Summer Internship Project
Strengths and Weaknesses of Bisleri in the market and its
Distribution Channel(Effect of price rise of Bisleri and placement
of 20Ltrs of Jars in the market) Submitted in partial fulfillment
of PGDM 2010-12
Submitted by
Anshul Kumar Jain Roll No FA10014Company Guide Faculty Guide
Mr. R. L. Narsimhan Asst. General Manager Bisleri Int. Pvt.
Ltd.
Mrs. Yukti Ahuja Lecturer Jagan Institute of Management
Studies
Jagan Institute of Management Studies Rohini, New Delhi May -
July 2011
CERTIFICATEThis is to certify that the project work done on
"Strength and Weakness of Bisleri in market and its distribution;
Effect of Price hike of Bisleri in the market and placement of
20Lts. jar" is an original work carried out by Mr. Anshul Kumar
Jain under my supervision and guidance. The project report is
submitted towards the partial fulfillment of Two year, full time
Post Graduate Diploma in Management. This work has not been
submitted anywhere else for any other degree/diploma. The work was
carried out from 2nd May 2011 to 2nd July 2011 in Bisleri
International Pvt. ltd.
Mr. R. L. Narsimhan Asst. General Manager Bisleri International
Pvt. Lt
Date:
Anshul Kumar Jain PGDM-FT FA10014 JIMS Rohini
2
AcknowledgementI would like to express my sincere gratitude to
Bisleri International Pvt. Ltd for providing me an Opportunity for
this learning experience. I would like to express my deep gratitude
to Mr. R. Lakshmi Narsimhan Asst. General Manager who has been a
great support and a source of inspiration throughout my internship
period. Without his guidance and continuous support the project
could not have been completed successfully.
This project would have been impossible without the support and
co-operation of the Ms. Avantika Dwivedi Executive HR, Bisleri
International Pvt. Ltd. I am grateful to her for not only guiding
me through this project on a day to day basis, but also providing
me unflinching support and endless resources while I tried to get a
foothold in my corporate experience. I would also like to extend a
warm thanks to Mr. Sunil Kumar Chhabra Senior Sales Executive for
giving me valuable insights for the project and taking the trouble
of explaining the finer nuances of their functions.
It is indeed a moment of immense gratification for me to express
my deepest gratitude to Dr. J. K. Goyal, Director of Jagan
Institute of Management Studies and Prof. (Dr.) Madan Mohan, Dean
of Jagan Institute of Management Studies Mrs. Yukti Ahuja, Lecturer
for providing me with an opportunity to carry out this project
study and help me create this report on Strengths and Weaknesses of
Bisleri in market and its Distribution channel
I would also like to acknowledge the support of JIMS for
providing the valuable resources and my professors who have taught
me. Last but not the least; I would like to thanks my batch mates
for providing a helping hand as well as continuous encouragement
and motivation throughout the project.
Anshul Kumar Jain PGDM FA10014
Jagan Institute of Management Studies, Rohini 3
DECLARATION I hereby declare that the Summer Training Project
entitled "Strength and Weakness of Bisleri in market and its
distribution; Effect of Price hike of Bisleri in the market and
placement of 20Lts. jar" submitted by me to Bisleri International
Ltd., for Post Graduate Diploma in Management 20102012 is
absolutely general and consist of original work.
Anshul Kumar Jain PGDM FA10014 Jagan Institute of Management
Studies, Rohini
4
PREFACE 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. Parle bought over
Bisleri (India) Ltd. In 1969 & started bottling Mineral water
in glass bottles under the brand name 'Bisleri'. Later Parle
switched over to PVC non-returnable bottles & finally advanced
to PET containers. Since 1995 Mr. Ramesh J. Chauhan 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. BISLERI
command a 60% market share of the organized market. Overwhelming
popularity of 'BISLERI' has made it synonymous to Mineral water
& a household name. Bisleri has developed 8 unique pack sizes
to suit the need of every individual and they are present in 250ml
cups, 250ml bottles, 500ml, 1L, 1.5L, and 2L which are the
non-returnable packs & 5L, 20L which are the returnable packs.
This project is based upon the agenda to analyze the market share
of Bisleri bottles in particular markets of Delhi. The core aspect
of the report will hover around the effect of price increase of
bisleri 1lit bottle in the market. Things are also discussed
related to the Distribution system and problems occurring through
it in the sales of Bisleri bottles. What are those problems and
what has been the effect of price increase of Bisleri 1ltr bottle
have been discussed in this report later. The project was carried
out entirely in Delhi region. This project is exploratory in
nature. Retailers of Mineral Water had been inquired and first hand
information is used to form this report. It was tried at the level
best to cater each and every single outlet of at least every major
market so that an authentic and productive result can be fetched
out. Rather than asking any set pattern of questions, retailers had
been asked with distinctively different questions as per there mood
and convenience with the aim to fetch more and more information. At
the end of this report few observations are been quoted which were
felt essential during the whole procedure. I hope this report will
add little knowledge to whosoever read it.
5
Table of Content:S. No. Topic Page NO. Part A 1 2 3 Executive
Summary Introduction Company Background 4 Vision Mission Values
Distribution channel Industry analysis Competitive analysis SWOT
Analysis 25 26 28 29 32 8 9 19 22
Objective
Part B
5 6 7 8 9
About the project Literature Review Research Methodology Data
Analysis Findings
33 34 38 41 42
6
Part C
10 11
Conclusion Recommendati ons and Suggestions
44 45
Research done exclusively at Delhi Metro Stations Market
Research Design Data Analysis Recommendations and Conclusion
46 47 48 60
Annexure
61
Bibliography
65
7
Chapter 1 Executive SummaryThe two month internship project with
Bisleri Corporation gave me a platform to research and analysis of
the marketing strategies and business growth of the company in the
field of bottled mineral water of one of the prominent brands in
Indian market. This study of the marketing strategy was held in 3
stages as follows 1. Understanding the marketing strategies of the
Bisleri, 2. Collecting data by directly contacting the vendors in
the market that included major field work, and 3. Analyzing facts
gathered in the second stage
In the first stage of the study we attempt to deeply understand
the marketing strategies that are followed in Bisleri where we
noticed that people out there are very self motivated and
aggressive as far as the product is concerned, since they are
dealing with the legacy of a renowned brand therefore they are
strict with the core values of the organization. Their marketing
strategies include health as the USP since Bisleri is known for
their healthy mineral components.
In the second stage of the study we visited the vendors those
who sales Bisleri in the central; northern and western parts of the
Delhi region. We collected data on the basis of the questionnaire
that we prepared from these vendors and for our understanding we
tried to communicate with almost all of them about the facts as to
what is the brand image in the market and what they have to say
about the business relations with Bisleri.
The final stage was where we analyzed the so collected data and
made our research fruitful in terms of suggestions and
recommendations as to improve the brand worth of the Bisleri in the
market as per our understanding. The recommendations included the
betterment of the distribution channel, margins to the retailers
and packaging.
8
Chapter 2 IntroductionIndia is the tenth largest bottled water
consumer in the world. In 2002, the industry had an estimated
turnover of Rs.10 billion (Rs.1, 000 crores). Today it is one of
India's fastest growing industrial sectors. Between 1999 and 2004,
the Indian bottled water market grew at a compound annual growth
rate (CAGR) of 25 per cent - the highest in the world. With over a
thousand bottled water producers, the Indian bottled water industry
is big by even international standards. There are more than 200
brands, nearly 80 per cent of which are local. Most of the
small-scale producers sell non-branded products and serve small
markets. In fact, making bottled water is today a cottage industry
in the country. Leave alone the metros, where a bottled-water
manufacturer can be found even in a one-room shop, in every medium
and small city and even some prosperous rural areas there are
bottled water manufacturers. Despite the large number of small
producers, this industry is dominated by the big players - Parle
Bisleri, Coca-Cola, PepsiCo, Parle Agro, Mohan Meakins, SKN
Breweries and so on. Parle was the first major Indian company to
enter the bottled water market in the country when it introduced
Bisleri in India 25 years ago. The rise of the Indian bottled water
industry began with the economic liberalization process in 1991.
The market was virtually stagnant until 1991, when the demand for
bottled water was less than two million cases a year. However,
since 1991-1992 it has not looked back, and the demand in 2004-05
was a staggering 82 million cases. Bottled water is sold in a
variety of packages: pouches and glasses, 330 ml bottles, 500 ml
bottles, one-liter bottles and even 20- to 50-litre bulk water
packs. The formal bottled water business in India can be divided
broadly into three segments in terms of cost: premium natural
mineral water, natural mineral water and packaged drinking
water.
9
Premium natural mineral water includes brands such as Evian, San
Pellegrino and Perrier, which are imported and priced between Rs.80
and Rs.110 a liter. Natural mineral water, with brands such as
Himalayan and Catch, is priced around Rs.20 a liter. Packaged
drinking water, which is nothing but treated water, is the biggest
segment and includes brands such as Parle Bisleri, Coca-Cola's
Kinley and PepsiCo's Aquafina. They are priced in the range of
Rs.10-12 a liter. Consumption of bottled water in India is linked
to the level of prosperity in the different regions. The western
region accounts for 40 per cent of the market and the eastern
region just 10. However, the bottling plants are concentrated in
the southern region - of the approximately 1,200 bottling water
plants in India, 600 are in TamilNadu. This is a major problem
because southern India, especially TamilNadu, is water starved. The
cost of a bottle, along with the cap and the carton, is the single
biggest cost - between Rs.2.50 and Rs.3.75 for a one-liter bottle.
For water sold in big plastic jars (20-50 liters), which are also
reused, or in pouches, this cost is much lower. It is precisely
owing to this that companies sell water at even Re.1 a liter in a
20-50 liter jar and still make profits. Labour and establishment
and marketing costs are highly variable and depend on the location
and size of companies. Informal discussions with industry members
reveal that the gross profit of this industry can be as much as
between 25 and 50 per cent. The reason that companies do not have
to bear the cost of the main raw material - water - has made this
industry highly profitable. But the real cost of the industry is
huge. The cost of fast-depleting groundwater is incalculable and so
is the cost of disposal of plastic bottles and pouches. These are
hidden costs that society and the environment pay and will pay in
the future. The sale of bottled water is therefore not
environmentally sound by any stretch of the imagination. Several
small players have entered the market in India to capitalize the
craze, with no check on them. There has hardly been an involvement
of any statutory body in defining specific standards. The bureau of
Indian standards has got involved in the process, in September
2000, the government of India has
10
made mandatory for all bottled water companies to get an ISI
mark, including imported water bottles like Evian and Perrier.
The BIS has formulated separate standards for packaged drinking
water and packaged natural mineral water. These are a list of
stringent norms and regulations dealing with the Standard Mark
(ISI) hygiene, treatment, microbiological and chemical testing,
packing and marking and labeling which must be followed during the
manufacturing and packaging process. The BIS Packaged Drinking
Water Specifications state clearly the standard to follow drinking
water (which) means water from any potable source, including public
drinking water supply systems under IS 10500 (Indian Standard for
drinking water).
OBJECTIVES OF THE PROJECTThis project provides the deep
understanding of 1. Sales and Marketing strategies used in Bisleri
Co. 2. How distribution channels are designed and operated in Delhi
and ncr region 3. CRM as the basic tool to keep Bisleri ahead from
its competitors 4. Situation of the market shares held by different
players in the current prevailing market 5. Desires of the
different level of the distribution hierarchy for marketing the
product effectively 6. Challenges faced by the retailers and the
distributors in the course of selling the product 7. Competitors
strategies and competitive edge as compared to other brands 8. The
schemes and discount demands of retailers in terms of commissions
and other help that they seek from the company 9. Brand royalty and
brand worth in the market in comparison with other available
products 10. Recommendations on how to increase the sales of the
company and how to cater the need of the people via retailers.
11
MINERAL WATER INDUSTRY:
One cannot think about life without water. We are blessed with
adequate natural resources of water but increasing population,
alarming rate of global warming and rapid industrialization and
lack of adequate and improved management of the water supply
systems resulted in the increased rate of water consumption,
wastage of water and deteriorating condition of the water supply
networks and the result is, scarcity of water. The Water shortage
around the world and particularly in the developing countries has
opened new doors for bottled water Industry.
Bottled water is sold in a variety of packages right from 200 ml
pouches and glasses, to 330 ml bottles, 500 ml bottles, to
one-liter bottles and even 20- to 50-litre bulk water packs. In
terms of cost the bottled water business in India can be divided
broadly into three segments, premium natural mineral water, natural
mineral water and packaged drinking water. It is obvious to found
the bottled water manufacturer in metro cities though it might be
running only in one room or shop, but its surprising to know that
at present in many medium and small villages and even in some of
the prosperous rural areas you will find the local manufactures of
bottled water and local brand of bottled water laying with the well
known brands on the same shelf.
Parle was the first major Indian company to enter the bottled
water market in the country when it introduced Bisleri in India 25
years ago and created Bisleri as the synonym of mineral water but
now that image is getting deteriorated with the entry of major
international giants like Coca cola, Pepsi, Nestle and noticeable
presence of national players like Mount Everest, Manikchand,
Kingfisher.
Their distribution network with professional marketing approach
has resulted to capture the major chunk of the bottled water market
though they are receiving good fight from the local players as
well.
12
One thing have to be noted in this business is that the required
infrastructure and the distribution network requirements are same
for major players and small or local players but in as per my
belief where they can make difference is the only marketing and
branding part.
Almost all the major international and national brands water
bottles penetrated in the Indian market and are available at right
from the malls to railway stations to bus stations to multiplexes
to grocery stores and even at panwala's shop. It has penetrated so
deeply in to market and now its become very common to consume
bottled water whereas before few years it was considered as the
rich people's
choice and fashion to consume bottle water. Thanks to low
pricing and aggressive marketing strategies adopted by the
multinationals. Some surveys show that truck drivers on highways
form a major chunk of bottled water drinkers. Penetration in rural
areas is another significant factor that is likely to play a key
role in the development of the bottled water trade.
CURRENT SCENARIO OF MINERAL WATER INDUSTRY The best beverage for
India in new millennium seems to be water. In recent years, the
bottled driving water market has been witnessing high decibel
levels of activity, with a host of new entrants swelling the
clutter. With over 200 players jostling to be the thirst quenching
favorite of the Indian consumer, the business is growing at a very
fast pace almost 50% annually and Bisleri enjoying the lions share
in the market so the future prospects are high indicating it in the
growth stage of the product life cycle
AIMS AND ESTABLISHMENT OF THE COMPANY: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 bottles under the brand
name 'Bisleri'. In due course Parle switched over to PVC
non-returnable bottles and finally advanced to PET containers.
13
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 India, with plans of setting up 4
new plants on the anvil. The overwhelming popularity of 'Bisleri'
and the fact that it is the pioneers of the bottled
water industry in India has made us 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 a market leader 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, we also manufacture our
own bottles, in-house. To be at par with International standards,
they have recently procured the latest state-of-the-art machinery
which has not only helped us improve packaging quality but has also
reduced raw material wastage and doubled production capacity.
You can rest assured that you are drinking safe and pure water
when you consume Bisleri. Bisleri is free of impurities and is 100%
safe. Enjoy the sweet taste of Purity.
DIFFERENT PRODUCTS OF BISLERI: 1. VEDICA 2. MINERAL WATER 3.
MOUNTAIN WATER
14
1. VEDICA:
Vedica Natural Mountain Water comes to you in all its untouched
purity, right from its source. Gushing from an aquifer with intense
pressure, the natural mountain water is pushed above the ground
surface to a height of 5 meters above ground level, powerfully and
consistently. The underground geological origin guarantees that
there is no external Contamination, since the mouth of the water
source is covered from rocks on all sides. Besides, being naturally
fortified with silica, the spring is naturally free form any
Microbial infection or pollution. Vedica Natural Mountain Water is
also low on sodium, making it the perfect choice for the health
conscious. It has a high proportion of sulphates, which work as
natural detoxifying agents. And its clear, sweet taste proves that
it is free of calcium carbonate and magnesium carbonate salts,
which give some mineral waters a chalky taste. Scientifically put,
the Total Dissolved Solids in Vedica Natural Mountain Water
is225mg/ltr. It is also high in sulphates, the natural detoxifying
agents. Ensuring that all you get with Vedica Natural Mountain
Water is the sweet taste of purity. Vedica Natural Mountain Water
is available in 500 ml and 1 liter bottles Our new Vedica is the
most alkaline water there is. Vedica pH is 7.7, Himalayan pH is 7.3
& Evian pH is 7.2. For those who are not so skeptical about the
benefits of the alkaline lifestyle, alkaline water helps to
neutralize acids and remove toxins from the body - it is a great
cleanser and helps to detoxify our system.
15
Comparative study of Chemical Parameters of Vedica, Himalayan,
Evian and Volvic SR. NO. 1 2 3 4 5 6 7 8 PARAMETER PH TDS at 180
deg.C (ppm) Calcium (ppm) Chlorides (ppm) Bicarbonates (ppm)
Sulphate (ppm) Magnesium (ppm) Sodium (ppm) VEDICA 7.7 225 47 13
201 19 13 14 HIMALYAN 7.3 330 62 8 63 --15 20 EVIAN 7.2 309 78 4.5
357 10 24 5 VOLVIC 7.0 130 11.5 13.5 71 --8 11.6
2. MINERAL WATER: This product is bottled drinking water at its
best. Bisleri with added minerals has a TDS count (total dissolved
solids count) of approximately 100. It contains minerals such as
magnesium sulphate and potassium bicarbonate which are essential
minerals for healthy living. They not only maintain the pH balance
of the body but also help in keeping you fit and energetic at all
times.
Bisleri with added minerals is also put through multiple stages
of purification to ensure the elimination of all forms of bacteria.
This makes the water you drink completely safe to consume. Bisleri
with added minerals is available in 250ml cups, 250ml bottles,
500ml bottles, 1 liter bottles, 1.5 liter bottles, 2 liter bottles
and 5 and 20 liter cans.
PURIFICATION:
Every drop of Bisleri water is purified as per international
standards to ensure that your Bisleri experience always remains
pure and satisfying for longer.
16
3. MOUNTAIN WATER: For over 30 years, Bisleri has been the
pioneer in the bottled water industry with its innovations and an
eye for perfection. And ever since it was established in 1969,
Bisleri has constantly searched for inspiration in nature.
This search has now led us to the new Natural Mountain Water.
Inspired by nature, it comes to you from a pristine source situated
in the beautiful and scenic mountains of Northern India.
Natural Mountain Water resonates with the energy and vibrancy of
health and well-being. It is packed with the goodness of nature's
minerals which will refresh your senses and rejuvenate you. We
invite you to experience our Natural Mountain Water - The sweet
taste of purity.
NATURAL SOURCE:Ground Water Conditions (non policy)
The water contained in deeper aquifers (water bearing zones) are
under hydraulic pressure. Due to high piezometric head and recharge
area being at higher elevation, the wells are under artesian
conditions and it makes the water to flow freely without pumping
i.e. under automatic conditions. Auto-flow of the tube well is
10,000 liters per hour (167 liters per minute). However on pumping
it yield 20,000 liters per hour.
The plant area falls within the spring line. Artesian conditions
are confirmed to the Tarai zone, south of the spring line. Confined
aquifers occur where ground water is confined under pressure, being
overlain by relatively impermeable strata. In a well, penetrating
such an aquifer, the water will rise above the bottom of the
confining bed. If the water level rises above the top of the
confining layer, above the ground surface, free flowing/auto flow
conditions results.
17
Hydroogical Setup
There are plenty of moist and water logged areas around the
spring line particularly during monsoon season. The sand and gravel
associated with the finer fraction are the major aquifers in this
zone. These are generally in continuity and are recharged through
them by downward percolation and consequent lateral outflow within
the zone.
The plant area falls within the spring line. Artesian conditions
are confirmed to the Tarai zone, south of the spring line. Confined
aquifers occur where ground water is confined under pressure, being
overlain by relatively impermeable strata. In a well, penetrating
such an aquifer, the water will rise above the bottom of the
confining bed. If the water level rises above the top of the
confining layer, above the ground surface, free flowing/auto flow
conditions results.
Genesis
The origin of natural mineral water proposed to be drawn from
the aquifer at a depth ranging from the aquifer at a depth ranging
from 62.50 m to 79.30 m below ground level is meteoric. Ground
water movement is through sediments comprised of sand, gravel,
pebble & boulder of quartzites, which act as natural and most
hygienic filters. The coarser sediments (sand & gravel) occur
alternating with clay beds, which act as natural caps. Since the
material (sand & gravel) water bearing zones which have been
tapped in the tube well are composed of quartzites which contain
mainly Sio2, hence there are no chances of mixing any constituents
with the ground water. In view of the above the quality of water is
also not likely to be changed on pumping and with seasonal changes.
The aquifers, which have been tapped, are under artesian conditions
and water flows automatically.
18
Chapter 3COMPANY BACKGROUNDIn 1967, Bisleri an Italian company,
started by Signer FeliceBisleri, 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 Thumps 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 PRESENTIt was around the year 1995, when Parle Exports took
charge of the brand operations and the business took off in the
market. With factories across India and a strong distribution
network, Bisleri established itself as a force to reckon with in
the domestic packaged drinking water market. Earlier the packaged
drinking water market consisted of five star hotels, tourists and
foreigners. As a marketing strategy, a conscious decision was taken
by the company that only 40% of the sales should come from these
outlets and 60% from general market, i.e. paanwallas, street shops,
general stores and even non-tourists. This brought about a sea
change in the perception in the consumer's mind about consumption
of Bisleri. Earlier, drinking bottled water was considered to be
more of a status symbol. That thinking has slowly changed to the
point where today, not drinking Bisleri is considered as being
behind the times. Such has been the presence and penetration of the
Bisleri brand in the bottled water segment. About few years ago, in
1998, a strategy was adopted to concentrate aggressively on the
home market. The habit of boiling water or using electronic gadgets
was not adequate, since the source of water itself was
unreliable.
19
FUTURE PLANSBisleri was the first to market bottled water in a
totally virgin market and naturally people associate the brand with
bottled water. Now Bisleri is perhaps already ten steps ahead of
its competitors and will endeavor to widen its gap in the times to
come. Bisleri's brand positioning stresses on pure, clean and safe
drinking water. Some of the future plans to maintain the top spot
that Bisleri 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. While the controversy over European standards is
going on in India, Bisleri, the acknowledged Indian market leader,
is now set to sell still and sparkling waters in Europe and
America. Bisleri is confident of entering the European market and
has been tested by the Central Food & Technology Research
Institute (CFTRI), Mysore. The CFTRI-tested Bisleri water using
European standards and found 'not detected' for all pesticides
specified. This European launch will silence critics who had raised
issues concerning Bisleri's water quality, a company press release
said. The company stands proud by its high international quality
and has the confidence to take the European market by storm. Says
Parle Bisleri chairman Ramesh Chauhan: "The fact that we have
reached out to international markets is an acknowledgement of our
quality and our penchant for safety and purity." It has developed 8
unique pack sizes to suit the need of every individual. It is
present in 250ml cups, 250ml bottles, 500ml, 1L, 1.5L, and 2L which
are the non-returnable packs & 5L, 20L which are the returnable
packs. Till date the Indian consumer has been offered Bisleri
water, however in its effort to bring something refreshingly new,
it has introduced Bisleri Natural Mountain Water - water brought
from the foothills of the mountains situated in Himachal
Pradesh.
20
Hence its product range now comprises of two variants: Bisleri
with added minerals & Bisleri Mountain Water.
Bisleri Water is put through multiple stages of purification,
ozonised & finally packed for consumption. . Rigorous R&D
& stringent quality controls has made it the market leader in
the bottled water segment. Strict hygiene conditions are maintained
in all plants.
In its endeavor to maintain strict quality controls each unit
purchases performs & caps only from approved vendors. It
produces its own bottles in-house. It has recently procured the
latest world class state of the art machineries that put it at par
with International standards. This has not only helped it improve
packaging quality but has also reduced raw material wastage &
doubled production capacity.
The company that recently launched its premium brand with
medical values Vedica, is expecting a 50 per cent growth in sales
from this brand.
PromotersParle was established in 1929 as a confectionery
manufacturing unit by late Shri Jayanti Lal Chauhan. In 1967, Mr.
Ramesh. J. Chauhan son of Late Shri Jayanti Lal Chauhan, a MIT and
MBA Graduate from University of Boston, USA, took over the helm of
the Group. It was due to his foresightedness the group bought
Italian Mineral Water Company Bisleri in 1969 that has grown to
become the Leading Brand BISLERI in Indian market. Presently
BISLERI enjoys number one position in the water market.
The Group also was a pioneer in Indian market for introducing
aerated drinks like Thumps up, Limca, Citra and Gold Spot. These
products were later sold to MNCs in 1993. Presently the focus of
organization is on packaged and mineral water marketed under the
brand name Bisleri.
21
Bisleri International Pvt. Limited (BIPL) has the history of
being the undisputed leader with constant growth and development in
an ever-changing environment. Bisleri International Pvt. Ltd is 40
years old. It has presently 8 own manufacturing units, 11
franchisee and 32 contract packing facilities across India. We will
be expanding the business to reach far & wide. Our plants are
now equipped with sophisticated machinery & state of the art
technology.
Bisleris VisionIts vision is to be the dominant player in the
branded water business where the second player is less than 20% of
its business.
Bisleris MissionIt is 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.
It must have world class quality, at the lowest production &
distribution cost. This will make it an unbeatable leader, and will
have satisfied loyal customers.
Bisleris valuesIntegrity, Leadership, Teamwork, Co-operation,
Quality, Passion, and Openness & Transparency.
Organisational Structure Senior Sales Manager ASM under the
Senior Sales Manager ASM has zones divided such as north, east,
west, south and central Sales Executive for ASM in all the 5 zones
5 Corporate Sales person for all the 5 zones Their truck drivers
are their salesmen
22
Product Range
Value ChainEvery drop of Bisleri water is purified as per
international standards to ensure that your Bisleri experience
always remains pure and satisfying for longer. The following is a
brief understanding of the water treatment process :
CHLORINATION: Kills micro organisms. Remove organic matter.
ARKAL FILTER: Removes suspended matter and turbidity.
23
CARBON FILTER: Removes residual chlorine & odours
REVERSE OSMOSIS: Removes organic material. Controls total
dissolved solids in the water.
ADDITION OF MINERALS: For the purpose of maintaining a balanced
mineral content.
MICRON FILTRATION: Additional safety measures to guarantee
purity.
OZONATION: Ensures water remains bacteria free for longer
life.
24
Distribution Channel
They have appointed Distributor for each area to sell their
products and have also approaches to the Retailers. Its a battle
that Bisleri can win by sheer distribution muscle. Bisleri has a
largest distribution network across the country, further it plans
to increase its network in southern and eastern region which will
prove a great advantage for the company.
BISLERI appoints a sales representative to each distributor. The
salesmen are divided among the territories defined by the
distributor.
25
The distributor has 5 routes. Out of the 5 routes, one is the
main route and the other four are sub routes. The salesmen have to
handle these routes. This helps in avoiding horizontal conflict and
leads to better focus and evaluation of sales performance of the
salesmen. The company sales person makes a visit once every week on
Friday. Every Friday a report is given by the sales representative
to the area head. Communication regarding stock replenishment, etc.
takes place over phone. The person of the company whom the
distributors communicate with is the Sales Executive. At times the
company deploys its own men to do the distribution job for the
Distributor also. Distribution Weakness: Company is not addressing
the compliant from distributor and end user.
Industry AnalysisPotters Five Forces Model Substitutes New
Entrant Bargain Power of Supplier Bargain Power of Customer
Industry Rivals
26
Industry Rivals Rivals divided into organized and
unorganized
Organised
Cokes Kinley, PepsiCos Aquafina, Mohan Meakins, SKN Beweries and
Parle Agros Bailley.
Unorganised
Local water brands such as H2GO, Blue Label, Kwencher, Yes,
etc.
New Entrants HUL water purifier Pureit Various new local brands
(unorganized players) Shaw Wallace is also in a process to enter
the bottled market in the premium segment.
Substitutes Soft drinks Water purifiers Tap water Coconut water
Vending Machine water The most economical drink -nimbu pani
Bargain Power of Supplier When the companys suppliers are able
to: raise price and reduce quantity Then the supplier power would
be high Packaging (PET bottles) Labeling material
27
Bargain Power of Customer Buyers demand 1. Better quality or
service 2. Set competitors against each other At the expense of
sellers profitability Reason: 1. Industry where many brands
fighting for existence and their share Large number of choices
available to retailer Low switching cost for retailer Prices of
other products are more of less the same 1. Brand Loyalty of
customer is very low
Competitive Analysis
28
SWOT AnalysisAnalysis of the company on the following parameters
: Strength Weakness Opportunities Threats
Strength Market leader-the biggest strength of Bisleri lies in
it being a market leader is the bottled water industry.
Brand-Bisleri has a very good brand image to the extent that its
name is synonymous to mineral water Customer Loyalty-Bisleris
customers are hard core brand loyal and this it enjoys good
consumer loyalty. Number Of Variants- Bisleri is available in a
large number of variants which makes it consumer friendly as per
their requirement. 29
Weakness Distribution Network-The distribution network of
Bisleri is very weak due to which it is loosing its market share.
Dissatisfied distributors & retailers-Bisleri does not give
good profit margin and incentives to its distributors and retailers
because of which they are not motivated to increase its sales
volume Capacity-Bisleri is not able to meet the market requirements
because its production capacity is not increasing due to which even
the distributors do not receive the requirement quantity on time.
Advertisement-Bisleri does not focus much on advertisement and
media which is very important for a brand to sustain it in the
market. Price-Bisleri is considered to be very high priced
especially its 20Ltrs jar at Rs 75 with security Rs 150 in price
sensitive market. Awareness-The customer are not aware of the 7
stage purifying process of Bisleri and the added minerals which are
available. For example: - local sellers fill the bottle of BISLERI
with impure water and the bottles are purchased by illiterate
customers as BISLERI water but they buy water of low quality. In
this way brand of BISLERI gets affected.
Opportunities Scarcity-The metropolitans and big cities have a
scarcity of pure drinking water which Bisleri can cater. Marketing
Strategy-Bisleri can focus on better marketing strategies to regain
its lost market share and also tap new markets. New Corporates and
MNCs Bisleri should focus more on the corporates and mncs who deal
in bulk to increase its market share. Export-Bisleri can exploit
the market abroad with its Himalayan and Vedica water meant
especially to export.
30
Prospective- The bottled water industry in India is estimated at
about Rs 1,000 crore and is growing at 40 per cent. "By 2010, it
will reach Rs 4,000 - 5,000 crore with 33 per cent market for
natural mineral water.
Increase in production: BISLERI is eyeing the Market and is in
the process of increasing the production by setting 4 new plants
adding to its 23plants. This will increase the production capacity
of the company.
Threats Increasing competition-The competition is increasing as
the market share of Kinley and Aquafina is rising. Competition from
local brands as selling Rs. 10 per bottle and providing larger
margin to the retailers and distributors. Price sensitive
customer-People focus more on low price. Increasing Duplicity-The
duplicity in the market is rising inspite of steps taken by the
management. Unorganised sector-The local brands in the unorganised
market are of very low price and people are ready to take them
which are eating away the market.
HUMAN RESOURCES POLICIESHuman Resource Policies of the company
are based upon the belief that the success of the company is
primarily dependent on its people and that the development of the
greatest potential of each employee is good both for the employee
and the business and ultimately leads to the growth of the
Organization.
In view of this basic premise, a comprehensive set of policies
is laid down in the subsequent pages of this manual. In its design
and implementation, these policies will aim at attracting retaining
and motivating personnel to achieve higher goals and attain greater
opportunities for advancement in their business career.
31
The guiding principles of these policies are: 1) To be
pro-active, fair, competitive and a leader in business 2) To
encourage and facilitate employees potential with regard to the
Organizational goals. 3) To enhance and develop potential employees
career growth. 4) To offer compensation commensurate with
responsibilities, performance.
5) Achievement as we believe in BEST REWARDS FOR BEST
PERFORMANCE.
DISTRIBUTION PATTERNBisleri retail distribution muscle is indeed
great. Bisleri has around 80000 outlets in the country with about
more than 14000 in each metro, Delhi and Mumbai. Mr. Chauhan
intends to increase it to 10 Lakh outlets and use more than 2500
trucks to across the nation.
OBJECTIVES1. To study the present market position of BISLERI in
mineral water covering bottles of 250ml, 250ml(cup), 500ml, 1L, 2L,
5L, 20L (in particular 1L bottle) in competition with other brands
such as KINLEY, AQUAFINA, BONAQUA, BAILLEY, KINGFISHER and other
local brands such as H2GO, etc in DELHI region.
To conduct a comparative study of different brands of mineral
water available in Delhi. To study the effect of price increase in
Bisleri 1L bottle in market. To identify Strength and Weakness of
Bisleri in Market and Distribution. To perform SWOT analysis.
32
Chapter 4 About the projectThe two month internship project with
Bisleri Corporation gave me a platform to research and analysis of
the marketing strategies and business growth of the company in the
field of bottled mineral water of one of the prominent brands in
Indian market. This study of the marketing strategy was held in 3
stages as follows
1 Understanding the marketing strategies of the Bisleri, 2
Collecting data by directly contacting the vendors in the market
that included majorly field work, and
Analyzing facts gathered in the second stage In the first stage
of the study we attempt to deeply understand the marketing
strategies that are followed in Bisleri where we noticed that
people out there are very self motivated and aggressive as far as
the product is concerned, since they are dealing with the legacy of
a renowned brand therefore they are strict with the core values of
the organization. Their marketing strategies include health as the
USP since Bisleri is known for their healthy mineral
components.
In the second stage of the study we visited the vendors those
who sales Bisleri in the central; northern and western parts of the
Delhi region. We collected data on the basis of the questionnaire
that we prepared from these vendors and for our understanding we
tried to communicate with almost all of them about the facts as to
what is the brand image in the market and what they have to say
about the business relations with Bisleri.
The final stage was where we analyzed the so collected data and
made our research fruitful in terms of suggestions and
recommendations as to improve the brand worth of the Bisleri in the
market as per our understanding. The recommendations included the
betterment of the distribution channel, margins to the retailers
and packaging.
33
Chapter 5 Literature Review 1. Bisleri continues to lead in the
packaged water industry.Source: The Hindu, Dated: 17 Feb.2003
Bisleri continues to lead in the Rs 700-1,000 crore organized,
packaged water market with an estimated 40 per cent market share,
followed by Kinley at 28 per cent and Aquafina with an 11 per cent
share. In terms of volumes, the North and West remain Bisleris
biggest performing markets, despite the brands sustained
national-level presence. MR RAMESH CHAUHAN is the vintage boss of
the 250 crore PARLE BISLERI LIMITED. The brand has some 18
manufacturing locations spread across the country. The mainstream
competition is in the form of coca-cola Indias Kinley, Aquafina
from Pepsi foods and nestle Indias pure.
2. Bisleri v/s Coca Cola over Maaza.Source: Journal of
Intellectual Property Rights, Dated: 1Oct.2009 The interesting case
on the allegedly unauthorized use of the MAAZA Trademark closely
contested between Coca Cola and Bisleri International. To briefly
recount the facts for our newer readers, in this case, Bisleri
Sales Ltd. previously Golden Agro Products, was the registered
proprietor of the TM Maaza as well as the owner of the secret base
etc. used to manufacture the product. The company then amalgamated
with Bisleri International. As far back as 1993, Coca Cola and
Bisleri Intl. entered into an agreement to "irrevocably" transfer
all the rights as to technical knowhow and a general as well as
specific assignment as to goodwill, etc. The agreement also,
importantly, contained a negative covenant that allowed Coca Cola
to use the MAAZA trademark in India, but nowhere else. Thus, when
Coca Cola company confronted Bisleri with information received as
to the sale of beverages under the MAAZA mark in Turkey, they were
answered with a legal notice stating that not only were they
allowed to sell in Turkey without infringing the mark, and that
they planned to sell in India as well.
34
3. Pesticide found in raw water sample collected from Bisleri
Plant (Shivaji Marg).Source: Centre for Science & Environment
(CSE), Dated: 20Dec.2006 Heptachlor, one of the pesticides, was
detected in one raw water sample collected from Bisleri Plant
(Shivaji Marg); its concentration level was 0.0005 mg/l. The Bureau
of Indian Standards has provided standards for different physical
and chemical parameters for drinking water in IS 10500:1991,
packaged drinking water(other than natural mineral water) in IS
14543:1998, and for natural mineral water in IS13428:1998.
According to these standards for packaged drinking water and
packaged natural mineral water specification, individual pesticide
residues are covered under the relevant rule of the Prevention of
Food Adulteration Act, 1954, according to which it should be below
detectable limits when tested in accordance with the relevant
methods. Why we are getting pesticides in bottled water? Pesticide
residues were detected in raw water samples (underground samples),
which is the source of water for the various manufacturers.
Treatment technology given to the raw water is not sufficient for
the removal of pesticides. The entire portion of water is not
subjected to reverse osmosis; a portion of water is subjected to
reverse osmosis and mixed with pretreated water to maintain the
mineral content as per IS specifications.
Also, many consumers found bacteria and algae in the 20 liter
jar of Bisleri. One had also complained of having cockroach in a
Bisleri water bottle.
4. Indian Bottled Water Industry is growing
exponentially.Source: infochangeindia.org, indiastat.com YEAR
1990-91 1991-92 1992-93 1993-94 1994-95 1995-96 1996-97 1997-98
1998-99 MILLION CASES 2.2 2.6 3.5 4.7 6.5 8.5 11.5 15.5 20
35
1999-2000 2000-01 2001-02 2002-03 2003-04 2004-05 2005-06
2006-07 2007-08 2008-09 2009-10 2014-15 * Estimated
Projects(Prediction)
26 33 44.5 55.6 68.15 82 97 112.85 129.85 146.8* 164.45*
265*
5. Mount Everest Mineral Water v/s Bisleri over the trademark
Himalayan.Source: Economic Times, Dated: 30 June.2009 There is a
legal battle being waged between Mount Everest Mineral Water
(hereinafter referred to as MEMW) and Bisleri for the Trademark
Himalayan. MEMW had registered the Trademark Himalayan, in the year
1994. MEMW recently won an interim injunction, given by the Delhi
High Court against Bisleri, whereby: 1) Bisleri has agreed to stop
using the domain name www.bislerihimalayan.com. 2) Bisleri will not
use the word Himalaya in large font. It will write Himalaya as a
descriptive word in small font to denote origin of the water.
The injunction seems to have been given by the courts on the
basis of the fact that MEMW had registered the trademark in the
year 1994. But when one looks closely at the issue, we can find
that there exists a conflict between GIs and Trademarks. Mount
Everest Mineral Water commenced operations in 1991 with its plant
at Dhaula Kuan in Sirmour district, Himachal Pradesh. The company
was promoted by Dadi Balsara, an NRI from Singapore. The companys
first public issue came in 1995. The Tata group, through Tata Tea,
acquired 31.73% stake in the company partly by purchase of shares
from investors and partly by preferential allotment.
36
Himalayan natural mineral water is endowed with the wellness of
vital organic minerals. The water is untouched and unprocessed, and
has a unique taste which takes 20 years of percolation to acquire,
as it makes its way to the underground aquifer located in the
Shivalik range of the Himalayas. Situated about 130 meters below
the earths surface, the Himalayan aquifer is one of the largest and
most pristine sources of natural mineral water in the world.
Himalayan is bottled at source and this lends the brand its
strong intrinsic heritage. Himalayan is internationally accredited
by the US FDA, the European Union, the health ministries of Japan
and France, and Institute de Fresenius Germany. An IS / ISO
9001-2000 certified company with an HACCP compliant bottling plant,
Himalayan is the only internationally accepted natural mineral
water from India.
6. Bisleri to expand its product offering.Source: Pitch
Magazine, August Edition, 2009 Bisleri which is the leader in the
packaged drinking water bottle industry has increased its product
offering by introducing its soda in the market. The move is set to
further strengthen its market position and give impetus to its
growth.
37
Chapter 6RESEARCH METHODOLOGY
A Research methodology defines the purpose of the research, how
it proceeds, how to measure progress and what constitute success
with respect to the objectives determined for carrying out the
research study. The appropriate research design formulated is
detailed below.
EXPLORATORY RESEARCH: This kind of research has the primary
objective of development of insights into the problem. It studies
the main area where the problem lies and also tries to evaluate
some appropriate course of action.
The research methodology for the present study has been adopted
to reflect these realities and help reach the logical conclusion in
an objective and scientific manner. The present study contemplated
an exploratory research.
NATURE OF DATA: PRIMARY DATA: Data which is collected through
direct interviews and by raising questionnaires to retailers.
SECONDARY DATA: Secondary data is already available and
published. Various internet sits, newspaper, magazines were
searched in order to find information useful for completion of this
project.
SAMPLING DESIGN: Simple Random Sampling to select the sample.
SOURCES OF DATA: 1. Primary Data which included the input received
directly from the Retailers through interview. 2. Secondary data
from the industry manual, policy manual, books and Internet etc. It
could be internal and external source of data.
38
Internal source: Which originates from the specific field or
area where research is carried out e.g. publish broachers, official
reports etc. External source: This originates outside the field of
study like books, periodical, journals, newspapers and
internet.
DATA COLLECTION:PRIMARY DATA: It has been obtained by conducting
a survey in the following areas: Vikaspuri Janakpuri Dwarka
Bagadola Village Amberhigh Village Raj Nagar Palam Village Mahavir
Enclave Tilaknagar Paschim vihar Mayapuri Punjabi Bagh (East and
West) Madhipur Village Rajouri garden Rajendra Place Patel nagar
Karol Bagh Uttam Nagar Moti Nagar Hari Nagar Kirti Nagar Ramesh
Nagar
39
Cannaught Place ITO KG Magh Barakhamba Magh Central Sectariat
Paschim Puri Bhagwati Nagar Rohini Rithala Pitampura
METHOD: Interview method used with the retailers and asking
about the bottled drinking water they were selling and convincing
them to keep Bisleri.
40
Chapter 7 Data Analysis1. EFFECT OF PRICE RISE OF BISLERI ON
SALES: There has been price rise on certain packs of Bisleri i.e. 1
lt and 500 ml. In our survey we tried to find out what was the
impact of this price rise.
As Bisleri is the first one to hike the price in comparison to
other brands which were available at the old prices. But they are
also on the way to hike price. This increase of price in mineral
water industry is because of increase in price of performs and many
other reasons.
EFFECT ON SALES
NO EFFECT SALES WILL DECREASE
Source : Primary data collected by interview method and
submitted to the organization.
41
FINDINGSSome problems faced by the company: Huge demand for the
1Ltr and 500 ml bottle but the lack of supply on time destroyed
many customers of the company. There is a large extent to which
duplicity of 20Ltrs jar of Bisleri is prevalent in the market.
Schemes provided by the other players in the market were attractive
to the companies. Other companies are offering hot and cold
dispenser with very low number of bottles while Bisleri provides it
on buying of 120 bottles per month. No advertisement, schemes and
promotion of Bisleri Either no trucks are visiting or if visiting
it is in very low frequency this creates the supply problem Few
complaints are as follows: They had complaints about Bisleri Not
treated properly by the company and salesmen Irregular supplies
Attractive schemes by Kinley and AquaFina.
PLAN OF ACTION Major Problem is inconsistency in supplies by the
truck or the dealer of the company so company should try to make it
possible that it should serve as many companies in one area as
possible, by its own trucks. following problems will be tackled by
it: Personal links of company can be established instead of dealers
links that can provide other in absence of Bisleri. Creates the
positive image of the company. Develops trust in the consumer that
he is directly served by the company and product is genuine.
42
Some dealers sometimes provide the 20 liter jar at the prices
which less than the company creates fiasco which can be
eliminated.
Providing some attractive schemes to attract market such as
discount to heavy buyer, dispenser should be available on 90
bottles instead of 120 bottles. Providing effective after sales
service.
DIRECT COMPETITORS Aquafina(Pepsi) Kinley(Coke) Bisleri (Parle)
Bailley Catch(Satyapal Dharampal) Atlas premium Ganga(t-series)
Golden Eagle Hello Himalayan Jal Kingfisher(Kingfisher) Nakshatra
Nestle Pure Life No 1 McDowell Paras Pristine Raindrops Rail neer
All India All India All India Mumbai All India Delhi All India
solan All India All India Delhi Delhi, Mumbai Chennai Delhi All
India Delhi Nilgiris Chennai Railway
43
Chapter 8 Conclusion
For a FMCG company like Bisleri, sales promotion forms an
important activity to increase the sales and also to come in direct
contact with the customers. The water industry has a lot of scope
for more growth since water is a necessity and there is an acute
shortage of water especially in Delhi and NCR. A major earning was
about the distribution network and its role in Bisleri During the
project, another important learning was that Bisleri focuses only
on increasing sales and not on marketing but strong marketing
strategy and their implementation is important to retain brand
loyalty and regain the lost market share.
While dealing with the retailers, understanding their psychology
and demography is very important, i.e. identifying whether they are
converted or not. Promote the companys customer care number and
encourage the customer to enquire about Bisleri brand more
frequently. The company should have a central distribution centre
for every division (north, south and east and west) to ensure
timely delivery and proper check on duplicity.
44
Chapter 9 RecommendationsSome general recommendations may be
listed below for the Delhi market: Company should concentrate on
consistent supplies in companies because in companies availability
of water at right time is very important. Distributor should not be
allowed to work where the company truck can visit. And a clear
distinction is made between the areas of distribution each
distributor. As many customers are uncomfortable with the prices on
which Bisleri is available so to attract and retain the customers
Bisleri should offer good schemes and price flexibility for big
consumers like companies and government undertaking where Bisleri
is supplied. Many offers can be given like some discounts to old
customers for a particular month as a loyalty bonus, other could be
retention discount in customer is switching over to another brand.
To boost up the sales salesman motivation must be boosted up, so to
enhance their motivation company should create competition within
the company by setting the week and fortnight targets and contests
can be organized between salesmen. Bisleri should concentrate on
advertising because the earlier advertisement of Bisleri is quite
successful but now from a long time there is no advertisement from
Bisleri. Try to supply as many corporate as possible directly from
the company vehicle instead of dealer. Since almost all the dealers
are involved in supplying more than one brand, they try to
establish their own links in company and try to supply the water in
which they have maximum margin, rather than the quality water. Also
they try to retain customer as their own instead of retaining them
as Bisleris customer.
45
Research done exclusively at Delhi Metro StationsMarket
ResearchObjective of Study To know about the awareness of Bisleri
as a brand not as a synonyms of water To find the market share of
Bisleri prevalent in the market Sample size and collection of
DataThe sample size was the vendors present at the metro stations.
The average vendors present at each metro stations are 3 which is
more at some stations The data was collected by preparing a
questionnaire aimed at the vendors and the preferences of the
customers who travel daily by metro
The Delhi Metro ferries around 950,000 commuters daily on its
network of nearly 96 km, and by October ahead of the Games it will
span to nearly all corners of the national capital as well as
suburbs like Gurgaon. Its network will also increase by then to 190
km.
Limitations of the Study
The sample size and the data collected was according to the
customer daily traveling by Metro. The respondent might have not
given the right answers and given accordingly to their choices.
46
Market Research DesignExploratory Market ResearchThe exploratory
approach attempts to discover general information about a topic
that is not well understood by the marketer. For instance, a
marketer has heard news reports about a new Internet technology
that is helping competitors but the marketer is not familiar with
the technology and needs to do research to learn more. When gaining
insight (i.e., discovery) on an issue is the primary goal,
exploratory research is used. The basic difference between
exploratory and descriptive research is the research design.
Exploratory research follows a format that is less structured and
more flexible than descriptive research. This approach works well
when the marketer doesnt have an understanding of the topic or the
topic is new and it is hard to pinpoint the research direction. The
downside, however, is that results may not be as useful in aiding a
marketing decision. So why use this method? In addition to offering
the marketer basic information on a topic, exploratory research may
also provide direction for a more formal research effort. For
instance, exploratory research may indicate who the key decision
makers are in a particular market thus enabling a more structured
descriptive study targeted to this group. We did exploratory
research at the initial phase of our research because at this stage
the problem was not well define for that we analysis the secondary
data and through that we could find the problem of our
research.
47
Descriptive researchNext after problem definition we did the
descriptive research. This research is the most commonly used and
the basic reason for carrying out descriptive research is to
identify the cause of something that is happening. For instance,
this research could be used in order to find out what age group is
buying a particular brand of beer, whether a companys market share
differs between geographical
regions or to discover how many competitors a company has in
their marketplace. However, if the research is to return useful
results, whoever is conducting the research must comply with strict
research requirements in order to obtain the most accurate
figures/results possible.
Based upon them is the following analysis: Source : Primary Data
collected at various Metro Stations 1. Do you prefer packaged
drinking water? YES NO
Yes No
Analysis: According to the survey of retailers at the metro
stations 90% said yes and 10% voted for no as they sold Rupee 1 per
glass.
48
2. Are you aware of the following brands in packaged drinking
water? BISLERI KINLEY AQUAFINA OTHERS
OTHERS AQUAFINA KINLEY BISLERI 0 20 40 60 80 100
NO YES
Analysis: The most of the retailers at the metro stations were
aware of the major brands.. which were like 90% knew about Bisleri,
70% for Kinley and 60% for Aquafina while 50% kept local brands. 3.
Which brand of packaged drinking water does customer often ask ?
BISLERI KINLEY AQUAFINA OTHERS or LOCAL
BISLERI KINLEY AQUAFINA OTHERS and LOCAL
49
Analysis: According to the survey of retailers 60% said the most
sold brand was Bisleri followed by Kinley to which 19% agreed while
8% said that Aquafina was sold most and 13% for others. 4. Do you
think packaged drinking water has a seasonality effect? YES NO
Yes No
Analysis: Most of the retailers at metro stations felt that
there is a change in the consumption of package water with change
seasons.
4. Please scale your satisfaction level for the brand youre
using on the basis of the following: Price: Brand Name Bisleri
Kinley Aquafina Others Very Satisfied Satisfied Dissatisfied
Uncertain
50
Uncertain
Dissatisfied
Others Aquafina
Satisfied
Kinley Bisleri
Very Satisfied 0 10 20 30 40 50 60
Analysis: The 52% of the retailers were satisfied with the price
of Bisleri followed by Kinley, Aquafina and others. Quality: Brand
Name Bisleri Kinley Aquafina Others Very Satisfied Satisfied
Dissatisfied Uncertain
Uncertain Others Aquafina Satisfied Kinley Bisleri Very
Satisfied 0 10 20 30 40 50
Dissatisfied
51
Analysis: The 44%the retailers at the metro stations were very
satisfied with the Bisleri and similarly followed with Kinley and
Aquafina while 40% were uncertain about the quality of the other
local brands they keeping. Service: Brand Name Bisleri Kinley
Aquafina Others Very Satisfied Satisfied Dissatisfied Uncertain
Uncertain Dissatisfied Satisfied Very Satisfied 0 10 20 30 40 50
Others Aquafina Kinley Bisleri
Analysis: The retailers were mostly satisfied more with the
service of Kinley and Aquafina other than Bisleri.
Packaging:
Brand Name Bisleri Kinley Aquafina Others
Very Satisfied
Satisfied
Dissatisfied
Uncertain
52
Uncertain Others Aquafina Satisfied Kinley Bisleri Very
Satisfied 0 10 20 30 40 50
Dissatisfied
Analysis: The packaging of the Kinley was mostly liked by
retailers and similarly by the customers followed by Aquafina and
Bisleri
6. What factors can change the brand preference of the customer?
Q-Quality P-Price S-Service PK-Packaging Q&P Q&S P S
Packaging
24 38 6
Q&P -Quality and Price Q&P Q&S -Quality and Service
Q&S P-Price P S-Service S
10 PK-Packaging PK 22
53
Analysis: The customer preferred Quality and Service then
followed by Packaging and then Quality and Service and etc. 7. As a
retailer what matters you most? Profit Margin Quality of Water
Service of Company Packaging
Key FactorsPackaging 4
Service of Company
22 Key Factors
Quality of Water
28
Profit Margin 0 10 20
46 30 40 50
Analysis: The most of retailers at metro station gave importance
to profit margin then followed by Quality of Water they providing
and Service of Company.
8. On which brand do you get more margins?
a) Bisleri c) Kinley
b) Aquafina d) Others
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4 26
26 a) Bisleri b) Aquafina c) Kinley 44 d) Others
Analysis: The retailers get the maximum margin on Aquafina i.e.
Rs 4 per bottle while Kinley and Bisleri were similar
9. Do you feel there is growth in the mineral water market in
the last 5 years?
a) Yes
b) No
Yes No
Analysis: The 70% retailer felt there will be growth in the
mineral water in the near future.
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10. If answer to above question is yes, then what do you think
is the reason for this growth?
a) Increase in Health consciousness of people b) Increase in
Advertisements c) Scarcity of drinking water d) Others
10
10 50
a) Increase in Health consciousness of people b) Increase in
Advertisements c) Scarcity of drinking water d) Others
30
Analysis: The major portion of the retailers felt that the
growth in the near future will be because of the increasing health
awareness and due to advertisement.
11.
What is the future prospect of this market? a) Excellent c)
Average b) Good d) Poor.
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Prospecta) Excellent b) Good 5% 15% c) Average d) Poor.
20%
60%
Analysis: The 60% of the retailers felt that there is excellent
prospect of the market in the future. 12. How do you rate Bisleri
as compared to other brands? Very Good Good Standard Bad
Comparison
60 40 20 0 Very Good Good Standard Bad
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Analysis: The major of the retailers at metro stations felt that
Bisleri is a good brand as compared to others and 30% considered it
very good because of minerals added in it. 13. Are you satisfied
with Bisleris awareness programme, sales campaign, and
advertisements? YES NO DONT KNOW
50 40 30 20 10 0 YES 30
50
20
NO DONT KNOW
Analysis: The retailers at metro stations were not satisfied
with the services of the Bisleri that was approx 50%.
14. If you have any problem with the service then what would you
do? RESOLVE IT CHANGE THE BRAND GIVE A CHANCE
58
37
36 RESOLVE IT 27 CHANGE THE BRAND GIVE A CHANCE
Analysis: The major of the retailers try to change the brand and
followed by 36% of which try to resolve the problem and then giving
another chance.
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Conclusions and Recommendations.Some general recommendations may
be listed below for the Delhi metro stations are :
Company should concentrate on consistent supplies to the
retailers and vendors because timely delivery is very important.
Metro Station sites should be taken care since water was always the
necessity for travelers be it long distance or inter city and the
record number of people travel by metro daily.
Easy to carry Bisleri bottles should be supplied more frequently
for the inter city daily travelers at the metro stations. Large
number of metro stations (more than 100) helps us to cater a major
share in the market. Since metro is used by the people of all
strata who prefer packaged drinking water therefore these counters
should be tapped. These counters could also be used to display the
brand Bisleri in all the major crowded metro stations as well. This
comes under direct publicity.
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ANNEXURE QUESTIONNAIREDear Sir/Madam, As a student of PGDM
2010-2012, Jagan Institute of Management Studies, Rohini I am doing
a project on MARKETING AND SALES ANALYSIS at Bisleri. I will be
grateful for the valuable inputs you give to the following
questions. Your responses shall be kept completely confidential,
will be merged with other responses and used only for statistical
purposes.
NAME: __________________________________________ Metro Station:
_____________________________________ Shop Name:
______________________________________ PHONE NUMBER:
________________________________
1. Do you prefer packaged drinking water? YES NO
2. Are you aware of the following brands in packaged drinking
water? BISLERI KINLEY AQUAFINA OTHERS
3. Which brand of packaged drinking water does customer often
ask ? BISLERI KINLEY AQUAFINA OTHERS or LOCAL
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4. Do you think packaged drinking water has a seasonality
effect? YES NO
5. Please scale your satisfaction level for the brand youre
using on the basis of the following: Price: Brand Name Bisleri
Kinley Aquafina Others Very Satisfied Satisfied Dissatisfied
Uncertain
Quality: Brand Name Bisleri Kinley Aquafina Others Very
Satisfied Satisfied Dissatisfied Uncertain
Service: Brand Name Bisleri Kinley Aquafina Others Very
Satisfied Satisfied Dissatisfied Uncertain
Packaging: Brand Name Bisleri Kinley Aquafina Others Very
Satisfied Satisfied Dissatisfied Uncertain
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6. What factors can change the brand preference of the customer?
Q-Quality P-Price S-Service PK-Packaging
Q&P Q&S P S Packaging
7. As a retailer what matters you most? Profit Margin Quality of
Water Service of Company Packaging
8. On which brand do you get more margins? a) Bisleri c) Kinley
b) Aquafina d) Others
9. Do you feel there is growth in the mineral water market in
the last 5 years?
a) Yes
b) No
10. If answer to above question is yes, then what do you think
is the reason for this growth? e) Increase in Health consciousness
of people f) Increase in Advertisements g) Scarcity of drinking
water h) Others
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11. What is the future prospect of this market? a) Excellent c)
Average b) Good d) Poor.
12. How do you rate Bisleri as compared to other brands? Very
Good Good Standard Bad
13. Are you satisfied with Bisleris awareness programme, sales
campaign, and advertisements? YES NO DONT KNOW
14. If you have any problem with the service then what would you
do? RESOLVE IT CHANGE THE BRAND GIVE A CHANCE
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BIBLIOGRAPHYBOOKS & JOURNALS Kotler Philip, Marketing
Management New Delhi, Prentice Hall of India, 2009(13th edition)
Britannica Encyclopedia Mr. Hari Sundar(2008), Indian Packaged
drinking water industry, Advertising Express page no-55 Francis
Buttle, Customer Relationship Management (second edition)
OTHERS Internet Magazines
INTERNET www.bisleri.com
http://www.icmrindia.org/free%20resources/casestudies/reinventing-bisleri2.htm
www.finewaters.com www.wikipedia.org www.tradeindia.com
www.indiaresource.org www.kingfisherworld.com www.fosters.com
www.parleagro.com www.bottledwaterindia.org
www.prenhall.com/kotler
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