ITC Limited, popularly known as ITC, is an Indian conglomerate that was intercepted in 1910. Initially, it was named the Imperial Tobacco Company of India Limited, but it was later renamed the Indian Tobacco Company (I.T.C) Limited in 1974, which later became ITC. With its current headquarters in Kolkata, ITC Limited has made a whopping profit of Rs 20,422 crores by 31/3/2024.
Sectors Where ITC Has Product Lines
Initially started as a tobacco brand, ITC markets several products in more than 90 countries today. Under the leadership of Y.C Deveshwar (Padhma Bhushan awardee), ITC’s presence can be traced across different industries, such as
- FMCG
- Hotels and hospitality
- Paper boards
- Specialty papers
- Packaging
- IT and Software
- Agribusiness
The Company runs more than 13 businesses in five different segments. ITC’s products are available in over 6 million retail outlets worldwide, and it has won the tag of the largest
FMCG brand in India.
ITC is also the leading marketer of fast-moving consumer goods.
The ITC’s research and development center, located in Bangalore, has played a crucial role in creating innovative products and solutions for the brand, which gives it a competitive edge in the global economic landscape.
Also, to fulfill its social responsibility, ITC engages in many social investment programs, such as the ITC e-choupal ecosystem, water recycling, water conservation, children’s education, women’s empowerment, and more.
Product Mix of ITC
As ITC offers multiple products and items, its product mix is very wide, long, deep, and consistent. The product mix width refers to the different product lines ITC Company carries.
The length of the ITC product mix includes the number of items, and the depth refers to the variants ITC offers for each product in the line.
The consistency describes how closely related the different product lines are for the end users.
The new product mix of ITC in 2024
FMCG
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Cigarettes and cigars
ITC is a leading manufacturer of Indian cigarettes under the brand names Gold Flake, classic, Indian Kings, Capstan, Berkeley, Bristol, and Wills
Navy cut.
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Food
Aashirvaad and Sunfeast are the most popular food brands of ITC, which sells products such as wheat, flour or Atta, biscuits, noodles, snacks, and ready-to-eat meals.
The Sunfeast product line consists of biscuits (Sunfeast Farm Lite, Sunfeast Dark Fantasy, Sunfeast Delicious, Sunfeast Mom’s Magic, and Sunfeast and Yumfills (Sunfeast Yummy Fills Whoopie Pie)) and several other products.
Other food brands of ITC include Bingo, Kitchens of India, Yippee, B Natural Juices, Mint—o, Jelimals, GumOn, Fabelle, Sunbean, ITC Master Chef, Farmland, Sunrise, Right Shift, Sunfeast Fantastik, and Candyman.
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Personal care products
Under brand names like Essenza Di Wills, FIAMA Di Wills, Vivel, Superia, Vivel cell renew, Savlon, Dermafique, Nimyle, Nimeasy, Nimwash, Charmis, Shower to Shower, and Engage, ITC sells personal care and hygiene products like shampoos, soaps, shower gels, and fragrances.
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Stationary
ITC-owned brands Classmate and Paper Kraft sell different stationary products, including notebooks, erasers, math instruments, sharpeners, art and craft essentials, pens, pencils, and more.
2) Hotels
ITC operates a chain of luxury hotels under the brand name ITC Hotels, which are known for their hospitality and services catering to different tastes.
Its hotel lines can be classified into.
- Luxury collection: it includes super deluxe and premium hotels
- Welcome hotels: consist of five-star hospitality for leisure travelers
- Fortune Hotels: Comprises mid-market to upscale properties in 1-tier and 2-tier cities
- Welcome Heritage: Includes the chain of palaces, forts, and resorts turned into hotels
ITC also offers branded accommodations and restaurant services as part of its hospitality product line.
3) Paperboard and paper
ITC produces the broadest range of paper boards, specialty papers, and packaging. Its materials cater to domestic and international industrial requirements. Its products include coated boards, graphic boards, fine papers, and thin printing papers.
4) Information technology and software
Through its subsidiary, ITC Infotech, ITC provides top-notch IT services and solutions to its associate enterprises in different sectors.
5) Agri business
Since its inception, ITC has been involved in the agriculture business. Currently, its business division deals in procuring and exporting agricultural goods like wheat, rice, soya beans, coffee, and leaf tobacco.
ITC’s agriculture business involves three tiers: agri commodities and rural services, agri-businesses under the name of ILTD, and e-choupal.
6) Lifestyle Retailing
With the brand names Wills Lifestyle and John Players, ITC entered the apparel and lifestyle segment.
7) Safety matches and incense sticks (agarbattis)
ITC produces safety matches under brand name AIM (I kno) and incense sticks under brand name Mangaldeep. Also, ITC manufactures for multiple brands like Dazzle, Homelite, and more.
8) Packaging
ITC’s product line for packaging includes carton packaging, flexible packaging, and tobacco packaging.
9) Dairy products
ITC has ventured into dairy products, including milk and curd, under the brand name Aashirvaad Svasti.
10) Health and hygiene products
ITC’s range of health and hygiene products includes hand sanitizer and disinfectant sprays.
Marketing And Advertising Strategy Of ITC To Promote Its Products
ITC pursues aggressive advertising to promote its products among Indian and global users.
Its campaigns like #ProudlyIndian and #SabSaathBadhein have successfully created brand awareness on various social media platforms, TV channels, radio stations, and display hoardings.
To build its global presence, the brand has adopted an aggressive marketing strategy centered on its diversified portfolio of products and services.
The Company utilizes all possible promotional tools, such as print, electronic, and social media, to create the maximum impact for its products.
It has also roped in celebrities like Kareena Kapoor and Shah Rukh Khan to enhance brand engagement. Kartik Aryan and Tara Sutaria are the brand ambassadors of ITC’s product line “Engage”.
Through its e-Choupal program, ITC tries to educate Indian farmers and resolve their issues in 15 states.
How Does ITC’s Service Marketing Mix Work For Its Product Line?
The ITC’s service marketing mix includes process elements like procedures, mechanisms, and flow of activities through which the products and services are consumed.
1) Streamlined operations
To achieve efficiency in management, streamlined operations are developed and implemented in the different business divisions, which ensures seamless delivery, optimized workflow, reduced redundancies, and smooth operations.
2) Strict quality assurance
ITC adheres to strict quality assurance processes to maintain the high standards of its products and comply with the standards through continuous monitoring and evaluation. It also emphasizes safety and hygiene protocols in its hospitality and food services.
3) Supply chain management
ITC employs sophisticated supply chain processes that ensure the timely delivery of products and services and enhance customer satisfaction. Innovative ways are incorporated to improve service delivery processes.
4) Sustainable practices
TCompanyany incorporates sustainable practices into its manufacturing and services process to reduce its carbon footprint and resource wastage.
5) Deployment of Standard Operating Procedures
ITC has developed SOPs for its different service processes to bring consistency in service delivery at all locations and business divisions. It also covers every aspect of customer interaction to handle grievances and complaints.
6) Training and development
ITC invests heavily in regular training and development programs so that its employees stay updated with the latest technology, trends, and methodologies in service management.
7) Leverage technology
ITC leverages technology and introduces innovative methodologies to enhance service and production processes. It uses different digital platforms for customer engagements, data analytics to understand customer preferences, and various automation tools to improve its operational efficiency.
Conclusion
As a leading conglomerate in India, ITC and its product mix are known for their quality, packaging, and branding. The brand ensures product safety and integrity and also focuses on customer satisfaction.
Through its extensive range of consumer goods, ITC has established its presence in retail spaces, whether through exclusive outlets or products in multi-brand stores.
The ITC hotel chain has significantly marked its presence through service quality, opulent architecture, interior design, and convenience, which are synonymous with luxury and comfort.
ITC’s product line reinforces its image as a future-proof, forward-thinking, and responsible organization that follows the ethos of sustainability and innovation.
The professionalism, accessibility, and efficiency the brand showcases in its products and services are the epitome of a customer-centric business that is dedicated to fulfilling social responsibilities and committed to excellence.
Frequently Asked Questions
What is the product mix in ITC?
Product mix is the orientation of ITC about its businesses, such as FMCG, cigarettes, hotels, agribusiness, and paperboards. Such diversification disperses risk in industries.
How unique is the product mix of ITC?
ITC has merged high-margin cigarettes with FMCG brands having high growth potential. This will enable tobacco cash flows to finance new categories.
ITC product types: What are the major FMCG products of ITC?
The FMCG core consists of packaged foods, personal care, and stationery. Volumes are increased by such brands as Aashirvaad and Sunfeast.
To what extent is the cigarette business essential to ITC?
A big percentage of the earnings comes through cigarettes. These profits explore FMCG and sustainability investments.
What is the contribution of agribusiness in the ITC mix?
Agribusiness assists in sourcing and connection at the countryside. It also enhances backward integration.
What is the place of the ITC hotel business in this mix?
Hotels bring an added value of positioning and brand image. They do not concentrate on the FMCG as a source of revenue.
Is ITC pushed towards non-tobacco products?
Yes, the FMCG and the lifestyle segments are expanding at a high rate. ITC tries to discontinue its reliance on cigarettes in the long run.
How does sustainability influence the product strategy of ITC?
Green sourcing and sustainable packaging promote brand image. They are also responsive to changing consumer demands.
Will product mix analysis be of assistance to investors?
Yes, it depicts profit concentration and growth engines of the future. It is applied to determine risk balance by investors.
Does ITC’s product mix evolve?
Yes, portfolio changes are also affected by consumer demand and regulations. The constant growth makes ITC competitive.
