Evaluating Distribution Channel Effectiveness: A Case Study of ITC's SunFest Brand in Urban India

Abstract

Purpose: This study investigates the distribution channel effectiveness of ITC Limited's SunFest brand in the highly competitive Indian biscuit market, focusing on urban market dynamics in Indore city.
Design/Methodology/Approach: Employing a descriptive-analytical research design, this study synthesizes secondary data from corporate reports, industry publications, market research databases, and academic literature. Content analysis, trend analysis, and comparative frameworks are utilized to evaluate channel structure, market penetration, and competitive positioning.
Findings: The research reveals that ITC's multi-tier distribution architecture, characterized by strategic integration of general trade and modern retail formats, extensive retail network coverage, and robust supply chain infrastructure, has significantly enhanced Sunfeast's market penetration in urban markets. The hybrid distribution model demonstrates superior performance in ensuring product availability and maintaining competitive parity with established market leaders.
Research Limitations: The study's scope is confined to the biscuit segment within Indore city and relies exclusively on secondary data sources. Primary empirical validation through consumer surveys or distributor interviews was not undertaken.
Practical Implications: The findings provide actionable insights for FMCG managers designing distribution strategies for emerging urban markets, emphasizing the criticality of channel integration and retail coverage density.
Originality/Value: This research contributes to the limited body of city-specific distribution effectiveness studies in the Indian FMCG context, offering a methodological framework for secondary data-based channel evaluation.