WELCOME TO THE WORLD OF PACKAGED

DRINKING WATER

MARKET OVERVIEWDescription Premium

Natural Mineral

Natural Mineral Water

Packaged Drinking

Water

Brand Evian, San Pelligrino

and Perrier

Himalayan and Catch

Bisleri, Kinley,

Oxyrich & Aquafina

Price Rs.80 & Rs.110

Rs. 25 Rs. 10-14

Quantity 1litre 1litre 1litre

Overview of Packaged Drinking Water

Around 100 companies sell an estimated 424 million litres of bottled water valued at around Rs. 200 crore in the country annually

The tradition of bottled water and mineral water is not very old. Even in western countries the practice of bottled drinking water started in 1950s. The trend of having mineral water gained grounds in the market.

Since ancient time people have used water from mineral springs, especially hot springs, for bathing due to its supposed therapeutic value for rheumatism, arthritis, skin diseases, and various other ailments.

The concept of bottled has been quite prevalent in western countries due to greater health consciousness and higher awareness about health and hygiene countries are exported every year.

Company OverviewGenesis

Expansion: The company has witnessed an exponential growth with their

turnover multiplying more than twenty times in as 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

Bisleri Today: The recently introduced Bisleri Natural Mountain Water- water

brought to you from the foothills of the mountains situated in Himachal Pradesh. This newly launched offering has widened their product range to two variants: Bisleri with added minerals and Bisleri Mountain Water.

Market Share

Product Range

Source of Purchase

Distributor 71

Company 8

Retailers 57

Distribution Channel

Distribution network in Mumbai

Number of Distributors: 100Number of Retailers: 25,000Number of vehicles: 75 vans which go daily If the demand is more then they hire In Mumbai they have 3 zones:South Mumbai ( Matunga –Town)Western ( Mahim- Dahisar)Central (Sion- Thane)Short Central ( Navi Mumbai, Mira Road, Vasai, Virar)

ORGANISATION STRUCTURE FOR MUMBAI

• 3 Senior Sales Manager for the 3 zones• South zone has 3 ASM• West zone has 2 ASM• Central and Short Central has 4 ASM• 3 Sales Executive for every ASM in all the 3 zones• 3 Corporate Sales person for all the 3 zones• Their truck drivers are their salesmen

Cont…………

Number of outlets the Sales Executive covers – 30 to 40 on an average

The vehicle cover 50 to 60 outletsThe most sold pack is of 20 litre

Ghatkopar Outlet

Distributor: Tanuja AgencyRetailer : Benefit Counter1 litre Box 2+1=3 for Rs 236500ml Box for Rs 140 quantity 1

Retailer 2: Kailash Store

Retailer 3 (Shashi General Stores)6 – 7 months before he used to take from

Bisleri manufacturer but now they have stopped taking and started keeping Oxyrich

Retailer 4 ( Patel General Store)

DISTRIBUTOR DETAIL

Tanuja Agency (Ghatkopar)

Kharghar Outlet

• Distributor : Prathamesh Enterprises• Areas covered: All over New Mumbai• Stock depends on the requirement• Margin to the Retailer – Rs 2 for 1 litre• Most sold pack is 1 litre and 2litre• Most preferred packaged drinking water-

Bisleri• The distributor comes once in 3 days

Bandra Outlet

• Product flow directly from the company• Vehicle comes daily in Bandra west and in

Bandra East it comes on alternate days• Outlet 1(Tambe) 1 box(12 bottles) – 1 litre he gets it for Rs 118

He sells it at Rs 13 to the customers 1 box(20 bottles) – 500 ml he gets it for Rs 140 He sells it at Rs 10 to the customers

Cont…. Outlet 2( Retailer) 1 box(12 bottles)- 1 litre he gets in Rs 110 His margin is 12% 1 box(24 bottles) 500ml he gets in Rs 195 His margin is 8% 1 box(9 bottles) 2 litre he gets it for Rs 18 per bottle and

he gets a margin of 8% 5 litres can he gets it at Rs 31.50 per can and he sells it

at Rs 35 and gets a margin of 8% 20 litres can he gets it for Rs 62 and sells it for Rs70 and

he gets a margin of 6%

PROS AND CONSPROS:–Mindset –Existence–Availability–Price–Wide Market Coverage–Advertising

CONS:–Low Margin

AREAS OF IMPROVEMENT

• Margin: The retailers have said they should increase their margin offered

• Good schemes should be given• Some promotional offer like 1 box free on

purchase of 10 boxes like Oxyrich does on the sale of 5 boxes he gives 1 box free

• Retailers are ready to stock Oxyrich because they say that people enjoy drinking and also because their salesmen come 3 days of the entire week