S.M. Dyechem Company Profile
S.M. Dyechem was established by its chairman Mr. S.M. Shetty. It is a major player in the edible oil segment. It is also coming with plans in the snack foods segment, which is a growing segment. Its sales increased sharply after it purchased Vital brand from Brittania in 1992, which was sold by Brittania in line with objectives of its restructuring and focus on core business. Its head office is in Bhopal. It has edible oil plant at Vidisha in MP and the snack Foods division has plant at Barabanki (UP). The dropsy incident gave a big boost to the sale of the branded edible segment, from which the S.M. Dyechem also benefited. It also sells pickles under the brand Vital Feast label.
Major line of Business:
S.M. Dyechem has strong presence in the edible oil segment. It is also entering in the snack foods segments and the confectionery segment. S.M. Dyechem is particularly strong in North and Western India.
Select Products and Services:
Edible Oil Division: S.M. Dyechem has strong presence in the premium segment with Vital Brand, which was purchased from Brittania. It is positioned as a healthy oil which promises goodness to health. To increase its sale in the mass segment and to counter the unorganised edile oil segment, the company introduced in the mass segment it the brand Sampoorn. The factory for the edible oil division is at Vidisha in Madhya Pradesh. Snacks: It has brand Picknik and Peppy. These are wafers and the distribution is the key to success in these brands. These are manufactured at the plant at Barabanki. The company also markets pickles under the brand name Vital Feast.
Key Differentiating Factors:
Effective distribution even in the rural areas Strong brand: its brand Vital has strong market presence in the premium segment.
SM Dyechem Limited reported sales of 1.23 billion Indian Rupees (US$28.18 million) for the fiscal year ending March of 1999. This represents an increase of 78.6% versus 1998, when the company's sales were 688.07 million Indian Rupees. Sales of Edible, Industrial and Other Oils saw an increase of 123.0% in 1999, from 445.70 million Indian Rupees to 993.74 million Indian Rupees. Not all segments of SM Dyechem Limited experienced an increase in sales in 1999: sales of Other fell 38.8% to 31.51 million Indian Rupees
The opportunities for Indian MBAs exist in sales marketing.
S.M. Dyechem 3 rd Floo`Rs. 158, Zone 1, Maharana Pratap Nagar, Bhopal ? 462 011 Ph: 0755 ? 555699 / 800
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