Professional Documents
Culture Documents
CERTIFICATE I hereby certify that the project work entitled A comparative study on sales promotion of PARLE products at Gangavati in organized and unorganized retail sectors has been prepared by Mr. RAGHAVENDRA ARIKERI, BBM IVth sem under the guidance of Mr. M.D.YUNUS Management lecturer in BBM Gangavathi.
A Comparative Study on sales of Parle products at Gangavathi In Organized and Unorganized retail sectors
CERTIFICATE
I heartlby certify that the project work entitled A Comparative study on sales promotion of PARLE products at Gangavathi in organized and unorganized retail sectors has been prepared by Mr. RAGHAVENDRA ARIKERI BBM IVth SEM under the guidance in partial fulfillment of award of degree Bachelor of business Management from T.M.A.E.S. BBM college Gangavathi. I am satisfied with the authenticity of his observations noted in this report, his work was found to be quite satisfactory.
A Comparative Study on sales of Parle products at Gangavathi In Organized and Unorganized retail sectors
DECLARATION
The project work in A comparative study in sales promotion of PARLE products at Gangavathi in organized and un organized retail sectors is submitted by me in partial fulfillment of the requirement for the award of degree BACHELOR OF BUSINESS MANAGEMENT is original and it has not formed the basis for the award of any degree or Diploma elsewhere.
A Comparative Study on sales of Parle products at Gangavathi In Organized and Unorganized retail sectors
ACKNOWLEDGEMENT
The completion of this study makes me to retail with graduate several persons, who have extended their co-operation in on way or other way in this venture. I am extremely indebted to Prof. S.K.SOMANAGOUDA Principal of T.M.A.E.S BBM College Gangavathi, for encouraging me to undertake the work. I am extremely thankful to my project Guide Mr. M.D.YUNUS Lecturer of management in BBM, for the great interest he has shown with his in valuable guidance and encouragement throughout the progress of my project work. I also express my sincere thanks to Mr. SHRINIVAS, PARLE, PROPRIETOR, for guiding me to complete the project work. I also thanks my parents, family members and friends without whose motivation and support, this project would have not been completed.
RAGHAVENDRA ARIKERI
A Comparative Study on sales of Parle products at Gangavathi In Organized and Unorganized retail sectors
Contents
Chapter-I
Introduction of the study Objectives of the study Scope of the study Research of the methodology Limitations of Study
Chapter-II
Industry profile
Company profile
Chapter-III
Parle-G evolution Awards model section Product biscuits And sampling
Chapter-IV
Analysis & interpretation
Chapter-V
Findings Suggestions Conclusion
A Comparative Study on sales of Parle products at Gangavathi In Organized and Unorganized retail sectors
ANNEXURE
Questionnaires Bibliography
Introduction Objective of the study Scope of the study Research of methodology Limitation of the study
A Comparative Study on sales of Parle products at Gangavathi In Organized and Unorganized retail sectors
INTRODUCTION
In marketing planning, we use the marketing information to assess the situation. Specific marketing targets are to be selected in the form of market segments. A successful marketing strategy must have a marketing mix as well as a target market for which the marketing mix is prepared. The combination of the various marketing methods is known as marketing mix. In other words, marketing mix is revolved around 4 Ps. They are Product, Price, Promotion and Physical distribution. Product is the thing possessing utility. It has four components, i.e., Product range, service after sale, brand and package. The product manufacturing evolves product mix. Price is the valuation placed upon the product by the offered. It covers discounts, allowances and terms of credit. Promotion is the persuasive communication about the product by the offered to the prospect. It covers advertising, personal selling, sales, promotion, publicity; largely it deals with non-price competition.
A Comparative Study on sales of Parle products at Gangavathi In Organized and Unorganized retail sectors
Physical distribution is the delivery of product and it includes channels of distribution, transportation. It is required for making available the goods from the point or production to the point or distribution.
Thus, the concept of marketing has been taking a gradual change from production concept to product concept to selling concept to marketing concept to social concept. In todays world marketing concept is adopted all over the world, where in the customer is king of the market. Who make decision as to which product is to be produced and consumed? In order to stay competitive in the market the marketer should have effective marketing strategy and marketing mix.
A Comparative Study on sales of Parle products at Gangavathi In Organized and Unorganized retail sectors
products both in Organized and Unorganized sectors (Biscuits and Chocolates). To know the performance of Parle products in Organized To know the factors influencing the sales of Parle products. To know the retailers view of introduction of new Parle and Unorganized sector.
Research Methodology:
Primary data Secondary Data Area of research Research Approach Research Instrument Sample Unit Sampling Method Sample Size Field Survey Reports from related websites. Company reports. Gangavathi city Survey Method Questionnaire. Retail stores and Super markets Stratified Random Sampling 100 units (70 Retail stores and 30 Super markets).
A Comparative Study on sales of Parle products at Gangavathi In Organized and Unorganized retail sectors
The study is restricted to Gangavathi city only. The information obtained from the dealers and consumers are based on questionnaire and face-to-face interviews the responses are therefore not variable as there are their own opinions and possibility of change in their opinions on other occasions. The accuracy of the case study is limited. Consumers unawareness towards other brands has posed limitations to the study.
Industry profile
A Comparative Study on sales of Parle products at Gangavathi In Organized and Unorganized retail sectors
Company profile
Industry Profile
Biscuits Industry India Biscuits Industry is the largest among all the food industries and has a turn over of around Rs.3000 crores. India is known to be the second largest manufacturer of biscuits, the first being USA. It is classified under two sectors: organized and unorganized. Bread and biscuits are the major part of the bakery industry and covers around 80 percent of the total bakery products in India. Biscuits stands at a higher value and production level than bread. This belongs to the unorganized sector of the bakery Industry and covers over 70% of the total production. India Biscuits Industry came into limelight and started
A Comparative Study on sales of Parle products at Gangavathi In Organized and Unorganized retail sectors
gaining a sound status in the bakery industry in the later part of 20th century when the urbanized society called for ready made food products at a tenable cost. Biscuits were assumed as sick-man's diet in earlier days. Now, it has become one of the most loved fast food product for every age group. Biscuits are easy to carry, tasty to eat, cholesterol free and reasonable at cost. States that have the larger intake of biscuits are Maharashtra, West Bengal, Andhra Pradesh, Karnataka, and Uttar Pradesh. Maharashtra and West Bengal, the most industrially developed states, hold the maximum amount of consumption of biscuits. Even, the rural sector consumes around 55 percent of the biscuits in the bakery products. The total production of bakery products have risen from 5.19 lakh tones in 1975 to 18.95 lakh tones in 1990. The production capacity of wafer biscuits is 60 MT and the cost is Rs.56, 78,400 with a motive power of 25 K.W. the Federation of Biscuit Manufacturers of India (FBMI) has confirmed a bright future of India Biscuits Industry. According to FBMI, a steady growth of 15 percent per annum in the next 10 years will be achieved by the biscuit industry of India. Besides, the export of biscuits will also surpass the target and hit the global market successfully.
1.
2.
3.
A Comparative Study on sales of Parle products at Gangavathi In Organized and Unorganized retail sectors
4.
5.
6.
7.
8.
9.
A Comparative Study on sales of Parle products at Gangavathi In Organized and Unorganized retail sectors
market power by showing the industry share of the top four industry major players. The degree of monopolization or fragmentation of an industry.
(Victoria, New South Wales, Queensland, South Australia, Western Australia, Northern Territory, Australian Capital Territory and Tasmania) and illustrates where the majority of enterprises are located, while profiling major establishments and concentrations.
A Comparative Study on sales of Parle products at Gangavathi In Organized and Unorganized retail sectors
This chapter of the report explains the behavior and attributes of "The Market", or customer base for the Biscuit Manufacturing industry. It provides data trends, market statistics, and industry analysis for:
Market Size explains the size of the domestic market, as well as Linkages list the industry's major supplier and major customer Demand Determinants are key factors which are likely to cause Domestic and International Markets defines the market size for
industries.
the products and services of the industry. This section provides industry information on the size of the domestic market and the proportion accounted for by imports and exports and trends in the levels of imports and exports.
themselves within the industry as well as highlighting competition from external substitute products from alternative industries.
start-up from entering the industry, and also gives an indication of the extent to which this occurs.
A Comparative Study on sales of Parle products at Gangavathi In Organized and Unorganized retail sectors
The Taxation section details all kinds of taxation that are specific, particularly important to this industry, including taxation
or
concessions.
measures designed to improve the performance of this industry. The indicator trends of this assistance are noted.
The Regulation and Deregulation section has industry information The Cost Structure section details a table together with analysis of
the average major costs for a company operating in this industry as a percentage of total revenue. (eg; rent, materials, depreciation, purchases, wages, utilities, advertising, interest). Industry profits for the average company in the industry are also shown.
amount of capital used in production/providing a service compared to the amount of labor in the total mix of inputs.
technology and/or systems available to this industry within the country. Technology refers to machinery and equipment and systems refers to methods of production that enable better and more efficient production.
which the industry size is global based. Based on factors such as the level of foreign ownership, the proportion of demand accounted for by
A Comparative Study on sales of Parle products at Gangavathi In Organized and Unorganized retail sectors
KEY FACTORS
"
This chapter of the report identifies what drives change and ensures success for a business within a dynamic market.
change. These are the key factors that are outside the control of an operator in the industry, but are likely to have significant impact on a business.
The Key Success Factors section details the factors within the
control of an industry operator and which should be followed in order to be successful in the industry.
KEY COMPETITORS "Who are the industry major players in the Biscuit Manufacturing Industry?" This chapter of the industry report profiles the major players who operate within this industry. Generally the top 5 companies are profiled (including public and private businesses). Market share is included
A Comparative Study on sales of Parle products at Gangavathi In Organized and Unorganized retail sectors
whenever possible, as well as financial data. Competitive analysis of each player provides a solid understanding of strategic position, and market share. INDUSTRY PERFORMANCE "How has Biscuit manufacturing industry been performing?" This chapter of the report features up-to-date, high level industry analysis, based upon the statistics trends present in all previous chapters. It is divided into 2 parts; Historic Performance, and Current Performance.
performance trends over the most recent five years, with key indicators discussed. For example, financial trends, product trends, production volume, external events and internal trends that cause change.
The Historical Performance section of the market report details This industry research provides the foundation upon which the
forecast trend in the outlook chapter may be viewed, and better understood.
Home of our 5 year industry forecast, the final chapter of our industry report contains industry analysis over the next five years. Drawing on
A Comparative Study on sales of Parle products at Gangavathi In Organized and Unorganized retail sectors
supporting evidence introduced throughout the industry report, our market outlook encompasses market trends for those factors internal and external to the industry, and may forecast trends for the following: Industry trends, Market trends, Company trends, Product trends, Supply trends, Services trends, Statistics trends, Data trends, Performance trends, Growth trends, Size trends, Financial trends, Cost trends, and any other major industry indicators where appropriate.
Company Profile
Introduction
A long time ago, when the British ruled India, a small factory was set up in the suburbs of Mumbai city, to manufacture sweets and toffees. The year was 1929 and the market was dominated by famous international brands that were imported freely. Despite the odds and unequal competition, this company called Parle Products, survived and succeeded, by adhering to high quality and improvising from time to time. A decade later, in 1939, Parle Products began manufacturing biscuits, in addition to sweets and toffees. Having already established a reputation for quality, the Parle brand name grew in strength with this diversification. Parle Glucose and Parle Monaco were the first brands of biscuits to be introduced, which later went on to become leading names for great taste and quality.
A Comparative Study on sales of Parle products at Gangavathi In Organized and Unorganized retail sectors
offer a wide variety of brands. However, during the Second World War, all domestic biscuit production was diverted to assist the Indian soldiers in India and the Far East. Apart from this, the shortage of wheat in those days, made Parle decide to concentrate on the more popular brands, so that people could enjoy the price benefits. Thankfully today, there's no dearth of ingredients and the demand for more premium brands is on the rise. That's why, we now have a wide range of biscuits and mouthwatering confectionaries to offer.
A Comparative Study on sales of Parle products at Gangavathi In Organized and Unorganized retail sectors
A Comparative Study on sales of Parle products at Gangavathi In Organized and Unorganized retail sectors
the common man. Most Parle offerings are in the low & mid-range price segments. This is based on our cultivated understanding of the Indian consumer psyche. The value-for-money positioning helps generate large sales volumes for the products. However, Parle Products also manufactures a variety of premium products for the up-market, urban consumers. And in this way, caters a range of products to a variety of consumers.
A Comparative Study on sales of Parle products at Gangavathi In Organized and Unorganized retail sectors
A Comparative Study on sales of Parle products at Gangavathi In Organized and Unorganized retail sectors
A Comparative Study on sales of Parle products at Gangavathi In Organized and Unorganized retail sectors
the brand. This forced Parle to change the name from Parle Gluco Biscuits to Parle-G. Originally packed in the wax paper pack, today it is available in a contemporary, premium BOPP pack with attractive side fins. The new airtight pack helps to keep the biscuits fresh and tastier for a longer period. Parle-G was the only biscuit brand that was always in short supply. It was heading towards becoming an all-time great brand of biscuit. Parle-G started being advertised in the 80's. It was advertised mainly through press ads. The communication spoke about the basic benefits of energy and nutrition. In 1989, Parle-G released its Dadaji commercial, which went on to become one of the most popular commercials for Parle-G. The commercial was run for a period of 6 years. Parle-G grew bigger by the minute. Be it the packs sold, the areas covered or the number of consumers. It became a part of the daily lives of many Indians. It wasn't a biscuit any more. It had become an icon. The next level of communication associated the brand with the positive values of life like honesty, sharing and caring. In the year 1997, Parle-G sponsored the tele-serial of the Indian superhero, Shaktimaan that went on to become a huge success. The personality of the superhero matched the overall superb benefits of the brand. Parle extended this association with Shaktimaan and gave away a lot of merchandise of Shaktimaan, which was supported by POS and press communication. The children just could not get enough of Parle-G and Shaktimaan.
A Comparative Study on sales of Parle products at Gangavathi In Organized and Unorganized retail sectors
In the year 2002, it was decided to bring the brand closer to the child who is a major consumer. A national level promo - `Parle-G Mera Sapna Sach Hoga' was run for a period of 6 months. The promo was all about fulfilling the dreams of children. There were over 5 lakh responses and of that, over 300 dreams were fulfilled. Dreams that were fulfilled ranged from trips to Disneyland at Paris & Singapore; meeting their favorite film star Hrithik Roshan; free ride on a chartered plane; 20 scholarships worth Rs 50,000; a special cricket coaching camp with the Australian cricketer Ricky Ponting; etc. The year 2002 will go down as a special year in Parle-G's advertising history. A year that saw the birth of G-Man - a new ambassador for Parle-G. Not just a hero but also a super-hero that saves the entire world, especially children from all the evil forces. A campaign that is not just new to the audiences but one that involves a completely new way of execution that is loved by children all over the world Animation. A TV commercial that showed G-Man saving the children from the evil force called Terrolene launched this campaign. It was also supported by print medium through posters and streamers put up at the retail outlets. G-Man, a new superhero of Parle-G has the potential of making it big. And will be supported by a campaign that will see many a new creative in the future so as to keep the children excited and generate pride in being a consumer of Parle-G. To make the brand much more interesting and exciting with children, it was decided to launch a premium version of Parle-G called Parle-G Magix in the year 2002. Parle-G Magix is available in two exciting tastes - Choco and Cashew. The year 2002 also witnessed the launch T.M.A.ES. BBM COLLEGE, GANGAVATHI-583227
63
A Comparative Study on sales of Parle products at Gangavathi In Organized and Unorganized retail sectors
of Parle-G Milk Shakti, which has the nourishing combination of milk and honey, especially launched for the southern market. Parle-G continues to climb the stairs of success. Take a look at the global market where it is being exported. First came the Middle East then USA followed by Africa and then Australia. An Indian brand, that's exported to almost all parts of the world. After all that's what you would expect from the Parle-G World's Largest Selling Biscuit.
Import-Export
The immense popularity of Parle products in India was always a challenge to our production capacity. Now, using more modern techniques for capacity expansion, we have begun spreading our wings and are going global. Parle biscuits and confectionaries are fast gaining acceptance in international markets, such as, Abu Dhabi, Africa, Dubai, South America and Sri Lanka. Even the more sophisticated markets like USA & Australia, now relish Parle products. As part of the efforts towards a larger share of the global market, Parle has initiated the process of getting ISO 9000 certification. Many Parle Products have also won Gold, silver and bronze medals at the Monde Selection.Parle products aims to use IT to manage escalating advertising budgets Parle Products is deploying an online advertising solution from Mediaware InfoTech, to help get a grip on its media and advertising budget.Advertising media budgets escalate every year. There's a huge amount of paper-work involved in approving estimates and bills. All this was compounded by the lack of timely information retrieval, ultimately affecting decision making with problems like tracking of consumption related to budgets.
A Comparative Study on sales of Parle products at Gangavathi In Organized and Unorganized retail sectors
A Comparative Study on sales of Parle products at Gangavathi In Organized and Unorganized retail sectors
Medal Medal
Products biscuits
DIFFERENT VARITHES OF BISCUTS OF PARLE-G
Krackjack
A little sweet - A little salty That's what makes Krackjack very, very delicious! This delightful biscuit is acclaimed in India and across the world for its controversial sweet and salty taste. Krackjack has won 11 Gold, 3 Silver and 1 Bronze award at the 'Monde Selection'. You can
Enjoy Krackjack any time plain or with a host of beverages like tea, coffee or milkshakes.
Monaco
Trains running late? Lost a bet? Didn't win the lottery? Do not get tensed. Sure, on the highway of life there might be the odd puncture or two. Tension Kyon leneka? Monaco Khaneka! You see, these biscuits are so light and crispy, they lift your spirits. And puts you just in the right
A Comparative Study on sales of Parle products at Gangavathi In Organized and Unorganized retail sectors
frame to battle the odd irritants life throws up. And you can also top Monaco with your own imagination.
Marie Choice
More and more people are now discovering the pleasures of a cup of hot steaming tea. Or so it seems. In reality they are actually using (misusing) tea as a ready excuse to indulge in another packet of Parle Marie Choice. Whatever the reason, Parle Marie Choice has fast become a preferred teatime accompaniment. Find out for yourself over a cup of tea. After all, chai toh hai bahana.
A Comparative Study on sales of Parle products at Gangavathi In Organized and Unorganized retail sectors
Orange
We promise to tickle your senses.Parle Orange will elevate your expectations from an orange for ever. The tangy orange cream trapped. Between two rectangular biscuits is the perfect snack for any occasion.Age being no bar.
Mango
Who needs summer for mangoes.At Parle we give you the very best of it to anytime.So go on and enjoy the Parle Mango cream biscuit all year round.As we said,who needs summer.
Pineapple
A treat to all pineapple lovers.The Parle Pineapple flavoured cream biscuits are the perfect tropical treat for all those who appreciate the sweet and sour taste of the pineapple.
Elaichi
Enriched with the goodness of elachi,this cream biscuit will indulge your taste buds.The natural tasting cream will ensure you a treat you won't forget.
Digestive Marie
A Comparative Study on sales of Parle products at Gangavathi In Organized and Unorganized retail sectors
Digestive Marie will change the way you enjoy your daily dipping and sipping routine.
Making it more enjoyable and much healthier. With 5 times more fibre than the regular Marie, you can actually see the fibre in the biscuits. And with lower fat and calories than other so-called digestive biscuits, Digestive Marie helps you stay Active-Lite all day. That's why we have a saying that goes like - Yahi Marie, Sahi Marie".
Parle-G
There are always some kids who seem smarter than the rest. Ever wonder how they got to be that way? If you had to think real hard for the answer, then probably you've never eaten Parle-G. Parle-G is the new generation's official power supply. Providing kids with the vital vitamins and minerals necessary for all round mental and physical development. Apart from being the world's largest selling biscuit, Parle - G is the winner of 8 Gold and 11 Silver awards at the Monde Selection Awards the global standard for quality in Food category. Chocolates Kismi Bar The 'Maha' Tasty Bar, that's the best description for the Kismi Bar. A delicious T.M.A.ES. BBM COLLEGE, GANGAVATHI-583227
63
A Comparative Study on sales of Parle products at Gangavathi In Organized and Unorganized retail sectors
elaichi (cardamom) toffee bar. The Kismi Bar is a favourite for it's great taste and huge size. In fact, the sales of Kismi Bar, complement its size it is one of the largest selling toffee bars in India.
Melody
A double symphony of chocolate on the inside and caramel on the outside. That's Melody, India's first double-layered toffee. So delicious in taste that it Makes your taste buds sing. With a unique single-twist wrapper, Melody hits the right note internationally too. It's been acclaimed at the Monde Selection, where it has won gold and a bronze award.
Orange Candy
Orange Candy was the first product to be launched from the House of Parle. For over 50 years, this oval shaped delight has been extremely popular in India. Although deceptively simple in appearance, the zingy, orange taste is a sheer delight to the taste buds. Its a tangy treat that has a universal appeal!
Poppins
What does a rainbow taste like? The answer, my friends, is now available at a store near
A Comparative Study on sales of Parle products at Gangavathi In Organized and Unorganized retail sectors
you. Yes, open a pack of Poppins, and pop a goli rainbowwalli into your mouth. Can you taste the green apple? And what about the
orangey orange? Or red strawberry and yellow mango? Try the lime green lemon now. Don't forget the violet black currant? Now repeat till you can tell the colours with your tongue.
A Comparative Study on sales of Parle products at Gangavathi In Organized and Unorganized retail sectors
New Products
Price:-Rs 25
Price:-Rs 25
A Comparative Study on sales of Parle products at Gangavathi In Organized and Unorganized retail sectors Price:-Rs 5
Comparative Study Article (Business Line) Purvita Chatterjee FOR a change, the Mumbai-based makers of the largest selling brand of glucose biscuits, Parle Products, want to be in the limelight. The reason being that for the first time, the low-profile company wants to fulfill its consumers dreams through its Parle-G My Dream Come True contest - its biggest promotion till date. Setting aside a budget of almost Rs 2.5 crore for this contest alone, more than enforcing sales, the Parle-G brand is reinforcing its leadership position in the biscuit market while giving contestants a chance to fulfill their dreams. States Pravin Kulkarni, Marketing Manager, Parle Products Pvt. Ltd, "We want to give children a platform to fulfill their dreams. After all, dreaming is synonymous with the brand values of Parle-G, which brings about all-round development to achieve their dreams." The promotion is the largest of its kind and gives contestants the opportunity
A Comparative Study on sales of Parle products at Gangavathi In Organized and Unorganized retail sectors
to win whatever they dream of in contrast to the traditional promos where prizes are fixed. This contest has only first prizes and these prizes are defined as per the child's dream. Launched in 1939, the more than 50-year-old brand of Parle-G is India's first glucose biscuit to be introduced from the House of Parle. With a dominant volume share in the glucose biscuit market, Parle-G is pegged as the largest-selling biscuit brand in the world, making up almost 80 per cent of Parle Products' turnover of Rs 1,300 crore. The family-run business operating out of the western suburb of Vile Parle in Mumbai has always adopted the philosophy of being low key with an endeavour to give value for money. This biscuit and confectionery major has in fact not bothered to raise the price of its flagship brand for the past six years and has always tried to provide its offerings at nearly 33 per cent discount to competitive brands. While the high profile Britannia Industries has been busy stretching its portfolio of brands with more premium offerings, Parle Products has never felt the need to be wary of competition. It has been enjoying a `far too' comfortable position in the biscuit market, especially in the largest segment of glucose, with its Parle-G brand. Today it wants to stay primarily focussed on its oldest biscuit brands, Parle-G, Monaco and Krackjack, and is intentionally staying away from the premium end of the Rs 2.400-crore market. Considering Parle-G has already topped charts worldwide as revealed by the US-based Bakery Manufacturers' Association, there seems to be no
A Comparative Study on sales of Parle products at Gangavathi In Organized and Unorganized retail sectors
apparent need for concern. But there is, since Britannia has priced its offerings on par with Parle, Especially with respect to the latter's three main brands (Parle-G, Monaco and Krackjack). Closing the gap in market share is thus an imminent possibility. While Parle-G may be leading in the glucose category with a 65 per cent volume share, Tiger (Britannia's Glucose brand) is trailing at 23 per cent volume share, as per ORG-MARG. The difference in share between Monaco and Snax is also substantial but Krackjack and 50:50 are on par both in terms of pricing as well as shares. Thus Parle is not really expected to sit still. Apart from becoming more visible and adding value to the imagery of its flagship brand through its recently launched all-India contest, it continues to look at all brands within its portfolio either with intentions of adding more SKUs and variants or even launching new offerings and pruning away some unfeasible brands. Thus, the focus is on consolidation of its biscuits and confectionery business in terms of adding more variants and SKUs to its heritage brands rather than looking into allied areas to get added growth. Besides, Parle's internal research reveals that the biscuit market has graduated from the core glucose and Marie offerings to more value-added variants and that this applies to the rural markets as well. Another finding revealed that packaging played a crucial role in both biscuits and confectionery, with regard to the acceptance of any brand. Meanwhile, riding on properties such as chess championships and cricket trophies, the Parle-G brand has been sponsoring sports events in these areas propagating its values of mental and physical health. In the
A Comparative Study on sales of Parle products at Gangavathi In Organized and Unorganized retail sectors
recent past, the brand's positioning has moved to `tasty healthy food' from nutrition and energy. It has also changed its packaging from the staid wax paper wrapper to a more plastic and contemporary cover for its glucose brand. Today Parle is exploring more variants for its flagship brand, especially popular flavours such as chocolate, with more price points and SKUs (it already has eight) ranging from its glucose biscuit brand between Re 1 for 25 gm and Rs 37 for one kg. For the company, it makes sense to stretch the franchise of its mass brand than that of premium brands such as Hide & Seek. The limited volumes gathered from its premium range of Hide & Seek have made Parle put its variants on hold. States Daphne Nair, Brand Manager, Parle Products, "There are not many takers at the premium points, especially for niche variants like mint. We have thus decided to hold back the flavours of Hide & Seek and limit it to a chocolate cookie." Launched in 1998, Hide & Seek was Parle's foray into the premium biscuit market with offerings in chocolate, orange, coffee and mint. Moving away from its earlier baseline, `Game with taste buds', its new message is `Best of both worlds'. Today Parle believes in delivering both taste and health through its chocolate and biscuit offering through Hide & Seek. Adds B. P. Aggarwal, Managing Director, Surya Foods, manufacturer of the Priya Gold brand of biscuits, "Hide & Seek has failed to make an impact. However, its glucose brand of Parle-G continues to rule the market." In fact, it is Britannia which is expected to have a greater value share among biscuits due to its premium offerings and continues to hold a
A Comparative Study on sales of Parle products at Gangavathi In Organized and Unorganized retail sectors
dominant position in the Rs 35-crore, 2,000 tonnes per annum premium biscuit market while Parle reigns over the popular biscuit market with its flagship brand, Parle-G. Says Jagdeep Kapoor, Managing Director, and Samsika Marketing Consultants, "Both the companies rule the biscuit market. Between them one has a stronghold on the popular market and the other, on the premium. Once in a while they do tend to move into each other's territories but on the whole they continue to mutually respect each other." Comparisons between brands can, however, be drawn directly between these two biscuit majors. For instance, its sweet and salty biscuit of Krackjack is comparable to Britannia's 50:50 and comes as the second largest volume brand in Parle's biscuits portfolio. It is followed by another of its heritage brands, its salty biscuit, Monaco, which has stretched to include flavours like cheese, jeera, methi and onion in the past and can be compared to Britannia's Maska Chaska, a variant of 50:50, which has also come up with spicy herbal toppings. Meanwhile, there are certain changes happening within Parle's portfolio. Its more salty offering of the Nimkin brand of biscuits, which is present in the East, is preparing for a national roll-out while its cream biscuit brand (Fun Centre) will add more flavours to the current chocolate, orange, pineapple and elaichi with more SKUs catering to family packs. Besides, there will be extensions among its namkeen offerings of cheeselings, Jeffs and Sixer to include more products to the portfolio. Within its confectionery portfolio, Parle has pegged its toffee brands such as Kismi, Lux, Dairy and Mayfair at the 25 paise price point. However, it expects the 50 paise price point to be more viable. It already has a host of
A Comparative Study on sales of Parle products at Gangavathi In Organized and Unorganized retail sectors
hard-boiled confectionery brands operating in that segment including the likes of Mango Bite, Tangy and Pick 'n' Pack. This segment is expected to be a focus area for the company. Explains Nair, "Although the 25 paise segment is the biggest potential segment, most of the bigger companies cannot cover their overheads. The 50 paise segment is the most viable followed by the Re 1 price point." A new toffee brand of Cafechino has just been launched at Re 1 down South while it has stretched the franchise of its Mango Bite to a juicy centre-filled offering at the same price point. Confectionery brands in the rolls category include another heritage brand, Poppins, which was relaunched two years ago with new flavours and packaging while Rol.a.Cola is on the threshold of a similar exercise. However, confectionery is not really a thrust area for the company now and contributes only 15 per cent to the turnover, although the business is nearly as old as its biscuits, having been launched way back in 1929. While core brands in the glucose and Marie category comprise the bulk (65 per cent) of the biscuit market, the higher growth rates of 10-12 per cent seem to be coming from the non-core segments. Explains Nair, "There is magnified value growth due to the higher margins in the noncore biscuit category." Pegging growth rate for the core biscuit market between seven and 10 per cent, the glucose biscuit category in India is now estimated at Rs 1,500 crore. There is no dislodging Parle-G in its segment. Industry observers mainly attribute it to its well-entrenched distribution (the company covers 12-15 lakh outlets across the country) which can beat any new player wanting to
A Comparative Study on sales of Parle products at Gangavathi In Organized and Unorganized retail sectors
make an entry. In any case, the volumes are expected to come from this segment alone with the others (the non-core segments) such as the salty and cream biscuits commanding meagre volumes between three and four per cent of the entire biscuit category, according to the company. The Marie segment, however, seems to register higher volumes of 12-13 per cent while the sweet and salty category registers a nine per cent volume In the market. Considering India is supposed to be the world's second largest biscuit industry (after China), in the past, several MNCs tried entering the biscuit segment but failed due to the existence of unorganized players in the popular segment of the market. According to the Federation of Biscuit Manufacturers, the per capita consumption in India is about 1.2 kg per annum, compared to 15 kg per annum in developed countries. Now there are more players preparing to set up shop including the likes of United Biscuits and Nestle (which has increased its stake in Excelsia Foods). But such players will have to tackle Britannia in the premium market. Competing with Parle Will never be easy in the popular biscuit market in India, especially now that it has taken the onus of fulfilling its consumers' dreams.
Sampling: Sample size Sampling Method Sample Plan Sample Unit : 100 Units (70 General retail stores and 30 Super Markets. : Stratified random sampling. : Personal Interview : Retail Stores and Super Markets.
A Comparative Study on sales of Parle products at Gangavathi In Organized and Unorganized retail sectors
Data Collections Methods: Primary data: Field Survey Secondary data: Company records. Area of research: Gangavathi city Research approach : Survey method
Measuring Tool:- Questionnaire (Graphs and Charts) - Analysis done using SPSS 11.0 Version.
A Comparative Study on sales of Parle products at Gangavathi In Organized and Unorganized retail sectors
Analysis &interpretation
Analysis &interpretation
The survey was conducted in fourth quarter of 2009 in Gangavathi market. The data gathered from the sample users have been analyzed, interpreted and the results have been explained below: 1. Classification of responds on the basis of age;
Sl no 1 2 3 4 Age respondents (years) Below 20 20-30 30-40 Above 40 Total of Number of Percentage in respondents Total (%) 18 36 32 14 100 18% 36% 32% 14% 100% to
A Comparative Study on sales of Parle products at Gangavathi In Organized and Unorganized retail sectors
4 3 2 1 0 10
Above 40 Years
Below 20 Years
20 30 40
Sources: Field survey The above table 18 clearly shows were that out of 20 100 years respondents, respondents below
comprising 18%, there are 36 respondents in the age group of 20-30 years who comprising 36% of total respondents similarly 32 respondents who are in the age group of 30-40 years comprising 32% and remaining 14 respondents are in the age group of above 40 years who comprising 14% of the total respondents.
2. Classification on the basis of gender Gender Male Female Total No respondents 60 40 100 of Percentage 60% 40% 100%
A Comparative Study on sales of Parle products at Gangavathi In Organized and Unorganized retail sectors
Sources: Field survey Out of the 100 respondents 60 respondents representing 60%are male and remaining 40 responding 40% are female.
3. Classification based on qualification. Sl no 1 2 3 4 Qualification SS LC Under graduate Graduate Number of Percentag e in Total 16% 16% 56% 12% Respondents 16 16 56 12
A Comparative Study on sales of Parle products at Gangavathi In Organized and Unorganized retail sectors
Sources: Field survey The above table shows that out of 100 respondents 16 respondents education level do comprise 16% 16 respondents comprising 16% are under graduate 56 respondents comprising 56% are graduate & remained 12 respondents who comprising 12% of the total respondents post graduates.
A Comparative Study on sales of Parle products at Gangavathi In Organized and Unorganized retail sectors
2 3 4
36
Employee 36 8 100
Sources: Field survey The above table shows that among 100 respondents 20 respondents comprising 20% are professional 36 respondents comprising 36% are business man 36 respondents comprising 36% are employers and the remaining 8 respondents who comprising 8% to the total respondents are doing other work such as agriculture etc. 5. Classification based on monthly annual income. Sl no Income 1 Below No respondents 12 of Percentage total 12% to
A Comparative Study on sales of Parle products at Gangavathi In Organized and Unorganized retail sectors
2 3 4
40 32 16 100
Sources: Field survey The above table shows that among 100 respondents 12 respondents comprising 12% are earning below RS 10000, 40 respondents comprising 40% are earning between 10000 and 25000, 32 respondents comprising 32% are earning between 25000 and 50000 and the remaining 16 respondents who comprise 16% to the total respondents are earning more than 50000. 6.Ranking of the biscuits PARTICULARS RANKING
A Comparative Study on sales of Parle products at Gangavathi In Organized and Unorganized retail sectors
Good day Little hearts Tiger Maska Chaska Marie gold Cream treat 50-50 Bourbon
1 2 3 4 5 6 7 8
RANK ING
Good day Little hearts Tiger Maska chaska Marie gold Creamtreat 50-50 Bourbon
Sources: Field survey 1. The 100 respondents have ranked their preference of biscuits as above the first rank to good day and second rank to little hearts and third rank to tiger and fourth rank to maska Chaska fifth rank to Marie gold sixth rank to cream treat and seventh rank to give 50-50 and seventh rank to give bourbon biscuits.
A Comparative Study on sales of Parle products at Gangavathi In Organized and Unorganized retail sectors
100
100%
Sources: Field survey The above table shows that among 100 respondents the maximum number of respondents 84 comes to know about Britannia from advertisements which comprise 84% of the total respondents. The remaining 16 respondents come to know about the company through TV and news paper and advertisement and none through relative and friends and through local dealers.
8. Classification of the respondents based on regularity of purchase of Britannia biscuits. SL Regularit Number of Percentage to
A Comparative Study on sales of Parle products at Gangavathi In Organized and Unorganized retail sectors
no 1 2 3
Out of 100 respondents 60 purchase the Britannia biscuit regularly 32 purchase Britannia biscuits frequently and 8 purchase Britannia biscuits occasionally.
A Comparative Study on sales of Parle products at Gangavathi In Organized and Unorganized retail sectors
9. Classification of the respondents based on percentage of the use: SL NO 1 2 3 4 NUMBER YEARS S Past 1 year 8 Past 2year 16 More than 2 28 years More than 5 48 years Total 100 OF RESPONDENT PERCENTAGE TO TOTAL 8% 16% 28% 48% 100%
Sources: Field survey Out of 100 respondents 8 are using Britannia biscuits from past 1 year 16 are using Britannia biscuits from past 2 year 28 are using Britannia biscuits from more than 2 years and 48 are using Britannia biscuits from more than 5 years.
A Comparative Study on sales of Parle products at Gangavathi In Organized and Unorganized retail sectors
A Comparative Study on sales of Parle products at Gangavathi In Organized and Unorganized retail sectors
Findings
a) In Organized sector 86.67% strongly agree that the performance of Parle products is good and the other 13.33% agree that it is good. b) In unorganized sector 84.29% strongly agree that the performance of Parle products is good and the other 15.71% agree that it is good. c) In Organized sector 90% say that introduction of new products helps them to boost their sales and 10% say that their sales get hit. d) In Unorganized sector 78.57% say that their sales hit badly and the remaining 21.43% say that it is a flop idea. e) 90% in Organized sector prefer Parle introducing its new product Quarterly and remaining 10% prefer half Yearly. f) Where as in Unorganized sector 98.57% prefer introducing half yearly and 1.43% prefer yearly. g) 100% from both the sectors say that the sales have not hit due to reduction in the weight of biscuit. h) In Organized sector 76.67% sales are between Rs 2000 and above and 23.33% sales are between Rs 1501 2000. i) In unorganized sector 70% sales are between Rs 501 1000, 28.57% sales are between Rs 1001 1500 and 1.43% are between 0 500. j) Brand name of Parle is a vital factor which influences the sales followed by advertisement and its taste.
A Comparative Study on sales of Parle products at Gangavathi In Organized and Unorganized retail sectors
Suggestions
a) The suggestions offered by sample users of Britannia biscuits have been explained below; b) According to survey findings, the main demand of the consumers is to reduce the price and increase the quantity to be affordable by all class of people. c) It is suggested to undertake advertisement at a larger scale to attract people of different age groups. Collective advertisement shall be given to create awareness of different brands of same company. d) Many people complain that biscuits do not have any gift offers so it is suggested to offer same gift offers to improve the sales and to meet competition.
e) The advertisement shall take film stars in place of
cricketers to catch the customers attention towards their opinion leaders. f) Since the children play an important role and the centre of attraction to the product, they need to be provoked by things with the product like tattoos etc.
A Comparative Study on sales of Parle products at Gangavathi In Organized and Unorganized retail sectors
g) Economical pack shall be introduced to reduce the price at the same time to preserve the biscuits in all climate and able to survive wide distribution. h) Still there is scope for innovation, the biscuits can be made nutritious by adding corn flour, barely etc to enrich.
Conclusion
To conclude, the survey results highlight some important facts, the brand name parle is a vital factor for the sales of its product. The sales performance of parle is good in both the sectors but to organized sector is more profitable for the company.
A Comparative Study on sales of Parle products at Gangavathi In Organized and Unorganized retail sectors
ANNEXURE
Questionnaire Bibliography
A Comparative Study on sales of Parle products at Gangavathi In Organized and Unorganized retail sectors
Questionnaire
Dear Sir/Madam, As a part of curriculum I have undertaken study on, A Comparative Study on sales of Parle products at Gangavathi in Organized and Unorganized retail sectors. The information provided by you will be strictly kept confidential and used for academic purpose only.
Name of the outlet: ______________________________________ Area: Area 1 Area 3 Q-1.My shop is Organized [ ] Unorganized [ ] [ [ ] ] Area 2 Area 4 [ [ ] ]
A Comparative Study on sales of Parle products at Gangavathi In Organized and Unorganized retail sectors
|___________________|_____________|_________________| _________________| Strongly-agree Agree Neither agree Dis-agree Strongly dis-agree nor Dis-agree Q-3.What do you think of Parle introducing its products every 3 months? My sales hit badly [ ] ] ]
Q-4.If it should introduce than when Yearly [ ] Half yearly [ ] [ ] Quarterly (Should continue)
Q-6.What are your sales per week of Parle? 0-500 1500 [ ] 1501-2000 [ ] 2000 and above [ ] [ ] 501-1000 [ ] 1001-
Q-7.The factors which influence the sales of Parle are (Rank with 1 being highest and 8 lowest) Brand name [ ] Price [ ]
A Comparative Study on sales of Parle products at Gangavathi In Organized and Unorganized retail sectors
[ [
] ]
Advertisement [
A). The fast moving and preferred Parle product (in biscuit) in my shop is: Krackjack [ ] Hide & Seek Mango cream Marie Digestive [ [ [ ] ] ] ]
Chocolate Cream [
B). The fast moving and preferred Parle product (in chocolate) in my shop is: Kismi Melody Poppins Q-9.If unorganized A). The fast moving and preferred Parle product (in biscuit) in my shop is: Krackjack [ ] Hide & Seek Mango cream Marie Digestive Chocolate Cream [ ] [ ] [ ] [ ] [ [ ] ] Orange candy Mango bite Kaccha Mango [ ] [ [ ] ]
[ ]
A Comparative Study on sales of Parle products at Gangavathi In Organized and Unorganized retail sectors
B). The fast moving and preferred Parle product (in chocolate) in my shop is: Kismi Melody Poppins [ [ [ ] ] ] Orange candy Mango bite Kaccha Mango [ ] [ ] [ ]
Thank You
Bibliography
Marketing management - Philip kotler Marketing management - Sontakki Marketing management - Sharlekar
T.M.A.ES. BBM COLLEGE, GANGAVATHI-583227
63
A Comparative Study on sales of Parle products at Gangavathi In Organized and Unorganized retail sectors