Description
PARLE G MARKETING STRATEGY
Marketing Strategy Group - 6
PRESENTATION OVER VIEW
• Overview of Biscuit Industry in India • Porter’s Model • About Parle • Parle Products • Parle SWOT analysis • About Parle G Biscuit • Parle G - uture !"allen#es • Our Su##estions
Introduction on Bi cuit Indu try
•Bi cuit !arket in India " R #$%%%-crore &R #%-'i((ion) • Annua( gro*t+ rate o, Bi cuit Indu try a ,o((o* "
$ Growt" 18 16 14 12 10 8 6 4 2 0 2003-04 2004-05 2005-06 % Growth 2006-07 2007-08
*r+ ,--.)+e/e01tion Steady #rowt" of %& fro0 ' %( !entral $ annually) 2/cise 3uty)
Annua( production Bi cuit Indu try
Annual Production of Biscuit in India
%. %4 %& %, %. 4 & , ,--5--& ,--&--( ,--(--4 ,--4--6 7a8" MT
*o* #rowt" s"ows risin# consu01tion in India)
Bi cuit Indu try pro,i(e
Two Sectors of Biscuit Industry
9n Or#anised Sector &-$
Or#anised Sector 4-$
Or#anised : 9nor#anised :: &- : 4-
Introduction on Bi cuit Indu try
• ;ural-urban 1enetration of Biscuit : •9rban Mar8et : 6($ to .($ •;ural Mar8et : (-$ to 4($ • Per ca1ita consu01tion of Biscuits : •Ii#" co01etition A0on# e/istin# 1layers
• Many biscuit fro0 low to 0oderate ;an#e= • 7i8e of ba8ery 1roduct
!usto0er
>IG>
7OW
Bi cuit Indu try !a-or p(ayer
Major Mkt Share ( Organised Sector)
Ot"ers %-$ Priya#old %($ Parle G 5($
Sunfeast @$ Britania 5%$
ABO1T PAR2E
? ? ? ? ? ? ? ? ? ?
2stablis"ed in %@,@ %st brands ' Parle Glucose and Parle Monaco Mar8et leader in 0any 1roducts Won acclai0 at t"e Monde selection since %@65($ s"are of t"e total biscuit 0ar8et %($ s"are of t"e total confectionery 0ar8et %& 0anufacturin# units for biscuits A ( 0anufacturin# units for confectioneries Parle "as lar#est suc" 0anufacturin# units in India Annual turnover ,--- crores It "as 1rovided its 1roducts to t"e 0ass wit" t"e affordable ran#e+
Par(e Product 33 Bi cuit4
Par(e Product 33 5on,ectionarie 4
Par(e Product 33 Snack 4
SWOT Ana(y i o, Par(e
SWOT Ana(y i o, Par(e
• Strengths
•Parle Brand= •3iversified 1roduct ran#e= •2/tensive distribution networ8+ •7ow and 0id 1rice ran#e •!aterin# to 0ass= •Better understandin# of consu0er 1syc"e
• Weakness
•3e1endence on retailers A #rocery Stores for dis1layin# diversified Parle Products on s"elf= induce i01ulsive buy • 3e1endence on Parle G •Bfla#s"i1 brandC
•O
ortunities
• Threats
•>i8e in cost of 1roduction due to "i8e In ;aw 0aterial cost= •Increasin# distribution cost= •7ocal ba8ery 1roducts= •2ntry of various new entrant= IT! etc+
•2sti0ated annual #rowt" of ,-$ •7ow 1er ca1ita consu01tion= •!"an#in# consu0er 1reference= • Increasin# de0and for su#ar free= •3iet biscuit=
A'out Par(e 6 G Bi cuit
• Parle 'G "as been a stron# "ouse"old na0e across India+ • A crea0 colored yellow stri11ed wra11er wit" a cute baby 1"oto containin# %- ' %, biscuits wit" t"e co01any’s na0e 1rinted in ;ed and you 8now t"ese are Parle G biscuits+ • T"e #reat taste= "i#" nutrition= and t"e international Duality= 0a8es ParleG a winner+ • Ti0es c"an#ed= variety of biscuits did co0e and #o but not"in# "as c"an#ed wit" t"ese biscuits+ • It "as been t"e undis1uted leader in t"e biscuit cate#ory for decades+
Par(e G - Target 'a e
• Parle-G is consu0ed by 1eo1le of all a#es= fro0 t"e ric" to t"e 1oor= livin# in cities A in villa#es+ • W"ile so0e "ave it for brea8fast= • or ot"ers it is a co01lete w"oleso0e 0eal+ • or so0e itEs t"e best acco01ani0ent for tea= •W"ile for so0e itEs a way of #ettin# c"ar#ed w"enever t"ey are low on ener#y+ Parle co01any 1ractices 0ass 0ar8etin# for Parle- G w"ic" a11eals to 0asses+ It is a 1roduct li8ed by everyone and does not cater only to a s1ecific #rou1 or 1art of t"e w"ole 0ar8et+ T"us it is 0ass 1roduction= 0ass distribution and 0ass 1ro0otion of Parle- G for all buyers+
5on u!er p yc+e and Par(e - G
• Parle-G is consu0ed by 1eo1le of all a#es= fro0 t"e ric" to t"e 1oor= livin# in cities A in villa#es+ • W"ile so0e "ave it for brea8fast= for ot"ers it is a co01lete w"oleso0e 0eal+ • or so0e itEs t"e best acco01ani0ent for c"ai • W"ile for so0e itEs a way of #ettin# c"ar#ed w"enever t"ey are low on ener#y+
Par(e 6 G33 a a Brand
•T"e brand is associated wit" t"e 1ositive values of life li8e "onesty= s"arin# and carin#+ • T"e incredible de0and led Parle to introduce t"e brand in s1ecial branded 1ac8s and in lar#er festive tin 1ac8s+ • It is synony0ous to ener#y A nutrition+ • It "as beco0e a 1art of t"e daily lives of 0any Indians+ It wasnEt a biscuit any 0ore+ It "ad beco0e an icon+ •Parle G conFures u1 fond 0e0ories across t"e len#t" and breadt" of t"e country+ •Be it a bi# city or a re0ote villa#e of India= t"e Parle G sy0boliGes Duality= "ealt" and #reat taste+
Par(e - G and Price !i7
• Parle G "as ado1ted t"e Mar8et Penetration strate#y i+e+ low 1rice alon# wit" ca1turin# of a lar#e 0ar8et • Also t"ey focus on 1rovidin# #ood Duality 1roducts at t"e sa0e ti0e= w"ic" 0eans it uses t"e value 1ricin# 0et"od+ • T"e value-for-0oney 1ositionin# "el1s #enerate lar#e sales volu0es for t"e 1roducts+ • Parle G is available in ;e %=;s ,= ;s & to ;s ,( 1ac8et • Profit 0ar#in for distributors is &$ and for retailers is %--%,$ • Parle-G 0aintained its 1rice of ;s+&+-- for t"e last %, yrs A "as seen t"e variation in its sales due to increase in 1rice by 0ere (-1+
Par(e - G and P(ace !i7
• T"e e/tensive distribution networ8= built over t"e years= is a 0aFor stren#t" for Parle Products+ •Parle G biscuits are available to consu0ers= even in t"e 0ost re0ote 1laces and in t"e s0allest of villa#es wit" a 1o1ulation of Fust %(--+ • Parle "as nearly %=(-- w"olesalers= caterin# to &=,(=--- retail outlets directly or indirectly+ A two "undred stron# dedicated field force services its "u#e w"olesalers A retailers networ8+ • Additionally= t"ere are 5% de1ots and !A a#ents su11lyin# #oods to t"e wide distribution networ8+ • actories at strate#ic locations A 2stablis"0ent of 0anufacturin# units in rural areas
Par(e - G and pro!otion !i7
Ad!ertising " It was advertised 0ainly t"rou#" 1ress ads+ T"e co00unication s1o8e about t"e basic benefits of ener#y and nutrition+
In %@.@ Parle-G released its H3adaFiI co00ercial w"ic" was a "u#e success and was aired over a 1eriod of 4 years+ T"e co00unication s1o8e about t"e basic benefits of ener#y and nutrition+
Par(e - G and pro!otion !i7 &contd44)
• T"e ne/t level of co00unication associated t"e brand wit" t"e 1ositive values of life li8e "onesty= s"arin# and carin#+ Just a few 0ont"s bac8 a re0inder TK co00ercial was launc"ed for Parle-G w"ere t"e 1roduct is bein# called L"industan 8i ta8at’
• ;ecently Parle G "as started t"e use of celebrity in t"eir advertise0ents
Par(e - G and pro!otion !i7 &contd44)
Sales ro#otion " 2very year it "olds day fairs at branded venues w"ere
#a0es and fun events are or#aniGed for t"e e01loyees of Parle and t"eir fa0iliesM w"ere Parle 1roducts are #iveaway 1riGes+
Pu$lic relations " Parle "as done t"e followin# for en"ancin# 1ublic
relations: • In t"e year %@@6= Parle-G s1onsored t"e tele-serial of t"e Indian su1er"ero= Shakti#aan t"at went on to beco0e a "u#e success+ • In t"e year ,--,= a national level 1ro0o - `Parle-G Mera Sapna Sach Hoga' was run for a 1eriod of 4 0ont"s+ T"e 1ro0o was all about fulfillin# t"e drea0s of c"ildren+ • Parle Saraswati %andana= one of its initiatives= is an inter-sc"ool contest based on t"e Saraswati PuFa celebrations+ Since it started in ,--, it "as seen a tre0endous increase in 1artici1atin# eac" year= wit" entries co0in# fro0 sc"ools of West Ben#al+ • Parle "ad introduced t"e novel 1ro0otion called Parle &olu &alata contest in ,--(+ BGolu 0eans 3oll A Galata 0eans 3"a00al+C
Par(e - G and 5o!petitor
'o# etition to Parle ( & is fro# following layers ) "
•*ets do strategic #a
ing on following ground )
Price ( +istri$ution, -utrition content ( Brand, Inno!ation ( Technology, Packaging.
Par(e - G and 5o!petitor Price 6 8i tri'ution
>IG>
P;I!2
Marico >orlic8s
Sunfeast Priya#old Britania Parle-G
7OW 7OW
3IST;IB9TIO<
>IG>
Par(e - G and 5o!petitor Nutrition content 6 Brand
>IG>
Parle-G Britania
IG>
Parle-G Britania Priya#old Sunfeast >orlic8s Marico
I SA*S PA;72 G !9STOM2;S P;2 2; PA;72 G OWI
PARLE G MARKETING STRATEGY
Marketing Strategy Group - 6
PRESENTATION OVER VIEW
• Overview of Biscuit Industry in India • Porter’s Model • About Parle • Parle Products • Parle SWOT analysis • About Parle G Biscuit • Parle G - uture !"allen#es • Our Su##estions
Introduction on Bi cuit Indu try
•Bi cuit !arket in India " R #$%%%-crore &R #%-'i((ion) • Annua( gro*t+ rate o, Bi cuit Indu try a ,o((o* "
$ Growt" 18 16 14 12 10 8 6 4 2 0 2003-04 2004-05 2005-06 % Growth 2006-07 2007-08
*r+ ,--.)+e/e01tion Steady #rowt" of %& fro0 ' %( !entral $ annually) 2/cise 3uty)
Annua( production Bi cuit Indu try
Annual Production of Biscuit in India
%. %4 %& %, %. 4 & , ,--5--& ,--&--( ,--(--4 ,--4--6 7a8" MT
*o* #rowt" s"ows risin# consu01tion in India)
Bi cuit Indu try pro,i(e
Two Sectors of Biscuit Industry
9n Or#anised Sector &-$
Or#anised Sector 4-$
Or#anised : 9nor#anised :: &- : 4-
Introduction on Bi cuit Indu try
• ;ural-urban 1enetration of Biscuit : •9rban Mar8et : 6($ to .($ •;ural Mar8et : (-$ to 4($ • Per ca1ita consu01tion of Biscuits : •Ii#" co01etition A0on# e/istin# 1layers
• Many biscuit fro0 low to 0oderate ;an#e= • 7i8e of ba8ery 1roduct
!usto0er
>IG>
7OW
Bi cuit Indu try !a-or p(ayer
Major Mkt Share ( Organised Sector)
Ot"ers %-$ Priya#old %($ Parle G 5($
Sunfeast @$ Britania 5%$
ABO1T PAR2E
? ? ? ? ? ? ? ? ? ?
2stablis"ed in %@,@ %st brands ' Parle Glucose and Parle Monaco Mar8et leader in 0any 1roducts Won acclai0 at t"e Monde selection since %@65($ s"are of t"e total biscuit 0ar8et %($ s"are of t"e total confectionery 0ar8et %& 0anufacturin# units for biscuits A ( 0anufacturin# units for confectioneries Parle "as lar#est suc" 0anufacturin# units in India Annual turnover ,--- crores It "as 1rovided its 1roducts to t"e 0ass wit" t"e affordable ran#e+
Par(e Product 33 Bi cuit4
Par(e Product 33 5on,ectionarie 4
Par(e Product 33 Snack 4
SWOT Ana(y i o, Par(e
SWOT Ana(y i o, Par(e
• Strengths
•Parle Brand= •3iversified 1roduct ran#e= •2/tensive distribution networ8+ •7ow and 0id 1rice ran#e •!aterin# to 0ass= •Better understandin# of consu0er 1syc"e
• Weakness
•3e1endence on retailers A #rocery Stores for dis1layin# diversified Parle Products on s"elf= induce i01ulsive buy • 3e1endence on Parle G •Bfla#s"i1 brandC
•O
ortunities
• Threats
•>i8e in cost of 1roduction due to "i8e In ;aw 0aterial cost= •Increasin# distribution cost= •7ocal ba8ery 1roducts= •2ntry of various new entrant= IT! etc+
•2sti0ated annual #rowt" of ,-$ •7ow 1er ca1ita consu01tion= •!"an#in# consu0er 1reference= • Increasin# de0and for su#ar free= •3iet biscuit=
A'out Par(e 6 G Bi cuit
• Parle 'G "as been a stron# "ouse"old na0e across India+ • A crea0 colored yellow stri11ed wra11er wit" a cute baby 1"oto containin# %- ' %, biscuits wit" t"e co01any’s na0e 1rinted in ;ed and you 8now t"ese are Parle G biscuits+ • T"e #reat taste= "i#" nutrition= and t"e international Duality= 0a8es ParleG a winner+ • Ti0es c"an#ed= variety of biscuits did co0e and #o but not"in# "as c"an#ed wit" t"ese biscuits+ • It "as been t"e undis1uted leader in t"e biscuit cate#ory for decades+
Par(e G - Target 'a e
• Parle-G is consu0ed by 1eo1le of all a#es= fro0 t"e ric" to t"e 1oor= livin# in cities A in villa#es+ • W"ile so0e "ave it for brea8fast= • or ot"ers it is a co01lete w"oleso0e 0eal+ • or so0e itEs t"e best acco01ani0ent for tea= •W"ile for so0e itEs a way of #ettin# c"ar#ed w"enever t"ey are low on ener#y+ Parle co01any 1ractices 0ass 0ar8etin# for Parle- G w"ic" a11eals to 0asses+ It is a 1roduct li8ed by everyone and does not cater only to a s1ecific #rou1 or 1art of t"e w"ole 0ar8et+ T"us it is 0ass 1roduction= 0ass distribution and 0ass 1ro0otion of Parle- G for all buyers+
5on u!er p yc+e and Par(e - G
• Parle-G is consu0ed by 1eo1le of all a#es= fro0 t"e ric" to t"e 1oor= livin# in cities A in villa#es+ • W"ile so0e "ave it for brea8fast= for ot"ers it is a co01lete w"oleso0e 0eal+ • or so0e itEs t"e best acco01ani0ent for c"ai • W"ile for so0e itEs a way of #ettin# c"ar#ed w"enever t"ey are low on ener#y+
Par(e 6 G33 a a Brand
•T"e brand is associated wit" t"e 1ositive values of life li8e "onesty= s"arin# and carin#+ • T"e incredible de0and led Parle to introduce t"e brand in s1ecial branded 1ac8s and in lar#er festive tin 1ac8s+ • It is synony0ous to ener#y A nutrition+ • It "as beco0e a 1art of t"e daily lives of 0any Indians+ It wasnEt a biscuit any 0ore+ It "ad beco0e an icon+ •Parle G conFures u1 fond 0e0ories across t"e len#t" and breadt" of t"e country+ •Be it a bi# city or a re0ote villa#e of India= t"e Parle G sy0boliGes Duality= "ealt" and #reat taste+
Par(e - G and Price !i7
• Parle G "as ado1ted t"e Mar8et Penetration strate#y i+e+ low 1rice alon# wit" ca1turin# of a lar#e 0ar8et • Also t"ey focus on 1rovidin# #ood Duality 1roducts at t"e sa0e ti0e= w"ic" 0eans it uses t"e value 1ricin# 0et"od+ • T"e value-for-0oney 1ositionin# "el1s #enerate lar#e sales volu0es for t"e 1roducts+ • Parle G is available in ;e %=;s ,= ;s & to ;s ,( 1ac8et • Profit 0ar#in for distributors is &$ and for retailers is %--%,$ • Parle-G 0aintained its 1rice of ;s+&+-- for t"e last %, yrs A "as seen t"e variation in its sales due to increase in 1rice by 0ere (-1+
Par(e - G and P(ace !i7
• T"e e/tensive distribution networ8= built over t"e years= is a 0aFor stren#t" for Parle Products+ •Parle G biscuits are available to consu0ers= even in t"e 0ost re0ote 1laces and in t"e s0allest of villa#es wit" a 1o1ulation of Fust %(--+ • Parle "as nearly %=(-- w"olesalers= caterin# to &=,(=--- retail outlets directly or indirectly+ A two "undred stron# dedicated field force services its "u#e w"olesalers A retailers networ8+ • Additionally= t"ere are 5% de1ots and !A a#ents su11lyin# #oods to t"e wide distribution networ8+ • actories at strate#ic locations A 2stablis"0ent of 0anufacturin# units in rural areas
Par(e - G and pro!otion !i7
Ad!ertising " It was advertised 0ainly t"rou#" 1ress ads+ T"e co00unication s1o8e about t"e basic benefits of ener#y and nutrition+
In %@.@ Parle-G released its H3adaFiI co00ercial w"ic" was a "u#e success and was aired over a 1eriod of 4 years+ T"e co00unication s1o8e about t"e basic benefits of ener#y and nutrition+
Par(e - G and pro!otion !i7 &contd44)
• T"e ne/t level of co00unication associated t"e brand wit" t"e 1ositive values of life li8e "onesty= s"arin# and carin#+ Just a few 0ont"s bac8 a re0inder TK co00ercial was launc"ed for Parle-G w"ere t"e 1roduct is bein# called L"industan 8i ta8at’
• ;ecently Parle G "as started t"e use of celebrity in t"eir advertise0ents
Par(e - G and pro!otion !i7 &contd44)
Sales ro#otion " 2very year it "olds day fairs at branded venues w"ere
#a0es and fun events are or#aniGed for t"e e01loyees of Parle and t"eir fa0iliesM w"ere Parle 1roducts are #iveaway 1riGes+
Pu$lic relations " Parle "as done t"e followin# for en"ancin# 1ublic
relations: • In t"e year %@@6= Parle-G s1onsored t"e tele-serial of t"e Indian su1er"ero= Shakti#aan t"at went on to beco0e a "u#e success+ • In t"e year ,--,= a national level 1ro0o - `Parle-G Mera Sapna Sach Hoga' was run for a 1eriod of 4 0ont"s+ T"e 1ro0o was all about fulfillin# t"e drea0s of c"ildren+ • Parle Saraswati %andana= one of its initiatives= is an inter-sc"ool contest based on t"e Saraswati PuFa celebrations+ Since it started in ,--, it "as seen a tre0endous increase in 1artici1atin# eac" year= wit" entries co0in# fro0 sc"ools of West Ben#al+ • Parle "ad introduced t"e novel 1ro0otion called Parle &olu &alata contest in ,--(+ BGolu 0eans 3oll A Galata 0eans 3"a00al+C
Par(e - G and 5o!petitor
'o# etition to Parle ( & is fro# following layers ) "
•*ets do strategic #a
ing on following ground )
Price ( +istri$ution, -utrition content ( Brand, Inno!ation ( Technology, Packaging.
Par(e - G and 5o!petitor Price 6 8i tri'ution
>IG>
P;I!2
Marico >orlic8s
Sunfeast Priya#old Britania Parle-G
7OW 7OW
3IST;IB9TIO<
>IG>
Par(e - G and 5o!petitor Nutrition content 6 Brand
>IG>
Parle-G Britania
IG>
Parle-G Britania Priya#old Sunfeast >orlic8s Marico
I SA*S PA;72 G !9STOM2;S P;2 2; PA;72 G OWI