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Duncan Industries Segmentation


Submitted By khilesh1990
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Duncan Industries Limited
Duncans Industries Limited tea gardens encompass over 7500 hectares of land spread over the Dooars, Terai and Darjeeling regions of North Bengal. The average garden yields are almost 50% more than the All India average. This high achievement level has been made possible by the Division consistently improving the productivity of land, manpower and equipment in an integrated manner.
The high yields obtained by the Group in its tea estates have been possible through careful husbandry of its tea areas. The Company’s own in-house research and development has helped achieve optimal use of nutrients and fertilizers. Uprooting/replanting and rejuvenation of tea areas are carried out regularly, and planting is done with high yielding clones which have been propagated in the Company’s own nurseries.

The Company is proud of its Quality Systems, which ensures production of superior quality teas, which are delivered to the consumer. The two prestigious gardens in Darjeeling, Marybong, and Runglee Rungliot , have very successfully implemented Quality Systems in line with ISO 9002 standards. They have been awarded the ISO 9002 Certification from Det Norske Veritas(DNV).
On environmental conservation, The Group gardens plant over 2,00,000 trees every year to help improve the micro climate of the area.
Tea Brands:
Duncan Tea Ltd. has various brands mainly under 2 categories:
1] Darjeeling Tea - Runglee Rungliot

2] CTC Tea - Shakti - Double Diamond - No. 1 - Sargam

Market Segmentation:

Geographic Segmentation:

Runglee Rungliot- This brand (100% Darjeeling) enjoys a pride of place in the markets of Kolkata, Delhi and Chennai with its band-wagon of brand loyalists, and is currently spreading its base all over the country.

Double Diamond - While it has a national presence, its strongholds are Uttar Pradesh, Madhya Pradesh and North Indian states. As a ‘city tea’, the focus has been kept on metros and mini metros of the country.

Sargam - Sargam has widespread distribution throughout the country. The leaf variant is popular Punjab, Haryana and Gujarat, while dust tea has found its niche in Orissa, Madhya Pradesh and Maharashtra.

Shakti - While Shakti Dust dominates the markets of Orissa, Madhya Pradesh, Maharashtra and South India, the brand over-all is popular in Punjab, Haryana, Uttar Pradesh and Gujarat.

No 1 - This thick, almost coffee-like tea has a very strong presence in South India, especially in Tamil Nadu and Andhra Pradesh.

Demographic segementation:

Runglee Rungliot being available in 100gm & 250gm tins which sell at a slightly higher price has been mainly targeted for the upper middle income group while being famed for its light liquor and lingering aroma.

Double Diamond- It is mainly targeted towards the middle income group. A trendsetter in the jar segment, Double Diamond maintains an attractive inventory of jars, from the 250gm ‘Keep Fresh’ to the 500 gm ‘Vacuum Jars’. Cartons come in 500gm, 250 gm, 100 gm and 50 gm pack sizes. The brand is also conveniently available in soft packs and paise packs.

Sargam- Sargam is the biggest brand in Duncan’s’ portfolio in terms of sheer volume. This luxuriant, full-flavoured brand promises a true blend of ‘real colour’ and ‘real taste’, seasoned with the magic touch of the housewife’s hand. Packaged in majestic green, it is available in 250 gm to 1 kg jars, and 25 gm to 500 gm packs.

Shakti- It is aimed at the economy segment. Shakti CTC leaf is available in 1 kg to 50 gm poly packs, while CTC dust sells in 100 gm to 25 gm soft packs and 1 kg to 25 gm poly packs.

No 1 –Distributed in poly, carton and jar variants, the 500 gm, 250 gm and 100 gm cartons are popular in the domestic segments. The cartons come with a metallised foil lining to retain the freshness and strength of tea. The ‘hot tea shops’ prefer the 2 kg and 1 kg poly packs while the soft packs have captured the lower end of the market.

Psychographic Segmentation:

Double Diamond - Packaged in the Duncan’s’ home colours and iconized diamonds, this flagship brand is the chosen cup of the educated, young and forward-looking couples of today, who believe in the ‘right quality at the right price’.

Shakti, as the name gives away, represents strength and vigour. Especially processed for boiling, this tea brews bold, full-bodied liquor, and is the national brand in the fighter category. Packaged in vibrant red and yellow with a lightening in every cup, this ‘zabardast’ brand suggests machismo, virility, courage and strength.

No 1 gives strong colour, strong flavour and strong taste. The uncluttered look of the packs, with No.1 inscribed in bold, goes well with the no-nonsense, straightforward image of this brand.

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