A REPORT

ON

Building a Brand

In organic food named Organic World

By

Manveer Singh

Subhransu padhi

Aviral Sharma

Arijeet Singh

Samiksha Tiwari

Krishnakant Lohya

Aashrita

Submitted to:

Dr. Ramender Pratap Singh

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Building an Indigenous Brand in Organic Food Industry

Introduction to Organic Food Sector

With the evolving process of modernization, the perceptual image and attitudes towards organic
foods has changed. The improving economic conditions of citizen and increasing awareness
about product is indicating a paradigm shift in the preference for Organic Brands. According to
the research report by ASSOCHAM India & EY India, the current Indian organic market is
estimated at INR 40,000 million and it is likely to increase to INR 100,000–120,000 million by
2020 with a similar incremental trend in exports. At present, India is an emerging player in
exporting over 300 organic products with 20 different categories to over 20 countries1. In the
year 2016 has exported 1.35 million MT of certified organic food products worth INR1937 Crore
which indicates the veracity of this sector.2

The global market for organic products is growing faster at a Compounded Annual Growth Rate
of 16% as compared to the global markets for conventional products which is rising at
Compounded Annual Growth Rate of 10%3. This differential growth rate can be observed in
several market segments, including health & wellness, food & beverages, textiles and beauty &
personal care among others. The accelerated growth of the organic market can be attributed to
numerous factors. The increasing emphasis on good health, proliferation of consumption-related
ailments, an increased awareness regarding the health benefits of organic products among
consumers, enhanced income levels and standard of living, together with government initiatives
aimed at promoting organic products are key drivers of this exponential market expansion.

The organic sector in India is comparatively new and possesses inherent strengths which can be
leveraged. The agricultural policy of India is gradually shifting from upholding production-
centric approach to a more holistic approach which resulted on increased productivity, building

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products with nutritional concerns, environmental impact and standard of living of the
stakeholders. In addition to the Government’s increasing interest in the organic sector, private
sectors have expressed their interest by increasing the amount of investments in this sector. The
demand for organic food products is steadily increasing as there is a significant shift in the
interest of Indian farmers in making the shift to organic farming. From the early 2000s, there
have been emergences several players in the organic food segment but challenges like
contamination, availability and accessibility are becoming major challenges. The marketing of
organic food products comes with its own set of challenges related to global competitiveness and
differentiation in terms of global and national quality standards. Although there has been a
marked improvement in the level of awareness regarding organic products, many consumers are
unaware of its benefits thereby providing no incentives for increased supply and resulting in high
priced organic products as compared to the conventional variants.

India produced approximately 1.70 million MT (2017-18) of certified organic products which
includes all varieties of food products namely Oil Seeds, Dry Fruits, Sugar cane, Cereals &
Millets, Medicinal Plants, Cotton, Pulses, Tea, Fruits, Spices, Vegetables, Coffee etc.4

Factors which are contributing towards creating a suitable market environment for
launching an Organic Food Brand;

• Increasing demand for organic food with the rising disposable income, increasing health
awareness
• Introduction of new product categories and varieties in Organic Brands
• Increasing use of online marketing channels which minimizes the problem of identifying
the target customer group and creating a market place.
• Increasing awareness regarding organic foods
• Increasing investment in organic food companies and support from Government of India.
• Increasing retail shelf space for organic products

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 All these market conditions are indicating towards a fortifying market condition to come up
with a brand which delivers wide range offerings with desired value proposition.

CREATION OF ORGANIC FOOD BRAND

The categorization of an organic food brand can indicate two major attributes:

• First, it is free from toxic elements such as pesticides, synthetic fertilizers, growth
hormones and antibiotics or genetically modified organisms (GMOs).
• Second, standardized organic cultivation methodologies are followed, with respect to its
impact on soil, water and air. These value chain based attributes have resulted in high
preference towards organic food products.

Considering above attributes of a generic brand in Organic food segment, the brand
elements are chosen. The Brand Name & Tagline are as follows;

BRAND NAME: ORGANIC WORLD

TAG LINE: Eat Natural, Live Happy.

BRAND SLOGAN: Down to Earth

The brand name is selected in line the theoretical aspects of selecting a brand name such as,

• It should be unique and convey a distinct meaning.

• It should indicate relation with the industry as well as its offerings.
• It should convey a positive and non-offensive meaning about the brand.
• It should be extendable to assist in future plans of diversification & expansion.
• It should be legally protected and registered.

The brand name consists of two words. The word “Organo” is related to Organic which indicates
pertaining from natural environment on ideal production scenario. Combining it with the second
word, it gives a meaning of “One stop destination for all the Organic Products”. The Organic
Food brand name combines psychological attachment towards organic things, innovation and
science to benefit the shared environment and a good quality of life for all involved. In other
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words, the brand name indicates the offerings from a social, economic, cultural, political and
environmental benefits point of view in a long run.

The main intention behind preferring an organic food brand is to indicate health consciousness
by means of taking qualitative foods which are free from artificial methodologies of production,
pesticides and chemicals. The expectation for longevity of live without any disease is the
primary motive which is targeted through the tagline “Eat Natural, Live Happy.” The brand
slogan is “Down to Earth” which indicates the inherited attachment towards natural things.

The colour of logo will be chosen in such a way that it signifies the attachment with nature and
organic elements. Also, it should be able to gain the trust worthiness through the design
elements. As per the psychology of colours and its emotional effect, the brand design can
continue with colours like Green and White.

From Brand Attributes perspective 3 major attributes are primarily considered for the creation of
this brand.

i. Sensory attributes:
To fulfill these attributes Appearance of Logo in terms of their colour composition,
aromatic essence in retail presence are intuitively designed.
ii. Functional attributes
As an organic food brand, all the products should maintain a standard composition which
is free from preservatives & chemicals. Apart from that the shelf-life, production &
processing methods should be in such as way that it will leverage some positive impacts
on the brand.
iii. Prestige attributes:
The logo and emotional attachment with the brand, Country/region of origin, Place of
purchase and Price ranges are going to impact the brand value.

Hence in all the phases of branding these attributes are taken care.

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BRAND MANTRA

Brand essence, also known as a brand mantra, it is a short statement that expresses the core of
what that brand represents or the image it seeks to project. A brand essence statement is often
just two to three words.

Although formats can vary, the statement's tone is most important. A statement usually uses a
series of adjectives to describe a brand and may or may not contain the brand name.

Criteria for a brand essence statement include:

-A single-focused message.

-Differentiation of the brand from competitors.

-An evocation of customer experience with the brand.

-Consistent delivery.

-A representation of the reality of what a customer might feel.

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BRAND VALUE CHAIN

HOW BRAND’S CREATE VALUE?

Brand value chain starts with marketing program investment. It consists of different types of
investments such as product, communications, trade, and employees. Your marketing program
investment will directly affect your customer’s mindset.

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Multiplier - Program Quality
Your marketing program investment effect will be greatly influenced by your program quality,
the following points below are the key factors that you should look into:

Clarity-

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This refers to the marketing campaign’s messages and its forms of communications. It is critical
to tailor marketing messages to your customers and their best abilities to understand and interpret
the message as intended.

Relevance-
Marketing program should be relevant to your customers. You should identify the customer's
pain points, and inform them of the reasons to buy you product or service and how it proves
relevant to their lives.

Distinctiveness-
There are countless marketing campaigns available, your marketing program should be
distinguishable from the other competitors from customer’s standpoint in order to set you apart
from the others and be more attractive.

Consistency-
Your marketing program should be consistent and include integration from different channels
that the program utilise

CUSTOMER MINDSET:

These marketing program investments will influence your customer’s mindset. Keller’s (2001)
customers-based brand equity model, a four building block of brand equities from your customer
is used to evaluate their mindset. In short, customer’s mindset consists of awareness,
associations, attitudes, attachment and activity. This four building block is a bottom-up approach,
meaning each customer begins from the bottom with awareness and end with attachment and
activity.

Awareness-

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Awareness consists of depth, breadth and usage of the brand. Depth and breadth refers to the
ability of the customers to recall and recognise the brand whilst product usage refers to how and
when the product or service can be used.

Associations-
It refers to the connections and relationships of one’s brand to the external parts. Associations
could be positive or negative. Therefore, each brand has to identify and communicate with its
strength, favorability, and uniqueness (SFU) of the brand’s perceived attributes and benefits.

Attitudes-
Attitudes towards the brand is the response of the brand’s campaign and the actual performance
of the product. There should be continuous evaluation on a product’s performance in order to
create better review on a customer’s perspective, thus resulting in positive brand attitude.

Attachment-
When both product and the brand successfully satisfy or has managed to exceed customer’s
expectations, it attracts customers to become loyal and attached to the brand.

Activity-
This refers to the extent of customers who already use the brand and talk to their peers about it,
seeking out information about the brand accordingly.

Multiplier-marketplace conditions-

Marketplace conditions are the external factors that affect the overall performance of a marketing
program investment.

Competitive Reactions-

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A competitor’s reaction to one’s marketing campaign will affect the overall performance of a
marketing program investment.

Channel Support-
A great marketing investment is one that utilises every available channel, online and offline.
Companies can also use its marketing partners to reinforce its marketing program investment,
adding headcounts of audiences exposed to the marketing program investment.

Customer Size and Profile-

The bigger the customer size, the more investment there should be in marketing programs.

MARKET PERFORMANCE:

Market performance is the result of a positive customer’s mind-set due to the increase in the
sales of the product or service.

Price Premium and Price Elasticity’s-

Companies can charge for a premium price when customers have a strong positive mind-set
towards the brand. In addition, if the company decides to increase the price of their product or
service, it will not affect the purchasing behaviour of their customers.

Market Share-
The total sum of loyal customers will affect the greater share of the total addressable market.

Brand expansion success-

A successful marketing program investment, directed to a brand extension, will provide
additional opportunities for companies to add a product line or depth, thus adding on a new
revenue stream.

Cost Structure-
A successful marketing program investment will also reduce further marketing investment costs
as the brand has a strong presence in the customer’s mind.

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Profitability-
Creating a strong brand gives companies a competitive edge and stretches the profitability of the
company.

MULTIPLIER – INVESTOR SENTIMENT-

Market performance will affect the value of the shareholder. However, investor sentiment will
greatly influence its effect. There are numbers of considerations used by both financial analysts
and investors to evaluate the brand and its investment decisions: Market dynamics, growth
potential of the brand, risk profile and a brand’s overall contributions to company’s portfolio.

Marketing mix of Organic World

Why marketing mix?

Marketing mix is the set of actions, or tactics, that a company uses to promote brand or
product in the market. The 4Ps conjure a typical selling combine - Price, Product, Promotion
and Place. The selling is a vital tool for making the correct selling strategy and its
implementation through effective ways. The assessment of the roles of your product,
promotion, price, and place plays a significant role in overall selling approach.

Product

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Organic world is a organic food brand which is newly launched in India .organic world has wide
product range in its Marketing mix , based on Indian tradition it has a variety of cereals, dals,
millets, oils, teas, sugar and jaggery ,honey ,jam etc. around 50 products are launched in India .
The company takes pride in providing high quality organic food directly from our very own
farmers to the consumers. Every product is packed as a single serving portion and is also
available in flexible pouches. Cereals, dals , jam and vegetables at some selected stores and
honey are one of the most initial products of organic world in which the company is focused to
gain market share. Organic food product are not processed, they are directly from our farmers,
company has its selected farmers from where it purchases and it also teaches them how to grow
them and how they should be taken care. For continuous supply of raw material company has
been regularly encouraging farmers to produce more and more in efficient way.

Price

There are around 50 products of organic world currently present in the market. The products
come in single pack of 1 kg and 500 g. Some of the products such as cereals and dals also come
in the package of 2 kg and 5 kg. the price of the products varies from 90-500 depending on the
type of product and the size of products , as fresh vegetables at some selected stores are availed
under 100 Indian rupees and other products non-perishable product are available under 500
rupees.. In initial stages, company has backing of investors like TATA. Chairman Mr Ratan
Tata. In 2018, the investment from him was Rs.15 crores. In 2019, it got investment of 8 crores
from Sequoia Capital. As consumer awareness is increasing, they are shifting from foods which
are produced with the help pesticides to healthier options. Organic World being pioneer in the
traditional food space has advantages and eyes the growth in revenue and market share. As
Indian economy increasing, young generation values time and convenience more than the price
which shows better prospects for the brand.

Place

Organic world has Head Quarters in Hyderabad, India. Organic world products are available in
all the major cities in India. Organic world has tie-ups with the selected farmers of the different

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regions for the availability of fresh vegetables in the selected cities. The production units of
Organic world is in two cities Hyderabad and Delhi in India and have capacity of ten thousand
pouches per day. The company is also planning to open another manufacturing facility in future.
The packaging of Organic world products is futuristic with convenience of space reduction. It is
the packaging used in spacecraft.

The Organic world products are available at various places and many online grocery suppliers
like big basket, amazon grocery.

Promotion

Organic world created excitement among the consumers through distinctive branding and
advertising. In 2019, organic world launched its first advertising campaign, back to basics.
Unique product packaging and marketing techniques to attract consumers. A well-known design
and Brand consultancy, Elephant Design was sought for help with strategic design and brand
naming. It has adopted trendy design, packaging and brand name which has built up the brand
awareness. The promotion was based on emotional appeal to consumers by revoking the
unhealthy food which they are eating and their children are eating and how it has helped in the
increase of diseases, appeal was to eat healthy and how their eating habit of eating healthy will
also help earth. Hence the tagline is ‘Down to Earth’. Organic World can strongly connects with
the consumers. Since its conception, Organic World has been active on social media and has
been in touch with the consumers. Organic world is planning soon o enter in the TV commercials
it has been in talk with several ad agencies.

Segmentation targeting and positioning of Organic World

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Why STP?

STP is a marketing strategy which is dividing a broad target market into subsets of
consumers, based on location, behaviour and products etc., or are perceived to have,
common needs, interests, and priorities, and then designing and implementing strategies to
target them.

The STP model is helpful for making selling communications plans since it helps marketers
to grade propositions and so develop and deliver personalized and relevant messages to
interact with different audiences.

STP Analysis of Organic World

Segmentation
Organic world is crafted with a view to target urban India, particularly aged above 20 and also
the parents of infants. The geographical target was crafted with a view to reach out to
communities that had left their native homes to other parts of the country in pursuit of work and
domestic demands. As in urban India there is lack of organic food and according to a study most
of the people living in urban India like to have organic food, they cannot have only because of
the lack of availability. That is the reason behind the tag line “Down to Earth”. It signifies that
having this brand people are having something which is being naturally being produced from
mother earth.

Targeting
1. The people who are overwhelmed with health (health conscious) – organic world is
majorly targeting this group of people by bringing how this brand can be their choice of
eating healthy.
2. People who are shifting from processed foods and want to have something healthy and
organic.

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 3. The people who prefer natural food, direct from the farmlands and which is produced
without the use of pesticides.
Positioning
Organic World has positioned itself as a brand of traditional Indian methods of producing food.
All its variants have ‘Indianness’ and innocence of tradition pouring out of them which will be
displayed through beautiful marketing campaigns. People using organic world products have the
feeling that they are using something which is without any side effect and will also keep them
healthy and “Down To Earth”.

Brand Resonance Model.

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Brand Salience: The Brand salience of our brand will be achieved by the simplicity and easy to
remember Name of our brand and tagline and quality of our product which will put our Brand at
the top of the mind of customers.

Identity (who are you): Purest premium quality products at very much affordable price.

Deep Broad brand awareness: Awareness will be created by the promotions and advertisements.

Brand Performance: Brand performance is all about how well your brand and brand’s product
features are. Our brand “Organic world” has all the varieties of products coming with best
quality at affordable price.

Brand Imagery: Brand Imagery is how customer is connected with your brand in a way which
brand meets customer’s psychological needs and social needs.

Organic World with its objective of delivering best quality organic food meets customer’s
psychological and physical need of eating healthy and staying healthy.

Meaning (what are you): A Brand whose objective is to deliver best quality organic fruits and
vegetables at very much affordable price to keep everyone healthy.

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Points of parity (pop): The elements that are considered to be must for a brand to be considered a
legit competitor in a specific category.

Pop of Organic world: Organic Fruits and vegetables, good quality, Good store.

Points of difference (POD) : The elements that are considered to make your brand different from
other competitors .

POD of “ Organic world” : Lowest price in the market , Home delivery anywhere around 10
kilometres radius of the store.

Brand judgements: specific attributes and benefits of the brand that help develop consumer
attitudes toward the brand. The perception that is created in consumer’s mind about the brand.

Best quality , lowest price and Home delivery will be the perception that we are trying to create
and will be created in public’s mind. This will be done by the heavy promotion and
advertisements to create awareness and then word of mouth will play the crucial role as we want
public to use our products on their own instead of pushing it.

Brand feelings : Related to the social currency evoked by the brand. Customers emotional
responses and reactions to the brand.

Organic World wants to have a very deep connect with their customers , both emotionally and
logically . we want to convey it that Organic world is for Good food and healthy food , not for
some business to earn money.

Brand resonance : It is the depth and intensity of the psychological bond that customer have
with the brand. In one word it is related to Loyalty.

Organic world will achieve this ultimate Brand resonance by having personal attachment , sense
of community, active engagement ( helping with healthy diet and providing knowledge about
each vegetable and fruit so that customer is well educated about what is he/she is eating .) and
repeat purchase .

INTERNAL BRANDING

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Internal branding is basically composed of:

1. Communicating the brand to the employees in an effective manner.

2. Convincing the employees that the brand is relevant and worth the effort.
3. Successfully linking all the job profiles in the organization, so that the brand essence is
delivered to the customers.

This provide clarity to the employees working in different departments of a large organization by
influencing their behavior. It also unifies the functioning of the different departments and
companies in the portfolio of the organization. It directly influences the “extent to which
employees perform their roles in relation to the brand promise, which in turn affect the employee
performance.”

So now, if we talk about our company that is ORGANO WORLD, it deals with all the organic
product such as cereals, pulses, jam etc. which are very healthy by nature. By doing internal
branding, it will also help the employees more productive and moreover help the brand built its
brand equity.

Therefore we have to motivate the employees of Organic World to make its internal branding for
a successful brand.

Internal Branding process is broadly divided into 3 stages:

1. Planning: In this stage, Organic world will have to communicate to the customers on
the basis of the vision i.e. to indicate health consciousness by means of taking qualitative
foods which are free from artificial methodologies of the production such as pesticides
and chemicals.
The brand slogan i.e. “Down to earth” also indicates the inherited attachment towards the
natural thing.

2. Execution: This is the stage where COMMUNICATION AND COMMITMENT is a

very essential step to be taken care of for the internal audience (Employees). Organic
world will communicate its identity to its employees that it is the one stop destination for
all the organic products, will educate about what brand actually is and that is where

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 employees will willingly adopt, enact and build upon the brand identity, i.e. there is
commitment to the brand.

3. Evaluation: This is the later stage in which based on their experiences, customers of
Organic world will form a certain perception about the brand and the same perception
will lead to the image of our brand. Over a time, as we will get to know the customer
perception through the feedback, we can then compare it with the brand identity and then
the corrective measures (If required) will be taken.

MARKETING STRATEGY

Many organizations decided to refrain from large advertising campaigns to announce their
operations. This is again because of financial reasons but also because it was often felt that when
there is only very little consumer awareness directs communication and exposure is much more
effective in transmitting the complex message of the principles and benefits of organic
agriculture.

Instead, the organizations rely on word of mouth sales and marketing, actively conducted
lunchtime talks at companies and corporations to promote awareness or different other ways to
work at grassroots level, for example with associations, community clubs and schools for farm
visits. Direct contact with the customers also helps in getting immediate feedback on products,
which in turn helps in developing the products further. It could also be useful when the shop
manager has knowledge and the ability to cook and use the ingredients sold in the shop and even
monthly cooking demonstrations could be organized. In countries, such as Malaysia, where
many people buy organic products for health reasons it is important for the proprietor to update
him/herself on the latest alternative medical knowledge and general medical knowledge.

It is also worthwhile to establish linkages with the mass media and many journalists are willing
to publish about organic agriculture because it is a novelty or because it links well with health or

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environmental issues. A good article by a journalist can do more than a paid advertisement and
comes at no cost! (But not in all countries!)

In terms of marketing strategy it is important to know the culture and some basic "habits" of the
target consumers, for example where they do their shopping and at what times of the day and
also how they get their information about food, health issues, etc. This knowledge is not only
important in order to identify the main channels to provide information to (potential) customers
but also to decide on where to sell the organic products, what to sell, at what time of the day to
sell, etc. This in turn has consequences for the purchase and delivery of the organic produce from
the producers.
Many organic marketing initiatives have developed their own logo at a very early stage and have
found that the use of a logo improves the communication about the products and the company. In
some countries, the company's logo has become almost synonymous for organic products.
Finally, it could be said that, if opportunities exist, it could be worthwhile to focus on both the
domestic market and the export market. The successful export of one organic item could serve as
an important money generator for the development of the domestic market, for example the
export of organic jasmine rice in the case of Green Net in Thailand.

KEY POINTS
• (At start) publicity through word of mouth.
• Interpersonal contacts are important, also to get feedback on products.
• Work with grassroots (associations, community clubs, schools) for farm visits.
• Use interest of mass media to publish on new and trendy issues.
• Base marketing strategy on knowledge of culture and habits of consumers.
• Use (strong) logo for communicating the products and the company.
• Focus on both local and export market (export market as money generator for local
market development).

Individual contribution:

Introduction to Organic Food Segment -Subhransu

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Brand Mantra- Samiksha

Marketing Mix of Proposed Brand, Segmentation, Targeting and Positioning- Manveer

Brand Resonance Model, Branding Programs: Describe each activity taken to create the brand.
Krishna-

Internal Branding Process -Arijeet

Marketing strategy – Aviral

References

Global demand for Indian Organic food products on constant increase,

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Source: https://m.economictimes.com/industry/cons-products/food/global-demand-for-indian-
organic-food-products-on-constant-increase/articleshow/66330641.cms [Assessed on 22nd
August 2019]

The Propitious Organic Industry in India,

Source: http://www.businessworld.in/article/The-Propitious-Organic-Industry-In-India/25-05-
2019-170768 [Assessed on 22nd August 2019]

Mukherjee, Arpita(2017) “Promoting Organic Food Products and Exports - Status, Issues and
Way Forward”, ICRIER Source: http://icrier.org/pdf/Working_Paper_342.pdf [Assessed on
23rd August,2019]

Organic Product Information: Agricultural & Processed Food Products Export Development
Authority, Source: http://apeda.gov.in/apedawebsite/organic/Organic_Products.htm [Assessed on
23rd August 2019]

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