A

SUMMER TRAINING REPORT

ON

A STUDY ON THE EFFECTIVENESS OF THE

DISTRIBUTION CHANNEL
OF BISLERI
SUBMITTED TOWARDS THE PARTIAL FULFILLMENT
OF MASTER OF BUSINESS ADMINISTRATION
(SUBMITTED TO MTU, NOIDA)

ACADEMIC SESSION:
2011 2013
SUBMITTED TO :

SUBMITTED BY:

Ms. INDU GOyaL

NIKHIL KUMAR

[Faculty of Management]

MBA III Sem

Roll No. 1117470046

KISHAN INSTITUTE OF INFORMATION

TECHNOLOGY, MEERUT
(Affiliated to M. T. U, Noida)
0

ACKNOWLEDGEMENT
To start with I would first of all thank God Almighty for the successful completion of my
Research report in BISLERI V/S OTHER MINERAL WATER
I feel privileged to have completed my Research report in BISLERI V/S OTHER
MINERAL WATER. They possess excellent ability to simplify complicated situations in
a subtle and rational manner. I thank them deeply for guiding me the way to sail through
this, once looking insurmountable work.
I am also highly thankful to Ms. INDU GOEL , Faculty of Managements , KITE Meerut.
who had given me some important tips, continued guidance and support. Without them it
was very difficult to make the report.
I am also highly thankful to Dr. .(H.O.D), and Ms. INDU GOEL , Faculty
of Managements , KITE Meerut. For their significant help and who soend time from their
busy schedule to help me in my Research report.
I am indebted to all those who have been helpful throughout the process of writing this
Report but as the clich goes, I am solely responsible for any remaining errors of fact or
judgment.
Last but not least, it is a pleasure to express my heartfelt thanks to all those who
remembered and wished every success in my endeavor.

NIKHIL KUMAR
MBA III Sem
Roll No. 1117470046

STUDENT DECLARATION

I, NIKHIL KUMAR STUDENT OF MBA- III Sem declare that the project entitled A
STUDY ON THE EFFECTIVENESS OF THE DISTRIBUTION CHANNEL OF
BISLER submitted to Mahamaya Technical University in partial fulfillment

of the requirement for the award of the degree of master of business

administration is a record of original project work done by me during my
period of study in Meerut International Institute of Technology under the
able guidance of Prof. INDU GOEL.

NIKHIL KUMAR
MBA III Sem
Roll No. 1117470046

PREFACE

The systematic study of materials and sources in order to establish facts and research, new
conclusions both in academic institutions and outside is the need of the hour. In marketing
industry work directed towards innovation in an improvement of the products and processes
are undertaken and accomplished year after year. The need therefore is for those concerned
with research to pay due attention to designing and adhering to the appropriate
methodology, throughout for improving quality.

This report entitles BISLERI V/S OTHER MINERAL WATER is aimed at evaluating
the consumer preference availability of products competitors activity, consumption pattern
channel behavior.
In this report we determine that brand awareness and brand preference of the different
segment and to analyze the various segment preference for the packaging medium, bottle
size and price of packaged drinking water.
This report analyze the major competitors in this product , their respective product
attributes and brand positioning and market strategies.

NIKHIL KUMAR

CONTENT
CHAPTER

PAGE NO.

Executive Summary

1-3

Introduction

4-5

Objective of the Study

Company Profile

7-39

o Cummins India to Build New Facility

o Mineral Water Industry - Current Market Scenario
o Inspection of Bisleri
o Product Profile
o Manufacturing
o Packaging and Distribution
o Advertising Campaign of Bisleri

Marketing Mix

40-62

3C's Consumer
Consumer Concerns and Perceptions
Competition & Competitor

Research Methodology

63-69

o Marketing Research
o Research Objective
o Developing the Research Plan

Data Analysis

70-74

SWOT Analysis

75-77

Findings

78-78

Suggestion

79-79

Limitation

80-80

Recommendations

81-83

Annexure

84-87

o Bibliography
4

o Questionnaire

EXECUTIVE SUMMARY

Water which is are important element in the world and plays the very vital world in our
body, the importance of it cannot be underlined. Our body consist of 80% of water hence it
plays very vital role in our body. Hence pure water is a important pre requisite for us.
Bisleri is a name which highlights the purity of water. Bisleri is engaged in producing
Mineral Water for the safety of the people. Mostly people suffer from water bond diseases
hence people should go for mineral waters. Bisleri is a name of repute in producing pure
water. More than 40% of the customers of mineral water uses Bisleri.

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.

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.

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.

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.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 wet up in the last year at
Ahemdabad 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.

Bisleri has planned to expand its operations by investing Rs. 60 crore in the up gradation of
facilities. 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. 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 Lt.

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. In the branded
segment, Parley's Bisleri is the market leader with a share of more than 45%.
Hence use Bisleri and plays safe is the token of life.

INTRODUCTION
Water is the most important liquid in the world. Without water, there would be no life, as
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 odour and color of water but does not clear out
the dissolved impurities and mineral particles. Thus came advent of mineral water.
Historically, the need for purified water with in 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 letters 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".

OBJECTIVE OF THE STUDY

The objective of the study was to find out the consumer preference, availability of the
products, competitors activity consumption pattern channel behavior of various SKUs and
the market share of Bisleri and its competitors. The major emphasis was given on:

To know the clear picture of market position of mineral water industry in India.

To analysis the share of Bisleri in market.

To find out the major competitor of Bisleri.

To analyze the Sale of Company

To analyze the sale of the competitor.

To give suitable suggestion and recommendations by which Bisleri can increase market
share.

To assist marketers in making their advertisement more effective both in electronic and
print media.

To find out the efficiency in which the advertisement budget is used for optimum,
utilization of funds available to the company.

To determine and advertising pattern for the year that would increase the awareness
about the company.

To make a detailed study of packaged drinking water in terms of its exitings market
size, future market potential, major geographical markets and important segments .

To analyse the major competitors in this prtoduct, their respective product attributes,
brand positioning and market strategies.

COMPANY PROFILE

A Parley Bisleri is Italy origin Company Parley was established in 1929 as a confectionery
manufacturing company. It diversified into the soft-drinks business. It had a network of 64
franchisees all over India and held 60% market share when, in 1993, the soft-drink business
was bought by Coca Cola International.

Parley bought an Italian mineral water company Bisleri in 1969 and has since grown
into a mineral-water business. Parley Bisleri exclusive company looks after the
development of the mineral water business. Further back, the company integrated a bottleblow moulding and bottle-cap manufacturing plant. Bisleri mineral water at present holds a
market share of 65% in India.

Mr. Ramesh J Chauhan, son of Mr. Jayantilal Chauhan took Parley to the international
arena by introducing fruit juice based drinks in 1974 under the brand "Maze". Parley
became a multinational with franchise operations in Dubai, Kuwait, Sultanate of Oman,
Saudi Arabia & Bangladesh with distribution and marketing in the USA, the UK, Canada,
Europe, the West Indies, etc. Behind the success of Maze lies the ability of Parley to fully
understand the processing process of fruit puree and fruit-juice concentrate

RAMESH J. CHAUHANS BIGGEST GAMBLE WITH WATER

1 FEBRUARY 2001

The

best beverage

for India

in the

new

millennium

seems

to be water.

In recent years, the bottled drinking 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 rate of
over 50 per cent annually. The country's bottled water business is estimated to be around
Rs. 1,100 crore, of which the branded market accounts for Rs. 700 crore and about 700
million liters in volume.

In India, the core proposition of bottled drinking water lies in hygiene, as the quality of tap
water is bad and is rapidly deteriorating. This is in stark contrast with the West where
mineral water indicates the attendant minerals present in the water. Mineral water in
Western countries is obtained from natural springs and is, generally, named after those
springs. Most of the bottled water passed off as mineral water in India, however, is filtered,
boiled or purified by other means such as reverse osmosis. A better description of bottled
drinking water sold in India therefore, would be purified bottled water.

The growth of the category indicates the need for this mineral water and the fact that
heavyweights are eyeing the segment points to the potential that is seen in this market.
Coke, Pepsi, Britannia, Nestle, Cutwater -- are keen on raising their stakes in the Rs. 700
corer, 700 million-liter market. The entry of Dan ones brand, Evian, the high-

Priced mineral water from the French Alps shows the perceived potential India presents in
this product category. Clearly targeted at the premium segment of consumers, the
brand is being distributed in the country by Britannia Industries. Currently, Evian has more
of an institutional presence (five star hotels) than on the retail shelves, with a 1-litre bottle
being priced a hefty Rs 80.

PARLES FOCUS
Mr. Ramesh Chauhan, chairman, Parley Bisleri, the pioneer of bottled water as a product in
India, says his focus is now entirely on his Bisleri brand, which reportedly enjoys a 60-65
per cent share of the bottled-water market. From Rs. 400 crore turnover, at present, he plans
to increase it to (hold your breath!!) Rs 1,000 crore by year 2002.

According to him, the drinking water market at the moment presents a huge potential,
valued between Rs 700-800 crore and growing at the rate of nearly 50-80 per cent per
annum. He asserts that Bisleri itself is growing at more than a 150 per cent growth rate.

Mr. Chauhan has aggressive plans for Bisleri with investments up to Rs 200 crore in the
product during the next two years. Fuelling this growth would be the new 5-litre water
jar, priced at Rs 25, targeted at the household segment and the 500 ml pack priced at Rs 5.

He has 16 plants located all over the country of which over a dozen are owned by him and
the balance is run by franchisees. Mr. Chauhan plans to have his own distribution network
in places where his plants are located while franchisees would manage the distribution in
their respective areas of operation.

Interestingly enough according to Mr. Chauhan the origins of Bisleri lie in Italy, and the
brand owes its name to its founder, Mr. Felice Bisleri, an Italian entrepreneur. In 1967,
Bisleri set up a plant in Bombay for bottling and marketing actual mineral water, which

10

did not quite work. By 1969, Bisleri wanted to exit the business and to help him out the
Chechens bought the brand, intending to turn it into a soda brand.Till 1993 Mr. Chauhan,
one of the pioneers in the soft drinks arena in India, controlled a large share of this market
with his brands Gold Spot and Thumps Up. During that year he eventually sold all his soft
drinks brands for a very heavy price to multinational Coca Cola Company. Bisleri, which
went under the new management for a period of five years, remained largely neglected.

It was in 1998 after Bisleri had reverted back to him from Coke that he turned his attention
to it, since, as he puts it, he was "more or less unemployed, and doing the donkeys work of
bottling for Coca Cola". In 1993, when Coke bought Parley's

bestseller brands, it also obtained the rights to market Bisleri brand of soda for five years.
On getting the rights to the brand back, he started building Bisleri as a mineral water brand.
As he says, "we had a brand name, we had a product, but we had no facility as such, be it
bottling plants, be it distribution network or other infrastructure."
Though the brand building of Bisleri started in a small way in 1994-1995, it was only in the
years 1999-2000 that the efforts really bore fruit. He claims that Bisleri grew by 80 per cent
in 1998-1999 and by 150 per cent in 2000. "In 2001, we hope to do 400 per cent", he states.
Mr. Chauhan never anticipated that Bisleri would be this big a success. He feels that the
launch of the half-litre (500ml) bottle was the beginning of a dramatic rise in volumes and
business prospects.

11

"In another three years' time, water will overtake soft drinks in terms of volume sales, and
then Coke and Pepsi will be no match.'' he asserts. His confidence probably stems from the
fact that the soft drinks market is currently not doing too well with both Coke and Pepsi
having reported flat sales for two years in a row. Both players are currently engaged trying
various measures like the recently introduced small packs of 200 ml, to increase sales. The
bottled drinks market in India is estimated at Rs 5,100 crore, with soft drinks accounting for
nearly Rs 4,000 crore while fruit juices and other drinks make up the rest.

He clarifies his stance by saying that, "In all the major markets, water outsells soft drinks in
terms of, what Coca-Cola now terms as, share of the consumers throat. For instance, in the
Middle East, water dominates over soft drinks. Also bottled drinking water has graduated
from being an elitist product a couple of years ago to being an
Article of common use now. Also simple economics dictates that a 500 ml of safe drinking
water costing Rs 5 is a better buy than a 300 ml of soft drink costing Rs 10."
Differentiation

A clear differentiation is happening among the medley of water brands in terms of both
pricing and positioning. While Bisleri is touting itself as ''pure and safe,'' brands like Bailey,
Yes, and hello are trying to ride the mineral water wave. And Evian, launched by French
transnational Dan one sells itself as ''water from the French Alps'' competing with premium
soft drinks. The fact however remains that almost all players in this

12

Category are positioning themselves on the purity and hygiene platforms since the very
raison d'tre of bottled drinking water is the bad quality of tap water in the country. In
This scenario how will Mr. Chauhan differentiate Bisleri from the others and, more
importantly, for how long?

Mr. Chauhan has been trying to differentiate Bisleri by its breakaway seal as an assurance
of purity. As he says almost 76 per cent of consumption of bottled drinking water happens
in transit. Market research conducted by Bisleri revealed that the other overriding concern
for this set of buyers is the tampering of the seal and the reuse of bottles. Many have
witnessed used bottles being refilled at railway stations. So when a consumer buys mineral
water, he would like to be assured that the water has not been tampered with.

At the same time Bisleri is promoted by an aggressive print-and-TV backed by hoardings

and point-of-sale material. Every interface with the consumer is being used as an
opportunity to reinforce the message. For instance, all vehicles used for supply have been
painted in bright blue, bear the Bisleri logo and sport catchy baselines like drink and
drive. Apart from creating consumer pull with an advertising campaign, Mr.
Chauhan is boosting the retail push as well. Says a local marketer of a brand, strong in the
institutional segment, toying with the idea of going retail, "Distribution is the key. The
consumer will pick up whatever is conveniently available and is pushed by the retailer.

13

Mr. Chauhan says that from his vast experience of marketing Gold Spot and Thumps Up, he
learnt that distribution plays a crucial role in the successful marketing of bottled drinks. He
says, "Just about anybody can invest money into a bottling plant or other
Facilities. The really dirty work is distribution. Making fresh water available within a
particular period of time is crucial for its success."

His strategy is to build a direct distribution system at an all-India level. According to him,
distribution in the Indian context requires experience. Bisleris retail distribution muscle is
indeed great. With 16 bottling plants to churn out the product, Bisleri has around 80,000
outlets in the country with about 12,000 each in the metros of New Delhi and Mumbai. Mr.
Chauhan intends to increase that to 10 lakh outlets and use around 2,000 trucks to crisescross the nation, up from the current 1000.

With little belief in the distributor system, the company leverages its large fleet of trucks to
supply bottled water directly to retailers through a system called route selling where the
driver of the truck is trained to be a service person. A critical component, this system,
according to him, ensures that the water supplied is fresh and bottles are in good shape.
Though route selling is more expensive than the more commonly followed method of
appointing distributors in different towns, he says, it is more effective.

14

It is obvious that reach holds the key to the market. With 16 plants at 14 locations across the
country (accept the east), he is planning double capacities at all of them to 200 million
cases a day. For this he plans to invest at least Rs 60 crore to upgrade facilities. By the year
2002, he hopes to increase Bisleris reach five-fold to almost 2,500 towns and cities and
will pump Rs 200 crore into the Bisleri brand. These measures, he hopes, will give Bisleri a
market share of more than 85 per cent by the year 2002.

15

At the same time he is pursuing a multi-pack and multi-price strategy. Today Bisleri offers
7 packaging options; a 250-ml cup and bottles in 500 ml, 1-litre, 2-litre, 5-litre, 12-litre and
20-litre packs. The 1-litre bottle accounts for nearly 50 per cent of the sales, with the 2-litre
bottle taking up 20 per cent of the sales. The remaining sizes share the
balance. Not only does he plan to make the basic pack-sizes available all over the country,
he has also decided to create greater variety in packaging. With innovation in packaging
being a key, the company has introduced a new category, the 12-litre pack in water-scarce
city of Cheney and this has proved tremendously popular.

Mr. Chauhan is also pursuing a price strategy and is confident that with the growth in
volumes he will be able to bring down the prices. He feels that Bisleri is priced to benefit
volume purchase. For instance while the 1-litre bottle is priced at Rs 10, the 2-litre bottle is
priced at Rs 15 (Rs 7.50 per litre), the 5-litre pack at Rs 20 ( Rs 4 per litre) and the 20-litre
pack at 70 (Rs 3.50 per liter).

While on the one hand he feels that the 500ml and the 250ml packs are the growth area of
the future, he is also targeting the household segment with the large pack sizes. Households,
he says, in certain parts of the country spend a huge amount of money on fuel in order to
purify water. For instance, in the water-scarce south, people spend large sums of money to
buy water and still more to purify it. With the runaway hit of its new 12-litre product in
some cities of the south, the company is finding it difficult to meet the demands of these
markets.

16

Mr. Chauhan attributes the sudden spurt in the growth of the bottled water industry, to
growing awareness levels caused by increased promotional activities by the industry
players. This is probably the first time that mineral water is being pushed so aggressively
on the television. He feels that Bisleri itself is responsible in a large way for the growing
popularity of the product. And he may well be right. The Bisleri brand does have
tremendous recall in the consumer mindscape and, in some places, is used as a generic
name for bottled water.

According to him Parley and other mineral water brands have been the beneficiaries of the
bad quality of municipal tap water and rising consumer awareness due to increasing
stridency of water filter companies. He believes that his major competitors are not other
mineral water brands but the innumerable branded water filters, which have flooded the
market. This perhaps explains his recent brush with Eureka Forbes, which took Parley
Bisleri to court over what it alleged were offensive advertisements by the company showing
the Eureka Forbes water filter, Aqua guard, in poor light.

Mr. Chathams expectations from the mineral water market may be too high as 70 per cent
of the mineral water consumed in this country is by travelers and even here soft drinks are
strong competitors. In the household segment, he will have to compete against the
traditional methods of purifying water, the water filters like the Aqua Guard from Eureka
Forbes, which he claims are partly responsible for success of mineral water brands.

17

On the other hand perhaps he is right. Distribution will ultimately drive brand success, at
least for national level brands. Also, currently local/regional brands seem to be moving off
the shelves. With Bisleri becoming a generic name for bottled drinking water, if he can
manage the distribution of the product to make it available where the consumer needs it the
most, he may well succeed in his gamble with water!

18

Distracting Seductress: Unveiled

Tuesday, 18 August, 2011
3 Verdicts
This post declares the result of question asked on Distracting Seductress, where the readers
were supposed to guess the product featured in the advert. If you are new reader and have
not read the earlier post, request you to see the picture below and go back to read the
comments.
We had guesses ranging from condom, beauty cream, hair oil, LCD TV to car batteries to
Foor wear to Tamifu tablets. I personally liked them all, but the most radical guess were
MTNL and Global Warming. Superb imagination ! ( I am surely going to play this
game once again for the humour quotient). Till such time this post was being drafted,
unfortunately none of the guesses were close enough. However, going by most of the
commentors opinion, it is clear that PETA can easily use this advert for their next
campaign, it goes well with its current image!
The product is from a very well known company Bisleri and it is SODA !
[I have given a hint by giving Alchohol as a choice and none picked it up. If you carefully
look at the cropped image a portion of the bottle is shown with the fizz bubbles. But I agree
this wasn't easy to guess.]

All the trucks that carries out freshly packed Bisleri bottled from its Ville Parle factory,
abutting Western Express highway, have this advertisement on them. Every morning, when
I see couple of the trucks on the way, theres a jump in my adrenalin. I actually have driven
close to take the pictures presented below, in sequential manner ! All the pictures are taken
using my Nokia E71, while I was managing the wheel amidst heavy traffic.

Step One: Spotting the seductress at a distance

19

Step Two: Changing lanes to drive behind and focus better

Step Three: A bit close, her eyes are so magnetic

Step Three: The lust picture

The last thing I remember was taking this pic.
Then it all went dark..
As there was no winner, no one will get the declared prize. However if anyone is interested
in the seductress , he can always contact the Customer care Number given on the ad. I
guess they will be informative and helpful.
My key learning- While you are trying to drive in crazy traffic, there is someone
seductive who want to drive you crazy and kill you. Dont fall in her trap. Dont look
at anything distracting while you drive.

20

CUMMINS INDIA TO BUILD NEW FACILITY

Cummins India Ltd is planning to set up an additional manufacturing facility in Pune

district to manufacture low horsepower engines and generator sets of 15kV-140kV. These
products will be used as back-up power. The exact location of the proposed facility has not
been decided. Says Anent Talaulicar, Chairman, "Based on strong domestic and export
demand, the company is continuing to invest in new products and increased capacity." The
company is planning to spend around Rs 15 crore on the new facility in terms of land,
building, plant and machinery etc.

Since 1962, Cummins India has produced more than 167,000 engines at its manufacturing
facilities in Kothrud and Nagar Road in Pune and Daman. The company manufactures on
an average nearly 20,000 engines and genets per year. Clients include BEML, Coal India,
Ingrsoll-Rand and Railways. The company belongs to Cummins Inc., the world's largest
designer and manufacturer of diesel engines ranging from 55 hp to 3,500 hp.

Indias largest bottled water firm Parley Bisleri is in talks with Switzerlands Nestle and
Frances Dan one on the sale of a large stake but the negotiations will take time, its founder
said on Thursday.Mr. Ramesh Chauhan, chairman of unlisted Bisleri, who analysts estimate
controls about half of Indias burgeoning bottled drinking water market, told in an interview
he expected a deal in a year or two.

21

The 61-year-old mechanical engineer from the Massachusetts Institute of Technology said
he was willing to sell 49 per cent of the company to ensure the firm had strong leadership
after him. We have the technical know how, the distribution, the brandname and the
money, Mr. Chauhan said. Im looking at this for the future, they will run the company
thats the basic idea.

Bottled drinking water in India, a country of one billion people, is a fast growing market
that is now worth some Rs 10 billion ($200 million) a year. Analysts expect India to
become a key market for Dan one and Nestle, and the buyer of a stake in Bisleri, Indias
best known water brand, would have a huge advantage over other players.

Dan one, producer of Evian mineral water, said in March it is focusing on India, China and
Indonesia for its bottled water business. Nestle, which produces Perrier water, rolled out its
Pure Life bottled water, geared towards developing countries with unreliable municipal
water supplies, in 1999. Coca-Cola has a high-profile presence in India with its Kinsley
bottled water and PepsiCo Inc sells its Aquarian brand, but both trail Bisleri.

Snivelers Indian subsidiary Hindustan Lever Ltd has also announced plans to enter the
bottled water market, and there have been rumours it is interested in buying Bisleri, but Mr.
Chauhan said he would not talk to HLL. HLL has nothing to offer. They are not in

22

the water business anywhere in the world, he said. Bisleris bottled water has been a
success in a country where clean drinking water is a major health issue and water-borne
infections are common. Mr. Chauhan said his biggest breakthrough had been the launch of
a small half-litre bottle, priced at Rs 5 in 1998, and he expected another big success with a
10 litre bulk pack. The new pack will bring the cost of bottled drinking water down to
between Rs 2-3 a litre from Rs 10-12 now, he said. Bisleri has capacity to make 700
million litres of drinking water per year, which will rise to one billion litres

by March 2003, the end of this financial year. Its turnover is estimated at Rs 3 billion in the
year to March 2002.Mr Chauhan said the company, which has been investing heavily for
some years, could report a net profit this year. Its a losing proposition still as were in a
very big growth phase. This year we should be able to make money, profit at the net level,
he said.

Parley Bisleri Limited: Expansion plans

Parley Bisleri Limited is undertaking a major expansion to increase its manufacturing

facility as also to widen the distribution network. The total project cost is estimated around
Rs 260 crore. Of this, Rs 60 crore will be utilised to expand the existing manufacturing
facilities wherein the bottling capacity would be doubled to 200 million cases per day.
Around Rs 200 crore will be spent on increasing its distribution network five-fold over the
next two years. As a result, the company will have 10-lakh retail outlets backed by a fleet
over 5,000 vehicles.

23

Parley Bisleri also plans to procure recycling plants from Japan, for its PET bottles, and set
up at least two such plants in Cheney and Delhi at a cost of Rs five crore each by this yearend. Crushed and compacted bottles from other parts of the country will be transported to
the two plants and a better part of the compacted PET will go into manufacturing polyester
yarn. Though the company plans to come out with an IPO, two years down the line, the
present capital expenditure plan will be financed entirely through internal accruals.

Genie is out of the bottle. Indeed, the bottled water industry is one of the most thriving
sectors in India. The market is growing at a whopping rate of about 55 per cent annually
and is expected to cross Rs. 1000-crore mark within the next couple of years.
Almost all major national and international brands have taken a plunge. Parley's Bisleri that
virtually monopolised the bottled water market is now vying with Nestle, Coca Cola,
PepsiCo, Manichean, UB and Britannia. According to a national-level study, there are close
to 200 bottled water brands in India. Nearly 80 per cent of these are local brands.

Genie is out of the bottle. Indeed, the bottled water industry is one of the most thriving
sectors in India. The market is growing at a whopping rate of about 55 per cent annually
and is expected to cross Rs. 1000-crore mark within the next couple of years.

Almost all major national and international brands have taken a plunge. Parley's Bisleri that
virtually monopolized the bottled water market is now vying with Nestle, Coca Cola,
PepsiCo, Manichean, UB and Britannia. According to a national-level study, there

24

are close to 200 bottled water brands in India. Nearly 80 per cent of these are local brands.
Genie is out of the bottle. Indeed, the bottled water industry is one of the most thriving
sectors in India. The market is growing at a whopping rate of about 55 per cent annually
and is expected to cross Rs. 1000-crore mark within the next couple of years.
Almost all major national and international brands have taken a plunge. Parley's Bisleri that
virtually monopolized the bottled water market is now vying with Nestle, Coca Cola,
PepsiCo, Manichean, UB and Britannia. According to a national-level study, there are close
to 200 bottled water brands in India. Nearly 80 per cent of these are local brands.

MINERAL WATER INDUSTRY CURRENT MARKET SCENARIO

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 Rs11 ban. The organized sectorbranded mineral water
has only Rs 5bn 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.
25

In the branded segment, Parley's Bisleri is the market leader with a share of more than 45%.
Parle Agras Bailey comes a close second with market share of 15%. Other major players in
the market are Yes of Kitharas, Gaga of T-Series, Himalayan, Hello, Nestls Pure Life,
Pepsi's Aquarian, Coca-Cola's Kinsley 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 Desks and Macs. Last year the industry had around 170 brands. This figure is
over 300 presently. The major foreign players are Coca-Cola promoted kindly, Pepsi's
Aquarian, Britannia's Evian, Nestls Perrier, Herbert sons and Dan one International.

26

INCEPTION OF BISLERI

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. Parleys 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 (piggy
backing on Parley'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.
27

In 1993, Coca-Cola bought Parley's soft drink brands- Thums -Up, limca etc. While CocaCola actually bought over Parley's beverages, it agreed to a settlement that allowed the
multinational to bottle and agreed to a settlement that allowed the multinational to bottle
and distribute Bisleri soda for a time frame of five years. The charge of 7Bisleri water,
however, remained with Parle. The upsurge in the sales of Bisleri started form 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.

28

PRODUCT PROFILE

"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 Chathams Bisleri enjoys the largest market share of 56% in the Rs 1100
crore mineral water markets and is growing at the rate of 180% per annum. Annual sales of
Bisleri have touched Rs 400 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 lacks.

29

MANUFACTURING

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
Headband 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 crore in the up gradation 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 well process 500 Kg of PET per hour. The processed
30

Material will be an input for polyester yarn manufacturers. In centers other than Delhi and
Chennai, the company will setup 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 Rs
200 crore 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.

31

BISLERI TAKES A SHOT AT SODA AGAIN

Viveat Susan Pinto / Mumbai Feb 19, 2012, 00:08 IST
Beverages Company In India : Find listings of all manufactureres Beverages Company In
India now.
tradeget.com/foodstuff_suppliers
Bisleri is reviving its soda business in a bid to expand its
portfolio beyond water. This is the second attempt by the
iconic bottled water brand in three years to revive its soda
business.
A generic name to bottled water in India, the company
launched Bisleri Fizzy Drink in But this time, the Ramesh Chauhan-promoted company
creator of brands such as Thums Up, Limca and Gold Spot, which were sold to Coca-Cola
in a Rs 190-crore deal in 1993 - appears to be making a serious rebid with Bisleri Soda. The
product, available in PET bottles, is priced at Rs 15 for a 600-ml bottle.
Chauhan said his company was working on distribution to retail the product across the
country. We have dedicated plants set up to manufacture Bisleri Soda in Mumbai, Delhi
and Mysore, he said. Marketing for the product is expected to start a little later, as the
company is working on getting its distribution in place.
While Chauhan declined to comment on investments, the move comes at a time when
almost all key beverage makers have extended their packaged water brands to categories
such as soda. Ramesh Chauhans brother, Prakash, who runs the rival Parle Agro, maker of
mango drink Frooti, extended the Bailey name, used for his packaged water business, to
soda last year.
Coca-Cola and PepsiCo also have portfolios of soda brands, including Kinley Soda and
Schweppes (both from Coca-Cola) and Lehar Soda and Dukes (both from PepsiCo).
Kinley is the brand name of Cokes packaged water, while Dukes, once popular in
Mumbai, was relaunched only last year by PepsiCo in an attempt to capture markets with
regional brands. Schweppes, in contrast, is an international Coke brand, known for its soda
32

portfolio, while Lehar, though used by PepsiCo for its food brands (such as Lehar Iron
Chusti, which is a snack), is also at times used for beverage products.
Executives at Coca-Cola and PepsiCo said they were watching Bisleris moves in the soda
market. But Bisleri also has competition from beer makers such as Kingfisher and SAB
Miller, who have soda brands as part of their surrogate advertising initiatives for their
mainline products. Chauhan admits the competition is fierce, given the plethora of brands,
both from established and regional players.
While the market for soda in PET bottles is a little over Rs 100 crore in size, smaller than
the returnable glass bottle segment, pegged at close to Rs 800 crore, it is growing at a faster
clip, owing to the sheer convenience of storage and usage.
Chauhan said special emphasis had been given to the packaging of Bisleri Soda to drive
sales at retail points. But experts say the success of the brand will also depend on its
acceptance in the hotel, restaurant and cafe segment, where PepsiCo and Coca-Cola are
strong.

33

DISCLAIMER
Access to and use of this site is subjected to the discretion of Bisleri and all applicable
laws. You may browse this site for personal entertainment, information, education and
communication but please read the terms & conditions before doing so. This Site contains
many valuable trademarks, names, titles, logos, images, designs, copyrights and other
proprietary materials owned, registered and used by Bisleri. By accessing and browsing the
Site, you signify your acceptance of these Terms and Conditions without limitation or
qualification.

You should assume that all materials, designs, texts and images (collectively, the

'Materials') contained in the Site are either the copyrighted properties of Bisleri
International Pvt. Ltd., unless otherwise noted or are the copyrighted property of third
parties. Bisleri neither warrants nor represents that your use of Materials displayed on the
Site will not infringe the rights of third party not owned by or affiliated to Bisleri.

You may download one single hard copy of Materials displayed on the Site for non-

commercial, personal use only, provided however, you do not delete or change the
copyright, trademark and other proprietary notices contained on the Materials. You may not
distribute, modify, transmit or revise any of the content in any form without prior
permission from Bisleri.

Unauthorised use of the Materials is strictly prohibited and is a violation of the

rights of Bisleri, including without limitation under copyright laws, trademark laws, the
laws of privacy and publicity.

While Bisleri International Pvt. Ltd. uses reasonable efforts to include accurate and

up-to-date information on the Site, Bisleri makes no warranties or representations as to the

accuracy, correctness, reliability or otherwise with respect to such information and assumes
no liability or responsibility for any omission or error (including without limitation
typographical errors, virus and technical errors) in the content of the Site. Though due care
has been taken to make the database completely reliable and error-free, Bisleri claims
exemption from any liability arising out of any such error in the database.

34

In no event shall Bisleri and/or its affiliates be liable for any direct, indirect,

punitive,incidental, special, consequential damage or any damage whatsoever,

including without limitation damages for loss of use, data or profits, arising out of
or in any way connected with the use or performance of the Bisleri website.

Information on the Site is subjected to change without notice. Use of and

browsing the Site is done at user's own risk. Neither Bisleri nor any other party
involved in creating, producing or delivering the Site shall be liable for any direct,
incidental, consequential, indirect or punitive damage arising out of your access to
or use of or browsing the Site or downloading of any material, data, text, image,
video or audio from the Site, including without limitation, damage to or viruses that
may infect your computer equipment or other property as a result thereof. Without
limiting the foregoing, everything on the Site is provided to you 'AS IS' WITHOUT
WARRANTY

OF

ANY

KIND,

EITHER

EXPRESSED

OR

IMPLIED,

INCLUDING, BUT NOT LIMITED TO THE IMPLIED WARRANTIES OF

MERCHANTABILITY, FITNESS FOR A PARTICULAR PURPOSE OR NONINFRINGEMENT. Please note that some jurisdictions may not allow the exclusion
of implied warranties, so some of the above exclusions may not apply to you. Check
your local laws for any restriction or limitation regarding the exclusion of implied
warranties.

The Trademarks displayed on the Site are registered and/or pending

registration in the name of Bisleri or are used under license by its affiliates in the
areas where Bisleri markets its products bearing these trademarks. Nothing
contained on the Site should be construed as granting by implication, estoppels or
otherwise, any license or right to use any Trademark displayed on the Site or any
license or right to use any other trademark owned by any other third party. In the
event that you misuse any Trademark in violation of these Terms and Conditions,
Bisleri will aggressively enforce its intellectual property rights to the fullest extent

35

of the law, including the seeking of criminal prosecution. The use or misuse of these
trademarks or any other content on this site is strictly prohibited.

The copyright of the Materials on this website belongs to Bisleri and may be

copied and used only for personal and non-commercial purposes (except as
previously authorised in writing by Bisleri).

In the event that Bisleri, from time to time, allows for discussions, chats,

postings, transmissions, bulletin board and the like on the Site, Bisleri is under no
obligation to monitor or review such transmitted information and assumes no
responsibility or liability arising from the content of any such location nor for any
error, defamation, libel, slander, omission, falsehood, obscenity, pornography,
profanity, danger or inaccuracy of any such information. You are prohibited from
posting or transmitting any unlawful, threatening, libelous, defamatory, obscene,
scandalous, inflammatory, pornographic or profane material or any material that
could constitute or encourage conduct that would be considered a criminal offense,
give rise to civil liability or otherwise violate any law. Bisleri will fully cooperate
with any law enforcement authority or court order requesting or directing Bisleri to
disclose the identity of anyone posting any such information or material

36

PACKAGING
Variety is spice of life. Today for any business organization to be successful it has to
provide its customers with the differentiated product that is a value buy for them. In order
to cater to the changing needs of the customers the business has to continuously come out
with the variants of the product so that it can target the maximum segments.

Today, Aqua Minerals offers a variety of packaging options: 1.2 liter, 2 liter, 5 liter, and 20
liter. The 5-litre bottles account for 35 per cent of sales showing a growing health concern
among the Indian society. I liter bottles account for 30 percent of the share, whereas the 500
ml bottles taking up 15 per cent. The remaining sizes share the rest of the contribution.

The 2 liters bottles were introduced to slowly and steadily replace the conventional 1-litre
bottles. This would give them an advantage over others. The 500-ml category was refocused as a trendy product, targeted at the teenage crowd and for the roadside consumers.
Aqua Minerals is currently a supplier to Indian Airlines with 125-ml cups. The five-liter
packs, launched in December 1999 in Goa, are currently available in six cities, including
Delhi, Bombay and Bangalore, and sell over 5,000 bottles a day.

37

Following is a quick overview of the various packaging options

Provided by Bisleri along with the target consumers:

Size of the bottle

500 ml

Price per bottle

Target consumer

Rs. 5

Teenagers, college students and roadside consumers.

1 liter

Rs. 10

Also aimed to supply to the Indian Railways.

General consumers and travelers.

1.2 liters

Rs. 12

Consumers demanding a little more water at just a

2 liters

Rs. 15

little more prices.

Small offices, shopkeepers, households

5 liters

Rs. 25

Households, institutes, offices, retail shops,

Rs. 44

showrooms
Households, institutes, offices, schools and colleges

20 liters

In addition to the above-mentioned sizes, Bisleri also provides 150 m1 cups for Indian
Airlines travelers, and 300 ml cups for marriages and parties.

38

The following pie chart clearly shows the sales wise distribution of the
various pack sizes:

% share of pack sizes in sales

15

30

10

10
35

39

500 ml
1 litre
2 litres
5 litres
Others

DISTRIBUTION

It's obvious that availability holds the key to the market. For any product to be successful
the distribution system has to be really good. Large tracts of the country have not been
explored by the national brands, which explain the proliferation of smaller brands. Bisleri's
strategy is to build a direct distribution system at an all India level. That means serious
investments in company-owned trucks and carts. Parle hopes to double its existing fleet of
1000 trucks. This would make it the largest fleet owner in the country. Currently, Bisleri has
around 80000 retail outlets in the country with about 12000 each in the Metros of Delhi and
Mumbai. It is intended to increase this number to 10 lack outlets in order to expand brand's
reach.

In order to service the home segment, the 5 litre packs are being pushed through the route
of "Fat Dealers" (wholesale dealers) who are retailers as well as stockist and serve as
supply points from where customer can pick the required quota. The customer can call the
fat dealer and place order for home delivery of the 5-litre pack. 180 of these dealers are
already functional, and more are in the process of being appointed. " The idea is to make
Bisleri all pervasive". The company will invest approximately Rs. 200 crores to procure
2,000 trucks and hire the same number of sales people by end-200 to extend the penetration
of the brand.

The company plans to have its own distribution network in places where it has its own
plants. Franchisees would manage the distribution in their respective areas of operation.

40

AN IDEAL CONSUMER FEELING

In order to ensure that the advertisements reach the target consumers in a most effective
way and begets right response from, it has to be ensuring that such advertisements are
presented in the right way. The following steps on the part of consumer may ensure that the
advertisements are on the right track.

Getting attracted towards the advertisements.

Listening and observing the contents of the advertisements in full.

Continuous watching of the same over a period.

Comparing the advertisements of similar products.

Learning more about the product, the producer and the advertiser.

Making a trail purchase as follow up activity.

Using the product as per the instructions.

Assessing the level of utility of the product individually.

Assessing the level of utility derived with other similar consumers.

Comparing the level of utility of the product with similar products.

Decision-making regarding the continuous use of the product, and to recommend to

others, positively or negatively.

If not satisfied with the product discrepancy regarding the quality and the
characteristics of the product are to be taken to the knowledge of the producer and
the advertiser.

41

ESSENTIALS OF EFFECTIVE ADVERTISING

The measure of any advertisement is its effectiveness in reaching out to the consumers;
there are a few agreed principles, which govern the effectiveness of an advertisement. Some
of the principles, which are the ingredients of an effective advertisement, have been dealt
here.
Importance of claim:
The most important factor determining the effectiveness of an advertisement is the
importance of claim made in it. Many advertisements make important claims. But these
claims should be important for the consumer too. If a buyer gives importance for quality,
there is no point in speaking about cheap price, similarly if cheap price is important the
advertisement should highlight only that. Nowadays advertisement agencies concentrate on
USP, i.e., unique selling proposition. Each advertisement must make a strong factual claim
to pull the consumer into the store to buy.
Believable:
An advertisement must be believable. This can be incorporated in many ways. One way is
to quote facts and figures about tests proving your claim. However, negatively speaking, the
advertisement should not mention anything unbelievable. Sometimes advertisement given
in prestigious magazines is believed by the readers.

Uniqueness:
The advertisement itself must have something unique about it. Uniqueness draws attention.
According to the four-fold principle of AIDA (Attention, Interest, Desire and Actionbuying), any effective advertisement should draw the attention of the customer. It is a
42

mistake to depend entirely on uniqueness. It should be followed by proper claims, and

believability. Typically advertisements whose major objective is to gain brand recognition
and acceptance rather than gaining conviction or buying action rely on uniqueness.

Repetition:
Repetition is one of the key concept of advertising. It is better to have a long series of small
advertisement than one extremely long advertisement. Repetition is a basic principle of
memory. Naturally, the more times an advertisement is run, the more likely it is that any
person has seen one of the most advertisements recently. Repetition and regency are usually
closely related. In fact, an advertisement is better read upon repeating, certainly repetition
lowers advertisement cost.

43

SITUATION FAVOURING ADVERTISEMENT

It is imperative that the situation must be ripe for an advertisement to bear the fruits of
optimum return or reward. The advertiser must constantly assess the situation to choose the
right environment and ideal time for an advertisement to be launched. The conditions
favoring an advertisement are as follows:

When there is a favorable primary demand of particular product.

When there is a distinctive product differentiation from other competitive brands.

Availability of favourable hidden qualities in the advertised products not found in

competitive products.

When mass market is penetrated.

Possibility of powerful emotional buying motive is seen in the advertised product.

Favourable managerial personnel personal and company policies.

Non-Exaggeration of facts in product advertisement.

Effective or systematic project work conducted for a particular product to be

advertised.

44

Advertising Campaign of Bisleri

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 catchline for advertising. But with the advent of many new players, all claiming the purity, it
became very imperative for 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
45

Atmosphere of youth fullness. Water, Pepsi claimed, was no longer a simple beverage, but
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 stop. 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.

46

OTHER COMPETITORS

The mineral water market is to set to explode and hit the Rs. 2000 Cr. mark in the next
couple of year. This draws the big guns attentions. First Britannia launched Evian. And then
Pepsi entered the fray with Aquafina. Then Nestle with pure life but now with Perrier, pure
thrust meanwhile, Parle Agros Bailey has been growing steadily. Small local players are
breathing down Bisleries neck riding on better trade margins and intensive distribution (in
their respective areas of operation). Bisleri faces thought competition from these in
organize sectors

Coca-Cola Kinley

Pepsi Aquafina

Nestle

Parle Agros Bailey

47

MARKETING MIX

The set of controllable tactical tools product, price, promotion, and place (4 Ps) and
company, competitors, consumers (3 Cs)- that the firm blends to produce the response it
wants, in the target markets.

The 4Ps

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 under its brand name
called the Bisleri Soda Water. The concept of bottled 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 form the product. For example other than its core usage the product
can provide for Internet facilities using conversion.

48

VARIANTS OF THE PRODUCT:

The company is offering wide variants of the product. These include the different quantities
available of the product. Starting from the Jumbo pack (18 lt. Jar) to the 500 ml. bottles. In
between, it also has 1 lt., 2lt. and 5 lt. packs.

In terms of another variant the company has also come up with small glasses of 300ml. that
are priced at Rs.3. per glass. The company has introduced these glasses for the social
occasions like marriages and get together. This again is very competitive in the price field
and also the customer is getting a convenient product with the benefit of purity at such a
low price. Now the customers would not have to drink impure water served in unhygienic
glasses

Packaging
The packaging of the product is an important factor in the marketing of the product. The
packaging of the product was absolutely accepted by the customers till now. But it has been
a long time the company has changed the packaging of 1ltr. Mineral water bottle.

One of the competitors of the company, Pepsi, has mineral water by the name of 'Aquafina'.
The packaging of the Aquafina is creating the need for the company to change its packaging
and make it look more sturdy. The brand Aquafina has been targeted towards the youth and
that is why they have made the bottle look more hip. Bisleri would have to give a new look
to its product to stopping Aquafina from snatching its market share.
49

To Conclude:
Looking at the facts given above the company according to us should, pay attention on the
packaging of the product so that it is able to attract more customers.

Second, the company should go for Brand Extension. The company should take the
benefit of the brand name it has created over a long period of time. It can introduce new
products in the category of beverages.

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.

DISTRIBUTION NETWORK:
The small-scale players built their sales by piggy backing 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.

50

To Conclude:
It is very important for the companies to understand that winners would be those who will
endure a strong regional presence. Therefore the company's should take some immediate
actions to make presence in the whole country and more important is every hook and corner
of the states where they are present today.

Price

(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. Company charges Re. 1 for every 100 ml. This strategy by the company is

51

very effective in the Indian context where the consumers are highly price conscious. The
company has come up with another variant of the product. It is 1.2 It. Bottle that is priced at
Rs. 12 Keeping the price fixed at Re. 1 per 100 ml. the company has an edge over its
competitor Aquafina recently launched by Pepsi that has priced its product at Rs. 10 for 750
ml.

To Conclude:
We can conclude from the facts that the pricing strategy of the company is very competitive
and therefore the company is giving value to the customers for money.

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 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.

52

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 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. Otherwise, we find no reason of making
an advertisement of mineral water look like an advertisement of condoms.

MESSAGE CONTENT OF THE CAMPAIGN:

Bisleri that was looming 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.

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

53

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. Bisleri has introduced attractive schemes to
push the 5 ltr. Bottles and margins are as high as Rs 8. Detractors feel that, in the long run,
retailers will not push this. They say it's a kind of dart board game. You have to throw again
and again till you hit bull's eye.

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.

54

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
the market, it can do that by introducing more pack sizes and establishing the brand
strongly with trendy new packaging.

55

3Cs
CONSUMER

The central question the company has to understand is: How does consumer respond to
various marketing stimuli the company might use? The company that really understands
how customers will respond to different product features, prices and advertising appeals has
a great advantage over its competitors. The question can be further broken down to: Who
buys? When do they buy? Where do they buy? Why did they buy?

Who buys?
In the survey conducted by us, we found that the middle income and the upper income
groups are the users of the bottled water. The lower income group is still dependent on the
water from wells and hand pumps. In the middle-income group also, people buy bottled
water while traveling.

Among the various income groups, there comprise the students, the office going executive,
tourists and the retired people.

So the company should go in for strategies to target customer segments based on appeal,
prices, convenient packaging and other characteristics conforming to the customer segment
the company is targeting.

56

When do they buy?

In the survey we found that the middle-income group buys mineral water while traveling.
At home or at the or at the work place they mainly use water filters that are installed. Or,
they use large pack of bottled water filters that are installed. Or, they use large pack of
bottled water like the jumbo pack (18 lt.) by Bisleri. The upper income group uses mineral
water only. So, they constitute a large part of the total market.

Where do they buy?

According to the survey conducted by us, the bottled water users buy the water from retail
outlets and also through tie-ups with dealers. Large consumers of bottled water like Hotels,
institutions, corporate order their water requirements through dealers.

The small time but frequent consumer buys bottled water from retail outlets.

Why do they buy?

For obvious reasons, soaring mercury levels are directly proportional to consumption of
purified bottled water. The basic reason consumers ask for bottled water is the safety. With
the growing health hazards in the country and as the people are becoming more health
conscious they are becoming more health conscious they switching over to bottled water.
This is the reason that the industry is growing at fast pace. The other reason after this is,
that the bottled water is convenient to carry. They can throw the bottles after use unlike
when they carry water from home.

57

CONSUMER CONCERNS AND PERCEPTIONS

The thinking here is that with consumer perceptions about mineral water changing, the
brand Bisleri has to Reinvent itself. Earlier, mineral water used to stand for water enriched
with certain minerals and was picked up by health-conscious consumers. This no longer
holds. Mineral water has come to mean just that-water. Albeit sage drinking water that is
conveniently available. The consumer does not really care if the water contains minerals.
The most important consideration is purity of the product.

What the company is doing to take care of the consumer's concern?

Tampering of seals:
Around 76 percent of consumption happens in transit. Consumer research conducted by us
rebelled that the overriding concern for this set of buyers is the tampering of the seal. Many
have witnessed used bottles being refilled at railway stations. So when a consumer buys
mineral water, he would like to be assured that the water has not been tampered with.
Bisleri has rightly introduced the concept of the breakaway seal to reinforce the purity of
Bisleri mineral water and given a surety to its consumers that what they are consuming is
SAFE.

58

Taste of the mineral water:

Many consumers want the mineral water to taste more like "Water". The consumer research
done by us revealed that consumers preferred Bisleri because of its natural taste.

COMPANY

North accounts for 35 percent of sales for the industry, west accounts for 30, south 20, and
the east, 15 per cent. Bisleri has five plants in the north, three in the west, four in the south
and one in the east.

In order to be available in untapped areas, Chauhan is planning to set up manufacturing

units in Bihar and Orissa where Bisleri has no presence as of now. Currently, Bisleri has 14
manufacturing units two of which were set up in the past one year at Ahmedabad and
Surat.

59

COMPETITION

The mineral water market is set to 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 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 few brand names like

Parle Bailey

Pepsi Aquafina

Coca Cola Kinely

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.

60

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.

It does note 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 and 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 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.

61

COCA COLA KINELY

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. Kinley water was launched in August 2000in one litre bottles for Rs.
10 but not been rolled out rationally. The water is prodrced at Coca-colas three green field
manufacturing plants at Bidadi near Banglore, Dasna in Utter Pradesh And Goa. The
company plans to either add more water bottling operations or go for contract bottlig as it
goes national.

In September , CCI made an announcement that literally grabbed the headlines. CCI
announced that Kinley had overtaken the near-generic Bisleri brand in terms of market
share. Quoting ORG-MARG/AC Nielsen data , CCI claimed that for the period July 31,
2002, Kinleys market shar had been recorded at 35.1 percent, against that of Bisleri 34.4
percent. the peak summer months saw CCI rolling out Kinley in 200 ml cups. The cups,
priced at Rs. 3 each , were first rolled out in pockets of Gujrat . with this initiative in place,
the companuy is hoping to generate market share from the institutional segment such as
restaurants and hotels, caterersn , and transport channels such as buses and trains. CCI sad
it was doubling the plants, franchisee operations and contract packers. Twa of CCIs key
bottling partners, namely the Gandharis and Goenkas, Invested Rs. 10 Crore for a new
bottling wate plant in Punjab for Kinley. Its consumers are also quality conscious and brand
loyal.

62

PARLE AGRO'S BAILLEY

Bailey 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 Bailey since
the company plans to spread its presence in that part of 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 point of the company,
which it can capitalize, is its generic name. And also the company would have to enter that
market with a strong distribution base. We know the fact that fact that Bailey has grown at a
rapid pace using the route of franchising, which Bisleri has not adopted. This is another
point, which the company would have to take care of to face the competiotion.

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.

63

CONCLUSION

In every consumers mind Bisleri is still the first preference. And brands like Aquafina,
Kinley which are trying hard to capture the west Delhi market. By the virtue of the price
strategy, distribution network and brand positioning. These brands are slowly capturing the
west Delhi. In over all if we see the West Delhi Accord during the customer bisleri is best
clean and pure brand and bisleri give the more satisfaction but kinley second largest popular
born kinley is increasing in west Delhi market kinley is giving or any kind of facility all
example for dissert, more advisement.

To conclude the information which we got through the various sources. It is quite evident
that efficient promotion, physical distribution and proper communication can increase the
total sale of the company in a big wat and an inefficient coordination between all these
spoil the efforts made by sales force . it is also very clear tha proper and systematic use of
limited resources can do wonder for the company.

As we have seen from the market survey that packaged drinking water industry is rery huge
and growing rapidly. The water market is going to reach Rs. 2000 Cr. Till the end of March
2007. thus we can imagine how big the water market is and imagine the growth in this
industry. This market is hbaving large share of unorganized sector. In water industry
production cost is very low. But the distribution cost of operations and make sure about the
availability of water.

64

To increase the customers company should go upon this strategy but only when it has
production capabilities to give regular supply to their customers. As in this business most of
the customers give preference to delivering service and availability on time.

By the institutional (hotel) survey,dealers survey and the consukmers survey we got many
conclusions and found out the market share of the brands involved in this industry.
According to it `Bisleri` is the market leader having tbe market share of 44 % , Kinley its
nearererest competitor having its market share of 31 %, Aquafina 15 % and other brands
are covering 10 % of their market share . thus company should emphnasis more on its
advertisements, retailers and wholesalers margin. Company should also have a keen
quality control system becausren their break- away has been accepted by the public and if
sometimes the complaint comes then it will affect the sales of bisleri.

Good distribution system. Aquafina is also 3rd player in west Delhi a market share
kingfisher also present in west Delhi.

50 % BISLERI

BISLERI IS NEEDED VERY MUCH

30% KINLEY

TO FIND THE NEW MARKETS AND NEW USERS.

15% AQUAFINA

SPECIALLY IN THE WINE SHOPS; SHERE THERE IS

SHORTAGE IN CONSUMPTION.

5% KINGFISHER

CHART SHOWING THE OVERALL MARKET SHARE IN WEST

DELHI MARKET SHARE AT MINERAL WATER

65

Which company could adopt, are as follows:-

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 brand 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 rapid rate.

2. Getting in shape

The improvement the company needs is in terms of packaging. As we have already

discussed that the youth are the opinion leaders, therefore it becomes very important for any
consumer product to make a mark in that generation, if it really wants to grow. The

66

Company for that would have to come with packaging that is sturdier and portrays it self as
a hip brand.

3. Distribution network
The need for improving the distribution network is not only when the company wants to
target the soft drinks market. If it wants to enter every part of the country and would face
competition from competition from competitors like Bailley it becomes a prerequisite for
the company to have a strong distribution network. If we take the example of Bailley, we
find that this company has grown rapidly in the past and is still on that trend. One of the
important reasons for this rapid growth is franchising.

67

FACTORS AFFECTING BUYING BEHAVIOUR

Social factors

Family
Elders in the family would ask their family members to consume mineral water to avoid the
health hazards. So, purity of water is very important for them. Therefore, it is required that
the company takes care of purity with high attention.

Again, Bisleri by its effective advertising campaign of the patented breakaway seal has tried
to bring about a feeling of trust in the minds of the health conscious consumers.

There are certain other factors also, on which the buying of the customer depends. These
are the social factors constituting of the reference groups, asp rational groups and the
dissocialize groups. So it becomes very important for the company to carefully choose the
target customer so that it can position itself according to that group.Consumer survey and
results bottled water consumption
The customer survey was conducted at Connaught place, Le Meridian, Restaurants and
Colleges.

68

To study each of the

major customers segment viz. institutions such as hotels,

restaurants etc., retail outlets and final consumers.

To study the market share of packaged drinking water in;

Retail market,
Institutions (Hotels),
Consumers.

To determine the brand awareness and brand preference of the different segment and to
analyse the various segment preference for the packaging medium, bottle size and price
of packaged drinking water.

In my analysis, the customer is divided into four categories:

(a) General / provision store.
(b)

Eatery shop (sweet shop and restaurants).

(b) Kiosk shop (pan / bidi).

(c) Other shop (Bakery, dairy, net caf, medical shop, etc.)

69

RESEARCH METHODOLOGY

The methodology of this particular project can be understood in the

following steps:

Formulation of objective statement.

Feasibility analysis.
Fabrication of research process.
Research design.
Data collection.
Screening of the collected data.
Tabulation of the data.
Statistical treatment.
Observation.
Graphical presentation and analysis.
Limitations.

70

MEANING OF RESEARCH

Research is an art of scientific investigation. The advanced learners dictionary

of current English lays down the meaning of research as a careful investigation or
enquiry specially through search for new facts in any branch knowledge. Redman and
Mory define, research as a systematized effort to gain knowledge. Some people
consider research as a movement, a movement from the known to unknown.

Acc. To Clifford Woody, research comprises defining and reducing problems,

formulating or suggesting solutions; collecting organizing and evaluating data;
making deductions and reaching conclusion; and at last carefully testing the
conclusions to determine whether they fit the formulating hypothesis.

The term research refers to the systematic method consisting of defining the
problem, formulating a hypothesis, collecting the facts or data, analyzing the facts and
reaching certain conclusions either in the form of solution towards the concerned problem
or in certain generalization for same theoretical formulation.

The success of any event heavily depends upon the way chosen for the execution. This
includes ensures of some basic questions to the focus on constraints as well. in other words
we can call the methodology the backbone of any research. it also includes research or any
study methods. Thus when we talk of methodology we not only talk of methods but also
consider the logic behind the methods. We use in the context of our study objective and

71

explain why we are using them so that study results are capable of being evaluated
logically.
Any research is based on some facts, which aim to bring about some fundamental insights
in the field, which have never been earlier presented in the same form. We tend
To carry out the process enquiry with a careful and critical examination, diligent
investigation of the subject matter. the collection of the subject matter information from the
various sources helps us to generate a generalized conclusion. There has to be a
sophisticated framework within which such studies are carried out, the framework is known
as methodology.

72

Research design:
The research design is the complete guidelines towards the execution of the research. in this
we have to determine the answers to some basic questions. in this research study processes
after finding objectives, the research problem & design chalked out and next step is data
collection.

Type of research:
* Preliminary Investigation
* Exploratory Research
Here it is Exploratory in nature.
Marketing management relies substantially on the information collected from the market in
terms of consumptions and pattern thereof.

Sampling plan:
The marketing research must design the sampling plan which requires clear definition of
the following terms.

Universe:
Universe is the respondent of the city Delhi. From where the sample is to be chosen

Sample size:
The number of people surveyed is 170

73

Sampling unit:
Respondents:

Service man (120)

Business man (50)

Sampling design:
Simple Random sampling has been taken.

Data Collection
. The second stage of marketing research for calls for developing the most efficient plan for
gathering the needed information. Designing a research plan calls for decisions on the Data
sources, Research approaches, Research instruments, Sampling plan, and Contact methods.

Methods of data collection:

There are two method of data collection as:

Primary data collection:

The method used for the data collection would be
Questionnaire
Schedule
Interview
.
Secondary data collection:
Industrial profiles, magazines, journals, company records, newspapers and other
Print media and electronic media like internet.
74

Above methods will be applied in combination so as to get maximum and accurate

output as far as possible about the universe in the study discussed above.

DATA SOURCES:
The research plan can call for gathering secondary data, primary data or
both.
(a)

Primary data- it consist of original information gathered for the specific

purpose.

(b)

Secondary data- it consist of information that already exists somewhere,

having been collected for another purpose.

I use both the data in my project work such as secondary data for the information
gathered through the net, books and journals, and primary data through the market survey
which is possible by face to face interview of the customers / retailers.

IMPORTANCE
1-

Research approaches:
I used the survey method in my project work. I have covered many places of, Delhi
City in Delhi region.

2-

Research Instruments:

I Prepare a questionnaires for the Sample Size to collect the information, which
having the mixture of open-ended or close-ended questions.

75

(a) Open-ended QuestionsThese allow the respondents to give the answers in their own mind.

(b) Close-ended QuestionsThese prosperity all the possible answers and respondents have the choices
among them.

3-

Contact Methods:
The contact method includes-

(a) Mail questionnairesIt is the best way to reach individuals who would not give personal
interviews.

(b) Telephonic InterviewsIt is the best method for gathering information quickly but the main
drawbacks are that only people with telephones can be interviewed and the
interviews have to be short and not too personal.

(c) Personal interviewsIt is the most versatile of the three methods. An interviewer can ask more
questions and can record additional observations about the respondents, such
as dress and body language.
I used the personal interview method by which we can observe the people personally and
can communicate face to face.

76

DATA ANALYSIS
ARE YOU USING MINERAL WATER

Always
25%

Never
32%

Some Times
43%

Always

Some Times

77

Never

REASON FOR BUYING BISLERI

45
40
35
30
25

43

20
15

23

10

17
12

0
Purity

Brand Image

Packing

78

Advertisement

Any Other

WHICH BRAND DO YOU LIKE MOST

6%

5%

14%

12%

Bisleri

63%

Kinley

Aquafina

79

King Fisher

Any Other

WHICH SIZE OF BISLERI YOU BUY

14%

6%

57%

23%

1.2 Ltrs.

2 Ltrs.

80

5 Ltrs.

20 Ltrs.

ARE YOU A

21%

28%

8%
11%
32%

Businessman

Serviceman

Student

81

Foreigns/NRI's

Any Other

SWOT ANALYSIS

SWOT Analysis is an important technique to formulate the Business Strategies for any
Company which are based on its Strengths, Weaknesses, Opportunity & Threats. SWOT
analysis is divided into two factors:

1-

INTERNAL FACTOR:
Factors, relevant within an organization.

(A)

S Strength.

1- Good brand image.

2- Loyal customer base.
3- Shape of bottles is attractive than their competitors.
4- Wide and Effective distribution network.
5- Better penetration at market.
6- Writing Style of Coke name is liked by most of the consumers.
7- Low cost of distribution for packaged drinking water bottles.
8- Heavy investment on ad campaigns

(B)

W Weakness.

1- Gap between demand and supply,

2- Leakage problem in bottles.
82

3- Less spending on advertising on outlets as compare to Pepsi.

4- Regular supply is uncertain in many outlets.
5- Complacent behavior of Sales Executives and Sales mans.
6- Schemes and Strategies formulated are National and not locally adopted.

2-

EXTERNAL FACTORS:
Factors, relevant outside the organization.

(A)

O Opportunity.

1- Boom in soft drinks.

2- Brand name Coke speaks most highly i.e., Coke is at the top of the mind of
consumers.
3- Further Effective utilization of the vast distribution Network.
4- Coke Company can increase the market share by improving its services.
5- The business is growing at the rate more than 80 % per annum.
6- There is high growth in 500 ml., 2 lt., 20lt., water bottles
7- Their break-away seal concept is accepted by the market.
8- Now middle class people also use packaged drinking water at their shopes
and homes and it become the need of the metros.

83

(B)

T Threats.

1- The threats of Seasonal drink like fruit juice and sugarcane juice are also
considerable as at time of peak season.
2- Good brand image of the competitors also.
3- Pepsi has more transport facilities for distribution as compare to coke.
4- Advent of MNCs with their new Products.
5- Kinley is the biggest threat to Bisleri as it is Coca-Cola company and they
have surplus funds to invest in this company.
6- Its higher prices and ;pw retao;ers margin has made the competitor to
strengthen their feet in the Bisleris market.
7- Being an Indian company, it is getting affected by international brands like
pepsi, Kinley, and Nestle.

84

FINDINGS

During our training whatever we have learned tried to present in the report although it is
just equivalent to touching the tip of ice berg but it is surely helpful to the company for
which the study was conducted after studying and gathering the information through direct
interview of customers and retailers and observation it may be concluded:

In overall Delhi Region share of Bisleri is more than Kinley & Aquafina.

In General Shops, there is more sale of Bisleri than other Shops.

During our survey we also find that some retailer says that they always get a special
discount from other company.

It has a good presents in market because it is one of the pioneer company that brought
mineral water in India.

Bisleri spending very less amount on advertising.

1.2ltr. bottles have more share/sale than other size of bottles.

Product available at most of the retail outlets, hotels in Delhi region.

Many retailers complaining regarding the margin on the product especially 2 lt..
bottles and 20 lt jars.

Bisleri has complete network of physical distribution.

Bisleri takes the highest position in top of the mind awareness while doing consumers
survey.

Bisleri is the market leader and having neck to neck competition with Kinley.
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SUGGESTIONS

1. Company should go for the exclusive outlet and take participate with them.
2. Company should also prepare their own retail outlets , this may also help to generate
employeement in the city as well as Maximize Companies Profits
3. Company should also arrange the Advertisement Fund in its Financial Statement for
Optical & Display Advertisement.
4. Company should start Publicity Campaign for promote and awareness of its
indigenous products to the ultimate consumer.
5. Packing and Labeling of products should be Attractive.
6. Company should make a meeting time to time with dealers and launches different
Gifts & Incentives Scheme to Promote the Sale of Products.
7. Quality Standard should keep Maintain.
8. Delivery Complaints should be undertaken more quickly.

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LIMITATIONS
In every research there are always some limitations, so no research can be perfect. In
this research we also have some limitations. Which are as following:-

There was time constraint for the study work given to me while doing all the survey
I did in this project work. While doing dealers survey, institutional survey and
consumers survey I got the limited time period for there completion.

The area considered for this survey was taken randomly. So, the area taken for this
study was limited. For the dealers survey and consumer survey the area was chosen
randomly and for institutional survey the area was limited to the hotel region of
Carol Bagh only.

The response of some of the consumers was not up to the mark. So the survey may
give the biased result.

The sample size taken for each of the survey in this project was very less and
limited.

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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 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.

Mineral water is poly bags like milk is more convenient to the consumers.

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 water is more hygienic than filtered water/purified water.
88

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.

From the study it has been found that majority of the people does not have any brand
preference. The company should establish brand image in mineral water with the help of
advertisement & better service to the customers.

To win over the consumer faith over the genuinty of the product the company should
have redressed forum where people can convey their grievance.

The redressed forum should be located zone wise and the company should see the zonal
head reports every day regarding the grievances of the customers. The company should
make proper arrangements to get away with the grievances of the consumers as soon as
possible.

Bottle distribution such as cold drink i.e., bottle which is returned back after the
consumption of the product, which would be easily available in the market, the
customer has to pay less amount with respect to cold drinks, which would lead them in
switching over to mineral water instead of cold soft drink.

89

Biisleri should have a quality check over their break-away weal in 500 ml.pet and 1.2
letre pet. Sometimes retailers get annoyed if it is not tempered properly .

There is large market of packaged drinking water and company should look after the
production unit and maintained production level in accordance with the market
requirement.

There are some institutional consumers which have large consumption for them ,
company should have some promotional schemes. They should provide them free
dispensers.

Special emphasis should be given to availability of water on time.

90

ANNEXURE
BIBLIOGRAPHY

Books
Author
Title
Publisher
Edition

Author
Title
Publisher
Website

Philip Kotter
Marketing Management
Hall of India Pvt. Ltd.
11th

Saxena, Ranjan
Marketing Management
Tata MeGraw-Hill Publishing company Ltd.

www.hotbot.com
www.google.co.in

91

QUESTIONNAIRE
FOR RETAILERS

NAME:

__________________________________

PHONE NO:

__________________________________

ADDRESS:

__________________________________
__________________________________

Q.1.

Are you selling the mineral water?

(a) Yes

Q.2.

(b) No

Reason for buying Bisleri?

(a) Consumer's demand
(c) Margin

Q.3.

Q.4.

(b) Brand image

(d) Substitute product

Brands of Mineral water available on counter?

(a) Bisleri

(b) Kinley

(d) King fisher

(e) Others

Which size of Bisleri has more sale?

(a) 1.2 Ltr

(b) 2 Ltr

(c) 5 Ltr

(d) 20 Ltr

92

(c) Aquafina

Q.5

Approximate

daily/monthly

sale

of

mineral

water

from

this

counter.......................... ........................................ ..................................................

Q.6.

Most preferred /favourite Brand...................................................................

& Why...........................................................................................................

Q.7.

Any complaint regarding Bisleri?

(a) Yes

(b) No

Q.8.

Your suggestion for improving Bisleri...........................................................

Q.9.

Any suggestion for increasing the sale of Bisleri..........................................

Q.10. In case Bisleri is not reaching you, should we contact you?

(a) Yes

(b) No

DATE:

PLACE:
SIGNATURE

93