Marketing Concepts: Product Lifecycle

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GROUP # 3
MANISH 77
MANOJ 78
SACHIN
SREEJA
RATISH

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  • Marketing Concepts: Product Lifecycle

    1. 1. PRODUCT LIFE CYCLE PARLE-G <ul><li>GROUP # 3 </li></ul><ul><li>MANISH 77 </li></ul><ul><li>MANOJ 78 </li></ul><ul><li>SACHIN </li></ul><ul><li>SREEJA </li></ul><ul><li>RATISH </li></ul>
    2. 2. PRODUCT LIFE CYCLE PARLE –G
    3. 3. Points: <ul><li>Introduction </li></ul><ul><li>History & Product range </li></ul><ul><li>Basics of PLC </li></ul><ul><li>Application of PLC concept to PARLE –G </li></ul><ul><li>Introduction Phase of PARLE-G </li></ul><ul><li>Growth Phase of PARLE-G (Turnover,Finance Details,Competition & Challenges.) </li></ul><ul><li>Conclusion </li></ul>
    4. 4. Inroduction –PARLE G <ul><li>Largest Selling Brand in world. </li></ul><ul><li>Identified with baby on pack, affectionately called as Parle-G baby </li></ul><ul><li>Winner of 8 gold and 11 silver ‘monde selection awards </li></ul><ul><li>Liked by all age and income groups </li></ul><ul><li>40% share of biscuit market and a 15% share of confectionary </li></ul>
    5. 5. HIDUSTAN KI TAKAT - PARLE G <ul><li>Largest manufacturer of biscuits since 80 years </li></ul><ul><li>Quality, nutrition and great taste. </li></ul><ul><li>More than 1500 Wholesalers an 1.3 Million retail outlets </li></ul><ul><li>Faith and trust </li></ul><ul><li>Example of marketing brilliance for Competitors </li></ul><ul><li>65 % of Glucose Biscuit market. </li></ul>
    6. 6. Product Range <ul><li>Biscuits </li></ul><ul><li>Parle – G </li></ul><ul><li>Milk Shakti </li></ul><ul><li>Parle - Magix </li></ul><ul><li>Krackjack </li></ul><ul><li>Monaco </li></ul><ul><li>Digestive Marie </li></ul><ul><li>Hide & Sick </li></ul><ul><li>Mayfair Cookies </li></ul><ul><li> Confectionary </li></ul><ul><li>Melody </li></ul><ul><li>Mango bite </li></ul><ul><li>Poppins </li></ul><ul><li>Kismi Toffee </li></ul><ul><li>Orange Candy </li></ul><ul><li>Must Bites </li></ul><ul><li>Sixer </li></ul>
    7. 7. Product Life-Cycle Strategies <ul><li>PLC Stages </li></ul><ul><li>Product development </li></ul><ul><li>Introduction </li></ul><ul><li>Growth </li></ul><ul><li>Maturity </li></ul><ul><li>Decline </li></ul><ul><li>Begins when the company develops a new-product idea </li></ul><ul><li>Sales are zero </li></ul><ul><li>Investment costs are high </li></ul><ul><li>Profits are negative </li></ul>
    8. 8. PLC - Introduction <ul><li>basic product </li></ul><ul><li>Use cost-plus basis </li></ul><ul><li>Selective distribution </li></ul><ul><li>Awareness among early adopters </li></ul><ul><li>Heavy expenditures </li></ul><ul><li>Low sales </li></ul><ul><li>High cost per customer acquired </li></ul><ul><li>Negative profits </li></ul><ul><li>Innovators are targeted </li></ul><ul><li>Little competition </li></ul>
    9. 9. PLC – Growth Stage <ul><li>Product Extensions </li></ul><ul><li>Penetration Pricing </li></ul><ul><li>Intensive Distribut. </li></ul><ul><li>Build Awareness </li></ul><ul><li>Advertising is high </li></ul><ul><li>Reduce expenditure on sales </li></ul><ul><li>Rapidly rising sales </li></ul><ul><li>Average cost per customer </li></ul><ul><li>Rising profits </li></ul><ul><li>Early adopters are targeted </li></ul><ul><li>Growing Competition </li></ul>
    10. 10. PLC – Maturity Stage <ul><li>Diversify brand and models </li></ul><ul><li>Price match to beat competition </li></ul><ul><li>Intensive distribution </li></ul><ul><li>Encourage brand switching </li></ul><ul><li>Sales peak </li></ul><ul><li>Low cost per customer </li></ul><ul><li>High profits </li></ul><ul><li>Middle majority are targeted </li></ul><ul><li>Competition begins to decline </li></ul>
    11. 11. PLC – Decline Stage <ul><li>Phase out weak items </li></ul><ul><li>Cut price </li></ul><ul><li>Selective distribution </li></ul><ul><li>Phase out unprofitable outlets </li></ul><ul><li>Reduce to level </li></ul><ul><li>Reduce to minimal level </li></ul><ul><li>Declining sales </li></ul><ul><li>Low cost per customer </li></ul><ul><li>Declining profits </li></ul><ul><li>Laggards are targeted </li></ul><ul><li>Declining competition </li></ul>
    12. 12. Introduction Phase - Parle <ul><li>Founded in 1929 as a Confectionary Comp </li></ul><ul><li>Decade later Introduced Biscuits </li></ul><ul><li>Imported Biscuits shipped by British </li></ul><ul><li>Introduced better glucose biscuits </li></ul><ul><li>Initially sold only in Suburbs of Mumbai </li></ul><ul><li>Wax wrappers for packaging </li></ul>
    13. 13. Growth phase PARLE <ul><li>Total Market – 4000 Crores </li></ul><ul><li>Total Market Growth 10 to 12 % per annum </li></ul><ul><li>Parle holds 40% Market share </li></ul><ul><li>Large unorganized sector </li></ul><ul><li>Indians eat 0.48 KG and Americans 4kg Biscuits </li></ul><ul><li>Growth phase </li></ul>* Source ORG-MARG
    14. 14. Growth Phase - Parle Cont. <ul><li>Parle-G Largest brand in world </li></ul><ul><li>65 % of Glucose Market </li></ul><ul><li>50 % to Turnover </li></ul><ul><li>Large consumption in rural market </li></ul><ul><li>12 to 15 % Growth </li></ul><ul><li>Low Margin </li></ul><ul><li>High Volume </li></ul>*Source ORG - MARG
    15. 15. Growth Phase - Parle cont. <ul><li>High Penetration in Market </li></ul><ul><li>low price ,low margin and high volume game </li></ul><ul><li>Brand Repositioning </li></ul><ul><li>Addition of taste Variants (Magix ,Milk shakti) </li></ul><ul><li>Addition of weight variants (25 gm to 1kg) </li></ul>* Source ORG-MARG % S Product H M L Hide n Seek ,Cheeslings Marie, Monaco , Krack Jack Parle G, Milk Shakti L M H
    16. 16. Growth Phase – Competition <ul><li>Parle G market leader in Glucose sector </li></ul><ul><li>Britania leader in terms of value & in Mid & High Sec </li></ul><ul><li>ITC fastest growing brand (7 %) </li></ul><ul><li>Others: Priya gold, Bakeman, Nesle and Kwality. </li></ul>* Source ORG-MARG Butter Cream Sunfeast M Sunfeast.gl. ITC Good Day Marie Gold Tiger Britania Badam pista Priya Gold Priya Snacs Surya Hide & Sick Marie Dig. Parle G Parle Cream(H) Marie(M) Glucose (L)
    17. 17. Growth Phase – Challenges <ul><li>Increased penetration level from comp. </li></ul><ul><li>Increased Advert. </li></ul><ul><li>Variants and new Innovative products </li></ul><ul><li>High segment variants </li></ul><ul><li>Celebrity Brand ambassadors </li></ul>* AC Nielsen retail sales audit
    18. 18. Conclusion <ul><li>PLC analysis – very IMP tool in the hands of marketer. </li></ul><ul><li>Better understanding in managing profitable products & eliminating unprofitable one. </li></ul><ul><li>As products moves from one stage to another in PLC- Marketer evaluate and adjust strategies for promoting ,pricing & distribution of the product. </li></ul>
    19. 19. Bibliography <ul><li>www.parleproducts.com </li></ul><ul><li>www.indiainfoline.com </li></ul><ul><li>www.managementparadise.com </li></ul><ul><li>Wikipedia </li></ul><ul><li>Parle products-(Brand Manager-MrMayank. ) </li></ul><ul><li>Marketing Management-Philip Kotler </li></ul>
    20. 20. THANK –YOU !!

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