Itc Ciggaretes

Topics: Tobacco, Nicotine, Cigarette Pages: 5 (1397 words) Published: October 28, 2012
GoldFlake was launched by ITC in India in the seventies and as the years progressed it gained popularity and is now the largest selling brand in the world. It was launched as a premium cigarette for the adult men of the elite class as the brand was compared with Gold for the quality and purity of experience. Today, the cigarette has a place in premium as well as economy category and its target market has shifted from just adults to both adults and youth of all. The GoldFlake sold in India has more tar content, of 15mg, as against less than 8mg for international brands. It is being sold in India in 3 varients : •Gold Flake Premium FT -45 /49 (49 in Rajasthan)

Gold Flake Kings - 58
Gold Flake Kings Lights -58

In India, Cigarette is not the major form in which tobacco is consumed. Infact, Cigarettes account for only 14% of the total tobacco consumption. In India, the cigarette market is ruled by four locally established companies but most companies have tie-ups with international tobacco companies as well. ITC has the leading cigarette manufacturer in India with a market share of 72% of the market and has increased its cigarette production to 65.8 billion sticks in 2009 as compared 57.1 billion sticks in 2001, which marks an increase of 15%.


ITC makes different cigarettes in the portfolio for the economy class to the premium class. This has given it presence in rural as well as urban market. ITC Group launched Wills Classic Verve slim cigarettes targeted at women and first time smokers. ITC describes the brand packaged in a shiny red as “India’s trend setting cigarette [that] defines uber cool urban style.” The ITC group uses two of its popular cigarette brands, Wills and John Player, as the brand name of lifestyle retailing stores that sell clothing. The Wills Lifestyle brand is a well-established brand and also sponsors India’s annual Fashion Week, stretching the cigarette brand name so that it is associated with the glamour of fashion and not just the tobacco product.

After rise in the duties in unfiltered cigarettes in India, ITC stopped the production of unfiltered cigarettes in India forecasting the strong decline in demand in unfiltered cigarettes.


Decision Unit:
The sources which influenced the consumers in decision making were their Friends/Family members,shopkeepers.Majority of the respondents said that they started smoking cigerettes early during their college days and were influenced by their friends/family members. The other sources of influence being the shopkeeper and in some cases the consumer himself went on trying different brands until he settled for GoldFlake. The other factors which helped the consumer in his decision making process were 1.Ease of availability : Consumers believe that Gold Flake is easily available at all places 2.The Brand : Since GoldFlake is an old & trusted brand, Consumers were influenced by the word of mouth from other consumers of the brand. The other benefits of GoldFlake observed are detailed under the Consumer’s consumption frequncy and buying preference behavious of the respondants. Demographics:

We surveyed 14 people out of which 12(86%) users of Goldfake are male. Age group of the respondant lies in the range 18 to 35 with 7% consumers in the 18-21 years age group, 29% in 21-25 , 43 % in 25-30 and remaining 21% in 30-35. There was only 1 student and the remaining were salaried or self-employed. Among those who are employed, 50.0% have a salary bracket of Rs. 250000-50000 and 29% between Rs. 500000 to Rs.700000 and remainging 21% above Rs.700000. Gender of users

Age of Users

Occupation of users

Post Purchase behavior:
Consumption Frequency & Buying Preference:
According to the survey, 50% of the respondants smoke between 6 to 9 cigaretes in a day which is also evident from the GATS (Global Adult Tobacco Survey)...
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