62796343 Bisleri Project Report Copy

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A PROJECT REPORT ON “MARKET STRATEGY OF BISLERI” Submitted in partial fulfillment of BACHELOR OF COMMERCE ACADEMIC SESSION: 2013-16 Submitted By: Mohd. Afzal Khan B.com 5th sem External Supervisor Coordinator Mr. Sanjeev Bakshi (Marketing Head) Mr. Shiv Swaaroop Jha Bisleri Int. Pvt. Ltd., Ghaizabad

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summer internship report

Transcript of 62796343 Bisleri Project Report Copy

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APROJECT REPORT

ON

“MARKET STRATEGY OF BISLERI”

Submitted in partial fulfillment ofBACHELOR OF COMMERCEACADEMIC SESSION: 2013-16

Submitted By: Mohd. Afzal Khan B.com 5th sem

External Supervisor Coordinator Mr. Sanjeev Bakshi (Marketing Head) Mr. Shiv Swaaroop JhaBisleri Int. Pvt. Ltd., Ghaizabad

AMITY UNIVERSITY HARYANA

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ACKNOWLEDGEMENT

I am honored to be attached with organization. I extend my sincere gratitude to the

management of “BISLERI International Pvt. Ltd., Ghaziabad” especially to Mr. Deepak

Changa (Area Sales Manager), for availing me and giving me an opportunity to do my training in

his organization.

I am deeply thankful to his valuable guidance and co-operation helped me in the

accomplishment of this project report.

I am also thankful to the entire team of marketing of the company who helped me a

lot whenever I faced difficulty in my project.

Mohd. Afzal Khan B.com 5th Sem

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PREFACE

Modern organization are highly complex and dynamic systems. They operate under very turbulent

social economic and political environment. They are required to reconcile several incompatible

goals. Conflicting roads and divergent interests. They are also fraught with use risk and

uncertainties hence tactful management of such organization to plan execute, guide, coordinate and

control the performance people to achieve predetermine goal. Management has to keep the

organization vibrant moving and in equilibrium it has to achieve goals which themselves are

changing. It is therefore the problems is highly complex and ticklish. To tackle these problems,

information plays an important role. Marketing Research is the appropriate tool to get most useful

information about the market. This information will asset to marketing manager in making effective

decision. The research are used to acquire and analysis information and to make suggestions to

management as to how marketing problems should be solved.

The marketing research is a process which links to manufacturers, dealers and individuals through

information an important part of curriculum of B.com proramme is the project taken by student in

any business organization. After completion of II year of the programme . The objective of this

project is to enable the student to understand the application of academies in real life business. I am

fully confident that this project will be extremely useful for the management .

T ABLE O F C ONTENTS

Executive Summary 5

Introduction 6-18

Inception of Bisleri 9-11

Product Profile 12-13

Mineral Water Industry – Current Market Scenario 14-15

Manufacturing 16-18

Objective of the study 19

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Research Methodology 20-21

Sample SizeData Collection

Advertising Campaign of Bisleri 22-24

Marketing Mix 25-32

Competition in the market 33-40

SWOT Analysis 41-45

Findings 46-56

Conclusion 57-59

Limitations 60

Recommandations 61

Bibliography 62-63

Annexure 64-65

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EXECUTIVE SUMMARY

The project is an extensive report on how the Bisleri company markets its strategy and how the

company has been able in tackling the present tough competition and how it is cooping up by the

allegations of the quality of its products. The report begins with the history of the product and the

introduction of the Bisleri Company. This report also contains the basic marketing strategies that

are used by the Bisleri Company of manufacturing process, Water Technology (Ultra Heat

Treatment), production policy, advertising, export scenario, future prospect, and government

policies. The report includes some of the key salient features of market trend issues.

In today’s world of cutthroat fierce competition, it is very essential to not only exist but also to

excel in the market. Today’s market is enormously more complex. Hence forth, to survive in the

market, the company not only needs to maximize its profit but also needs to satisfy its customers

and should try to build upon from there.

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Water is the most important liquid in the world. Without water, there would be no life, at

least not the way we know it. In today's living condition, the need for Pure Drinking Water

is becoming the issue for the common Man.

Eighty percent of the human metabolism consists of water. This is the reason why 90% of

human diseases are water borne. There are 3 types of water impurities, which are root

cause of water borne diseases.

1. Microbiological-Bacteria / virus.

2. Dissolved impurities - chemical.

3. Imbalance of Mineral Content.

There are rapid changes that are taking place in our environment since long and the air and

the water pollution is on an increase. The main source of drinking water is river and

downstream which also have not been able to escape the pollution.

When a consumer became aware of the problems caused by water pollution the market saw

an advent of ceramic water filters, which filters the dust and suspended particles but

dissolved impurities and microbiological impurities are not cleared out. The mineral

balance is also not maintained.

1980's witnessed more changes by a tap attachment wherein Iodine resin is used to filter

the water. It deactivates microbiological impurities to an extent but has side effects due to

iodine and it does not take care of dissolved impurities mineral balance.

Late 1980's witnessed Ultra Violent based purifier, which filters dust and deactivates

bacteria to a great extent. It maintains the odor and color of water but does not clear out

the dissolved impurities and mineral particles. Thus came advent of mineral water.

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Historically, the need for purified water within Indian homes had been kept down to a

minimum. Essentially, there were three types of water that was used for different

purposes. The first type was used for rinsing. The second type, which was used for

cooking, was cleaner and kept covered. The third type was the cleanest – drinking water –

and was very often boiled before use.

Since an average family needed a small quantity, not more than five or six liters a day,

boiled and filtered water had been a convenient solution for some time .The fallouts were

obvious. It was very difficult to convince the people that purification system was worth

the price. There was no visible way to demonstrate the benefit. The otherwise somnolent

market began to change once companies like Eureka Forbes targeted the office segment,

while the mineral water players went after travelers. Ion Exchange was the only company,

which had any measure of success in entering homes with Zero-B. But clean drinking

water returned on the national agenda a little later.

Around 1989, drinking water became an issue again.

“Around early 1990s,Time did a story on India as a key emerging market and that was the

trigger for all the players eyeing this market”.

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The origins of Bisleri lie in Italy , and the brand owes its name to founder Felice Bisleri,

an Italian entrepreneur. In 1967, Bisleri set up a plant in Mumbai for bottling and

marketing mineral water, which was first of its kind in India. However, it didn’t work

well. Among other reasons, the fact that the Indian consumer was unprepared to accept

bottled mineral water was responsible for its failure. Consumer mindsets were more geared

towards boiling water at home.

In 1969, Parle bought over the Bisleri brand. In those days Bisleri water was available in

glass bottles. Parle's taking charge of Bisleri did not make a dramatic difference to the

brand's fortunes immediately. While it did gain in terms of visibility and reach

(piggybacking on Parle's existing distribution network), efforts to expand the bottled water

market were not exactly painstaking. Parle at that particular time was interested in making

soda water and not mineral water. There were just minor initiatives on part of the company

for making mineral water, as it was not considered to be a very profitable business at that

time as people still considered boiling water to be a safer and better than mineral water.

Moreover they were not ready to pay for a commodity like water, which was so abundantly

available.

In 1972-73 Parle changed the packaging of its bottled water to plastic bottles and that

significantly made a difference in the sales. The buyers, then, were mainly the upper class -

the trendy people.

In 1993, Coca-Cola bought Parle’s soft drink brands- Thumps-up, limca etc. While Coca-Cola

actually bought over Parle's beverages, it agreed to a settlement that allowed the multinational

to bottle and distribute Bisleri soda for a time frame of five years. The charge of Bisleri water,

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however, remained with Parle. The upsurge in the sales of Bisleri started from this point as

Parle sold off its stable of brands to Coca-Cola. This was the time when it started

concentrating on making Bisleri a success in the domestic mineral water market. The reason

why Parle chose to retain the Bisleri name was that Parle saw a fairly lucrative business of

mineral water in Bisleri's equity.

The real shift in company’s policy towards mineral water industry came in 1998,although the

conscious efforts had already been started in 1994. This change was primarily because of the

fact that the people, at this time, had started becoming more health conscious.

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“It’s a compliment being generic to the category, but its not very good when consumers think any

mineral water brand is Bisleri”

Bisleri, a product established in India by Ramesh Chauhan, Chairman of Parle Aqua Minerals

has become a generic brand. Bisleri was the first marketed bottled water in a totally virgin

market. The brand has become synonymous with mineral water; consumers accept any brand

offered by the retailer when they ask for Bisleri.

So far Ramesh Chauhan’s Bisleri enjoys the largest market share of 56% in the Rs1100 crores

mineral water markets and is growing at the rate of 180% per annum. Annual sales of Bisleri

have touched Rs400 crores. In seventies, 'Bisleri' was the only mineral water, which had

national presence, and the sale was to the tune of approximately one hundred thousand cases

valued at about Rs.60 lacs.

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A few years back, the mineral water market had been crawling at the rate of 3-4%, or even

a lower figure. Indians carried drinking water in earthen pitchers, plastic or PUF bottles.

But increasing cases of typhoid and other waterborne diseases began to be reported. In

addition to this, liberalization happened and the mineral water industry began to be stirred

and shaken. The market started growing an astounding rate of over 100% per annum. The

fact that there were very few players in the market meant that their business grew by leaps

and bounds.

The market today has grown to Rs11bn. The organized sector -- branded mineral water --

has only Rs5bn of market share. The rest is accounted for by the unorganized sector,

which is dominated by small regional players. The market is still growing – at a rate

greater than 80% per annum.

In the branded segment, Parle’s Bisleri is the market leader with a share of more than

45%. Parle Agro’s Bailley comes a close second with market share of 15%. Other major

players in the market are Yes of Kotharis, Ganga of T-Series, Himalayan, Hello, Nestlé’s

Pure Life, Pepsi’s Aquafina, Coca-Cola’s -Kinley Prime, and Florida etc .

Sensing the opportunity that this segment holds, MNCs began to draw up plans to enter the

market. Today the market is proving to be yet another battlefield for an ongoing battle

between the Desi’s and MNC’s. Last year the industry had around 170 brands. This figure

is over 300 presently. The major foreign players are Coca-Cola promoted Kinley, Pepsi’s

Aquafina, Britannia’s Evian, Nestlé’s Perrier, Herbert sons and Danone International.

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A quick look at Bisleri's manufacturing reach indicates that it is represented across the country –

North accounts for 35% of sales for the industry, West accounts for 30%, South 20% and the East

15%.

In order to be available in untapped areas Bisleri has setup 16 plants located all over the

country - three-fourths of which are company owned. The balance is run by franchisees.

Bisleri has 5 plants in the North, 5 in the West- two of which were setup in the last year at

Ahmedabad and Surat, 4 in the South and 2 in the East. The company has bottling units

located in Chennai, Bangalore, Goa, Calcutta, Mumbai, Delhi, Jaipur, Uttar Pradesh,

Punjab, Indore and Nepal. The new plants are being set up in states like Kerala, Orissa,

Bihar and North Eastern States, which hitherto have been unexplored by the company.

It is also changing its production strategy and shifting to a 10-hr production schedule with

sudden increase in demand planned to be met by additional production.

Bisleri has planned to expand its operations by investing Rs.60 crores in the upgradation

of facilities. The 120-bottles per minute (BPM) capacity of the 16 units across the country

will be increased to 240 BPM.

Conscious of the environmental implications of its PET bottles, the company is to set up

recycling plants at Delhi and Chennai, each with an outlay of Rs.50m. These will process

500 kg of PET per hour. The processed material will be an input for polyester yarn

manufacturers. In centers other than Delhi and Chennai, the company will set up crushing

units to crush the used PET bottles.

The company's expansion plans will see its water bottling capacity go up from the present

400 million liters to 500 million liters. Parle Bisleri Limited (PBL) is planning to invest

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Rs 200 crores to increase its bottling capacity and double its turnover. The expansion will

also increase the number of company's bottling plants from 16 at present, to 25. The

company will set up all the new plants as green field plants. It doesn’t have any intentions

to acquire any existing plants.

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OBJECTIVE

To determine the market share of Bisleri Brand of Bottle Water. To find out the

preference level of respondents regarding Bisleri Brand of Bottle in comparison with

other brands.

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RESEARCH METHODOLOGY

1. RESEARCH DESIGN:

The research design which has been used in the project report is descriptive in nature.

2. SAMPLE DESIGN:

The sample design which has been use in this project report is simple random sampling.

A decision has to be taken concerning a sample unit before selecting the number of samples. It may

be geographical as well as individual. Here Noida city has been taken as a geographical unit and

retailers as an individual unit.

3. SIZE OF SAMPLE:

This refers the number of items (Outlets) to be selected from the finite universe to constitute a

sample size. The survey was conducted of 50 outlets.

4. NATURE OF DATA:

In this project report the data is collected through primary data source as well as secondary data.

Type of Data collection Method adopted Mode of communication

Primary Questionnaire Personal Interviews

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Every brand needs a good ad campaign to establish itself in the market. So it becomes very

imperative to look at various ad campaigns that Bisleri undertook to build itself as a brand.

Bisleri started its game plan with the punch line of ‘Pure and Safe’ and used the same

catch-line for advertising. But with the advent of many new players, all claiming the

purity, it became very imperative for Bisleri to differentiate its product so as to stand out

in the market. Bisleri found the answer in ‘sealed cap bottles’. It claimed 100% purity.

While the bottles of the other brands, it claimed, could be refilled with ordinary, or even

germinated water, Bisleri’s seal capped bottles ensured the consumer of purity of water

and single-used ness of the bottles. The ad showed a milk-man and a child showering their

buffaloes and filling the ‘so-called’ mineral water bottles with the same water and packing

them with the simple polythene seal and the consumer not knowing about the ‘purity’ of

the water he is drinking. Next clip shows the Bisleri bottles being sealed with plastic caps

and ensuring the purity of water. The ad did work for Bisleri and it got its much needed

product differentiation.

In 2000, some giant brands like Pepsi and coca-cola entered the mineral water industry

with a big bang. Bisleri now had a big threat of maintaining its market cap. While Coca-

cola introducing its brand ‘Kinley’ as a health care product, Pepsi projected ‘Aquafina’ as

something as pure as ‘Your own body’. Pepsi targeted the young generation and

introduced Aquafina as a fancy product to carry.

The ad campaign of Aquafina emphasized as ‘70% of your body is water’ and thus give

your body the purest water. The ad showed young vibrant models and created the

atmosphere of youthfulness. Water, Pepsi claimed, was no longer a simple beverage, but

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was something highly fashionable. They complimented it by giving their bottles an

attractive look. This soon caught the eye of the consumer. All these factors made Pepsi the

biggest upcoming competitor of Bisleri (whereas Kinley lagged behind the race, showing a

doctor advising a family to take Kinley for pure water – not a very attractive ad

campaign).

Bisleri, to counter-attack the new ‘Feel-Young’ fever had to even bolder steps. They first changed

their base line from ‘Pure and Safe’ to ‘Play Safe’. They tried a brand new ad campaign to catch

the fancy of consumer. The new ad showed a young romantic couple on a marooned island, when

the girl seductively attracts the guy and he follows her in trance. The moment he gets hold of her,

she whispers something in his ears. The next few shots show the guy looking for something in

frenzy…can not find it….rushes towards the chemist’s shop….buys ‘something’ (keeping the

audience in suspense…or rather implicitly pointing for ‘……’). The girl opens it

and….POOF….takes out a bottle of Bisleri and quenches her thirst. Caption: “Play Safe”. This

campaign was to catch the attention of youth and a new Indian society which is supposed to be ‘not-

so-prudish’. Thus Bisleri has taken a very bold step. The T.V. ads have been complimented by print

ads also. The company has to focus on the marketing management of the product. In light of the

challenge in front of the company and its current strengths and position, we have incorporated the

marketing mix to counter the marketing strategies of the competitors by developing its own

marketing.

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MARKETING MIX

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

INCLUDEPICTURE \d "http://us.yimg.com/i/pim/vbar.gif"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, mountain water

under its brand name called the Bisleri Soda Water and Bisleri Mountain 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 Indian 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 Internet facilities using conversion.

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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.

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DISTRIBUTION NETWORK:

The small-scale players built their sales by piggybacking on the generic category built up

by Bisleri. It’s a battle that Bisleri can win by sheer distribution muscle. One of the

reasons why Bisleri is running strong in this industry is its strong distribution network

built over the years since its inception. Further, Bisleri plans to increase its distribution

network over the southern and eastern region, where it is behind popular brands like Team

in Tamil Nadu and in Andhra Pradesh.

Prices for following packaging variants

(AN ECONOMIC FACTOR AFFECTING THE BUYER’S BEHAVIOR)

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 middle-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.

250ml Rs. 5

500ml Rs. 8

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1.Ltrs Rs. 13/-

2 Ltrs Rs. 22/-

5 Ltrs Rs. 40/-

20 Ltrs Rs. 70/-+ Rs. 150\- jar security

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Promotion

Modern 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 left 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.

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ADVERTISING CAMPAIGN:

While designing the advertisement campaign, it is necessary to keep in mind the opinion

leaders. Youth are the opinion leaders of the present time. And thus it becomes necessary

to design the campaign keeping the youth in mind. The opinion leaders would further

trickle down the message to the less active members of the society.

This is exactly what Bisleri is doing. Bisleri has started an advertisement campaign

stressing the point of purity and flaunting the patent right the company has over the

breakaway seal. The company has tried to put the message across louder, by using the ad

campaign that catches the eye of everyone, specially the youth.

Bisleri that was looking for a differentiator decided to make the breakaway seal the

symbol of purity. The tamper-proof seal was developed, around which the communication

was woven. The campaign stresses the safety provided by the breakaway seal by

illustrating the ease with which conventionally sealed bottles can be refilled and recycled.

The objective with the campaign would have been to highlight the tamper-proof seal and

create doubt in the consumer’s mind of the purity of the other brands. That is, Bisleri is

the only one that guarantees purity and keeps you Safe.

To conclude: We find that new advertisement campaign of Bisleri is eye catching. This is what the company should do. And also the company should make the message clearer to the customers that it has the patent right over the breakaway seal. In the survey we found that the consumers are aware of the breakaway seal but are not aware that the company has the patent right.

Apart from a high dose of investments on expanding bottling capacities and an ad budget

that’s risen six-fold over last year, if Bisleri wants to penetrate every possible segment of

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the market, it can do that by introducing more pack sizes and establishing the brand strongly

with trendy new packaging.

Apart from creating consumer pull with campaign, the company, to increase its sales would

have to do the sales push as well. For that it would have to give the retailers and other

stockiest high trade margins and incentives for keeping the product. This is very important

in case of this product because consumers would take up what is available to them at ease

and whatever retailer is giving.

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COMPETITION

The mineral water market is set to explode and hit the Rs.2,000-crore mark in the next

couple of years. This is drawing the big guns attention. First Britannia launched Evian.

And recently, soft drinks giant Pepsi entered the fray with Aquafina. Now, Nestle too is

reportedly planning a foray. Meanwhile, Parle Agro’s Bailey has been growing steadily.

Small local players too are breathing down Bisleri’s neck riding on better trade margins

and intensive distribution (in their respective areas of operation).

The competition facing Bisleri can be categorized into a few brand names like

Parle Bailey

Pepsi Aquafina

Coca Cola Kinley

With Parle’s Bailey being the main competitor and second in market share in the organized

market, Bisleri faces tremendous competition from the unorganized sector.

Aquafina

The advantage for Aquafina is that though there are over 300 labels of bottled water in the

Indian market, few can be called brands. It is necessary to remember that every product

with a name is not a brand; even Bisleri has become generic to this category.

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It does not have any emotional values attached to it. So there was no difficulty for Pepsi in

creating space in such a market, which is completely different from the soft drinks market,

where it will be very difficult for any new player to find a slot. So the creative team at

HTA virtually had an empty canvas to work on. And it came up with a campaign that did

have people talking. First, a series of teasers, followed by a film that showed healthy

bodies and youthful people and, of course, lots of water.

Although Aquafina is only available in a 750 ml pet bottle, the pricing, at Rs.10, is

competitive. And it is safe. In addition to the tamper proof seal, there is a reliable method

of checking whether the bottle has been refilled. The date of manufacturing has been

written on the cap as well as on the bottle. Thus a person who is refilling it would have to

find a matching cap and bottle, the probability of which is very low.

Coca Cola- Kinley

Coca-Cola joined the race by announcing the imminent launch of its own brand of water

and, in the process, putting to rest rumors of its so-called takeover of Bisleri. Kinley is

targeting institutions.

Parle Agro’s- Bailley

Bailley the brand that is owned by Ramesh Chauhan’s brother Prakash Chauhan is very

popular in the southern part of India. Southern part of India accounts for 20% of the sale

of the whole water market industry. Bisleri would have a tough competition from Bailley

since the company plans to spread its presence in that part of the country. Another thing

that makes the competition difficult for the company is the price at which it’s competitor

is offering the product. Like Bisleri it also gives the 1 lt. For Rs.10. The only strength

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point of the company, which it can capitalize, is it’s generic name. And also the company

would have to enter that market with a strong distribution base. We know the fact that

Bailley has grown at a rapid pace using the route of franchising, which Bisleri has not

adopted as yet. This is another point, which the company would have to take care of to

face the competition.

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PURE BOTTLED DRINKING-WATER

Is Dangerous

The Safety of Bottled Drinking-water

Because of the large number of possible hazards in drinking-water, the development of standards

for drinking-water requires significant resources and expertise, which many countries are unable to

afford. Fortunately, guidance is available at the international level.

The World Health Organization (WHO) publishes Guidelines for Drinking-water Quality which

many countries use as the basis to establish their own national standards.

International Standards for Bottled Drinking–water

The intergovernmental body for the development of internationally recognized standards for food is

the Codex Alimentarius Commission (CAC). WHO, one of the co-sponsors of the CAC, has

advocated the use of the Guidelines for Drinking-water Quality as the basis for derivation of

standards for all bottled waters.

CSE Report on pesticide residues in bottled water

The Centre for Science and Environment, a non-governmental organization based in New Delhi,

has set up the Pollution Monitoring Laboratory to monitor environmental pollution. Its main aim is

to undertake scientific studies to generate public awareness about food, water and air

contamination.

The bottled water market share of major brands is Bisleri (51%), Bailley (17%), Yes (11%)

followed by Kinley (10%), Aquafina (4%).

Drinking water filled in hermetically sealed containers of various

compositions, form, and capacities that is suitable for direct consumption without further treatment

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FACTS

Bottled drinking water samples of some top brands– Bisleri (Parle Bisleri Pvt. Ltd.), Bailley (Parle

Agro Pvt. Ltd.), Aquafina (Pepsico India Holding Pvt. Ltd.), Kinley (Hindustan Coca Cola

Beverage Pvt.

Ltd.) and of other less popular brands like Best, Royal Aqua, Seagull etc., which were being sold

and manufactured in Mumbai and nearby areas like Pune and Daman, were purchased randomly.

All the samples were purchased from retail outlets in the market and from railway station and were

checked for proper seal, date of manufacture and batch number.

Even the top brands, which claim to use treatment methods like purification filtration, activated

carbon filtration, demineralization and reverse osmosis were found to contain residues of pesticides.

It might be due to the reason that the manufacturers may be by-passing the raw water after partial

treatment and remixing it with the fully treated stream so as to cut down the cost of treatment. On

the basis of the results different brands can be rated in terms of total organochlorine and

organophosphorus pesticides from least to most contaminated as-

Aquafina

Macblue

Bailley

Kinley

Seagull

Sheetal

Bisleri

Brilliant

Bally

Apurva

Royal

Aqua

Best

OXYRICH

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When absorbed into the body, these pesticides are not metabolized

rapidly hence get stored in the fat.

The organ phosphorus pesticides affect and damage the nervous system and can cause cancer. They

can cause reproductive and endocrinal damage also.

CONCLUSION

"Water, water everywhere, but not a drop to drink" from the Rhyme of the Ancient Mariner is

perhaps a fitting description of the attitude of many consumers living in urban areas today who are

increasingly looking toward bottled water as a means of meeting some or all of their daily

requirements.

It holds that discomfort or dissonance occurs when a consumer holds conflicting thoughts about a

belief or an attitude object.

Consumers may have various reasons for purchasing bottled drinking water, such as taste,

convenience or fashion, but for many consumers, safety and potential health benefits are important

considerations.

Thus, the pesticide used in the water makes it dangerous to use regularly.

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STRENGTHOld and famous brand name

Better packaging

Effective distribution network

Famous as pure & safe among consumer

Good product mix

Frequent quality checking

Much used by corporate world

Better management

Give regular follow up to distributor

Indian image

Better sales force

Sponsoring various cultural program

Better visibility

Good intensives to dealer

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WEAKNESS

one liter packs which accounted for 50 per cent of the company’s turnover has come down

to 30 per cent. The two-liter packs, which have practically disappeared from the shelves,

have come down from 20 per cent to five per cent. The growth has come from the 500 ml

and the five-liter category, which account for 15 per cent and 36 per cent of turnover

respectively.

Earlier, Bisleri was selling at a premium of Rs.12 for the same size. But beginning last

year, it has been selling its one- liter bottles at Rs.15 each. Aqua Minerals attributes the

Price slashing to retailer margins being on the higher side earlier.

The competitive Rs.15 price tag has been working well for the brand.

In what could be a masterstroke, Aqua Minerals is testing out the possibility of mass

marketing 20-litre Bisleri bottles for an MRP of Rs.40. That works out to Rs.2 a liter. If

the logistics, manufacturing and distribution do fall in place, it could change the face of

the purified water market for keeps.

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OPPURTUNITIES

So far, Chauhan has not used the franchising route very aggressively unlike Parle Argo’s

Bailley which has grown very fast

Using this route. He has around six franchisees in Mumbai, Delhi, Chennai, Bangalore,

Goa and Rajasthan. “We shunned this route so far because in most areas where we had no

presence, it was imperative that we did it ourselves. Now for further expansion we can

afford to use the franchisee route.”

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THREATS

Bisleri will be taking the packs back and refilling them. But the packs cannot be sterilized

since the material used is PET and cannot withstand high temperature. So how can he

ensure purity?”

Strategy to counter threats and others?

We subject the bottles to chlorine washes, hot water washes and ozone washes before we

refill the bottles.

The company is betting on the home segment. The reason being that filters and water

purifiers also need to be cleaned periodically and still do not guarantee absolutely clean

water. In order to service this segment, the five liter packs are being pushed through the

route of fat dealers (wholesale dealers) who are retailers as well as stockiest and serve as

supply points from where customers can pick up the required quota. In future, consumers

will be able to call the fat dealer and place orders for home delivery of the five-liter pack.

The company has so far appointed 180 such dealers. This is a high turnover, low-margin

retailer who does not keep a store but serves a similar purpose with other items such as

rice or Atta.

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FINDINGS

After the tabulation and analysis of 50 respondents from ghaizabad city:-

He following findings are obtained:

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Q.1 Which brand of bottle water do you sale more?

Kingfisher b. Kinlery c. Aquafina d. Bisleri e. Others

.

INTERPRETATION: According to market share figure, Bisleri is the leading brand which

55.45% market share. While Kinley 23.33%, Kingfisher 3.97%, Aquafina 13.95% and others

6.30%.

Q.2 Which brand of bottle water do you prefer to sell more?

INTERPRETATION: 50% retailers prefer to sell Bisleri brand because of demand, brand and

profit margin. And then on second number they prefer to sale kinley.

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Q.3 How much is your monthly sale?

INTERPRETATION:

60% sellers said that they have their maximum sales from Bisleri, 20% sellers said that they have their maximum sales from Kinley, 10% said that they are getting revenues from Aquafina, 8% said that they are getting revenues from Kingfisher, 2% from others.

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Q.4 Why do you prefer to sell more this particular brand?

Easily available

More demand

Quality Factor

INTERPRETATION: 40% saler prefer to sale Bisleri because of it high demand, 34% sale it

because of its easily availablety and 26% sale it because of its good quality.

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Q.5 When you talk of mineral water, what brands come to your mind?

INTERPRETATION:

35% seller said that when they think of mineral water Bisleri name comes in their mind,25% of the

seller said that Kingfisher comes to their mind, 20% said Aquafina comes to their mind, 15% said

Kinley and 5% said others.

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Q. 6 whether the customers are already aware about this product?

INTERPRETATION: 85% are aware about the product and 15% people are unaware.

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Q.7 Which brands of mineral water are more available in your shop ?

INTERPRETATION:40% of the seller said that they kept Bisleri more in their shop ,25% said that they stock more Aquafina, 15% Kingfisher as well as 15%Kinley and only 5% Others.

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Q.8 Number of buyers who buys this brand per day?a) 0-5 b) 5-10 c) 10-15 d) Above 15

INTERPRETATION:As per the above analysis 40% sellers sell 10—15 bottles of Bisleri in a day, 25% sellers sell 5-10 bottles in a day, 15% sell 0-5 bottles, 10% sell Above 15 bottles.

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Q.9 Are you satisfied with the current margins on this brand?Yes NO

INTERPRETATION:As per the above analysis 88% sellers are satisfied with the current margins of this brand, but 12% sellers are not satisfied.

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Q.10 Whether you are getting any complaints from customers, specify?

INTERPRETATION:As per the above analysis 91% sellers said hat they never get any complaint from any customer, but 9% sellers get the complaint from the customers.

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CONCLUSION

The players who will endure will be those who have a strong regional presence. Take the

case of Team, which enjoys immense popularity in TamilNadu. Similar brands with a

regional presence are Siruvani, and Koday. Thus, new players will be looking for a distinct

positioning. One such brand is Pepsi’s Aquafina, the largest selling bottled water brand in

the US. After its successful test launch in Mumbai and Bangalore, Aquafina was released

in Chennai, Ahmedabad, Vadodara, and Pune. Pepsi has invested over Rs.5 crore in the

new Aquafina water project in Maharashtra, which is the only Aquafina plant outside the

US.

According to Deepak Jolly, executive vice president, corporate communications, Pepsi

Foods Ltd. “Aquafina will be helped by Pepsi’s network. Moreover, Aquafina will be

served absolutely chilled.” That makes sense too, since surveys have indicated that an

overwhelming majority of the bottled water that is consumed in India is by people who are

traveling.

With the big players, who have the support of the financial muscle and a large consumer

base in other categories with them, like Pepsi, Britannia, Nestle and Coke — the battle is

the tougher arena of brand building. All the multinationals are looking at high-octane

advertising targeting specific consumer segments. Sensing troubled waters ahead, Bisleri

is busy working on a strategy to soak up the competition and protect his water kingdom.

Strategy which the company could adopt, are as follows: -

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1.The soft target

Selling bottled water requires constantly expanding the market. The company should also

target the market for soft drinks. All the soft drinks addresses three issues: fun, thirst and

refreshment followed by status to some degree. The thirst and the status value of the

mineral water are well accepted. There is very little the mineral water brands can do to add

the fun element around the product. Again here, it becomes important for the company to

have a good distribution network. It should be understood that if the mineral water is

easily available everywhere then it can be said with confidence that it would be able to

replace the soft drinks as thirst quencher. If we try and look at the reasons that why

consumers buy soft drinks as thirst quenchers: we would find the answer as that either

water is not available or if it is available then safety is not assured. Therefore, backed by a

good distribution network mineral water industry can grow at a rapid rate.

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LIMITATIONS

A small segment of the market has been covered only, so the conclusion cannot be generalized.

The data collected cannot be free from errors, since some of the respondents failed to give

correct information.

Study accuracy totally based upon the respondents response.

Stipulated short span of time for survey.

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RECOMMENDATIONS

Advertisement to build the brand image that will provide the required ground to establish

the authenticity to the product.

POP (Point of Purchase) displaying the cost of water at Rs. 2 per liter, as the perception of

the people is that mineral water cost Rs. 10 per half Lt.

Awareness programs at health club, schools & Nursing homes.

To win over the consumer belief and faith over the genuity of the product.

Display of hot and cold dispensers and bottles at places like hotels, clubs and airports

where upper class group visits, as they are the potential customers. Place like departmental

stores, petrol pumps and super bazaars can also be considered.

The company should organize camps at various part of the city also road show to bring

about the difference between mineral water and filter/purified water and to tell the people

how mineral water is more hygienic than filtered water/purified water.

To aware people the cost benefit analysis to the customer of how the mineral water would

cot less and benefit more, because people using purifier system cost too much.

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BIBLIOGRAPHY

Marketing Management, Philip Kotlar

Annual Report, Bisleri

Business Magazines

Websites

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Annexure

QUESTIONNAIRE

Retailers details (please fill up ) : ________________________________

Retailers shop Name : ________________________________

Address :

Contact Person : ________________________________

Q.1 Which brand of bottle water do you sale more?

Kingfisher

Kinlery

Aquafina

Bisleri

Others

Q.2 Which brand of bottle water do you prefer to sell more ________________________________________________

Q.3 How much is your monthly sale?

_______________________________________________

Q.4 Why do you prefer to sell more this particular brand?

Easily available

More demand

Quality Factor

Q.When you talk of mineral water, what brands come to your mind?

_______________________________________________

Q. 7 Whether the customers are already aware about this product?

____________________________________________________Q. 6

___ Which brands of mineral water are more available in your shop ?

_________________________________________________Q. 7 Which are the brands available in your shop?

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____________________________________________________

Q.8 Number of buyers who buys this brand per day?a) 0-5 b) 5-10 c) 10-15 d) Above 15

Q.9 Are you satisfied with the current margins on this brand?Yes / NO

____________________________________________________Q.10 Whether you are getting any complaints from customers, specify?

____________________________________________________Q. 11 To which brand and reason?

Brand:- _____________________________________

Reason:- _____________________________________

Bisleri – The Source for Pure Drinking Water

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