NEW Lays-vs-Bingo-1

1. Comparative study
between
LAYS & BINGO
BY ROHIT VINOD NILAWAR
INDIRA INSTITUTE OF MANAGEMENT,PUNE

3. RESEARCH OBJECTIVE
•To Study which one is better, Lays or Bingo in terms of quality, price, availability and
promotion.
•To Study whether Bingo is giving a tough competition to lays.
•To find out problems that Bingo is facing to establish and maintain its market.
•To find out which flavour of Bingo and lays is most preferred.
•To analyse reason for popularity of most preferred brand.

4. PRICE COMPARISION
• The price of LAYS and BINGO is competitive in nature. Both charges same
price for same packet sizes. However they have advantage over one another in
following ways:
•The main objective of ITC was to compete effectively with players who were
already there. Hence it launched direct frontal attack by introducing similar
priced SKU’s.
• Similarly the pricing strategy for LAYS is consistent with other competiting
players. As this market is driven by high impulsive buyers of snack foods there
is very little dichotomy in the pricing strategies of all major players.

7. PROFIT MRARGIN

9. LINE OF VISIBILITY

10. SALE

11. PLACE COMPARISION
Let us discuss step by step the advantages FRITO LAY have over
ITC with regard to distribution channel and vice versa:
•Being first in the market through its acquisition of UNCLE
CHIPPS, FRITO LAY already has a well established network of
distribution and retailers. The brand loyalty enjoyed by LAYS
leveraged during the launch of KURKURE, CHEETOS.
• ITC already had a well established distribution network through
its Biscuits and ready to eat related offerings which were leveraged
in case of BINGO. Further company distributed racks across all
retailers to display the brand at all point of sale.

12. Delivery Issue Of Bingo

13. Delivery Timing Response

14. Distribution Process Rating

15. READY TO STACK

16. SWOT ANALYSIS
•STRENGHT
1. availability of already existed market.
2. Vast network of manufacturing
facilities .
3. Vast domestic market.
4. Urbanisation.
•WEAKNESS
1. Poor Communication facilities.
. 2. Poor Delivery.

•OPPORTUNITIES
1. Rising income level & changing
consumption pattern.
2. Favourable demographic profile.
3. Opening of global markets.
•THREATS
1. Affordability & cultural preference
of fresh food.

2. High taxation.
3. Competition between
National & regional
players.

17. SURVEY RESULT
(FOR CONSUMER)
SAMPLE SIZE- 100
Ques 1: Do you like to have Potato chips?
PIE GRAPH SHOWING LIKING OF POTATO CHIPS
94%
6%
YES NO
•Out of 100 respondents 94 likes to
have Potato chips.
•This shows that there is large
potential for potato chips market.

18. Ques 2: Which is your favourite brand in Potato chips?
•Majority of respondents 38% voted for
BALAJI as their favourite brand of
Potato chips.
•Bingo is way behind only 14% voted
bingo as their favourite brand.
•Haldirams is favourite for 32% of them
whereas 16 % respondents like other
brands & is their favourite.

19. Ques 3: What makes a particular Potato chips brand your favourite?
PIE GRAPH SHOWING WHAT MAKES RESPONDENTS
SELECTED BRAND FAVOURITE
62%
23%
10%
5%
QUALITY AVAILABILITY PROMOTION BRAND LOYALTY
•USP of food is it’s quality.
•When respondents were asked the
reason to vote a brand their favourite,
they answered:
- 62% respondents says Quality is what
distinguish their favourite brand from
others.
- According to 23% respondents
Availability is another major factor.
- Whereas 10% respondents because of
promotion done by brands
- 5% vote goes due to Brand Loyalty.

20. Ques 4: How do you rank BINGO Chips…
PIE GRAPH SHOWING RANK ORDER OF BINGO CHIPS
16%
34%
41%
9%
TOP NEXT BEST AVERAGE POOR
•16% respondents rank Bingo chips on
top.
•2
nd
place is given to bingo by 34%
respondents.
•41% respondents ranks Bingo as an
average potato chips.
•8% respondents rank it poor.
•Overall Bingo holds a decent position in
eyes of respondents.

21. Ques 5: Do you think Bingo is giving tough competition to Lays?
PIE GRAPH SHOWING RESPONSE ON ''BINGO GIVING
COMPETITION TO LAYS''
49%
51%
YES NO
•New still good enough to compete with
old & well established.
•49% of consumers says that yes Bingo is
giving tough competition to Lays.
•The rest 51% believe that Bingo has still
a long way to go.

22. SURVEY RESULT OF RETAILER’S
QUESTIONNAIRE
- sample size : 50
PIE GRAPH SHOWING SNACKS BRAND WHICH RETAILERS STOCK
18%
11%
71%
0%
LAYS BINGO BOTH NIETHER OF THEM
•Most of the Retailers which constitute
71% prefer to stock both Lays & Bingo.
•They don’t want to lose any scope of
earning profit.
•18% of the retailers prefer to stock Lays
•11% retailers stock only Bingo & that
too because of agreement with ITC.
Ques 6: Which snacks brand do you stock?

23. Ques 7 : Brand which is purchased most by Consumer is?
•Consumer demand is the major tool for
product’s success of failure.
•As per retailers Lays occupies 64% of
total demand share.
•Rest 34% share is occupied by Bingo.

24. Ques 8: Which snacks brand provides you with better profit margin?
•It is very interesting to know that both
brands- Lays & Bingo provide nearly
profit margin to Retailers.
.
48
52
MARGIN
LAYS
BINGO

25. Ques 9: Which company is quick at making goods available to retailers
when they run out of Stock?
PIE GRAPH SHOWING COMPANY WHICH IS QUICK AT MAKING CHIPS
AVAILABLE TO RETAILERS
23%
15%
58%
4%
FRITO LAYS ITC BOTH NONE
•According 58% respondents both
companies are quick in making goods
available to them.
•Whereas 23% respondents find Frito
Lays a quicker company.
•The rest 15% voted for ITC.
•4% retailers believe that both the
companies are slow.

26. Ques 10: Do you think that after launch of Bingo in 2007 Lays is facing
tough comnpetition?
PIE GRAPH SHOWING RETAILERS OPINION ON WHETHER LAYS IS
FACING TOUGH COMPETITION OR NOT
60%
40%
YES NO
•The same question was asked from
consumers & the answer was 50-50.
•But in case of Retailers the result is
differrent.
•60% of the retailers thinks that Lays is
facing tough competition.
•Rest 40% respondents thinks that Bingo
is far behind Lays.

27. FINDINGS
•PEPSICOS Frito Lays is ITC Internetional Compititer, Balaji fallowed By Haldiram
gives tough comptition to Bingo, cover large Market Share.
•The packet size preferred by consumers for branded snacks is medium size RS 10
packet.
•Lays is the market leader in the branded snacks market followed by Bingo, however
there is huge gap between them.
•The quality and availability is the major factor for consumers to prefer their favourite
brand.
•Most preferred brand of Frito lay is Lays followed by Kurkure.
•Bingo’s Mad Angle is most preferred among offerings of Bingo and Achari masti is most
liked flavour.
•Most of the people feel that Bingo is giving a tough competition to lays.

28. RECOMMENDATIONS
•Bingo should effectively use pull and push promotion strategy to win and capture larger
market share
•Bingo should increase its delivery issue by mentaining proper communication between
sales Person & Distribution channal.
•To motivate the Sales guys for increse the awarness of Bingo among retailers by
demostating all the latest discounts.

29. LIMITATIONS
•AREA OF OPERATION- I have conducted survey only in Pimpri Chichwad thereby
ignoring other major parts of India which is also a market for both Lays and Bingo.
•Time Limitation- Time was the major constraint for this research work as we had to
complete our project in two months.
•Sample size- I surveyed 100 consumers 50 retailers which is very less in ratio to total
consumers and retailers for Lays and Bingo.
•.

30. CONCLUSION
•After conducting the survey it can be said that ever since its launch, Bingo as a preferred
brand is on a rise. Although Lays is the most popular brand Bingo has criate niche for
itself..
•Bingo is in the growth stage of its life cycle. It has been taking the shelf space of popular
brands like Frito Lays due to its strong distribution and marketing strategies. Given
more time it is capable of capturing a larger market share and giving tough competition
to other brands.

•Bingo has a long way to go in fighting strength to strength with Lays & Facing Tough
Comptition From Balaji, fallowed by Haldiram.

31. THANK YOU 