Principles of Marketing- Project Product


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I, student of BMM Rizvi College. i have made a project on product - parle bisleri. It includes the original company information and information about a whole new brand for the same product - bottled mineral water.

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Principles of Marketing- Project Product

  2. 2. PARLE BISLERIINTRODUCTION OF THE COMPANYParle group was founded in 1929 in british india. It was owned by the chauhan family of VileParle, mumbai. The parle brand became well known in india following the success of products.Then slowly the original parle company was split into three separate companies owned byChauhan family.1. Parle Products led by Vijay, Sharad and Anup Chauhan (owner of confectionary brands)2. Parle Agro, led by Prakash Chauhan and his daughters Schauna, Alisha and Nadia (owners ofFrooti and Appy)3. Parle Bisleri led by Ramesh ChauhanAnd then all the three companies continue to use the family trademark name "PARLE"INTRODUCTION OF THE BRANDCategory: Bottled Mineral Water (FMCG)Market Share: 60% (2012-13)Major Competitors: Aquafina and Kinley
  3. 3. The founder of brand Bisleri is FELICE BISLERI, an Italian Businessman and a pioneer inmaking water a sellable product at global level. Ramesh chauhan bought Bisleri in 1969. He isthe vintage boss of the 250 crore Parle Bisleri limited. The brand has some 18 manufacturinglocations spread across the country. The mainstream competition is in the form of coca colaIndia, Kinley and Aquafina from Pepsi foods and Nestle India pure. Bisleri continues to lead inthe Rs. 700-1,000 crore organized, packaged water market with an estimated 40 per cent marketshare, followed by Kinley at 28 per cent and Aquafina with an 11 per cent.In the early 1990s, Parle Bisleri Ltds (Parle Bisleris) Bisleri had become synonymous withbranded water and had a market share of 70%. In the late 1990s, Bisleris market share began toerode with new competitors entering the market. The new brands also positioned their productson the purity platform and Bisleri felt the need to differentiate itself from the crowd.EXISTING 4PS OF MARKETING1. PRODUCT  For daily traveling consumption 250ml cups, 250ml and 500ml bottles.  For long traveling consumption 2ltr, 1.5ltr and 1ltr.  For office, home, marriage or meeting use 5ltr and 20ltr.  Returnable packs.
  4. 4. 2. PRICE*The break-up of selling price for 500ml is given below as sample of costing.Cap cost Rs. 0.25Bottle cost Rs. 1.5 - Rs. 2.5Treatment cost Rs. 0.1 - Rs. 0.25Label cost Rs. 1.5 - Rs. 0.25Carton cost Rs. 0.50Transportation cost Rs. 1 - Rs. 0.25Others Rs. 0.50Total cost (excluding labor, marketing and Rs. 2.85 - Rs. 4.25tax)Selling cost Rs. 10 - Rs. 12The 500ml bottle is priced at Rs 12, the 1-litre bottle is priced at Rs. 15, the 2-litre bottle ispriced at Rs 24 , the 5-litre pack at Rs 45 and the 20-litre pack at 903. PLACE • In 1998, Bisleris market share came down to 60%, while Parle Agros Bailley had 20% • The remaining 20% was shared by regional playersIn 1998, the branded mineral water market had grown to a 424 million litre business, valued atRs 4 billion • In contrast, Bisleri had only 15 bottling plants and three franchisees • Kinley had 500,000 outlets compared to Bisleris 350,000 • Company put through multiple stages of purification, ozonised and finally packed for consumption.
  5. 5. DISTRIBUTION CHANNELParle has its own marketing branches across India mainly in metro cities and tyre-2 cities(satellite cities). In the tyre-3 cities and small districts, the product reaches through distributors.To ensure timely supply, Bisleri has its own manufacturing plants in all metro cities and tyre-2cities while, for tyre-3 and small districts Bisleri has contract manufacturers strategically locatedin the tyre-3 cities majorly in the outskirts.For the transportation of water to the distributors, direct customers, and consumers Bisleri usesits own fleet of trucks in metro and tyre-2 cities. While, for transporting the water in tyre-3 citiesand small districts, the distributor uses his own fleet of tempos/small autorickshaws.4. PROMOTIONAdvertising Strategy:1. Bisleri has a very unique concept of selling potable water using "safe water". Therefore, allits Ads have a theme with the message of "safe water".2. The Bisleri every year enhances its Ad Campaign from the month of January as more than halfof India gets relief from Winters by mid February/early March and it is seen that the impact ofAd Campaign takes about 45-60days on the volumes in the summer seasons.
  6. 6. Advertising Campaigns:(a) First Ad Campaign- PLAY SAFE(b) Second Ad Campaign- TAMPER PROOF PACKAGING(c) Third Ad Campaign- THE SWEET TASTE OF PURITY(d) Fourth Ad Campaign- BISLERI THE MOUNTAIN WATER(e) Fifth Ad Campaign- BISLERI BOTTLE FALLING FROM MOUNTAIN(f) Sixth Ad Campaign- STAY PROTECTED(g) Forthcoming Ad Campaign for summer 2013- KISS TO DRINK
  7. 7. Sales Strategy:1. Geographical area of a city are strategically divided in such a way that, a truck at the speed of8-10km/hr can reach the territory within two hours after leaving the depot at 6am in the morning.2. The customers who help Bisleri brand to remain in focus and where the distributor is notappointed are supplied by the company directly such as Hotel Taj, J.W.Marriot, Hotel Park,Hotel Sheraton,CCDs, Barista etc. and locations like south mumbai, south extension in Delhi,Annanagar and Rajajisalai in Chennai etc.3. The territories handled by distributors are not supplied by the company directly. Any inquiryreceived by the company directly are handed over to the respective distributor.4. Prices for locations where brand comes in focus are very minimal so that maximum number ofsuch point of sales can be occupied by the Bisleri.5. Based on Vigorous and Regular survey of the market in order to ensure the supply of targetedvolumes discount on pricing to the distributor varies.Sales management:The distributor employs their own salesmen. The salesmen are divided among the territoriesdefined by the distributor. The distributor has 5 routes. Out of the 5 routes, one is the main routeand the other four are sub routes. The salesmen are divided amongst these routes. This helps inavoiding horizontal conflict and leads to better focus and evaluation of sales performance of thesalesmen. The company sales person makes a visit once every month. Rest of the month everycommunication regarding stock replenishment ,etc. takes place over phone. The person of thecompany whom the distributors communicate with is the Sales Executive. At times the companydeploys its own men to do the distribution job for the Distributor also
  8. 8. TARGET SEGMENTATION • The market was segmented into premium, popular and bulk • They changed their segments as per market situation keeping the old intact • They changed strategy and grew market share in Bulk segment • Every new entrant in the mineral water market adopted the purity, so shift necessited • The ad campaign of play safe saw a shift in positioning from "pure and safe" to "play safe"SWOT ANALYSISSTRENGTH WEAKNESS1. Sourced from India 1. Prices mid ranged2. Top of mind brand 2. Out of reach for the deep suburban people3. Easily available and villagers4. Generic name 3. Continuous increase in priceOPPORTUNITY THREATS1. specific product can be launched for deep 1. Competitor bottled water have 40% marketsuburban people and villagers. share2. SKU can be soft packaging to keep price 2. New Flavored Water brands introduced inunder control for known brand focus marketterritories. 3. Brand like Himalayan, Avian have snatched3. 100ml variant also can be launched to cater part of premium segment in 5 and 7 Starfor daily commuters and low cost segments. Hotels.
  9. 9. JEEVAN DHARATARGET SEGMENT:-Habitants of1. Slums2. Deep suburbs3. Villages4. BMC Schools5. BMC HospitalsReason For Selecting The Target Segment:(a) People under poverty-line mostly consume tanker water/well water which has manycontaminations and poisonous minerals/ bacteria causing frequent and severe abdomen diseases.(b) These people cannot afford potable water because high pricing.(c) These people spend lot of earning on treatment/medicine(d) Someone of them cannot even afford medical treatment and loose life.
  10. 10. 4PS OF MARKETING:-1. PRODUCT:The features of the product are as follows(a) Low Price(b) Conveniently Available(c) Hygienic(d) No AdulterationThe benefits of the product are(a) Better living standard; feeling of equality with effluent segment of society who can affordpotable water.(b) Improved health standards in turn better life rate.(c) Improved health improves performance , earning and saving.2. PRICE:Affordable pricing motivates the target segment quitting unhealthy water for healthy water. Considering average consumption of water per person @ 2ltrs/day, requirement of drinkingwater for a family of 5 members is approximately 300ltrs/month which is added by additional100ltrs for cooking/guests, totaling it to 400ltrs/month to provide absolute safe drinking water.
  11. 11. *The break-up of selling price per 400 litres is given below as sample of costing.Cost heads In RupeesTreatment cost 200Transportation cost 200Labor Cost 400Others 160Total cost 960Selling Price 960Per Litre Sale Price 2.40This being BPL project (non profit) following costs have not been considered :(i) Infrastructure cost(ii) Taxation3. PLACE:All the residential areas will be provided with 400ltrs or its multiples as per the requirementswith absolute sealed and pressure filling point.Concealed PVC supply lines will be provided from over-head tank to the consumer.The product will be delivered through well sealed tankers with pressure filling from company totanker and tanker to the over-head tanks provided to residential areas. This will ensure leakageand adulteration prevention . Keeping the product as safe as the filling point at the factory.
  12. 12. 4. PROMOTION:(a) Being BPL project it will be 100% funded for infrastructure , raw materials , transportationand storage by State Funding/ World Bank. Being a public project, Government will also beresponsible for its promotion and execution.(b) NGOs , Health Departments and Municipal corporations will be used for AWARENESSCAMPAIGNS in the target segments on followings  Benefits of hygienic drinking water.  Water borne diseases and its preventions through hygienic drinking water.  Better living through better health.
  13. 13. PRODUCT NAME:-"JEEVAN DHARA"(a) Water is one of the life line apart from oxygen for any living body.(b) Over a period of time , due to explosive population rise has caused severe scarcity of wateracross the world. Hence in past Three decades hygienic and safe drinking water is available onlyat a price, those who can afford are only above the poverty-line. As this product provides life lineto people below the poverty line and product is in liquid form, the name has been decided"jeevan DHARA" instead of "jeevan REKHA"TAGLINE:-"SURAKSHA जल SE"Parle Bisleri, The company has the basic theme that they follow which is "SAFE WATER". So ,Respecting and maintaining it, We decided to keep the same theme "SAFE" i.e; "SURAKSHA"Keeping in mind that the target segment is below poverty line (who are generally not Englishspeaking) and taking care of their understanding, we have kept the tagline in Hindi specially theproduct "WATER" i.e; "जल ". But it is transliterated in English since even the population abovepoverty line are free to use our product.LOGO:-We had four options for the logo. They are as follows:The Last one is OUR LOGO followed by the reason.
  14. 14. CONCEPT BEHIND THE LOGO:(a)This is the basic representation for life i.e; JEEVAN . It is an Adult and A kid together alsorepresenting a family.(b)This is a representation for Water. Now since we are talking about the liquidity of the product .We have used representation for flowing water not drop or splashes. This represents flow ofwater i.e; DHARA.
  15. 15. (c)The product name JEEVAN DHARA has its JEE written in Hindi as " ज " keeping the targetsegment in mind i.e; population under poverty line who is generally not English speaking. Andthe other words transliterated in English since even population above poverty line can use theproduct.(d)The tagline is also being place just below the product logo so that its easier for the target segmentto remember and relate to the product.
  16. 16. COLOR CONCEPT:-(a)This above color has been used in the logo to represent the basic natural color representation forWATER, since its the product- Bottled Mineral Water. And since water is basis of life-living, ithas been in used mainly for the product name. Also it has been used in the tagline for words likeSURAKSHA and SE , since these words are for "safe" and has a calm , cool feeling. Hence , thecolor AQUA BLUE(b)This above color has been used in the main parts of the product logo. It has been used torepresent flow i.e; DHARA and also used in the Hindi word " ज " and " जल " . The reason whythis color is used not blue for representing water is because it is the basic color for BISLERIWATER. Because Green is the symbol of the health and tranquility. And these two factors arerelated to water.(c) The entire logo is in AQUA GREEN COLOR keeping the "AQUA GREENREVOLUTION" started by Bisleri in mind. Also, the aqua green color of Bisleri representsfreshness and health–the two qualities you associate with water.