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Chapter 1 1.

1 Introduction of Bisleri
In 1967, Bisleri an Italian company, started by Signor Felice Bisleri, first brought the idea of selling bottled water in India. It started a company called Bisleri India. In 1969, Ramesh Chauhan, the Chairman of Parle Exports, bought over the brand. In those days, Bisleri packaged drinking water was available in glass bottles. Being a returnable package owing to various other problems such as breakage and weight, in 1972-73, Bisleri was made available in PVC (Poly Vinyl Chloride) bottles. After this plastic packaging was introduced, things started to change, and sales increased rapidly. The upsurge in the sales of Bisleri started in 1993 as Ramesh Chauhan sold off the Parle stable of brands, including Thums Up, Limca and Gold Spot. Recognizing the potential of the packaged drinking water market, he then went on to concentrate on making Bisleri a top selling brand in India. Marketing and Brands Blog Bisleri a brand name synonymous to mineral water in India. It has approximately 60% market share in packaged drinking water in country. Brand is owned by Parle Company, which bought over Bisleri in 1969 from Italian company. Initially, Bisleri faced the problems of acceptance from consumers. It was difficult to advertise for a company something as a bottled water, which is colorless, tasteless and odorless. In mid eighties company changed its packaging to PET bottles which shows transparency
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and clear water to consumers. This gave mineral water market a boost.

In India, water is scarce and quality is poor so initially the consumers were only foreigners and NRIs. Therefore, to increase its customers base, company came up with comfortable and affordable price bottle which was a great success and showed 400% growth. India bottled water market is apex is worth Rs 1,000-1,200 corer (Rs 10-12billion). Seeing this growth over the years, many new players have entered the market. Amongst them Kinely from Coke, Aquafine from Pepsi, kingfisher and now Himalayan from Tata are main players of industry. There are many ups and down in last couple of years but brand recall of Bisleri is amazing which helped company. In order to differentiate form other players company tries to come up with different and new campaigns on regular intervals

In case of food and water, whenever people are suspicious of the quality of product they dont eat unhygienic food and instead of having non purified water they prefer to stay thirsty. Bisleri itself seems to play on this need for safety, coining the popular tag-line Play it safe. The advertising helped differentiate the product from its competitors who, more or less, communicated nothing. Bisleris seal was also breakaway (hence irreplaceable), even though this manufacturing process of sealing seems to be slow and could clog up the assembly line. Somewhere along the now that space was occupied by Aquafina and Kinley. The safe breakaway seal was replaced by a regular seal, but the change wasnt communicated and more variants (packaging) emerged. Some of these variants were sold simultaneously. They were manufactured in
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different parts of Delhi, and one had the website www.bisleri.com printed on it, while the other had www.bisleri.co.in printed. So, the mistake was a complete lack of communication on Bisleris part. Now they have a new product out - a mineral water brand (as opposed to a packaged drinking water brand), and they are advertising it. Still, there are three types of Bisleri bottles in the market in Delhi right now. Now again Bisleri changed its packaging and came up with a new bottle. It has been general feeling that Kinleys new packaging is more acceptable by the people as it is easy to grip it. In a packaged water market, where the product is not so differentiated, the company has to constantly innovate new branding techniques, distribution channels, advertising and in fact new packaging techniques.

According to the Bureau of India [Images] n Standards there are 1,200 bottled water factories all over India (of which 600 are in one state -- Tamil Nadu). Over 100 brands are vying for the Rs 1, 000-crore (Rs 10 billion) bottled water market and are hard selling their products in every way possible -- better margins to dealers, aggressive advertising, catchy taglines.... In such a scenario, The Strategist takes a look at how it all started -- with Bisleri -- and how Ramesh Chauhan, chairman, Parle Bisleri created a market out of pure water. Excerpts from a conversation with Prerna Raturi:

Western Express Highway in Mumbai has been the route to success for two well known men. One was the make-believe super biker cum thief Kabir aka
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John Abraham in the Bollywood flick Dhoom; and the other is the crafty Ramesh Chauhan, who has masterminded the runaway success of the Rs.500 crore bottled water brand, BISLERI in the country, from his 1st floor office in the sparkling green aqua fill BISLERI building. BISLERI was originally an Italian Company created by Signor Felice BISLERI who first brought the idea of selling bottled water in India. BISLERI then was introduced in Mumbai in glass bottles in two varieties bubbly & still in 1965. Parle bought over BISLERI (India) Ltd. in 1969 & started bottling Mineral water in glass bottles under the brand name BISLERI. Later Parle switched over to PVC non-returnable bottles & finally advanced to PET containers. Since 1995 Mr.Ramesh.J.Chauhan has started expanding BISLERI operations. In 2003 BISLERI announced its venture to Europe. For over 30 years, BISLERI has been the pioneer in the bottled water industry with its innovations and an eye for inspiration in nature. perfection. And ever since it was established in 1969, BISLERI has constantly searched for

1.1.1 History
The origin of BISLERI lies in Italy and the brand owes its name to its founder MR.FELICE BISLERI, an Italian entrepreneur. In1967, BISLERI set up a plant in Bombay for bottling and marketing actual mineral water, which did not quite work. By1969, BISLERI wanted to exit the business and to help him out the Chauhans bought the brand, intending to turn it into a soda brand. Since then it has come a long way. Now, it owns a large percentage of shares in the Indian market and also it has its presence in International Water Market. WATER WATER EVERYWHERE BUT JUST A LITTLE THAT IS CLEAN JOURNEY OF BISLERI 1969: Buys BISLERI bottled water from an Italian company, Felice Bisleri. It was bottled in glass bottles then. Early-1980s: Shifts to PVC (Poly Vinyl Chloride) bottles. Sales surge Mid-1980s: Switches to PET bottles, which meant more transparency and life for water. 1993: Sells carbonated drink brands like Thumps Up, Gold Spot and Limca to Coca-Cola for Rs. 400 Crore. 1995: BISLERI launches a 500 ml bottle and sales shoot up by400 per cent. 2000: Introduces the 20-litre container to bring prices down from Rs. 10 a litre to Rs. 2 a litre. 1998: Introduces a tamper-proof and tamper-evident seal. 2000: BIS cancels BISLERIS license of water bottling in Delhi since some of the bottles did not carry ISI label; the license is restored one-and-a-half months later.

2002: KINLEY overtakes BISLERI. The national retail stores audit by ORG-MARG show Kinsleys market share at 35.1 percent compared to BISLERIS 34.4 per cent. 2003: BISLERI says it plans to venture out into Europe and America to sell bottled water.

Past Bisleri was the market leader in the early 1990s. In 1990 -Parle Bisleri ltd had a 70% market share. For major players like Pepsi and Coca-Cola, Bisleris market eroded. Bisleri launched pure and safe ad campaign. Bisleri was a generic brand uptil 2000.

Present Present Bisleris distribution network contributed to the companys decline in market share. Currently Bisleri is struggling to hold on to its 40% market share.

growing @ 13% p.a. Market expansion by acquiring local brands Expansion in Europe Launch of premium pack Change of image Increase in production Product Positioning Promotion Distribution1 2 34

Key towards Continue to concentrate on bulk line (5, 10 and 20 Liters) Why PLAY SAFE? Shift position of the brand to Feel Fresh

1.1.2 Future Plans


Mumbai: After dominating the Indian mass packaged drinking water market
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with a 60 per cent share, BISLERI is all set to make a splash abroad. In the next few months, it will start exporting BISLERI Mountain Water to take on the likes of French brand Evian in the premium packaged drinking water space. Now that we have launched BISLERI in a new hexagonal bottle, it is getting a lot of appreciation. Well soon be launching it in Europe and America in 2-3 months time, says Chairman, BISLERI International, and Ramesh Chauhan. Chauhan says BISLERI is aiming for at least $ 3 - 4 million of sales in the first year. However, BISLERI isn't eyeing the lucrative foreign market alone. The Tatas, too, want to go abroad with the revamped Himalayan mountain water brand. The company plans to introduce new products like flavored and sparkling water, both in the domestic and the international markets. We would be looking at the entire consumer pyramid which straddles every kind of product offering, but that has to be on the plank of wellness. So that's the platform we are creating, CEO, Mount Everest Mineral Water, Pradeep Poddar says.BISLERI, too, plans to launch its own brand of flavored water by the end of the year. And certainly, for the Indian companies that have so far been restricted India's $ 500-million market, quenching the thirst of.billions of more customers makes great business sense

BISLERIs Plans of Expansion BISLERI International Private Limited, Indias largest selling mineral water company, has announced plans to establish 25 new bottling plants across India to meet growing consumer demand. The company is aiming to achieve a 40% growth rate in the current fiscal year. Speaking in Mumbai, BISLERI International Chairman and Managing Director Ramesh Chauhan said, "With the additional plants it will now be easier to reach every corner of the country. Besides, with every new plant, there would be would be increased capacity." The company, which already has 52 bottling plants, is planning to invest Rs 500 million ($10.4million) in setting up these new bottling plants in Maharashtra, Kerala, Jammu and Kashmir, Himachal Pradesh, Tamil Nadu, Karnataka, UP, Orissa, Jharkhand and north Bengal states. With a 60% share in the Rs12billion ($250 million) mineral water category, BISLERI is also venturing into flavored water later this year, having already launched BISLERI Fizzy Soda and BISLERI Mountain mineral water. The company has outlined an aggressive market penetration strategy; a dualdistribution plan, reaching newer markets, including townships and rural India. The company is also setting up dedicated channels for its 20 liter jars to ensure that every household and company gets service at their door step.

Anjana Ghosh, Director, BISLERI International Private Limited, said, "The unavailability of clean drinking water, increase in water contamination and health awareness among consumers has led to the growth of mineral water
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segment. In the wake of rising consumption of mineral water even in the rural hinterland there is a huge growth opportunity in India. "BISLERI has become a strong consumer brand over the years and today we have a long-standing relationship with our distributors and consumers, she added. The companys distribution network is being expanded to meet the increasing retail and consumer demands. On a national level, there are 2,000 trucks on call for BISLERI, while the number of trucks averages 300 and 250 in the Mumbai and Delhi market alone. Every day, some 5,000 delivery vans drive out of the 52 strategically located BISLERI bottling plants carrying over 1 million units of pure drinking water to replenish the stocks of 2,500 distributors and nearly 600,000 retail outlets.

1.2 REASEARCH METHODOLOGY

1.2.1 RESEARCH OBJECTIVES To analyze the short term solvency, utilization of cash resources and capacity of financial Management To analyze the long term solvency of cash to debt services ratio To analyze that, the ability of financial obligation is dependent on the ability to generate daily cash requirement 1.2.2RESEARCH DATA
DATA COLLECTION METHODS

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Secondary Primary

Books
Interviews

Magazines
Questionnaire

Newspapers

Web-sites

1.2.3 REASEARCH DESIGN RESEARCH DATA:


Methods of Data Collection:

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Primary Data: the information which is collected from the original sources. I have conducted interviews and collected data through questionnaires. Questionnaire is attached in annexure.

Secondary Method: Secondary data means data that are already available i.e., they refer to the data which have already been collected and analyzed by someone else. Secondary research or desk research is so called because it is usually concerned with the use of secondary data or information that is already available. Books were used to get more information to know about the concepts of Promotion and communications in Banks. Magazines were refereed to take the case studies on promotion in banks. Web- sites were used to take general information.

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1.2.4 DATA ANALYSIS

Packaged drinking water BISLERI One significant observation made from the study was that the number of players in the market are increasing at a very fast pace, especially the entry of multinationals. Thus it is believed that a research to find out the awareness level and recall level of the brand BISLERI vis--vis other major brands will give an idea about where does the brand exists in the mind of the consumers. This might help the brand to identify the reason for the decreasing market share.

Survey objective The Primary objective of the survey is to find out how does BISLERI fair in the Awareness and recall level as compared to the major competitor. The Secondary objective is to find out the advertising medium by which the Bottled water consumers are most influenced with.

Scope of Survey

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The survey intended to target consumers in South Mumbai region specially Church Gate and Colaba and the survey was done only in south Mumbai specially in areas like Church Gate and Colaba.

Chapter .2

SWOT ANALYSIS

2.1 STRENGTHS
Old and famous brand name Better packaging Effective distribution networks Famous as pure and safe among consumers Good product mix Frequent quality checking Much used by corporate world Better sales force
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Sponsoring various cultural program Better visibility Good intensives to dealer

2.2 WEAKNESS

One litre packs which accounted for 50 per cent of company turnover has come down to 30 percent . the two-letter packs, which have practically
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disappeared from the shelves. have come down from 20 per cent to five percent. The growth has come from the f500 ml and the five litre category, which account for 15 percent and 26 percent of turnover respectively. Earlier bisleri was selling of premium of rupees 12 for the same size but the beginning last year, it has been selling 1 litre bottle at rRs.15 each. Aqua mineral attributes the price slashing to retailer margins being on the higher side earlier. The competitive Rs.15 price tag has been working well for the brand. In what could be a master stroke. Aqua minerals is testing out the possibility of mass marketing 20-litre bisleri bottles for an MRP of Rss.40.That works out to Rs.32 a liter. if the logistics, manufacturing and distribution do fall in place, it would change the face of the purified water market for keeps.

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2.3 OPPORTUNITIES
So far Chauhan has not used the franchising route very aggressively unlike Parle Argos Bailey which has grown very fast using this route. He has around size franchisees in Mumbai, Delhi, Chennai, Bangalore, Goa and Rajasthan. We stunned this route so far because in most areas where we had no presence. It was imperative that we did it ourselves. Now for further expansion we can afford to use the franchisee route.

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2.4 THREATS
Bisleri will be taking the packs back and refilling them. But the packs cannot be sterilized since the material used is PET and cannot with stand high temperature. So how can he ensure purity? Strategy to counter thereat and others? We subject the bottles to chlorine washes, hot water washes and ozone washes before we refill the bottles. The company is betting on the home segment. The reason being that filter and water purifiers also needs to be cleaned periodically and still do not guarantee absolutely clean water. In order to service this segment, the five letter packs are being pushed through the route of fat dealer who are retailers as well as stockiest and server as supply points from where
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customers can pick out the required quota. In future, consumers will be able to call the fat dealer and place orders for home deliver of five litre pack. The company has so far appointed 180 such dealers. This is high turnover. Lowmargined retailer who does not keep a store but server a similar purpose with other items such as rice or Atta.

Chapter 3

Marketing Mix
According to Philip kotler marketing mix is the mixture of controllable marketing variables that the firm uses to pursue the sought level of sales in the targeted market In simple words marketing mix is the combination of four basic elements / ingredients under one head. The 4Ps i.e. Product, Place, Price, and Promotion.
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3.1 PRODUCT

Types of products
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BISLERI values their customers & therefore have developed 8 unique pack sizes to suit the need of every individual. They presently have 250ml cups, 250ml bottles, 500ml, 1L, 1 .5L and 2L which are packs.

Products Produced by BISLERI with added Minerals BISLERI Mineral Water contains minerals such as magnesium sulphate and potassium bicarbonate which are essential minerals for healthy living. They not only maintain the pH balance of the body but also help in keeping you fit and energetic at all time.

3.2 PRICE

Price plays as very important role as it is the only P


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which helps in getting revenue: Firstly one can explain the factors which affect the pricing decision i.e.Price is directly related to

1.Demand 2.Competition 3.Break-even Point.

Secondly, if there is a novel product or almost no competition, one can Go for higher price in the beginning, make good profits to face Competition and innovations at a later date. However if you are entering a competitive market your entry price should be low to ensure big volumes to earn reasonable profits.

In the beginning BISLERI had no competition, so the price of BISLERI was high; gradually the promoters dropped the price. Buy Huge quantity at cheap rate, after confirming demand and sell at cheap price, make them addictive, then gradually increase price.

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Price plays as very important role as it is the only P which helps in getting Revenue: Firstly one can explain the factors which affect the pricing Decision i.e. - Price is directly related to 1. Demand 2. Competition 3. Break-even Point. Secondly, if there is a novel product or almost no competition, one can Go for higher price in the beginning, make good profits to face Competition and innovations at a later date. - However if you are entering a competitive market your entry price Should below to ensure big volumes to earn reasonable profits. In the beginning BISLERI had no competition, so the price of BISLERI Was high, gradually the promoters dropped the price. - Buy huge quantity at cheap rate, after confirming demand and sell at cheap price, make them addictive, then gradually increase price)

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3.3 PLACE
BISLERI has a specific distribution channel which they follow: Distribution Channel From the manufacturing plant the bottles will come directly to the stockiest. Taking out the C&F agent from the distribution channel, so as to increase the margin to other elements in the chain. The whole MUMBAI area is been divided into 4 zones: SOUTH , WEST , CENTRAL and NORTH. The total number of stockiest would be 12. In the area of SOUTH MUMBAI there would be 2 stockists, one in the area of FORT and other in the area of MUMBAI CENTRAL. In the case of FORT it will require 5 distributors covering the area from DADAR to C.S.T and WADALA to C.S.T. The other stockiest at MUMBAI CENTRAL will require 2 distributors to cover the area from DADAR to CHURCHGATE.
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In the area of west MUMBAI there would be 3 stockiest in the area of ANDHERI, BORIVALI & VIRAR, Covering the area from MAHIM to DHANU road. In the area of Mahim to Andheri 5 distributor would be there, in the area of Jogeshwari to Dahisar 5 distributor would be there, in the area of DAHISAR to DAHANU road 4 distributor would be there. In the area of CENTRAL MUMBAI 4 stockist would be needed. The stockist would be in GHATKOPAR, KALYAN, AMBERNATH, and TITWALA. The stockist in the GHATKOPAR would cover the area between MATUNGA to MULUND. The stockiest in KALYAN would cover the area between THANA to KALYAN and it would require 3 distributors. The stockist in AMBERNATH would cover the area from KALYAN to KARJAT. A stockiest in TITWALA would cover the area from KALYAN to KASARA and would require 3 distributors. In the case of NORTH MUMBAI there would be 3 stockists. It would cover area of PANVEL, URAN, ALIBAUG, PENN, MAHAD, and VASHI. In the area of PANVEL stockiest 3 distributors would be needed and in the area of MAHAD stockist it would require 3 distributors and same is the case with Vashi. In the case of KHOPOLI and ALIBAUG direct water would be supplied to the distributors.

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3.4 Promotion
Positioning

Playing Safe Health and hygiene conscious people Play Safe

Target audience : Personality : Punch Line

Guardian, Authoritative, Reliable :

To keep your company humming with profitable work, its vital to advertise your services. Your company is going to require the maximum exposure you can afford. This constant exposure will alert potential customers who you are and where you are when they need a sign. By positioning YOUR name at their fingertips and even literally displaying it in front of their eyes, theyll call YOU for identification products and services. There are all types of promotion. They range from direct mail, word
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of mouth, advertising in newspapers and telephone directories to radio and T.V. spots, cold calls and telemarketing. Whatever the medium, consider the cost. Advertising will usually is an expense that remains in your budget. Bisleri follows different promotion strategies and uses different ways to promote their product like

FINDINGS
The time value of money plays an important role in the

valuation of long term investments as these investments produce expected cash flows into the future. Whenever decisions are made for new product development and marketing there

is capital investment. Investment in long term projects there has to be investment in current

assets in order to support the day to day operations that will be required by the project.

BASED ON INDUSTRIES MANAGEMENT OF MINERAL Firms in the RETAIL INDUSTRY tend to have shorter operating cycles; with firms dealing in food products having the shortest operating cycles and firms dealing in luxury items having the longest.
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WATER :

Firms involved in MANUFACTURING tend to have longer operating cycles than retailers because of the amount of time necessary to produce goods for sale.

ANEXURES

Questionnaire.
Dear respondent, I am a student, doing my TYBMS. This Questionnaire is a part of an academic project on Bottled water Industry. A few minutes of yours to fill the questionnaire will be of immense help. Thank you.

1.Which Brands of Mineral water are you aware of Which Brand/s do you prefer? 2.Why do you prefer this particular Brand? 3.What influences your decision to buy a particular Brand? Brand Image Advertising Price Availability Size / Package

4.From which media did you come to know about the various brands?
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Television Magazines Newspapers Retail outlets

5.Others If yes, where? How do you rate the following brands: G for Good P for Poor? A for Average

6. Are you aware of the brand BISLERI? Yes No

7. Have seen any advertisements of BISLERI? Yes No

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CONCLUSION

The important increase in India can be easily explained through the growth of the population and problems of water quality and water supplies. Until 1992, the demand for bottled water in India was mostly limited to foreign tourists, corporate meetings, conferences, etc. The introduction of bulk packaging extended the market to new and numerous consumers. Bottled water is a particularly competitive market, hence companies need to develop diverse marketing strategies, such as accessing new markets by owning or developing partnership with regional brands, developing new products (such as flavored water) or by-products (such as cosmetics) and developing services (home and office delivery of water) Today more and more companies are coming up in the package drinking
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water market as there is a lot of scope in bottle water market as seeing the increase in Indian population. Today the people of India are very hygienic and only prefer bottle water which increases in the scope of bottle water market. By looking at the increasing demand of bottle water companies have to see that they use modern marketing strategies and also come up with trendy bottles and satisfy the wants of the consumer.

Bibliography
While working on this project I did a lot of surveys by asking people personally about the brand of package drinking water they prefer; as well as caring on survey by questionnaires. Most of the project was made on the basis of Primary data. I personally visited the BISLERI plant at Western Express Highway Andheri East, visiting the plan was an experience of a life time I say the whole manufacturing process and how the water is purified and then packed. Most of the project was done by myself by my observation as I had visited the BISLERI plant and the certificate is attached above I personally visited the Marketing Manager of BISLERI where he told me about their marketing strategies and how they carried on their distribution and how BISLERI is able to maintain its standard at the top.
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All the information collected was my own where I did lot of surveys of students, people etc I even personally visited different theaters and shops and hotels in the areas of south Mumbai specifically colaba and church gate as different theaters, hotels and shops sell different brands of water. Also a questioners survey was done to find out the most preferred brand by the people. Apart from this I visited sites like www.bisleri.com www.managementcases.com www.icri.com I referred a few news papers like economic times etc

But most of the survey was done by me as I personally visited the BISLERI plant at Western Express Highway Andheri East and met the marketing manager personally. 45 Marketing of minerals water-Bisleri

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