GROWERS
IMPORT
Via local middle man/
Commission agents
WHOLESELLER
INSTITUTION
ORGANIZED RETAIL
(hotels, cafes)
CONSUMER
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* Illustrative
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9. SUPPLY CHAIN
Infrastructure (Back end to front end)
• Collection center
•
Packing House/Distribution Center
– Packing infrastructure
– Cold-Storages
•
Transportation – Trucks/rails
•
Retail outlets
•
Hotels/Cafes/Restaurants
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10. Target Market
Consumers
Institutional
Health
Conscious
5 Star Luxury Hotel
Food
Processing
Industry
Jam, Juice, Crushes,
Wine, Flavor &
Fragrance
Females
Cafes/Ice
Cream Parlor
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Naturals Ice
Cream, Kiwi Kiss, CCD
Wholesalers
/ Organized
Retail
Safal, ITC Choupal, Big Apple –
Feel Fresh, Reliance Fresh,
Adani Agrifresh, Godreg, Bharti and Saboro
* Illustrative
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11. Product Strategy
Market Penetration:
Market Development:
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Market products in new geographical areas:
Delhi, Kolkata, Guwahati, Shillong
Enter a market through new distribution channels:
Instead of going through agents opt for
retailers, hotels, Cafes/Dessert outlets
Product Development:
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•
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New Products: New varieties of kiwis, tie up with
FMCG, fragrance industry for supply of processed kiwi
oil
Quality: Upgrade the quality of handling during
harvesting, processing, and packaging processes
Certifications: International Certification of Kiwis for
exports
Packaging:
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Market
Penetration
New
Market
Further penetration with the existing partners
Existing
Market
•
Market
Development
Product
Development
Diversification
New
product
Existing
product
* Illustrative
30/33 kiwis per tray: as per discussion with one trader
Supplier of kiwi tray has to be identified
Design and Labeling
Packaging requirement may change with other customers
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12. Channel of Distribution
Kiwi Farmers
Direct Channel
On-line Marketing
In-Direct Channel
Wholesalers
Organized
Retailers
Hotels/Cafes/Ice
Cream parlors
Food Processing
Industry
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* Illustrative
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13. Promotion
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Promotional Methods for Wholesalers:
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–
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Gifts : Diaries, Calendars etc
Sign up Rebates
Promotional Methods for Institutions:
Visiting/Participating in Trade
following industries: LIST
– Hotel Industries
– Retail
– Packaging
– Agriculture/Farming
– Bakery
– Food
– Food Packaging / Processing
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Brochures - Pamphlets
Shows
of
• Communicating the Brand Name along
with the brand story : Brand Building
• About the Community
• About the Kiwi grown in AP
• Photographs
• Contact Numbers
Promotional Method for Consumers:
Use social media as platform for:
– Brand Awareness
– Product Awareness
– Consumer Research
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* Illustrative
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14. DIGITAL Initiatives
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Use Social Media as a Platform
for:
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Brand Building
Consumer Awareness
Consumer Research
Use various social media
platforms like:
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Facilitate
open
dialogue
Facebook
Twitter
LinkedIn
YouTube
Blog websites
Collaborate
and
co-develop
Deliver
Integrated
Experience
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Engage
Proactively
Social
Media
Strategy
Connect
Beyond
Product
* Illustrative
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15. Objective of Study
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Objectives of Research:
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–
–
–
–
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Total Production forecasting : Quality, grades
Total Demand – Segment wise
Current & Future Trends
Import Data/ Zespri International
Channel of Distribution – Identification of partners
Voice of customer and consumers
To identify the buying centre and the key personals
in the organizations
Cites to be covered:
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Delhi
Kolkata
Mumbai
Pune
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16. Research Methodology
* Illustrative
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17. Deliverables/Challenges
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Limited Area Coverage
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A power point report on the findings
of the study
Time Constraints
Detailed Project Report with Analysis
and suggestions
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18. DELIVERABLES
1
10 D
10 D
START
3
6D
4D
4
20 D
5
5D
6
4D
3D
2
10 Days: Client Interaction & Exploratory Research
6 Days: Literature Study
4 Days: Questionnaire Design
20 Days: Field Study
5 Days: Coding Data Analysis & Develop Plan
3 Days: Report Writing
2 Day: Presentation
Total Days: 60 Days
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Milestones:
3: Proposal
5: Data Collection
Complete:
7: Final Report
Completion
7
2D
END
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19. Findings I
•
Average weight of Imported Kiwi 100
– 120 gm
•
Indian Kiwis are smaller in size - 70gm
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Spoke to Hyatt, Kolkata: Average
demand of Kiwis daily is 10kg and
during festivals 15kgs
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Per piece sold in Delhi Market at Rs.
25 – 30
•
Spoke to trader in Azadpur Mandi: In
tray packaging, 30/33 pieces per
tray, 3 - 3.5 kg
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Trader from Azadpur Mandi has
received the sample kiwis and also
agreed to sell however he wants the
packaging to be done in tray
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New Zealand Kiwis at Phoenix mall, Pune
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20. Findings II
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Feedback from Market Yard, Pune:
Size of Kiwis smaller, 100 gm or more
accepted in wholesale and the fruit
should have a tray packaging
Forecasting has to be done according
to size
According to the Kiwi fruit size, the
customers has to be identified
More preferred target customers
would be:
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Private labels of Organized retailers
Food Processing companies like
Mapro, Del Monte etc
Winery
Cafes and Ice Cream parlor
Plucking from Vines
Sorting and Grading
Above
100 gm
Between
100 - 70gm
Below
70 gm
Retail/
Wholesale
Hotels/
Cafes
Food
Processing
* Illustrative
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23. 12/28/2013
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24. THANK YOU