Introduction to Retail – What is Gits into and how long it has been in this industry and what has it gained in so many years? What is changing in the customer’s profile?

03 May

What is Gits into and how long it has been in this industry and what has it gained in so many years? What is changing in the customer’s profile?

What is Gits into and how long it has been in this industry and what has it gained in so many years? What is changing in the customer’s profile?

Introduction to Retail

1. What are the various functions performed by retailer who sell clothes for kids?

2. Elaborate on the importance of Visual Merchandising in retail citing an example of any unusual display that you have seen?

3. Case Study: Gits unpacks the utility narrative.

A ready to cook food cook food brand looks to stay relevant, even as its core promise to convenience is knocked over by a host of new players New recipes, healthy alternative and national pride-it is a broad sweep of narrative that the 55 years old home grown convenience food brand is experimenting with, as it plots its way through a rapidly changing marketplace. A shifts in customer perceptions and needs and the aggressive expansion of food delivery apps are forcing gits the homegrown convenient food brand to rethink its value preposition.

The brand has a long history in the country. It came into being 1963 then gets food products, privately held company launch instant and ready to cook food mixes under its name. The company is currently managed by the third generation of the founding Gelani and Tejani families and the brand is being reinvented with new products being launched, new packaging format and all of this backed with intensive ad campaigns.

Change is being driving by changing customer’s profiles. More health conscious and while they look for convenience, Byers are also particular about fresh fare, say market experts. This is the market Gits seeks to address.

“Gits has always been an all-natural, no preservative brand. However, educating customers find breaking the myths is a big challenge,” says Sahil Gilani, director, Gits Food products. The company has recently launched a set of digital firms that speak to millennial needs about taste and convenient. All of this is package within a narrative that also seek to maximize the sentiment around two big upcoming festivals even rakhsha bandhan and Independence day. The company says the campaign is meant to celebrate both Patriotism and brotherhood and that is an ode to all soldiers.

Harish bijoor, brain consistent and founded, Harish bijoor consults does not sees the brand’s promise being effectively conveyed through such ads however. “Gits is a very old brand and that heritage of brand still sticks to it. Gits need to jump out of that old heritage. In terms of its current advertising, I do not see that happening.” The market that gets serves has plenty to offer. “I think it is important to understand that the young generation that we are talking about is not only about convenience, but also about rectification of good health due to that convenience. Associating good health and healthy practice with gits maybe a good way to go forward,” says bijoor.

The RTC (Ready to Cook) to the RTE (ready to Eat) segment is estimated to be around Rs.1200 Crores and growing at around 10–15%. Gits claims its accounts for 25% share of the market that has a number of hyper local and local brands. Among the big brands competing for the same pie are MTR foods, Kohinoor, ITC, Nestle, McCain food (India) Prabhat and others.

Gillani says that the brand focus in the earlier years was on the export market because some products were seen to be ahead of their times. But now domestic sales contributes to the 60% of company’s Revenue and its share is expected to grow, largely driven by new launches.

According to Gillani the lines between the RCT & RTE categories are getting blurred in the country today. This is all part of an evolutionary process in taste he adds, explaining that the challenge for brands such a gits lies in finding the sweet spot between RCT and RTE, a spot that attracts the young. While they are doing that, the company is also emphasizing the healthy nature of its product.

Gits now has super food mix like brown rice and flax seeds, idli mix, oats mix and such other products. It has also launched an organic and vegan version of ready meals abroad. The company is also looking at the ways to drive the brand deeper into the food business, by working with QSR that is (Quick Service Restaurants) and Hotels.

Distribution has also been ramped up and the company says it currently has more than thousand distributors across the country. It also has an e-store besides selling through flipkart, amazon and big basket.

Gits is also active on social media and has just launched its 3 digital films, catering to the younger audience on these platforms. Gillani had said at the time of the launch, that the films are based on real life situations. And the objective is to use the realistic narrative to break the myths around its portfolio of packaged foods, by giving viewers an insight into preserving without preservations.

a. What is Gits into and how long it has been in this industry and what has it gained in so many years? What is changing in the customer’s profile?

b. How does Gits plan to address this change in profiles and what is the USP of Gits that seems to be there in this case?




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