Haldiram's Group - Seeking the 'Right' Marketing Mix

Promotion Contd...

Haldiram's also diversified into the restaurant business to cash in on its brand image. The company established restaurants in Nagpur and Delhi. The restaurant at Nagpur devised an innovative strategy to increase its business: It facilitated people who were traveling by train through Nagpur station to order food from places where stockists of Haldiram's Nagpur unit were located. The customers could order for lunch/dinner by sending a demand draft (DD) or cheque to the Nagpur unit or giving the same to specified local distributors belonging to the Nagpur unit. Along with the DD/cheque, customers had to provide information such as the name of the train, its likely time of arrival at Nagpur, their names and coach and seat numbers.

Haldiram's restaurants in Delhi also used innovative ways to attract customers. The restaurant located at Mathura road had special play area for children.

To cater to NRI's and foreign tourists, who hesitated to consume snack foods sold by the roadside vendors since it was not prepared in a hygienic manner, the Haldiram's restaurant located in South Delhi used specially purified water to make snack foods including pani puri and chat papri¹².

These promotional strategies helped Haldiram's to compete effectively with local restaurant chains such as Nathus, Bikanerwala and Agarwals and with western fast food chains such as McDonald's and Pizza Hut.

Positioning

The above initiatives helped Haldiram's to uniquely position its brand. Haldiram's also gained an edge over its competitors by minimizing promotion costs. Appreciating the company's efforts at building brand, an analyst said, "Haldiram once was just another sweet maker but it has moved into trained brands first by improving the product quality and packaging.

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12] Snack items that are prepared with a spicy, water-based sauce. These snacks are commonly sold by roadside
vendors.

Case Details

Case Code : MKTG048
Themes: Marketing Mix
Case Length : 10 Pages
Period : 1990-2003
Organization : Haldiram Group
Pub Date : 2003
Teaching Note : Not Available
Countries : India
Industry : Ready to Eat Snack Foods

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