Background

Tata Tea was set up in 1964 through a joint venture with UK-based James Finlay and the Tata Group for manufacturing tea and coffee. Currently Tata Tea and the UK-based Tetley group have the worlds second largest branded tea operations with a presence in 40 countries.

Brand Summary

'Superbrand' status and 2nd most trusted beverage brand in India This year Tata Tea Celebrates its 25th year, which has been brought to life in a number of brand communications Market leader measured by volume and value branded packet tea Successful across India with 4 national and 3 regional brands Has transformed the way beverages are marketed by positioning tea as a catalyst for social change Promotes social awakening and action through its landmark 'Jaago Re' marketing campaigns

Tata Tea began a journey with this spirit 25 years ago, when the packaged tea market was dominated by one large player with over 70% market share. While most saw entering this market as an almost impossible task, Tata Tea saw an opportunity.

Tata Tea has evolved from being a brand that promised freshness of the tea gardens, to a brand that awakens every Indian. We have come to stand for a way of life to our consumers.

The brand enjoys almost 'legendary' status in India as a trusted 'Superbrand' that not only enjoys market leadership in branded packet tea, but has also transformed the way beverages are marketed through its 'Jaago Re' campaigns.

Tata Tea has promoted social awakening and action encouraging young people to vote, inviting consumers to pledge against bribery and through www.jaagore.com bringing citizen volunteers together with 70+ NGOs to give their time for a range of good causes.

The brand has also initiated the Tata Tea Jaago Re Inter Milan Soccer Stars program. This is a unique soccer tournament which promotes soccer among school children and helps talented young soccer players in India to access the best in terms of infrastructure, training and above all an International platform to exhibit India's future talent

Brand family

Tata Tea Premium our flagship and the largest tea brand and volume leader in india with over 18 per cent volume share Tata Tea Gold new aromas, new packaging and new marketing make this the fastest grower in our portfolio Tata Tea Agni still the economy tea of choice in India despite fierce competition from unbranded rivals Life the tea that helps you get more out of every day. Life is still a firm favourite for the busy modern day lifestyle Tata Tea Gold Darjeeling our Darjeeling alternative is winning rave reviews from premium tea enthusiasts Chakra Gold - the tea that opens you up is a leading premium brand in Andhra Pradesh Gemini the undisputed market leader in Andhra Pradesh, achieving impressive year on year growth Kanan Devan - infused with the freshness of the Kannan Devan hills , it is a leading brand in Kerala

Tetley tea takeover

An important step for Tata Tea was the acquisition of the Tetley Group (based in the United Kingdom) in 2000. It was a 271 million ($432 million) leveraged buyout. Tata Tea reportedly outbid the American conglomerate Sara Lee in what was described as the largest takeover of a foreign company by an Indian one to date. At the time, Tetley was the world's second largest tea company after Unilever's Brooke Bond-Lipton and had an annual turnover of 300 million. It was the market leader in Britain and Canada and a popular brand in the United States, Australia and the Middle East.

2007
In 2007, Tata Tea launched the campaign Jaago Re! to awaken youth to social issues. The campaign was extended into 2008. In 2009, their campaign revolve around the issue of corruption with a new adline 'Ab Se Khilana Bandh, Pilana Shuru'.

2012
On January 30, 2012 Tata Global Beverages and Starbucks announced the creation of a 50-50 joint venture called Tata Starbucks Limited, which will own and operate Starbucks Cafe branded as Starbucks Coffee "A Tata Alliance" throughout India. The stores will start beginning to operate in 2012, launching initially in Delhi and Mumbai.

Marketing strategy
In spite of a global presence, the brands are distributed differently depending on the location. As Tata tea is far better known in India and a powerful brand there, it is pushed on this market and countries with a large Indian population. Therefore, Tetley is the company's global face and the largest markets focus on the Tetley brand. Where both brands co-exist in one market, Tetley is positioned as the premium brand.

Market Share
Total tea consumption is estimated at 650 million kg, of whichthe share of packaged tea is 290 million kg, which is growingat 1.7 per cent per annum.

International market
The Tata Tea groups acquisitions since Tetley, its first megaone in 2000 for $432million, was followed by four acquisitions. The tea major has now acquired a 33% stake in South Africantea company, Joekels Tea Packers, through Tata Tea Tetley,its subsidiary. The acquisition will also pave the way for Tata Tea to sell itsTetley branded products in South Africa, Namibia, Botswana,Lesotho and Swaziland through Joekels

Threat
While Tata Tea is the No 1 branded tea, there has been asignificant value erosion in the tea market, with regional players offering mediocre products at low prices or with attractive promotions Despite the fact that tea is the most traditional and affordable beverage in India and probably because of as well - it is perceived as being old fashioned and less functional than some substitute products.

Market segmentation:
It consists of a group of customer who share similar set of wants
Geographically: South India, southeast India, southwest India. Social class: Working class, middle class, upper middle class

Milestones
Tata Tea won the Mother Teresa Commendation Award for Corporate Citizenship. It received Golden Peacock Innovative Product & Service Award. It received National Safety Council, Kerala Chapter Award (2001) for outstanding performance in Industrial Safety as Runner Up by achieving the lowest frequency rate of accidents in Gr. III(B) Engineering Industries.

Future plans:
Tata Tea is going in for an image makeover to attract youth consumers through its 'jaago re' campaign , its retail initiative of 'Chai Unchai' and by launching newer products like ready-to-drink beverages.