Not so yum

Derby respondents didn't find Godrej Yummiez to their taste.

This probably was not the best year to launch a poultry product. In February 2006, after strains of avian flu were detected at a poultry farm in Maharashtra, sales plummeted.

Film stars and other celebrities were roped into convince sceptical Indians that eggs and chicken were safe to eat, but it didn't really work.

Industry estimates place the damage at over Rs 2,000 crore. Even as the poultry industry was taking stock and trying to recoup its losses, in June 2006, Godrej Agrovet Ltd (GAVL) launched Yummiez, a brand of ready-to-eat chicken snacks.

Wasn't the timing a bit off? GAVL executives don't think so. "The snack is already cooked, so the fear of eating raw meat is lost. Besides, crises like these should not deter a company from introducing new products. If a company is proactive and ensures that all measures have been taken, it will survive market uncertainties," declares Balram Yadav, vice president, integrated poultry business, GAVL. Besides, adds Yadav, GAVL believed the market was ready for the product.

Brand Derby respondents don't seem to agree. They gave Yummiez a decisive thumbs down. Four per cent said it was the least successful brand, while 39 per cent said it was not successful. Only 11 per cent considered Yummiez a successful launch.

Consider some comments: "The timing of the launch was wrong;" "Yummiez appears to lack consumer insights"; and "it has not been able to penetrate the market and desired consumer segment".

So much for the bad news. GAVL has a different story to tell: it claims Yummiez has already captured 8-10 per cent of the Rs 120-crore non-vegetarian ready-to-eat snacks market. In fact, the "positive response" in Pune and Mumbai spurred launches in Bangalore and Goa. By March 2007, Yummiez will roll out in 24 cities across India.

"We are happy with the response and expect to get a turnover of Rs 50 crore in the first three years," says Yadav.

GAVL began work on Yummiez almost two years earlier. While the move into ready-to-eat foods was perhaps a natural progression, given that Godrej was already present in the market as a processed chicken brand (Real Good Chicken), it still did its homework.

"Entering the ready-to-eat segment was a strategic move to grow the business," says Yadav.

The first step was to study the ready-to-eat market and understand changing consumer trends in cooking, consumption of low-fat foods and evolving tastes. The findings? Consumers are looking for a blend of health and convenience. The target customer, too, was obvious: young, urban professionals and working mothers.

Once the brand was launched, GAVL's promotions followed the usual route. Introductory discounts and point-of-purchase displays apart, it also opted for taste trials, setting up stalls at retail outlets to offer potential customers a chance to try the products for themselves.

"This is a part of our long-term strategy to induce consumers to try the product," says Jude Fernandes, president and head, Mudra, Mumbai, GAVL's creative agency.

Another initiative achieves two goals simultaneously. Yummiez is a frozen snack and lack of cold storage facilities will severely hamper distribution and sales. Which is why GAVL is providing branded freezers to some of its retailers "" the company plans to distribute 3,000 freezers to retailers in Pune, Mumbai, Bangalore and Hyderabad by next year.

"The growth barrier in this category is the lack of efficient cold chain facilities. We are hoping to address that by providing branded freezers that will help maintain the product quality," explains Yadav.

The freezers also came in handy when Yummiez extended its portfolio to include vegetarian products as well: in October this year, it added four veggie snacks to its existing basket of 10 chicken-based munchies: retailers are instructed to store the vegetarian offerings in a separate compartment inside the freezer.

For Derby respondents, the trouble with Yummiez is not the product mix or even the display, but the brandname. While some felt Yummiez was not adequately "peppy", others thought the launch of a food under the Godrej brand umbrella was ill-advised.

"Godrej is associated with soaps, not foods" was a frequently heard complaint. But branding consultants disagree. "Godrej has a strong brand awareness as it is present across industries. The brand association will only help create high brand recall," points out Harish Bijoor, CEO, Harish Bijoor Consultants, a brand consultancy.

The lack of a mass media campaign was the other sore point for Derby interviewees. At present, Yummiez is concentrating on local media like print, outdoors and in-store advertising.

"The target audience spends most of its time away from home, so outdoor ads are the best option. It also helps to break the clutter," says Fernandes.

Television and radio advertising will have to wait, but once that happens, perhaps the 50 per cent respondents who chose "don't know" when asked about Yummiez will have an opinion to share.