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PLACE:-Place stands for the company activities that make the product
available to the target customers. To make the product available to the target
consumers a good distribution network has to be there to support the good
quality of the product. Here in the case of the mineral water industry the
distribution network is the important factor in being competitive and the catch
lies in making water available to maximum number of places in the country
PRICE:-Price is the sum of values that consumer exchange for the benefits of
having or using the product or service. Price is the only element in the
marketing mix that produces revenue. All other elements represent costs.
In India, where the majority of the population comprise of the middl
income
group and lower income groups it is not hard to understand that pricing is one of
the most important factor in the buying decisions.
Bisleri has met the expectations of the consumers in terms of pricing the
product and also making the product available in variations of litres, making
Bisleri both convenient and affordable. The company is following a very
aggressive pricing. Its product is available at a very reasonable price.
PROMOTION:-Modem marketing calls for more than just developing a good
product, pricing it attractively, and making it available to the target customers,
companies must also communicate with their customers, and what they
communicate should not be lefi to chance.
A Company’s total marketing communications program- called its Promotion
Mix consists of specific blend of advertising, personal selling, sales promotion,
and public relations tools that the company uses to pursue its advertising and
marketing objectives.GENESIS
The name that epitomizes mineral water today was first introduced in Mumbai in the
early 60's. In 1965 Signor Felice Bisleri an Italian by origin, came up with the idea of
selling bottled water in India. His company Bisleri Ltd. offered mineral water in two
Variants- bubbly and still. In 1969 Parle bought over Bisleri (India) Ltd. and started
bottling Mineral water in glass botiles under the brand name ‘Bisleri’, In due course
Parle switched over to PVC non-returnable bottles and finally advanced to PET
containers.
EXPANSION
Under the leadership and vision of Mr. Ramesh J. Chauhan, Bisleri has undergone
significant expansion in their operations. The company has witnessed an exponential
growth with their turnover multiplying more than twenty times in a short span of 10
years. The average growth rate over this period has been around 40% with Bisleri
enjoying more than 60% of the market share in the organized mineral water segment.
Currently Bisleri has 11 franchisees and 8 plants across Indi
. with plans of setting up
4 new plants on the anvil, The overwhelming popularity of 'Bisleri' and the fact that it
was the pioneer of the bottled water industry in India has made it synonymous to
Mineral water and a household name. So naturally When you think of bottled water,
you think Bisleri'. Rigorous Research and Development and stringent quality controls
have made it market leaders in the bottled water segment. Bisleri has always been
committed to offering every Indian pure and clean drinking water. Hence Bisleri water
is put through multiple stages of purification, ozonisation and is hygienically packed
for final consumption. To maintain strict quality controls in every unit, Bisleri not
only purchase caps from approved vendors, but also manufacture own bottles, in-
house. To be at par with Intemational standards, they have recently procured the latest
4Bislert is a brand of bottled water in India. Bisleri has 36% market share in packaged
drinking water in India. It is available in & pack si:
S0ml cups, 250m! bottles,
800ml, | litre, 1.5 litre, 2 litre, 5 litre, and 20 litre. Its operations run throughout the
subcontinent of India and is one of the leading bottled water supplying companies in
India, As of 23 October 2012, Bisleri has 18 plants, 13 franchisees & $8 contract
packers all over India, The composition of Bisleri Water in milligrams per litre (mg/
+ 80-120ppm TDS
© 6.5-7.5-ph factor
© 75ppm-Calcium
© 200ppm-Chlorides
© 30ppm-Magnesium
Bisleri was originally an Italian company created by Signor Felice Bisleri, who first
brought the idea of selling bottled water in India. Bisleri originated in Italy
a place
called Nocera Umbra from a spring called Angelica, In 1965, it was introduced in
Mumbai in glass bottles in two varietes - bubbly & still. In 1969, it was bought over
by Parle!" Later Parle switched over to PVC non-returnable bottles & finally
advanced to PET containers.
The original Parle company was split into three separate companies owned by the
different factions of the original Chauhan family:
© Parle Bisley
d by ketan kale
+ Parle Products, led by Vijay, Sharad and Anup Chauhan (owner of the brands
Parle-G, Melody, Mango Bite, Poppins, Monaco and KrackJack)
+ Parle Agro, led by Prakash Chauhan and hi, Alisha and Nadia (owner of the
brands such as Frooti and Appy)
In 1995 Ramesh J. Chauhan started expanding Bisleri operations. In 2003 Bisleri
announced its venture to Europe. All shares are held by Mr Ramesh J Chauhan and his
family. The brand name Bisleri is so popular in India that it is used as generic name
for bottled water.With little belief in the distributor system, the company leverages its large fleet of
trucks to supply bottled water directly to retailers through a system called ‘route
selling’ where the driver of the truck is trained to be a service person. A critical
component, this system, according to him, ensures that the water supplied is fresh and
bottles are in good shape. Though route selling is more expensive than the more
commonly followed method of appointing distributors in different towns, he says, itis
more effective,DISTRIBUTION SYSTEM.
Bisleri’s esteemed clientele include large institutions and prestigious outlet:
few of which have been listed as per the annexure:
© President house
© PM house
© Jetairways
© Air India
© Ashok hotel
© Maurya Sheraton
© Hotel metropolitan
© Hotel Radisson
*® =NSCI club
© Officers club
© ICICI Lombard
© ICICI prudential
© Oriental bank of commerce
© Punjab national bank
° UT
© Corporation bank
© Russian embassy
© Times of IndiaMARKET B
Do you have Fridge provided by any company
Fridge provided by any company Total
N 109
Y 49
Grand Total 158
In Market B results are almost same but as sales in this region are less then Market
A therefore retailers with Fridge are dominant selling other brand.
These retailers satisfy demand of this region hence Bisleri sales are highly
affected.Q.2 Do you sell mineral water at your shop?
MARKETA
Do you sell mineral water? Total
N 15
Y 102
Grand Total 17
© In Market A, 87% of the shops covered were selling some or the other kind of
mineral water.
© There were just 15 retailers off 117 who were not selling mineral water in Market
A.Top Brands of Mineral Water in India:
* Bisleri: It becomes the synonym of mineral water in India. This is market
leader and most trusted brand in this category. It enjoys the highest
commitment and loyalty in market.
+ Himalayan (Product of Tata Global Beverages ): Himalayan — redefining the
mineral water category in India Himalayan is endowed with the wellness of
vital organic minerals. The water is untouched and unprocessed, with a unique
taste acquired over 20 years of percolation, as it makes its way to the
underground aquifer located in the Shivalik range of the Himalayas. The
appeal of the brand lies in its high quality natural water and premium imagery.
«Kinley (Product of Coca Cola): Kinley water understands the importance and
value of this life giving force. Kinley water thus promises water that is as pure
as it is meant to be.
© Aquafina (Product of Pepsico India)Aquafina goes through a five step state-of-
the-art purification process to give consumers pure water and perfect taste.
Bottled across India in 19 plants, Aquafina is available across more than half a
million outlets. Catering to diverse consumer needs and occasions, it is
available in various pack sizes like 300ml, 500ml, | Itr and 2 Itr bottles and in
bulk water jars of 25 Itrs.
* Bailey's (Product of Parle-Agro): It is the first water brand to be issued an IST
certification. The first to launch special four-sided 200m! bottles catering to
premium airlines like Jet Airways and British Airways. Considering the fact
that the water segment is growing at a staggering rate of 40%, the future is
clearly Bailley. Bailley is available in 200ml, 300ml. 500ml, 1 ltr. & 2 ltr. PET
and 5 Itr., 20 Itr., & 25 ltr. jarsIt is complete and an unbeatable plan designed specifically for attaining
the marketing objective of a firm, The marketing objective indicates what the
firm want to achieve. The marketing strategy provides the design for achieving
them the linkage between marketing strategies and over all corporate success is
indeed direct and vital.
FORMULATING THE MARKETING STRATEGY-
Formulating the marketing strategy consists of two main steps-
1- Selecting the target market-
It does not fully bring out the import of the inseparable linkage between the
two. When the selection of the target market is over an important part of the
marketing strategy of the firm is already determined, defined and expressed.
2-Assembling the marketing mix-
Assembling the marketing mix means assembling the four P’s of marketing in
the right combination
The firm has to find out how it can generate the best sales and profit. It plans
different marketing mixes with varying levels of expenditure on each element
and tries to figure out the effectiveness of each combination in terms of the
possible sales and profit.
ADVERTISING CAMPAIGN;
While designing the advertisement campaign, it is necessary to keep in mind theCONCLUSIONS
Bisleri provides seamless packaged drinking water services and still holds biggest
share in market and it needs to keep improving upon its services to keep that share
intact because its competitors are very strong and have ability of huge investments.
Bisleri is pioneer of the industry.
Some of the Points that can be concluded are:
© Bisleri is a high priced product in the market, and market customers are daily
walk inns; hence they are not ready to always pay more then 12 rupees for a
ltr bottle which sells most.
© Bisleri Has a very wide and the largest distribution network in the industry.
© Bisleri is the market leader in the sector, enjoying almost 50% market share.
I think from my point of view it would be better for Bisleri if it will try to increase
the share of cake by increasing the size of the overall cake, not by decreasing the
others players share of the cake. It means it should try to increase its customer
base not by converting the other companies existing customer, it should try to
convert the non customer of packaged drinking water to Bisleri customer.Selection Criteria for Salesmen:
The distributor has set certain criteria for the selection of salesmen. These criteria
become even more important as the attrition level has to be taken care of and the
importance of salesmen in bringing more business.
1) The candidate must be at least a higher secondary pass,
2) The candidate must have knowledge of local language.
3) Candidates with prior relevant work experience are preferred.
4) The candidate if from the territory is preferred.
Incentives for the salesmen:
A basic salary of around Rs 2000 to Rs 2500 is given irrespective of the performance
of the salesman, Incentives are given in total as a lumpsum either at the end of the
month or as bonus at any point of year. Thus the incentive for the sales people is
Fixed Salary plus Bonus.
Price Margins for the products:
Based on the primary data from the distributor; following are the margins which the
distributor gets from the company for various capacities:
Capacity Cost Price Selling Price | Margin (Rs) | Schemes to
(Liters) (Rsy/Crate — (Rs)/Crate Retailers
% Liter (24pe | 170 180 10 2 bottles of
per crate) 500ml are
given free to
retailersQ4 What kind of customer usually visit your shop for packaged drinking water?
MARKETA
KINDS OF CUSTOMERS VISITED
Daily walkin
80%
KINDS OF CUSTOMERS VISITED _ Frequency
Daily walk-in 107
Regular Customer 19
Party & Marriage orders 8
Total 134The following table shows the growth in the package
drinking water industry:-
Growth rate
In 1996-97 the sales of bisleri is 3-4% after that it increased to 10% in
[Link]-a-days it increases to 90% and it is in high demand. Many
people prefers bisleri bottle as a safe drinking water.
In 2004-09 it increases to 90%. Mostly, it prefer by middle class and
higher class of people. But due to its cheaper rate it is affordable lower class
group also.MARKET B
Do you Sell Mineral Water
Do you sell mineral water Total
N 38
Y 120
Grand Total 158,
* There were 38% of the shops covered in Market B which were not selling mineral
water.
© This suggests that there are good number of shops which are availaible to Bisleri
to be exploited in near future.2000: BIS cancels Bisler's licence of a water bottling in Delhi [ Images ] since
some of the bottles did not carry ISI label; the licence is restored one -and-a-half
months later.
2002: Kinley overtakes Bisleri. The national retail stores audit by ORG -MARG
show Kinley's marketshare at 35.1 per cent compared to Bisleri's 34.4 per cent.
PRODUCTS AND SERVICES:-
1. 1ltr mineral water:
1tr Mineral Water under the name 'Bisleri’ was first introduced in
Mumbai in glass bottles in two varieties - bubbly & still in 1965 by
Bisleri Ltd., a company of Italian origin. This company was started by
Signor Felice Bisleri who first brought the idea of selling bottled water in
India.
N
. LSitr mineral wat
[Link] Mineral Water under the name ‘Bisleri' was first introduced
in Mumbai in glass bottles in two varieties - bubbly & still in 1965 by
Bisleri Ltd., a company of Italian origin. This company was started by
Signor Felice Bisleri who first brought the idea of selling bottled water in
India.
3. 2ltr mineral water:-
2itr Mineral Water under the name “Bisleri’ was first introduced in
Mumbai in glass bottles in two varieties ~ bubbly & still in 1965 by
Bisleri Ltd., a company of Italian origin. This company was started byMARKET B
WHAT ATTRACTS YOU THE MOST IN CHOICE OF MINERAL WATER
Semmes No Response
13%
Schemes
16%
Margins
aa
WHAT ATTRACTS YOU THE MOST IN CHOICE OF MINERAL | Frequency
WATER
No Response 21
Quality — : 38
Margins 65
Schemes 26
Services 8
Total 158
By studying this question we can understand that what actually attracts retailers in
selection of packaged drinking water.
As found in both the markets valid matching figure of 41% in favor of margins.
In Market A schemes take second place but in Market B its quality because all
those who are buying Bisleri in market B is because of its quality: other
‘companies are providing them more margins then Bisleri.MARKET A
ARE YOU SATISFIED WITH BISLERI SUPPLIER
No Response
21%
Yes’ No
6% 18%
Are you satisfied? Total
No Response 28
N 21
Y nm
Grand Total 7
© 61% of shopkeepers in Market A were satisfied with the services provided by
the distributer.
‘There were 25 non respondents to this question.
‘There were just 18% non satisfied shopkeepers.
Reason behind non satisfied customers were----
‘Not providing bills on time.
There was a case of supply of special railway water of less MRP at normal
rates.
‘There were few replacement problems with these respondants.COMPARISON OF MARKETING AND SELLING ACTIVITIES
MARKETING
brand value
with
campaign,
promotion and encasing on the
promotional
of purchase
aggressive
point
of other power
brands of CCI, Kinley is creating
media advertisement,
are used for
Mass
hoardings,
promotional campaign. Change in
ete
packaging to reposition its brand.
Already having credence attribute
| 4 PULL in the market and positioned itself as ‘safe’ in
the minds of consumers, Has
become a generic brand for
mineral water and creating PULL
entirely.
SELLING | Trade schemes, retailers’ | No. much selling effort. Only
incentive, distributor incentives | minimal retailers’ scheme. No
fare meant for PUSH of the | credit for distributor, Hence
product in the market. almost no PUSH. Markets
entirely PULL driven.
GaP Entire strategy is a combination | Entirely PULL driven market
of PUSH and PULL. Hence no
gap between
marketing and selling activities.
such exists
Therefore the market share of
Kinley has been increasing over
the years. The only consideration
is the different price for same
discussed earlier
product as
which is killing the market share
of it.
with no or PUSH,
Though Bisleri has turned out to
minimal
be generic name for mineral
water but without any PUSH it
might lose its market share to
brands like Kinley or Aquafina.
So Selling activities must be
taken more seriously.MARKET B
ARE YOU SATISFIED WITH BISLERI DISTRIBUTOR
No Response
41%
Are you satisfied with supplier? Total
No response 65
N 54
Y 39
Grand Total 158
‘* There were more number of shopkeepers in Market B were unsatisfied with 34%.
‘* Major reason stated by these people was no supplies or irregular suppli
Q.11 How often does he provide you a bill on your purchase?
MARKET A.BISLERI’S DISTRIBUTION CHART:
It’s obvious that availability holds the key to the market. For any product to be
successfull the distribution system has to be really good. Distribution is the key. The
consumer will pick up whatever is conveniently available and is pushed by the
retailer. Just about anybody can invest money into a bottling plant or other facili
‘The really dirty work is distribution. Making fresh water available within a particular
period of time is crucial for its success.
His strategy is to build a direct distribution system at an all-India level. According to
him, distribution in the Indian context requires experience. Bisleris retail distribution
muscle is indeed great. With 16 bottling plants to churn out the product, Bisleri has
around 80,000 outlets in the country with about 12,000 each in the metros of New
Dethi and Mumbai. Mr. Chauhan intends to increase that to 10 lakh outlets and use
around 2,000 trucks to criss-cross the nation, up from the current 1000.There are two types of promotion.
1. Advertising: In advertising the product is promoted by the
means of advertisements such as TV adds newspapers ete.
2. Sales promotion: In sales promotion the product is promoted
through sales such as discounts on products etc.
Marketing Mix used by Bisleri
The set of controllable tactical tools - product, price, promotion, and place
(4 Ps), that the firm blends to produce the response it wants, in the target
markets.
The 4Ps
PRODUCT:-The main product of the company is the mineral water by the
name of Bisleri Mineral water. Other than mineral water the company has also
the soda water under its brand name called the Bisleri Soda Water. The concept
of bottled mineral water was introduced in India, first by Bisleri, and that is the
reason, it has become a generic name for the mineral water. Bisleri has become
a perfect synonym of the mineral water for the In dian consumers.
The main challenge facing the company or any other player in this mineral
water industry is that there is no scope of invention and innovation in the
product, which can be added as the additional benefits of the product. It is just
water after all. This is what the Indian customers think of the bottled water. If
we are talking about a product like television we can think that the innovations
could provide extra benefits derived from the product. For example other than
its core usage the product can provide for Intemet facilities using conversion.Q.1 What is your shop type?
MARKET A
Frequency of Shop Type
Dairy and
Type of shop Frequency of shop type
Juice, Cold drinks & Food Stores 2
General / Kirana Store “4
Pan shop 16
Dairy and Medical Store 15
Total
7extraordinary" (the spelling of the punch line was designed to capture the
consumer's attention). The campaign was successful and we were being noticed
as someone who catered to the need for safe, healthy drinking water.
However, the real boost to mineral water came in the early -to-mid-1980s when
we switched to PVC packaging and later to PET bottles. The PET packaging did
not just ensure better transparency = we could now show sparkling clear water
to the consumers, It also meant better life for the water.
Since 1995 [Link] [Link] has started expanding Bisleri
operations substantially and the turnover has multiplied more than 20 times over
a period of 10 years and the average growth rate has been around 40% over this,
period. Presently it has 8 plants and 11 franchisees all over India. Bisleri
command a 60% market share of the organized market.
The journey till now
1969: Buys Bisleri bottled water from an Italian company, Felice Bisleri. It was
bottled in glass bottles then.
Early-1980s: Shifts to PVC bottles. Sales surge
Mid-1980s: Switches to PET bottles, which meant more transparency and life
for water.
1993: Sells carbonated drink brands like Thums Up, Gold Spot and Limca to
Coca-Cola for Rs 400 crore,
1995: Bisleri launches a 500 ml bottle and sales shoot up by 400 per cent.
2000: Introduces the 20-litre container to bring prices down from Rs 10 a litre to
Rs 2a litre.© There are just less then 8% shops in Market A which are not visited but in Market
B 31% shops are never visited by dealer and that is taken as a complain against
supplier.
© Major portion of respondents in Market A have given positive response as tilt of
answers is towards first, second and third option, on the other hand responses are
more towards answer three, four and five,
® In Market B there are more then 53% of shops not visited at all by the distributer.
Q.9 What is your monthly consumption of Bisleri?(no. of cartons)
MARKETA
MONTHLY CONSUMPTION OF BISLERI?
150 & above
2%
100-150
10%
50-100
o%
25-50
17%
YOUR MONTHLY CONSUMPTION OF BISLERI? Frequency | Percentage
0-25 4 65.06
25-50 4 16.87
50-100 5 6.02History of Bisleri in India
Mineral bottled water in India under the name 'Bisleri' was first
introduced in Mumbai by Bisleri Ltd., a company of Italian origin in 1965.
Mineral bottled water were in glass bottles in two varieties - bubbly and still in
1965 This company was started by Signor Felice who first brought the idea of
selling bottled water in India.
Parle bought over Bisleri (India) Ltd. In 1969 and started bottling Mineral
water in glass bottles under the brand name 'Bisleri'. Later Parle switched over
to PVC non- returnable bottles and finally advanced to PET containers.
Ramesh Chauhan, chairman, Parle Bisleri created a market out of pure water.
Excerpts from a conversation with Prema Raturi:
Can I be honest? When we bought Bisleri mineral water from the Italian
company, Felice Bisleri, in 1969 — the company had been unable to market
bottled water and wanted to exit the market -- we too did not see any potential
for the product at that time.
Asa soft drinks company, we had Thums Up, Gold Spot and Limca (cola,
orange drink and lemonade) but no soft drink company was complete wi thout a
soda. So we merely used the name and launched Bisleri soda with two variants -
- carbonated and non-carbonated mineral water.Channels for our Corporate custom:
i
; as)
Distribution will ultimately drive brand success, at least for national level brands.
Also, currently local/regional brands seem to be moving off the shelves. With Bisleri
becoming a generic name for bottled drinking water, if it can manage the distribution
of the product to make it available where the consumer needs it the most, it may well
succeed in his gamble with water.RECOMMENDATIONS
First of all Delhi is not a small city, company just have 3 sales man, Bisleri needs
to make at least a team of 5 salesman to cover whole Delhi to keep a good check
‘on secondary sales of company.
Bisleri needs to regularly come up with certain attractive schemes so that it can
compete with its giant competitors like Pepsi and Coke.
Distributer in Market A are doing excellent job but story is not same in Market B
so company needs to educate there distributers by making them learn about the
working of other distributers,
Bisleri must appraise there suppliers on there good work which will in turn
motivate suppliers who are not doing well to work hard.
Every month a team of people must visit every shop in problem markets at least
ones to remind them of there importance to company.
Bisleri must give there good and regular customer's complimentary gifts to
always keep them faithful towards company.MARKET B
HOW OFTEN HE VISITS?
Almost Every
Day
1 Don't Buy % Twice or Thrice
Bislert a Week
22% 17%
Once a Week
27%
Never
31%
HOW OFTEN HE VISITS? Frequency Percentage
Almost Every Day 4 2.53
|* * { —
Twice or Thrice a Week 27 17.08
Once a Week 4B 27.22
—— _
| Never 49 | 31.01
1 Don't Buy Bisleri 35 22.15
| Total 158 100
© In this question difference between respondents to “Never” and “I don’t buy
Bisleri
is that Never respondents prefer to buy Bisleri but nobody visits them and
later don’t buy Bisler at all.
In Market A 25% shops are daily visited by dealer on the other hand just 2% in
Market B.ea ial)
Dre Men
Sac
i licag
Distribution
Merchandising
Direct distribution: In direct distribution, the bottling unit or the bottler
partner has direct control over the activities of sales, delivery, and
merchandising and local account management at the store level.
Indirect distribution: In indirect distribution, an organization which is not
part of the Coca-Cola system has control on one or more of the distribution
elements (Sales, delivery, merchandising and local account management).
Merchandising: Merchandising means communication with the consumer at
the point of purchase to convey product benefit, value and Quality, Sales
people and delivery personnel both have this responsibility. In certain
locations special teams who go into business locations to specifically
merchandise our products.
Sales Force Management
The distributor appoints their own salesmen for the distribution of goods to the
retailers. Its salesmen also do door to door supply. The distributors have fixed
different routes and every salesmen is assigned to one particular route to avoid any
conflict. For the Distributor interviewed he had 5 different routes. Out of the 5 routes
he had one route was the major route whereas the rest 4 were subsidiary routes.9: Which factors can lead to shift in Brand Preference?
Ans:
WHICH FACTOR(S) CAN LEAD TO SHIFT IN
BRAND PREFERENCE?
BRO SYSTEM
QUALITY
OPRICE
gasp
SERVICE
@sésQ
PACK
DQ&PACK
wP&S
wQ,saP
Fig. 14
The above pie- chart depicts different factors that the organizations think can lead to
shift in their brand preference. As it
early seen that major percentage is of the
organizations who think price to be the top priority. Price was very important for them
they thought that till none of their employees fall sick they are fine with the quality.
Then comes quality, the organizations who think “health is wealth” come under this
category. For these organizations their employees’ health is of major concer. Then,
comes the combination of quality and price. Another factor that was also in good
percentage was the combination of service & price. Service was also considered as an
important factor for brand switching.ANALYSIS
Different Brands of Packaged Drinking water on the Selling Matrix
Low
3
5
g
i
:
&
é
3. PROBLEM SOLVING
[micH Experience Attribute
Uncertainty of untried brands
Low HIGH
Bisleri has placed itself on the 4" quadrant of the selling matrix with credence
attribute where it is entirely now pull driven. Kinley at present is in the 2™ quadrant
and is moving from the search attribute to the experience attribute.
Margins earned by the retailers
Name of the brands | Cost Price Selling price Profit margin
Kinley Rs 12.25 Rs 14/15 Rs 1.75/2.75
Aquafina Rs 10.50 Rs 12 Rs 1.50
Bisleri Rs 10 Rs 12 Rs2MARKET B.
Frequency of various brands being sold at retail outlets
Fosters. Others
2% ™%
Kingfieher
8%
Kinley
12%
14%
Brands Perwentage _| Froquency of various brands being sold at retail outlets
Bisleri 43.66 62
Bailley 13.38 19
Aquafina 15S | 22 -
Kinley 11.26 16
Kingfisher | 7.04 10
Fosters | 2.11 3
Others 7.04 10
Total 100 142
© Off the total number of shops selling mineral water from question no.2 there were
17 shops in market A which were selling 2 brands of water and similarly 19 shops
in market B selling more then 1 brand of water, this chart is inclusive of that data,
© If we compare both the
markets, In Market A Bisler
doing excellent with 70%
share in the market, but in Market B it just have 43% of share, which is way
below there standards.
© There are no close competitors but Bailley and Aquafina eating up certain salDo you feel that packaged drinking water has a seasonality effect?
Ans: Yes: 60
No: 13
Notavailable; 27
Fig.9
Above pie chart shows that 60% of the corporate feel that water has seasonality effect
which means that during summer season water is demanded more then in winters.
While 30% don’t feel like this. Hence Bisleri should try to create its awareness more
among consumers through advertisements, publicity, banners in summer season which
will help it to increase its sales.state-of-the-art machinery which has not only helped them improve packaging quality
but has also reduced raw material wastage and doubled production capacity, One can
rest assured that they are drinking safe and pure water when they consume Bisleri
Bisleri is free of impurities and is 100% safe. Enjoy the sweet taste of Purity!
BISLERI TODAY
The Indian consumer today enjoys the sweet and pure taste of Bisleri mineral water.
However in an effort to offer something special to there loyal consumers they have
recently introduced Bisleri Natural Mountain Water - water brought to consumers
from the foothills of the mountains situated in Himachal Pradesh. This newly
launched offering has widened Bisleri’s product range to two variants: Bisleri with
added minerals and Bisleri Mountain Water. Bisleri’s registered office is in Mumbai,
VISION
Our vision is to be the dominant player in the branded water business where the
second player is less than 20% of our business.
MISSION
We are in the business to serve the customer. He is the most important person. He is
the only one who pays. He deserves the best quality and presentation at a worth of the
price. We must have world class quality, at the lowest production & distribution cost.
This will make us an unbeatable leader, and will have satisfied loyal customers.
VALUES
Integrity, Leads Teamwork, Co-operation, Quality, Passion, Openness &
Transparency.important factor which can change the brand preference of the corporate sector. This
is the only reason why organizations are opting more local brands like hello, prime,
shudh ete. as they are offering their product at less price like Rs. 25 — 40 for one 20
litre jar well branded packaged water are at Rs. 50- 60 for 20 litre jar. Quality is also
the one of the factor but organizations are not ready to compromise over the price,
they want quality but at the minimum price. So BISLERI should concentrate over
their cost minimization factor.
6: How do you rate Bisleri with other players in the market?
Ans:
VERY GOOD
BISLERI'S PERFORMANCE AGAINST
IT'S COMPETITORS
GVERY GOOD
@cooo
GSTANDARD
CBAD
Fig. 11
According to the above diagram Bisleri’s position in corporate market is almost
satisfactory as 78 % rate Bisleri performance as good and 7% as very good. While
15% think Bisleri as standard brand in front of other bottled water players. Nobody
rate Bisleri as poor brand. Hence through this we can conclude Bisleri"s performance
as up to the mark but the only problem is Bisleri price which is Rs. 60 per 20 litres
Which is the main obstacle due to which organizations are opting other local packaged
water brands.Ans: Packaged: 73 corporate
Non— Packaged: 27 corporate
Preference of Packaged water
packaged non-packaged
Fig. 7
The above bar chart, according to the analysis depicts that there is high demand of
packaged drinking water in the corporate sector.73% of the corporate are preferring
packaged drinking water while 27% of them are preferring non-packaged drinking
water like: aqua guard, own R.O. system, municipality water.
Hence corporate world is opting packaged water rather then non — packaged one.
Packaged water market has a good scope in corporate world.WHAT ATTRACTS YOU THE MOST IN CHOICE OF MINERAL WATER.
Services No Response
o% T%
‘Schemes
Margins
40%
WHAT ATTRACTS YOU THE MOST IN CHOICE OF MINERAL | Frequency
WATER
‘No Response 8
| Quality 24
Margins 48
Schemes 30
Services 7100-150 8 9.63
150 & above 2 Al
Total 83 100
MARKET B
MONTHLY CONSUMPTION OF BISLERI7
100-150
o%
150 & above
O%
025
68%
YOUR MONTHLY CONSUMPTION OF BISLERI? | Frequency | Percentage
0-25 | 42 68.85
25-50 lis 29.50
50-100 u 1.68
100-150 lo 0
150 & above - T 0 o
Total 61 100
* Itcan be clearly seen from both the markets that maximum shops selling mineral
water cannot sell more then 0- 25 cartons in month,
© Biggest customers who fall in category of above 150 cartons have capacity of
selling 150 to 450 cartons, hence they themselves cover up for companies other
60%-70% customers.
© In Market B company doesn’t have any above 100 cartons customers.
O.10 Are vou satisfied with the services provided by Bisleri distributer?‘The general distribution channel of Bislert looks like this:
MANUFACTUR
COMPANY
U
1
E
COMPETITION
oz-reme2: Which brand of packaged drinking water you are currently consuming?
Ans: Bisleri: 4 Paras: 0
‘Aquafina: 2 Hello:
u
Kinley: 4 Prime: 8
Kingfisher: 4 Aqua guard/R.O.: 27
Others [Glacier, Shudh, Mckinsey, Ganga ete.]: 30
Share of Bisleri in corporate sector
30 ee ——395
30 f 27
25 |
20
15
10
: |
fs se eo ° 2 ¢
s = . 2
P 2 8 r = ° £ 5 £
a c = 2 = a 2 3
s = 3
o
brands of water .
Fig. 8
‘The above figure shows the share of Bisleri water in corporate sector ie. only 14%
and other branded water like aquafina, kingfisher. Kinley holds only 2 ~ 4 % share.
Basically corporate market has been ruled by local players like hello, prime and other
brands which hold 50% of the sector. And rest by aqua guard and own purified
systems. Hence local brands are more preferable then branded one like BISLERI.Bisleri’s major segmentation variables for consumer markets.
250 ml cups Marriages, parties, Indian airlines
travellers,
Teenagers , college students and
Roadside consumers.
a ce
Consumers demanding a little more
water at just a little more price.
2 litres s ‘Small offices, shopkeepers,
Households.
Households, institutes, offices,
Retail, shops, showrooms,
Houscholds, institutes, offices,
Schools and colleges.
List of key management personnel
© Director Mr. Kadeer Khan
© Deputy General Manager Mr. Rohit Gupta
© Franchise Manger Mr. Jalees AkmalMARKET B
HOW OFTEN DOES HE PROVIDE YOU A BILL?
I never ask for s
ill
15%
Always
31%
Sometimes
32%
HOW OFTEN DOES HE PROVIDE YOU A BILL? Frequency | Percentage
Always 19 BLAS
Sometimes 39.35
Never 9 14.75
I never ask fora bill ls 14.75
Total | 61 100
Only 42 percent and 31 percent shopkeepers in both the markets were getting bills
on regular bases
Around 14% retailers in both the markets were never getting bills by distributor.
There was also negative sign on part of retailers; 18% in Market A and 14%
retailers in Market B never cared to take bills from distributers.
This states that shopkeepers to avoid taxes and extra charges don’t take bills.
Also these people were supplied on differentiated rates.
Q.12 Would you Iike to place any orderMARKET B
Card Collected back
Card collected back Total
N 4
Y 84
| Grand Total 158
© There were very similar results in Market 2 as well, here also major number of
cards that is 53% were collected back indicating the importance of schemes to the
people.
© Reason behind not getting cards back were lost cards, misplaced cards and some
retail
s even threw the cards away.5: Which factor can change your brand preference?
RO/AQUAGUARD Q
3
QEPX+P S+P+Q Q+PX+S+P
Where:
Q
PX
S = Service
Quality
Price P = Packaging
FACTORS AFFECTING BRAND |
PREFERENCE
opx
mPK
as
asea
OPKs
oP Ks
GaP Ker
ms+P+d
DarPKeseP
Fig. 10
According to the above study price and quality combination is the most preferable one
among the corporate sector i.e. 34% corporate are opting it, Then 11% of the
refer price as the most important factor.9% of the corporate opt for price
corporate pi
of the most
se combo. Hence through this it is concluded that price is oneI never ask for a
bit
18%
HOW OFTEN DOES HE PROVIDE YOU A BILL?
Sometimes
2%
HOW OFTEN DOES HE PROVIDE YOU A BILL? Frequency | Percentage
Always, 35 42.16
Sometimes | 22 26.51
Never mn 13.25
Inever ask for a bill Is 18.07
Total 83 100To effectively devise and implement the best possible brand positioning strategies,
companies must pay keen attention to their competitors. Markets have become too
competitive to just focus on the consumer alone?
Competitive Forces
Michael Porter has identified five forces that determine the intrinsic long run
attractiveness of a market or market segment: industry competitors, potential entrants,
substitutes, buyers, and suppliers. His model is shown below:
1. Threat of Intense segment rivalry- A segment is unattractive if it already
contains numerous, strong, or aggressive competitors.
2
‘Threat of new entrants- A segment’s attractiveness varies with the height of
its entry and exit barriers. The most attractive segment is one in which entry
barriers are high and exit barriers are low.
Threat of substitute produets- A segment is unattractive when there are
actual or potential substitutes for the product. Substitutes place a limit on
prices and on profit.
4. Threat of buyer's growing bargaining power- A segment is unattractive if
buyers possess strong or growing bargaining power.
‘Threat of suppliers growing b:
ining power- A segment is unattractive if
the company's suppliers are able to raise prices or reduce quantity supplied.Q.7 Does Bisleri distributor visit your shop?
MARKET A
Bisiori distributor visits your shop?
Bisleri distributor visits your shop? Total
N 30
Y 87
| Grand Total 7
* In Market A 74% of the shops covered are visited by Bisleri distributer.
© If we compare it with question number 3 that off these 74% retailers almost all
buy Bisleri only leaving 4% behind.
© This suggests that distributors are well up to there task in this region.MARKET B
KINDS OF CUSTOMERS VISITED
KINDS OF CUSTOMERS VISITED | Total
| Daily walk-in 130
Regular Customer 8
Party & Marriage orders 3
| Total 41
‘© By this question researcher is trying to find out that what are the kinds of
customers, visiting retailers, for packaged drinking water,
© Ils very clear that maximum number of customers’ are daily walk in.
‘© But another fact lies behind this question is that retailers involved in regular
deliveries and orders are selling way more then those selling to daily walk ins.
‘© There is one shop in Market A (Jaina Ice-cream parlour) which is involved in
orders, sells above 300 cartons every month. And in this scheme month it sold 402
cartons which included around 300 Sltr pet jars.
Q.5 What attracts you the most in choice of mineral water?
MARK!8: How long are the organizations associated with the brand they are using?
Ans:
HOW LONG ARE THE ORGANIZATIONS
ASSOCIATED WITH THE BRAND THEY ARE
USING?
104 MONTHS:
84-8 MONTHS
(08-12 MONTHS
(COMORE THAN 12
MONTHS:
Fig. 13
The above pie-chart depicts that how long are the organizations associated with the
brand they were using. Most of the organizations lie between the category of 4-8
‘months that's because there are different promotional schemes that keep on coming &
entice the organizations to switch over to other brand, Brand loyal clients are in very
less ratio i.e, the ones who are using the brand for more than one year.Q.3 Which mineral water do you sell at your shop?
MARKET A
Frequency of various brands being sold at retail outlets
Brands | Percentage Frequency of various brands being sold at retail outlets
Bisleri | 70 a
Bailley | 7.5 9
Aquafina | 9.17 u
Kinley 5 6
Kingfisher | 1.6 2
Fosters 84 I
Others. 5.84 7
Total 100 120Observations & suggestion
Our industrial visit for Bisleri started by entering the gate of Bisleri
company situated at Andheri (E),
The entire campaign of the Bisleri was in green color which shows the
environmental friendly color
The entire campaign was built around the tamper proof seals. The
campaign focused on the safety provided by the "breakaway" seal, by
illustrating the ease with which conventionally sealed bottles could be
refilled and recycled.
There was new design in the Bisleri products. The new design was
patented to prevent it from being copied by others. The new pack is
trendy and has been well accepted by the consumers as we have
experienced in the case of 500 ml and $ liter sizes." The new pack also
allowed better brand display. Vertical labeling was easier on flat sleeved
packages. It made label information visible from all sides of the bottle.
Consistent quality and taste are two of the principal differences between
bottled water and tap water it means that the bottled water are safer then
the tap water.3: How long your organization has been associated with this brand?
Ans:
biw 0-3 months b/w 4-6 months b/w 7-12 months above 12 months
13 2 24 4
Loyality towards brand
0
as }——}+—_ =
a
ft 15 = | ad
50 10
7 iE a
° o
b biw 4-6 blw TAZ wer?
Months
Fig. 9
The above diagram shows that how loyal an organization is towards one particular
brand. Maximum corporate i.e. 24% stick to one brand for 7 to 12 months, then 2
for 4 10 6 months only 14% are associated for more then a year. So this brings out the
uncertain behavior of the corporate sector towards one brand. Corporate sector is
demanding more innovations and more price discounts schemes ete. The one who is
providing all that they immediately shifts to that advantageous brand. Hence,
corporate are more demanding and less loyal towards the brand.Incentives for the salesmen:
A basic salary of around Rs 2000 to Rs 2500 is given irrespective of the performance
of the salesman. Incentives are given in total as a lumpsum either at the end of the
month or as bonus at any point of year. Thus the incentive for the sales people is
Fixed Salary plus Bonus.
Price Margins for the products:
Based on the primary data from the distributor; following are the margins which the
distributor gets from the company for various capacities:
Capacity Cost Price | Selling Price Margin (Rs) | Schemes to
(Liters) (Rs)Crate —_ (Rs)/Crate Retailers
% Liter (24pe | 170 180 10 2 bottles of
per crate) 500ml are
given free to
retallers
1 (12pe per | 114 124 10 | 2bottles of 1L
crate) | are given free
| to retailers
2 (pe per) 148 158 6 1 bottle of 2L
crate) Is given free
ea 54 58 4 | Retailers
prefer localSWOT ANALYSIS OF BISLERI
STRENGHTS WEAKNESSES
4 Nearly 60% share in market. 4 Highly priced products.
4 Well established distribution High costs of production
channel. + Distributers reluctant to change.
4 Initiaters advantage.
4 Brand recognisation
4 Only company in [Link] segment,
4 Best quality product accepted.
OPPORTUNITIES: THREATS
4 Growing Indian packaged drinking Nearly 200 brands in this sector.
‘water market. ‘ Many new players entering
+ Expected to cross 1000 crore mark. market.
+ Competitors ability to invest.
Eg-Pepsi and coke.7: Are you satisfied with Bislerl's awareness programmes, sales campaigns,
advertising, and publicity?
Ans:
NO
65%
Fig.12
The above survey shows the satisfaction among organizations regarding the Bisleri's
sales promotion methods. And the results are like this 65% of them are not at all
satisfied with Bisleri campaigns, advertising, and publicity. according to them Bisleri
should more focus on its promotional activities like advertising, awareness among
people, also put their banners, should provide more consumers benefit schemes.RESEARCH METHODOLOGY
My research is descriptive research as it includes a questionnaire survey and it is a
fact finding enquiry through retailer's scheme card. And I am focusing on retailers
viewpoint towards packaged drinking water and problems associated
My Project is descriptive research due to the following factor:
* Itdescribes the characteristics of retailers in Delhi city
‘Iti carried out to estimate the approximate percentage of units in a specified
population exhibiting certain behavior.
‘© Ithelps in determining the perception of product characteristics.
© tthe certain predictions related to packaged drinking water.
Regardless of the method or the design of the research that is used to obtain the
primary data, the decision for this very research activity in the field of FMCG and
about surveying the entire population of retailers or only a representative portion of
the population of the market had to be made.
SAMPLE UNIT
As the project was being done for the Delhi branch of the Bisleri the sample unit
taken was retailers of Delhi city.
SAMPLE SIZE
The sample size selected was 50 respondents. This was due to the time and resource
constraint faced by the researcher during the project.
SAMPLE SELECTION
Respondents were selected on the bases of assigned markets by the company; all
retailers in those markets were covered. Criteria for selection were-
«All retailers selling packaged drinking water.
«Retailers who were not into packaged drinking water but can be a future
prospect for a company.How many scheme cards were collected back of 265 distributed to shopkeepers?
MARKET A
Card Collected back
Cards collected Total
N St
Y 66
Grand Total 7
© Off 117 cards distributed in Market A, 66 that is 56% of cards were collected
back.
* This suggests that people in this area do care about such schemes and just don't
throw away the cards considering them useless.4 of Marketing
4p’s of marketing is the base of marketing. The decisions in marketing
namely depends on mix marketing .This concept give sense to the owner that in
what way product can be produced in market. A manufacturer can capture the
market by applying 4p’s systemically.
4p’s of marketing is as under:
1. Product
2. Price
3. Place (distribution)
4. Promotion
There are two types of promotion-
1. advertising
2. sales promotion
3. 1 Product:-Product is anything that is offered to satisfy needs and
‘wants of the customer. So that they can easily survive.
2. Prlce:When ever company launches a product in the market they
have to fix certain price according to the product so that customer
buys the product economically.
3. Place (distributton):-Place is also called distribution. If a company
launches a product in market it should be made available conveniently
so that the consumer can casily buy it. If distribution is not proper in
the market the product may fail.
4. Promotion:- Promotion is the mode of communicating with the
customer. This is the area where people get to know about the product.© 250m!
© 500m!
eile
© site
© hr
© Site jar
© 20ltr jar
There were total of 34 retailers who responded to this question and placed
there orders.
In total there were orders of around 150 cartons in whole.
This response were majorly from those people who wanted to reach there
targets to avail the scheme provided by company.
In Market B major respondents were those people where supply was very
irregular.
These supplies were made by directly placing order to the distributer by
researcher.
SUMMARY OF GIFTS DISTRIBUTED
[Link] | GIFTS MARKETA. MARKET B
1 WALLCLOCK 9 2
2. TRAVELBAG 5 1
3. ICE-BOX 6 0
4. TROLLY-BAG 0 0
5. MOBILE HANDSET 3 0MARKET B
Frequency of Shop Type
Dairy and
Medical Store
W
Pan shop.
5%
Juice, Cold
rinks & Food
Stores
General / Kiran!
Store
39%
‘Type of shop Frequency of shop type
Juice, Cold drinks & Food Stores n
General /Kirana Store 61
Pan shop 8
Dairy and Medical Store Lv
Total 158
© Maximim number of shops in both region are juice,colddrink and food shops and
General/Kirana stores.
‘© But dairy/Medical and pan shops in both regions have there importance as almost
each shops of these kind sell packaged drinking water.FINDINGS
Retailers in Delhi believe that water is just water and it does not make difference
from whom they buy it from.
Retailers in Delhi mostly believe in what are the margins provided to them by the
companies.
Most positive aspect of Bisleri in market is that people believe that Bisleri is a
best quality packaged water in market.
Apart from all the issues overall Bisleri still holds it position as a Market leader.
Bisleri is a highest priced product in the market, and market customers are daily
walk inns; hence they are not ready to always pay more then 12 rupees for a Iltr
bottle which sells most.
Companies like Aquafina and Kinley are providing free product to the
shopkeepers with purchase of there cola’s, which is bringing down the sales in
‘many areas.
Pepsi and Coke provide free refrigerators to retailers in which they are not letting
them keep any other companies product, this in turn is breaking sales of Bisleri
« tomer asks for cold water.
ise usually a 1
Distributers in Delhi are very reluctant to change.
Distributers just don’t visit any other shops except those which regularly buy from
them in other words they just don't move away from there set routes.
As Delhi is very old city hence there are lots of shops in small streets which are
not covered by distributers, as they usually just move along main roads.
There were lots of complains in Market B of suppliers, many of retailers
responded that Bisleri people doesn’t visit at all
Retailers in Delhi are in habit of not asking for bills and suppliers too don’t
provide bills on regular bases on there own.Q.8 How often Bisler! Distributer visits your shop?
MARKET A
HOW OFTEN HE VISITS?
"Dont Buy
Bisiert Almost Every
20% Oey
25%
Twice or Thrice
a Week
23%
HOW OFTEN HE VISITS? Frequency | Percentage
Almost Every Day 30 25.64
‘Twice or Thrice a Week 27 23.08
Once a Week 28 | 23.93
Never 9 (7.69
I Don't Buy Bisleri 23 | 19.67
Total 17 | 100MARKET B
Does Bisiori distributor visits your shop?
Yes
43%
Bisleri Distributor visits your shop? Total |
N 90 |
Y - 68
Grand Total 138
Major portion of shops in Market B are not visited by Bisleri distributer.
Only 68 off 158 shops are visited by Bisleri supplier in this region.
This suggests that system applied by distributers in this region is not successful.
If shops are not visited on regular bases they tend to switch to casily available
brand and brand which has better supply system.
This is problem which is being exploded by other companies in this region like
Bailley.DATA COLLECTION TOOLS
PRIMARY DATA
Primary data was collected through questionnaire method and also through retailers’
ched to the annexure of this
scheme card. The Questionnaire and Retailers card are att
report. It contained 12 questions and covered the necessary areas needed to complete
the research,
SECONDARY DATA
Secondary Data was collected from sources at the office, magazines", newspapers and
websites.
VARIABLES INVOLVED
+ Type of retailers.
+ Features of product offered
+ Retailer's perception on packaged drinking water.
+ Retailer's expectations from company.
‘Limitations and challenges while under going the research
© First, it was not a consumer's survey but retailer's survey; it was really hard to
find a free sitting shopkeeper in peck hours of a day when survey was carried
out.
© Biggest limitation of this report is that in all the markets covered there were 4
distributers and they all have there own way of working, That is the reason
there were totally opposite response from some markets to the others with
different distributers.# Services with 6% and 8% does not affect the retailers much, it just comes as a
consolation to them.
© There were 30 non respondents in total in these markets to this question.
‘© Response to this question brings about the fact that retailers are most attracted
towards margins when it comes to choice of a product.
Q.6 Do you have fridge provided by any company?
MARKET A
Fridge provided by any company
Fridge provided by any company Total
N 83
ly 4
Grand Total 7
* This question has its place in questionnaire because customers having fridge
provided by any company usually are forced not to buy Bisleri as companies like
Coke and Pepsi doesn't allow any other product to be kept inside there
refrigerator.
© In Market A just 29% retailers have fridge provided by any other company that’s
why Bisleri sales are not affected here due to this reason.