The Distribution Channel And Market Analysis Marketing Essay

The Distri providedion Channel And Market Analysis Marketing EssayThe project Study of the dispersal channel and merchandise analysis of the of the products distrisolelyed and marketed by Keventer Agro under the license of Parle Agro involves the study of the strategies undertaken by Keventer Agro to distri savee and market products of Parle Agro which includes hippo and BAILEY PACKAGED DRINKING peeing and BAILEY SODA.Keventer Agro The confederationKeventer Agro Limited is a subsidiary of Keventer Group which has been operating years in the Food Processing Industry in India for more than 125 years. Keventer exports Alphonso mango Pulp, Totapuri Mango Pulp, Guava Pulp, Sweetened Alphonso Mango Pulp, Mango Pickle, Sesame Seed, Cashew Nuts, Peanuts, Cumin Seed, Fennel Seed, Fenugreek, Coriander Seed, Bakery Ingredients, Fruit Jams, Tutti Fruiti, Red Chilies Button Mushrooms etc. to various countries. Keventer Agro Ltd. (KAL) was established in the year 1986. The division exports food products such as Mango Pulp, Guava Pulp, Sesame Seeds, and Bakery Ingredients to various customers across the globe. In no time, it earned the cor wholenesst of being the first to introduce aseptic closed chainaging in the beverage category (a high-end packaging procedure that preserved the innate(p) goodness of drinks in hygienic packs). The Group entered into a franchisee agreement with the food and beverage giant PARLE to manu eventure, package, distribute and market its well-known brand names namely FROOTI a popular mango drink, APPY and APPY FIZZ- the in-style apple drinks and BAILEY PACKAGED DRINKING WATER nearlyly in the eastern parts of India.In late 2010, Parle Agro inked a nonher agreement with Keventer Agro to set up a sic at Barasat. This new unit manufactures Parle Agros chomp brand hippopotamus. Besides manufacturing, Keventer is besides responsible for marketing, gross revenue and distribution of hippo. Parle Agro chose to partner Keventer for their r ange of food brands which w-ll hl them to expand hippopotamuss market sh be in the eastern part of India.Parle Agro The CompanyParle Agro is a household name in the beverages industry and has leading(p) brands same(p) Frooti, Appy, Appy Fizz and packaged drinking irrigate, Bailley. A pioneer in the Indian industry, Parle Agro were the first to introduce fruit drinks in tetra packaging, first to introduce apple ragweed and the first to introduce fruit drinks in PET bottles. In 2007, Parle Agro forayed into foods with the launch of two confectionery brands, Mintrox mints and butterflower candies. This was soon followed by two more brands covercup Softease and Softease Mithai. Recent beverage products from Parle Agro include Saint Juice, LMN and Grappo Fizz. In 2009, Parle Agro forayed into sharpnesss with the launch of Hippo, in line with the companys vision of becoming a major player in the foods and beverages industry. The snack brand Hippo, was launched in the western regi on showtime with Maharashtra and then it was soon rolled out nation onlyy. Parle Agro commenced operations in 1984. Starting with unaccompanied beverages and diversifying to include bottled wet in 1993 and confectionery in 2007. Frooti was the first product that was rolled out of Parle Agro in 1985. It went on to become Indias favourite mango drink. It still has a leading market sh ar.Parle Agro Pvt. Ltd operates under three business vertical Beverages fruit drinks, nectars, 100% Juice, sparkling drinks, Water Packaged Drinking Water and Foods confectionery, snacksProduct Industry OverviewHIPPO Parle Agro forayed into snacks with the launch of Hippo, in line with the companys vision of becoming a major player in the foods and beverages industry. Hippo is a toasted bread snack. Its ingredients include stubble flour, edible vegetable oils, seasoning mix, corn starch, sugar, raising agent, milk solids, salt, emulsifier, yeast extract powder, instant yeast. It contains added nat ural color and added natural identical flavoring substances but no added MSG, no GMO and no Trans Fat. It comes in two variant Hippo Munchies and Hippo Round-Round. The Hippo Munchies comes in 7 flavors (Chinese Manchurian, Hot-n-Sweet Tomato, Thai Chilli, Yoghurt Mint Chutney, Italian Pizza, Indian Chatpata and Arabian flavoured) and Hippo Round-Round comes in 5 flavors (Punjab Da Pickle, Gujrati Mango Chatni, Shillong Noodle Masala, Goan Butter and Garlic, Firangi Cheese n Spice). It is available in three sizes which be priced at Rs 5, Rs 10 and Rs 20.Industry to which Hippo belongs Hippo is a player of the snack food industry of India. The Indian snack industry is one of the largest when considered in the global level. With rising standard of living, people ar more resorting to snacks items during breakfast, supper or any time snacks most often take the place of meals. Right from production, using up, export and growth prospects owing to emerging markets, increasing demand, a nd incorporation of latest technologies, the snack industry in India has witnessed a dramatic change. Ready-to-eat foods, samosas, kachoris, namkeen, chips, atomic number 18 few of the snacks that are most preferred by Indians. Given the rising demand, the snack industry is going to witness further growth in the future.The snacks food industry in India can b coursely be categorised into three segments staple (biscuits category), traditional (namkeens) and ready-to-eat packaged snacks (chips / crisps). The snack food market in India is $3 one million million with the unionised segment accounting for almost half of the market share and growing at rate of 15 to 20 percent per year. A growing economy, ever-changing lifestyles, rise in disposable incomes and preference for quality products of U.S. origin will continue to fuel growth of imported U.S. snack food items in India. As per an industry estimate, the branded and organized snack food segment dominated by major players such as Frito Lay, Con Agra, Kelloggs, Marico, Dabur, HLL, ITC, Parle, Haldirams, Nestle, Britannia, Cadbury, Bikano and Balaji is estimated to grow by 15 to 20 percent per year whereas the growth of un-branded snack food is likely to grow modestly at 8 percent per year in the airless future.Frito-Lay India led sweet and savory snacks with a sell value share of 46% in 2009. The companys Kurkure, Lehar and Lays Stax offerings have helped it to consolidate its leadership during the year. Haldiram Foods International Ltd and ITC Ltd remained the second and terce ranked players pryively. Products like Hippo claim to be made from healthier ingredients than chips/crisps. With Indian consumers becoming more health conscious and more inquisitive just active the ingredients in their food, sweet and savory snacks will witness an increase in products which are positioned as better for you and healthier snacks.BAILEY PACKAGED DRINKING WATER a nonher(prenominal) product of Parle Agro that is manag ed by Keventer Agro. It is the first irrigate brand to be issued an ISI certification and the first to launch special four-sided 200ml bottles catering to premium airlines like pitchy Airways and British Airways. Bailey is available in 200ml, 300ml, 500ml, 1 ltr. 2 ltr. PET and 5 ltr., 20 ltr., 25 ltr. Jars. The target market is thirsty, hygiene conscious people and Hotel, eating place and Cafe (HORECA). Bailey the brand that is owned by Ramesh Chauhans brother Prakash Chauhan is very popular in the southern part of IndiaIndustry to which Bailley belongs Indias bottled urine system industry is bubbling with a 25-30% growth each year. As the competition heats up, branding will become imperative in the commoditised Rs 1,100 crore market. There are more than 200 bottled water brands in India and among them nearly 80 per cent are local anaesthetic brands. In fact, making bottled water is today a cottage industry in the country. Leaving only if the metros, where a bottled-water m anufacturer can be found even in a one-room cop, in every medium and lowly city and even rough prosperous rural ambits there are bottled water manufacturers.While India ranks in the top 10 largest bottled water consumers in the world, its per capita per annum consumption of bottled water is estimated to be fivesome litres which is comparatively lower than the global average of 24 litres. Today it is one of Indias fastest growing industrial sectors. Between 1999 and 2004, the Indian bottled water market grew at a compound annual growth rate (CAGR) of 25 per cent the highest in the world. The total annual bottled water consumption in India had tripled to 5 billion liters in 2004 from 1.5 billion liters in 1999. Global consumption of bottled water was nearing 200 billion liters in 2006.The market leader is Bisleri International, which boasts a 40 per cent share. It is followed by Coca- Cocas Kinley (around 25 per cent) and PepsiCos Aquafina (around 10 per cent). The top players i n bottled water industry in India are the major international giants like Coca cola, Pepsi, Nestle and noniceable forepart of national players like Mount Everest, Manikchand, Kingfisher, Mohan Meakins, SKN Breweries , Indian Railways so on. Almost all major national and international brands have taken a plunge. Parles Bisleri that virtually monopolised the bottled water market is now vying with Nestle, Coca Cola, PepsiCo, Manikchand, UB and Britannia. According to a national-level study, there are close to 200 bottled water brands in India. Nearly 80 per cent of these are local brands.Bottled water is sold in a variety of packages right from 200 ml pouches and glasses, to 330 ml bottles, 500 ml bottles, to one-liter bottles and even 20- to 50-litre bulk water packs. In terms of cost the bottled water business in India can be divided broadly into three segments, premium natural mineral water, natural mineral water and packaged drinking water.BAILLEY SODA It was first introduced way back in the year of 1998 but due to fierce competition from the local brands it could not sustain in the market. Parle has relaunched its washing soda. Parle Agro within renewed zeal has again introduced Soda with much better packaging and product. The product has a gas record book of 5.4% V/V of carbon dioxide compared to 4.5% V/V of carbon dioxide which makes it stronger followed by Grenade like label on the bottle.Objectives of the ProjectFor HIPPOTo execute a qualitative study on the trend of packaged snack industryTo gauge the acceptance of baked and healthy-snacksTo understand competitors strategy in the marketTo study the sales and distribution structure, pricing (both to the retail merchant and to the consumer) of Hippo and problems in those respected bowl.To develop marketing strategies for HippoTo analyze the markets and determine the factors responsible for sale of products and provide recommendations closely the scope for improvement.To provide a statement of inca rnate responses of the retailersand determine the scope for improvement in the distribution channel for the products and the problems faced by the retailers.To study the strain of consumer behavior and their cognizance towards HIPPOTo find out the problems faced by HIPPO if any and suggest solution to address those problemsFor BAILLEY PACKAGED DRINKING WATER and SODATo find out the potential of bailey packaged drinking water and soda in the marketTo understand the bargaining power of the company in respect to the productTo understand the retailers view about the productsTo find put the main competitors operating in the marketTo provide a statement of collective responses of the retailers and determine the scope for improvement in the distribution channel for the products and the problems faced by the retailers.To find out the problems faced by bailey packaged water and soda if any and suggest solution to address those problemsTo understand the market and suggest ways that would le ad to increase in sales for bailey packaged drinking water and sodaProject systemologyPrimary Research is done through market survey. The research is mainly based onQuestionnaire MethodInterview MethodObservation MethodSecondary Research has also been used as a supporting tool like whatsoever of the data related to holistic picture of the industry has been gathered from the data available on the internetM A I N T E X TSince the project revolves around two types of products distributed and marketed by Keventer Agro under the license of Parle Agro, work done so far involves both the products Hippo and Bailley packaged drinking water and soda.The initial descriptor constituted of mainly studying and analyzing the distribution channel of Hippo and doing a market analysis of the product with respect to pricing, competition, brand wittingness and consumer behavior of Hippo.As per the objective of the project, two sets of questionnaire were preparedFor the retailer which aimed to assess the availability of Hippo, pricing of Hippo, sales, blemish handling and some financial aspect of Hippo viz. its competitors and the other for the consumers.For the consumer which aimed to gauge awareness of the product and the brand, product acceptance, their choice of product and buying pattern.PHASE ONERefer Annexure I for further details.This phase involved daily tittle-tattles from the stock point to the designated markets. The markets covered were Salt Lake, Lake town, S.K. Deb Road Market, Nagerbazar, Mrinalini Cinema Hall Market, New Market, Ultadanga, Kankurgachi, Bagmari, Beadon Street , Aurobindo Road and Vivekananda Road area, Shyambazar, Rajballavpara and Baghbazar. each shop that kept branded snacks in the respective area was approached. The initial plan was to conduct the survey through questionnaire rule but while performing the survey the rule had to be changed to schedule, observation and interview order as it was not convenient for the retailers to fill up the questionnaire.Observations through observation methodThe profile of Hippo and of competitors productMode of storing Hippo and competitors i.e. whether it is on hold over or in the basket or inside almirahThe location of the store i.e. whether it is beside main road or inside a passage or on a squareType of storeApproximate demographyObservations through schedule method was based on three perspectivesAbout Hippo Whether he oblige an eye ons Hippo or not, if not the reason, its availability, reorder period, quality of defective product handling, margin offered, add of streamers and danglers.About Competitor The competition brand kept, approximate margin they offer.About the market as a whole The most selling brand.The interview methodological analysis aimed to gain the intrinsic details of the market functions such as if the retailers does not stay on Hippo would he like to keep it afterward, the confidence policy, frequency of visit of sales representative, retailers vi ew on Hippos marketing strategy and scope of improvement.Findings by theater of operationsArea Salt-Lake KC block, Law College, Opposite of Hyatt Regency and some other places in Salt LakeSample size = 12The distribution in the Salt Lake area is managed by Sonata Distribution. scene was conducted on those shops where products were supplied by the company. incidental sales representative was Mr. Maiti who kit and boodle for Sonata Distribution.Observations by observation methodThe area Opposite of Hyatt is a kind of Slum. It is beside the main road. The area is not so developed. most of the shops are very petty(a) but product visibility is relatively good as they suspend the chain of Hippo on rope supported by a bamboo structure.The area near by The NUJS Law College is kinda polished but the shops are mostly of shack kind and are sparsely distributed. The visibility is good since they also suspend the chains of Hippo on the rope supported by a bamboo structure.KC block is quite dormant. Most of the shops are uncomplete small nor large. Some of the shops were inside a residential complex.Observations by Schedule methodEvery shop keeps Hippo.The reorder level is about a week.Most of the retailers are extremely satisfied with the supply and availability of Hippo.The product supplied are almost defect clean-handed otherwise it is replaced without much hassle.No banner or dangler is supplied to most of the retailers.They are not very satisfied with the margin offered by Hippo.The demand for Hippo is neither too high nor too low. Small pack of Goan Butter and Garlic flavor sells the most.few retailers are aware of the fact that Hippo is baked and not fried but none of the retailers pitch it while selling. warlike brands are Lays, Kur-kure, Cheetos, Zengo, Kids Fun, Bingo.Bingo provides highest margin while Lays is the most selling brand.Observations by interview method Some of the retailers demanded for hanger as they were purpose it difficult to store the p roduct. separate informationRetailer SchemeWith 12 pieces (a chain) of small pack Hippo, a small pack of Hippo is freeWith 18 pieces of medium pack Hippo, a 200ml Tetra pack Frooti is freeWith 34 pieces of medium pack of Hippo, two 200ml Tetra pack Frooti is freeThe sales representative (Mr. Maiti) shares a very good relationship with the retailers. The retailers respect him and trust him which is a prime requisite for the last mile distribution.Mode of transport Light Commercial Vehicle (Auto).Area From Nager Bazar towards Airport entrance no 1Sample size = 12The distribution in the Nager Bazar area is managed by Dazzle Infotech. It is a new distribution house. forward the distribution was done by some other house. The reason behind the change is that, the earlier distributor could not perform. Survey was conducted on those shops where products were supplied by the company. Accompanying sales representative was Mr. Sukalpa who works for Dazzle InfotechObservations by observation methodProper Nagerbazar is quite busy but while moving towards Airport ingress no 1, the area became quieter and less developed.Factories like Jessop Coach Works, Ordnance factory, His Masters Voice(HMV) lies on the area of research.Most of the shops in the proper Nagerbazar area are neither large nor small but the shops towards airport gate no 1 were smaller and some were of the kind of shack.Product visibility is not so as very few hangers have been supplied by the Keventer. However some shops manage to display Hippo by using competitors hanger.Observations by Schedule methodMost of the shops keep Hippo.The reorder level is about a week.All the retailers are extremely satisfied with the supply and availability of Hippo.The products supplied are mostly defect free otherwise it is replaced without much hassle.No banner or dangler is supplied to most of the retailers.They are not very satisfied with the margin offered by Hippo.The demand for Hippo is on the upper crest. Small pack o f Punjab Da Pickle flavor sells the most.Few retailers are aware of the fact that Hippo is baked and not fried but none of the retailers pitch it while selling.Competition brands are Lays, Kur-kure, Cheetos, Bingo, Mukhorochok Potato Chips, Lehar, Haldirams, Parle (Products).Lays provides highest margin and is the most selling brand.Observations by interview methodMost of the retailers demanded for hanger as they were finding it difficult to display the product.A product lot, that was supplied about six calendar months before was defective. It has had a negative impact on the brand image and perception of Hippo among the retailers.Some retailers complained about defective products that were supplied by the earlier distributor were not replaced.Retailers are quite confused of multiple distributor, multiple division policy.Most of the retailers were quest for credit policy and some of them even said that if credit policy is not made available then it would be difficult for them to se ll Hippo anymore.Other informationRetailer SchemeWith 12 pieces (a chain) of small pack Hippo, a small pack of Hippo is freeWith 18 pieces of medium pack Hippo, a 200ml Tetra pack Frooti is freeWith 34 pieces of medium pack of Hippo, two 200ml Tetra pack Frooti is freeThe sales representative (Mr. Sukalpa) is very hard-working but straight. He is not allowed to go beyond the schemes as per the order of his firms proprietor, Mr.Saikat Das. The proprietor believes that if retailers are supplied beyond the schemes provided, then it would work ab initio but in the long run it would quash the brand bargaining power.Mode of transport Van rickshawArea Lake TownSample size = 11The distribution in the Lake Town area is managed by JDP Enterprise. Survey was conducted on all the shops that kept branded snacks. No accompanying sales representative was present with us.Observations by observation methodLake township is quite busy and is a considerably a large market.The area has school, movie theater, departmental stores, large branded showroom etc.Most of the shops in the Lake Town area are on larger side but shops towards S K Deb lane were smaller. S K Deb lane also had a fish market sort of market.Product visibility is very good for competitors brand. Parle Chips can be found outside every shop with very good product arrangement and orientation.Observations by Schedule methodOnly 27% of the sample keeps Hippo and 36% of the sample used to keep Hippo.The reorder level is about a week.All the retailers are more or less satisfied with the supply and availability of Hippo.The products supplied are mostly defect free otherwise it is replaced without much hassle.No banner or dangler is supplied to any of the retailers.They are not satisfied with the margin offered by Hippo.The demand for Hippo was initially high but currently it is low. Small pack of Punjab Da Pickle and Gujrati Mango Chutney flavor sells the most.Only 27% retailers are aware of the fact that Hippo is baked and not fried and none of the retailers pitch it while selling.Competition brands are Lays, Kur-kure, Cheetos, Bingo, Haldirams, Parle (Products), Apna, Pogo.Lays provides highest margin and is the most selling brand.Observations by interview methodMost of the retailers demanded for hanger as they were finding it difficult to display the product.A product lot, that was supplied about six months before was defective. It has had a negative impact on the brand image and perception of Hippo among the retailers.Some retailers complained about defective products that were supplied by the earlier distributor were not replaced.Credit facility is provided to some of the select retailers. wizard of the shop doesnt keep Hippo because the opposite shop gets credit facility but he does not. It hampers the morale of the retailer.Most of the retailer said that nobody demands for Hippo. They would only keep Hippo when its market become stable.Many of the retailers said that nobody approached fro m the Company( Keventer).Out of 36% of retailers who use to keep Hippo, many of the retailers said that they does not keep Hippo because of its low sales.Area New MarketSample size = 17The distribution in the Lake Town area is managed by Haji Enterprise. Survey was conducted on all the shops that kept branded snacks. No accompanying sales representative was present with us.Observations by observation methodNew market is one of the most popular markets of Kolkata. It is mostly dominated by hawkers but one can find any segment of shops starting from branded franchise, mall, large retail and even grey/black market peddler.As it is not a residential area, snacks are usually bought by impulse.As most of the shops are small, their shelve blank shell is limited. So they keep the most selling brands on the shelve. Moreover competitor brands flood their product in to their shelve leaving no space for Hippo.Observations by Schedule methodNone of the shops keep Hippo currently. However 35% of the shops use to keep Hippo previously.47% of the shops were not approached by Keventer.Some of the shops that use to keep Hippo earlier had reorder period of about a week and some a month.Retailers are not at all satisfied with the supply of Hippo.Some of the products that were supplied earlier had defect and were not replaced properly.No banner or dangler is supplied to any of the retailers.They are not satisfied with the margin offered by Hippo.The demand for Hippo was always low. The most selling flavor could not be gauged.Only one of the retailers was aware of the fact that Hippo is baked and not fried but he did not pitch it while selling.Competition brands are Lays, Kur-kure, Cheetos, Bingo, Haldirams, Peppy.Lays provides highest margin and is the most selling brand.Observations by interview methodFew retailers are ready to keep Hippo if approached by the company.Supply has been halted for six months during the transition period of distributor re-appointment.Some retailers c omplained of poor quality product.Credit facility was not provided to any of the retailers.Most of the retailers would keep Hippo after the product is demanded by consumers.Out of 35% of retailers who use to keep Hippo, some of the retailers said that they does not keep Hippo because of its low sales and some said nobody came from the company after one or two consignments i.e. no follow up.Area Ultadanga, Bagmari, Kankurgachi and Murari PukurSample size = 25The distribution in the Lake Town area is managed by Sree Laxmi Distributor. Survey was conducted on all the shops that kept branded snacks. No accompanying sales representative was present with us.Observations by observation methodProper Ultadanga and Kankurgachi is very busy with lines of shops of different sizes. Most of the shops are on the larger side. The market is very developed. Many offices and residential complexes are present in Ultadanga, Kankurgachi area. They are prime location and connects to different parts of Kol kata. However Bagmari has a slum and Murari Pukur is not so developed.Visibility of the product in the shops are good in all the areas. HoweverObservations by Schedule methodOnly 16% of the shops keep Hippo currently. However 32% of the shops use to keep Hippo previously.Some of the shops that use to keep Hippo earlier had reorder period of about a week and some a month.Most of the retailers are not at all satisfied with the supply of Hippo.Some of the products had defect and were not replaced properly.No banner or dangler is supplied to any of the retailers.They are not satisfied with the margin offered by Hippo.The demand for Hippo was on the upper side. Most selling flavor is Punjab Da Pickle.Very few retailers were aware of the nutrition fact of Hippo but none of the pitch it while selling it.Competition brands are Lays, Kur-kure, Cheetos, Bingo, Haldirams, Peppy, Pik-Nik, Timbakto, Ringa-Ring, Simba and local bag snacks.Lays provides highest margin and is the most selling bran d.Observations by interview methodFew retailers are ready to keep Hippo if approached by the company.Supply has been halted for some bitstock of months. The reason is not known.Many of the retailers does not keep Hippo because of the competition brand that floods their product into the shelve, leaving no shelve space for Hippo. One of the retailer said that he does not keep Hippo because the sales representative was rude to him. Some of the retailer said that they might keep Hippo if they are being supplied by rack and basket because of both lack of space and trouble created by mice.Credit facility was not provided to any of the retailers.Many of the shops were neer approached by the company. In those shops when asked if they interested to keep Hippo, most of them had a positive gesture.Area Shyambazar and its neighboring areasSample size = 53The distribution in the Lake Town area is managed by Baba Taraknath Agency. Survey was conducted on all the shops that kept branded snacks. No accompanying sales representative was present with us.Observations by observation methodThe area is very clean and organized with wide roads and greenery. The area has a touch of tradition and is one of the oldest modest areas of Kolkata.The kiosks of the shops are small but has a greater depth.The area is not that busy but lively.The shopkeepers are very well-behaved and some of them even offered some valuable suggestions.The area has got everything starting from school, movie theater, pilgrimage etc.Shops with local pouched snacks as sole product can be found.Pogo Chips has good penetration and is visible in many shops.Observations by Schedule method47% of the shops keep Hippo currently. However 20% of the shops use to keep Hippo previously.There is nothing definite about the reorder period the shops. For some shop the reorder peroid is a week, some fortnight and some even a monthMost of the retailers are quite satisfied with the supply of Hippo.Some of the products had defect and were not replaced properly.No banner or dangler is supplied to most of the retailers. Only 1 shop had a rack.They are not satisfied with the margin offered by Hippo.The demand for Hippo was on the lower side. Most selling flavor is Punjab Da Pickle.Considerably more retailers are aware of the nutrition fact of Hippo but none of the pitch it while selling it.Competition brands are Lays, Kur-kure, Cheetos, Bingo, Haldirams, Pogo, Nabadeep, Apna, Max-G, Tofo, Keka, Mukhorochok, Pringle, Tofo, Sony, Timbakto, Zeng and local pouched snacks.Local pouched snack and Pogo provides highest margin but Lays is the most selling brand.Observations by interview methodThey said the schemes provided by Lays is better. Lays has scheme that if they can sell Frito-Lay product of Rs 10000/month then they would get cash rebate on further purchase and gifts.Some said that the Hippo as a product is poor. Its just a toasted bread sprinkled with spices. Its wont suffice upto the expectation and taste of the consumerThe sell goes up when the schools are open.Most of them complained about the cash policy of Hippo.One of the retailer said that his shelve space is limited and he would only the best selling products and more-over Hippo doesnt provide either great margin or credit facility and moreover nobody demands for it. So he doesnt find it feasible to keep Hippo.