Case Study on Reinventing of Bisleri

Presented to, Prof. Murgesh Gaglani

GROUP MEMBERS
HARSHADA MAHADALKAR JAMUNA AGRAWALLA KAUSHAL VEDANT MANDAR TERSE MOHD. IBRAHIM MIRZA SANTOSH SHAD SUFIYAN PATEL VIJAY DINDRAMA 86 102 114 130 149 244 267 287

ZEUS MISTRY

302

BACKGROUND OF THE CASE

In 1990 Parle Bisleri had become synonymous with branded water & had a market share of 70%. Other players position them self as packaged drinking water. In 1990 Bisleri comes up campaign of Pure and Safe ad. But in 2000-01 , company face major competition from CocaCola & Pepsi. The market share of Bisleri decline, starting loosing the No.1 position from the market. In September 2000, Parle Bisleri launched its Play Safe ad campaign.

PACKAGED DRINKING WATER INDUSTRY 2008 Rs. 1500 crore packaged water industry

The industry which is growing at the rate 55% per anum Estimated to grow around Rs. 1800 crore by 2010 Approximate 20% brands in organized market & around 80% Local Brands

THE MAJOR PLAYERS IN PACKAGED WATER INDUSTRY

Parle's Bisleri

Coca Cola Kinley

PepsiCo Aqua Fina Manikchand Oxyrich Parle Agro Bailley

Major Players Market Share in India 2008

Percentage
60%
50% 40% 30% 20%

10%
0%

Percentage

Bisleri Profile
A Italian origin company. Parle bought over Bisleri in India In 1969 Currently 54 bottling plants , 9 plants are company owned & rest are franchisee or contract packers. Company put through multiple stages of purification, ozonised & finally packed for consumption. Company commitment to offer every Indian pure & clean drinking water

Strengths Bisleri is the synonymous with branded Bisleri is the pioneer in the market Major market share Generic name for packaged drinking water 40 years old brand so name its self is TRUST Focus on safety water

Weakness No continuous innovation in the product Not able to penetrate on premium segment Not more focus on advertisement

Opportunities

Threats

Can enter in the market of juices & beverages

Can enter in the market of water purifier

From the players like Kinley, Aqua fina, Himalaya Bailley, & Other local & rural products
New enters in the market like Amul

Can tab the maximum rural market of the country Tie-up with railway canteen & stalls

If government ban on plastic use then company will be in trouble

PORTER'S 5 FORCES

Continue
Bargaining Power of Suppliers
Increase in the cost of Raw Material (cap cost , labeling cost, bottle cost, carton cost) Suppliers supply raw material to local players As plastic bottle banned another substitute will be glass bottle

Threat of Substitute
Substitute are Fruit Juices, Health Drinks ,Soft Drinks Juices like Real , Slice Mangola , Priya gold Treat, Coca Cola

Continue
Intensity of Rivalry Firms
Local brands are major contributing 80% of market share Around 200 registered brands in India

Bargaining Power of Buyers

Local brands are available in the market in the cheap price Buyers have choice from wide variety of suppliers Demand is more in the market but branded suppliers is less compare to local suppliers

Barriers to Entry / New Product

New entrants in the market like Amul Narmada Neer Market is growing which attracts new entrants

Segmentation
Climate:- Hot & Humid Lifestyle:- Travel Freak Personality:- Health Conscious Family Size:- Mostly Individual & Sometimes Families Corporate Benefit:- Thirst & Quality Brand Loyalty:- Split Loyal

Geographic - City Size:- Mostly Major Cities & Sub Metros

Psychographic

Demographic

Behavioral

Targeting
Targets middle segment people

Price of the Bottle is such that can be affordable to the all segments
Company planning to target more towards lower segment

Positioning
Where is the Product in the Customers Mind
Mineral Water Bisleri Aquafina Kinley Oxyrich Himalaya Brilliant Best

Brain Cells

Product

A range of products that suits all the occasion For daily traveling consumption (250ml cups, 250ml & 500ml bottles) For Long traveling consumption (2, 1.5 & 1 Ltr.) For Office, Home, Marriage or Meeting use (5 & 20 Ltr. Returnable packs)

Price
Comparative Pricing
Geographical Pricing (Transportation Chugs)
E.g. Gujarat Village Mumbai Rs.5/- Per Ltr. Rs.12/- Per Ltr.

Product Line Pricing

Image Pricing
Old Pack New Pack Rs.5/-Per 500ml Rs.9/-Per 500ml

Place
Intensive Distribution
25 bottling units
A fleet of 2,000 vehicles 1,20,000 retail outlets ,12,000 each in the metros of New Delhi and Mumbai

Promotion
First Ad Campaign PLAY SAFE Second Ad Campaign The Sweet taste of Purity Third Ad Campaign Bisleri The Mountain Water Fourth Ad Campaign Bisleri bottle falling from mountain

Advertising Campaign

Recommendation
Keep Innovating at regular interval

Improve penetration in the market which includes rural market

Advertise regularly to maintain top of mind recall Improve ties up resorts & restaurant Introduce sparkling water to cater to niche category & obtain more shelf space

Keep tab for duplication

tHaKu YoU