Sunday, 12 June 2011

CATCH




Catch brand belongs to the Rs 1600 Cr conglomerate Noida based DS Group. It was launched in the year 1987 as a salt and pepper brand and has now diversifiied into other products. The brand extension seems to be working fine for the parent company. We will take a look at figures later. Lets start by analysis of the CATCH brand.

Prior to the launch of Catch salt, a random survey was carried out of the urban Indian market. Based on the findings of this survey, the company targeted Catch at two segments – upper class Indian households in the metros, hotel, and restaurants, which would use the product in large volumes. The company built a national distribution network covering 1,600 premium outlets in India's A and B class cities.Catch Salt was launched with a price of Rs.6 for a 200 gm pack. At that time, Tata iodized salt, the market leader, was priced at Re1 per 1 kg pack and loose salt was priced at less that Re1. Analysts felt that there were bigger risks than what the price ratio would suggest at first glance. In India salt had always been a low-priced commodity, and many analysts felt that not many people would be willing to pay higher prices for it. But, according to analysts Catch salt did find acceptance among urban Indian women. This was rather surprising they thought considering that the salt was being sold at thirty times the price of other salts. In 1989, the company launched ground black pepper in 100 gm shakers. A 100 gm pack of salt was also launched. In spices too, Catch was priced higher than other leading brands like Everest and Badshah. As different regions in India used their own distinctive mix of spices, the branded spices market was dominated by regional players. DS Foods hoped that its superior packaging would give Catch spices an edge over other brands in the market. In April 2000, the spices were introduced in lined carton packs at lower prices. Analysts felt that the move was aimed at generating volumes by bringing the product into the popular pricing range. The company could then compete with Everest, Badshah and others.
So while the dispenser pack (100 gm) of red chili powder retailed at Rs 26, the price of the lined carton pack (100gm) was Rs 18. Similarly, turmeric powder (100 grams) priced at Rs 20.05 in dispensers was available at Rs 12.00 in lined cartons. By April 2001, the prices were further slashed – the red chili powder lined carton pack was priced at Rs 13.00 and turmeric powder at Rs. 10.00.

Post 2000, the brand has diversified into various extensions. In 2003, it launched its own line of flavoured water. At the time of lauch, there were no compettitors of this product and it was a new product category itself. Currently, Catch has its variuos beverages in the market. It has its soda , mineral water and cola in three flavours viz. cola,lemon and orange.  Besides alomost every spice being rolled out under the brand, it has a special range of Catch ready to eat snacks. It is available as Catch grams, Catch Pistachios, Catch cashews, Catch Almonds and Catch Jumbo Corn. The foray into snacks had begun as early as in 2001.  Catch also has its range of Gold and Silver foils which are the first electronically beaten foils made in collaboration with Wallner based in Germany.

At present, it has repositioned itself with the tagline "Zara Sa". The tagline in meant to convey higher product quality aimed at the middle-middle and upper-middle class women who shouldn't compromise with the quality and be price conscious at the same time. The TVCs and print campaign show Juhi Chawla as their brand ambassador who is an apt choice for the brand. She signifies a modern successful woman who also has an image of a homemaker. The campaign highlights the "state-of-the-art Low Temperature Grinding (LTG) technology, which prevents the evaporation of volatile & delicate oils from spices".  In a Rs 40,000 cr market of spices in India where only Rs 5000 cr is for branded spices, it was an intelligent move to increase their brand equity through repositioning. For the year 2010-11, the conglomerate is targetting a turnover of Rs 230 Cr from its brand Catch.  The marketing officials in the group claim that while the industry average is 30 % growth y-o-y , on an average Catch has been growing at 60 % every year. It wants to add more products under the Catch brand and make at least 200 SKUs under the brands.
Catch Masala TVC

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