Qua mineral water


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  • QUA - Genuinely intrigued on your business model categorically when a consumer intends to connect with you

    As a corporate customer of QUA, I have been trying to reach out to the business for regular replenishment of the consumables and I have hit the Wall. Some of your strategic initiatives towards increased customer loyalty are non-existent or does it mean the company is not concerned.

    We have been engaged with Denone Narang for the 4-5 years for our regular supply of brand QUA. About 10 of our international team members currently residing in India appreciate QUA and since the last many years we were served by one of your dealers in Noida. Your Mumbai team connected us to the dealer then citing that your distribution was not ready. Now there has been a change of distributorship without informing who would service us now, we are since then trying to get in touch without any success.
    The web presence of QUA is non-existent. A malfunctioning website which does not have any customer touch points or for that matter no “contact us” information. A further inquisitive search about the brand led me to the Group website www.naranggroup.com . To my surprise there was a number listed there to call ending 508. Apparently since then I have called multiple times spanning days and different time of the day to hear the magical words “Narang Group… how may I direct your call?”. I never heard that voice. Maybe I am naïve and need to understand other methods of connecting, an email, web enquiry and other touch points which again for QUA are too old fashioned and hence they all are disabled on your website. Seems you have a unique CRM strategy designed by the Ivy League strategists amongst your rank. Which translates into… “You will be served at our discretion”.
    I personally used LinkedIn to connect with your National Sales Manager and Regional Sales Manager and wrote them an email too, I have not received a reply yet.

    Inquisitively, we thought of delving deeper into this perceived abyss, I tried to get in touch with the distributers of QUA and BLUE searching and scouting via various means in NCR. Your distributors do not honor any pre arrangement that we had from the yesteryears, wanting to sell at a price of their convenience and refused to deliver it. When I stroke a conversation they found my situation so common and dismissive and this did not affect them as people like “us” somehow find them for them to charge a premium. Curiously, they have never seen QUA, BLUE representatives too.
    Also, I wonder what role DANONE plays in the entity. Danone as a company has several brands of international repute and I am not sure how high the stakes here are for them. Hopefully they would observe more caution on repute.

    It seems like Denone Narang Group has found the “elixir” to fuel business growth. Hence the dismissive sentiment of Consumer Apathy does seem the perfect strategy. Not to mention that it gives me a feeling whether the business entity does exist? Other providers like Himalaya and Bisleri Vedica are serious in their approach and of course are reachable.

    We would like to understand if there is some ownership here from Denone Narang group and let us know what course of action needs to be observed.

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Qua mineral water

  2. 2. Threat to new entry - High Annual growth rate more than 38%. The fastest-growing and most attractive beverage category in the world. Large pool of buyers but no one accounts for a significant fraction of overall market demand.
  3. 3. Continued.. Low investment at initial stage. Government policy Enhance waters offered higher margins. More number of substitute available in market.
  4. 4. Supplier power – Moderate to Low Bulk buying from supplier.Manufacturer purchase bottle or raw data in a bulk quantity so itincrease the bargaining power of buyer. Low differentiate in raw materialSupplier not differentiate raw material of bottled water so they notattract more buyer from the market and for this reason suppliernot bargain with buyer but try to provide raw data as per buyer need. PET SupplierGovt has taken decision to use PET bottle only with the benefitof recycling but due to there is a less supplier available in market,the bargaining power of supplier is high Water AvailabilityThere is a huge no of water supplier available in market so buyercan bargain with supplier
  5. 5. Competitive rivalry- High COMPETITORS – Parles Bisleri Coca Cola with its brand Kinley PepsiCo with its brand AquaFina Manikchand with its brand Oxyrich K.K.Beverages with its brand Kingfisher QUA Product Differentiation– UV Technology safe and effective.– does not add any chemicals– no harmful byproducts– High quality carbon block pre-filter– improves taste & odour of water
  6. 6. Continued.. Switching cost Switching cost for customer is nearer to zero in bottled water market and beverages industry. Low exit barrier Investment in bottled water technology is not that much high.
  7. 7. Buyer power- Moderate Generally water is viewed to be of equal quality. So, consumers view all the companies as the same. Purchased in low quantity-All Buyers are purchase in low quantity like 1 liter or 2 liter so they not bargain with manufacturer. Buyers included supermarkets, natural food stores, whole- seller, convenience stores and restaurants etc. Product Information - People do not have full data of all brands so they do not compare with other brands and bargain with dealers. Price sensitivity - When buyers are more price sensitive than it increase bargaining power of buyer.
  8. 8. Threat of substitution - High Close Substitute:a) Pouches waterb) Coconut waterc) Vending machinesd) Water purifier Far substitute:a) Cold coffeeb) Teac) Milk and Buttermilkd) Fruit juicee) Carbonated soft drink