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TABLE OF CONTENTS
Page No
1. INDUSTRY ANALYSIS
1.1 Packaged drinking water industry 5
1.2 Bisleri 7
1.3 Kinley 9
1.4 Future growth of industry 9
1.5 Technology developments 9
1.6 Government regulations 10
1.7 Porter’s five force model 11
2. COMPANY ANALYSIS
2.1 Elegant beverages private limited 13
2.2 Mission, vision, quality statement 15
2.3 Product and service offered by UB 16
2.4 Marketing strategy 17
2.5Segment Targeting Positioning 17
2.6Technology 19
2.7Human resources 22
2.8Operations 23
2.9Finance 24
2.9B Organization hierarchy 25
2.9C SWOT analysis 28
3. TASKS ACCOMPLISHED
3.1 Roles and Responsibilities 31
3.2 Description of tasks handled 31
3.3 Learning experience 34
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4. ANALYSIS OF TASK/RESEARCH UNDERTAKEN
4.1 Introduction and Back Ground 36
4.2Reasons for Choosing the Topic 36
4.3How Research Is Going To Be Beneficial For the Organization 36
4.4 Research Design 36
4.4 Statement of the Problem 36
4.5 Research Objectives 37
4.6 Data Source 37
4.7 Analysis of Data 38
4.7.1 Vijayawada Data Analysis Report 38
4.7.2 Guntur Data Analysis Report 46
4.7.3 Tirupathi Data Analysis Report 53
4.8 Findings, Observations, suggestions and conclusions 62
BIBILIOGRAPHY
ANNEXURE
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Executive summary
Bottled water market has emerged as one of the most rapidly growing and competitive markets
worldwide. The global Bottled Water Industry is a multibillion dollar industry. It has been a remarkable
growth trajectory for the sector.
India is among the top ten countries in terms of bottled water consumption. Today Bottled Water is one
of the India’s fastest growing industrial sectors.
We have estimated the industry to grow at a CAGR of 18% till 2017 and would be soaring to new
heights. Indian Bottled Water Industry currently pegged at USD 1454 million in 2011 will jump to reach
USD 3925 million by 2017.
Elegant beverages pvt limited has taken the franchise of UB group nonalcoholic beverages in Andhra
pradesh segment. They conducted market research in the major retail outlets in Andhra pradesh on
packaged drinking water for their product pricing and promotional strategies.
The elegant beverages pvt limited has taken suitable measures according to the research report. They
adopted pricing and promotional strategies according to the competitors in the andhrapradesh.
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CHAPTER I - INDUSTRY
ANALYSIS
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1.1PACKAGED DRINKING WATER INDUSTRY:
The overall packaged bottled water in India is estimated to touch the Rs10,000 crore mark in the 2012-
13 fiscal, growing at a compound annual growth rate (CAGR) of 19%, says a new report
by IkonMarketing Consultants. Presently, this market is estimated at Rs 8,000 crore, and could
touch Rs 15,000crore by 2015.
While Bisleri continues as the top brand with a 36% share among national players, Coca-Cola's Kinley
follows with 25% share, followed by Aquafina at 15%. Other smaller brands include Parle Agro's
Bailey, Kingfisher and McDowell’s No-1, according to the report.
The global bottled water market, which saw an increase of 40-45% over the past five years, is currently
valued at close to US$ 85-90 billion, the report adds.
The domestic market is split between three sets of players -- national brands with a pan India presence
worth around Rs 4,000 crore, local brands manufactured by registered plants but restricted to regions
estimated to have a combined turnover of Rs 2,400 crore and unorganized local brands estimated at Rs
1,600 crore. The report estimates that there are over 2,500 brands in this category, of which over three-
fourths are local.
While the majority 80% of this market is in with organized players, the remaining 20% is operated by
unorganized brands.
The non-traditional category, or bulk packs, (with over 5 litre capacity) is growing rapidly, and has a
current share of over 40% share. "The rising trend of bulk water consumption in homes and
institutional segments will pave the way for bulk water packs to acquire half of the total bottled water
market within next four-five years," the report adds. Interestingly, the southern states are the largest
consumers of bottled water, because of water scarcity in the region.
Value Notes presents a research report on the packaged bottled water industry in India. This industry
report covers intelligence on the market size, growth, industry trends, industry attractiveness, and
Porter’s analysis. The report covers fiscal years 2013 through 2018.
Rising safety and hygiene awareness, following incidents of waterborne diseases in major cities across
India has boosted the growth of the packaged bottled water industry in India. This exponential growth
has amplified the per capita consumption of bottled water to more than 20 liters, while it was only 4-5
liters in the late 1990’s.
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Key findings:
 The packaged bottled water industry is segmented into:
o Packaged drinking water: Packaged drinking water means water derived from any
source of potable water and subjected to various treatments to meet the prescribed
standard before being packed in a plastic or glass container
o Natural mineral water: Water containing less than 250ppm of total dissolved solids are
defined as natural mineral water
 Packaged drinking water, which holds about 85% of the market, is witnessing strong growth
owing to various factors such as changes in life style, increase in Foreign Tourist Arrivals (FTAs),
health awareness, etc. Natural mineral water on the other hand, which falls under the premium
water segment and is primarily consumed by the urban populace owing to its high cost, will
witness growth that will be restricted to urban consumers.
The Bureau of Indian Standards (BIS) had formulated Indian Standard (IS) for packaged drinking water
(PDW) and packaged natural mineral water (PNMW) under mandatory BIS certification as per Food
Safety and Standards Regulation (FSS). This implementation led major players to acquire ISI and BIS
certifications to avoid any cancellation of licenses.
 The increase in the number of domestic and foreign tourists in the past years, and in the years to
come, is expected to be a major driver for bottled water sales in India
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1.2 Bisleri, the biggest competitor in the packaged drinking water industry
In 1967, Bisleri an Italian company, started by Signor Felice Bisleri, first brought the idea of selling
bottled water in India. It started a company called Bisleri India. In 1969, Ramesh Chauhan, the Chairman
of Parle Exports, bought over the brand. In those days, Bisleri packaged drinking water was available in
glass bottles.
Being a returnable package owing to various other problems such as breakage and weight, in 1972-73,
Bisleri was made available in PVC (Poly Vinyl Chloride) bottles. After this plastic packaging was
introduced, things started to change, and sales increased rapidly. The upsurge in the sales of Bisleri
started in 1993 as Ramesh Chauhan sold off the Parle stable of brands, including Thums Up, Limca and
Gold Spot. Recognising the potential of the packaged drinking water market, he then went on to
concentrate on making Bisleri a top selling brand in India.
The PET recycling project:
Bisleri is extremely conscious of environmental issues, since PET bottles are not biodegradable and not
easy to dispose. The company is currently working on the PET recycling project, where they will collect
bottles from various places, crush and shred them. This shredded material will then be made into ropes,
PET containers for the non-food industry and other PET items like polyester fiber flower vase, gift items
etc.
Processing and Quality Assurance
 The casing tube itself is protected with stainless steel mesh to give a preliminary filtration to
the water.
 Ultra filtration gives water reduction in turbidity and ads sparkle
 Activated carbon purifier to remove color and odor in water
 Reverse osmosis membrane has porosity of less than 0.01 micron the process renders water
free of micro-organisms.
To ensure Bisleri is held safe free from contaminations, ultraviolet treatment and ozonization process is
carried out. Ozone a very powerful bactericide with no side effect, as it disintegrates into oxygen within
couple of hours.
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Product & Packaging
Bisleri is available in a range of sizes.
Purification Process
Purity and taste are two major factors taken care in sourcing of Bisleri water. Underground spring is
carefully selected based on its purity and pathogen free water. Great care goes in tapping this source.
Only water below 25 meters is tapped, to avoid any surface contamination to percolate and mix with
underground water source. Area surrounding the water collection tube at the surface is protected, So that
it remains clear.
Sterilization effect of ozonized water continues even after water is packaged, thereby ensuring safety of
Bisleri upto its final packing. To ensure high quality of packing materials, components like caps and
bottles are manufactured in-house.
Good Manufacturing Practices are stringently followed at all times. Processing is religiously monitored
at every stage. Testing source water, processing parameters, microbial quality, packaging material
integrity and finally, shelf life studies, forms an integral part of quality and safety assurance plan.
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1.3Kinley (Coca-Cola)
Kinley Water–a product of the Coca-Cola Company-is the established market leader in the drinking
water segment. A product offering of the World’s No. 1 beverage company, Kinley Water is brought to
you with the time-tested expertise of the Coca-Cola. Backing Kinley Water is the promise of delivering
‘Trust in every Drop’.
In Chennai, Kinley Water is produced, bottled and distributed in Chennai city by S. R. Water Company
(P) Limited. The Company’s state-of-the-art production and bottling plant is the largest bulk water
manufacture plant in South Asia. Chennai's market leader in the drinking water segment, Kinley Water
reaches 10, 000 customers through a 40-strong distributor network, backed by a 24 hour Customer Call
Centre.
1.4 Future growth of the industry:
 The packaged bottled water industry in India is currently valued at INR 60bn (~USD 1billion) in
FY 2013 and has been growing at ~15% for the last three years. Value Notes estimates that the
industry will be worth approximately INR 160bn (~USD 2.67billion) by FY 2018, growing at
CAGR of ~22%.
Some of the future plans to maintain the top spot that industry commands in the Indian market are:
 New pack sizes in bottles and cups
 Increase the distribution network with an investment of over 200 crores
 Strengthen presence in traditionally weak areas by setting up 12 new bottling facilities at a cost
of Rs. 150 crores
1.5 Technology Developments
To make sure that the product that reaches the consumer is always of highest standard and also meets
international standards, packaged drinking water industry has always been involved in improving its
product packaging. One such recent development is the tamper proof break away seal. Industry also
recognizes the need to produce environment friendly products and is working on the PET project.
The breakaway seal:
Keeping in mind the consumer's need to recognize a genuine product that cannot be tampered with,
industry developed the breakaway seal. The unique cap has been patented and cannot be duplicated or
tampered with. This technology development in the product ensures that the consumer will only get a
highly safe product when they consume packaged drinking water.
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Product packaging:
To ensure purity of the bottled water, the bottles that are used are blown and filled at the factory itself,
to avoid contamination.
1.6 Government regulations:
BIS Certification Mandatory for Packaged Drinking Water
No person is authorized to manufacture, sell or exhibit for sale, packaged drinking water and packaged
mineral water except under Bureau of Indian Standards Certification Mark.
As per the Quality Control Order issued under Prevention of Food Adulteration (PFA) Rules, 1955,
Bureau of Indian Standards has formulated the following Indian Standards which provide quality norms
for packaged water:
i) IS 14543:2004 Packaged drinking water (other than natural mineral water) (First Revision)
ii) IS 13428: 2005 Packaged natural mineral water (Second Revision)
There are 18 BIS licensees engaged in production of Packaged Natural Mineral Water, 2354 licensees
producing Packaged Drinking Water through Reverse Osmosis, and 633 licensees bottling Packaged
Drinking Water drawing water from natural resources.
Implementation of the PFA Act and Rules framed under the Act is the responsibility of State
Governments and Union Territory Administrations. BIS also undertakes periodic surveillance inspection
and testing of samples from the market for maintaining the quality of the products of its licensees as per
the prescribed Indian Standards.
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1.7 (PORTER’S FIVE FORCE MODEL) for packaged drinking water industry
Competitors:
The Industry Competitors in the bottled water market are Bisleri, Bailey, Aquafina, Kinley, Yes, Ganga,
Himalayan, Evian, Perrier and various other local brands.
Potential of new entrants:
The Potential Entrants are HUL water purifier and various new local brands that come in the market.
Shaw Wallace is also in a process to enter the bottled market in the premium segment.
Threat of substitutes:
The Substitutes in this industry would be soft drinks, aqua guard, tap water and the most economical
drink Nimbu pani.
The industry estimates that bottled water is the fastest growing beverage segment and is immediately
followed by the soft drink/aerated beverages market
Power of suppliers:
The Supplier’s Power also should be considered while analyzing the industry. When the company’s
suppliers are able to raise price or reduce quantity supplied of PET bottles or the labeling material then
the supplier power would be high.
Power of customers:
The Buyer Power should also be considered when the buyer will demand more quality or service, and
set competitors against each other, all at the expense of seller’s profitability. This power is prevailing in
the industry where there are many brands fighting for their existence or for their share. One of the ways
to defend themselves would be to develop superior offer that strong buyers cannot refuse.
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CHAPTER-2
COMPANY ANALYSIS
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2.1 Elegant beverages pvt limited:
Elegant beverages pvt limited is a private limited company owned by 5 shareholders established in
Andhra Pradesh. The company produces nonalcoholic beverages including packaged drinking water and
soda. The company has taken a franchise of UB group nonalcoholic products throughout the Andhra
pradesh.
UB group has given franchise to elegantbeveragesPvtLimited on the non-alcoholic
UB beverage products in Andhra Pradesh region.
UB Group entered into nonalcoholic beverages recently including packaged drinking water with the
name of “signature” and Mc Dowell’s No-1 Soda in Andhra Pradesh state.
Elegant beverages pvt limited wanted to tag the price for signature packaged drinking water products
and Mc Dowell’s No-1 Soda products. The company also wanted to follow the promotional strategies
according to the competitors.
McDowell's No.1and SIGNATURE is an Indian brand of spirits manufactured by United Spirits Limited
(USL), a subsidiary of the United Breweries Group. It is USL's flagship brand and the largest umbrella
spirits brand in the world, comprising three categories - whisky, brandy and rum. The brand also has
bottled water and soda. The brand began with the launch of McDowell's No.1 Brandy in 1963-64. The
brand's slogan is Mera No.1
The McDowell's No.1 brand began with the launch of McDowell's No.1 Brandy in 1963-64 by
McDowell and Company, a company that the United Breweries Group had acquired in 1951. In 1959,
owner Vittal Mallya established McDowell and Company's first distillery at Cherthala, Kerala on the
banks of the Vembanad Lake. McDowell's began bottling Bisquit Brandy and Doraville French Brandy,
from imported concentrates. The company commissioned India's first ever distillation plant to produce
extra neutral alcohol (ENA), with French collaboration, at Cherthala in 1961. McDowell's launched its
own McDowell's No.1 Brandy in 1963-64, following the termination of the import contract for No.1
Bisquit Brandy. The brand created the template for the many "No. 1" brands that the company would
launch later. The company launched McDowell's No.1 whisky in 1968, which went on to become USL's
flagship brand. McDowell's No.1 Rum was launched in Celebration (Dark) and Caribbean (White)
variants in 1990-91.
The company was incorporated in the year 1999 as McDowell Sprits Ltd, and changed its name from
McDowell Sprits Ltd to McDowell & Company Ltd on 1 April 2000. The company changed their name
again to the current name United Spirits Limited (USL), with effect from 17 October 2006. In 2000,
Claessens International, a London-based design consulting firm, to revamp the bottle design and
1packaging of the entire McDowell's No.1 series. The company terminated its existing arrangement with
Paul Simmons & Associates. McDowell's No.1 whisky introduced a "guala" cap, restricting the easy
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flow of the liquor, in February 2002, replacing the earlier metal one. The name on the label was changed
from "No. 1 McDowell" to "McDowell No.1".
The shape of the bottle was also changed, with "shoulders" being incorporated instead of the previous
flat look. The changes were designed by Cleassons. In December 2004, the packaging of the 750ml pack
of McDowell's No.1 whisky was changed to a 3 layered combination of MetPET (metalised PET) with
a Polyester layer on either sides, which made the pack 100% tamper proof. Once opened the pack cannot
be sealed again hence making counterfeiting impossible.
Whisky
McDowell's No.1 Reserve Whisky was launched in 1968, and is a blend of imported scotch and Indian
malt whiskies McDowell's No.1 whisky is sold in several countries apart from India, including Africa,
Canada, the Far East, Japan, the Middle East and the United Arab Emirates.
McDowell's No.1 Diet Mate, which the company claims is the world's first diet whisky, is a variant of
McDowell's No.1 whisky. McDowell's No.1 Diet Mate was launched in 2006. The product is aimed at
calorie conscious customers. According to Ashok Capoor, chief operating officer of UB Spirits Division,
the whisky contains Garcinia, a herb which has the ability to burn excess fat and control cholesterol
levels in the human body. It is sold in pint, nip, quartz, and 750 ml bottles, at a cost 5% higher than
McDowell's No.1 whisky. The product was initially launched in Mumbai and Thane in the first phase,
but later expanded to other markets. Debashish Shyam, then General Manager (Marketing) of UB Group
Spirits Division, stated that "Diet Mate is not a low-calorie whisky but has ingredients that increase
metabolism.
McDowell's No.1Platinum Whisky, a 100% grain-based blend, developed by the Scottish master blender
Richard Paterson was launched in March 2010. It sold over 30 million bottles in its maiden year.
Rum
McDowell's No.1 Rum was launched in Celebration (Dark) and Caribbean (White) variants in 1990-91.
It is sold in 13 countries. USL claims that it is the second largest selling dark rum in the world and the
largest selling rum in India, with a domestic market share of 45%.
Brandy
McDowell's No.1 Brandy was launched in 1963-64,and was the first McDowell's No.1 branded product.
The brand created the template for the many "No. 1" brands that the company would launch later. It is
the largest selling brandy in the world by volume. It sold 4.6 million cases in 2004, and 13.7 million
cases in 2009.
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Sales
McDowell's No.1 is largest selling umbrella spirits brand in the world. It sold over 13.5 million cases in
2003-04, 6.07 million cases in 2005, and 8.65 million cases in 2006. The McDowell's No.1 brand had
sales of 27.5 million cases in 2007-08, McDowell's No.1 sold 14.3 million cases of whisky, 13.8 million
cases of rum and 11.7 million of brandy in 2010.
McDowell's No.1 sold over 31.5 million cases in the 2008-09 fiscal. McDowell's No.1 Celebration Rum
sold over 10 million cases becoming the world's third largest rum, while McDowell's No.1 Brandy
remained the world's largest-selling brandy with sales of nearly S million cases.
McDowell's No.1 also displaced Amul as the largest FMCG brand in terms of retail value. McDowell's
No 1 valued at US$ 1595 million features in the world listing of the top 100 distilled spirits brands by
retail value. The McDowell's No.1 brand achieved retail sales worth $3.8 billion in 2012-13, selling
nearly half a billion 750 ml bottles of its whisky, rum and brandy, making the brand the largest alcoholic
beverage franchise in India by volume and value.
2.2 MISSION, VISION, QUALITY STATEMENT
MISSION:
To be the most admired global leader in the spirits industry by creating unique high-quality brands for
consumers, driven by highly motivated employees and supported by best-in-class processes and
continued innovations. United Spirits is and will continue to be responsible towards its stakeholders and
the society.
VISION:
We will continually increase the long-term value of our Group for the benefit of our shareholders.
We will operate as a decentralized organization and allow each business to develop within our stated
values.
We will be a major contributor to our National Economy and take full advantage of our strong resource
base.
QUALITY STATEMENT:
We measure key product and package quality attributes by focusing on ingredients and materials, and
regulating manufacturing, bottling and distribution, of The Company products to ensure those products
meet Company requirements and consumer expectations in the marketplace.
As The Company expands our beverage portfolio and supplier base to meet the increasing demands of
growing and developing markets around the country, customer and consumer expectations and
regulatory scrutiny continue to rise. The global nature of our business requires that the production
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system has the highest standards and processes to ensure consistent quality -- from our concentrate
production to our bottling and product delivery.
To ensure such consistency and reliability, UB enables the a system to address the changing business
landscape while supporting our Company's strategic growth plans by creating an integrated quality
management program which holds all of our operations, system wide, to the same standards for
production and distribution of our beverages.
2.3 Products and services offeredby UB
 Fertilizer
 Engineering
 Aviation ( Kingfisher Airlines)
 Formula 1 - Force India
 IPL cricket team - Royal Challengers Bangalore
 Alcoholic beverages
Nonalcoholic beverages:
 Signature packaged drinking water
 Mc dowels No-1 packaged drinking water& soda
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2.4 Marketing Strategy
It is complete and an unbeatable plan designed specifically for attaining the marketing objective of a
firm. The marketing objective indicate what the firm want to achieve. The marketing strategy provides
the design for achieving them. Signature packaged drinking water followed the two types of marketing
strategies.
1. Price based
2. Differentiation based
Price based marketing strategy
A business can use a variety of pricing strategies when selling a product or service. The Price can be
set to maximize profitability for each unit sold or from the market overall. It can be used to defend an
existing market from new entrants, to increase market share within a market or to enter a new market.
Businesses may benefit from lowering or raising prices, depending on the needs and behavior of
customers and clients in the particular market. Finding the right pricing strategy is an important element
in running a successful business
The differentiation based strategy
Marketing strategy based on differentiation works on the principle that any aspect of the offer and any
activity of the firm can be made distinctive comparing with the competitors. Right from technology,
plant location to post sale and service a company can perceptibly differentiate. Companies usually choose
those functions, which will give them the greatest relative advantage.
2.5 Segmentation, Targeting, Positioning:
Segmentation
The first step in the process of product promotion is Segmentation. The division of a broad market into
small segments comprising of individuals who think on the same lines and show inclination towards
similar products and brands is called Market Segmentation.
Market Segmentation refers to the process of creation of small groups (segments) within a large market
to bring together consumers who have similar requirements, needs and interests. The individuals in a
particular segment respond to similar market fluctuations and require identical products. In simpler
words market segmentation can also be called as Grouping.
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Here we segmented the retail market based on the area (Andhra Pradesh) which is called as geo
graphical segmentation.
.Targeting
Once the marketer creates different segments within the market, he then devises various marketing
strategies and promotional schemes according to the tastes of the individuals of particular segment. This
process is called targeting. Once market segments are created, organization then targets them.
Targeting is the second stage and is done once the markets have been segmented.
Organizations with the help of various marketing plans and schemes target their products amongst the
various segments. Here we target the key retail outlets bars and educational institutions, software
organization and households to expand the market for new product.
Positioning
Positioning is the last stage in the Segmentation Targeting Positioning Cycle. Once the organization
decides on its target market, it strives hard to create an image of its product in the minds of the consumers.
The marketers create a first impression of the product in the minds of consumers through positioning.
Positioning helps organizations to create a perception of the products in the minds of target audience.
We wanted to create a brand value for the product by providing superior quality and the fastest service
to the customers, so that customers can be loyal to our products.
Competitors
 Kinley
 Bisleri
 Aquafina
 Bailey
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2.6 Technology:Taiwan world class technology for purification process and packaging
Process: Signature 7 Steps to Perfection
By the time that signature pure drinking water reaches you, it has taken a long journey of quality from
its pristine source, through stringent quality tests to its polycarbonate can. Here is a brief account the
signature Water’s fascinating journey to your water dispenser. It all begins with the Source. Kinley
Water is tapped from a ground water source far from any urban, industrial, or residential zone. This
ensures that the water retains its pristine quality at the source itself. The ‘Raw Water’, as it is known, is
periodically analyzed to ensure its essential quality. The Water Treatment Process for signature goes
through the following processes:
Process1
Multiple Barrier Treatment
As a first step, the water is then sent to a ‘Raw Water Tank’, where it is
chlorinated-to remove any bacteria. It then goes to a coagulation tank where it
is dosed with mild chemicals to remove its finer particulate matter. When the
matter settles down, it is then piped into a specially tiled chamber called the
‘Clear Water Tank’. After which it is subjected to a ‘Pressure Sand Filter’ that
removes its larger particulate matter. Two sophisticated ‘Carbon Filters’ are
then used to dissolve organic contaminants and chlorine that was used at the
Raw Water Stage.
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Process 2
» Reverse Osmosis (RO)
Osmosis is the method by which plants and trees take salts from the soil to
the leaves. Reverse osmosis, as the term suggests, removes dissolved salts
from water. This is accomplished through pre-filters, a high-pressure pump,
imported membranes (that filter particles as small as 0.001 microns) and
high-pressure housings backed by sophisticated instrumentation.
Process 3
» Mineral Injection System (MIS)
The water is now ultra-pure. Our imported Mineral Injection System now injects
a pre-determined quantity of salts of the highest quality. Micron Filters are then
used in the ‘Fine Filtration’ Stage to achieve standards of 1 micron and 0.22
micron filtration levels.
Process 4
» Fine Filtration process
The signature Water process gets even more sophisticated at this stage. Micron
Filters are used in the ‘Fine Filtration’ Stage to achieve standards of 1 micron
and 0.22 micron filtration levels.
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Process 5
» The Ozonation Process
The next process Ozonation is equally potent. Ozone is an enhanced form of
oxygen that is a very strong disinfecting agent. Ozone is used to keep the water
bacteria free till the bottle is capped and sealed.
Process 6
» The Filling Process
The concluding step is the Filling Process. Here, a Rs. 1.50 crore
machine performs the filling and capping process under totally
hygienic conditions. An eight stage washing cycle that the bottles
returned by the customers go through, is one leading feature of this
process.
Process 7
» Date Coding & Cleaning in Place processes
The product journey of quality does not end here. Before prompt delivery, every Kinley bottle is ‘date
coded’ to ensure that it can be traced in the unlikely event of a complaint. An automatic date coding
machine stamps the date, exact time of manufacture and other related details on each bottle.
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2.7 Human Resource
Employees are your Company’s most valuable asset. Therefore lot of initiatives are undertaken to
promote wellbeing of the employees. 77% of employees surveyed through a global third-party, refer to
UBL as a great workplace. UBL is higher in its employees’ perception map vis-à-vis employees in
India’s top 50 organizations, on Responsibility, Empowerment and Management Competency that its
employees feel it has as an organizational practice and inherent capability. In a complex industrial
relations environment, your Company’s Long Term Settlement processes have speciic focus on
alignment and engagement with its associates and have been exemplary on the industrial harmony
aspects, with zero incidents.
Talent Acquisition
Recruitment practices are controlled and monitored in your Company from 3 aspects –
1. A rigorous methodology of acquiring talent against mandatory Job descriptions and approved indents,
multilevel interviews with zero conflict of interest, through an automated cloud based recruitment
application, with internal business partnered Service Level Agreements related to cost of hire, time to ill
and quality of hire.
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2. A multi-pronged approach to organic and inorganic capability building by bringing in a select mix of
external subject matter experts and fresher’s in order to infuse continuous best practices, out of box
thinking and application.
3. Professional equation with our suppliers and vendors on the talent space.
Talent Induction and Development
Your Company has 19 owned units across the country, a diversity and dispersion of population and
employee demographics that relects the microcosm of the Indian Talent Pool at its best. It has therefore
been very important for your Company to be able to maintain standardization and formalization to be
able to bring in unity amongst diversity and have the one UBL picture.
Your Company remains an equal opportunities employer and multiple of our units have differently-abled
people and other diversity populations well incorporated and assimilated. Your Company does not
engage child labor, forced labor or any form of involuntary labor, paid or unpaid.
2.8 Operations of Mc Dowell’s No-1&Signature non-alcoholic beverages:
The UB bottled water range comprises the conventional 500 ml, one litre, 1.2 litre and two litre bottles;
five litre and 20 litre jars for the home segment, and smaller packs sizes of 250 ml cups and 330 ml
bottles, though in very limited numbers for now. Among all pack sizes the brand straddles, it is the one-
litre non-returnable bottles priced at Rs 10 each, and the 20-litre jars for Rs 40 aimed at the home segment
that are bestsellers at present. While the 20-litre jar comprises about 40 per cent of overall Bisleri sales,
the one-litre bottles account for approximately 25 per cent brand sales.
The main source of water is bore wells from where they get thee water. Then the raw materials required
for the bottle is PET i.e. poly ethylene terephatalable. There are 250 workers working in Mumbai and
3000 all over India. The production process adopted by signature is batch production. The time taken to
fill one bottle is approximately 5 minutes. The workers work in 3 shifts which comprises of 60-70
workers per shift. The maintenance of the machines is done every month and every 45 days there is
sanitation and cleaning of the machine.
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2.9A Finance: Balance sheet of the company
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2.9B Organizational hierarchy
Founder of the UB Group (Late) Vittal Mallya
The youngest of three children, Vittal Mallya was born in Dhaka, now in Bangladesh, on February 8,
1924. He was born in an army family to Mrs. Devi Mallya and Lt. Col. Bantwal Ganapathi Mallya (a
Medical Doctor with an FRCS degree). Vittal Mallya grew up to be a smart young man to graduate at a
very young age. He received several double promotions during his academic career for outstanding
performance and this demonstrated his exceptional caliber and sharp intellect. Following graduation,
young Vittal Mallya travelled the world for two years, during which period he visited Latin American
countries very extensively and even learnt to speak Spanish.
Vittal Mallya saw an opportunity in 1946-47 and started acquiring the shares of United Breweries
Limited, of which he became the Chairman. His foresight and business acumen led to the aggressive
expansion of the United Breweries Group. Meanwhile, the acquisition of control over McDowell &
Company Limited marked the Group’s entry into the Wines and Spirits business. The Group took a
further stride with the acquisition of Kissan Products Limited in 1950-60
Chairman of UB group
Vijay mallya
The global scenario, too, does not offer any cause for optimism. The Western world struggles with its
own stark prospects. The great economic experiment of the twentieth century, i.e. the monetary and
economic union of Europe, is under threat of a breakup on account of intense internal stresses. The US
economy has been awash in liquidity through aggressive Central Bank intervention, but the grass roots
of the US economy is still to show signs of sustainable resurgence. The imminent Presidential elections
in that country make bi-partisan leadership a distant dream. The Asian economies too are seeing signs
of a gradual slowing of growth, largely reflecting woes of the US and Europe which is the major market
for China and several other "Asian Tiger" economies.
As I had stated in my speech last year, it has been my belief that we stood at the start of a potential
"Indian Century" with scope to build on our own demographic led strengths. A year later, one has to
26
consider whether this opportunity has been squandered. I am an eternal optimist and have particular
confidence in the future of India which is reflected in the continuous commitment of myself and the UB
Group to the nation's future.
The UB Group is one of India’s largest conglomerates with annual sales of over US$ 4 billion and a
market capitalization of approximately US$ 12 billion. The Group has diverse interests in brewing,
distilling, real estate, engineering, fertilizers, biotechnology, information technology and aviation. It is
also the largest Indian manufacturer of beverage alcohol (beer and spirits). Dr. Vijay Mallya is the
Chairman of the Group.
Vice chairmen
As a Chartered Accountant, Mr. Subhash R Gupte had diverse assignments in sectors like finance,
administration and personnel with oil major Caltex and airline major Air India, both in India and
abroad for more than four decades. Before joining the UB Group, Mr. Gupte was an acting
Chairman and Managing Director of Air India and also Deputy Managing Director during his tenure
with Air India and Chairman of Hotel Corporation of India. He has been a Director on the Boards
of both Public Sector and Public Limited Companies in India and abroad.
Managing director
Mr. Ashok Capoor is the President and Managing Director of United Spirits Limited, the world's
largest Alco bev company by volume and the USD 2 billion spirits arm of the UB Group.Mr. Capoor
has over 35 years of experience across companies and various functions with major specialization
and experience in sales & marketing. He has led several brands to their global iconic status despite
operating in highly regulated business.
Mr. Capoor started his career with the National Tobacco Company in 1976. He then took up an
assignment with Godfrey Phillips India Ltd. as Branch Manager in 1978. He rose to the position of
Regional Manager – Sales, Northern Region in April 1982 and then to the position of Marketing
Manager in 1988. He later joined the erstwhile Herbertsons Limited as Divisional Vice President in
27
1992, looking after PAN India Sales and Marketing operations. He later took over as Chief Operating
Officer (West) in United Spirits Ltd. (USL) in June 2001. During his tenure, USL took giant strides
in the Western region and gained significant market share across brands, setting a performance
benchmark for other regional profit centers within the USL fold.
President breweries division
A marketing and management alumni of Harvard Business School, Mr. Kalyan Ganguly started his career
with Reckitt & Coleman India Limited. In 1979 he joined the Spirits Division of the UB group and
handled various assignments in Sales and Marketing in the Spirits Division where he was associated with
the new brand introductions of the Group which eventually became successful millionaire brands of the
Spirits Division.
In 1995, in recognition of his performance, he was asked to assume the position of the CEO of the
Breweries Division and later took over as the president of the United Breweries Limited on the de-merger
as an independent Company. At the Breweries Division, he has been instrumental in the stupendous
success of the Kingfisher brand, arguably the fastest growing beer brand – in both soft and strong
categories in
India. Kingfisher strong became the fastest growing and largest selling brand in India today.
28
2.9C SWOT analysis
Strengths
1. Strong customer and brand loyalty due to innovative packaging
2. Unique packaging that customer could recall
3. Legacy and heritage associated with brand.
4. Innovation and to promote a shared understanding of what
responsible drinking means
5. Strong distribution network owing to parent company
Weakness
1. Strong competition from international premium beverages means
limited market share
2. Less innovation in the recent years which was at peak during its
launch with the innovative bottling design
Opportunity
1. Increased consumption of scotch on special occasion
2. Spending power for such premium products amongst the
consumer is increasing
3. Any deregulation in the excise policies with reference to taxation
and duty on beer which could drastically push up the demand for
whisky
Threats
1. Comparatively low prices of some competitors
2. High Taxes & Regulations
3. Large no. of players in the same segment under the same family
leading to cannibalization
29
Competitors
Alcoholic segment competitors Nonalcoholic segment competitors:
1. Blenders Pride 1. Bisleri
2. Budweiser magnum 2. Kinley
3. Haig 3. Aquafina
30
CHAPTER III
TASKS ACCOMPLISHED DURING INTERNSHIP
31
3.1 Roles and Responsibilities
 Role as a Market researcher on packaged drinking water for product pricing, placement and
promotion for startup product according to the competitors in Andhra pradesh.
 Promoted the signature and Mc Dowell’s No-1 nonalcoholic products in Andhra pradesh major
retail outlets.
 Monitored the product in time delivery process& created the lead generation &cold calling
3.2 Description of tasks handled
 LEAD GENERATION
Lead generation is the process of creating sales leads which might convert into sale for the
company.
While my internship in signature and Mc dowels No-1 packaged drinking water, lead generation
was one of the major function done by me. The lead generation site assigned to me during my
internship were the deluxe & 3 star and five star hotels, bars, bus travels and major retail outlets
in Andhra Pradesh. Our targeted customers were the people who are maintaining the bars, retail
outlets, travel agency managers etc.
Every day I was able to get at least 4 leads, the closing of the deal was done by the BDE’s. Lead
generations give a lot of business to the Vijayawada branch.
 SALES PROMOTIONS
Sales promotion is one of the seven aspects of the promotional mix. (The other six parts of the
promotional mix are advertising, personal selling, direct marketing, publicity/public relations,
corporate image and exhibitions.) Media and non-media marketing communication are employed
for a pre-determined, limited time to increase consumer demand, stimulate market demand or
improve product availability. Examples include contests, coupons, freebies, and loss leaders,
point of purchase displays, premiums, prizes, product samples, and rebates
During my internship they gave an excellent opportunity to participate in the sales promotions. I
was guided under one of the Sr. BDE of the company, Mr. Vaane Prasad
I have done two types of sales promotion
32
1) customer oriented sales promotion
Free samples.
It was a two days promotions held on 14th May & 15th May in the premises of Jawaharlal pundit
Nehru bus station Vijayawada. We gave free samples of 250ml packaged drinking water to KSRTC and
APSRTC passengers to create the awareness about the product
Coupons:
We promoted coupons system to attract the households and hotels for 20 liter segment. That means if
any of the person buys 5 coupons then he/she will get 1 etc. coupon
Trade oriented sales promotion:
 Basically 1 case of packaging contains 12 bottles, we offered 3 etc. bottles
to retailors for the same 1 case price.
 We Offered fridges in the main retail outlets to gain the market share.
 We displayed a flex and hoardings of our products in the major retail
outlets in Andhra Pradesh to create awareness among the product
PERSONAL SELLING
Delivery of a specially designed message to a prospect by a seller, usually in the form of face-to-face
communication, personal correspondence, or a personal telephone conversation. Two other forms of
personal selling that are not used with high-end products are door-to-door selling and home
demonstration parties. These two personal selling methods are primarily used for personal care products,
cosmetics, cookware, encyclopedias, books, toys, food, and other items of special interest to
homemakers. Ideally, personal selling should be supported by advertising to strengthen its impact.
As an intern I noticed, sometimes lead generation brought us in the notice of people who needed
packaged drinking water for the weddings and functions and soda for some bars immediately in such
situations I could able to handle the sale by the advice of our branch manager.
33
COLD CALLING
The cold calling process in one of the way of doing good business in my organization. I was given
training before starting up with cold calling by Mr. Bhaskar (A.S.M). I was taught what to speak, how
to speak, and how to close the deal, and how to react when someone abuses or hang up. Before starting
up with the calling process I was asked to gather up some data from the net. I went to the website of big
corporates and noted their mail id’s and phone number, also a huge data was provided by Mr.bhaskar.
Every day after lunch from 2 pm to 5 pm I used that data to make calls and explain about products to the
people. People who showed interest gave us appointment to meet them face to face for a meeting.
PRODUCT DELIVERY
Sometimes when all the B.D.E’s were already out for some meeting or other important work, I was asked
to monitor the delivery vehicles to reduce the lead time.
On the first week of my joining, I was given a brief introduction about the company and extensive
training about the various products of signature and Mc Dowell’s No-1. All the activities and roles
performed by me in internship was done under the guidance of our Senior Manager Mr.vanee Prasad
and our trainer Mr. bhaskar.
The training induced by Mr. Arvind Kumar was about product knowledge, the key learnings were:
Learning about the Mc Dowells No-1 and signature brand positioning
 The offers for major retailor outlets
 The value added services provided.
 Learning about the major competitors in India, and their strengths and
weaknesses.
I used to visit main retail outlets early in the morning for lead generation. Later in the afternoon I had to
report to my Branch Head Mr. Prem Kumar. After lunch I had to do calling to various company’s travel
desk, make them aware of the product and fix a meeting with the concerned person of the company with
our BDEs.
The training for Cold Calling and Sales Promotions were given by Mr.Vanee Prasad. The key learnings
were:
 The way to approach any customer
 Before approaching, to observe the customer and understand his/her character traits( for
only sales promotions)
 The way to frame mails before group sending to potential customers
34
3.3LEARNING EXPERIENCE
Elegant beverages ltd, Vijayawada was the right platform for me to learn and implement my theoretical
knowledge and to complete the project assigned to me during my summer internship. These two months
were extremely important for me to understand the functions and practices of Marketing research &
Sales and with the help of my internship; I understood and confronted that how marketing & sales job
are done in a very efficient and effective way. Last but not least it was great experience for me to learn
all the thing which I read in the book.
3.4CONTRIBUTION TO THE ORGANIZATION
 Did a market research and data analysis of nearly 1000 outlets throughout Andhra Pradesh
for their new product pricing according to the competitors.
 Identified the key outlets in the Andhra Pradesh to increase profit
 After the efficient training, I was able to give a follow up of almost 300 key outlets
customers, out of which 80 turned into sales.
 Successfully fixed the meetings of company’s BDE with various corporates which
brought them good sales.
 Contributed on designing the company’s posters for Sales Promotions.
 Visit to various Corporates for the meeting and explaining details signature product.
 My efforts and contribution helped the company to earn revenue of Rs 50000, and reach
their targets to certain extend.
35
Chapter-IV
Analysis of research under
taken
36
4.1 Introduction and back ground:
Elegant beverages private limited wanted to conduct a research on Andhra pradesh major retail outlets
for their startup product pricing and promotional strategies for the signature and Mc Dowell No-1
nonalcoholic beverages in Andhra pradesh.
The research under taken was a Conclusive research is a structured data collection technique that
provides detailed, factual information that's useful in decision-making. Under the conclusive research
the present research comes under the descriptive research, which describe the current market
characteristics.
4.2Reasons for choosing the topic:
 MC dowels no-1 and signature are two renowned alcoholic premium brands of UB Group, now
they are entering into the non-alcoholic beverages (1ltr packaged drinking water &20ltr jar&
soda segment)in the new state of Andhra Pradesh.
Since it’s a start up product in the Andhra Pradesh, so company wanted to know about the
following
 To decide price for the packaged water and soda according to the competitors in the market
 To know the Market share of other packaged drinking water (1ltr&2ltr&5ltr&soda) brands in the
Andhra Pradesh
4.3How research is going to be beneficial for the organization
 To introduce prices for the 1ltr and 2ltr &20 ltr water and 500ml soda according to the current
market competitors
 To know the market share of different brands in major cities of Andhra Pradesh
 To know the availability of different brands in retail outlets
 To know the competitor promotional strategies
4.4 Research design:
The research design is the basic framework, which provides guidelines for the rest of the research
process. The present research can be said to be conclusive research. The research design determines the
direction of the study throughout and the procedures to be followed. It determines the data collection
method, sampling method, the fieldwork and so on.
37
Conclusive research
The survey conducted is a conclusive research as I have collected quantitative data from the retail outlets.
Descriptive research:
Under the conclusive research, it belongs to the descriptive research category, as the sample size is 1000,
which is a large sample.
Statement of problem:
To enter into the Andhra Pradesh Nonalcoholic beverages market with suitable pricing and promotional
strategies
4.5 Research Objectives:
 To study the marketing strategies adopted by existing brands of packaged drinking water
.
 To study the customer satisfaction level on the basis of the service and quality provided by
existing brands of packaged drinking.
 To understand target customers and the channels of distribution used by the competitors.
 To identify the effectiveness of the promotional activities made by the company.
4.6 Data Source:
The data would be collected from both primary and secondary sources. Primary data was collected by
using questionnaire from the retail outlets owners. Various secondary source of data as magazines,
journal, internet etc. would also be explored.
SAMPLE SIZE:
Sample size : 1000
Sample area : Vijayawada, Guntur, Vizag, Tirupathi
Sample Unit : retail outlet owners, bars and restaurants owners
Technical tools: Microsoft Excel, MS Word was used as technical tools
38
4.7 Analysis of data:
The following is the data analysis report about the count of different brand available outlets in
Vijayawada.
4.71 Vijayawada data analysis report
1) Availability of different brands of packaged drinking water and soda segment products in retail
outlets in Vijayawada
Interpretation
From the above bar chart we can conclude that Kinley is available in 325 retail outlets and Aquafina
bisleri,lehar,bailey,tata plus,oxyrich,Bio,hi-tech covered with 139,30,19,14,7,2,1,1 retail outlets
respectively.
Inference:
Kinley brand beverages are available in most of the retail outlets in Vijayawada compare to other brands.
325
139
30 7 14 1 1 19 2
DIFFERENT BRAND AVAILABLE OUTLETS IN
VIJAYAWADA
39
Market share of packaged drinking water brands in Vijayawada
Interpretation:
From the above diagram it can be concluded that Kinley occupied 60% market share and
Aquafina,bisleri,lehar,bailey,tataplus with the market shares of 26%,6%,4%,3%,1% respectively.
Inference:
From the diagram we can infer that kinley brand occupies the major market share in the vijayawada.
KINLEY
60%
AQUAFINA
26%
BISLERI
6%
TATA PLUS
1%
BAILEY
3%
LEHAR
4%
market share in vijayawada
KINLEY AQUAFINA BISLERI
TATA PLUS BAILEY BIO
40
2) 2 liter packaged drinking water maximum retail price and average distributor price per bottle
in the retail outlets in Vijayawada
The 2 liter packaged drinking water average MRP is 30 rupees per bottle in Andhra Pradesh market .the
following bar chart shows the average distributor price in Vijayawada retail outlets.
Interpretation:
From the above bar chart we can conclude that the Kinley 2ltr packaged drinking water distributor price
is 23.3 and Aquafina 24.1, bisleri 22.2, bailey 23.4,oxyrich 25 rupees.
Inference:
The average distributor price of the 2ltr segment of aquafina is high compared to other brands in
Vijayawada city.
KINLEY AQUAFINA BISLERI BAILEY OXYRICH
23.3
24.1
22.2
23.4
25
AVG PRICE OF 2LTR SEGMENT IN
VIJAYAWADA
41
3) 1 liter packaged drinking water maximum retail price and distributor price per bottle in the
Vijayawada retail outlets
The 1 ltr packaged drinking water average MRP is 20 rupees per bottle in Andhra Pradesh market .the
following bar chart shows the average distributor price in Vijayawada retail outlets
Interpretation:
From the above bar chart we can understand that the average 1litre price of oxyrich is 16 rupees and
Aquafina,Kinley,tata plus,bisleri,hi-tech,bailey with distributor price as 14.99,14.7,13.66,13.6,12,11.05
rupees respectively.
Inference:
From the above bar chart we can conclude that the average price of ltr segment of oxyrich is high i.e 16
rupees compared to other brands.
KINLEY AQUAFINA TATA PLUS HI-TECH BISLERI BAILEY OXYRICH
14.7 14.99
13.66
12
13.6
11.05
16
AVG PRICE OF 1LTR SEGMENT IN VIJAYAWADA
42
4) 300 ML SODA maximum retail price and distributor price per bottle in the Vijayawada retail outlets
Interpretation:
From the figure we can understand that the average price of Kinley 300ml soda is 15.6 rupees and other
products such as Aquafina and Lehar with 13.07 and 8.541 respectively.
Inference:
The average distributor price of kinley 300ml soda is higher than the aquafina and lehar brands in
Vijayawada.
5) 500ML/600ML SODA maximum retail price and distributor price per bottle in the Vijayawada
retail outlets
KINLEY AQUAFINA LEHAR
15.6
13.07
8.541
AVG PRICE OF 300ML SODA SEGMENTIN
VIJAYAWADA
KINLEY AQUAFINA LEHAR
16.459
14.47
13.79
AVG PRICE OF 600ML SODA SEGMENT
IN VIJAYAWADA
43
Interpretation:
From the above bar chart we can understand that the average price of Kinley 600ml soda is 16.459 and
aquafina,lehar with the average distributor price of 14.47 and 13.79 respectively.
Inference:
The average distributor price for 600ml soda segment is high for kinley brand compare to other brand
products in Vijayawada.
6) Cooling aid provided for the retail outlet by existing brands in Vijayawada
Interpretation:
From the above pie chart we can understand that 87%of the retail outlets in Vijayawada are getting the
cooling aid from the respective existing brands and 13%of the outlets not getting the cooling aid.
Inference:
Most of the retail outlets in Vijayawada are getting the cooling aid from the respective brands to sell the
beverages.
NO OF
COOLING AID
PROVIDED
OUTLETS
87%
NO OF
COOLING AID
NOT PROVIDED
OUTLETS
13%
%OF COOLING AID PROVIDED OUTLETS VS
COOLING AID NOT PROVIDED
44
7) Monopoly contract executed by the following brand in the retail outlet
Interpretation:
From the above pie chart in the monopoly segment 87%of the retail outlets are executed by Coca-Cola
and 13% is executed by Pepsi
Inference:
Most of the monopoly executed retail outlets in Vijayawada are operated by Coca-Cola company.
87%
13%
MONOPOLY CONTRACTS EXECUTED
OUTLETS
NO OF COCA-COLA
MONOPOLY EXECUTED
OUTLETS
NO OF PEPSI MONOPOLY
EXECUTED OUTLETS
45
8) Willingness of the retail outlet owner to accept the new product of non-alcoholic beverage in
their outlet
Interpretation:
From the above pie-chart we can understand that 67%of the retail outlet owners are willing to accept the
signature packaged drinking water and 33% are not willing to accept the new product.
Inference:
The signature product can enter the Vijayawada market easily as most of the retail outlet owners are
willing to accept the new product.
67%
33%
acceptance of a new product in
vijayawada outlets
Accepted
Not accepted
46
4.72 GUNTUR DATA ANALYSIS REPORT
Guntur is the one of the major city in Andhra pradesh and it will become the capital of Andhra pradesh
so we want to expand the market in Guntur, due to this we have done a market research in major retail
outlets.
1) Availability of different brands of packaged drinking water and soda segment products in retail
outlets in Guntur.
Interpretation
From the above bar chart Kinley is available in 79 outlets and Aquafina 25, bisleri 28, oxyrich 3, bailey
18, Tata plus is available in 2 outlets.
Inference:
Kinley brand beverages are available in maximum number of outlets in Guntur compare to other brands.
NO OF KINLEY
AVAILABLE
OUTLETS IN
GUNTUR
NO OF
AQUAFINA
AVAILABLE
OUTLETS IN
GUNTUR
NO OF BISLERI
AVAILABLE
OUTLETS IN
GUNTUR
NO OF
OXYRICH
AVAILABLE
OUTLETS IN
GUNTUR
NO OF BAILEY
AVAILABLE
OUTLETS IN
GUNTUR
NO OF TATA
PLUS
AVAILABLE
OUTLETS IN
GUNTUR
79
25 28
3
18
2
NO OF DIFFERENT BRAND AVAILABLE OUTLETS IN
GUNTUR
47
Market share in Guntur:
Interpretation:
The above pie chart shows the market share of different brands in Guntur key outlets. As per the chart
Kinley occupies the 55% market share, followed by Aquafina 24%, bisleri 14%, bailey 7% respectively.
Inference:
From the diagram we can infer that kinley capture the major market share followed by aquafina in Guntur
market segment.
kINLEY 55%
AQUAFINA 24%
BISLERI 14%
BAILEY 7%
%OF DIFFERENT BRANDS MARKET
SHARE IN GUNTUR
48
2) 2 liter packaged drinking water maximum retail price and distributor price per bottle in the
retail outlets in Guntur
The 2 ltr packaged drinking water average MRP is 30 rupees per bottle in Andhra Pradesh market
Interpretation:
From the above diagram we can conclude that the average distibutor price of the 2ltr bottle of Kinley is
24 followed by Aquafina, bisleri, bailey with 22, 20.9,19 respectively.
Inference:
Kinley brand is the premium brand in the Guntur segment as the average price of 2 ltr kinley is high
compare to other brands.
3) 1 liter packaged drinking water maximum retail price and distributor price per bottle in the
Guntur retail outlets
Interpretation:
From the above diagram we can conclude that the average distibutor price of the 1ltr bottle of Kinley is
15.44 followed by Aquafina, bisleri, bailey, Tata plus, oxyrich with 17.599, 12.31,9,13,13 respectively.
Inference:
The average distributor price of 1 ltr aquafina is high compare to other brands in Guntur segment.
KINLEY AQUAFINA BISLRI BAILEY
24 22 20.9 19
AVG PRICE OF 2LTR BOTTLE SEGMENT IN GUNTUR
KINLEY AQUAFINA BISLERI BAILEY TATA PLUS OXYRICH
15.44 17.599
12.31
9
13 13
AVG PRICE OF 1LTR BOTTLE SEGMENT IN GUNTUR
49
4) 300 MLSODA maximum retail price and distributor price per bottle in the Guntur retail outlets
Interpretation:
From the above diagram we can understand that the average distibutor price of the 300ml Soda bottle of
Kinley is 15.3 followed by Aquafina,lehar with 13.60,8.64 respectively.
Inference:
From the bar chart we can infer that the average distributor price of kinley is higher than the other
products.
5) 500ML/600ML SODA maximum retail price and distributor price per bottle in the Vijayawada
retail outlets
Interpretation:
From the above diagram we can conclude that the average distibutor price of the 600ml Soda bottle of
Kinley is 16.459 followed by Aquafina,lehar with 14.47,13.79 respectively.
Inference:
Kinley average distributor price is higher than the other brands in 600ml soda segment in Guntur.
KINLEY AQUAFINA LEHAR
15.3 13.60
8.64
AVG PRICE OF 300ML SODA SEGMENTIN GUNTUR
KINLEY AQUAFINA LEHAR
16.459
14.47 13.79
AVG PRICE OF 600ML SODA SEGMENTIN
GUNTUR
50
6) Cooling aid provided for the retail outlet by existing brands in Guntur
Interpretation:
From the above pie chart we can understand that 79%of the retail outlets in Guntur are getting the cooling
aid from the respective existing brands and 13%of the outlets not getting the cooling aid.
Inference: Most of the retail outlets are getting the cooling aid from the respective brands in Guntur
segment.
NO OF
COOLING AID
PROVIDED
OUTLETS
79%
NO OF
COOLING AID
NOT PROVIDED
OUTLETS
21%
%OF COOLING AID PROVIDED OUTLETS VS
COOLING AID NOT PROVIDED
51
7) Monopoly contract executed by the following brand in the retail outlets in Guntur
Interpretation:
From The following chart shows the %of monopoly outlets executed by Coca-Cola and Pepsi in Guntur.
Here 67% of the retail outlets lead by Coca-Cola and 33% of the outlets lead by Pepsi.
Inference:
In the monopoly outlet segment, most of the retail outlets are operated by Coca-Cola followed by Pepsi
in Guntur.
COUNT OF
MONOPOLY
OULETS
EXECUTED BY
COCA-COLA
67%
COUNT OF
MONOPOLY
OULETS
EXECUTED BY
PEPSI
33%
%OF MONOPOLY OUTLETS IN
GUNTUR
52
8) Willingness of the retail outlet owner to accept the new product of non-alcoholic beverage in
their outlet
Interpretation:
From the above pie-chart we can understand that 85%of the retail outlet owners are willing to accept the
signature packaged drinking water and 15% are not willing to accept the new product in Guntur.
Inference:
The signature product can enter the Guntur market easily as most of the retail outlet owners are willing
to accept the new product.
COUNT OF
OUTLETS WILLING
TO ACCEPT THE
NEW PRODUCT
85%
COUNT OF
OUTLETS NOT
WILLING TO
ACCEPT THE NEW
PRODUCT
15%
%OF OUTLET OWNERS WILLING TO
ACCEPTNEW PRODUCT AND NOT
53
4.73 TIRUPATHI DATA ANALYSIS REPORT
The following is the data analysis report of the tirupathi market segment.
1) Availability of different brands of packaged drinking water and soda segment products
in retail outlets
Interpretation:
From the above bar chart we can conclude that kinley brand is available in(202) outlets in tirupathi
followed by bio-aqua,aquafina,bisleri,kingfisher,star-aqua,bailey,bliss,nature-aqua with
56,53,45,19,14,9,9 respectively
Inference:
We can conclude that kinley brand is available in the most of the retail outlets in tirupathi followed by
aquafina.
202
56 53
15 19
45
14 5 9 7 9 4 2
NO OF DIFFERENT BRAND AVAILABLE OUTLETS
54
Market share in tirupathi by different brands
Interpretation:
From the above pie chart it shows the market share of different brands in Guntur key outlets. As per the
chart Kinley market share is 49%, followed by Aquafina 13%,bio-aqua 12%,bisleri 10% ,king fisher
4%,bailey 3%,star-aqua 3%,nature aqua 2%,tata plus 2%,tasty 1%,osr 1% respectively.
Inference:
The major market share in tirupathi was occupied by kinley with 49% followed by aquafina with 14%
as these products are marketed by premium brands such as Coca-Cola and Pepsi.
KINLEY
49%
AQUAFINA
14%
BIO-AQUA
13%
STAR-AQUA
4%
KING FISHER
4%
BISLERI
11%
BAILEY
3%
TATA PLUS
2%
55
2)2 liter packaged drinking water maximum retail price and distributor price per bottle in the
Tirupathi retail outlets by different brands
Interpretation:
From the above diagram we can conclude that the average distibutor price of the 2ltr bottle of Kinley is
24.5 followed by Aquafina, bisleri, bailey,star-aqua,bio-aqua,nature-aqua,tata plus,bliss with 24.4,
22.6,22.388,15.677,15.06,14.9,13.8,13 respectively.
Inference:
The average price of the kinley 2ltr bottle is slightly higher than the other brands in tirupathi.
24.5 24.4
15.06 15.677
22.6
13.8 14.9
13
22.388
AVG PRICE OF 2LTR SEGMENT IN
TIRUPATHI
56
3)1 liter packaged drinking water maximum retail price and distributor price per bottle in the
Tirupathi retail outlets by different brands
Interpretation:
From the above bar chart we can understand that the average 1litre price of tata plus in tirupathi is
17.7rupees followed by Kinley, bailey, bisleri, nature-aqua, star-aqua, bio-aqua, bliss with 17.44, 16.21,
14.6, 9.77, 9.01, 8.889, 8.19 rupees respectively
Inference:
From the above we can infer that the average 1ltr price of the tata-plus is high i.e. 17.7 rupees compared
to other brands in tirupathi retail outlets.
17.44
8.889 9.01
14.6
17.7
9.77 8.19
16.21
AVG PRICE OF 1LTR SEGMENT IN
TIRUPATHI
57
4) 300 ML SODA maximum retail price and distributor price per bottle in the tirupathi retail
outlets
Interpretation:
From the above diagram we can understand that the average distibutor price of the 300ml Soda bottle of
Kinley is 13.7 and Aquafina with 9.125 rupees.
Inference:
From the above diagram we can infer that average distributor price of 300 ml soda of kinley is higher
than the aquafina product.
KINLEY AQUAFINA
13.7
9.125
AVG PRICE OF 300ML SODA
SEGMENTIN TIRUPATHI
58
5)300 ML SODA maximum retail price and distributor price per bottle in the tirupathi retail
outlets
Interpretation:
From the above bar chart we can conclude that the average price of Kinley 600ml soda is 16.18 followed
by Aquafina with 13.6 respectively.
Inference:
The average distributor price of 600ml soda segment is slighter higher on kinley products compare
to other brands
KINLEY AQUAFINA
16.18
13.6
AVG PRICE OF 600ML SODA SEGMENTIN
TIRUPATHI
59
6) Cooling aid provided for the retail outlet by existing brands in tirupathi
Interpretation:
From the above pie chart we can understand that 88%of the retail outlets in tirupathi are getting the
cooling aid from the respective existing brands and 12%of the outlets not getting the cooling aid.
Inference:
Most of the retail outlets in tirupathi are getting cooling aid from the respective brands such as Coca-
Cola and Pepsi.
88%
12%
COOLING AID PROVIDED VS
NOT PROVIDED
COOLING AID
PROVIDED
COOLING AID NOT
PROVIDED
60
7) Monopoly contract executed by the following brand in the retail outlets in tirupathi
Interpretation:
From the above pie chart in the monopoly segment 87%of the retail outlets are executed by Coca-Cola
and 13% is executed by Pepsi.
Inference:
Most of the monopoly executed retail outlets in Tirupathi are operated by Coca-Cola Company.
87%
13%
MONOPOLY
CONTRACTS EXECUTED
OUTLETS
NO OF COCA-
COLA
MONOPOLY
EXECUTED
OUTLETS
NO OF PEPSI
MONOPOLY
EXECUTED
OUTLETS
61
8) Willingness of the retail outlet owner to accept the new product of nonalcoholic beverage in
their outlet
Interpretation:
From the above pie-chart we can understand that 99%of the retail outlet owners are willing to accept the
signature packaged drinking water and 1% are not willing to accept the new product. Inference:
Inference:
The signature product can enter the Tirupathi market easily as most of the retail outlet owners are willing
to accept the new product.
99%
1%
ACCEPTANCE% OF A NEW
PRODUCT AND NOT
NO OF OUTLETS
WILLING TO ACCEPT
NEW PRODUCT
NO OF OUTLETS NOT
WILLING TO ACCEPT
NEW PRODUCT
62
4.8 FINDINGS, OBSERVATION AND CONCLUSION
FINDINGS AND OBSERVATION
Findings are the broader aspects of the analysis.
The findings from the data collected and analysis made is that
 From the analysis it was found that major market share is occupied by Kinley followed by
Aquafina, bisleri in Andhra Pradesh.
 It was found that some of the retail outlets has been leading by monopolistic policies
executed by Coca-Cola (Kinley),Pepsi (Aquafina),That means no other brands are
allowed to sell in that particular outlets.
 It was found that the trade oriented promotional strategies(giving extra bottles to retailers) taken
by Kinley and Aquafina are very less as these are premium brands in Andhra Pradesh, so that
margin for retailers are very low.
 It was found that Tirupathi is not a good location to market the Mc Dowell’s No-1 Soda as
the prices of existing soda brands are selling their products with lower price.
 From the analysis it is found that Kinley has the highest average price followed by Aquafina and
bisleri.
 the observations made with direct interaction with retailers and households and bar owners
 From the observation it was found that sales executive were doing a great job but still they were
lacking the talent of convincing the customers fully.
 From the observation it was noticed that the households were unhappy with the billing process
of existing 20ltr tins segment by existing brands
 Customers were not happy with the delivery made by existing brands in packaged drinking water.
 From the data analysis report we can observe that the average prices and the availability of the
300ml &600ml soda are very low in tirupathi, as it is a one of the spiritual city in India and there
are some regulations on selling the alcohol beverages as a result the soda sales and prices are
63
very low.
 .One of the main observation is some of the households and restaurant owners not willing to
accept the “SIGNATURE” for drinking water because it is renowned brand in alcoholic
beverages. People are perceiving badly as it is an alcoholic water bottle brand.
 From the observation I noticed that there was good market for signature packaged drinking
water and Mc dowels No-1 Soda in the bar& restaurants.
 Most of the households in Andhra Pradesh donot know the difference between the purified
water and mineral water. So its better to create the awareness about the added minerals
advantages, thus they can attract the new customers by explaining the purificat ion
technology advantages
Recommendations and suggestions:
 The company has to expand the market in Vijayawada and Guntur as these are
going to be twin-capital of Andhra pradesh.
 It’s very difficult to enter in the tirupathi market where the sales and average price
of the product is very less compared to other cities.
 Most of the retail outlets in the Andhra pradesh operated as a monopoly by the
Coca-Cola and Pepsi so it’s difficult to expand the market for new product.
 The company has to give electricity charges and fridges to expand the market in
Andhra pradesh like kinley, aquafina.
64
Conclusion
 As per the research the signature concluded the price of 1ltr bottle distribution price is 14 rupees
and 2ltr bottle is 22 rupees
 The Mc Dowells No-1 decided the market price for 600ml SODA segment as 16 rupees per unit
300ML Soda price as 10 rupees per unit based on the research
 Company also adopted the several promotional strategies according the competitors
Those are
 Giving 1 case free per 4 cases to the retail outlets on signature 1tr packaged drinking water
 Assigning free sign boards to the retail outlets for brand promotion
 Giving the electricity charges and fridges for key retail outlets if they selling signature product
 The company don’t want to enter in tirupathi in the soda segment as they came to know about
the sales and average prices of the soda in tirupathi are very low according to the research report.
65
Bibliography
 Eiri board -Technology of Water and Packaged Drinking Water -2nd edition-
Hachette Livre-2012
 Philip Kotler-Marketing management-14th edition- Pearsonpublications-2011
 www.usl.in
 www.scribd.com
 www.ub.com
 www.bis.org.in
66
ANNEXURE
Study on pricing and promotional Strategies of packaged drinking
water
Elegant beverages Pvt. Ltd.
Questionnaire
67
68
Questions can be inferred from the following company questionnaire
Questionnaire for packaged drinking water
Name of the outlet
1) location of the outlet among the following cities
o Vijayawada
o Guntur
o Vizag
o Tirupathi
o Ongole
3) Availability of different brand of packaged drinking water and soda segment products in
retail outlets
o Bisleri
o Bailey
o Kinley
o Aquafina
o Tata plus
o Other:
4) 2 liter packaged drinking water maximum retail price and distributor price per bottle in
the retail outlet
M.R.P-------D.P
5) 1 liter packaged drinking water maximum retail price and distributor price per bottle in
the retail outlet
69
M.R.P--D.P
6) 300 ML SODA maximum retail price and distributor price per bottle in the retail outlet
M.R.P---D.P
7) 500ML SODA maximum retail price and distributor price per bottle in the retail outlet
M.R.P---D.P
8) Visit of existing brand distributor sales person frequency per week to retail outlets
o Once in a week
o Twice in a week
o Thrice in a week
o Daily follow up
9) Cooling aid provided for the retail outlet by existing brands in Vijayawada
o Provided
o Not Provided
10) Monopoly contract executed by the following brand in the retail outlet
o COCA-COLA
o PEPSI
11) Willingness of the retail outlet owner to accept the new product of non-alcoholic beverage in
their outlet
o accepted
70
o not accepted

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NEW SIP

  • 1. 1 TABLE OF CONTENTS Page No 1. INDUSTRY ANALYSIS 1.1 Packaged drinking water industry 5 1.2 Bisleri 7 1.3 Kinley 9 1.4 Future growth of industry 9 1.5 Technology developments 9 1.6 Government regulations 10 1.7 Porter’s five force model 11 2. COMPANY ANALYSIS 2.1 Elegant beverages private limited 13 2.2 Mission, vision, quality statement 15 2.3 Product and service offered by UB 16 2.4 Marketing strategy 17 2.5Segment Targeting Positioning 17 2.6Technology 19 2.7Human resources 22 2.8Operations 23 2.9Finance 24 2.9B Organization hierarchy 25 2.9C SWOT analysis 28 3. TASKS ACCOMPLISHED 3.1 Roles and Responsibilities 31 3.2 Description of tasks handled 31 3.3 Learning experience 34
  • 2. 2 4. ANALYSIS OF TASK/RESEARCH UNDERTAKEN 4.1 Introduction and Back Ground 36 4.2Reasons for Choosing the Topic 36 4.3How Research Is Going To Be Beneficial For the Organization 36 4.4 Research Design 36 4.4 Statement of the Problem 36 4.5 Research Objectives 37 4.6 Data Source 37 4.7 Analysis of Data 38 4.7.1 Vijayawada Data Analysis Report 38 4.7.2 Guntur Data Analysis Report 46 4.7.3 Tirupathi Data Analysis Report 53 4.8 Findings, Observations, suggestions and conclusions 62 BIBILIOGRAPHY ANNEXURE
  • 3. 3 Executive summary Bottled water market has emerged as one of the most rapidly growing and competitive markets worldwide. The global Bottled Water Industry is a multibillion dollar industry. It has been a remarkable growth trajectory for the sector. India is among the top ten countries in terms of bottled water consumption. Today Bottled Water is one of the India’s fastest growing industrial sectors. We have estimated the industry to grow at a CAGR of 18% till 2017 and would be soaring to new heights. Indian Bottled Water Industry currently pegged at USD 1454 million in 2011 will jump to reach USD 3925 million by 2017. Elegant beverages pvt limited has taken the franchise of UB group nonalcoholic beverages in Andhra pradesh segment. They conducted market research in the major retail outlets in Andhra pradesh on packaged drinking water for their product pricing and promotional strategies. The elegant beverages pvt limited has taken suitable measures according to the research report. They adopted pricing and promotional strategies according to the competitors in the andhrapradesh.
  • 4. 4 CHAPTER I - INDUSTRY ANALYSIS
  • 5. 5 1.1PACKAGED DRINKING WATER INDUSTRY: The overall packaged bottled water in India is estimated to touch the Rs10,000 crore mark in the 2012- 13 fiscal, growing at a compound annual growth rate (CAGR) of 19%, says a new report by IkonMarketing Consultants. Presently, this market is estimated at Rs 8,000 crore, and could touch Rs 15,000crore by 2015. While Bisleri continues as the top brand with a 36% share among national players, Coca-Cola's Kinley follows with 25% share, followed by Aquafina at 15%. Other smaller brands include Parle Agro's Bailey, Kingfisher and McDowell’s No-1, according to the report. The global bottled water market, which saw an increase of 40-45% over the past five years, is currently valued at close to US$ 85-90 billion, the report adds. The domestic market is split between three sets of players -- national brands with a pan India presence worth around Rs 4,000 crore, local brands manufactured by registered plants but restricted to regions estimated to have a combined turnover of Rs 2,400 crore and unorganized local brands estimated at Rs 1,600 crore. The report estimates that there are over 2,500 brands in this category, of which over three- fourths are local. While the majority 80% of this market is in with organized players, the remaining 20% is operated by unorganized brands. The non-traditional category, or bulk packs, (with over 5 litre capacity) is growing rapidly, and has a current share of over 40% share. "The rising trend of bulk water consumption in homes and institutional segments will pave the way for bulk water packs to acquire half of the total bottled water market within next four-five years," the report adds. Interestingly, the southern states are the largest consumers of bottled water, because of water scarcity in the region. Value Notes presents a research report on the packaged bottled water industry in India. This industry report covers intelligence on the market size, growth, industry trends, industry attractiveness, and Porter’s analysis. The report covers fiscal years 2013 through 2018. Rising safety and hygiene awareness, following incidents of waterborne diseases in major cities across India has boosted the growth of the packaged bottled water industry in India. This exponential growth has amplified the per capita consumption of bottled water to more than 20 liters, while it was only 4-5 liters in the late 1990’s.
  • 6. 6 Key findings:  The packaged bottled water industry is segmented into: o Packaged drinking water: Packaged drinking water means water derived from any source of potable water and subjected to various treatments to meet the prescribed standard before being packed in a plastic or glass container o Natural mineral water: Water containing less than 250ppm of total dissolved solids are defined as natural mineral water  Packaged drinking water, which holds about 85% of the market, is witnessing strong growth owing to various factors such as changes in life style, increase in Foreign Tourist Arrivals (FTAs), health awareness, etc. Natural mineral water on the other hand, which falls under the premium water segment and is primarily consumed by the urban populace owing to its high cost, will witness growth that will be restricted to urban consumers. The Bureau of Indian Standards (BIS) had formulated Indian Standard (IS) for packaged drinking water (PDW) and packaged natural mineral water (PNMW) under mandatory BIS certification as per Food Safety and Standards Regulation (FSS). This implementation led major players to acquire ISI and BIS certifications to avoid any cancellation of licenses.  The increase in the number of domestic and foreign tourists in the past years, and in the years to come, is expected to be a major driver for bottled water sales in India
  • 7. 7 1.2 Bisleri, the biggest competitor in the packaged drinking water industry In 1967, Bisleri an Italian company, started by Signor Felice Bisleri, first brought the idea of selling bottled water in India. It started a company called Bisleri India. In 1969, Ramesh Chauhan, the Chairman of Parle Exports, bought over the brand. In those days, Bisleri packaged drinking water was available in glass bottles. Being a returnable package owing to various other problems such as breakage and weight, in 1972-73, Bisleri was made available in PVC (Poly Vinyl Chloride) bottles. After this plastic packaging was introduced, things started to change, and sales increased rapidly. The upsurge in the sales of Bisleri started in 1993 as Ramesh Chauhan sold off the Parle stable of brands, including Thums Up, Limca and Gold Spot. Recognising the potential of the packaged drinking water market, he then went on to concentrate on making Bisleri a top selling brand in India. The PET recycling project: Bisleri is extremely conscious of environmental issues, since PET bottles are not biodegradable and not easy to dispose. The company is currently working on the PET recycling project, where they will collect bottles from various places, crush and shred them. This shredded material will then be made into ropes, PET containers for the non-food industry and other PET items like polyester fiber flower vase, gift items etc. Processing and Quality Assurance  The casing tube itself is protected with stainless steel mesh to give a preliminary filtration to the water.  Ultra filtration gives water reduction in turbidity and ads sparkle  Activated carbon purifier to remove color and odor in water  Reverse osmosis membrane has porosity of less than 0.01 micron the process renders water free of micro-organisms. To ensure Bisleri is held safe free from contaminations, ultraviolet treatment and ozonization process is carried out. Ozone a very powerful bactericide with no side effect, as it disintegrates into oxygen within couple of hours.
  • 8. 8 Product & Packaging Bisleri is available in a range of sizes. Purification Process Purity and taste are two major factors taken care in sourcing of Bisleri water. Underground spring is carefully selected based on its purity and pathogen free water. Great care goes in tapping this source. Only water below 25 meters is tapped, to avoid any surface contamination to percolate and mix with underground water source. Area surrounding the water collection tube at the surface is protected, So that it remains clear. Sterilization effect of ozonized water continues even after water is packaged, thereby ensuring safety of Bisleri upto its final packing. To ensure high quality of packing materials, components like caps and bottles are manufactured in-house. Good Manufacturing Practices are stringently followed at all times. Processing is religiously monitored at every stage. Testing source water, processing parameters, microbial quality, packaging material integrity and finally, shelf life studies, forms an integral part of quality and safety assurance plan.
  • 9. 9 1.3Kinley (Coca-Cola) Kinley Water–a product of the Coca-Cola Company-is the established market leader in the drinking water segment. A product offering of the World’s No. 1 beverage company, Kinley Water is brought to you with the time-tested expertise of the Coca-Cola. Backing Kinley Water is the promise of delivering ‘Trust in every Drop’. In Chennai, Kinley Water is produced, bottled and distributed in Chennai city by S. R. Water Company (P) Limited. The Company’s state-of-the-art production and bottling plant is the largest bulk water manufacture plant in South Asia. Chennai's market leader in the drinking water segment, Kinley Water reaches 10, 000 customers through a 40-strong distributor network, backed by a 24 hour Customer Call Centre. 1.4 Future growth of the industry:  The packaged bottled water industry in India is currently valued at INR 60bn (~USD 1billion) in FY 2013 and has been growing at ~15% for the last three years. Value Notes estimates that the industry will be worth approximately INR 160bn (~USD 2.67billion) by FY 2018, growing at CAGR of ~22%. Some of the future plans to maintain the top spot that industry commands in the Indian market are:  New pack sizes in bottles and cups  Increase the distribution network with an investment of over 200 crores  Strengthen presence in traditionally weak areas by setting up 12 new bottling facilities at a cost of Rs. 150 crores 1.5 Technology Developments To make sure that the product that reaches the consumer is always of highest standard and also meets international standards, packaged drinking water industry has always been involved in improving its product packaging. One such recent development is the tamper proof break away seal. Industry also recognizes the need to produce environment friendly products and is working on the PET project. The breakaway seal: Keeping in mind the consumer's need to recognize a genuine product that cannot be tampered with, industry developed the breakaway seal. The unique cap has been patented and cannot be duplicated or tampered with. This technology development in the product ensures that the consumer will only get a highly safe product when they consume packaged drinking water.
  • 10. 10 Product packaging: To ensure purity of the bottled water, the bottles that are used are blown and filled at the factory itself, to avoid contamination. 1.6 Government regulations: BIS Certification Mandatory for Packaged Drinking Water No person is authorized to manufacture, sell or exhibit for sale, packaged drinking water and packaged mineral water except under Bureau of Indian Standards Certification Mark. As per the Quality Control Order issued under Prevention of Food Adulteration (PFA) Rules, 1955, Bureau of Indian Standards has formulated the following Indian Standards which provide quality norms for packaged water: i) IS 14543:2004 Packaged drinking water (other than natural mineral water) (First Revision) ii) IS 13428: 2005 Packaged natural mineral water (Second Revision) There are 18 BIS licensees engaged in production of Packaged Natural Mineral Water, 2354 licensees producing Packaged Drinking Water through Reverse Osmosis, and 633 licensees bottling Packaged Drinking Water drawing water from natural resources. Implementation of the PFA Act and Rules framed under the Act is the responsibility of State Governments and Union Territory Administrations. BIS also undertakes periodic surveillance inspection and testing of samples from the market for maintaining the quality of the products of its licensees as per the prescribed Indian Standards.
  • 11. 11 1.7 (PORTER’S FIVE FORCE MODEL) for packaged drinking water industry Competitors: The Industry Competitors in the bottled water market are Bisleri, Bailey, Aquafina, Kinley, Yes, Ganga, Himalayan, Evian, Perrier and various other local brands. Potential of new entrants: The Potential Entrants are HUL water purifier and various new local brands that come in the market. Shaw Wallace is also in a process to enter the bottled market in the premium segment. Threat of substitutes: The Substitutes in this industry would be soft drinks, aqua guard, tap water and the most economical drink Nimbu pani. The industry estimates that bottled water is the fastest growing beverage segment and is immediately followed by the soft drink/aerated beverages market Power of suppliers: The Supplier’s Power also should be considered while analyzing the industry. When the company’s suppliers are able to raise price or reduce quantity supplied of PET bottles or the labeling material then the supplier power would be high. Power of customers: The Buyer Power should also be considered when the buyer will demand more quality or service, and set competitors against each other, all at the expense of seller’s profitability. This power is prevailing in the industry where there are many brands fighting for their existence or for their share. One of the ways to defend themselves would be to develop superior offer that strong buyers cannot refuse.
  • 13. 13 2.1 Elegant beverages pvt limited: Elegant beverages pvt limited is a private limited company owned by 5 shareholders established in Andhra Pradesh. The company produces nonalcoholic beverages including packaged drinking water and soda. The company has taken a franchise of UB group nonalcoholic products throughout the Andhra pradesh. UB group has given franchise to elegantbeveragesPvtLimited on the non-alcoholic UB beverage products in Andhra Pradesh region. UB Group entered into nonalcoholic beverages recently including packaged drinking water with the name of “signature” and Mc Dowell’s No-1 Soda in Andhra Pradesh state. Elegant beverages pvt limited wanted to tag the price for signature packaged drinking water products and Mc Dowell’s No-1 Soda products. The company also wanted to follow the promotional strategies according to the competitors. McDowell's No.1and SIGNATURE is an Indian brand of spirits manufactured by United Spirits Limited (USL), a subsidiary of the United Breweries Group. It is USL's flagship brand and the largest umbrella spirits brand in the world, comprising three categories - whisky, brandy and rum. The brand also has bottled water and soda. The brand began with the launch of McDowell's No.1 Brandy in 1963-64. The brand's slogan is Mera No.1 The McDowell's No.1 brand began with the launch of McDowell's No.1 Brandy in 1963-64 by McDowell and Company, a company that the United Breweries Group had acquired in 1951. In 1959, owner Vittal Mallya established McDowell and Company's first distillery at Cherthala, Kerala on the banks of the Vembanad Lake. McDowell's began bottling Bisquit Brandy and Doraville French Brandy, from imported concentrates. The company commissioned India's first ever distillation plant to produce extra neutral alcohol (ENA), with French collaboration, at Cherthala in 1961. McDowell's launched its own McDowell's No.1 Brandy in 1963-64, following the termination of the import contract for No.1 Bisquit Brandy. The brand created the template for the many "No. 1" brands that the company would launch later. The company launched McDowell's No.1 whisky in 1968, which went on to become USL's flagship brand. McDowell's No.1 Rum was launched in Celebration (Dark) and Caribbean (White) variants in 1990-91. The company was incorporated in the year 1999 as McDowell Sprits Ltd, and changed its name from McDowell Sprits Ltd to McDowell & Company Ltd on 1 April 2000. The company changed their name again to the current name United Spirits Limited (USL), with effect from 17 October 2006. In 2000, Claessens International, a London-based design consulting firm, to revamp the bottle design and 1packaging of the entire McDowell's No.1 series. The company terminated its existing arrangement with Paul Simmons & Associates. McDowell's No.1 whisky introduced a "guala" cap, restricting the easy
  • 14. 14 flow of the liquor, in February 2002, replacing the earlier metal one. The name on the label was changed from "No. 1 McDowell" to "McDowell No.1". The shape of the bottle was also changed, with "shoulders" being incorporated instead of the previous flat look. The changes were designed by Cleassons. In December 2004, the packaging of the 750ml pack of McDowell's No.1 whisky was changed to a 3 layered combination of MetPET (metalised PET) with a Polyester layer on either sides, which made the pack 100% tamper proof. Once opened the pack cannot be sealed again hence making counterfeiting impossible. Whisky McDowell's No.1 Reserve Whisky was launched in 1968, and is a blend of imported scotch and Indian malt whiskies McDowell's No.1 whisky is sold in several countries apart from India, including Africa, Canada, the Far East, Japan, the Middle East and the United Arab Emirates. McDowell's No.1 Diet Mate, which the company claims is the world's first diet whisky, is a variant of McDowell's No.1 whisky. McDowell's No.1 Diet Mate was launched in 2006. The product is aimed at calorie conscious customers. According to Ashok Capoor, chief operating officer of UB Spirits Division, the whisky contains Garcinia, a herb which has the ability to burn excess fat and control cholesterol levels in the human body. It is sold in pint, nip, quartz, and 750 ml bottles, at a cost 5% higher than McDowell's No.1 whisky. The product was initially launched in Mumbai and Thane in the first phase, but later expanded to other markets. Debashish Shyam, then General Manager (Marketing) of UB Group Spirits Division, stated that "Diet Mate is not a low-calorie whisky but has ingredients that increase metabolism. McDowell's No.1Platinum Whisky, a 100% grain-based blend, developed by the Scottish master blender Richard Paterson was launched in March 2010. It sold over 30 million bottles in its maiden year. Rum McDowell's No.1 Rum was launched in Celebration (Dark) and Caribbean (White) variants in 1990-91. It is sold in 13 countries. USL claims that it is the second largest selling dark rum in the world and the largest selling rum in India, with a domestic market share of 45%. Brandy McDowell's No.1 Brandy was launched in 1963-64,and was the first McDowell's No.1 branded product. The brand created the template for the many "No. 1" brands that the company would launch later. It is the largest selling brandy in the world by volume. It sold 4.6 million cases in 2004, and 13.7 million cases in 2009.
  • 15. 15 Sales McDowell's No.1 is largest selling umbrella spirits brand in the world. It sold over 13.5 million cases in 2003-04, 6.07 million cases in 2005, and 8.65 million cases in 2006. The McDowell's No.1 brand had sales of 27.5 million cases in 2007-08, McDowell's No.1 sold 14.3 million cases of whisky, 13.8 million cases of rum and 11.7 million of brandy in 2010. McDowell's No.1 sold over 31.5 million cases in the 2008-09 fiscal. McDowell's No.1 Celebration Rum sold over 10 million cases becoming the world's third largest rum, while McDowell's No.1 Brandy remained the world's largest-selling brandy with sales of nearly S million cases. McDowell's No.1 also displaced Amul as the largest FMCG brand in terms of retail value. McDowell's No 1 valued at US$ 1595 million features in the world listing of the top 100 distilled spirits brands by retail value. The McDowell's No.1 brand achieved retail sales worth $3.8 billion in 2012-13, selling nearly half a billion 750 ml bottles of its whisky, rum and brandy, making the brand the largest alcoholic beverage franchise in India by volume and value. 2.2 MISSION, VISION, QUALITY STATEMENT MISSION: To be the most admired global leader in the spirits industry by creating unique high-quality brands for consumers, driven by highly motivated employees and supported by best-in-class processes and continued innovations. United Spirits is and will continue to be responsible towards its stakeholders and the society. VISION: We will continually increase the long-term value of our Group for the benefit of our shareholders. We will operate as a decentralized organization and allow each business to develop within our stated values. We will be a major contributor to our National Economy and take full advantage of our strong resource base. QUALITY STATEMENT: We measure key product and package quality attributes by focusing on ingredients and materials, and regulating manufacturing, bottling and distribution, of The Company products to ensure those products meet Company requirements and consumer expectations in the marketplace. As The Company expands our beverage portfolio and supplier base to meet the increasing demands of growing and developing markets around the country, customer and consumer expectations and regulatory scrutiny continue to rise. The global nature of our business requires that the production
  • 16. 16 system has the highest standards and processes to ensure consistent quality -- from our concentrate production to our bottling and product delivery. To ensure such consistency and reliability, UB enables the a system to address the changing business landscape while supporting our Company's strategic growth plans by creating an integrated quality management program which holds all of our operations, system wide, to the same standards for production and distribution of our beverages. 2.3 Products and services offeredby UB  Fertilizer  Engineering  Aviation ( Kingfisher Airlines)  Formula 1 - Force India  IPL cricket team - Royal Challengers Bangalore  Alcoholic beverages Nonalcoholic beverages:  Signature packaged drinking water  Mc dowels No-1 packaged drinking water& soda
  • 17. 17 2.4 Marketing Strategy It is complete and an unbeatable plan designed specifically for attaining the marketing objective of a firm. The marketing objective indicate what the firm want to achieve. The marketing strategy provides the design for achieving them. Signature packaged drinking water followed the two types of marketing strategies. 1. Price based 2. Differentiation based Price based marketing strategy A business can use a variety of pricing strategies when selling a product or service. The Price can be set to maximize profitability for each unit sold or from the market overall. It can be used to defend an existing market from new entrants, to increase market share within a market or to enter a new market. Businesses may benefit from lowering or raising prices, depending on the needs and behavior of customers and clients in the particular market. Finding the right pricing strategy is an important element in running a successful business The differentiation based strategy Marketing strategy based on differentiation works on the principle that any aspect of the offer and any activity of the firm can be made distinctive comparing with the competitors. Right from technology, plant location to post sale and service a company can perceptibly differentiate. Companies usually choose those functions, which will give them the greatest relative advantage. 2.5 Segmentation, Targeting, Positioning: Segmentation The first step in the process of product promotion is Segmentation. The division of a broad market into small segments comprising of individuals who think on the same lines and show inclination towards similar products and brands is called Market Segmentation. Market Segmentation refers to the process of creation of small groups (segments) within a large market to bring together consumers who have similar requirements, needs and interests. The individuals in a particular segment respond to similar market fluctuations and require identical products. In simpler words market segmentation can also be called as Grouping.
  • 18. 18 Here we segmented the retail market based on the area (Andhra Pradesh) which is called as geo graphical segmentation. .Targeting Once the marketer creates different segments within the market, he then devises various marketing strategies and promotional schemes according to the tastes of the individuals of particular segment. This process is called targeting. Once market segments are created, organization then targets them. Targeting is the second stage and is done once the markets have been segmented. Organizations with the help of various marketing plans and schemes target their products amongst the various segments. Here we target the key retail outlets bars and educational institutions, software organization and households to expand the market for new product. Positioning Positioning is the last stage in the Segmentation Targeting Positioning Cycle. Once the organization decides on its target market, it strives hard to create an image of its product in the minds of the consumers. The marketers create a first impression of the product in the minds of consumers through positioning. Positioning helps organizations to create a perception of the products in the minds of target audience. We wanted to create a brand value for the product by providing superior quality and the fastest service to the customers, so that customers can be loyal to our products. Competitors  Kinley  Bisleri  Aquafina  Bailey
  • 19. 19 2.6 Technology:Taiwan world class technology for purification process and packaging Process: Signature 7 Steps to Perfection By the time that signature pure drinking water reaches you, it has taken a long journey of quality from its pristine source, through stringent quality tests to its polycarbonate can. Here is a brief account the signature Water’s fascinating journey to your water dispenser. It all begins with the Source. Kinley Water is tapped from a ground water source far from any urban, industrial, or residential zone. This ensures that the water retains its pristine quality at the source itself. The ‘Raw Water’, as it is known, is periodically analyzed to ensure its essential quality. The Water Treatment Process for signature goes through the following processes: Process1 Multiple Barrier Treatment As a first step, the water is then sent to a ‘Raw Water Tank’, where it is chlorinated-to remove any bacteria. It then goes to a coagulation tank where it is dosed with mild chemicals to remove its finer particulate matter. When the matter settles down, it is then piped into a specially tiled chamber called the ‘Clear Water Tank’. After which it is subjected to a ‘Pressure Sand Filter’ that removes its larger particulate matter. Two sophisticated ‘Carbon Filters’ are then used to dissolve organic contaminants and chlorine that was used at the Raw Water Stage.
  • 20. 20 Process 2 » Reverse Osmosis (RO) Osmosis is the method by which plants and trees take salts from the soil to the leaves. Reverse osmosis, as the term suggests, removes dissolved salts from water. This is accomplished through pre-filters, a high-pressure pump, imported membranes (that filter particles as small as 0.001 microns) and high-pressure housings backed by sophisticated instrumentation. Process 3 » Mineral Injection System (MIS) The water is now ultra-pure. Our imported Mineral Injection System now injects a pre-determined quantity of salts of the highest quality. Micron Filters are then used in the ‘Fine Filtration’ Stage to achieve standards of 1 micron and 0.22 micron filtration levels. Process 4 » Fine Filtration process The signature Water process gets even more sophisticated at this stage. Micron Filters are used in the ‘Fine Filtration’ Stage to achieve standards of 1 micron and 0.22 micron filtration levels.
  • 21. 21 Process 5 » The Ozonation Process The next process Ozonation is equally potent. Ozone is an enhanced form of oxygen that is a very strong disinfecting agent. Ozone is used to keep the water bacteria free till the bottle is capped and sealed. Process 6 » The Filling Process The concluding step is the Filling Process. Here, a Rs. 1.50 crore machine performs the filling and capping process under totally hygienic conditions. An eight stage washing cycle that the bottles returned by the customers go through, is one leading feature of this process. Process 7 » Date Coding & Cleaning in Place processes The product journey of quality does not end here. Before prompt delivery, every Kinley bottle is ‘date coded’ to ensure that it can be traced in the unlikely event of a complaint. An automatic date coding machine stamps the date, exact time of manufacture and other related details on each bottle.
  • 22. 22 2.7 Human Resource Employees are your Company’s most valuable asset. Therefore lot of initiatives are undertaken to promote wellbeing of the employees. 77% of employees surveyed through a global third-party, refer to UBL as a great workplace. UBL is higher in its employees’ perception map vis-à-vis employees in India’s top 50 organizations, on Responsibility, Empowerment and Management Competency that its employees feel it has as an organizational practice and inherent capability. In a complex industrial relations environment, your Company’s Long Term Settlement processes have speciic focus on alignment and engagement with its associates and have been exemplary on the industrial harmony aspects, with zero incidents. Talent Acquisition Recruitment practices are controlled and monitored in your Company from 3 aspects – 1. A rigorous methodology of acquiring talent against mandatory Job descriptions and approved indents, multilevel interviews with zero conflict of interest, through an automated cloud based recruitment application, with internal business partnered Service Level Agreements related to cost of hire, time to ill and quality of hire.
  • 23. 23 2. A multi-pronged approach to organic and inorganic capability building by bringing in a select mix of external subject matter experts and fresher’s in order to infuse continuous best practices, out of box thinking and application. 3. Professional equation with our suppliers and vendors on the talent space. Talent Induction and Development Your Company has 19 owned units across the country, a diversity and dispersion of population and employee demographics that relects the microcosm of the Indian Talent Pool at its best. It has therefore been very important for your Company to be able to maintain standardization and formalization to be able to bring in unity amongst diversity and have the one UBL picture. Your Company remains an equal opportunities employer and multiple of our units have differently-abled people and other diversity populations well incorporated and assimilated. Your Company does not engage child labor, forced labor or any form of involuntary labor, paid or unpaid. 2.8 Operations of Mc Dowell’s No-1&Signature non-alcoholic beverages: The UB bottled water range comprises the conventional 500 ml, one litre, 1.2 litre and two litre bottles; five litre and 20 litre jars for the home segment, and smaller packs sizes of 250 ml cups and 330 ml bottles, though in very limited numbers for now. Among all pack sizes the brand straddles, it is the one- litre non-returnable bottles priced at Rs 10 each, and the 20-litre jars for Rs 40 aimed at the home segment that are bestsellers at present. While the 20-litre jar comprises about 40 per cent of overall Bisleri sales, the one-litre bottles account for approximately 25 per cent brand sales. The main source of water is bore wells from where they get thee water. Then the raw materials required for the bottle is PET i.e. poly ethylene terephatalable. There are 250 workers working in Mumbai and 3000 all over India. The production process adopted by signature is batch production. The time taken to fill one bottle is approximately 5 minutes. The workers work in 3 shifts which comprises of 60-70 workers per shift. The maintenance of the machines is done every month and every 45 days there is sanitation and cleaning of the machine.
  • 24. 24 2.9A Finance: Balance sheet of the company
  • 25. 25 2.9B Organizational hierarchy Founder of the UB Group (Late) Vittal Mallya The youngest of three children, Vittal Mallya was born in Dhaka, now in Bangladesh, on February 8, 1924. He was born in an army family to Mrs. Devi Mallya and Lt. Col. Bantwal Ganapathi Mallya (a Medical Doctor with an FRCS degree). Vittal Mallya grew up to be a smart young man to graduate at a very young age. He received several double promotions during his academic career for outstanding performance and this demonstrated his exceptional caliber and sharp intellect. Following graduation, young Vittal Mallya travelled the world for two years, during which period he visited Latin American countries very extensively and even learnt to speak Spanish. Vittal Mallya saw an opportunity in 1946-47 and started acquiring the shares of United Breweries Limited, of which he became the Chairman. His foresight and business acumen led to the aggressive expansion of the United Breweries Group. Meanwhile, the acquisition of control over McDowell & Company Limited marked the Group’s entry into the Wines and Spirits business. The Group took a further stride with the acquisition of Kissan Products Limited in 1950-60 Chairman of UB group Vijay mallya The global scenario, too, does not offer any cause for optimism. The Western world struggles with its own stark prospects. The great economic experiment of the twentieth century, i.e. the monetary and economic union of Europe, is under threat of a breakup on account of intense internal stresses. The US economy has been awash in liquidity through aggressive Central Bank intervention, but the grass roots of the US economy is still to show signs of sustainable resurgence. The imminent Presidential elections in that country make bi-partisan leadership a distant dream. The Asian economies too are seeing signs of a gradual slowing of growth, largely reflecting woes of the US and Europe which is the major market for China and several other "Asian Tiger" economies. As I had stated in my speech last year, it has been my belief that we stood at the start of a potential "Indian Century" with scope to build on our own demographic led strengths. A year later, one has to
  • 26. 26 consider whether this opportunity has been squandered. I am an eternal optimist and have particular confidence in the future of India which is reflected in the continuous commitment of myself and the UB Group to the nation's future. The UB Group is one of India’s largest conglomerates with annual sales of over US$ 4 billion and a market capitalization of approximately US$ 12 billion. The Group has diverse interests in brewing, distilling, real estate, engineering, fertilizers, biotechnology, information technology and aviation. It is also the largest Indian manufacturer of beverage alcohol (beer and spirits). Dr. Vijay Mallya is the Chairman of the Group. Vice chairmen As a Chartered Accountant, Mr. Subhash R Gupte had diverse assignments in sectors like finance, administration and personnel with oil major Caltex and airline major Air India, both in India and abroad for more than four decades. Before joining the UB Group, Mr. Gupte was an acting Chairman and Managing Director of Air India and also Deputy Managing Director during his tenure with Air India and Chairman of Hotel Corporation of India. He has been a Director on the Boards of both Public Sector and Public Limited Companies in India and abroad. Managing director Mr. Ashok Capoor is the President and Managing Director of United Spirits Limited, the world's largest Alco bev company by volume and the USD 2 billion spirits arm of the UB Group.Mr. Capoor has over 35 years of experience across companies and various functions with major specialization and experience in sales & marketing. He has led several brands to their global iconic status despite operating in highly regulated business. Mr. Capoor started his career with the National Tobacco Company in 1976. He then took up an assignment with Godfrey Phillips India Ltd. as Branch Manager in 1978. He rose to the position of Regional Manager – Sales, Northern Region in April 1982 and then to the position of Marketing Manager in 1988. He later joined the erstwhile Herbertsons Limited as Divisional Vice President in
  • 27. 27 1992, looking after PAN India Sales and Marketing operations. He later took over as Chief Operating Officer (West) in United Spirits Ltd. (USL) in June 2001. During his tenure, USL took giant strides in the Western region and gained significant market share across brands, setting a performance benchmark for other regional profit centers within the USL fold. President breweries division A marketing and management alumni of Harvard Business School, Mr. Kalyan Ganguly started his career with Reckitt & Coleman India Limited. In 1979 he joined the Spirits Division of the UB group and handled various assignments in Sales and Marketing in the Spirits Division where he was associated with the new brand introductions of the Group which eventually became successful millionaire brands of the Spirits Division. In 1995, in recognition of his performance, he was asked to assume the position of the CEO of the Breweries Division and later took over as the president of the United Breweries Limited on the de-merger as an independent Company. At the Breweries Division, he has been instrumental in the stupendous success of the Kingfisher brand, arguably the fastest growing beer brand – in both soft and strong categories in India. Kingfisher strong became the fastest growing and largest selling brand in India today.
  • 28. 28 2.9C SWOT analysis Strengths 1. Strong customer and brand loyalty due to innovative packaging 2. Unique packaging that customer could recall 3. Legacy and heritage associated with brand. 4. Innovation and to promote a shared understanding of what responsible drinking means 5. Strong distribution network owing to parent company Weakness 1. Strong competition from international premium beverages means limited market share 2. Less innovation in the recent years which was at peak during its launch with the innovative bottling design Opportunity 1. Increased consumption of scotch on special occasion 2. Spending power for such premium products amongst the consumer is increasing 3. Any deregulation in the excise policies with reference to taxation and duty on beer which could drastically push up the demand for whisky Threats 1. Comparatively low prices of some competitors 2. High Taxes & Regulations 3. Large no. of players in the same segment under the same family leading to cannibalization
  • 29. 29 Competitors Alcoholic segment competitors Nonalcoholic segment competitors: 1. Blenders Pride 1. Bisleri 2. Budweiser magnum 2. Kinley 3. Haig 3. Aquafina
  • 31. 31 3.1 Roles and Responsibilities  Role as a Market researcher on packaged drinking water for product pricing, placement and promotion for startup product according to the competitors in Andhra pradesh.  Promoted the signature and Mc Dowell’s No-1 nonalcoholic products in Andhra pradesh major retail outlets.  Monitored the product in time delivery process& created the lead generation &cold calling 3.2 Description of tasks handled  LEAD GENERATION Lead generation is the process of creating sales leads which might convert into sale for the company. While my internship in signature and Mc dowels No-1 packaged drinking water, lead generation was one of the major function done by me. The lead generation site assigned to me during my internship were the deluxe & 3 star and five star hotels, bars, bus travels and major retail outlets in Andhra Pradesh. Our targeted customers were the people who are maintaining the bars, retail outlets, travel agency managers etc. Every day I was able to get at least 4 leads, the closing of the deal was done by the BDE’s. Lead generations give a lot of business to the Vijayawada branch.  SALES PROMOTIONS Sales promotion is one of the seven aspects of the promotional mix. (The other six parts of the promotional mix are advertising, personal selling, direct marketing, publicity/public relations, corporate image and exhibitions.) Media and non-media marketing communication are employed for a pre-determined, limited time to increase consumer demand, stimulate market demand or improve product availability. Examples include contests, coupons, freebies, and loss leaders, point of purchase displays, premiums, prizes, product samples, and rebates During my internship they gave an excellent opportunity to participate in the sales promotions. I was guided under one of the Sr. BDE of the company, Mr. Vaane Prasad I have done two types of sales promotion
  • 32. 32 1) customer oriented sales promotion Free samples. It was a two days promotions held on 14th May & 15th May in the premises of Jawaharlal pundit Nehru bus station Vijayawada. We gave free samples of 250ml packaged drinking water to KSRTC and APSRTC passengers to create the awareness about the product Coupons: We promoted coupons system to attract the households and hotels for 20 liter segment. That means if any of the person buys 5 coupons then he/she will get 1 etc. coupon Trade oriented sales promotion:  Basically 1 case of packaging contains 12 bottles, we offered 3 etc. bottles to retailors for the same 1 case price.  We Offered fridges in the main retail outlets to gain the market share.  We displayed a flex and hoardings of our products in the major retail outlets in Andhra Pradesh to create awareness among the product PERSONAL SELLING Delivery of a specially designed message to a prospect by a seller, usually in the form of face-to-face communication, personal correspondence, or a personal telephone conversation. Two other forms of personal selling that are not used with high-end products are door-to-door selling and home demonstration parties. These two personal selling methods are primarily used for personal care products, cosmetics, cookware, encyclopedias, books, toys, food, and other items of special interest to homemakers. Ideally, personal selling should be supported by advertising to strengthen its impact. As an intern I noticed, sometimes lead generation brought us in the notice of people who needed packaged drinking water for the weddings and functions and soda for some bars immediately in such situations I could able to handle the sale by the advice of our branch manager.
  • 33. 33 COLD CALLING The cold calling process in one of the way of doing good business in my organization. I was given training before starting up with cold calling by Mr. Bhaskar (A.S.M). I was taught what to speak, how to speak, and how to close the deal, and how to react when someone abuses or hang up. Before starting up with the calling process I was asked to gather up some data from the net. I went to the website of big corporates and noted their mail id’s and phone number, also a huge data was provided by Mr.bhaskar. Every day after lunch from 2 pm to 5 pm I used that data to make calls and explain about products to the people. People who showed interest gave us appointment to meet them face to face for a meeting. PRODUCT DELIVERY Sometimes when all the B.D.E’s were already out for some meeting or other important work, I was asked to monitor the delivery vehicles to reduce the lead time. On the first week of my joining, I was given a brief introduction about the company and extensive training about the various products of signature and Mc Dowell’s No-1. All the activities and roles performed by me in internship was done under the guidance of our Senior Manager Mr.vanee Prasad and our trainer Mr. bhaskar. The training induced by Mr. Arvind Kumar was about product knowledge, the key learnings were: Learning about the Mc Dowells No-1 and signature brand positioning  The offers for major retailor outlets  The value added services provided.  Learning about the major competitors in India, and their strengths and weaknesses. I used to visit main retail outlets early in the morning for lead generation. Later in the afternoon I had to report to my Branch Head Mr. Prem Kumar. After lunch I had to do calling to various company’s travel desk, make them aware of the product and fix a meeting with the concerned person of the company with our BDEs. The training for Cold Calling and Sales Promotions were given by Mr.Vanee Prasad. The key learnings were:  The way to approach any customer  Before approaching, to observe the customer and understand his/her character traits( for only sales promotions)  The way to frame mails before group sending to potential customers
  • 34. 34 3.3LEARNING EXPERIENCE Elegant beverages ltd, Vijayawada was the right platform for me to learn and implement my theoretical knowledge and to complete the project assigned to me during my summer internship. These two months were extremely important for me to understand the functions and practices of Marketing research & Sales and with the help of my internship; I understood and confronted that how marketing & sales job are done in a very efficient and effective way. Last but not least it was great experience for me to learn all the thing which I read in the book. 3.4CONTRIBUTION TO THE ORGANIZATION  Did a market research and data analysis of nearly 1000 outlets throughout Andhra Pradesh for their new product pricing according to the competitors.  Identified the key outlets in the Andhra Pradesh to increase profit  After the efficient training, I was able to give a follow up of almost 300 key outlets customers, out of which 80 turned into sales.  Successfully fixed the meetings of company’s BDE with various corporates which brought them good sales.  Contributed on designing the company’s posters for Sales Promotions.  Visit to various Corporates for the meeting and explaining details signature product.  My efforts and contribution helped the company to earn revenue of Rs 50000, and reach their targets to certain extend.
  • 36. 36 4.1 Introduction and back ground: Elegant beverages private limited wanted to conduct a research on Andhra pradesh major retail outlets for their startup product pricing and promotional strategies for the signature and Mc Dowell No-1 nonalcoholic beverages in Andhra pradesh. The research under taken was a Conclusive research is a structured data collection technique that provides detailed, factual information that's useful in decision-making. Under the conclusive research the present research comes under the descriptive research, which describe the current market characteristics. 4.2Reasons for choosing the topic:  MC dowels no-1 and signature are two renowned alcoholic premium brands of UB Group, now they are entering into the non-alcoholic beverages (1ltr packaged drinking water &20ltr jar& soda segment)in the new state of Andhra Pradesh. Since it’s a start up product in the Andhra Pradesh, so company wanted to know about the following  To decide price for the packaged water and soda according to the competitors in the market  To know the Market share of other packaged drinking water (1ltr&2ltr&5ltr&soda) brands in the Andhra Pradesh 4.3How research is going to be beneficial for the organization  To introduce prices for the 1ltr and 2ltr &20 ltr water and 500ml soda according to the current market competitors  To know the market share of different brands in major cities of Andhra Pradesh  To know the availability of different brands in retail outlets  To know the competitor promotional strategies 4.4 Research design: The research design is the basic framework, which provides guidelines for the rest of the research process. The present research can be said to be conclusive research. The research design determines the direction of the study throughout and the procedures to be followed. It determines the data collection method, sampling method, the fieldwork and so on.
  • 37. 37 Conclusive research The survey conducted is a conclusive research as I have collected quantitative data from the retail outlets. Descriptive research: Under the conclusive research, it belongs to the descriptive research category, as the sample size is 1000, which is a large sample. Statement of problem: To enter into the Andhra Pradesh Nonalcoholic beverages market with suitable pricing and promotional strategies 4.5 Research Objectives:  To study the marketing strategies adopted by existing brands of packaged drinking water .  To study the customer satisfaction level on the basis of the service and quality provided by existing brands of packaged drinking.  To understand target customers and the channels of distribution used by the competitors.  To identify the effectiveness of the promotional activities made by the company. 4.6 Data Source: The data would be collected from both primary and secondary sources. Primary data was collected by using questionnaire from the retail outlets owners. Various secondary source of data as magazines, journal, internet etc. would also be explored. SAMPLE SIZE: Sample size : 1000 Sample area : Vijayawada, Guntur, Vizag, Tirupathi Sample Unit : retail outlet owners, bars and restaurants owners Technical tools: Microsoft Excel, MS Word was used as technical tools
  • 38. 38 4.7 Analysis of data: The following is the data analysis report about the count of different brand available outlets in Vijayawada. 4.71 Vijayawada data analysis report 1) Availability of different brands of packaged drinking water and soda segment products in retail outlets in Vijayawada Interpretation From the above bar chart we can conclude that Kinley is available in 325 retail outlets and Aquafina bisleri,lehar,bailey,tata plus,oxyrich,Bio,hi-tech covered with 139,30,19,14,7,2,1,1 retail outlets respectively. Inference: Kinley brand beverages are available in most of the retail outlets in Vijayawada compare to other brands. 325 139 30 7 14 1 1 19 2 DIFFERENT BRAND AVAILABLE OUTLETS IN VIJAYAWADA
  • 39. 39 Market share of packaged drinking water brands in Vijayawada Interpretation: From the above diagram it can be concluded that Kinley occupied 60% market share and Aquafina,bisleri,lehar,bailey,tataplus with the market shares of 26%,6%,4%,3%,1% respectively. Inference: From the diagram we can infer that kinley brand occupies the major market share in the vijayawada. KINLEY 60% AQUAFINA 26% BISLERI 6% TATA PLUS 1% BAILEY 3% LEHAR 4% market share in vijayawada KINLEY AQUAFINA BISLERI TATA PLUS BAILEY BIO
  • 40. 40 2) 2 liter packaged drinking water maximum retail price and average distributor price per bottle in the retail outlets in Vijayawada The 2 liter packaged drinking water average MRP is 30 rupees per bottle in Andhra Pradesh market .the following bar chart shows the average distributor price in Vijayawada retail outlets. Interpretation: From the above bar chart we can conclude that the Kinley 2ltr packaged drinking water distributor price is 23.3 and Aquafina 24.1, bisleri 22.2, bailey 23.4,oxyrich 25 rupees. Inference: The average distributor price of the 2ltr segment of aquafina is high compared to other brands in Vijayawada city. KINLEY AQUAFINA BISLERI BAILEY OXYRICH 23.3 24.1 22.2 23.4 25 AVG PRICE OF 2LTR SEGMENT IN VIJAYAWADA
  • 41. 41 3) 1 liter packaged drinking water maximum retail price and distributor price per bottle in the Vijayawada retail outlets The 1 ltr packaged drinking water average MRP is 20 rupees per bottle in Andhra Pradesh market .the following bar chart shows the average distributor price in Vijayawada retail outlets Interpretation: From the above bar chart we can understand that the average 1litre price of oxyrich is 16 rupees and Aquafina,Kinley,tata plus,bisleri,hi-tech,bailey with distributor price as 14.99,14.7,13.66,13.6,12,11.05 rupees respectively. Inference: From the above bar chart we can conclude that the average price of ltr segment of oxyrich is high i.e 16 rupees compared to other brands. KINLEY AQUAFINA TATA PLUS HI-TECH BISLERI BAILEY OXYRICH 14.7 14.99 13.66 12 13.6 11.05 16 AVG PRICE OF 1LTR SEGMENT IN VIJAYAWADA
  • 42. 42 4) 300 ML SODA maximum retail price and distributor price per bottle in the Vijayawada retail outlets Interpretation: From the figure we can understand that the average price of Kinley 300ml soda is 15.6 rupees and other products such as Aquafina and Lehar with 13.07 and 8.541 respectively. Inference: The average distributor price of kinley 300ml soda is higher than the aquafina and lehar brands in Vijayawada. 5) 500ML/600ML SODA maximum retail price and distributor price per bottle in the Vijayawada retail outlets KINLEY AQUAFINA LEHAR 15.6 13.07 8.541 AVG PRICE OF 300ML SODA SEGMENTIN VIJAYAWADA KINLEY AQUAFINA LEHAR 16.459 14.47 13.79 AVG PRICE OF 600ML SODA SEGMENT IN VIJAYAWADA
  • 43. 43 Interpretation: From the above bar chart we can understand that the average price of Kinley 600ml soda is 16.459 and aquafina,lehar with the average distributor price of 14.47 and 13.79 respectively. Inference: The average distributor price for 600ml soda segment is high for kinley brand compare to other brand products in Vijayawada. 6) Cooling aid provided for the retail outlet by existing brands in Vijayawada Interpretation: From the above pie chart we can understand that 87%of the retail outlets in Vijayawada are getting the cooling aid from the respective existing brands and 13%of the outlets not getting the cooling aid. Inference: Most of the retail outlets in Vijayawada are getting the cooling aid from the respective brands to sell the beverages. NO OF COOLING AID PROVIDED OUTLETS 87% NO OF COOLING AID NOT PROVIDED OUTLETS 13% %OF COOLING AID PROVIDED OUTLETS VS COOLING AID NOT PROVIDED
  • 44. 44 7) Monopoly contract executed by the following brand in the retail outlet Interpretation: From the above pie chart in the monopoly segment 87%of the retail outlets are executed by Coca-Cola and 13% is executed by Pepsi Inference: Most of the monopoly executed retail outlets in Vijayawada are operated by Coca-Cola company. 87% 13% MONOPOLY CONTRACTS EXECUTED OUTLETS NO OF COCA-COLA MONOPOLY EXECUTED OUTLETS NO OF PEPSI MONOPOLY EXECUTED OUTLETS
  • 45. 45 8) Willingness of the retail outlet owner to accept the new product of non-alcoholic beverage in their outlet Interpretation: From the above pie-chart we can understand that 67%of the retail outlet owners are willing to accept the signature packaged drinking water and 33% are not willing to accept the new product. Inference: The signature product can enter the Vijayawada market easily as most of the retail outlet owners are willing to accept the new product. 67% 33% acceptance of a new product in vijayawada outlets Accepted Not accepted
  • 46. 46 4.72 GUNTUR DATA ANALYSIS REPORT Guntur is the one of the major city in Andhra pradesh and it will become the capital of Andhra pradesh so we want to expand the market in Guntur, due to this we have done a market research in major retail outlets. 1) Availability of different brands of packaged drinking water and soda segment products in retail outlets in Guntur. Interpretation From the above bar chart Kinley is available in 79 outlets and Aquafina 25, bisleri 28, oxyrich 3, bailey 18, Tata plus is available in 2 outlets. Inference: Kinley brand beverages are available in maximum number of outlets in Guntur compare to other brands. NO OF KINLEY AVAILABLE OUTLETS IN GUNTUR NO OF AQUAFINA AVAILABLE OUTLETS IN GUNTUR NO OF BISLERI AVAILABLE OUTLETS IN GUNTUR NO OF OXYRICH AVAILABLE OUTLETS IN GUNTUR NO OF BAILEY AVAILABLE OUTLETS IN GUNTUR NO OF TATA PLUS AVAILABLE OUTLETS IN GUNTUR 79 25 28 3 18 2 NO OF DIFFERENT BRAND AVAILABLE OUTLETS IN GUNTUR
  • 47. 47 Market share in Guntur: Interpretation: The above pie chart shows the market share of different brands in Guntur key outlets. As per the chart Kinley occupies the 55% market share, followed by Aquafina 24%, bisleri 14%, bailey 7% respectively. Inference: From the diagram we can infer that kinley capture the major market share followed by aquafina in Guntur market segment. kINLEY 55% AQUAFINA 24% BISLERI 14% BAILEY 7% %OF DIFFERENT BRANDS MARKET SHARE IN GUNTUR
  • 48. 48 2) 2 liter packaged drinking water maximum retail price and distributor price per bottle in the retail outlets in Guntur The 2 ltr packaged drinking water average MRP is 30 rupees per bottle in Andhra Pradesh market Interpretation: From the above diagram we can conclude that the average distibutor price of the 2ltr bottle of Kinley is 24 followed by Aquafina, bisleri, bailey with 22, 20.9,19 respectively. Inference: Kinley brand is the premium brand in the Guntur segment as the average price of 2 ltr kinley is high compare to other brands. 3) 1 liter packaged drinking water maximum retail price and distributor price per bottle in the Guntur retail outlets Interpretation: From the above diagram we can conclude that the average distibutor price of the 1ltr bottle of Kinley is 15.44 followed by Aquafina, bisleri, bailey, Tata plus, oxyrich with 17.599, 12.31,9,13,13 respectively. Inference: The average distributor price of 1 ltr aquafina is high compare to other brands in Guntur segment. KINLEY AQUAFINA BISLRI BAILEY 24 22 20.9 19 AVG PRICE OF 2LTR BOTTLE SEGMENT IN GUNTUR KINLEY AQUAFINA BISLERI BAILEY TATA PLUS OXYRICH 15.44 17.599 12.31 9 13 13 AVG PRICE OF 1LTR BOTTLE SEGMENT IN GUNTUR
  • 49. 49 4) 300 MLSODA maximum retail price and distributor price per bottle in the Guntur retail outlets Interpretation: From the above diagram we can understand that the average distibutor price of the 300ml Soda bottle of Kinley is 15.3 followed by Aquafina,lehar with 13.60,8.64 respectively. Inference: From the bar chart we can infer that the average distributor price of kinley is higher than the other products. 5) 500ML/600ML SODA maximum retail price and distributor price per bottle in the Vijayawada retail outlets Interpretation: From the above diagram we can conclude that the average distibutor price of the 600ml Soda bottle of Kinley is 16.459 followed by Aquafina,lehar with 14.47,13.79 respectively. Inference: Kinley average distributor price is higher than the other brands in 600ml soda segment in Guntur. KINLEY AQUAFINA LEHAR 15.3 13.60 8.64 AVG PRICE OF 300ML SODA SEGMENTIN GUNTUR KINLEY AQUAFINA LEHAR 16.459 14.47 13.79 AVG PRICE OF 600ML SODA SEGMENTIN GUNTUR
  • 50. 50 6) Cooling aid provided for the retail outlet by existing brands in Guntur Interpretation: From the above pie chart we can understand that 79%of the retail outlets in Guntur are getting the cooling aid from the respective existing brands and 13%of the outlets not getting the cooling aid. Inference: Most of the retail outlets are getting the cooling aid from the respective brands in Guntur segment. NO OF COOLING AID PROVIDED OUTLETS 79% NO OF COOLING AID NOT PROVIDED OUTLETS 21% %OF COOLING AID PROVIDED OUTLETS VS COOLING AID NOT PROVIDED
  • 51. 51 7) Monopoly contract executed by the following brand in the retail outlets in Guntur Interpretation: From The following chart shows the %of monopoly outlets executed by Coca-Cola and Pepsi in Guntur. Here 67% of the retail outlets lead by Coca-Cola and 33% of the outlets lead by Pepsi. Inference: In the monopoly outlet segment, most of the retail outlets are operated by Coca-Cola followed by Pepsi in Guntur. COUNT OF MONOPOLY OULETS EXECUTED BY COCA-COLA 67% COUNT OF MONOPOLY OULETS EXECUTED BY PEPSI 33% %OF MONOPOLY OUTLETS IN GUNTUR
  • 52. 52 8) Willingness of the retail outlet owner to accept the new product of non-alcoholic beverage in their outlet Interpretation: From the above pie-chart we can understand that 85%of the retail outlet owners are willing to accept the signature packaged drinking water and 15% are not willing to accept the new product in Guntur. Inference: The signature product can enter the Guntur market easily as most of the retail outlet owners are willing to accept the new product. COUNT OF OUTLETS WILLING TO ACCEPT THE NEW PRODUCT 85% COUNT OF OUTLETS NOT WILLING TO ACCEPT THE NEW PRODUCT 15% %OF OUTLET OWNERS WILLING TO ACCEPTNEW PRODUCT AND NOT
  • 53. 53 4.73 TIRUPATHI DATA ANALYSIS REPORT The following is the data analysis report of the tirupathi market segment. 1) Availability of different brands of packaged drinking water and soda segment products in retail outlets Interpretation: From the above bar chart we can conclude that kinley brand is available in(202) outlets in tirupathi followed by bio-aqua,aquafina,bisleri,kingfisher,star-aqua,bailey,bliss,nature-aqua with 56,53,45,19,14,9,9 respectively Inference: We can conclude that kinley brand is available in the most of the retail outlets in tirupathi followed by aquafina. 202 56 53 15 19 45 14 5 9 7 9 4 2 NO OF DIFFERENT BRAND AVAILABLE OUTLETS
  • 54. 54 Market share in tirupathi by different brands Interpretation: From the above pie chart it shows the market share of different brands in Guntur key outlets. As per the chart Kinley market share is 49%, followed by Aquafina 13%,bio-aqua 12%,bisleri 10% ,king fisher 4%,bailey 3%,star-aqua 3%,nature aqua 2%,tata plus 2%,tasty 1%,osr 1% respectively. Inference: The major market share in tirupathi was occupied by kinley with 49% followed by aquafina with 14% as these products are marketed by premium brands such as Coca-Cola and Pepsi. KINLEY 49% AQUAFINA 14% BIO-AQUA 13% STAR-AQUA 4% KING FISHER 4% BISLERI 11% BAILEY 3% TATA PLUS 2%
  • 55. 55 2)2 liter packaged drinking water maximum retail price and distributor price per bottle in the Tirupathi retail outlets by different brands Interpretation: From the above diagram we can conclude that the average distibutor price of the 2ltr bottle of Kinley is 24.5 followed by Aquafina, bisleri, bailey,star-aqua,bio-aqua,nature-aqua,tata plus,bliss with 24.4, 22.6,22.388,15.677,15.06,14.9,13.8,13 respectively. Inference: The average price of the kinley 2ltr bottle is slightly higher than the other brands in tirupathi. 24.5 24.4 15.06 15.677 22.6 13.8 14.9 13 22.388 AVG PRICE OF 2LTR SEGMENT IN TIRUPATHI
  • 56. 56 3)1 liter packaged drinking water maximum retail price and distributor price per bottle in the Tirupathi retail outlets by different brands Interpretation: From the above bar chart we can understand that the average 1litre price of tata plus in tirupathi is 17.7rupees followed by Kinley, bailey, bisleri, nature-aqua, star-aqua, bio-aqua, bliss with 17.44, 16.21, 14.6, 9.77, 9.01, 8.889, 8.19 rupees respectively Inference: From the above we can infer that the average 1ltr price of the tata-plus is high i.e. 17.7 rupees compared to other brands in tirupathi retail outlets. 17.44 8.889 9.01 14.6 17.7 9.77 8.19 16.21 AVG PRICE OF 1LTR SEGMENT IN TIRUPATHI
  • 57. 57 4) 300 ML SODA maximum retail price and distributor price per bottle in the tirupathi retail outlets Interpretation: From the above diagram we can understand that the average distibutor price of the 300ml Soda bottle of Kinley is 13.7 and Aquafina with 9.125 rupees. Inference: From the above diagram we can infer that average distributor price of 300 ml soda of kinley is higher than the aquafina product. KINLEY AQUAFINA 13.7 9.125 AVG PRICE OF 300ML SODA SEGMENTIN TIRUPATHI
  • 58. 58 5)300 ML SODA maximum retail price and distributor price per bottle in the tirupathi retail outlets Interpretation: From the above bar chart we can conclude that the average price of Kinley 600ml soda is 16.18 followed by Aquafina with 13.6 respectively. Inference: The average distributor price of 600ml soda segment is slighter higher on kinley products compare to other brands KINLEY AQUAFINA 16.18 13.6 AVG PRICE OF 600ML SODA SEGMENTIN TIRUPATHI
  • 59. 59 6) Cooling aid provided for the retail outlet by existing brands in tirupathi Interpretation: From the above pie chart we can understand that 88%of the retail outlets in tirupathi are getting the cooling aid from the respective existing brands and 12%of the outlets not getting the cooling aid. Inference: Most of the retail outlets in tirupathi are getting cooling aid from the respective brands such as Coca- Cola and Pepsi. 88% 12% COOLING AID PROVIDED VS NOT PROVIDED COOLING AID PROVIDED COOLING AID NOT PROVIDED
  • 60. 60 7) Monopoly contract executed by the following brand in the retail outlets in tirupathi Interpretation: From the above pie chart in the monopoly segment 87%of the retail outlets are executed by Coca-Cola and 13% is executed by Pepsi. Inference: Most of the monopoly executed retail outlets in Tirupathi are operated by Coca-Cola Company. 87% 13% MONOPOLY CONTRACTS EXECUTED OUTLETS NO OF COCA- COLA MONOPOLY EXECUTED OUTLETS NO OF PEPSI MONOPOLY EXECUTED OUTLETS
  • 61. 61 8) Willingness of the retail outlet owner to accept the new product of nonalcoholic beverage in their outlet Interpretation: From the above pie-chart we can understand that 99%of the retail outlet owners are willing to accept the signature packaged drinking water and 1% are not willing to accept the new product. Inference: Inference: The signature product can enter the Tirupathi market easily as most of the retail outlet owners are willing to accept the new product. 99% 1% ACCEPTANCE% OF A NEW PRODUCT AND NOT NO OF OUTLETS WILLING TO ACCEPT NEW PRODUCT NO OF OUTLETS NOT WILLING TO ACCEPT NEW PRODUCT
  • 62. 62 4.8 FINDINGS, OBSERVATION AND CONCLUSION FINDINGS AND OBSERVATION Findings are the broader aspects of the analysis. The findings from the data collected and analysis made is that  From the analysis it was found that major market share is occupied by Kinley followed by Aquafina, bisleri in Andhra Pradesh.  It was found that some of the retail outlets has been leading by monopolistic policies executed by Coca-Cola (Kinley),Pepsi (Aquafina),That means no other brands are allowed to sell in that particular outlets.  It was found that the trade oriented promotional strategies(giving extra bottles to retailers) taken by Kinley and Aquafina are very less as these are premium brands in Andhra Pradesh, so that margin for retailers are very low.  It was found that Tirupathi is not a good location to market the Mc Dowell’s No-1 Soda as the prices of existing soda brands are selling their products with lower price.  From the analysis it is found that Kinley has the highest average price followed by Aquafina and bisleri.  the observations made with direct interaction with retailers and households and bar owners  From the observation it was found that sales executive were doing a great job but still they were lacking the talent of convincing the customers fully.  From the observation it was noticed that the households were unhappy with the billing process of existing 20ltr tins segment by existing brands  Customers were not happy with the delivery made by existing brands in packaged drinking water.  From the data analysis report we can observe that the average prices and the availability of the 300ml &600ml soda are very low in tirupathi, as it is a one of the spiritual city in India and there are some regulations on selling the alcohol beverages as a result the soda sales and prices are
  • 63. 63 very low.  .One of the main observation is some of the households and restaurant owners not willing to accept the “SIGNATURE” for drinking water because it is renowned brand in alcoholic beverages. People are perceiving badly as it is an alcoholic water bottle brand.  From the observation I noticed that there was good market for signature packaged drinking water and Mc dowels No-1 Soda in the bar& restaurants.  Most of the households in Andhra Pradesh donot know the difference between the purified water and mineral water. So its better to create the awareness about the added minerals advantages, thus they can attract the new customers by explaining the purificat ion technology advantages Recommendations and suggestions:  The company has to expand the market in Vijayawada and Guntur as these are going to be twin-capital of Andhra pradesh.  It’s very difficult to enter in the tirupathi market where the sales and average price of the product is very less compared to other cities.  Most of the retail outlets in the Andhra pradesh operated as a monopoly by the Coca-Cola and Pepsi so it’s difficult to expand the market for new product.  The company has to give electricity charges and fridges to expand the market in Andhra pradesh like kinley, aquafina.
  • 64. 64 Conclusion  As per the research the signature concluded the price of 1ltr bottle distribution price is 14 rupees and 2ltr bottle is 22 rupees  The Mc Dowells No-1 decided the market price for 600ml SODA segment as 16 rupees per unit 300ML Soda price as 10 rupees per unit based on the research  Company also adopted the several promotional strategies according the competitors Those are  Giving 1 case free per 4 cases to the retail outlets on signature 1tr packaged drinking water  Assigning free sign boards to the retail outlets for brand promotion  Giving the electricity charges and fridges for key retail outlets if they selling signature product  The company don’t want to enter in tirupathi in the soda segment as they came to know about the sales and average prices of the soda in tirupathi are very low according to the research report.
  • 65. 65 Bibliography  Eiri board -Technology of Water and Packaged Drinking Water -2nd edition- Hachette Livre-2012  Philip Kotler-Marketing management-14th edition- Pearsonpublications-2011  www.usl.in  www.scribd.com  www.ub.com  www.bis.org.in
  • 66. 66 ANNEXURE Study on pricing and promotional Strategies of packaged drinking water Elegant beverages Pvt. Ltd. Questionnaire
  • 67. 67
  • 68. 68 Questions can be inferred from the following company questionnaire Questionnaire for packaged drinking water Name of the outlet 1) location of the outlet among the following cities o Vijayawada o Guntur o Vizag o Tirupathi o Ongole 3) Availability of different brand of packaged drinking water and soda segment products in retail outlets o Bisleri o Bailey o Kinley o Aquafina o Tata plus o Other: 4) 2 liter packaged drinking water maximum retail price and distributor price per bottle in the retail outlet M.R.P-------D.P 5) 1 liter packaged drinking water maximum retail price and distributor price per bottle in the retail outlet
  • 69. 69 M.R.P--D.P 6) 300 ML SODA maximum retail price and distributor price per bottle in the retail outlet M.R.P---D.P 7) 500ML SODA maximum retail price and distributor price per bottle in the retail outlet M.R.P---D.P 8) Visit of existing brand distributor sales person frequency per week to retail outlets o Once in a week o Twice in a week o Thrice in a week o Daily follow up 9) Cooling aid provided for the retail outlet by existing brands in Vijayawada o Provided o Not Provided 10) Monopoly contract executed by the following brand in the retail outlet o COCA-COLA o PEPSI 11) Willingness of the retail outlet owner to accept the new product of non-alcoholic beverage in their outlet o accepted