Strategic
Management
Parle Agro Pvt. Ltd
By
ANILAL.R.S
MGT 1305007
INSTITUTE OF MANAGEMENT KERALA
Overview – Parle Agro Pvt. Ltd.
• Food, Beverages Fast Moving Consumer Goods (FMCG)
• Started in India in 1929. A Rs.5,000 cr. family owned business house.
• Enjoys 40% market share of the total biscuit market in India.
• Owns Parle-G, which is largest selling biscuit in the world with 70%
market share in the glucose biscuit category in India.
• Has 12 manufacturing units for biscuits and 75 manufacturing units for
confectioneries.
• Parle group has a manpower strength of over 2500 employees,
including over 400 professionals.
Core Value, CSR, Vision, Mission…
• Marketing philosophy that reflects the needs of the Indian masses
with value-for-money positioning.
• Parle Saraswati Vandana, one of its initiatives gives the children an
opportunity to exhibit their creative skills and develop their
personalities.
• Vision: To be the leaders in their business domain.
• Mission: Maintaining high quality, introducing new and innovative
products, reaching every part of India, remaining customer-centric,
constantly upgrading our knowledge and skills.
Powerful Brands & Products…..
Consumer Psyche towards Parle
• Parle is consumed by people of all ages, from the rich to the poor, living
in cities & in villages.
• While some have it for breakfast, for others it is a complete wholesome
meal.
• For some it's the best accompaniment for chai, while for some it's a way
of getting charged whenever they are low on energy.
Market Share…..
85%
40%
22%
14%
Frooti Biscuits Bailley Confectionary
Marketing Strategy
 Rural-urban penetration of Biscuit :
 Urban Market : 75% to 85%
 Rural Market : 50% to 65%
 Per capita consumption of Biscuits :
 INDIA 1.8 kg,
 South East Asian Countries 2.5 kg to 5.5 kg
 USA 7.5 kg
Price Strategy
• Parle - G and Price mix:
• Parle G has adopted the Market Penetration strategy i.e. low price along with
capturing of a large market
• Also they focus on providing good quality products at the same time, which means it
uses the value pricing method.
• The value-for-money positioning helps generate large sales volumes for the
products.
• Parle G is available in Re 1,Rs 2, Rs 4 to Rs 25 packet
• Profit margin for distributors is 4% and for retailers is 10-12%
Promotion Strategy
• Advertising - It was advertised mainly through press ads.
• Communication spoke about the basic benefits of energy and nutrition.
• In 1989 Parle-G released its “Dadaji” commercial which was a huge success and was
aired over a period of 6 years. The communication spoke about the basic benefits of
energy and nutrition.
• The next level of communication associated the brand with the positive values of life
like honesty, sharing and caring. E.g.; ‘hindustan ki takat’.
• Parle has started the use of celebrity in their advertisements.
• Sales promotion - Every year it holds day fairs at branded venues where games and
fun events are organized for the employees of Parle and their families; where Parle
products are giveaway prizes.
Promotion Strategy Contd….
• Public relations - Parle has done the following for enhancing public.
 In the year 1997, Parle-G sponsored the tele-serial of the Indian superhero,
Shaktimaan that went on to become a huge success.
 In the year 2002, a national level promo - `Parle-G Mera Sapna Sach Hoga' was run for
a period of 6 months. The promo was all about fulfilling the dreams of children.
 Parle Saraswati Vandana, one of its initiatives, is an inter-school contest based on the
Saraswati Puja celebrations. Since it started in 2002 it has seen a tremendous increase
in participating each year, with entries coming from schools of West Bengal.
 Parle had introduced the novel promotion called Parle Golu Galata contest in 2005.
(Golu means Doll & Galata means Dhammal.)
NOW…..
Currant strategies
Brand communication
The original tagline “Mango Frooty, Fresh And Juicy” is converted to “Juice
Up Your Life”
Still in bottle packs the tagline is same with a small change “ Fresh N Juicy
Mango”
Still the jingles used in the ad camping is same from 1990
Present ad theme “Why Grow Up”
• Packaging
• Always Innovative In Packaging.
• In India First Company To Introduce Tetra Packs.
• They Initially Introduces Pet Bottles, Also They Are The First In India.
• 2003 They Introduces Triangle Pack For Penetration Price.
• Frooty Logo
• Frooty Logo Is Changed By Making Some Attractiveness Towards The
Classical One
• Use Of Emotion Icons
• Mango Emotions Called As “Magoticons” Is Used In The Pet Bottles
Public Relation Practices
Basics Of Future Strategic Plan
• Great Brand Experience
• Clear And Consistent Positioning
• Sense Of Dynamism
• Sense Of Authenticity
• Strong Corporate Culture
SWOT Analysis – Parle Agro
Opportunities
Estimated annual growth o 20%.
Changing consumer preference.
Increasing demand for sugar free,
diet biscuits.
Strengths
Parle Brand.
Diversified Product Range.
Ext. Distribution Network.
Catering to Masses.
Low & Mid Pricing Strag.
Weakness
 Dependence on retailers &
stores.
 Dependence on Parle-G
brand/product.
Threats
Hike in cost of raw material
affecting cost of production.
Increasing distribution cost.
Competitive Local bakery
products.
Entry of various new entrant, ITC
etc.
Parle Agro – Product Life Cycle
3
5
9
4
0
1
2
3
4
5
6
7
8
9
10
Introductory (Bread
Cake)
Growth (Frooti) Maturity (Parle-G) Decline (Appy,
Hide&Seek)
LIFE
PRODUCT
Product BCG Matrix
Reference
• Parle agro company website
• Frooty website and frooty foundation
• Scribid.com
• Slide share.com
THANK YOU

Parle agro strategy

  • 1.
    Strategic Management Parle Agro Pvt.Ltd By ANILAL.R.S MGT 1305007 INSTITUTE OF MANAGEMENT KERALA
  • 2.
    Overview – ParleAgro Pvt. Ltd. • Food, Beverages Fast Moving Consumer Goods (FMCG) • Started in India in 1929. A Rs.5,000 cr. family owned business house. • Enjoys 40% market share of the total biscuit market in India. • Owns Parle-G, which is largest selling biscuit in the world with 70% market share in the glucose biscuit category in India. • Has 12 manufacturing units for biscuits and 75 manufacturing units for confectioneries. • Parle group has a manpower strength of over 2500 employees, including over 400 professionals.
  • 3.
    Core Value, CSR,Vision, Mission… • Marketing philosophy that reflects the needs of the Indian masses with value-for-money positioning. • Parle Saraswati Vandana, one of its initiatives gives the children an opportunity to exhibit their creative skills and develop their personalities. • Vision: To be the leaders in their business domain. • Mission: Maintaining high quality, introducing new and innovative products, reaching every part of India, remaining customer-centric, constantly upgrading our knowledge and skills.
  • 4.
    Powerful Brands &Products…..
  • 7.
    Consumer Psyche towardsParle • Parle is consumed by people of all ages, from the rich to the poor, living in cities & in villages. • While some have it for breakfast, for others it is a complete wholesome meal. • For some it's the best accompaniment for chai, while for some it's a way of getting charged whenever they are low on energy.
  • 8.
  • 9.
    Marketing Strategy  Rural-urbanpenetration of Biscuit :  Urban Market : 75% to 85%  Rural Market : 50% to 65%  Per capita consumption of Biscuits :  INDIA 1.8 kg,  South East Asian Countries 2.5 kg to 5.5 kg  USA 7.5 kg
  • 10.
    Price Strategy • Parle- G and Price mix: • Parle G has adopted the Market Penetration strategy i.e. low price along with capturing of a large market • Also they focus on providing good quality products at the same time, which means it uses the value pricing method. • The value-for-money positioning helps generate large sales volumes for the products. • Parle G is available in Re 1,Rs 2, Rs 4 to Rs 25 packet • Profit margin for distributors is 4% and for retailers is 10-12%
  • 11.
    Promotion Strategy • Advertising- It was advertised mainly through press ads. • Communication spoke about the basic benefits of energy and nutrition. • In 1989 Parle-G released its “Dadaji” commercial which was a huge success and was aired over a period of 6 years. The communication spoke about the basic benefits of energy and nutrition. • The next level of communication associated the brand with the positive values of life like honesty, sharing and caring. E.g.; ‘hindustan ki takat’. • Parle has started the use of celebrity in their advertisements. • Sales promotion - Every year it holds day fairs at branded venues where games and fun events are organized for the employees of Parle and their families; where Parle products are giveaway prizes.
  • 12.
    Promotion Strategy Contd…. •Public relations - Parle has done the following for enhancing public.  In the year 1997, Parle-G sponsored the tele-serial of the Indian superhero, Shaktimaan that went on to become a huge success.  In the year 2002, a national level promo - `Parle-G Mera Sapna Sach Hoga' was run for a period of 6 months. The promo was all about fulfilling the dreams of children.  Parle Saraswati Vandana, one of its initiatives, is an inter-school contest based on the Saraswati Puja celebrations. Since it started in 2002 it has seen a tremendous increase in participating each year, with entries coming from schools of West Bengal.  Parle had introduced the novel promotion called Parle Golu Galata contest in 2005. (Golu means Doll & Galata means Dhammal.)
  • 14.
  • 15.
    Currant strategies Brand communication Theoriginal tagline “Mango Frooty, Fresh And Juicy” is converted to “Juice Up Your Life” Still in bottle packs the tagline is same with a small change “ Fresh N Juicy Mango” Still the jingles used in the ad camping is same from 1990 Present ad theme “Why Grow Up”
  • 16.
    • Packaging • AlwaysInnovative In Packaging. • In India First Company To Introduce Tetra Packs. • They Initially Introduces Pet Bottles, Also They Are The First In India. • 2003 They Introduces Triangle Pack For Penetration Price.
  • 17.
    • Frooty Logo •Frooty Logo Is Changed By Making Some Attractiveness Towards The Classical One
  • 18.
    • Use OfEmotion Icons • Mango Emotions Called As “Magoticons” Is Used In The Pet Bottles
  • 19.
  • 20.
    Basics Of FutureStrategic Plan • Great Brand Experience • Clear And Consistent Positioning • Sense Of Dynamism • Sense Of Authenticity • Strong Corporate Culture
  • 21.
    SWOT Analysis –Parle Agro Opportunities Estimated annual growth o 20%. Changing consumer preference. Increasing demand for sugar free, diet biscuits. Strengths Parle Brand. Diversified Product Range. Ext. Distribution Network. Catering to Masses. Low & Mid Pricing Strag. Weakness  Dependence on retailers & stores.  Dependence on Parle-G brand/product. Threats Hike in cost of raw material affecting cost of production. Increasing distribution cost. Competitive Local bakery products. Entry of various new entrant, ITC etc.
  • 22.
    Parle Agro –Product Life Cycle 3 5 9 4 0 1 2 3 4 5 6 7 8 9 10 Introductory (Bread Cake) Growth (Frooti) Maturity (Parle-G) Decline (Appy, Hide&Seek) LIFE PRODUCT
  • 23.
  • 24.
    Reference • Parle agrocompany website • Frooty website and frooty foundation • Scribid.com • Slide share.com
  • 25.