To gain a competitive edge in the branded tea industry, Duncans Tea Ltd, part of the Rs 2000 crore Duncan- Goenka Group is drawing up an aggressive growth strategy which includes multi-channel reach, foray into new segments and retail initiatives. For starters, the company has just tied up with Bharti Wal-Mart as a preferred supplier of tea to gain visibility for its brands. ?We are in talks with their `cash and carry? business too. We have tied up with Leo Coffee in Tamil Nadu for cross selling purpose,? informed MC Appaiah, chief operating officer, Duncans Tea Ltd.
Meanwhile, regional tea majors Society and Wagh -Bakri Tea are sharpening their focus on outdoor advertising strategy to gain high visibility for their brands. While Society is painting Mumbai blue with its huge hoardings, Wagh Bakri has used Mumbai trains to communicate its brand message- Perfect Rishtey Banaye?. The Rs 5000 crore branded tea industry in India will soon witness a major tussle between national and regional players.
On the company?s growth strategy, Appaiah, said:? We are expanding our manufacturing capacity in our existing four plants. After test marketing our super premiums tea brands in Uttar Pradesh and MP, we will introduce these brands in select markets next month.?
As part of its growth strategy, Duncan has forayed into green tea segment (organic tea) with the launch of `Double Diamond Green Tea Bags?. ?We have test marketed this brand in Bangalore. This month, we will rolling out this brand across the coubtry.We will promote these brands through interactive channels of communication and direct consumer contact programme to go national this year.? On the group’s strategy, Piyush Desai, chairman & managing director of Wagh Bakri Tea Group said:” Our main objective is to become a national player by the end of this year. We are now the third largest tea brand in India.” At present, Wagh Bakri has presence in Gujarat, Rajasthan, Madhya Pradesh and Maharashtra. According to Desai, the group is planning to foray into southern states as part of its growth strategy. To start with, the group is planning to introduce its flagship brand Wagh Bakri in Karnataka.