anshul bisleri
TRANSCRIPT
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 ofPGDM2010-12
Submitted by
Anshul Kumar JainRoll No – FA10014
Company Guide Faculty Guide
Mr. R. L. Narsimhan Mrs. Yukti AhujaAsst. General Manager Lecturer Bisleri Int. Pvt. Ltd. Jagan Institute of Management Studies
Jagan Institute of Management StudiesRohini, New DelhiMay - July 2011
CERTIFICATE
This 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
Acknowledgement
I 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
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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 2010-
2012 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.
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Table of Content:-
S. No. Topic Page
NO.
Part A 1 Executive Summary
2 Introduction
3 Company Background
Vision
Mission
Values
Distribution channel
Industry analysis
Competitive analysis
SWOT Analysis
4 Objective
8
9
19
22
25
26
28
29
32
Part B 5 About the project
6 Literature Review
7 Research Methodology
8 Data Analysis
9 Findings
33
34
38
41
42
6
Part C 10 Conclusion
11 Recommendations and Suggestions
44
45
Research done exclusively on different retailers across
Delhi
Market Research Design
Data Analysis
Recommendations and Conclusion
46
47
48
60
Annexure 61
Bibliography 65
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Chapter 1
Executive Summary
The 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.
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Chapter 2
Introduction
India 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.
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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
made mandatory for all bottled water companies to get an ISI mark, including imported water bottles
like Evian and Perrier.
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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 PROJECT
This 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.
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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.
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.
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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 it’s 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 lion’s 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.
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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
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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 it’s 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.
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Comparative study of Chemical Parameters of Vedica, Himalayan, Evian and Volvic
SR. NO. PARAMETER VEDICA HIMALYAN EVIAN VOLVIC1 PH 7.7 7.3 7.2 7.0
2TDS at 180 deg.C
(ppm)225 330 309
130
3 Calcium (ppm) 47 62 78 11.54 Chlorides (ppm) 13 8 4.5 13.55 Bicarbonates (ppm) 201 63 357 716 Sulphate (ppm) 19 --- 10 ---7 Magnesium (ppm) 13 15 24 88 Sodium (ppm) 14 20 5 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.
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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.
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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.
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Chapter 3
COMPANY BACKGROUND
In 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 PRESENT
It 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.
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FUTURE PLANS
Bisleri 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.
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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.
Promoters
Parle 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.
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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.
Bisleri’s VisionIts vision is to be the dominant player in the branded water business where the second player is less
than 20% of its business.
Bisleri’s 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.
Bisleri’s 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 Chain
Every 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.
It’s 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 Analysis
Potters 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
Coke’s Kinley, PepsiCo’s Aquafina, Mohan Meakins, SKN Beweries and Parle Agro’s 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
27
Coconut water Vending Machine water The most economical drink -nimbu pani
Bargain Power of Supplier
When the company’s suppliers are able to:raise price and reduce quantity
Then the supplier power would be high
Packaging (PET bottles) Labeling material
Bargain Power of Customer
Buyer’s demand
1. Better quality or service2. Set competitors against each other
At the expense of sellers profitability
Reason:
1. Industry where many brands fighting for existence and their shareLarge number of choices available to retailerLow switching cost for retailer
Prices of other products are more of less the same1. Brand Loyalty of customer is very low
Competitive Analysis
28
SWOT Analysis
Analysis of the company on the following parameters :
Strength
Weakness
Opportunities
Threats
29
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-Bisleri’s 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.
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
30
• 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 MNC’s –Bisleri should focus more on the corporates and mnc’s 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.
• 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.
31
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 POLICIES
Human 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.
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.
32
4) To offer compensation commensurate with responsibilities, performance.
5) Achievement as we believe in “BEST REWARDS FOR BEST PERFORMANCE”.
DISTRIBUTION PATTERN
Bisleri 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.
OBJECTIVES
1. 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.
Chapter 4
About the project
The 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.
33
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.
Chapter 5
Literature Review
1. Bisleri continues to lead in the packaged water industry.
Source: The Hindu, Dated: 17 Feb.2003
34
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 Bisleri’s biggest performing markets, despite the brand’s 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 India’s Kinley, Aquafina from Pepsi foods and nestle India’s 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.
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
35
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 ofpesticides.
The entire portion of water is not subjected to reverse osmosis; a portion of wateris subjected to reverse osmosis and mixed with pretreated water to maintain themineral 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 MILLION CASES1990-91 2.21991-92 2.61992-93 3.51993-94 4.71994-95 6.51995-96 8.51996-97 11.51997-98 15.51998-99 201999-2000 262000-01 332001-02 44.52002-03 55.62003-04 68.152004-05 822005-06 972006-07 112.852007-08 129.85
36
2008-09 146.8*2009-10 164.45*2014-15 265*
* Estimated Projects(Prediction)
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 GI’s 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 company’s 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.
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 earth’s surface, the Himalayan aquifer is one of the largest and most
pristine sources of natural mineral water in the world.
37
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.
Chapter 6
RESEARCH METHODOLOGY
38
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.
Internal source: Which originates from the specific field or area where research is carried out e.g.
publish broachers, official reports etc.
39
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
Cannaught Place
ITO
KG Magh
40
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.
Chapter 7
Data Analysis
41
1. 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.
FINDINGS
Some problems faced by the company:
42
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 dealer’s 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.
Some dealers sometimes provide the 20 liter jar at the prices which less than the
company creates fiasco which can be eliminated.
43
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) - All India Kinley(Coke) - All India Bisleri (Parle) - All India Bailley - Mumbai Catch(Satyapal Dharampal) - All India Atlas premium - Delhi Ganga(t-series) - All India Golden Eagle - solan Hello - All India Himalayan - All India Jal - Delhi Kingfisher(Kingfisher) - Delhi, Mumbai Nakshatra - Chennai Nestle Pure Life - Delhi No 1 McDowell - All India Paras - Delhi Pristine - Nilgiris Raindrops - Chennai Rail neer - Railway
Chapter 8
Conclusion
44
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 company’s 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.
Chapter 9
Recommendations
Some general recommendations may be listed below for the Delhi market:
45
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 Bisleri’s customer.
Research done exclusively on Retailers
Market Research
46
Objective 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 Data
The sample size was the retailers across Delhi.
The sample size was taken from North Delhi, South Delhi and West Delhi.
Collection of data was done through an exploratory research by preparing a questionnaire. We
collected data of nearly 50 retailers dealing in packaged drinking water.
Limitations of the Study
The sample size and the data collected was according to the convience of reaching them.
The respondent might have not given the right answers and given accordingly to their choices.
Market Research Design
Exploratory Market Research
47
The 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 doesn’t 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.
Descriptive research
Next 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 company’s market share differs between geographical
48
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
1. Do you prefer packaged drinking water?
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.
2. Are you aware of the following brands in packaged drinking water?
BISLERI KINLEY AQUAFINA OTHERS
YesNo
49
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
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
BISLERI
KINLEY
AQUAFINA
OTHERS
0 10 20 30 40 50 60 70 80 90
NOYES
BISLERI KINLEYAQUAFINAOTHERS and LOCAL
50
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 you’re using on the basis of the
following:
Price:
Brand Name Very Satisfied Satisfied Dissatisfied UncertainBisleriKinleyAquafinaOthers
YesNo
Very Satisfied
Satisfied
Dissatisfied
Uncertain
0 10 20 30 40 50 60
OthersAquafinaKinleyBisleri
51
Analysis: The 52% of the retailers were satisfied with the price of Bisleri followed by Kinley, Aquafina and others.
Quality:
Brand Name Very Satisfied Satisfied Dissatisfied UncertainBisleriKinleyAquafinaOthers
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 Very Satisfied Satisfied Dissatisfied UncertainBisleriKinleyAquafinaOthers
Very Satisfied
Satisfied
Dissatisfied
Uncertain
0 5 10 15 20 25 30 35 40 45
OthersAquafinaKinleyBisleri
52
Analysis: The retailers were mostly satisfied more with the service of Kinley and Aquafina other than Bisleri.
Packaging:
Brand Name Very Satisfied Satisfied Dissatisfied UncertainBisleriKinleyAquafinaOthers
Analysis: The packaging of the Kinley was mostly liked by retailers and similarly by the customers followed by Aquafina and Bisleri
Very Satisfied
Satisfied
Dissatisfied
Uncertain
0 5 10 15 20 25 30 35 40 45
OthersAquafinaKinleyBisleri
Very Satisfied
Satisfied
Dissatisfied
Uncertain
0 5 10 15 20 25 30 35 40 45 50
OthersAquafinaKinleyBisleri
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6. What factors can change the brand preference of the customer?Q-QualityP-PriceS-ServicePK-Packaging
Q&P Q&S P S Packaging
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
38
22
10
6
24
Q&P -Quality and Price Q&P Q&S -Quality and Service Q&S P-Price P S-Service S PK-Packaging PK
54
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 b) Aquafina
c) Kinley d) Others
Profit Margin
Quality of Water
Service of Company
Packaging
0 5 10 15 20 25 30 35 40 45 50
46
28
22
4
Key Factors
Key Factors
55
26
44
26 4
a) Bislerib) Aquafina c) Kinleyd) 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
YesNo
Analysis: The 70% retailer felt there will be growth in the mineral water in the near future.
56
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
50
30
10 10a) Increase in Health consciousness of peopleb) Increase in Advert-isementsc) Scarcity of drinking waterd) Others
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 b) Good
c) Average d) Poor.
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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
Very Good Good Standard Bad05
1015202530354045
Comparison
60%20%
15%
5%
Prospecta) Excellent b) Good c) Average d) Poor.
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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 Bisleri’s awareness programme, sales campaign, and advertisements?
YES NO DON’T 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
YES NO
DON’T KNOW
05
101520253035404550
30
50
20
59
36
27
37
RESOLVE ITCHANGE THE BRANDGIVE 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.
ANNEXURE
QUESTIONNAIRE
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Dear 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
4. Do you think packaged drinking water has a seasonality effect?
YES NO
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5. Please scale your satisfaction level for the brand you’re using on the basis of the following:
Price: Brand Name Very Satisfied Satisfied Dissatisfied UncertainBisleriKinleyAquafinaOthers
Quality:
Brand Name Very Satisfied Satisfied Dissatisfied UncertainBisleriKinleyAquafinaOthers
Service:
Brand Name Very Satisfied Satisfied Dissatisfied UncertainBisleriKinleyAquafinaOthers
Packaging:
Brand Name Very Satisfied Satisfied Dissatisfied UncertainBisleriKinleyAquafinaOthers
6. What factors can change the brand preference of the customer?Q-QualityP-PriceS-Service
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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 b) Aquafina
c) Kinley 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
11. What is the future prospect of this market?
a) Excellent b) Good
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c) Average d) Poor.
12. How do you rate Bisleri as compared to other brands?
Very Good Good Standard Bad
13. Are you satisfied with Bisleri’s awareness programme, sales campaign, and advertisements?
YES NO DON’T KNOW
14. If you have any problem with the service then what would you do?
RESOLVE IT CHANGE THE BRAND GIVE A CHANCE
BIBLIOGRAPHY
BOOKS & JOURNALS–
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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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